§ 14-360-306 - Borrowing of funds and revenue bonds -- Issuance. - Arkansas Statutes

14-360-306. Borrowing of funds and revenue bonds -- Issuance.

(a) In evidence of any loan of funds, the city is authorized and empowered to issue its negotiable coupon revenue bonds.

(b) (1) The bonds shall be authorized by ordinance duly enacted by the governing body of the city and shall be executed by its mayor and city clerk.

(2) In case any of the officers whose signatures appear on the bonds or coupons shall cease to be officers before the delivery of the bonds or coupons, the signatures shall nevertheless be valid and sufficient for all purposes.

(c) As the ordinance may provide, the bonds may:

(1) Be issued in one (1) or more series;

(2) Bear such date or dates;

(3) Mature at such time or times, not exceeding forty (40) years from their respective dates;

(4) Bear interest at such rate or rates;

(5) Be in such form;

(6) Be executed in such manner;

(7) Be payable in such medium of payment, at such place or places;

(8) Be subject to such terms of redemption;

(9) Be registrable as to principal only; and

(10) Contain such terms, covenants, and conditions as the ordinance may provide. Priority between and among successive issues may be controlled by the ordinance, and the ordinance may provide for the maintenance of any adequate reserve for contingencies.

(d) The bonds may be sold for such price and in such manner as the city may determine by ordinance duly adopted by its governing body.

(e) The coupons attached to the bonds may be executed by the facsimile signature of the mayor of the city.

(f) The bonds may be sold with the privilege of conversion into an issue bearing other rate or rates of interest but only on the condition that the city receive no less and pay no more than it would receive and pay if the bonds were not converted, and the conversion shall be subject to the approval of the city.

(g) The bonds shall have all the qualities and incidents of negotiable instruments under the commercial paper laws of the state.