§ 159D-19. Revenue refunding bonds. - North Carolina Statutes

§ 159D‑19.  Revenuerefunding bonds.

(a)        The agency is authorized to provide by resolution for theissuance of refunding bonds of the agency for the purpose of refunding anybonds then outstanding that have been issued under the provisions of thisArticle, or under the provisions of Chapter 159C of the General Statutes,including the payment of any redemption premium and any interest accrued or toaccrue to the date of redemption of such bonds, and, if considered advisable bythe agency, for either or both of the following additional purposes:

(1)        Constructing improvements, additions, extensions orenlargements of the project or projects in connection with which the bonds tobe refunded shall have been issued; and

(2)        Paying all or any part of the cost of any additional projector projects.

(a1)      The issuance of bonds, the maturities and other detailsthereof, the rights of the holders thereof, and the rights, duties andobligations of the agency in respect to the bonds are governed by theprovisions of this Article that relate to the issuance of bonds.

The approvals required by G.S. 159D‑7 and G.S. 159D‑8 shallbe obtained prior to the issuance of any refunding bonds, except that in thecase where the refunding bonds of all or a portion of an issue are to be issuedsolely for the purpose of refunding outstanding bonds issued under thisArticle, the approval required by G.S. 159D‑7 is not required as to theproject financed with the bonds to be refunded.

(b)        Refunding bonds issued under this section may be sold orexchanged for outstanding bonds issued under this Article and, if sold, theproceeds may be applied, in addition to any other authorized purposes, to thepurchase, redemption or payment of such outstanding bonds. Refunding bonds maybe issued, in the determination of the agency, at any time not more than fiveyears prior to the date of maturity or maturities or the date selected for theredemption of the bonds being refunded thereby. Pending the application of theproceeds of such refunding bonds, with any other available funds, to thepayment of the principal of and accrued interest and any redemption premium onthe bonds being refunded, and, if so provided or permitted in the securitydocument securing the bonds to the payment of any interest on such refundingbonds, such proceeds may be invested in direct obligations of, or obligationsthe principal of and the interest on which are unconditionally guaranteed by,the United States of America if these obligations mature or are subject toredemption by the holder, at the holder's option not later than the respectivedates when the proceeds, together with the interest accruing on them will berequired for the purposes intended. (1977, 2nd Sess., c. 1198, s. 1; 1987, c. 517, s. 8; 2000‑179, s.2.)