262A.5 - BORROWING MONEY AND ISSUING BONDS.
262A.5 BORROWING MONEY AND ISSUING BONDS.
The board is authorized to borrow money under this chapter, and
the board may issue and sell negotiable bonds to pay all or any part
of the cost of carrying out any project at any institution and may
refund and refinance bonds issued for any project or for refunding
purposes at the same rate or at a higher or lower rate or rates of
interest. Bonds issued under the provisions of this chapter shall be
sold by said board at public sale on the basis of sealed proposals
received pursuant to a notice specifying the time and place of sale
and the amount of bonds to be sold which shall be published at least
once not less than seven days prior to the date of sale in a
newspaper published in the state of Iowa and having a general
circulation in said state. The provisions of chapter 75 shall apply
to bonds issued under authority contained in this chapter to the
extent not in conflict with this chapter. Bonds issued to refund
other bonds issued under the provisions of this chapter 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 may be exchanged for and in payment and discharge of
the obligations being refunded. The refunding bonds 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 may be exchanged in part or sold in parts in
installments at different times or at one time. The refunding bonds
may be sold or exchanged at any time on, before, or after the
maturity of any of the outstanding 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, except that the principal
amount of the refunding bonds may exceed the principal amount of the
bonds to be refunded to the extent necessary to pay any premium due
on the call of the bonds to be refunded or to fund interest in
arrears or which is to become due.
All bonds issued under the provisions of this chapter shall be
payable solely and only from and shall be secured by an irrevocable
pledge of a sufficient portion of the student fees and charges and
institutional income received by the particular institution. All
bonds issued under the provisions of this chapter shall have all the
qualities of a negotiable investment security under the laws of this
state. Section History: Early Form
[C71, 73, 75, 77, 79, 81, § 262A.5] Section History: Recent Form
86 Acts, ch 1246, § 128; 2005 Acts, ch 179, §156