§ 159C-19. Revenue refunding bonds.
§ 159C‑19. Revenuerefunding bonds.
(a) Each authority is authorized to provide by resolution forthe issuance of refunding bonds of the authority for the purpose of refundingany bonds then outstanding that have been issued under the provisions of this Chapter,including the payment of any redemption premium on them and any interestaccrued or to accrue to the date of redemption of the bonds, and, if deemedadvisable by the authority, for either or both of the following additionalpurposes:
(1) Constructing improvements, additions, extensions orenlargements of the project or projects in connection with which the bonds tobe refunded have been issued, and
(2) Paying all or any part of the cost of any additional projector projects.
(a1) The issuance of these bonds, their maturities and otherdetails, the rights of their holders, and the rights, duties, and obligationsof the authority in respect to them shall be governed by the provisions of thisChapter that relate to the issuance of bonds, to the extent appropriate,including that the bonds may have a single maturity within the limit prescribedby G.S. 159C‑6.
The approvals required by G.S. 159C‑7 and 159C‑8 shall beobtained prior to the issuance of any refunding bonds, except that if therefunding bonds of all or a portion of an issue are to be issued solely for thepurpose of refunding outstanding bonds issued under this Chapter, the approvalrequired by G.S. 159C‑7 is not required as to the project financed withthe bonds to be refunded.
(b) Refunding bonds issued under this section may be sold orexchanged for outstanding bonds issued under this Chapter and, if sold, theirproceeds may be applied, in addition to any other authorized purposes, to thepurchase, redemption, or payment of the outstanding bonds. Refunding bonds maybe issued, in the determination of the authority, at any time before the dateof maturity or maturities or the date selected for the redemption of the bondsbeing refunded by them. Pending the application of the proceeds of the refundingbonds, with any other available funds, to the payment of the principal of andaccrued interest and any redemption premium on the bonds being refunded, and,if so provided or permitted in the security document securing them, to thepayment of any interest on the refunding bonds and any expenses in connectionwith the refunding, the proceeds may be invested in direct obligations of, orobligations the principal of and the interest on which are unconditionallyguaranteed by, the United States of America that mature or are subject toredemption by the holder, at the option of such holder, not later than therespective dates when the proceeds, together with the interest accruing onthem, will be required for the purposes intended. (1975, c. 800, s. 1; 1997‑463, s. 4; 2000‑179,s. 9.)