(a) Issuance. TheAuthority may issue refunding bonds or notes for the purpose of refunding anyoutstanding bonds or notes issued under this Chapter, including any redemptionpremium on the bonds or notes and any interest accrued or to accrue to the dateof redemption. Refunding bonds or notes shall be issued in accordance with thesame procedures and requirements as bonds or notes. Refunding bonds or notesmay be sold or exchanged for outstanding bonds and notes issued under thisChapter.
Refunding bonds or notes mayhave different interest rates and maturities than the bonds or notes beingrefunded. The proceeds of refunding bonds or notes may be applied to any ofthe following:
(1) The payment,purchase, and retirement of the bonds or notes being refunded by directapplication to the payment, purchase, and retirement.
(2) The payment,purchase, and retirement of the bonds or notes being refunded by the deposit intrust of the proceeds.
(3) The payment of anyexpenses incurred in connection with the refunding.
(4) For any other usesnot inconsistent with the refunding.
(b) Proceeds. Theproceedings providing for the issuance of refunding bonds or notes may limitthe investments in which the proceeds of a particular refunding issue may beinvested. Unless prohibited by the proceedings, the proceeds of refundingbonds or notes that are deposited in trust for the payment, purchase, andretirement of outstanding bonds or notes may be invested in any of thefollowing:
(1) Direct obligationsof the United States of America.
(2) Obligations whoseprincipal and interest are guaranteed by the United States of America.
(3) Evidences ofownership of a proportionate interest in an obligation that is described insubdivisions (1) or (2) of this subsection and is held in a custodial capacityby a bank or trust company organized under the laws of the United States ofAmerica or a state.
(4) Obligations of theState or a unit of local government of the State when payment of the principalof and interest on the obligations has been provided for by depositing with atrustee or other escrow agent obligations that meet all of the following:
a. Are described insubdivisions (1), (2), or (3) of this subsection.
b. When due andpayable, will provide enough money when added to any other money held in trustfor this purpose to pay the principal of, premium, if any, and interest on theState or local obligations.
c. Are rated in thehighest category by Standard & Poor's Corporation and Moody's InvestorsService, Inc.
(5) Obligations of theState or a unit of local government when payment of the principal and intereston the obligations is insured by a bond insurance company rated in the highestcategory by Standard & Poor's Corporation and Moody's Investors Service,Inc.
(6) Full faith andcredit obligations of the State or a unit of local government of the State thatare rated in the highest category by Standard & Poor's Corporation andMoody's Investors Service, Inc.
(7) Any obligations orinvestments in which the State Treasurer is then authorized to invest funds ofthe State.
(c) Scope. Thissection does not limit any of the following:
(1) The period for whichthe proceeds of refunding bonds or notes may be held in trust to retire thebonds or notes that are being refunded and have not matured, are not redeemableor, if redeemable, have not been called for redemption.
(2) The power to issuebonds or notes for the combined purpose of refunding outstanding bonds or notesand of providing funds for any other corporate purpose. (1991,c. 749, s. 1.)
(a) Issuance. TheAuthority may issue refunding bonds or notes for the purpose of refunding anyoutstanding bonds or notes issued under this Chapter, including any redemptionpremium on the bonds or notes and any interest accrued or to accrue to the dateof redemption. Refunding bonds or notes shall be issued in accordance with thesame procedures and requirements as bonds or notes. Refunding bonds or notesmay be sold or exchanged for outstanding bonds and notes issued under thisChapter.
Refunding bonds or notes mayhave different interest rates and maturities than the bonds or notes beingrefunded. The proceeds of refunding bonds or notes may be applied to any ofthe following:
(1) The payment,purchase, and retirement of the bonds or notes being refunded by directapplication to the payment, purchase, and retirement.
(2) The payment,purchase, and retirement of the bonds or notes being refunded by the deposit intrust of the proceeds.
(3) The payment of anyexpenses incurred in connection with the refunding.
(4) For any other usesnot inconsistent with the refunding.
(b) Proceeds. Theproceedings providing for the issuance of refunding bonds or notes may limitthe investments in which the proceeds of a particular refunding issue may beinvested. Unless prohibited by the proceedings, the proceeds of refundingbonds or notes that are deposited in trust for the payment, purchase, andretirement of outstanding bonds or notes may be invested in any of thefollowing:
(1) Direct obligationsof the United States of America.
(2) Obligations whoseprincipal and interest are guaranteed by the United States of America.
