12.90B - ANNUAL APPROPRIATION BONDS DEBT SERVICE FUND AND RESERVE FUNDS.
12.90B ANNUAL APPROPRIATION BONDS DEBT SERVICE FUND
AND RESERVE FUNDS.
1. An annual appropriation bonds debt service fund is created and
established as a separate and distinct fund in the state treasury.
Any amounts lawfully appropriated to make payments due with respect
to annual appropriation bonds for a fiscal year shall be deposited
into the annual appropriation bonds debt service fund and used by the
treasurer of state or transferred to a trustee, paying agent, escrow
agent, or depository as provided in the authorizing documents to make
payments due with respect to the annual appropriation bonds for that
fiscal year. Payments due with respect to annual appropriation bonds
include but are not limited to the following:
a. Principal payments, interest payments, sinking fund
payments, purchase price, redemption price, redemption premiums, and
payments under interest exchange agreements.
b. Fees and expenses of trustees, paying agents, remarketing
agents, financial advisors, underwriters, depositories, guarantors,
bond insurers, liquidity or credit facility providers, interest rate
indexing agents, and other professional and financial services
providers.
c. Costs and expenses of the treasurer of state incident to
and necessary and convenient to carry out the issuance and sale of
the annual appropriation bonds and the administration of the
appropriations bonds capitals fund, the annual appropriation bonds
debt service fund, and any reserve funds.
2. The treasurer of state may create and establish one or more
reserve funds with respect to the annual appropriation bonds to be
used as provided in section 12.90A and the authorizing documents.
The treasurer of state shall pay into any reserve fund any moneys
appropriated by law to fund or restore the reserve fund, any proceeds
of the sale of the annual appropriation bonds to the extent provided
in the authorizing documents, and any other moneys which may be
legally available to the treasurer of state for the purpose of the
reserve fund. Moneys in any reserve fund established with respect to
annual appropriation bonds, excluding the annual appropriations debt
service fund, are not subject to section 8.33.
3. Notwithstanding section 12C.7, subsection 2, interest or
earnings on moneys in any funds or accounts established with respect
to annual appropriation bonds shall be credited to the applicable
fund or reserve fund. Section History: Recent Form
2009 Acts, ch 174, §2