TITLE 45

Towns and cities

CHAPTER 45-38.1

Health And Educational Building Corporation

SECTION 45-38.1-15



   § 45-38.1-15  Revenue refunding bonds.

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(a) The corporation is authorized to provide for the issuance of its revenue

bonds for the purpose of refunding any revenue bonds of the corporation then

outstanding and any bonds or other obligations issued by or for the benefit of

a participating educational institution for any school housing project,

including the payment of any redemption premium on them and any interest

accrued or to accrue to the earliest or subsequent date of redemption,

purchase, or maturity of the revenue bonds, and, if deemed advisable by the

corporation, for the additional purpose of paying all or any part of the cost

of constructing and acquiring additions, improvements, extensions, or

enlargements of a project, or any portion of it, or for making additional

corporation loans.



   (b) The proceeds of revenue bonds issued for the purpose of

refunding outstanding revenue bonds may, in the discretion of the corporation,

be applied to the purchase or retirement at maturity or redemption of the

outstanding revenue bonds, either on their earliest or any subsequent

redemption date, and may, pending the application, be placed in escrow to be

applied to the purchase or retirement at maturity or redemption on a date that

may be determined by the corporation.



   (c) Any escrowed proceeds, pending use, may be invested and

reinvested in obligations of or guaranteed by the United States of America, or

in certificates of deposit or time deposits secured by obligations of or

guaranteed by the United States of America, maturing at a time or times

appropriate to assure the prompt payment, as to principal, interest, and

redemption premium, if any, of the outstanding revenue bonds being refunded.

The interest, income, and profits, if any, earned or realized on the investment

may also be applied to the payment of the outstanding revenue bonds being

refunded. After the terms of the escrow have been fully satisfied and carried

out, any balance of the proceeds and interest, income, and profits, if any,

earned or realized on the investments, may be returned to the corporation for

use by it in any lawful manner.



   (d) The portion of the proceeds of revenue bonds issued for

the additional purpose of paying all or any part of the cost of constructing

and acquiring additions, improvements, extensions, or enlargements of a project

may be invested and reinvested in obligations of or guaranteed by the United

States of America, or in certificates of deposit or time deposits secured by

obligations of or guaranteed by the United States of America, maturing not

later than the time or times when the proceeds will be needed for the purpose

of paying all or any part of the cost. The interest, income, and profits, if

any, earned or realized on the investment, may be applied to the payment of all

or any part of the cost or may be used by the corporation in any lawful manner.



   (e) All revenue bonds shall be issued and secured and shall

be subject to the provisions of this chapter in the same manner and in the same

extent as any other revenue bonds issued pursuant to this chapter.



History of Section.

(P.L. 1967, ch. 56, § 1; P.L. 1982, ch. 301, § 7; P.L. 2007, ch. 370,

§ 2.)