§ 45-48.1-10 - Issuance of bonds and notes.
SECTION 45-48.1-10
§ 45-48.1-10 Issuance of bonds and notes.– (a) For the purpose of raising money to carry out the provisions of thischapter, the district is authorized and empowered to issue bonds and notes inanticipation of bonds. The bonds and notes may be issued hereunder as generalobligations of the district or as special obligations payable solely fromparticular funds. Without limiting the generality of the foregoing, the bondsand notes may be issued to pay or refund notes issued in anticipation of theissuance of bonds, to pay the cost of any acquisition, extension, enlargement,or improvement of the water works system, to pay expenses of issuance of thebonds and the notes, to provide reserves for debt service, repairs, andreplacements or other costs or current expenses as may be required by a trustagreement or resolution securing bonds or notes of the district, or for anycombination of the foregoing purposes. The bonds of each issue shall be dated,bear interest at a rate or rates, and mature at a time or times not exceedingforty (40) years from their dates of issue, as may be determined by theofficers of the district, and may be made redeemable before maturity at a priceor prices and under terms and conditions that may be fixed by the officers ofthe district prior to the issue of the bonds. The officers of the districtshall determine the form of the bonds and notes, including interest coupons, ifany, to be attached to them, and the manner of their execution, and shall fixthe denomination or denominations of the bonds and notes and the place orplaces of payment of the principal and interest, which may be at any bank ortrust company within or without the state. The bonds shall bear the seal of thedistrict or a facsimile of the seal. In case any officer whose signature or afacsimile of whose signature shall appear on any notes, bonds or coupons shallcease to be an officer before the delivery thereof, the signature or facsimileshall nevertheless be valid and sufficient for all purposes as if he or she hadremained in office until after the delivery. The district may also provide forauthentication of bonds or notes by a trustee or fiscal agent. Bonds may beissued in bearer or in registered form, or both, and if notes, may be madepayable to bearer or to order, as the district may determine, and provision maybe made for the registration of any coupon bonds as to principal alone and alsoas to both principal and interest, for the reconversion into coupon bonds ofbonds registered as to both principal and interest and for the interchange ofbonds registered as to both principal and interest and for the interchange ofregistered and coupon bonds. The issue of notes shall be governed by theprovisions of this chapter relating to the issue of bonds in anticipation ofbonds as may be applicable. Notes issued in anticipation of the issuance ofbonds including any renewals, shall mature no later than five (5) years fromthe date of the original issue of the notes. The district may by resolutiondelegate to any member of the district or any combination of them the power todetermine any of the matters set forth in this section including the power toaward bonds or notes to a purchaser or purchasers at public sale. The districtmay sell its bonds and notes in a manner, either at public or private sale, fora price, at a rate or rates of interest, or at a discount in lieu of interest,as it may determine will best effect the purposes of this chapter.
(b) The district may issue interim receipts or temporarybonds, with or without coupons, exchangeable for definitive bonds when thebonds shall have been executed and are available for delivery. The district mayalso provide for the replacement of any bonds which shall have become mutilatedor shall have been destroyed or lost.