§ 159-86. Approval of application by Commission. - North Carolina Statutes

§ 159‑86.  Approvalof application by Commission.

(a)        In determining whether a proposed revenue bond issue shallbe approved, the Commission may consider:

(1)        Whether the project to be financed from the proceeds of therevenue bond issue is necessary or expedient.

(2)        Whether the proposed project is feasible.

(3)        The State's or the municipality's, as the case may be, debtmanagement procedures and policies.

(4)        Whether the State or the municipality, as the case may be,is in default in any of its debt service obligations.

(5)        Whether the probable net revenues of the project to befinanced will be sufficient to service the proposed revenue bonds.

(6)        The ability of the Commission to market the proposed revenuebonds at reasonable rates of interest.

TheCommission may inquire into and give consideration to any other matters that itmay believe to have a bearing on whether the issue should be approved.

(b)        The Commission shall approve the application if, upon theinformation and evidence it receives, it finds and determines:

(1)        That the proposed revenue bond issue is necessary orexpedient.

(2)        That the amount proposed is adequate and not excessive forthe proposed purpose of the issue.

(3)        That the proposed project is feasible.

(4)        That the State's or the municipality's, as the case may be,debt management procedures and policies are good, or that reasonable assuranceshave been given that its debt will henceforth be managed in strict compliancewith law.

(5)        That the proposed revenue bonds can be marketed at reasonableinterest cost to the State or the municipality, as the case may be. (1971, c. 780, s. 1; 1983, c. 554, ss. 7, 8.)