17-5-1511. Trust indenture.
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/mt/title-17/chapter-5/part-15/17-5-1511·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
17-5-1511 . Trust indenture.
(1)In the discretion of the board, the bonds may be secured by a trust indenture between the board and a corporate trustee, which may be a trust company or bank having the power of a trust company, either inside or outside the state. A trust indenture may contain provisions for protecting and enforcing bondholders' rights and remedies that are reasonable, proper, and not in violation of law, including covenants setting forth the duties of the authority in relation to the exercise of its powers and the custody, safeguarding, and application of all money. The authority may provide by a trust indenture for the payment of the proceeds of the bonds and revenues to the trustee under the trust indenture of another depository and for the method of disbursement, with the safeguards and restrictions it considers necessary.
(2)All expenditures incurred in carrying out a trust indenture may be treated as part of the operating expenses of the board.