State Codes and Statutes

Statutes > Arizona > Title41 > 41-3906

41-3906. Issuance of bonds or mortgage credit certificates

A. The board, for and on behalf of the authority, by resolution may:

1. Issue bonds for projects consisting of multifamily residential rental projects in rural areas as defined in section 35-913.

2. Issue bonds to finance residential dwelling units in the exercise by the authority of the powers granted in section 35-706, subsection A, paragraphs 11, 12, 13 and 14 in rural areas as defined in section 35-913.

3. Establish mortgage credit certificate programs to finance residential dwelling units in the exercise by the authority of the powers granted in section 35-706, subsection A, paragraphs 11, 12, 13 and 14 in rural areas as defined in section 35-913.

B. For the activities authorized in subsection A, paragraph 1 of this section, the authority shall notify a city, town, county or tribal government and any existing corporation as defined in section 35-701 that a multifamily residential rental project is planned for its jurisdiction and, before proceeding, shall request and obtain written consent from the governing body of the city, town, county or tribal government or an official authorized by the governing body of the city, town, county or tribal government. The authority shall not interfere with or attempt to override the local jurisdiction's planning, zoning or land use regulations. This subsection shall not be interpreted to interfere in any way with the requirements of state or federal fair housing laws.

C. Notwithstanding the geographic limitations established in subsection A of this section and in section 35-913, subsection J, the authority may enter into intergovernmental agreements or cooperative agreements described in section 35-706, subsection G, with the corporations described in section 35-706, subsection E, for the issuance of bonds or certificates for activities relating to property located in the geographic areas of the parties to the agreement. The authority shall not interfere with or attempt to override any local jurisdiction's planning, zoning or land use regulations.

D. The bonds and any bonds refunding those bonds may be issued in one or more series, bear such date or dates, be in such denomination or denominations, mature at such time or times, not exceeding forty years from the respective dates thereof, mature in such amount or amounts, bear interest at fixed or variable rates payable at least annually, be in such form, carry such registration privileges, be executed in such manner, be payable in such medium of payment, at such place or places, be refundable either at or in advance of maturity and be subject to such terms of redemption, with or without premium, as the board directs. The bonds may be sold at either public or private sale or by an electronic bidding process in such manner and on such terms as may be determined by the board to be the most advantageous. Such bonds shall be fully negotiable within the meaning and for all purposes of title 47.

E. Principal and interest on the bonds are payable solely from the revenues derived by the authority from the agreements authorized by this article.

F. Any resolution authorizing the issuance of bonds or establishing a certificate program may provide for:

1. Execution of agreements and instruments the board deems necessary, including the execution of a trust indenture and assignment to a trustee of the agreements relating to the issue of bonds in order to protect the bondholder or bondholders and facilitate the payment of the principal and interest on the bonds.

2. Payment of the bonds solely from the monies paid by the obligated housing facility or facilities.

3. Capitalization of a bond reserve with any appropriate monies when the board deems necessary.

4. Limitations on the issuance of future bonds or certificates or restrictions or formulas relative to the issuance of future bonds of equal or secondary lien, or for a lien on or pledge of the revenues received from any project.

5. Restrictions as to liens, encumbrances or alienation of any property.

6. Covenants as to the procedures by which the terms of any agreement for the benefit of a holder or holders of bonds may be amended or abrogated, the amount or percentage of bonds the holder or holders of which must consent to and the manner in which consent may be given.

7. Assignment to a trustee of any or all agreements made or entered into by the authority and vesting in the trustee the right to enforce any covenant made to secure or pay the bonds.

8. Execution and delivery of trust agreements setting forth the powers, duties and remedies available to trustees, limiting liabilities, describing what occurrences constitute default and prescribing terms and conditions on which trustees or holders of bonds of any specified amount or percentage of such bonds may exercise and enforce any rights, covenants and remedies.

9. Vesting in a trustee or holder of any specified amount or percentage of bonds the right to apply to any court of competent jurisdiction for, and have granted, the appointment of a receiver to act under the terms of any agreement.

10. A provision for reclamation of the housing facility if a payment required under an agreement or any other condition required in an agreement is not timely paid or is breached.

11. A provision for the appointment of a receiver to operate the facility during a period of default in the regular payment or performance under an agreement.

G. Bonds bearing the signatures of officers in office on the date of the signing of the bonds are valid and binding obligations, notwithstanding that before their delivery and payment any persons whose signatures appear on the bonds have ceased to be officers of the authority. The validity of the bonds is not dependent on or affected by the validity or regularity of any proceedings to acquire the project financed by the bonds or taken in connection therewith. No action may be brought questioning the legality of any agreement, proceeding or issuance of bonds under this article after two months from the date the bonds are authorized to be issued by the board.

