262.57 - BONDS OR NOTES.
262.57 BONDS OR NOTES.
To pay all or any part of the cost of carrying out any project at
any institution the board is authorized to borrow money and to issue
and sell negotiable bonds or notes and to refund and refinance bonds
or notes heretofore issued or as may be hereafter issued for any
project or for refunding purposes at a lower rate, the same rate, or
a higher rate or rates of interest and from time to time as often as
the board shall find it to be advisable and necessary so to do. Such
bonds or notes may be sold by said board at public sale in the manner
prescribed by chapter 75, but if the board shall find it to be
advantageous and in the public interest to do so, such bonds or notes
may be sold by the board at private sale without published notice of
any kind and without regard to the requirements of chapter 75 in such
manner and upon such terms as may be prescribed by the resolution
authorizing the same. Bonds or notes issued to refund other bonds or
notes heretofore or hereafter issued by the board for residence hall
or dormitory purposes at any institution, including dining or other
facilities and additions, or heretofore or hereafter issued for
refunding purposes, may either be sold in the manner hereinbefore
specified and the proceeds thereof applied to the payment of the
obligations being refunded, or the refunding bonds or notes may be
exchanged for and in payment and discharge of the obligations being
refunded, and a finding by the board in the resolution authorizing
the issuance of such refunding bonds or notes that the bonds or notes
being refunded were issued for a purpose specified in this division
and constitute binding obligations of the board shall be conclusive
and may be relied upon by any holder of any refunding bond or note
issued under the provisions of this division. The refunding bonds or
notes may be sold or exchanged in installments at different times or
an entire issue or series may be sold or exchanged at one time. Any
issue or series of refunding bonds or notes may be exchanged in part
or sold in parts in installments at different times or at one time.
The refunding bonds or notes may be sold or exchanged at any time on,
before, or after the maturity of any of the outstanding notes, bonds,
or other obligations to be refinanced thereby and may be issued for
the purpose of refunding a like or greater principal amount of bonds
or notes, except that the principal amount of the refunding bonds or
notes may exceed the principal amount of the bonds or notes to be
refunded to the extent necessary to pay any premium due on the call
of the bonds or notes to be refunded or to fund interest in arrears
or about to become due.
All bonds or notes issued under the provision of this division
shall be payable solely and only from and shall be secured by an
irrevocable pledge of a sufficient portion of (1) the net rents,
profits and income derived from the operation of residence halls,
dormitories, dining or other incidental facilities and additions,
including necessary real and personal property, acquired or improved
in whole or in part with the proceeds of such bonds or notes,
regardless of the manner of such acquisition or improvement, and (2)
the net rents, profits and income not pledged for other purposes
derived from the operation of any other residence halls or
dormitories, including dining or other incidental facilities and
additions, at the particular institution. All bonds or notes issued
under the provisions of this division shall have all the qualities of
negotiable instruments under the laws of this state. Section History: Early Form
[C66, 71, 73, 75, 77, 79, 81, § 262.57] Section History: Recent Form
2005 Acts, ch 179, § 154
Referred to in § 262.34B, 262A.2