State Codes and Statutes

Statutes > North-carolina > Chapter_159D > GS_159D-6

§ 159D‑6.  Bonds.

(a)        The agency is authorized to provide for the issuance, at onetime or from time to time, of bonds of the agency for the purpose of paying allor any part of the cost of any project. The principal of, the interest on andany premium payable under the redemption of such bonds shall be payable solelyfrom the funds herein authorized for such payment. The bonds of each issueshall bear interest as may be determined by the Local Government Commission ofNorth Carolina with the approval of the agency and the obligor irrespective ofthe limitations of G.S. 24‑1.1, as amended, and successor provisions. Thebonds of each issue shall be dated, shall mature at such time or times notexceeding 30 years from the date of their issuance, and may be made redeemablebefore maturity at such price or prices and under such terms and conditions, asmay be fixed by the agency prior to the issuance of the bonds. The agency shalldetermine the form and the manner of execution of the bonds, including anyinterest coupons to be attached thereto, and shall fix the denomination ordenominations of the bonds and the place or places of payment of principal andinterest. In case any officer whose signature or a facsimile of whose signatureappears on any bonds or coupons ceases to be that officer before the deliveryof the bonds, the signature or the facsimile shall nevertheless be valid andsufficient for all purposes the same as if the officer had remained in officeuntil such delivery. The agency may also provide for the authentication of thebonds by a trustee or fiscal agent.

(b)        The proceeds of the bonds of each issue shall be used solelyfor the payment of the cost of the project or projects, or a portion thereof,for which the bonds were issued, and shall be disbursed in such manner andunder such restrictions, if any, as the agency may provide in the financingagreement and the security document. If the proceeds of the bonds of any issue,by reason of increased construction costs or error in estimates or otherwise,are less than such cost, additional bonds may in like manner be issued toprovide the amount of such deficiency.

(c)        The proceeds of bonds issued pursuant to this Article shallnot be used to refinance the cost of a project. For the purposes of this section,a cost of a project is considered refinanced if both of the followingconditions are met:

(1)        The cost is initially paid from sources other than bondproceeds, and the original expenditure is to be reimbursed from bond proceeds.

(2)        The original expenditure was paid more than 60 days beforethe agency took some action indicating its intent that the expenditure would befinanced or reimbursed from bond proceeds.

(d)        Notwithstanding subsection (c) of this section, preliminaryexpenditures that are incurred prior to the commencement of the acquisition,construction, or rehabilitation of a project, such as architectural costs,engineering costs, surveying costs, soil testing costs, bond issuance costs,and other similar costs, may be reimbursed from bond proceeds even if thesecosts are incurred or paid more than 60 days prior to the agency's action. Thisexception that allows preliminary expenditures to be reimbursed from bondproceeds, whether or not they are incurred or paid within 60 days of the agency'saction, does not include costs that are incurred incident to the commencementof the construction of a project, such as expenditures for land acquisition andsite preparation. In any event, an expenditure originally paid before theagency took some action indicating its intent that the expenditures would befinanced or reimbursed from bond proceeds may be reimbursed from bond proceedsonly if the agency finds that reimbursing those costs from bond proceeds willpromote the purposes of this Article.

(e)        Bonds may be issued under the provisions of this Articlewithout obtaining, except as otherwise expressly provided in this Article, theconsent of the State or of any political subdivision and without any otherproceedings or the happening of any conditions or things other than thoseproceedings, conditions or things specifically required by this Article and theprovisions of the financing agreement and security document authorizing theissuance of such bonds and securing the same. (1977, 2nd Sess., c. 1198, s. 1; 2000‑179, s.2.)

State Codes and Statutes

Statutes > North-carolina > Chapter_159D > GS_159D-6

§ 159D‑6.  Bonds.

(a)        The agency is authorized to provide for the issuance, at onetime or from time to time, of bonds of the agency for the purpose of paying allor any part of the cost of any project. The principal of, the interest on andany premium payable under the redemption of such bonds shall be payable solelyfrom the funds herein authorized for such payment. The bonds of each issueshall bear interest as may be determined by the Local Government Commission ofNorth Carolina with the approval of the agency and the obligor irrespective ofthe limitations of G.S. 24‑1.1, as amended, and successor provisions. Thebonds of each issue shall be dated, shall mature at such time or times notexceeding 30 years from the date of their issuance, and may be made redeemablebefore maturity at such price or prices and under such terms and conditions, asmay be fixed by the agency prior to the issuance of the bonds. The agency shalldetermine the form and the manner of execution of the bonds, including anyinterest coupons to be attached thereto, and shall fix the denomination ordenominations of the bonds and the place or places of payment of principal andinterest. In case any officer whose signature or a facsimile of whose signatureappears on any bonds or coupons ceases to be that officer before the deliveryof the bonds, the signature or the facsimile shall nevertheless be valid andsufficient for all purposes the same as if the officer had remained in officeuntil such delivery. The agency may also provide for the authentication of thebonds by a trustee or fiscal agent.

(b)        The proceeds of the bonds of each issue shall be used solelyfor the payment of the cost of the project or projects, or a portion thereof,for which the bonds were issued, and shall be disbursed in such manner andunder such restrictions, if any, as the agency may provide in the financingagreement and the security document. If the proceeds of the bonds of any issue,by reason of increased construction costs or error in estimates or otherwise,are less than such cost, additional bonds may in like manner be issued toprovide the amount of such deficiency.

