Code of Alabama
Division 2 - Montgomery I-65 Corridor Development Authority.
Section 45-51A-31.29 - Loans, Sales, Grants, Guarantees, Obligations, etc., to Authority by Counties, Municipalities, and Public Corporations.

(a) Subject to the requirements of the Constitution of Alabama of 1901 as amended from time to time, specifically including, but without limitation Amendment 713, to the Constitution of Alabama of 1901, for purposes of securing services of or the right to use or the use by its citizens or customers of one or more projects of the authority, or aiding or cooperating with the authority in the planning, development, undertaking, acquisition, construction, extension, improvement, financing, operation, or protection of a project, any county, municipality or other political subdivision, public corporation, agency, or instrumentality of this state, upon such terms and with or without consideration, as it may determine:
(1) Lend or donate money to, guarantee all or any part of the indebtedness or operating expense of, or perform services for the benefit of, the authority.
(2) Donate, sell, convey, transfer, lease, or grant to the authority, without the necessity of authorization at any election of qualified voters, any property of any kind including, but without limitation, any project, any interest in any thereof, and any franchise.
(3) Contract with the authority or enter into a lease under such terms as may be mutually agreeable, including a contract obligating it to purchase a certain service or product from the authority for a stipulated price in a stipulated period of time, or to pay for such service or product whether or not it receives it or lease all or part of a project for a stipulated rental for a stipulated period of time, or to pay such rental whether or not the leased facilities are available to it.
(4) Do any and all things, whether or not specifically authorized in this section, not otherwise prohibited by law, that are necessary or convenient to aid and cooperate with the authority in the planning, undertaking, acquisition, construction, financing, or operation of its projects.
(5) Issue its obligations in order to provide moneys to make any loan, donation, or payment authorized in this subsection.
(6) Provide for payment of such obligations of the authority by irrevocable trust fund created by agreement with a bank or trust company.
(b) Any obligations issued by a county or a municipality pursuant to authorization in this section may be either general obligations or special obligations payable solely from a specified source or sources, which source or sources may include any public revenues, or portions thereof, which the county or municipality may lawfully use for such purpose. Such county or municipality may pledge for payment of the principal of and interest on any such obligations that are general obligations any public revenues that may lawfully be used for such purpose and may pledge for the benefit of any such special obligations issued by it so much as may be necessary for the payment of the public revenues from which the special obligations are made payable.
(c) Any such county or municipal obligations shall be in such form or forms and denomination or denominations, may bear no interest or such rate or rates of interest payable and evidenced in such manner, and may have such maturities of principal all as may be provided by ordinance or resolution adopted by the governing body of the issuing county or municipality; provided, that:
(1) Any such obligations that are payable solely from public revenues of the character referred to in subdivision (4) of Section 11-81-16 shall not have a maturity date later than 50 years after their date.
(2) Any such obligations, other than those described in subdivision (1), shall not have a maturity later than 30 years after their date. Any obligations issued pursuant to this section shall be made subject to redemption prior to maturity to the extent required by Chapter 82 of Title 11, and any such obligations shall also be subject to, and shall be issued in accordance with, the applicable provisions of Articles 1 and 2, commencing with Section 11-81-1 and Section 11-81-50, respectively, of Chapter 81 of Title 11, except that the maturities of any obligations issued under this section, the sources of the payment thereof and the pledges that may be made therefor shall be as herein specifically provided.
(d) Any resolution or ordinance authorizing the issuance of any indebtedness, loans, grants, etc., pursuant to Section 45-51A-31.30 and any trust agreement or indenture entered into under this subpart to finance in whole or in part the acquisition, construction, reconstruction, improvement, equipment, alteration, repair, or extension of any project, may contain covenants as to:
(1) The rates, fees, tolls, or other charges to be charged for the output, capacity, use, or service of the project and other resources of the authority sufficient to meet operating and maintenance expenses, renewals, and replacements to such project, debt service on bonds, creation and maintenance of reserves required by the bond resolution, trust agreement or indenture pursuant to which the issuance of bonds may be authorized, and to provide for any margins or coverages over and above debt service on the bonds deemed desirable for the marketability of the bonds.
(2) The use and disposition of the revenues to be derived from the project.
(3) The creation and maintenance of sinking funds or reserves and the regulation, use, and disposition thereof, including debt service reserve, renewal and replacement reserve, working capital reserves, and any other reserves which may be reasonably required by the authority for the owner-ship, lease, operation, or disposition of its projects and which may be authorized by the resolution or ordinance, trust agreement, or indenture pursuant to which the issuance of the bonds may be authorized.