30-1005. Transition bonds; issuance; authority of qualified special purpose entity; reimbursement of costs
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/az/title-30/30-1005A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. After approval of a financing resolution pursuant to section 30-1003, a qualified special purpose entity is authorized to issue one or more series, classes or tranches of transition bonds and to pledge transition property to secure the payment of ongoing financing costs. On issuance of the transition bonds, the qualified special purpose entity shall transfer to the public power entity the net proceeds of the transition bonds minus the up-front financing costs paid by the qualified special purpose entity.
B. The approval of a financing resolution does not obligate a public power entity or a qualified special purpose entity to engage in the approved transaction, and neither a public power entity nor a qualified special purpose entity shall be subject to any regulatory conditions, regulatory sanctions or other penalties for not engaging in an approved transaction. If the qualified special purpose entity determines not to issue transition bonds authorized by a financing resolution, the public power entity shall reimburse the qualified special purpose entity for any costs paid by the qualified special purpose entity that would have constituted up-front financing costs had the transition bonds been issued, except that delaying the issuance of transition bonds pending final resolution of any appeals from the financing resolution or any legal challenges to this chapter is not deemed to be such a determination.