State Codes and Statutes

Statutes > Arizona > Title41 > 41-3906

41-3906. Issuance of bonds or mortgage credit certificates

A. The board, for and on behalf of the authority, by resolution may:

1. Issue bonds for projects consisting of multifamily residential rental projects in rural areas as defined in section 35-913.

2. Issue bonds to finance residential dwelling units in the exercise by the authority of the powers granted in section 35-706, subsection A, paragraphs 11, 12, 13 and 14 in rural areas as defined in section 35-913.

3. Establish mortgage credit certificate programs to finance residential dwelling units in the exercise by the authority of the powers granted in section 35-706, subsection A, paragraphs 11, 12, 13 and 14 in rural areas as defined in section 35-913.

B. For the activities authorized in subsection A, paragraph 1 of this section, the authority shall notify a city, town, county or tribal government and any existing corporation as defined in section 35-701 that a multifamily residential rental project is planned for its jurisdiction and, before proceeding, shall request and obtain written consent from the governing body of the city, town, county or tribal government or an official authorized by the governing body of the city, town, county or tribal government. The authority shall not interfere with or attempt to override the local jurisdiction's planning, zoning or land use regulations. This subsection shall not be interpreted to interfere in any way with the requirements of state or federal fair housing laws.

C. Notwithstanding the geographic limitations established in subsection A of this section and in section 35-913, subsection J, the authority may enter into intergovernmental agreements or cooperative agreements described in section 35-706, subsection G, with the corporations described in section 35-706, subsection E, for the issuance of bonds or certificates for activities relating to property located in the geographic areas of the parties to the agreement. The authority shall not interfere with or attempt to override any local jurisdiction's planning, zoning or land use regulations.

D. The bonds and any bonds refunding those bonds may be issued in one or more series, bear such date or dates, be in such denomination or denominations, mature at such time or times, not exceeding forty years from the respective dates thereof, mature in such amount or amounts, bear interest at fixed or variable rates payable at least annually, be in such form, carry such registration privileges, be executed in such manner, be payable in such medium of payment, at such place or places, be refundable either at or in advance of maturity and be subject to such terms of redemption, with or without premium, as the board directs. The bonds may be sold at either public or private sale or by an electronic bidding process in such manner and on such terms as may be determined by the board to be the most advantageous. Such bonds shall be fully negotiable within the meaning and for all purposes of title 47.

E. Principal and interest on the bonds are payable solely from the revenues derived by the authority from the agreements authorized by this article.

F. Any resolution authorizing the issuance of bonds or establishing a certificate program may provide for:

1. Execution of agreements and instruments the board deems necessary, including the execution of a trust indenture and assignment to a trustee of the agreements relating to the issue of bonds in order to protect the bondholder or bondholders and facilitate the payment of the principal and interest on the bonds.

2. Payment of the bonds solely from the monies paid by the obligated housing facility or facilities.

3. Capitalization of a bond reserve with any appropriate monies when the board deems necessary.

4. Limitations on the issuance of future bonds or certificates or restrictions or formulas relative to the issuance of future bonds of equal or secondary lien, or for a lien on or pledge of the revenues received from any project.

5. Restrictions as to liens, encumbrances or alienation of any property.

6. Covenants as to the procedures by which the terms of any agreement for the benefit of a holder or holders of bonds may be amended or abrogated, the amount or percentage of bonds the holder or holders of which must consent to and the manner in which consent may be given.

7. Assignment to a trustee of any or all agreements made or entered into by the authority and vesting in the trustee the right to enforce any covenant made to secure or pay the bonds.

8. Execution and delivery of trust agreements setting forth the powers, duties and remedies available to trustees, limiting liabilities, describing what occurrences constitute default and prescribing terms and conditions on which trustees or holders of bonds of any specified amount or percentage of such bonds may exercise and enforce any rights, covenants and remedies.

9. Vesting in a trustee or holder of any specified amount or percentage of bonds the right to apply to any court of competent jurisdiction for, and have granted, the appointment of a receiver to act under the terms of any agreement.

10. A provision for reclamation of the housing facility if a payment required under an agreement or any other condition required in an agreement is not timely paid or is breached.

11. A provision for the appointment of a receiver to operate the facility during a period of default in the regular payment or performance under an agreement.

G. Bonds bearing the signatures of officers in office on the date of the signing of the bonds are valid and binding obligations, notwithstanding that before their delivery and payment any persons whose signatures appear on the bonds have ceased to be officers of the authority. The validity of the bonds is not dependent on or affected by the validity or regularity of any proceedings to acquire the project financed by the bonds or taken in connection therewith. No action may be brought questioning the legality of any agreement, proceeding or issuance of bonds under this article after two months from the date the bonds are authorized to be issued by the board.


