§ 23-30.01. Borrowing upon endowment and other investments.
(a) In addition to the powers conferred upon institutions by other provisionsof this chapter, any institution is hereby authorized, by and with theapproval of the Governor, upon the affirmative vote of at least two-thirds ofits board to borrow from time to time, for and in the name of theinstitution, such sum or sums as it may determine necessary for its uses andpurposes and to secure payment thereof by the pledge of any stocks, notes,bonds, and other assets held by such institution as a part of its endowmentfunds or unrestricted gifts from private sources.
(b) Notes or bonds issued by an institution pursuant to this section may beissued in one or more series and shall bear such date or dates, mature atsuch time or times, bear interest at such rate or rates not exceeding therate specified in § 23-30.03 payable at such time or times, be in suchdenominations, be in such form, either coupon or registered, carry suchregistration privileges, be executed in such manner, be payable in suchmedium of payment, at such place or places, be subject to such terms ofredemption, with or without premium, as may be provided by resolution of theboard of such institution. Notes or bonds so issued may be sold at public orprivate sale for such price or prices as the board shall determine, providedthat the interest cost to maturity of the money received for any such issueof notes or bonds shall not exceed the rate specified in § 23-30.03. Notes orbonds so issued and the interest thereon shall be payable only out of thesale or the liquidation of the endowment investments, investments ofunrestricted gifts from private sources, and interest accruing thereonpledged to secure the notes or bonds so issued, and shall in no eventconstitute a general obligation of such institution, the Commonwealth, theGovernor, the members of the board, nor any person executing the notes orbonds so issued.
(c) All moneys received or derived from the sale of any notes or bonds soissued shall not constitute state funds, but shall be and constitute a partof the local funds of such institution.
(d) The institution shall have power out of any funds available therefor topurchase any notes or bonds so issued, but at a price not more than theprincipal amount thereof and accrued interest thereon, and any note or bondso purchased shall be canceled unless purchased as an endowment fundinvestment. This subsection shall not apply to the redemption of bonds.
(e) Any notes or bonds so issued are hereby made securities in which allpublic officers and bodies of this Commonwealth and all politicalsubdivisions thereof, all insurance companies and associations, all savingsbanks and savings institutions, including savings and loan associations inthis Commonwealth, may properly and legally invest funds under their control;and all notes or bonds so issued, their transfer and the income therefrom,including any profit derived from the sale thereof, shall at all times befree and exempt from taxation by this Commonwealth, and by any municipality,county or any political subdivision hereof.
(f) Any resolution or resolutions of the board authorizing notes or bonds tobe issued pursuant to this section may, at the discretion of the board,contain any provision or provisions, which shall be a part of the contractwith the holders of notes or bonds so issued, as are authorized by any othersection of this chapter in connection with the issuance of bonds byinstitutions. (1969, Ex. Sess., c. 22; 1970, c. 609; 1981, c. 505.)
§ 23-30.01. Borrowing upon endowment and other investments.
(a) In addition to the powers conferred upon institutions by other provisionsof this chapter, any institution is hereby authorized, by and with theapproval of the Governor, upon the affirmative vote of at least two-thirds ofits board to borrow from time to time, for and in the name of theinstitution, such sum or sums as it may determine necessary for its uses andpurposes and to secure payment thereof by the pledge of any stocks, notes,bonds, and other assets held by such institution as a part of its endowmentfunds or unrestricted gifts from private sources.
(b) Notes or bonds issued by an institution pursuant to this section may beissued in one or more series and shall bear such date or dates, mature atsuch time or times, bear interest at such rate or rates not exceeding therate specified in § 23-30.03 payable at such time or times, be in suchdenominations, be in such form, either coupon or registered, carry suchregistration privileges, be executed in such manner, be payable in suchmedium of payment, at such place or places, be subject to such terms ofredemption, with or without premium, as may be provided by resolution of theboard of such institution. Notes or bonds so issued may be sold at public orprivate sale for such price or prices as the board shall determine, providedthat the interest cost to maturity of the money received for any such issueof notes or bonds shall not exceed the rate specified in § 23-30.03. Notes orbonds so issued and the interest thereon shall be payable only out of thesale or the liquidation of the endowment investments, investments ofunrestricted gifts from private sources, and interest accruing thereonpledged to secure the notes or bonds so issued, and shall in no eventconstitute a general obligation of such institution, the Commonwealth, theGovernor, the members of the board, nor any person executing the notes orbonds so issued.
