§ 7-1831.02 — Sale of rights under Master Settlement Agreement.

District of Columbia § 7-1831.02

• Jurisdiction: District of Columbia
• Title 7: Human Health Care and Safety.
• Ch. 18: Tobacco Master Settlement Agreement.
• Subch. III: Tobacco Settlement Financing.

Text

(a) For the purpose of financing the costs of the National Capital Medical Center, healthcare related issues, or other capital projects, and the repayment of outstanding indebtedness issued for certain capital projects and other undertakings of the District, the District may sell to the Corporation all of the District’s right, title, and interest in and to the Master Settlement Agreement, including all the moneys, and any interest thereon, payable to or received by the District thereunder (except for the first payment of $16.05 million which has already been received by the District), in exchange for: (1) a cash payment in the amount of the net sales proceeds of the Bonds (other than the Residual Bond); (2) the Residual Bond; and (3) the agreement of the Corporation to repay certain indebtedness of the District.

(b) Subject to the authorization and restrictions of this subchapter, the terms and conditions of the Purchase Agreement or the Residual Bond Purchase Agreement shall be determined by the Mayor, which determination shall be conclusively evidenced by his execution of the Purchase Agreement or the Residual Bond Purchase Agreement. The Mayor may execute and deliver any administrative or other documents or agreements which are necessary or desirable relating to the sale of the District’s right, title, and interest in and to the Master Settlement Agreement or in connection with the issuance of the Bonds. Proceeds from the sale of the Bonds and other moneys received by the Corporation pursuant to the Purchase Agreement or the Residual Bond Purchase Agreement will be used to repay certain outstanding indebtedness of the District, to finance or refinance the National Capital Medical Center, healthcare related issues, or other capital projects or undertakings of the District, as well as to pay costs of issuance of the Bonds, to establish and fund reserve funds, and to pay other expenses and fees related to the issuance of the Bonds.

(c) For the purpose of financing the costs of the National Capital Medical Center, healthcare related issues, or other capital projects, and repayment of outstanding indebtedness issued for certain capital projects and other undertakings of the District, the Fund may sell to the Corporation all of the Fund’s right, title, and interest in and to the Residual Bond, including all the moneys, and any interest thereon, payable to or received by the Fund thereunder, in exchange for:

(1) A cash payment in the amount of the net sales proceeds of Bonds secured by the Residual Bond; and

(2) The Remainder Certificate, if any.

Legislative History

Oct. 19, 2000, D.C. Law 13-172, § 3703, 47 DCR 6308; July 25, 2006, D.C. Law 16-142, § 3(b), 53 DCR 4412; Mar. 25, 2009, D.C. Law 17-353, § 120, 56 DCR 1117