§ 122D-12. Refunding bonds. - North Carolina Statutes

§122D‑12.  Refunding bonds.

Subject to the rights of theholders of the bonds of the Authority, the Authority may issue from time totime its bonds for the purpose of refunding any bonds of the Authority thenoutstanding, together with the payment of any redemption premiums thereon andinterest accrued or to accrue to the date of redemption of such outstandingbonds. All such refunding bonds of the Authority shall be issued, sold orexchanged, and delivered, shall be secured, and shall be subject to the provisionsof this Chapter in the same manner and to the same extent as any other bondsissued by the Authority pursuant to this Chapter, unless otherwise determinedby resolution of the Authority. Refunding bonds issued by the Authority asherein provided may be sold or exchanged for outstanding bonds of the Authorityand, if sold, the proceeds thereof may be applied, in addition to any otherauthorized purposes, to the purchase, redemption or payment of such outstandingbonds.

Pending the application of theproceeds of any such refunding obligations, with any other available funds, tothe payment of the principal, accrued interest and any redemption premium onthe obligations being refunded, and, if so provided or permitted in theresolution authorizing the issuance of such refunding obligations or in thetrust agreement securing the same, to the payment of any interest on suchrefunding obligations and any expenses in connection with such refunding, suchproceeds may be invested in direct obligations of, or obligations the principalof and the interest on which are unconditionally guaranteed by, the UnitedStates of America which shall mature or which shall be subject to redemption bythe holders thereof, at the option of such holders, not later than the respectivedates when the proceeds, together with the interest accruing thereon, will berequired for the purposes intended. (1983, c. 789, s. 1; 1985(Reg. Sess., 1986), c. 1011, s. 1; 1989, c. 500, s. 109(e); 1989 (Reg. Sess.,1990), c. 1000, s. 1.)