(c)        The proceeds of bonds issued pursuant to this Article shallnot be used to refinance the cost of a project. For the purposes of this section,a cost of a project is considered refinanced if both of the followingconditions are met:

(1)        The cost is initially paid from sources other than bondproceeds, and the original expenditure is to be reimbursed from bond proceeds.

(2)        The original expenditure was paid more than 60 days beforethe agency took some action indicating its intent that the expenditure would befinanced or reimbursed from bond proceeds.

(d)        Notwithstanding subsection (c) of this section, preliminaryexpenditures that are incurred prior to the commencement of the acquisition,construction, or rehabilitation of a project, such as architectural costs,engineering costs, surveying costs, soil testing costs, bond issuance costs,and other similar costs, may be reimbursed from bond proceeds even if thesecosts are incurred or paid more than 60 days prior to the agency's action. Thisexception that allows preliminary expenditures to be reimbursed from bondproceeds, whether or not they are incurred or paid within 60 days of the agency'saction, does not include costs that are incurred incident to the commencementof the construction of a project, such as expenditures for land acquisition andsite preparation. In any event, an expenditure originally paid before theagency took some action indicating its intent that the expenditures would befinanced or reimbursed from bond proceeds may be reimbursed from bond proceedsonly if the agency finds that reimbursing those costs from bond proceeds willpromote the purposes of this Article.

(e)        Bonds may be issued under the provisions of this Articlewithout obtaining, except as otherwise expressly provided in this Article, theconsent of the State or of any political subdivision and without any otherproceedings or the happening of any conditions or things other than thoseproceedings, conditions or things specifically required by this Article and theprovisions of the financing agreement and security document authorizing theissuance of such bonds and securing the same. (1977, 2nd Sess., c. 1198, s. 1; 2000‑179, s.2.)


State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_159D > GS_159D-6

§ 159D‑6.  Bonds.

(a)        The agency is authorized to provide for the issuance, at onetime or from time to time, of bonds of the agency for the purpose of paying allor any part of the cost of any project. The principal of, the interest on andany premium payable under the redemption of such bonds shall be payable solelyfrom the funds herein authorized for such payment. The bonds of each issueshall bear interest as may be determined by the Local Government Commission ofNorth Carolina with the approval of the agency and the obligor irrespective ofthe limitations of G.S. 24‑1.1, as amended, and successor provisions. Thebonds of each issue shall be dated, shall mature at such time or times notexceeding 30 years from the date of their issuance, and may be made redeemablebefore maturity at such price or prices and under such terms and conditions, asmay be fixed by the agency prior to the issuance of the bonds. The agency shalldetermine the form and the manner of execution of the bonds, including anyinterest coupons to be attached thereto, and shall fix the denomination ordenominations of the bonds and the place or places of payment of principal andinterest. In case any officer whose signature or a facsimile of whose signatureappears on any bonds or coupons ceases to be that officer before the deliveryof the bonds, the signature or the facsimile shall nevertheless be valid andsufficient for all purposes the same as if the officer had remained in officeuntil such delivery. The agency may also provide for the authentication of thebonds by a trustee or fiscal agent.

(b)        The proceeds of the bonds of each issue shall be used solelyfor the payment of the cost of the project or projects, or a portion thereof,for which the bonds were issued, and shall be disbursed in such manner andunder such restrictions, if any, as the agency may provide in the financingagreement and the security document. If the proceeds of the bonds of any issue,by reason of increased construction costs or error in estimates or otherwise,are less than such cost, additional bonds may in like manner be issued toprovide the amount of such deficiency.

(c)        The proceeds of bonds issued pursuant to this Article shallnot be used to refinance the cost of a project. For the purposes of this section,a cost of a project is considered refinanced if both of the followingconditions are met:

(1)        The cost is initially paid from sources other than bondproceeds, and the original expenditure is to be reimbursed from bond proceeds.

(2)        The original expenditure was paid more than 60 days beforethe agency took some action indicating its intent that the expenditure would befinanced or reimbursed from bond proceeds.

(d)        Notwithstanding subsection (c) of this section, preliminaryexpenditures that are incurred prior to the commencement of the acquisition,construction, or rehabilitation of a project, such as architectural costs,engineering costs, surveying costs, soil testing costs, bond issuance costs,and other similar costs, may be reimbursed from bond proceeds even if thesecosts are incurred or paid more than 60 days prior to the agency's action. Thisexception that allows preliminary expenditures to be reimbursed from bondproceeds, whether or not they are incurred or paid within 60 days of the agency'saction, does not include costs that are incurred incident to the commencementof the construction of a project, such as expenditures for land acquisition andsite preparation. In any event, an expenditure originally paid before theagency took some action indicating its intent that the expenditures would befinanced or reimbursed from bond proceeds may be reimbursed from bond proceedsonly if the agency finds that reimbursing those costs from bond proceeds willpromote the purposes of this Article.

(e)        Bonds may be issued under the provisions of this Articlewithout obtaining, except as otherwise expressly provided in this Article, theconsent of the State or of any political subdivision and without any otherproceedings or the happening of any conditions or things other than thoseproceedings, conditions or things specifically required by this Article and theprovisions of the financing agreement and security document authorizing theissuance of such bonds and securing the same. (1977, 2nd Sess., c. 1198, s. 1; 2000‑179, s.2.)