New Mexico Statutes
Article 18A - Municipal Mortgage Finance
Section 58-18A-7 - Provisions of bonds and trust indentures.

A. The principal of an interest of any bonds issued pursuant to the Municipal Mortgage Finance Act may be secured by and payable from a pledge of the revenues and receipts derived from the mortgage loans and property securing the mortgage loans and the revenues and receipts otherwise derived from the program, and the issuer may provide in the ordinance or a trust indenture authorized to be entered into pursuant to the ordinance authorizing the issuance of bonds, for the subsequent issuance of additional bonds to be equally and ratably secured by such pledge. The ordinance or trust indenture may contain any agreements and provisions customarily contained in instruments securing bonds, including, without limitation, provisions relating to:
(1) the sound and economical application or [of] bond proceeds to the purposes of the program;
(2) the receipt and collection of revenues;
(3) the maintenance of insurance with respect to the mortgage loans, the property securing the mortgage loans and the bonds in reasonable amounts and the disposition of the proceeds thereof;
(4) the terms and yields of mortgage loans;
(5) the creation and maintenance of adequate reserves;
(6) the investment of funds;
(7) the rights and remedies of bondholders and any indenture trustee in the event of default; and
(8) such other provisions as the issuer deems necessary or desirable.
B. The issuer shall not have the power to obligate itself except with respect to the application of the revenues of the program and shall not have the power to incur a pecuniary liability or a charge upon its general credit or against its taxing powers.
History: Laws 1979, ch. 381, § 7.

Structure New Mexico Statutes