100.292. Guarantee agreement provisions.

MISSOURI STATUTES AND CODES

100.292. Guarantee agreement provisions.

Guarantee agreement provisions.

100.292. 1. Guarantee agreements for bonds or notes enteredinto by the board pursuant to the provisions of sections 100.250to 100.297 shall provide that:

(1) The board guarantees, and is hereby required, to use themoneys in the guarantee fund to meet amortization payments asguaranteed under the provisions of sections 100.250 to 100.297,as the same become due, in the event, and to the extent, theboard or the development agency issuing the bonds or notes isunable to meet such payments in accordance with the terms of thebond or note indenture when called on to do so; and

(2) The guarantee shall not be a general obligation of thestate of Missouri, but shall be a special obligation, and in noevent shall the guarantee be deemed an indebtedness of the stateof Missouri, or of any political subdivision thereof, and shallnot be deemed to be an indebtedness within the meaning of anyconstitutional or statutory limitation upon the incurring ofindebtedness.

2. Whenever the board, acting under the terms of anyguarantee agreement, deems it necessary to assume the obligationof maintenance of any project the amortization payments of whichhave been guaranteed by the board, the board may use fundsavailable in the guarantee fund to pay insurance and maintenancecosts required for the preservation of the project and to protectsuch fund from loss, or to minimize loss, in such manner asdeemed necessary by the board.

3. In addition to the provisions required by this sectionthe guarantee agreement shall include such other additionalprovisions, restrictions, and conditions as the board shalldetermine to be necessary, including, but not limited to, adetailing of the remedies that must be exhausted by thebondholders or noteholders prior to any enforcement of theguarantee agreement and the subrogation or other rights of theboard with reference to the project and its operation in theevent the board makes payment pursuant to the applicableguarantee agreement.