§ 24-37.7-108 — Bonds and notes

Colorado § 24-37.7-108

• Jurisdiction: Colorado
• Title 24: Government
• Art.: Statewide Internet Portal Authority

Text

(1) The authority may, from time to time,
issue bonds and notes for any of its corporate purposes. The bonds and notes shall
be issued pursuant to resolution of the board and shall be payable solely out of all
or a specified portion of the revenues of the authority as designated by the board.

(2) Bonds of the authority, as provided in the resolution of the authority
under which the bonds are authorized or as provided in a trust indenture between
the authority and any commercial or trust company having full trust powers, may:

(a) Be executed and delivered by the authority in the form, in denominations,
upon the terms and maturities, and at the times established by the board;

(b) Be subject to optional or mandatory redemption prior to maturity with or
without a premium;

(c) Be in fully registered form or bearer form registerable as to principal or
interest or both;

(d) Bear such conversion privileges and be payable in such installments and
at such times not exceeding twenty years from the date of issuance as established
by the board;

(e) Be payable at such place or places whether within or without the state as
established by the board;

(f) Bear interest at such rate or rates per annum, which may be fixed or vary
according to index, procedure, or formula or as determined by the authority or its
agents without regard to any interest rate limitation appearing in any other law of
the state;

(g) Be subject to purchase at the option of the holder or the board;

(h) Be evidenced in the manner established by the board, and executed by
the officers of the authority, including the use of one or more facsimile signatures
so long as at least one manual signature appears on the bonds, which may be either
of an officer of the authority or of an agent authenticating the same;

(i) Be in the form of coupon bonds that have attached interest coupons
bearing a manual or a facsimile signature of an officer of the authority; and

(j) Contain any other provisions not inconsistent with this article.

(3) The bonds may be sold at public or private sale at the price or prices, in
the manner, and at the times as determined by the board, and the board may pay all
fees, expenses, and commissions that it deems necessary or advantageous in
connection with the sale of the bonds. The power to fix the date of sale of the
bonds, to receive bids or proposals, to award and sell bonds, to fix interest rates,
and to take all other action necessary to sell and deliver the bonds may be
delegated to an officer or agent of the authority. Any outstanding bonds may be
refunded by the authority pursuant to article 56 of title 11, C.R.S. All bonds and any
interest coupons applicable thereto are declared to be negotiable instruments.

(4) The resolution or trust indenture authorizing the issuance of the bonds or
notes may pledge all or a portion of the property or revenues of the authority, may
contain such provisions for protecting and enforcing the rights and remedies of
holders of any of the bonds or notes as the authority deems appropriate, may set
forth the rights and remedies of the holders of any of the bonds or notes, and may
contain provisions that the authority deems appropriate for the security of the
holders of the bonds or notes, including but not limited to provisions for letters of
credit, insurance, standby credit agreements, or other forms of credit ensuring
timely payment of the bonds or notes, including the redemption price or the
purchase price.

(5) Any pledge of revenues or property made by the authority or by any
person or governmental unit with which the authority contracts shall be valid and
binding from the time the pledge is made. The revenues or property so pledged
shall immediately be subject to the lien of such pledge without any physical
delivery or further act, and the lien of such pledge shall be valid and binding against
all parties having claims of any kind in tort, contract, or otherwise against the
pledging party, regardless of whether the party has notice of such lien. The
instrument by which the pledge is created need not be recorded or filed.

(6) Neither the members of the board, employees of the authority, nor any
person executing the bonds shall be liable personally on the bonds or notes or
subject to any personal liability or accountability by reason of the issuance thereof.

(7) Bonds and notes issued by the authority shall not constitute or become
an indebtedness, a debt, or a liability of the state. The bonds shall contain on the
face thereof a statement to such effect.

(8) The authority may purchase its bonds or notes out of any available
moneys and may hold, pledge, cancel, or resell such bonds and notes subject to and
in accordance with agreements with the holders thereof.

(9) Any bonds, notes, or other securities issued pursuant to this section and
the income therefrom, including any profit from the sale thereof, shall be exempt
from all taxation of the state or any agency, political subdivision, or instrumentality
of the state.

Legislative History

Source: L. 2004: Entire article added, p. 1670, � 1, effective June 3.