23-665.04. Securing principal and interest; refunding notes
(Rpld. 1/1/16)
To secure the principal and interest on notes, the director may:
1. Segregate the note debt service fund into one or more accounts and subaccounts and provide that notes may be secured by a lien on all or part of the monies paid to the note debt service fund or to any account or subaccount in the fund.
2. Provide that the notes are secured by a first lien on the monies paid into the note debt service fund as provided in this article and pledge and assign to or in trust for the benefit of the holders of the notes all or part of the monies in the note debt service fund or in any account or subaccount in the fund as is necessary to secure and pay the principal, the interest and any premium on the notes as they come due.
3. Establish priorities among noteholders based on criteria adopted by the director.
4. Set aside, regulate and dispose of reserves and sinking accounts.
5. Prescribe the procedure, if any, by which the terms of any contract with noteholders may be amended or abrogated, the amount of notes the holders of which must consent to an amendment or abrogation and the manner in which the consent may be given.
6. Provide for payment of note related expenses from the proceeds of the sale of the notes or other sources authorized by this article and available to the director.
7. Provide for the services of trustees, agents and consultants and other specialized services with respect to the notes.
8. Take any other action that may affect the security and protection of the notes or interest on the notes.
9. Refund any notes issued by the director by issuing new notes, if these new notes are secured by and payable from a source of revenues authorized by this article.
10. Issue notes partly to refund outstanding notes and partly for any other purpose consistent with this article.
Section: Previous 23-654 23-656 23-657 23-665 23-665.01 23-665.02 23-665.03 23-665.04 23-665.05 23-665.06 23-665.07 23-665.08 23-665.09 23-665.10 23-665.11 NextLast modified: October 13, 2016