§ 35-8-26 Refunding bonds. – When bonds or notes have been issued as provided in this chapter, the generaltreasurer shall be authorized and empowered hereby, with the approval of thegovernor and in accordance with this chapter, to issue, from time to time,refunding bonds or notes of the state to refund any of such outstanding bondsor notes as may be specified from time to time by the governor provided thatthe outstanding amount of debt on account of any project shall not be increasedthereby to an amount in excess of the amount approved for such project by thepeople.
If the people shall have approved the issuance of refundingbonds or notes, at the election at which the incurring of debt for therespective project or projects was approved or as a separate approval atanother time, the proceeds of the refunding bonds or notes, exclusive of anypremium or accrued interest thereon, shall upon receipt be applied to retirethe bonds or notes being refunded or shall be deposited by the generaltreasurer with an escrow agent, which may be the paying agent for the bondsbeing refunded, in trust for application to payment of such bonds or notes atmaturity or upon earlier call. Such escrowed amounts shall be invested for thebenefit of the owners of the refunded bonds or notes and shall be invested onlyin direct or guaranteed obligations of the United States of America or thestate of Rhode Island. Money held in escrow, together with the earningsthereon, shall be applied to any principal, interest and early redemptionpremiums, if any, to the owners of the refunded bonds or notes, in accordancewith the instructions of the general treasurer included in the terms of theescrow. An amount of bonds or notes being refunded, which is the largest amountof such bonds or notes for which the escrowed deposit will provide sufficientfunds to pay all principal, interest and early redemption premiums, if any,when due, will be considered no longer outstanding and not debts of the statefor the purpose of determining the amount of debt outstanding for therespective project or projects from and after the deposit of funds into escrow.
If the people have not approved the issuance of refundingbonds or notes as aforesaid, the general treasurer may nevertheless issuerefunding bonds or notes as provided herein for the purpose of paying orrefunding all or any portion of an issue of bonds or notes then outstanding,including the amount of any redemption premium and costs of issuance relatedthereto; provided, however, that no such refunding bonds shall be payable overa period longer than the period during which the original bonds or notes sorefunded must be paid pursuant to law, and provided further that the presentvalue of the principal and interest payments due on refunding bonds issuedunder this section shall not exceed the present value of the principal andinterest payments to be paid by the state on account of bonds or notes to berefunded.
§ 35-8-26 Refunding bonds. – When bonds or notes have been issued as provided in this chapter, the generaltreasurer shall be authorized and empowered hereby, with the approval of thegovernor and in accordance with this chapter, to issue, from time to time,refunding bonds or notes of the state to refund any of such outstanding bondsor notes as may be specified from time to time by the governor provided thatthe outstanding amount of debt on account of any project shall not be increasedthereby to an amount in excess of the amount approved for such project by thepeople.
If the people shall have approved the issuance of refundingbonds or notes, at the election at which the incurring of debt for therespective project or projects was approved or as a separate approval atanother time, the proceeds of the refunding bonds or notes, exclusive of anypremium or accrued interest thereon, shall upon receipt be applied to retirethe bonds or notes being refunded or shall be deposited by the generaltreasurer with an escrow agent, which may be the paying agent for the bondsbeing refunded, in trust for application to payment of such bonds or notes atmaturity or upon earlier call. Such escrowed amounts shall be invested for thebenefit of the owners of the refunded bonds or notes and shall be invested onlyin direct or guaranteed obligations of the United States of America or thestate of Rhode Island. Money held in escrow, together with the earningsthereon, shall be applied to any principal, interest and early redemptionpremiums, if any, to the owners of the refunded bonds or notes, in accordancewith the instructions of the general treasurer included in the terms of theescrow. An amount of bonds or notes being refunded, which is the largest amountof such bonds or notes for which the escrowed deposit will provide sufficientfunds to pay all principal, interest and early redemption premiums, if any,when due, will be considered no longer outstanding and not debts of the statefor the purpose of determining the amount of debt outstanding for therespective project or projects from and after the deposit of funds into escrow.
If the people have not approved the issuance of refundingbonds or notes as aforesaid, the general treasurer may nevertheless issuerefunding bonds or notes as provided herein for the purpose of paying orrefunding all or any portion of an issue of bonds or notes then outstanding,including the amount of any redemption premium and costs of issuance relatedthereto; provided, however, that no such refunding bonds shall be payable overa period longer than the period during which the original bonds or notes sorefunded must be paid pursuant to law, and provided further that the presentvalue of the principal and interest payments due on refunding bonds issuedunder this section shall not exceed the present value of the principal andinterest payments to be paid by the state on account of bonds or notes to berefunded.
§ 35-8-26 Refunding bonds. – When bonds or notes have been issued as provided in this chapter, the generaltreasurer shall be authorized and empowered hereby, with the approval of thegovernor and in accordance with this chapter, to issue, from time to time,refunding bonds or notes of the state to refund any of such outstanding bondsor notes as may be specified from time to time by the governor provided thatthe outstanding amount of debt on account of any project shall not be increasedthereby to an amount in excess of the amount approved for such project by thepeople.
If the people shall have approved the issuance of refundingbonds or notes, at the election at which the incurring of debt for therespective project or projects was approved or as a separate approval atanother time, the proceeds of the refunding bonds or notes, exclusive of anypremium or accrued interest thereon, shall upon receipt be applied to retirethe bonds or notes being refunded or shall be deposited by the generaltreasurer with an escrow agent, which may be the paying agent for the bondsbeing refunded, in trust for application to payment of such bonds or notes atmaturity or upon earlier call. Such escrowed amounts shall be invested for thebenefit of the owners of the refunded bonds or notes and shall be invested onlyin direct or guaranteed obligations of the United States of America or thestate of Rhode Island. Money held in escrow, together with the earningsthereon, shall be applied to any principal, interest and early redemptionpremiums, if any, to the owners of the refunded bonds or notes, in accordancewith the instructions of the general treasurer included in the terms of theescrow. An amount of bonds or notes being refunded, which is the largest amountof such bonds or notes for which the escrowed deposit will provide sufficientfunds to pay all principal, interest and early redemption premiums, if any,when due, will be considered no longer outstanding and not debts of the statefor the purpose of determining the amount of debt outstanding for therespective project or projects from and after the deposit of funds into escrow.
If the people have not approved the issuance of refundingbonds or notes as aforesaid, the general treasurer may nevertheless issuerefunding bonds or notes as provided herein for the purpose of paying orrefunding all or any portion of an issue of bonds or notes then outstanding,including the amount of any redemption premium and costs of issuance relatedthereto; provided, however, that no such refunding bonds shall be payable overa period longer than the period during which the original bonds or notes sorefunded must be paid pursuant to law, and provided further that the presentvalue of the principal and interest payments due on refunding bonds issuedunder this section shall not exceed the present value of the principal andinterest payments to be paid by the state on account of bonds or notes to berefunded.
