§39A-115  Project agreement.  No
special purpose revenue bonds shall be issued unless at the time of issuance
the department shall have entered into a project agreement with respect to the
project for the financing of which the revenue bonds are to be issued.  Any
project agreement entered into by the department shall contain provisions
unconditionally obligating the project party:



(1)  To pay to the department during the period or
term of the project agreement, exclusive of any renewal or extension thereof
and whether or not the project is used or occupied by the project party, the
sum or sums, at the time or times, and in the amounts that shall be sufficient:



(A)  To pay the principal and interest on all
special purpose revenue bonds issued with respect to the project as the bonds
become due, including any premium payable upon any required redemption of the
bonds;



(B)  To establish or maintain a reserve, if
any, as may be required by the instrument authorizing or securing the special
purpose revenue bonds;



(C)  To pay all fees and expenses (including
the fees and expenses of the paying agents and trustees) assessed in connection
with the special purpose revenue bonds; and



(D)  To pay the fees, costs, and expenses
(direct or indirect) assessed by the department in administering the bonds or
in carrying out the project agreement; and



(2)  To operate, maintain, and repair the project as
long as it is used as provided in the project agreement and to pay all costs of
the operation, maintenance, and repair.



Moneys received by the department pursuant to
paragraph (1)(D) shall not be, or be deemed to be, revenues of the project and
shall be paid into the general fund of the State. [L 1981, c 121, pt of §2; am
L 2007, c 44, §6]