Form of bonds

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    (a)    A State unit authorized to issue bonds may issue bonds:

        (1)    in coupon form; or

        (2)    notwithstanding any other provision of law, in a form that qualifies as a registered form under §§ 103 and 149 of the Internal Revenue Code or a regulation proposed or adopted under those sections.

    (b)    Whenever a State unit provides for the sale of bonds in registered form, the State unit may:

        (1)    establish procedures for the registration and transfer of the bonds;

        (2)    appoint any agent, including an authenticating trustee, corporate trustee, paying agent, registrar, or transfer agent;

        (3)    in connection with the establishment and maintenance of a central depository system for the transfer or pledge of the bonds, make agreements with:

            (i)    custodian banks and their nominees; or

            (ii)    financial intermediaries and their nominees; and

        (4)    exercise any other power that relates to issuance of bonds in registered form.


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