§ 35-8-6.2 - Sinking funds to replace bond issuance. - Rhode Island Statutes

SECTION 35-8-6.2

   § 35-8-6.2  Sinking funds to replace bondissuance. – (a) Prior to the issuance of previously authorized general obligation debtcontained in the capital improvement plan, the sinking fund commission maycause a savings analysis to be performed to determine if the estimated savingsresulting from the defeasance of the general obligation debt recommended fordefeasance by the sinking fund is more or less than the savings which would beachieved if the previously authorized general obligation debt were not issued.In the event that the sinking fund commission makes a finding that the savingswould be greater from not issuing the previously authorized general obligationdebt, then the sinking fund commission may use sinking funds to replace, inwhole or in part, the same debt authorization.

   (b) Upon the sinking fund commission's determination to usesinking funds to replace, in whole or in part, authorized but unissued generalobligation debt authorization, the amount designated by the sinking fundcommission is hereby appropriated for that purpose.