§ 160A-517. Powers in connection with issuance of bonds.

§ 160A‑517.  Powersin connection with issuance of bonds.

(a)        In connection with the issuance of bonds or the incurring ofobligations and in order to secure the payment of such bonds or obligations,the commission, in addition to its other powers, shall have power:

(1)        To pledge all or any part of its gross or net rents, fees orrevenues to which its right then exists or may thereafter come into existence;

(2)        To mortgage all or any part of its real or personalproperty, then owned or thereafter acquired;

(3)        To covenant against pledging all or any part of its rents,fees and revenues, or against mortgaging all or any part of its real orpersonal property, to which its right or title then exists or may thereaftercome into existence or against permitting or suffering any lien on suchrevenues or property; to covenant with respect to limitations on its right tosell, lease or otherwise dispose of any redevelopment project or any partthereof; and to covenant as to what other, or additional debts or obligationsmay be incurred by it;

(4)        To covenant as to the bonds to be issued and as to theissuance of such bonds in escrow or otherwise, and as to the use anddisposition of the proceeds thereof; to provide for the replacement of lost,destroyed or mutilated bonds, to covenant against extending the time for thepayment of its bonds or interest thereon; and to covenant for the redemption ofthe bonds and to provide the terms and conditions thereof;

(5)        To covenant (subject to the limitations contained in thisArticle) as to the amount of revenues to be raised each year or other period oftime by rents, fees and other revenues, and as to the use and disposition to bemade thereof; to create or to authorize the creation of special funds formoneys held for operating costs, debt service, reserves, or other purposes, andto covenant as to the use and disposition of the moneys held in such funds;

(6)        To prescribe the procedure, if any, by which the terms ofany contract with bondholders may be amended or abrogated, the amount of bondsthe holders of which must consent thereto and the manner in which such consentmay be given;

(7)        To covenant as to the use, maintenance and replacement ofany of or all of its real or personal property, the insurance to be carriedthereon and the use and disposition of insurance moneys, and to warrant itstitle to such property;

(8)        To covenant as to the rights, liabilities, powers andduties  arising upon the breach by it of any covenants, conditions orobligations; and to covenant and prescribe as to events of default and termsand conditions upon which any or all of its bonds or obligations shall becomeor may be declared due before maturity and as to the terms and conditions uponwhich such declaration and its consequences may be waived;

(9)        To vest in any obligees of the commissions the right toenforce the payment of the bonds or any covenants securing or relating to thebonds; to vest in any obligee or obligees holding a specified amount in bondsthe right, in the event of a default to take possession of and use, operate andmanage any redevelopment project or any part thereof, title to which is in thecommission, or any funds connected therewith, and to collect the rents andrevenues arising therefrom and to dispose of such moneys in accordance with theagreement with such obligees; to provide for the powers and duties of suchobligees and to limit the liabilities thereof, and to provide the terms andconditions upon which such obligees may enforce any covenant or rights securingor relating to the bonds; and

(10)      To exercise all or any part or combination of the powersherein granted; to make such covenants (other than and in addition to thecovenants herein expressly authorized) and to do any and all such acts andthings as may be necessary or convenient or desirable in order to secure itsbonds, or, in the absolute discretion of said commission, as will tend to makethe bonds more marketable notwithstanding that such covenants, acts or thingsmay not be enumerated herein.

(b)        The commission shall have power by its resolution, trustindenture, mortgage lease or other contract to confer upon any obligee holdingor representing a specified amount in bonds, the right (in addition to allrights that may otherwise be conferred), upon the happening of an event ofdefault as defined in such resolution or instrument, by suit, action orproceeding in any court of competent jurisdiction:

(1)        To cause possession of any redevelopment project or any partthereof title to which is in the commission, to be surrendered to any suchobligee;

(2)        To obtain the appointment of a receiver of anyredevelopment  project of said commission or any part thereof, title to whichis in the commission and of the rents and profits therefrom. If such receiverbe appointed, he may enter and take possession of, carry out, operate andmaintain such project or any part therefrom and collect and receive all fees,rents, revenues, or other charges thereafter arising therefrom, and shall keepsuch moneys in a separate account or accounts and apply the same in accordancewith the obligations of said commission as the court shall direct; and

(3)        To require said commission and the commissioners, officers,agents and employees thereof to account as if it and they were the trustees ofan express trust. (1951, c. 1095, s.14; 1973, c. 426, s. 75.)