9-54-7. Mortgage of project and pledge of revenues to payment of bonds--Trust funds--Other covenants and agreements.
141 words·~1 min read·
/sd/title-9/chapter-9-54/9-54-7A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The governing body of the municipality may, by ordinance, resolution, or by a trust indenture executed under authority of a resolution or ordinance, pledge the revenues of the project and any other security of whatsoever nature, offered by the lessee, purchaser, or borrower with respect to the project, and may mortgage the project, for the payment of the bonds and the interest thereon, and provide that the revenues shall be set apart in one or more special trust funds for that purpose.
The resolution, ordinance, or indenture may include covenants and agreements as the governing body deems necessary or desirable to secure the bonds, including the establishment of a reserve from the bond proceeds, and may authorize a trustee appointed under an indenture to enforce all rights and remedies of the municipality under the revenue agreement with respect to the project.