§ 5-1-4-13 — Bonds

Indiana § 5-1-4-13

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 1: BONDS AND OTHER OBLIGATIONS
• Ch. 4: Hospital Bonding Authorities

Text

(a) Each authority is hereby authorized to
provide by resolution, at one time or from time to time, for the issuance
of bonds for the purpose of paying all or any part of the cost of a
project.
(b) The principal of and the interest on such bond shall be payable
solely out of the revenues of such authority derived from the project to
which they relate.
(c) The bonds of each issue shall be dated, shall bear interest at such
rate or rates, shall mature at such time or times not exceeding fifty (50)
years from the date thereof, all as may be determined by the authority,
and may be made redeemable before maturity, at the option of the
authority, at such price or prices and under such terms and conditions
as may be fixed by the authority in the authorizing resolution.
(d) The authority shall determine the form of the bonds, including
any interest coupons to be attached thereto, and shall fix the
denomination or denominations of the bonds and the place or places of
payment of principal and interest which may be at any bank or trust
company within or without the state.
(e) The bonds shall be signed in the name of the authority, by the
president or vice president, or by the facsimile signature of such
president or vice president, and the official seal of the authority, or
facsimile thereof, shall be affixed thereto and attested by the secretary
of the authority; and any coupons attached thereto shall bear the
facsimile signature of the treasurer of the authority.
(f) In case any officer whose signature or a facsimile of whose
signature shall appear on any bonds or coupons shall cease to be such
officer before the delivery of such bonds, such signature or such
facsimile shall, nevertheless, be valid and sufficient for all purposes the
same as if he had remained in office until such delivery.
(g) All bonds issued under the provisions of this chapter shall have
and are hereby declared to have all the qualities and incidents of
negotiable instruments under the law of the state of Indiana.
(h) The bonds may be issued in coupon or in registered form, or
both, as the authority may determine; and provision may be made for
the registration of any coupon bonds as to principal alone and also as
to both principal and interest, and for the reconversion into coupon
bonds of any bonds registered as to both principal and interest.
(i) The bonds may be sold in such manner, either at public or private
sale as the authority may determine; and neither the provisions of IC 5-1-11 nor IC 21-32-3 shall be applicable to such sale.
(j) The proceeds of the bonds of each issue shall be used solely for
the payment of the cost of the project for which such bonds shall have
been issued, and shall be disbursed in such manner and under such
restrictions, if any, as the authority may provide in the resolution
authorizing the issuance of such bonds or in the trust agreement
mentioned in this chapter securing the same.
(k) If the proceeds of the bonds of any issue, by error of estimates
or otherwise, shall be less than such cost, additional bonds may in like
manner be issued to provide the amount of such deficit, and, unless
otherwise provided in the resolution authorizing the issuance of such
bonds or in the trust agreement securing the same, shall be deemed to
be of the same issue and shall be entitled to payment from the same
fund without preference or priority of the bonds first issued.
(l) If the proceeds of the bonds of any issue shall exceed the cost of
the project for which the same shall have been issued, the surplus shall
be deposited to the credit of the sinking fund for such bonds.
(m) Prior to the preparation of definitive bonds, an authority may,
under like restrictions, issue interim receipts or temporary bonds, with
or without coupons, exchangeable for definitive bonds when such
bonds shall have been executed and are available for delivery.
(n) An authority may also provide for the replacement of any bonds
which shall become mutilated or shall be destroyed or lost.
(o) Bonds may be issued under the provisions of this chapter
without obtaining the consent of any officer, department, division,
commission, board, bureau or agency of the state, and without any
other proceedings or the happening of any other conditions or things
than those proceedings, conditions or things which are specifically
required by this chapter.
(p) An authority shall have power out of any funds available
therefor to purchase its bonds.
(q) An authority may hold, pledge, cancel or resell such bonds,
subject to and in accordance with agreements, if any, with bondholders.
(r) Neither the members of an authority nor any person executing
the bonds or notes shall be liable personally on the bonds or notes or be
subject to any personal liability or accountability by reason of the
issuance thereof.
Formerly: Acts 1971, P.L.41, SEC.1; Acts 1972, P.L.10, SEC.1.
As amended by Acts 1981, P.L.11, SEC.14; P.L.2-2007,
SEC.66.