4-31-504 - Loans for the purchase of equipment for the use of county or volunteer fire departments by counties receiving state-shared taxes Schedule of payments.
4-31-504. Loans for the purchase of equipment for the use of county or volunteer fire departments by counties receiving state-shared taxes Schedule of payments.
(a) For the purpose of providing moneys to fund loans authorized by this part, the authority, in addition to the powers otherwise created by law, has the power and is hereby authorized to issue from time to time negotiable bonds and notes of the authority in an amount not to exceed ten million dollars ($10,000,000) in accordance with the terms set forth in §§ 4-31-105, 4-31-106 and 4-31-107(d).
(b) Bonds or notes issued pursuant to the provisions of this part shall not be issued and sold as part of an issue of bonds or notes of the authority issued pursuant to any other provisions of this chapter or any other law; provided, that the foregoing shall not prohibit the issuance of separate issues of bonds or notes pursuant to the provisions of this part.
(c) In addition to the powers otherwise granted by law, the authority has the power and is authorized to make loans to any county for the acquisition of equipment for the use of county or volunteer fire departments serving the unincorporated areas of a county pursuant to a loan agreement between the county and the authority. Such loans shall be made from the proceeds of bonds or notes issued by the authority for the purpose of making such loans.
(d) (1) (A) The authority shall establish a repayment schedule to be made by a county under a loan agreement.
(B) Such repayments shall be in such amounts as will be at least sufficient, together with other funds available therefor, to pay the principal of, and interest on, bonds and notes issued by the authority for the purpose of providing loans to counties for the purchase of equipment, and as may be necessary for the authority to maintain a reserve for debt service.
(C) The authority may collect an administrative fee in addition to such repayment schedule in an amount as may be set forth in the loan agreement.
(D) At the time of approval of a loan agreement, the annual repayment schedule applicable to all approved loans to a county under provisions of this part, when combined with the annual repayment schedules applicable to approved loans to counties under the provisions of title 68, chapter 221, parts 2 and 5, title 68, chapter 211, part 4 [repealed], or any other loan agreement entered into between the county and the authority pursuant to this chapter shall not exceed one hundred percent (100%) of the unobligated amount of annual state-shared taxes paid to the county as shown by the latest completed audit for the state's fiscal year.
(E) Nothing contained in this subsection (d) shall require a uniform test for all loans, it being the intent of the general assembly that the authority exercise discretion based on the facts and circumstances of each loan.
(F) In exercising its discretion, the authority shall take into consideration the general financial condition of the county receiving the loan.
(2) For purposes of determining compliance with this subsection (d), the annual repayment schedule for each loan shall be, in cases prior to the funding of such loans or where such loans have been financed on an interim basis other than by bonds, an estimated annual repayment schedule showing debt service requirements under the loan agreements as if the bonds to be issued to fund such loans will bear interest at a rate per annum and mature in such manner as the authority shall establish at the time of the approval of each such loan and, in cases where bonds have been issued to fund such loan, the actual debt service requirements on such bonds.
[Acts 1986, ch. 846, § 14.]