§ 45-27-9 - Terms includible in bonds or obligations.
SECTION 45-27-9
§ 45-27-9 Terms includible in bonds orobligations. – In connection with the issuance of bonds and/or the incurring of anyobligations under a lease, and in order to secure the payment of those bondsand/or obligations, the authority has power:
(1) To pledge by resolution, trust indenture, mortgage(subject to limitations imposed), or other contract all or any part of itsrents, fees, or revenues.
(2) To covenant against mortgaging all or any part of itsproperty, part of its property, real or personal, then owned or acquired, oragainst permitting or suffering any lien on its property.
(3) To covenant with respect to limitations on its right tosell, lease, or otherwise dispose of any housing project or any part of theproject, or with respect to limitations on its right to undertake additionalhousing projects.
(4) To covenant against pledging all or any part of itsrents, fees, and revenues to which its right then exists or the right to whichmay come into existence, or against permitting or suffering any lien on them.
(5) To provide for the release of property, rents, fees, andrevenues from any pledge or mortgage, and to reserve rights and powers in, orthe right to dispose of, property which is subject to a pledge or mortgage.
(6) To covenant as to the bonds to be issued pursuant to anyresolution, trust indenture, mortgage, or other instrument and as to theissuance of bonds in escrow or otherwise, and as to the use and disposition ofthe proceeds.
(7) To covenant as to what other, or additional debt, may beincurred by it.
(8) To provide for the terms, form, registration, exchange,execution, and authentication of bonds.
(9) To provide for the replacement of lost, destroyed, ormutilated bonds.
(10) To covenant that the authority warrants the title to thepremises.
(11) To covenant as to the rents and fees to be charged, theamount (calculated as may be determined) to be raised each year, or otherperiod of time, by rents, fees, and other revenues, and as to the use anddisposition to be made of these revenues.
(12) To covenant as to the use of any or all of its property,real or personal.
(13) To create or to authorize the creation of special fundsin which there shall be segregated:
(i) The proceeds of any loan and/or grant;
(ii) All of the rents, fees, and revenues of any housingproject or projects or parts of those revenues;
(iii) Any moneys held for the payment of the costs ofoperation and maintenance of the housing projects, or as a reserve for themeeting of contingencies in the operation and maintenance of the housingprojects;
(iv) Any moneys held for the payment of the principal andinterest on its bonds or the sums due under its leases and/or as a reserve forthose payments; and
(v) Any moneys held for any other reserves or contingencies,and to covenant as to the use and disposal of the moneys held in those funds.
(14) To redeem the bonds, and to covenant for theirredemption and to provide the terms and conditions for their redemption.
(15) To covenant against extending the time for the paymentof its bonds or interest on them, directly or indirectly, by any means or inany manner.
(16) To prescribe the procedure, if any, by which the termsof any contract with bondholders may be amended or abrogated, the amount ofbonds the holders of which must consent thereto, and the manner in whichconsent may be given.
(17) To covenant as to the maintenance of its property, itsreplacement, the insurance to be carried on the property, and the use anddisposition of insurance moneys.
(18) To vest in an obligee of the authority the right, in theevent of the failure of the authority to observe or perform any covenant on itspart to be kept or performed, to cure the default and to advance any moneysnecessary for that purpose, and the moneys so advanced may be made anadditional obligation of the authority with interest, security, and priority asmay be provided in any trust indenture, mortgage, lease, or contract of theauthority with reference thereto.
(19) To covenant and prescribe as to the events of defaultand terms and conditions upon which any or all of its bonds become or may bedeclared due before maturity, and to the terms and conditions upon which thatdeclaration and its consequences may be waived.
(20) To covenant as to the rights, liabilities, powers, andduties arising upon the breach by it of any covenant, condition, or obligation.
(21) To covenant to surrender possession of all or any partof any housing project or projects upon the happening of an event of default(as defined in the contract), and to vest in an obligee the right withoutjudicial proceedings to take possession and to use, operate, manage, andcontrol the housing projects or any part of the projects, and to collect andreceive all rents, fees, and revenues arising from the housing projects in thesame manner as the authority itself might do, and to dispose of the moneyscollected in accordance with the agreement of the authority with the obligee.
(22) To vest in a trustee or trustees the right to enforceany covenant made to secure, pay, or in relation to the bonds, provide for thepowers and duties of the trustee or trustees, to limit liabilities, and providethe terms and conditions upon which the trustee or trustees or the holders ofbonds or any proportion of them may enforce the covenant.
(23) To make covenants other than and, in addition to, thecovenants expressly authorized, of like or different character.
(24) To execute all instruments necessary or convenient inthe exercise of the powers granted or in the performance of its covenants orduties, which may contain covenants and provisions, in addition to previouslyabove specified, as the government or any purchaser of the bonds of theauthority may reasonably require.
(25) To make covenants and to do any and all acts and thingsthat may be necessary or convenient or desirable in order to secure its bonds,or in the absolute discretion of the authority tend to make the bonds moremarketable; notwithstanding that the covenants, acts, or things may not beenumerated in this section; it being the intention to give the authority powerto do all things in the issuance of bonds and in the provisions for theirsecurity that are not inconsistent with the constitution of the state, and noconsent or approval of any judge or court shall be required; provided, that theauthority has no power to mortgage all or any part of its property, real orpersonal, except as provided in § 45-27-10.