§ 162-S:5 — Issuance of Bonds; Exemption from Taxation

New Hampshire § 162-S:5

• Jurisdiction: New Hampshire
• Title XII: PUBLIC SAFETY AND WELFARE
• Ch. 162-S: EXTRATERRITORIAL FINANCING POWERS OF THE NEW HAMPSHIRE BUSINESS FINANCE AUTHORITY

Text

I. The authority shall not issue bonds unless the issuance thereof shall have first been authorized by a bond resolution approved by the authority. Bonds issued pursuant to this chapter shall be designated and captioned as bonds of the national finance authority. Bonds may be issued under this chapter without obtaining the consent of the governor and council or of any department, division, commission, board, body, bureau, or agency of the state; and without any other proceedings or the happening of any conditions or things except those proceedings or the occurrence of those conditions or things that are specifically required by this chapter and by the provisions of the resolution authorizing the issuance of such bonds or the trust agreement securing the same. A bond issued under this section shall meet all of the following requirements:
(a) The face of the bond shall include the date of issuance and the date of maturity.
(b) The bond shall include the statements required under RSA 162-S:9, III and RSA 162-S:10, V.
(c) The bond shall bear a rate of interest, either fixed or variable, except that any variable rate of interest shall be made subject to a maximum rate.
(d) The bond shall specify when interest and principal shall be paid.
(e) Bonds shall be executed in the manner provided in the resolution therefor and may be executed by one designated member, provided that such execution may be by facsimile so long as the bond is signed by an authentication agent appointed by the authority.
(f) Bonds in a single issue may comprise a single denomination or 2 or more denominations.
II. Notwithstanding paragraph I, as an alternative to specifying the matters required to be specified in the bond resolution pursuant to paragraph I, the resolution may specify designated members or officers or employees of the authority by name or position, to whom the authority delegates authority to determine which of the matters specified under paragraph I, and any other matters that the authority deems appropriate, for inclusion in the trust agreement, indenture, or other agreement providing for issuance of the bonds as finally executed, provided that a resolution approved by the authority under this section shall in all cases specify each of the following:
(a) The maximum principal amount of bonds to be issued.
(b) The maximum term of the bonds.
III. A bond issued under this section may include, or be subject to, any of the following:
(a) Mandatory, special, or optional redemption, or purchase in lieu of redemption, or tender, as provided in the resolution, and any notice of redemption with respect to any bond may be conditioned on the occurrence of such events as are specified by the authority in such notice.
(b) A provision providing a right to tender.
(c) A trust agreement or indenture containing any terms, conditions, and covenants that the authority determines to be necessary or appropriate, but such terms, conditions, and covenants may not be in conflict with the resolution.
IV. The authority may purchase any bond issued under this section. Subject to the terms of any agreement with the bondholders, the authority may hold, pledge, resell, or cancel any bond purchased under this paragraph, except that a purchase under this paragraph will not cause the extinguishment of such bond unless the authority cancels the bond or otherwise certifies its intention that the bond be extinguished.
V. The proceeds of a bond issued under this chapter may be used to finance or refinance one or more projects located outside of the state, but shall not be used to finance or refinance any project located within the state of New Hampshire.
VI. The exercise of the powers granted by this chapter shall be in all respects for the benefit of the people of the state, for the increase of their commerce, welfare, and prosperity, and for the improvement of their health and living conditions, and shall constitute the performance of an essential governmental function, and the authority shall not be required to pay any taxes or assessment upon or in respect of a project or any property acquired or used by the authority or under the jurisdiction, control, possession, or supervision of the same or upon the activities of the authority in the operation or maintenance of any project under the provisions of this chapter, or upon income or other revenues received therefrom, and any bonds of the authority issued under the provisions of this chapter, their transfer and the income therefrom, including any profit made on the sale thereof, as well as the income and property of the authority, are at all times exempt from taxation of every kind by the state and by the municipalities and all other political subdivisions of the state.

Legislative History

2018, 331:1, eff. June 25, 2018.