Section 331.8 - Bonds; issuance; purpose; liability; payment; sale; interest rate; bonds subject to revised municipal finance act.
HOSPITAL AUTHORITY (EXCERPT)
Act 47 of 1945
331.8 Bonds; issuance; purpose; liability; payment; sale; interest rate; bonds subject to revised municipal finance act.
Sec. 8.
(1) The hospital authority board may issue self-liquidating bonds of the authority in accordance with the provisions of this act, for the purpose of acquiring, purchasing, constructing, improving, enlarging, or repairing community hospitals or refunding any outstanding bonds previously issued or for the joint purposes of refunding any outstanding bonds together with the issuance of additional bonds for any of the other purposes authorized. The bonds shall not impose any liability upon the cities, villages, and townships included in the hospital authority, other than on the amounts that are assessed against the respective municipalities as provided for in this act, which amounts or any portion of those amounts may be pledged by the governing body of the hospital authority for the payment of the bonds for a period not exceeding 40 years. The amount required to be paid by any municipality under this act shall be considered to be a part of the revenues of the hospital authority and shall be first used to meet the current requirements for the bond and interest redemption fund, including the reserve requirements, for outstanding obligations of the hospital authority. The bonds shall be sold for not less than par and shall bear interest at a rate not in excess of the maximum rate permitted by the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821.
(2) Bonds issued for capital improvements under section 8b and bonds issued under this act that are supported by a pledge of the governing body for payment are subject to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821.
(3) Except as otherwise provided in subsections (1) and (2), bonds issued under this act are not subject to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821.
History: 1945, Act 47, Imd. Eff. Mar. 15, 1945 ;-- CL 1948, 331.8 ;-- Am. 1952, Act 170, Imd. Eff. Apr. 24, 1952 ;-- Am. 1959, Act 19, Imd. Eff. Apr. 30, 1959 ;-- Am. 1973, Act 161, Imd. Eff. Dec. 14, 1973 ;-- Am. 2002, Act 435, Imd. Eff. June 10, 2002
Popular Name: Municipal Hospital Authority Act