11-11-54. Bond resolution provisions--Contracts with bondholders.
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/sd/title-11/chapter-11-11/11-11-54·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Any resolutions authorizing any bonds or any issue thereof may contain any of the following provisions, each of which shall be a part of the contracts with the holders thereof:
(1)Pledging all or any part of the revenues of the authority to secure the payment of the bonds or of any issue thereof, subject to such agreements with bondholders as may then exist;
(2)Pledging all or any part of the assets of the authority, including mortgages and obligations securing the same, to secure the payment of the bonds or of any issue of bonds, subject to such agreements with bondholders as may then exist;
(3)Limiting the purpose to which the proceeds of sale of bonds may be applied and pledging such proceeds to secure the payment of the bonds or of any issue thereof;
(4)Limiting the issuance of additional bonds; the terms upon which additional bonds may be issued and secured; and the refunding of outstanding or other bonds;
(5)Regarding the use and disposition of the gross income from mortgages owned by the authority and payment of principal of mortgages owned by the authority;
(6)Limiting the amount of moneys to be expended by the authority for operating expenses of the authority;
(7)Regarding the setting aside of reserves or sinking funds and the regulation and disposition thereof;
(8)Regarding the procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds the holders of which must consent thereto; and the manner in which such consent may be given;
(9)Vesting in a trustee such property, rights, powers, and duties in trust as the authority may determine, which may include any or all of the rights, powers, and duties of the trustee appointed by the bondholders pursuant to this chapter and limiting or abrogating the right of the bondholders to appoint a trustee under this chapter or limiting the rights, powers, and duties of such trustee;
(10)Defining the acts or omissions to act which constitute a default in the obligations and duties of the authority to the holders of the bonds and providing for the rights and remedies of the holders of the bonds in the event of such default, including as a matter of right the appointment of a receiver. However, the rights and remedies may not be inconsistent with the general laws of the state and the other provisions of this chapter; and
(11)Any other matters, of like or different character, which in any way affect the security or protection of the holders of the bonds.