393.730. Requirements of resolution authorizing bonds.
Requirements of resolution authorizing bonds.
393.730. 1. The resolution authorizing any issuance of bonds hereundershall make provision for the payment of the bonds by fixing such rates, feesand charges for water, sewer, gas, heat, electric power and energy and allother services provided by the project sufficient to pay the interest andprincipal of the bonds when due, to provide for a sinking fund sufficient toretire the bonds, and to provide and maintain reasonable reserves. Suchrates, fees and charges shall also be sufficient to pay the costs ofoperation, improvement and maintenance of the project.
2. The resolution and trust indenture under which any bonds shall beissued shall constitute a contract with the holders of the bonds, and maycontain provisions, among others, as to:
(1) The terms and provisions of the bonds;
(2) As provided in section 393.735, the mortgage or pledge of and thegrant of a security interest in any real or personal property and all or anypart of the revenues from any project or projects or any revenue-producingcontract or contracts made by the commission with any person to secure thepayment of bonds, subject to such agreements with the holders of bonds as maythen exist;
(3) The custody, collection, securing, investment and payment of anyrevenues, assets, money, funds or property with respect to which thecommission may have any rights or interest;
(4) The purposes to which the proceeds from the sale of any bonds thenor thereafter to be issued may be applied, the pledge of such proceeds tosecure the payment of the bonds and the net revenue of the project or projectswhich may be pledged to the payment of bonds;
(5) Limitations on the issuance of any additional bonds, the terms uponwhich additional bonds may be issued and secured, and the refunding ofoutstanding bonds;
(6) The rank or priority of any bonds with respect to any lien orsecurity;
(7) The creation of special funds or moneys to be held in trust orotherwise for operating expenses, payment, or redemption of bonds, reserves orother purposes, and the use and disposition of moneys held in such funds;
(8) The procedure by which the terms of any contract with or for thebenefit of the holders of bonds may be amended or abrogated, the amount ofbonds the holders of which must consent thereto, and the manner in which suchconsent may be given;
(9) The definition of the acts or omissions to act which shallconstitute a default in the duties of the commission to holders of its bonds,and the rights and remedies of such holders in the event of such defaultincluding, if the commission shall so determine, the right to accelerate thedue date of the bonds or the right to appoint a receiver or receivers of theproperty or revenues subject to the lien of the resolution and trustindenture;
(10) Any other or additional agreements with or for the benefit of theholders of bonds or any covenants or restrictions necessary or desirable tosafeguard the interests of such holders;
(11) The custody of any of its properties or investments, thesafekeeping thereof, the insurance to be carried thereon, and the use anddisposition of insurance proceeds;
(12) The vesting in a trustee or trustees, within or outside the state,of such properties, rights, powers, and duties in trust as the commission maydetermine, or limiting or abrogating the rights of the holders of any bonds toappoint a trustee, or limiting the rights, powers, and duties of such trustee;and
(13) Appointing and providing for the duties and obligations of a payingagent or paying agents or other fiduciaries within or outside the state.
(L. 1978 H.B. 1126 § 7, A.L. 1999 H.B. 450 merged with S.B. 160 & 82, A.L. 2004 H.B. 1171)