49-1269. Short-term emergency loan agreements; conditions
187 words·~1 min read·
/az/title-49/49-1269A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. The authority, through its board, may enter into short-term emergency loan agreements with political subdivisions or Indian tribes under the following conditions:
1. The term of the loan does not exceed one year.
2. The dollar amount of the loan does not exceed two hundred fifty thousand dollars for each borrower for each emergency event.
3. The purpose of the loan is to provide assistance for designing, redesigning, engineering, reengineering, constructing or reconstructing water or wastewater systems that have failed as the result of a disaster, a natural disaster or a catastrophic event.
4. The disaster, natural disaster or catastrophic event is memorialized in a declaration of emergency by the governor or the federal emergency management agency.
B. Subject to board approval, for any loan made pursuant to this section, the authority shall execute appropriate and binding legal agreements with the borrower that require repayment of monies from eligible sources of repayment. Notwithstanding any other statute, a loan may be made and an obligation to repay may be incurred pursuant to this section without a vote of the electors of the political subdivision or Indian tribe.