Arkansas Code § 12-10-321 - 911 Centers -- Bonds

(a) The governing authority of the political subdivision shall have power to incur debt and issue bonds for 911 systems and public safety communication center implementation and future major capital items.

(b) The bonds shall be negotiable instruments and shall be solely the obligations of each political subdivision and not the State of Arkansas.

(c) The bonds and income thereof shall be exempt from all taxation in the State of Arkansas.

(d) The bonds shall not be general obligations but shall be special obligations payable from all or a specified portion of the income revenues and receipts of the political subdivision derived from the emergency telephone service charge. The substance of the preceding sentence shall be printed on the face of each bond.

(e) (1) The bonds shall be authorized and issued by ordinance of the governing authority of each political subdivision.

(2) The bonds shall be:

(A) Of such series as the ordinance provides;

(B) Mature on such date or dates not exceeding thirty (30) years from date of the bonds as the ordinance provides;

(C) Bear interest at such rate or rates as the ordinance provides;

(D) Be in such denominations as the ordinance provides;

(E) Be in such form either coupon or fully registered without coupon as the ordinance provides;

(F) Carry such registration and exchangeability privileges as the ordinance provides;

(G) Be payable in such medium of payment and at such place or places within or without the state as the ordinance provides;

(H) Be subject to such terms of redemption as the ordinance provides;

(I) Be sold at public or private sale as the ordinance provides; and

(J) Be entitled to such priorities on the income, revenues, and receipts generated by the emergency telephone service charge as the ordinance provides.

(f) The ordinance may provide for the execution of a trust indenture or other agreement with a bank or trust company located within or without the state to set forth the undertakings of the political subdivision.

(g) The ordinance or such agreement may include provisions for the custody and investment of the proceeds of the bonds and for the deposits and handling of income, revenues, and receipts for the purpose of payment and security of the bonds and for other purposes.

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Last modified: November 15, 2016