12-3427. Same; borrowing money in anticipation of issuance of bonds; restrictions; failure to issue bonds, effect. Whenever the board of directors of a port authority shall have adopted a resolution authorizing the issuance of any series of bonds hereunder and said bonds have been sold but prior to the time as of which the bonds can be delivered, the board of directors of a port authority finds it necessary to borrow money for the purpose for which the bonds were authorized, such board of directors may, by appropriate resolution, authorize the borrowing of money in anticipation of the issuance of the bonds, and the issuance of the note or notes of the board of directors to evidence such borrowing. The amount so borrowed shall not exceed the principal amount of the bonds and shall not bear interest at a rate exceeding the average interest rate of the bonds. Such note or notes shall be signed in the manner prescribed by the board of directors and shall be made payable at such time or times as the board of directors may prescribe, not later than one year from their respective dates and may be renewed from time to time by the issuance of new notes hereunder. The proceeds of any loan made under this section shall be devoted exclusively to the purpose for which the bonds shall have been authorized and the note or notes and the interest thereon shall be paid with the proceeds of the bonds simultaneously with the delivery of the bonds. If for any reason the bonds shall not be issued, the holder or holders of the notes shall be entitled to all rights which would have been enjoyed by the holders of the bonds had they been issued; and the notes shall be paid from the revenues provided for the payment of the bonds, and shall be entitled to the benefit of all covenants, agreements and rights appearing in the resolution authorizing the bonds for the benefit of the bonds.
History: L. 1969, ch. 89, ยง 27; July 1.
Structure Kansas Statutes
Chapter 12 - Cities And Municipalities
12-3401 Port authorities; definitions.
12-3404 Same; employees; advisory board; professional help.
12-3405 Same; area of jurisdiction.
12-3409 Same; validity of modification, amendment or extension of plan.
12-3411 Same; inapplicability to other laws.
12-3413 Same; budget; rents and charges; surplus of funds, use.
12-3414 Same; treasurer's bond; deposits and disbursements of funds.
12-3416 Port authorities; conditions of bonds; negotiability.
12-3417 Same; bonds; installment payment of bonds; conversion provisions.
12-3420 Same; issuance of bonds and refunding bonds; approval required.
12-3422 Same; pledges of revenues and income; powers of board of directors.
12-3423 Same; agreement with federal government.
12-3424 Same; segregation and use of proceeds; contracts for buildings and facilities.
12-3425 Same; approval of bonds by attorney general; effect.
12-3426 Same; investments in bonds of authority authorized.
12-3428 Same; sale of bonds; conditions.
12-3429 Same; emergencies; contracts.
12-3430 Same; oath and bond of trustees.
12-3431 Same; meetings open to public; records.