§ 159-27.1. Use of revenue bond project reimbursements; restrictions. - North Carolina Statutes

§ 159‑27.1.  Use ofrevenue bond project reimbursements; restrictions.

The finance officer of a unit shall deposit any funds received by theunit as a reimbursement of a loan or advance made by the unit pursuant to G.S.159‑83(a)(8a) in the fund from which the unit originally derived thefunds to make the loan or advance.

If the funds originally loaned or advanced were proceeds of a bondissue, any funds received as reimbursement shall be applied as required by thissection.  The funds shall be applied as provided in the instrument securingpayment of the bond issue if the instrument contains applicable provisions. Otherwise, the funds shall be applied to either (i) the same general purposesas those for which the bond issue was authorized, or (ii) payment of debtservice on the bond issue, including principal, interest, and premium, if any,upon redemption, or payment of the purchase price of bonds for retirement atnot more than their face value and accrued interest.  After all the bonds ofthe issue have been paid or satisfied in full, any funds received asreimbursement shall be deposited in the general fund of the unit and may beused for any general fund purpose. (1991, c. 508, s. 3, c. 761, s. 29.)