(1) (a) The authority has the power and is authorized to issue from time to time its notes and bonds in such principal amounts as the authority determines to be necessary to provide sufficient funds for achieving any of its corporate purposes, including the payment of interest on notes and bonds of the authority, the establishment of reserves to secure such notes and bonds, and all other expenditures of the authority incident to and necessary or convenient to carry out its corporate purposes and powers.
(b) (I) The authority has the power, from time to time, to issue:
Notes to renew notes;
Bonds to pay notes, including the interest thereon, and, whenever it deems refundingexpedient, to refund any bonds or obligations of other public entities, whether the bonds or such other obligations to be refunded have or have not matured; and
Bonds partly to refund bonds or obligations of other public entities then outstandingand partly for any of its corporate purposes.
(II) Refunding bonds issued pursuant to this paragraph (b) may be exchanged for the bonds or obligations of other public entities to be refunded or sold and the proceeds applied to the purchase, redemption, or payment of such bonds or obligations.
The authority has the power to provide for the replacement of lost, destroyed, ormutilated bonds or notes.
Except as may otherwise be expressly provided by the authority, every issue of itsnotes and bonds shall be general obligations of the authority payable out of any revenues or moneys of the authority, subject only to any agreements with the holders of particular notes or bonds pledging any particular revenues.
The notes and bonds shall be authorized by a resolution adopted by the board.
Any resolution authorizing any notes or bonds or any issue thereof may contain provisions, which shall be a part of the contract with the holders thereof, as to:
Pledging all or any part of the revenues of the authority to secure the payment of thenotes or bonds or of any issue thereof, subject to such agreements with noteholders or bondholders as may then exist;
Pledging all or any part of the assets of the authority to secure the payment of thenotes or bonds or of any issue of notes or bonds, subject to such agreements with noteholders or bondholders as may then exist, such assets to include:
Any grant or contribution from the federal government or any corporation,
association, institution, or person; or
Financing agreements, mortgages or home improvement loans, and obligations securing the same;
The use and disposition of the gross income from financing agreements and mortgages owned by the authority and payment of principal of financing agreements and mortgages owned by the authority;
The setting aside of reserves or sinking funds and the regulation and dispositionthereof;
Limitations on the purpose to which the proceeds of sale of notes or bonds may beapplied and pledging such proceeds to secure the payment of the notes or bonds or of any issue thereof;
Limitations on the issuance of additional notes or bonds, the terms upon which additional notes or bonds may be issued and secured, and the refunding of outstanding or other notes or bonds;
The procedure, if any, by which the terms of any contract with noteholders or bondholders may be amended or abrogated, the amount of notes or bonds the holders of which must consent thereto, and the manner in which such consent may be given;
Limitations on the amount of moneys to be expended by the authority for operatingexpenses of the authority;
Vesting in a trustee such property, rights, powers, and duties in trust as the authoritymay determine, which may include any or all of the rights, powers, and duties of the trustee appointed by the bondholders pursuant to this part 7, and limiting or abrogating the right of the bondholders to appoint a trustee under this part 7 or limiting the rights, powers, and duties of such trustee;
Defining the acts or omissions to act which shall constitute a default in the obligations and duties of the authority to the holders of the notes or bonds and providing for the rights and remedies of the holders of the notes or bonds in the event of such default, including as a matter of right the appointment of a receiver; except that such rights and remedies shall not be inconsistent with the general laws of this state and the other provisions of this part 7;
Any other matters, of like or different character, which in any way affect the securityor protection of the holders of the notes or bonds.
The bonds or notes of each issue may, in the discretion of the authority, be maderedeemable before maturity at such prices and under such terms and conditions as may be determined by the authority. Notes shall mature at such time as may be determined by the authority, and bonds shall mature at such time or times, not exceeding forty-five years from their date of issue, as may be determined by the authority. The notes and bonds shall bear interest at such fixed or variable rate or rates determined by or in accordance with methods approved by the authority without regard to any interest rate limitation appearing in any other law of this state, be in such denominations, be in such form, either coupon or registered, carry such registration privileges, be executed in such manner, be payable in such medium of payment and at such place, and be subject to such terms of redemption as the authority may provide. The notes and bonds of the authority may be sold by the authority, at public or private sale, at such price as the board shall determine.
In case any officer whose signature or a facsimile of whose signature appears on anybonds or notes or coupons attached thereto ceases to be such officer before the delivery thereof, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office until such delivery. The board may also provide for the authentication of the bonds or notes by a trustee or fiscal agent.
Prior to the preparation of definitive bonds or notes, the authority may, under likerestrictions, issue interim receipts or temporary bonds or notes until such definitive bonds or notes have been executed and are available for delivery.
The authority, subject to such agreements with noteholders or bondholders as maythen exist, has the power out of any funds available therefor to purchase notes or bonds of the authority, which shall thereupon, at the election of the authority, be canceled.
In the discretion of the authority, the bonds may be secured by a trust indenture byand between the authority and a corporate trustee, which may be any trust company or bank having the power of a trust company within or without this state. Such trust indenture may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the authority in relation to the exercise of its corporate powers and the custody, safeguarding, and application of all moneys. The authority may provide by such trust indenture for the payment of the proceeds of the bonds and the revenues to the trustee under such trust indenture or other depository and for the method of disbursement thereof, with such safeguards and restrictions as it may determine. All expenses incurred in carrying out such trust indenture may be treated as a part of the operating expenses of the authority. If the bonds are secured by a trust indenture, the bondholders shall have no authority to appoint a separate trustee to represent them, except as may be otherwise provided in such trust indenture.
Repealed.
The authority has the power and is authorized to issue from time to time notes,bonds, and other securities which may be collateralized or otherwise secured in whole or in part by loans or participations or other interests in such loans or which may evidence loans or participations or other interests in such loans to provide net funds that are to be dedicated in whole or in part by resolution of the authority to the carrying out of one or more of the purposes of the authority. The interest on or from such notes, bonds, and other securities may be subject to or exempt from federal income taxation.
Source: L. 73: p. 812, § 1. C.R.S. 1963: § 69-11-14. L. 75: Entire section R&RE, p. 978, § 11, effective April 9. L. 76: (9) amended, p. 692, § 1, effective April 16 . L. 77:
(3)(b)(III) amended, p. 1414, § 5, effective June 19. L. 78: (9) amended, p. 441, § 1, effective February 15. L. 79: (9) amended, p. 1130, § 1, effective May 1. L. 81: (9) amended, p. 1412, § 1, effective May 21. L. 82: (3)(b)(II), (3)(c), and (9) amended, p. 468, § 10, effective April 3. L. 85: (9) amended, p. 1040, § 2, effective July 1. L. 87: (9) amended and (10) added, p. 1198, § 1, effective May 8. L. 91: (9) amended, p. 717, § 2, effective July 1. L. 2001: (9) repealed, p. 311, § 1, effective April 12. L. 2007: (1)(b)(I)(B), (1)(b)(I)(C), (1)(b)(II), (2), (4), (7), and (8) amended, p. 708, § 11, effective May 3.
Editor's note: This section was originally numbered as § 29-4-714 in C.R.S. 1973 but was renumbered on revision in the 1977 replacement volume for ease of location.
Cross references: For the "Uniform Facsimile Signature of Public Officials Act", see §§ 11-55-101 to 11-55-106.