262A.7 - RESOLUTION OF BOARD AND COVENANTS UNDERTAKEN.

        262A.7  RESOLUTION OF BOARD AND COVENANTS
      UNDERTAKEN.
         Upon the determination by the state board of regents to undertake
      and carry out any project or to refund outstanding bonds, said board
      shall adopt a resolution describing generally the contemplated
      project and setting forth the estimated cost thereof, or describing
      the obligations to be refunded, fixing the amount of bonds to be
      issued, the maturity or maturities, the interest rate or rates and
      all details in respect thereof.  Such resolution shall contain such
      covenants as may be determined by the board as to the issuance of
      additional bonds that may thereafter be issued payable from the
      student fees and charges and institutional income received by the
      particular institution, the amendment or modification of the
      resolution authorizing the issuance of any bonds, the manner, terms,
      and conditions and the amount or percentage of assenting bonds
      necessary to effectuate such amendment or modification, and such
      other covenants as may be deemed necessary or desirable.  In the
      discretion of the board any bonds issued under the terms of this
      chapter may be secured by a trust indenture by and between the board
      and a corporate trustee, which may be any trust company or bank
      having the powers of a trust company within or without the boundaries
      of the state of Iowa, but no such trust indenture shall convey or
      mortgage the buildings and facilities or any part thereof.  The
      provisions of this chapter and of any resolution or other proceedings
      authorizing the issuance of bonds and providing for the establishment
      and maintenance of adequate student fees and charges and the
      application of the proceeds thereof, together with institutional
      income, shall constitute a contract with the holders of such bonds.
      
         Section History: Early Form
         [C71, 73, 75, 77, 79, 81, § 262A.7]