16A.66 REFUNDING BONDS.
Subdivision 1. Authority; reduction of tax and appropriation for refunded bonds.
commissioner may, with the approval by resolution of the Executive Council, issue state bonds in
accordance with section
to refund any outstanding state bonds and interest on them.
The proceeds of refunding bonds shall be credited to the account established within the state
bond fund for the bonds to be refunded, and shall be credited only against the appropriations in
16A.641, subdivisions 9 and 10
and the tax required by the Constitution with respect
to the refunded bonds and interest.
Subd. 2. Special provisions for sale and issuance.
Refunding bonds may be sold publicly,
or directly to the State Board of Investment without bids, or may be exchanged for bonds refunded
by agreement with their holders. The refunding bonds must be prepared, executed, delivered,
and secured in the same way as the refunded bonds. The proceeds of refunding bonds may be
deposited, invested, and applied to accomplish the refunding as provided in section
subdivisions 5 to 10
. The interest rate on refunding bonds may exceed that on the refunded
bonds if the purpose of refunding is to extend the maturities and to reduce the amount needed
annually to pay and to secure the debt.
Subd. 3. Appropriation.
The money needed to carry out this section is appropriated annually.
History: 1969 c 1047 s 2; 1973 c 35 s 1; 1973 c 492 s 14; 1976 c 2 s 172; 1Sp1981 c 1 art
10 s 1; 1983 c 301 s 96-98; 1984 c 597 s 36; 1984 c 628 art 2 s 1; art 6 s 1