99.1039. Financing project costs, issuance of obligations permitted, procedure--immunity from liability for obligations--retiring or refinancing debt, limitations.

MISSOURI STATUTES AND CODES

99.1039. Financing project costs, issuance of obligations permitted, procedure--immunity from liability for obligations--retiring or refinancing debt, limitations.

Financing project costs, issuance of obligations permitted,procedure--immunity from liability for obligations--retiringor refinancing debt, limitations.

99.1039. 1. For the purpose of financing development project costs,obligations may be issued by the municipality, or, at the request of themunicipality, by the authority or any other political subdivisionauthorized to issue bonds, but in no event by the state, to pay orreimburse development project costs. Such obligations, when so issued,shall be retired in the manner provided in the ordinance or resolutionauthorizing the issuance of such obligations.

2. Obligations issued pursuant to sections 99.1000 to 99.1060 may beissued in one or more series bearing interest at such rate or rates as theissuing entity shall determine by ordinance or resolution. Suchobligations shall bear such date or dates, be in such denomination, carrysuch registration privileges, be executed in such manner, be payable insuch medium of payment at such place or places, contain such covenants,terms, and conditions, and be subject to redemption as such ordinance orresolution shall provide. Obligations issued pursuant to sections 99.1000to 99.1060 may be sold at public or private sale at such price as shall bedetermined by the issuing entity and shall state that obligations issuedpursuant to sections 99.1000 to 99.1060 are special obligations payablesolely from the funds specifically pledged. No referendum approval of theelectors shall be required as a condition to the issuance of obligationspursuant to sections 99.1000 to 99.1060.

3. In the event the obligations contain a recital that they areissued pursuant to sections 99.1000 to 99.1060, such recital shall beconclusive evidence of their validity and of the regularity of theirissuance.

4. Neither the municipality, the authority, or any other entityissuing such obligations, or the members, commissioners, directors, or theofficers of any such entities nor any person executing any obligation shallbe personally liable for such obligation by reason of the issuance thereof.The obligations issued pursuant to sections 99.1000 to 99.1060 shall not bea general obligation of the state, the municipality, or any politicalsubdivision thereof, nor in any event shall such obligation be payable outof any funds or properties other than those specifically pledged assecurity for such obligations. The obligations shall not constituteindebtedness within the meaning of any constitutional, statutory, orcharter debt limitation or restriction.

5. Obligations issued pursuant to sections 99.1000 to 99.1060 may beissued to refund, in whole or in part, obligations theretofore issued bysuch entity pursuant to the authority of sections 99.1000 to 99.1060,whether at or prior to maturity; provided, however, that the last maturityof the refunding obligations shall not be expressed to mature later thanthe last maturity date of the obligations to be refunded.

6. In the event a municipality or authority issues obligations underhome rule powers or other legislative authority, the proceeds of which arepledged to pay for development project costs, the municipality may retiresuch obligations from funds in the special allocation fund in amounts andin such manner as if such obligations had been issued pursuant to theprovisions of sections 99.1000 to 99.1060.

7. State supplemental rural development financing shall not be usedfor retiring or refinancing debt or obligations on a previously publiclyfinanced redevelopment project without express approval from the directorof the department of economic development and the agricultural and smallbusiness development authority created pursuant to section 348.020, RSMo.No approval shall be granted unless the application for state supplementalrural development financing contains development projects that are newprojects which were not a part of the development projects for which thereis existing public debt or obligations.