17D-2-701 - Local entity governing body may dissolve local building authority -- Limitation.
17D-2-701. Local entity governing body may dissolve local building authority --Limitation.
(1) Subject to Subsection (2), the governing body of the creating local entity may at anytime dissolve a local building authority created by the creating local entity, by following theprocedures in Title 16, Chapter 6a, Utah Revised Nonprofit Corporation Act, for the dissolutionof a nonprofit corporation.
(2) A creating local entity's governing body may not dissolve a local building authorityunless:
(a) (i) the principal, interest, and any redemption premium on all outstanding bonds ofthe local building authority are paid in full; and
(ii) all other obligations of the local building authority are paid in full; or
(b) the local building authority has made provision for the payment, when due, of allbond and other obligations described in Subsection (2)(a).
(1) Subject to Subsection (2), the governing body of the creating local entity may at anytime dissolve a local building authority created by the creating local entity, by following theprocedures in Title 16, Chapter 6a, Utah Revised Nonprofit Corporation Act, for the dissolutionof a nonprofit corporation.
(2) A creating local entity's governing body may not dissolve a local building authorityunless:
(a) (i) the principal, interest, and any redemption premium on all outstanding bonds ofthe local building authority are paid in full; and
(ii) all other obligations of the local building authority are paid in full; or
(b) the local building authority has made provision for the payment, when due, of allbond and other obligations described in Subsection (2)(a).
Enacted by Chapter 360, 2008 General Session