A qualified interest rate management agreement meeting the requirements of this subsection may also provide that the local governmental entity’s obligations will terminate immediately and absolutely at such time as appropriated and other funds encumbered for payment by the local governmental entity pursuant to the terms of such qualified interest rate management agreement are no longer available to satisfy such obligations. The total obligation of the local governmental entity for the calendar year payable pursuant to a qualified interest rate management agreement may be stated in contingent but objective terms with respect to variable rate payments or termination payments, but in that event a qualified interest rate management agreement must provide that it will terminate immediately and absolutely at such time as appropriated and other funds encumbered for its payment are no longer available to satisfy the obligations of the local governmental entity under such agreement. A qualified interest rate management agreement executed under this subsection shall not be deemed to create a debt of the local governmental entity or otherwise obligate the payment of any sum beyond the calendar year of execution or, in the event of a renewal, beyond the calendar year of such renewal.
History. Code 1981, § 36-82-253 , enacted by Ga. L. 2005, p. 642, § 1/SB 227.
Structure Georgia Code
Article 11 - Interest Rate Management Agreements
§ 36-82-251. Qualified Interest Rate Management Agreements Authorized
§ 36-82-252. Plan Required; Annual Review of Plan and Report
§ 36-82-254. Required Information in Annual Financial Statements