Should the maturity dates of federal securities held by the state bond retirement commission fail to coincide with the maturity dates of the full faith and credit bonds of the state to the extent that the funds belonging to the state bond retirement revolving fund shall be inadequate to pay the principal of full faith and credit bonds on any maturity date as required by the terms of Sections 31-17-27 through 31-17-43, then in such event the commission is hereby authorized and directed to either sell a sufficient amount of its securities to realize the amount necessary to pay the principal of such maturing bonds or borrow from other sources an amount necessary to provide the funds with which to make such payment, at the lowest and best rate of interest obtainable, after having publicly advertised for bids. The commission shall not pay a higher rate of interest than two percent (2%) for such loans. Such loans shall be evidenced by notes signed in the name of the State of Mississippi by the commission. No such loan shall be made unless there are federal securities held by the commission maturing not later than two (2) years next after the date of the note evidencing the loan, which said federal securities so held, together with the interest thereon, shall be sufficient in amount to retire the said loan and the interest thereon. In no event shall any federal securities held by the commission under the terms of said sections be pledged, hypothecated, or otherwise given as security for any such loan. The chairman of the commission shall accompany each note evidencing funds borrowed with his certificate showing in detail the federal securities held by the commission, the proceeds of which are to be used for the retirement of the said loan. When such certificate shall show that as of the date of any such loan, there was then held by the commission federal securities the par value of which, together with the interest thereon, shall equal or exceed the full amount of the loan covered thereby, such loan shall be in all respects a valid, binding obligation of the State of Mississippi, and shall be promptly paid according to its tenor by the commission.
Structure Mississippi Code
Title 31 - Public Business, Bonds and Obligations
Chapter 17 - State Bonds; Retirement of Bonds
§ 31-17-21. State bonds; notice of intention to purchase
§ 31-17-23. State bonds; best bid accepted
§ 31-17-25. State bonds; purchase of bonds sold below par
§ 31-17-27. State bonds; state bond retirement revolving fund
§ 31-17-31. State bonds; deposit of federal securities
§ 31-17-33. State bonds; method of retirement by state bond retirement commission
§ 31-17-35. State bonds; maturity dates to be noted
§ 31-17-39. State bonds; expenditures from and transfer of state bond retirement revolving fund
§ 31-17-41. State bonds; records and reports of state bond retirement commission
§ 31-17-43. State bonds; expenses of state bond retirement commission
§ 31-17-45. Local bonds; repurchase authorized
§ 31-17-47. Local bonds; notice of intention to purchase
§ 31-17-49. Local bonds; purchase of bonds sold below par
§ 31-17-51. Local bonds; restrictions on purchases
§ 31-17-53. Local bonds; pledge of securities, properties, and taxes
§ 31-17-55. Local bonds; cancellation
§ 31-17-57. State and local bonds; paying agent to repay unused funds
§ 31-17-59. State and local bonds; demand for repayment
§ 31-17-61. State bonds; destruction of paid and cancelled bonds and coupons