23-30.50 - Rates, rents, fees and charges; sinking fund.
§ 23-30.50. Rates, rents, fees and charges; sinking fund.
The Authority may fix, revise, charge and collect rates, rents, fees andcharges for the use of and for the services furnished or to be furnished byeach project and to contract with any person, partnership, association orcorporation, or other body, public or private, in respect thereof. Suchrates, rents, fees and charges shall be fixed and adjusted in respect of theaggregate of rates, rents, fees and charges from such project so as toprovide funds sufficient with other revenues, if any, (1) to pay the cost ofmaintaining, repairing and operating the project and each and every portionthereof, to the extent that the payment of such cost has not otherwise beenadequately provided for, (2) to pay the principal of and the interest onoutstanding revenue bonds of the Authority issued in respect of such projectas the same shall become due and payable and (3) to create and maintainreserves required or provided for in any resolution authorizing, or trustagreement securing, such revenue bonds of the Authority. Such rates, rents,fees and charges shall not be subject to supervision or regulation by anydepartment, commission, board, body, bureau or agency of this Commonwealthother than the Authority. A sufficient amount of the revenues derived inrespect of a project, except such part of such revenues as may be necessaryto pay the cost of maintenance, repair and operation and to provide reservesand for renewals, replacements, extensions, enlargements and improvements asmay be provided for in the resolution authorizing the issuance of any revenuebonds of the Authority or in the trust agreement securing the same, shall beset aside at such regular intervals as may be provided in such resolution ortrust agreement in a sinking or other similar fund which is hereby pledgedto, and charged with, the payment of the principal of and the interest onsuch revenue bonds as the same shall become due, and the redemption price orthe purchase price of bonds retired by call or purchase as therein provided.Such pledge shall be valid and binding from the time when the pledge is made;the rates, rents, fees and charges and other revenues or other moneys sopledged and thereafter received by the Authority shall immediately be subjectto the lien of such pledge without any physical delivery thereof or furtheract, and the lien of any such pledge shall be valid and binding as againstall parties having claims of any kind in tort, contract or otherwise againstthe Authority, irrespective of whether such parties have notice thereof.Neither the resolution nor any trust agreement by which a pledge is createdneed be filed or recorded except in the records of the Authority. The use anddisposition of moneys to the credit of such sinking or other similar fundshall be subject to the provisions of the resolution authorizing the issuanceof such bonds or of such trust agreement. Except as may otherwise be providedin such resolution or such trust agreement, such sinking or other similarfund shall be a fund for all such revenue bonds issued to finance a projector projects at one or more participating institutions for higher education,without distinction or priority of one over another; provided the Authorityin any such resolution or trust agreement may provide that such sinking orother similar fund shall be the fund for a particular project at aninstitution for higher education and for the revenue bonds issued to financea particular project and may, additionally, permit and provide for theissuance of revenue bonds having a subordinate lien in respect of thesecurity herein authorized to other revenue bonds of the Authority and, insuch case, the Authority may create separate or other similar funds inrespect of such subordinate lien bonds.
(1972, c. 686.)