§ 390.14. Bonds
Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 73 P.S. Trade and Commerce
73 P.S. § 390.14
§ 390.14. Bonds
(a) The bonds of the authority shall be authorized by resolution of the board thereof or by the terms of a trust indenture authorized by such board, and shall be of such series, shall bear such date or dates, shall mature at such time or times, not exceeding the life of the authority, shall bear interest at such rate or rates, shall be in such denominations, shall be in such form, either coupon or fully registered without coupons, shall carry such registration, exchangeability and interchangeability privileges, shall be payable in such medium of payment and at such place or places, shall be subject to such terms of redemption, not exceeding one hundred five per cent of the principal amount thereof and shall be entitled to such priorities in the revenues or receipts of the authority as such trust, indenture, resolution or resolutions may provide. The bonds shall be signed by such officers, either manually or by facsimile as the authority shall determine, and coupon bonds shall have attached thereto interest coupons bearing the facsimile signature of the treasurer of the authority, all as may be prescribed in such resolution or resolutions. Any such bonds may be issued and delivered, notwithstanding that one or more of the officers signing such bonds or the treasurer whose facsimile signature shall be upon the coupons or any thereof, shall have ceased to be such officer or officers at the time when such bonds actually shall be delivered. Said bonds may be sold at public or private sale for such price or prices as the authority shall determine. The net interest cost of maturity of the money received for any issue of bonds, whether sold at public or private sale, shall not exceed eight per cent per annum.
For the purposes of this section, net interest cost shall be determined by ascertaining the total amount of interest payable with respect to the bonds, computed from the date of the bonds to the stated maturity dates thereof, plus the amount of any discount from the principal amount of the bonds or less the amount of any premium in excess of the principal amount of the bonds. Pending the preparation of the definitive bonds, interim receipts may be issued to the purchaser or purchasers of such bonds, and may contain such terms and conditions as the authority may determine.
(b) Such bonds are hereby made securities in which all officers of the State and its political subdivisions and municipal officers and administrative departments, boards and commissions of the Commonwealth, all banks, bankers, savings banks, trust companies, saving and loan associations, investment companies and other persons carrying on a banking business, all insurance companies, insurance associations, and other persons carrying on an insurance business, and all administrators, executors, guardians, trustees, and other fiduciaries, and all other persons whatsoever who now or hereafter may be authorized to invest in bonds or other obligations of the Commonwealth, properly and legally may invest any funds, including capital, belonging to them or within their control, and said bonds or other securities or obligations hereby are made securities which properly and legally may be deposited with, and received by, any State or municipal officers or agency of the Commonwealth for any purpose for which the deposit of bonds or other obligations of the Commonwealth now is or hereafter may be authorized by law.
(c) Any trust indenture, resolution or resolutions authorizing any bonds may contain provisions which shall be part of the contract with the holders thereof as to (i) pledging all or any of the revenues or receipts and contract rights of the authority; (ii) the terms and provisions of the bonds; (iii) limitations on the purposes to which the proceeds of the bonds, then or thereafter to be issued, under such indenture or resolution, or of any loan or grant by the United States may be applied; (iv) limitations on the issuance of additional bonds; (v) the terms and provisions of any deed of trust or indenture securing the bonds, or under which the same maybe issued; and (vi) any other or additional agreements with the holders of the bonds.
(d) The authority may enter into any deeds of trust, indentures or other agreements with any bank or trust company, or other person or persons in the United States having power to enter into the same, including any Federal or other governmental agency, as security for such bonds, and may assign and pledge all or any of the revenues, receipts, and contract rights of the authority thereunder. Such deed of trust, indenture or other agreement may contain such provisions as may be customary in such instruments, or as the authority may authorize.
1974, July 22, P.L. 598, No. 206, § 14, imd. effective.
73 P.S. § 390.14, PA ST 73 P.S. § 390.14
Current through the end of the 2023 Regular Session. Some statute sections may be more current, see credits for details.
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