10.1-308 - Sinking fund. - Virginia Statutes

§ 10.1-308. Sinking fund.

The fees, charges and revenues derived from any camping and recreationalfacilities subject to revenue bonds issued under the provisions of thischapter, except charges required to pay the cost of maintaining, repairingand operating such facilities and to provide fund reserves, shall be setaside in a sinking fund. The sinking fund is pledged to and charged with thepayment of (i) the interest upon the bonds as it becomes due, (ii) theprincipal of the bonds as it becomes due, (iii) the necessary charges ofpaying agents for paying the interest and principal, and (iv) any premiumupon bonds retired by call or purchase as provided in this chapter. The useand disposition of the sinking fund shall be subject to regulations providedin the resolution or the trust indenture. Unless otherwise provided in theresolution or trust indenture, the sinking fund shall be a fund for all suchbonds without distinction or priority of one bond over another. Any moneys inthe sinking fund in excess of an amount equal to one year's interest on allbonds then outstanding may be applied to the purchase or redemption of bonds.

(Code 1950, § 10-107; 1966, c. 41; 1988, c. 891.)