(c) All moneys received or derived from the sale of any notes or bonds soissued shall not constitute state funds, but shall be and constitute a partof the local funds of such institution.
(d) The institution shall have power out of any funds available therefor topurchase any notes or bonds so issued, but at a price not more than theprincipal amount thereof and accrued interest thereon, and any note or bondso purchased shall be canceled unless purchased as an endowment fundinvestment. This subsection shall not apply to the redemption of bonds.
(e) Any notes or bonds so issued are hereby made securities in which allpublic officers and bodies of this Commonwealth and all politicalsubdivisions thereof, all insurance companies and associations, all savingsbanks and savings institutions, including savings and loan associations inthis Commonwealth, may properly and legally invest funds under their control;and all notes or bonds so issued, their transfer and the income therefrom,including any profit derived from the sale thereof, shall at all times befree and exempt from taxation by this Commonwealth, and by any municipality,county or any political subdivision hereof.
(f) Any resolution or resolutions of the board authorizing notes or bonds tobe issued pursuant to this section may, at the discretion of the board,contain any provision or provisions, which shall be a part of the contractwith the holders of notes or bonds so issued, as are authorized by any othersection of this chapter in connection with the issuance of bonds byinstitutions. (1969, Ex. Sess., c. 22; 1970, c. 609; 1981, c. 505.)
§ 23-30.01. Borrowing upon endowment and other investments.
(a) In addition to the powers conferred upon institutions by other provisionsof this chapter, any institution is hereby authorized, by and with theapproval of the Governor, upon the affirmative vote of at least two-thirds ofits board to borrow from time to time, for and in the name of theinstitution, such sum or sums as it may determine necessary for its uses andpurposes and to secure payment thereof by the pledge of any stocks, notes,bonds, and other assets held by such institution as a part of its endowmentfunds or unrestricted gifts from private sources.
(b) Notes or bonds issued by an institution pursuant to this section may beissued in one or more series and shall bear such date or dates, mature atsuch time or times, bear interest at such rate or rates not exceeding therate specified in § 23-30.03 payable at such time or times, be in suchdenominations, be in such form, either coupon or registered, carry suchregistration privileges, be executed in such manner, be payable in suchmedium of payment, at such place or places, be subject to such terms ofredemption, with or without premium, as may be provided by resolution of theboard of such institution. Notes or bonds so issued may be sold at public orprivate sale for such price or prices as the board shall determine, providedthat the interest cost to maturity of the money received for any such issueof notes or bonds shall not exceed the rate specified in § 23-30.03. Notes orbonds so issued and the interest thereon shall be payable only out of thesale or the liquidation of the endowment investments, investments ofunrestricted gifts from private sources, and interest accruing thereonpledged to secure the notes or bonds so issued, and shall in no eventconstitute a general obligation of such institution, the Commonwealth, theGovernor, the members of the board, nor any person executing the notes orbonds so issued.
(c) All moneys received or derived from the sale of any notes or bonds soissued shall not constitute state funds, but shall be and constitute a partof the local funds of such institution.
(d) The institution shall have power out of any funds available therefor topurchase any notes or bonds so issued, but at a price not more than theprincipal amount thereof and accrued interest thereon, and any note or bondso purchased shall be canceled unless purchased as an endowment fundinvestment. This subsection shall not apply to the redemption of bonds.
(e) Any notes or bonds so issued are hereby made securities in which allpublic officers and bodies of this Commonwealth and all politicalsubdivisions thereof, all insurance companies and associations, all savingsbanks and savings institutions, including savings and loan associations inthis Commonwealth, may properly and legally invest funds under their control;and all notes or bonds so issued, their transfer and the income therefrom,including any profit derived from the sale thereof, shall at all times befree and exempt from taxation by this Commonwealth, and by any municipality,county or any political subdivision hereof.
(f) Any resolution or resolutions of the board authorizing notes or bonds tobe issued pursuant to this section may, at the discretion of the board,contain any provision or provisions, which shall be a part of the contractwith the holders of notes or bonds so issued, as are authorized by any othersection of this chapter in connection with the issuance of bonds byinstitutions. (1969, Ex. Sess., c. 22; 1970, c. 609; 1981, c. 505.)