(3) Evidences ofownership of a proportionate interest in an obligation that is described insubdivisions (1) or (2) of this subsection and is held in a custodial capacityby a bank or trust company organized under the laws of the United States ofAmerica or a state.
(4) Obligations of theState or a unit of local government of the State when payment of the principalof and interest on the obligations has been provided for by depositing with atrustee or other escrow agent obligations that meet all of the following:
a. Are described insubdivisions (1), (2), or (3) of this subsection.
b. When due andpayable, will provide enough money when added to any other money held in trustfor this purpose to pay the principal of, premium, if any, and interest on theState or local obligations.
c. Are rated in thehighest category by Standard & Poor's Corporation and Moody's InvestorsService, Inc.
(5) Obligations of theState or a unit of local government when payment of the principal and intereston the obligations is insured by a bond insurance company rated in the highestcategory by Standard & Poor's Corporation and Moody's Investors Service,Inc.
(6) Full faith andcredit obligations of the State or a unit of local government of the State thatare rated in the highest category by Standard & Poor's Corporation andMoody's Investors Service, Inc.
(7) Any obligations orinvestments in which the State Treasurer is then authorized to invest funds ofthe State.
(c) Scope. Thissection does not limit any of the following:
(1) The period for whichthe proceeds of refunding bonds or notes may be held in trust to retire thebonds or notes that are being refunded and have not matured, are not redeemableor, if redeemable, have not been called for redemption.
(2) The power to issuebonds or notes for the combined purpose of refunding outstanding bonds or notesand of providing funds for any other corporate purpose. (1991,c. 749, s. 1.)
(a) Issuance. TheAuthority may issue refunding bonds or notes for the purpose of refunding anyoutstanding bonds or notes issued under this Chapter, including any redemptionpremium on the bonds or notes and any interest accrued or to accrue to the dateof redemption. Refunding bonds or notes shall be issued in accordance with thesame procedures and requirements as bonds or notes. Refunding bonds or notesmay be sold or exchanged for outstanding bonds and notes issued under thisChapter.
Refunding bonds or notes mayhave different interest rates and maturities than the bonds or notes beingrefunded. The proceeds of refunding bonds or notes may be applied to any ofthe following:
(1) The payment,purchase, and retirement of the bonds or notes being refunded by directapplication to the payment, purchase, and retirement.
(2) The payment,purchase, and retirement of the bonds or notes being refunded by the deposit intrust of the proceeds.
(3) The payment of anyexpenses incurred in connection with the refunding.
(4) For any other usesnot inconsistent with the refunding.
(b) Proceeds. Theproceedings providing for the issuance of refunding bonds or notes may limitthe investments in which the proceeds of a particular refunding issue may beinvested. Unless prohibited by the proceedings, the proceeds of refundingbonds or notes that are deposited in trust for the payment, purchase, andretirement of outstanding bonds or notes may be invested in any of thefollowing:
(1) Direct obligationsof the United States of America.
(2) Obligations whoseprincipal and interest are guaranteed by the United States of America.
(3) Evidences ofownership of a proportionate interest in an obligation that is described insubdivisions (1) or (2) of this subsection and is held in a custodial capacityby a bank or trust company organized under the laws of the United States ofAmerica or a state.
(4) Obligations of theState or a unit of local government of the State when payment of the principalof and interest on the obligations has been provided for by depositing with atrustee or other escrow agent obligations that meet all of the following:
a. Are described insubdivisions (1), (2), or (3) of this subsection.
b. When due andpayable, will provide enough money when added to any other money held in trustfor this purpose to pay the principal of, premium, if any, and interest on theState or local obligations.
c. Are rated in thehighest category by Standard & Poor's Corporation and Moody's InvestorsService, Inc.
(5) Obligations of theState or a unit of local government when payment of the principal and intereston the obligations is insured by a bond insurance company rated in the highestcategory by Standard & Poor's Corporation and Moody's Investors Service,Inc.
(6) Full faith andcredit obligations of the State or a unit of local government of the State thatare rated in the highest category by Standard & Poor's Corporation andMoody's Investors Service, Inc.
(7) Any obligations orinvestments in which the State Treasurer is then authorized to invest funds ofthe State.
(c) Scope. Thissection does not limit any of the following:
(1) The period for whichthe proceeds of refunding bonds or notes may be held in trust to retire thebonds or notes that are being refunded and have not matured, are not redeemableor, if redeemable, have not been called for redemption.
(2) The power to issuebonds or notes for the combined purpose of refunding outstanding bonds or notesand of providing funds for any other corporate purpose. (1991,c. 749, s. 1.)
