(1) An authority has power to
issue bonds of the authority from time to time in its discretion to finance its
activities or operations under this part 1, including but not limited to the repayment
with interest of any advances or loans of funds made to the authority by the federal
government or other source for any surveys or plans made or to be made by the
authority in exercising its powers under this part 1 and also has power to issue
refunding or other bonds of the authority from time to time in its discretion for the
payment, retirement, renewal, or extension of any bonds previously issued by it
under this section and to provide for the replacement of lost, destroyed, or
mutilated bonds previously issued under this section.
(2) (a) Bonds which are issued under this section may be general obligation
bonds of the authority to the payment of which, as to principal and interest and
premiums (if any), the full faith, credit, and assets (acquired and to be acquired) of
the authority are irrevocably pledged.
(b) Such bonds may be special obligations of the authority which, as to
principal and interest and premiums (if any), are payable solely from and secured
only by a pledge of any income, proceeds, revenues, or funds of the authority
derived or to be derived by it from or held or to be held by it in connection with its
undertaking of any project of the authority, including, without limitation, funds to be
paid to an authority pursuant to section 31-25-107 (9) and including any grants or
contributions of funds made or to be made by it with respect to any such project
and any funds derived or to be derived by it from or held or to be held by it in
connection with its sale, lease, rental, transfer, retention, management,
rehabilitation, clearance, development, redevelopment, preparation for
development or redevelopment, or its operation or other utilization or disposition of
any real or personal property acquired or to be acquired by it or held or to be held
by it for any of the purposes of this part 1 and including any loans, grants, or
contributions of funds made or to be made to it by the federal government in aid of
any project of the authority or in aid of any of its other activities or operations.
(c) Such bonds may be special obligations of the authority which, as to
principal and interest and premiums (if any), are payable solely from and secured
only by a pledge of any loans, grants, or contributions of funds made or to be made
to it by the federal government or other source in aid of any project of the authority
or in aid of any of its other activities or operations.
(d) Such bonds may be contingent special obligations of the authority which,
as to principal and interest and premiums (if any), are payable solely from any funds
available or becoming available to the authority for its undertaking of the project
involved in the particular activities or operations with respect to which such
contingent special obligations are issued but so payable only in the event such
funds are or become available as provided in this subsection (2).
(3) Notwithstanding any other provisions of this section, any bonds which are
issued under this section, other than the contingent special obligations covered by
paragraph (d) of subsection (2) of this section, may be additionally secured as to the
payment of the principal and interest and premiums (if any) by a mortgage of any
urban renewal project, or any part thereof, title to which is then or thereafter in the
authority or of any other real or personal property or interests therein then owned
or thereafter acquired by the authority.
(4) Notwithstanding any other provisions of this section, general obligation
bonds which are issued under this section may be additionally secured as to
payment of the principal and interest and premiums (if any) as provided in either
paragraph (b) or (c) of subsection (2) of this section, with or without being also
additionally secured as to payment of the principal and interest and premiums (if
any) by a mortgage as provided in subsection (3) of this section or a trust
agreement as provided in subsection (5) of this section.
(5) Notwithstanding any other provision of this section, any bonds which are
issued under this section may be additionally secured as to the payment of the
principal and interest and premiums (if any) by a trust agreement by and between
the authority and a corporate trustee, which may be any trust company or bank
having the powers of a trust company within or without the state of Colorado.
(6) Bonds which are issued under this section shall not constitute an
indebtedness of the state of Colorado or of any county, municipality, or public body
of said state other than the urban renewal authority issuing such bonds and shall
not be subject to the provisions of any other law or of the charter of any
municipality relating to the authorization, issuance, or sale of bonds.
(7) Bonds which are issued under this section are declared to be issued for
an essential public and governmental purpose and, together with interest thereon
and income therefrom, shall be exempted from all taxes.
(8) Bonds which are issued under this section shall be authorized by a
resolution of the authority and may be issued in one or more series and shall bear
such date, be payable upon demand or mature at such time, bear interest at such
rate, be in such denomination, be in such form, either coupon or registered or
otherwise, carry such conversion or registration privileges, have such rank or
priority, be executed (in the name of the authority) in such manner, be payable in
such medium of payment, be payable at such place, be subject to such callability
provisions or terms of redemption (with or without premiums), be secured in such
manner, be of such description, contain or be subject to such covenants, provisions,
terms, conditions, and agreements (including provisions concerning events of
default), and have such other characteristics as may be provided by such resolution
or by the trust agreement, indenture, or mortgage, if any, issued pursuant to such
resolution. The seal (or a facsimile thereof) of the authority shall be affixed,
imprinted, engraved, or otherwise reproduced upon each of its bonds issued under
this section. Bonds which are issued under this section shall be executed in the
name of the authority by the manual or facsimile signatures of such of its officials
as may be designated in the said resolution or trust agreement, indenture, or
mortgage; except that at least one signature on each such bond shall be a manual
signature. Coupons, if any, attached to such bonds shall bear the facsimile
signature of such official of the authority as may be designated as provided in this
subsection (8). The said resolution or trust agreement, indenture, or mortgage may
provide for the authentication of the pertinent bonds by the trustee.
(9) Bonds which are issued under this section may be sold by the authority in
such manner and for such price as the authority, in its discretion, may determine, at
par, below par, or above par, at private sale or at public sale after notice published
prior to such sale in a newspaper having general circulation in the municipality, or in
such other medium of publication as the authority may deem appropriate, or may be
exchanged by the authority for other bonds issued by it under this section. Bonds
which are issued under this section may be sold by it to the federal government at
private sale at par, below par, or above par, and, in the event that less than all of the
authorized principal amount of such bonds is sold by the authority to the federal
government, the balance or any portion of the balance may be sold by the authority
at private sale at par, below par, or above par, at an interest cost to the authority of
not to exceed the interest cost to it of the portion of the bonds sold by it to the
federal government.
(10) In case any of the officials of the authority whose signatures or facsimile
signatures appear on any of its bonds or coupons which are issued under this
section cease to be such officials before the delivery of such bonds, such
signatures or facsimile signatures, as the case may be, shall nevertheless be valid
and sufficient for all purposes, the same as if such officials had remained in office
until such delivery.
(11) Any provision of any law to the contrary notwithstanding, any bonds
which are issued pursuant to this section are fully negotiable.
(12) In any suit, action, or proceeding involving the validity or enforceability
of any bond which is issued under this section or the security therefor, any such
bond reciting in substance that it has been issued by the authority in connection
with an urban renewal project or any activity or operation of the authority under this
part 1 shall be conclusively deemed to have been issued for such purposes; and
such urban renewal project or such operation or activity, as the case may be, shall
be conclusively deemed to have been initiated, planned, located, undertaken,
accomplished, and carried out in accordance with the provisions of this part 1.
(13) Pending the preparation of any definitive bonds under this section, an
authority may issue its interim certificates or receipts or its temporary bonds, with
or without coupons, exchangeable for such definitive bonds when the latter have
been executed and are available for delivery.
(14) Persons retained or employed by an authority as advisors or consultants
for the purpose of rendering financial advice and assistance may purchase or
participate in the purchase or in the distribution of its bonds when such bonds are
offered at public or private sale.
(15) No commissioner or other officer of an authority issuing bonds under
this section and no person executing such bonds is liable personally on such bonds
or is subject to any personal liability or accountability by reason of the issuance
thereof.