State Codes and Statutes

State Codes and Statutes

Statutes > Arizona > Title41 > 41-3906

41-3906. Issuance of bonds or mortgage credit certificates

A. The board, for and on behalf of the authority, by resolution may:

1. Issue bonds for projects consisting of multifamily residential rental projects in rural areas as defined in section 35-913.

2. Issue bonds to finance residential dwelling units in the exercise by the authority of the powers granted in section 35-706, subsection A, paragraphs 11, 12, 13 and 14 in rural areas as defined in section 35-913.

3. Establish mortgage credit certificate programs to finance residential dwelling units in the exercise by the authority of the powers granted in section 35-706, subsection A, paragraphs 11, 12, 13 and 14 in rural areas as defined in section 35-913.

B. For the activities authorized in subsection A, paragraph 1 of this section, the authority shall notify a city, town, county or tribal government and any existing corporation as defined in section 35-701 that a multifamily residential rental project is planned for its jurisdiction and, before proceeding, shall request and obtain written consent from the governing body of the city, town, county or tribal government or an official authorized by the governing body of the city, town, county or tribal government. The authority shall not interfere with or attempt to override the local jurisdiction's planning, zoning or land use regulations. This subsection shall not be interpreted to interfere in any way with the requirements of state or federal fair housing laws.

C. Notwithstanding the geographic limitations established in subsection A of this section and in section 35-913, subsection J, the authority may enter into intergovernmental agreements or cooperative agreements described in section 35-706, subsection G, with the corporations described in section 35-706, subsection E, for the issuance of bonds or certificates for activities relating to property located in the geographic areas of the parties to the agreement. The authority shall not interfere with or attempt to override any local jurisdiction's planning, zoning or land use regulations.

D. The bonds and any bonds refunding those bonds may be issued in one or more series, bear such date or dates, be in such denomination or denominations, mature at such time or times, not exceeding forty years from the respective dates thereof, mature in such amount or amounts, bear interest at fixed or variable rates payable at least annually, be in such form, carry such registration privileges, be executed in such manner, be payable in such medium of payment, at such place or places, be refundable either at or in advance of maturity and be subject to such terms of redemption, with or without premium, as the board directs. The bonds may be sold at either public or private sale or by an electronic bidding process in such manner and on such terms as may be determined by the board to be the most advantageous. Such bonds shall be fully negotiable within the meaning and for all purposes of title 47.

E. Principal and interest on the bonds are payable solely from the revenues derived by the authority from the agreements authorized by this article.

F. Any resolution authorizing the issuance of bonds or establishing a certificate program may provide for:

1. Execution of agreements and instruments the board deems necessary, including the execution of a trust indenture and assignment to a trustee of the agreements relating to the issue of bonds in order to protect the bondholder or bondholders and facilitate the payment of the principal and interest on the bonds.

2. Payment of the bonds solely from the monies paid by the obligated housing facility or facilities.

3. Capitalization of a bond reserve with any appropriate monies when the board deems necessary.

4. Limitations on the issuance of future bonds or certificates or restrictions or formulas relative to the issuance of future bonds of equal or secondary lien, or for a lien on or pledge of the revenues received from any project.

5. Restrictions as to liens, encumbrances or alienation of any property.

6. Covenants as to the procedures by which the terms of any agreement for the benefit of a holder or holders of bonds may be amended or abrogated, the amount or percentage of bonds the holder or holders of which must consent to and the manner in which consent may be given.

7. Assignment to a trustee of any or all agreements made or entered into by the authority and vesting in the trustee the right to enforce any covenant made to secure or pay the bonds.

8. Execution and delivery of trust agreements setting forth the powers, duties and remedies available to trustees, limiting liabilities, describing what occurrences constitute default and prescribing terms and conditions on which trustees or holders of bonds of any specified amount or percentage of such bonds may exercise and enforce any rights, covenants and remedies.

9. Vesting in a trustee or holder of any specified amount or percentage of bonds the right to apply to any court of competent jurisdiction for, and have granted, the appointment of a receiver to act under the terms of any agreement.

10. A provision for reclamation of the housing facility if a payment required under an agreement or any other condition required in an agreement is not timely paid or is breached.

11. A provision for the appointment of a receiver to operate the facility during a period of default in the regular payment or performance under an agreement.

G. Bonds bearing the signatures of officers in office on the date of the signing of the bonds are valid and binding obligations, notwithstanding that before their delivery and payment any persons whose signatures appear on the bonds have ceased to be officers of the authority. The validity of the bonds is not dependent on or affected by the validity or regularity of any proceedings to acquire the project financed by the bonds or taken in connection therewith. No action may be brought questioning the legality of any agreement, proceeding or issuance of bonds under this article after two months from the date the bonds are authorized to be issued by the board.

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