68-2044. Turnpike revenue refunding bonds; investment of proceeds, when; limitations.
68-2044
68-2044. Turnpike revenue refunding bonds; investment of proceeds, when;limitations.The authority is hereby authorized to provide by resolution, at any time,for the issuance of turnpike revenue refunding bonds of the authority forthe purpose of refunding any bonds then outstanding which shall have beenissued under the provisions of this act, or the act of which this sectionis amendatory, including any previously issued turnpike refunding revenuebonds. If deemed advisable by the authority, such bonds may be issued atany time for the additional purpose of constructing improvements, replacements,extensions, or enlargements of the turnpike project or projects in connectionwith which the bonds to be refunded shall have been issued.
The authority is further authorized to provide by resolution, at any time,for the issuance of its turnpike refunding revenue bonds for the combinedpurpose of refunding any bonds then outstanding which have been issued underthe provisions of this act, or the act of which this section is amendatory,including any previously issued turnpike refunding revenue bonds, and refundingany bonds then outstanding which have been issued under the provisions ofK.S.A. 68-2001 to 68-2020, inclusive, and amendments thereto.
The principal amount of any issue of such refunding revenue bonds shallnot exceed the aggregate amount of: (a) The principal amount of the revenuebonds being refunded; (b) the amount of any interest which has accrued,and interest that will accrue to the date of payment, on the bonds beingrefunded; (c) interest that will accrue to the date of payment on such refundingbonds; (d) the amount of any premiums required to be paid should the bondsbeing refunded be called for redemption and payment; (e) expenses of theauthority which the authority deems necessary for the issuance of the refundingbonds; (f) expenses incident to the payment of the bonds being refunded;and (g) the cost of constructing improvements, replacements, extensionsor enlargements authorized by this act, or providing reserves therefor andthe cost of paying to Sedgwick, Sumner, Butler and Douglas counties an amountequal to the principal, interest and incidental expenses of any bonds issuedby such counties to construct the turnpike interchanges. The issuance ofsuch bonds, the maturities and other details thereof, the rights of theholders thereof, and the rights, duties and obligations of the authorityin respect of the same, shall be governed by the provisions of this actand the act of which this section is amendatory insofar as the same maybe applicable.
Pending the application of the proceeds of such turnpike revenue refundingbonds, with any other available funds, to the payment of the principal,accrued interest and premium of the bonds being refunded and, if so providedor permitted in the resolution authorizing the issuance of such turnpikerevenue refunding bonds or in the trust agreement securing the same, tothe payment of any interest on such refunding bonds, the authority may investsuch proceeds in direct obligations of, or obligations the principal ofand the interest on which are unconditionally guaranteed by, the UnitedStates of America which shall mature, or which shall be subject to redemptionby the holder thereof at the option of such holder, not later than the respectivedates when the proceeds, together with the interest accruing thereon, willbe required for the purposes intended. The trust agreement securing therefunding revenue bonds may also permit release to a reserve for improvements,replacements, extensions and enlargements, of any funds so held in trustfor payment of principal and interest on the bonds being refunded when,and to the extent that, other funds from revenues or otherwise become availablefor the payment of such principal and interest on the bonds being refunded.
History: L. 1957, ch. 368, § 15; L. 1963, ch. 340, § 2; L. 1978,ch. 275, § 3; L. 1982, ch. 280, § 2; July 1.