[§304A-2677]  Covenants in resolutionauthorizing revenue bonds.  Any resolution authorizing the issuance ofrevenue bonds under this subpart may contain covenants as to:

(1)  The purpose to which the proceeds of the sale ofthe revenue bonds may be applied; the use and disposition of the proceeds; theinvestment thereof pending the use and disposition; and the use and dispositionof the income from the investment;

(2)  The use and disposition of the revenue of theuniversity pledged to the payment of the revenue bonds, including the creationand maintenance of reserves; the investment of the revenues and of the moneysin the reserves; and the use and disposition of the income from theinvestments;

(3)  The minimum amount of revenue of the universityto be produced by the university project, university system, or network or anycombination thereof over and above the amount required to be produced bysection 304A‑2681;

(4)  The use and disposition of the proceeds of thesale of any university project, university system, or network or any partthereof;

(5)  The construction or maintenance of any universityproject, university system, or network or any combination thereof for theconstruction or maintenance of which revenue bonds are issued, or anyuniversity system or network in which university projects constructed ormaintained are later included;

(6)  The issuance of other or additional revenue bondsand the revenue of the university from which additional revenue bonds shall bepayable;

(7)  The maintenance of the university projects,university system, or network or any combination thereof, including thecreation by the board of supervisory positions, which shall not be subject tochapter 76, as are necessary to facilitate the issuance of revenue bonds to ensurethe adequacy of revenue of the university;

(8)  The insurance on a university project, universitysystem, or network or any combination thereof, and the use and disposition ofinsurance moneys;

(9)  Books of account and inspection and auditthereof;

(10)  A procedure by which the terms and conditions ofthe resolution may be subsequently amended or modified by the board with orwithout the consent of the holders of revenue bonds or any proportion of theholders, or any trustee thereof; and

(11)  The terms and conditions upon which the holdersof revenue bonds, or any proportion of the holders, or any trustee thereof,shall be entitled to the appointment of a receiver by any court of competentjurisdiction, and the receiver may enter and take possession of the universityproject, university system, or network; maintain them; prescribe rents, fees,and charges; and collect, receive, and apply all revenue of the universitythereafter arising therefrom in the same manner as the board itself may do;provided that the receiver shall have no power to mandate appropriations, or touse, or permit the use of, any university project, university system, ornetwork or any combination thereof, other than in a manner consistent with andin furtherance of the purposes of the university.

This subpart and any resolution shall be deemeda contract with the holders of revenue bonds issued under this subpart.  Theduties of the board and any resolution shall be enforceable by any bondholderby mandamus or other appropriate suit, action, or proceeding in any court ofcompetent jurisdiction. [L 2007, c 161, pt of §1]