Sec. 3-24g. Borrowing for purposes of the Tax-Exempt Proceeds Fund. Issuance of notes.
Sec. 3-24g. Borrowing for purposes of the Tax-Exempt Proceeds Fund. Issuance of notes. The Treasurer is authorized to borrow funds for the purposes of the
Tax-Exempt Proceeds Fund and to issue and sell notes of the state on such terms and
conditions as the Treasurer shall determine. Such notes shall be signed by the Treasurer
and the full faith and credit of the state may be pledged by the Treasurer to payment of
the principal of and interest on such notes which shall be repaid by the Treasurer first
from funds, to the extent available, from the Tax-Exempt Proceeds Fund and secondly
from the state's General Fund. As part of the contract with the holders of such notes the
Treasurer may make such covenants as the Treasurer shall determine will make the
notes more marketable or will tend to insure that the moneys payable to the Tax-Exempt
Proceeds Fund will be sufficient to pay the principal of and interest on the notes as
the same become due and payable, including such covenants with respect to interest
exemption on the notes in the hands of the holders thereof as he determines is necessary.
In case it becomes necessary to pay from the General Fund all or any portion of the
principal or interest, or both, the Treasurer shall reimburse the General Fund from the
first moneys which become available for that purpose in the Tax-Exempt Proceeds Fund.
The proceeds of such borrowings shall be paid over to the Tax-Exempt Proceeds Fund,
providing any expense incurred in connection with the sale of said notes shall be paid
from the accrued interest and premiums or from the proceeds of the sale of such notes.
(P.A. 88-258, S. 7, 9; P.A. 94-8, S. 7.)
History: P.A. 94-8 changed fund name to Tax-Exempt Proceeds Fund from Tax-Exempt Fund.