§ 495. Provisions of bonds, trust indentures, mortgages.  


Latest version.
  • In connection with the issuance of bonds or the incurring of obligations and in order to secure the payment of such bonds or obligations, the authority, in addition to other powers shall have the power:

    (a)

    To pledge, hypothecate, assign and transfer, by resolution, indenture or other instrument or agreement, all or any part of its gross or net rents, fees, revenues, choses in action or other tangible or intangible properties to which its right then exists or may thereafter come into existence;

    (b)

    To convenant [covenant] as to the issuance of such bonds in escrow or otherwise, and as to the use and disposition of the proceeds thereof;

    (c)

    To provide for the replacement of lost, destroyed, and mutilated bonds;

    (d)

    To convenant [covenant] against extending the time for the payment of its bonds or interest thereon; and to redeem the bonds, and to convenant [covenant] for the redemption and to provide the terms and conditions thereof;

    (e)

    To prescribe the procedure, if any, by which the terms of any contract with the bondholders may be amended or abrogated, the amount of bonds the holders of which must consent thereto and the manner in which such consent may be given;

    (f)

    To convenant [covenant] as to the rights, liabilities, powers, and duties arising upon the breach by the authority in regards to any covenant, condition or obligations; and to covenant and prescribe as to events of default and terms and conditions upon which any or all of its bonds of [or] obligations shall become or may be declared due for maturity, and as to the terms and conditions upon which such declaration and its consequences may be waived;

    (g)

    To vest in a trustee or trustees or the holders of bonds or any proportion of them the right to enforce the payment of the bonds or any covenant securing or relating to the bonds; to vest in a trustee or trustees the right, in the event of a default by the authority, to take possession and use, operate and manage any housing project for any real property belonging to the authority, and to collect the rents and other revenues arising therefrom and to dispose of such monies in accordance with the agreement of the authority with said trustee or trustees; to provide for the power and duties of the trustee or trustees and to limit the liabilities thereof; and to provide for the terms and conditions upon which the trustee or trustees of the holders of the bonds or any proportion of them may enforce any convenant [covenant] or rights securing or relating to the bonds;

    (h)

    To exercise all or any part or combination of the powers herein granted; to make covenants other than and in addition to the covenants here and especially authorized of like and different character; to make such covenants and do any and all such acts and things which may be necessary or convenient or desirable in order to secure its bonds, or, in the absolute discretion of the authority, as will tend to make the bonds more marketable notwithstanding that such covenants, acts, or things may not be enumerated herein.

(Acts 1974, p. 2591, § 10; Acts 1975, p. 3053, §§ 2, 15)