[§206E-185]  Special facility revenue bonds. All special facility revenue bonds authorized to be issued shall be issuedpursuant to part III of chapter 39, except as follows:

(1)  No revenue bonds shall be issued unless at thetime of issuance the authority shall have entered into a special facility leasewith respect to the special facility for which the revenue bonds are to beissued;

(2)  The revenue bonds shall be issued in the name ofthe authority, and not in the name of the State;

(3)  The revenue bonds shall be payable solely fromand secured solely by the revenues derived by the authority from the specialfacility for which they are issued;

(4)  The final maturity date of the revenue bondsshall not be later than either the estimated life of the special facility forwhich they are issued or the initial term of the special facility lease;

(5)  If deemed necessary or advisable by theauthority, or to permit the obligations of the other person to the specialfacility lease to be registered under the U.S. Securities Act of 1933, theauthority, with the approval of the director of finance, may appoint a nationalor state bank within or without the State to serve as trustee for the holdersof the revenue bonds and may enter into a trust indenture or trust agreementwith the trustee.  The trustee may be authorized by the authority to collect,hold, and administer the revenues derived from the special facility for whichthe revenue bonds are issued and to apply the revenues to the payment of theprincipal and interest on the revenue bonds.  If any trustee shall beappointed, any trust indenture or agreement entered into by the authority withthe trustee may contain the covenants and provisions authorized by part III ofchapter 39 to be inserted in a resolution adopted or certificate issued, asthough the words "resolution" or "certificate" as used inthat part read "trust indenture or agreement".  The covenants andprovisions shall not be required to be included in the resolution orcertificate authorizing the issuance of the revenue bonds if included in thetrust agreement or indenture.  Any resolution or certificate, trust indenture,or trust agreement adopted, issued, or entered into by the authority pursuantto this part may also contain any provisions required for the qualificationthereof under the U.S. Trust Indenture Act of 1939.  The authority may pledgeand assign to the trustee the special facility lease and the rights of theauthority including the revenues thereunder;

(6)  If the authority, with the approval of thedirector of finance, shall have appointed or shall appoint a trustee for theholders of the revenue bonds, then notwithstanding the provisions of the secondsentence of section 39-68, the director of finance may elect not to serve asfiscal agent for the payment of the principal and interest, and for thepurchase, registration, transfer, exchange, and redemption, of the revenuebonds, or may elect to limit the functions the director of finance shallperform as the fiscal agent.  The authority, with the approval of the directorof finance, may appoint the trustee to serve as the fiscal agent, and mayauthorize and empower the trustee to perform the functions with respect topayment, purchase, registration, transfer, exchange, and redemption, that theauthority may deem necessary, advisable, or expedient, including, withoutlimitation, the holding of the revenue bonds and coupons which have been paidand the supervision and conduction of the destruction thereof in accordancewith sections 40-10 and 40-11.  Nothing in this paragraph shall be a limitationupon or construed as a limitation upon the powers granted in the precedingparagraph to the authority, with the approval of the director of finance, toappoint the trustee, or granted in sections 36-3 and 39-13 and the thirdsentence of section 39-68 to the director of finance to appoint the trustee orothers, as fiscal agents, paying agents, and registrars for the revenue bondsor to authorize and empower the fiscal agents, paying agents, and registrars toperform the functions referred to in that paragraph and sections, it being theintent of this paragraph to confirm that the director of finance as aforesaidmay elect not to serve as fiscal agent for the revenue bonds or may elect tolimit the functions the director of finance shall perform as the fiscal agent,that the director of finance may deem necessary, advisable, or expedient;

(7)  The authority may sell the revenue bonds eitherat public or private sale;

(8)  If no trustee shall be appointed to collect,hold, and administer the revenues derived from the special facility for whichthe revenue bonds are issued, the revenues shall be held in a separate accountin the treasury of the State, separate and apart from the Hawaii communitydevelopment revolving fund, to be applied solely to the carrying out of theresolution, certificate, trust indenture, or trust agreement authorizing orsecuring the revenue bonds;

(9)  If the resolution, certificate, trust indenture,or trust agreement shall provide that no revenue bonds issued thereunder shallbe valid or obligatory for any purpose unless certified or authenticated by thetrustee for the holders of the revenue bonds, signatures of the officers of theState upon the bonds required by section 39-56 may be facsimiles of theirsignatures;

(10)  Proceeds of the revenue bonds may be used andapplied by the authority to reimburse the other person to the special facilitylease for all preliminary costs and expenses, including architectural and legalcosts; and

(11)  If the special facility lease shall require theother person to operate, maintain, and repair the special facility which is thesubject of the lease, at the other person's expense, the requirement shallconstitute compliance by the authority with section 39‑61(a)(2), and noneof the revenues derived by the authority from the special facility shall berequired to be applied to the purposes of section 39‑62(2).  Sections39-62(4), 39-62(5), and 39-62(6) shall not be1 apply to the revenuesderived from a special facility lease. [L 2001, c 180, pt of §2]