§ 3-32-11 — Use of proceeds from sale of bonds

New Mexico § 3-32-11

• Jurisdiction: New Mexico
• Ch. 3: Municipalities
• Art. 32: Industrial Revenue Bonds

Text

The proceeds from the sale of any bonds issued under authority of Sections 3-32-1 through 3-32-16 NMSA 1978, shall be applied only for the purpose for which the bonds were issued; provided, however, that any accrued interest and premiums received in any such sale shall be applied to the payment of the principal of or the interest on the bonds sold; and provided, further, that if for any reason any portion of such proceeds shall not be needed for the purpose for which the bonds were issued, then such balance of said proceeds shall be applied to the payment of the principal of or the interest on said bonds, and provided, further, that any portion of the proceeds from the sale of said bonds or any accrued interest and premium received in any such sale, may, in the event the money will not be needed, or cannot be effectively used to the advantage of the municipality for the purposes herein provided, be invested in short term, interest-bearing securities if such investment will not interfere with the use of such funds for the primary purpose as herein provided. The cost of acquiring any project shall be deemed to include the following: A. the actual cost of the construction of any part of a project which may be constructed, including architect's, attorney's and engineer's fee; B. the purchase price of any part of a project that may be acquired by purchase; C. the actual cost of the extension of any utility to the project site, all expenses in connection with the authorization, sale and issuance of the bonds to finance such acquisition; and D. the interest on such bonds for a reasonable time prior to construction, during construction and for not exceeding six months after completion of construction.

Legislative History

1953 Comp., § 14-31-8, enacted by Laws 1965, ch. 300.