12E.3 - TOBACCO SETTLEMENT AUTHORITY -- CREATED -- PURPOSES -- POWERS -- RESTRICTIONS.
12E.3 TOBACCO SETTLEMENT AUTHORITY -- CREATED --
PURPOSES -- POWERS -- RESTRICTIONS.
1. A tobacco settlement authority is created and constitutes a
public instrumentality and agency of the state, separate and distinct
from the state, exercising public and essential governmental
functions.
2. The purposes of the authority include all of the following:
a. To implement and administer the program plan and to
establish a stable source of revenue to be used for the purposes
designated in section 12E.3A and other provisions of this chapter.
b. To enter into sales agreements.
c. To issue bonds and enter into funding options, consistent
with this chapter, including refunding and refinancing its debt and
obligations.
d. To sell, pledge, or assign, as security or consideration,
all or a portion of the state's share sold to the authority pursuant
to a sales agreement, to provide for and secure the issuance and
repayment of its bonds.
e. To invest funds available under this chapter to provide
for a source of revenue in accordance with the program plan.
f. To enter into agreements with the state for the periodic
distribution of amounts due the state under any sales agreement.
g. To refund and refinance the authority's debts and
obligations, and to manage its funds, obligations, and investments as
necessary and if consistent with its purpose.
h. To sell, pledge, or assign, as security or consideration,
all or a portion of the state's share to implement alternative
funding options.
i. To implement the purposes of this chapter.
3. The authority shall invest its funds and accounts in
accordance with this chapter and shall not take action or invest in
any manner that would cause the state to become a stockholder in any
corporation or that would cause the state to assume or agree to pay
the debt or liability of any corporation in violation of the United
States Constitution or the Constitution of the State of Iowa.
4. The authority shall not create any obligation of this state or
any political subdivision of this state within the meaning of any
constitutional or statutory debt limitation.
5. The authority shall not pledge the credit or taxing power of
this state or any political subdivision of this state, or make its
debts payable out of any moneys except those of the authority
specifically pledged for their payment.
6. The authority shall not pledge or make its debts payable out
of the moneys deposited in the tobacco settlement trust fund. Section History: Recent Form
2000 Acts, ch 1208, §3, 25; 2000 Acts, ch 1232, §14, 15; 2001
Acts, ch 164, §6, 21; 2008 Acts, ch 1186, §11, 19