Section 3-33-41 - Improvement district; ordinance for refunding bonds; conditions; sale or exchange. - New Mexico Statutes

3-33-41. Improvement district; ordinance for refunding bonds; conditions; sale or exchange.

A.     The ordinance authorizing the issuance of refunding bonds for an improvement district shall describe the:   

(1)     details of the issue;   

(2)     form of the refunding bonds and interest coupons, if any;   

(3)     fund from which the principal and interest of the refunding bonds will be paid; and   

(4)     manner in which the bonds are to be issued.   

B.     The refunding bonds may:   

(1)     be issued in an amount less than, equal to or greater than the principal amount of improvement district bonds being refunded;   

(2)     not bear a rate of interest greater than the rate of interest borne by the assessments providing security for the refunding bonds if secured by assessments;   

(3)     become due and payable in regular numerical order;   

(4)     not be issued for a period of more than twenty years from the date of issuance; and   

(5)     be payable from substitute security or from the same funds that were applicable to the payment of the bonds being refunded.   

C.     The refunding bonds may be:   

(1)     sold at a public or private sale at a discount; or   

(2)     exchanged, dollar for dollar, for the improvement district bonds being refunded.