Sec. 14.42.220. Bonds of the corporation.

332 words·~2 min read·/ak/title-14/chapter-42/14-42-220·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)The corporation may borrow money and may issue bonds, on which the principal and interest are payable from its income and receipts or other assets or a designated part or parts of them. The corporation may use the proceeds of its bonds for any purposes that the corporation considers appropriate, including providing money to

(1)make or purchase education loans;

(2)finance programs identified in AS 14.42.210 ;

(3)finance projects of the state as those projects may be identified by law; and

(4)pay for any other purpose or program of the corporation that is authorized in AS 14.42.100 — 14.42.310.

(b)Bonds may be authorized only by resolution of the board. Bonds shall be dated, bear interest at the rate or rates, be in the denominations, be in the form, either coupon or registered, carry the registration privileges, be executed in the manner, be payable in the medium of payment, at the place or places, be subject to the terms of redemption, and mature as provided by the resolution or a subsequent resolution. However, a bond may not mature more than 40 years after the date it is issued.

(c)Bonds of the corporation, regardless of form or character, are negotiable instruments for all the purposes of AS 45.01 — AS 45.08 , AS 45.12 , AS 45.14 , and AS 45.29 (Uniform Commercial Code).

(d)Bonds of the corporation may be sold at public or private sale in the manner, for the price or prices, and at the time or times that the board determines.

(e)The superior court has jurisdiction to hear and determine proceedings relating to the corporation, including proceedings brought by or for the benefit of a bondholder or by a trustee for or other representative of a bondholder.

(f)[Repealed, § 31 ch 63 SLA 2004.]

(g)The corporation may not issue bonds to finance projects under (a)(3) of this section in an aggregate amount that exceeds $280,000,000.