§ 45-48.1-14. Defeasance of bonds or notes.
The district may at any time deposit with a trustee, a sum sufficient, with amounts then on deposit, including the debt service reserve fund, to purchase direct or guaranteed obligations of the United States of America which are adequate to pay the entire principal amount of the bonds or notes of a series, together with the interest to maturity, or to an applicable redemption date specified by the district to the trustee and any applicable redemption premium; or the district may deposit direct or guaranteed obligations of the United States of America in lieu of money for their purchase. The obligations are deemed adequate if the principal and interest payable on them are sufficient to pay the previously mentioned sums when due. Upon any deposit of money and a request by the district, the trustee shall purchase direct or guaranteed obligations of the United States of America. When adequate direct or guaranteed obligations of the United States of America are held by the trustee pursuant to this section, the bond resolution or indenture shall cease to be in effect with respect to such series of bonds or notes. The obligations and their proceeds shall be held in trust for the benefit of the bondholders or noteholders, and the trustee shall, on behalf of the district, call bonds or notes for redemption on the applicable redemption date. Any compensation or expenses of the trustee in carrying out this section shall be paid by the district, and any surplus funds held by the trustee under this section shall be remitted by the trustee to the district.
History of Section.P.L. 2003, ch. 270, § 1; P.L. 2003, ch. 364, § 1.
Structure Rhode Island General Laws
Chapter 45-48.1 - West Greenwich Water District
Section 45-48.1-1. - Creation.
Section 45-48.1-2. - Composition of board.
Section 45-48.1-3. - Officers and employees of board.
Section 45-48.1-4. - Compensation of board members.
Section 45-48.1-6. - Additional powers and limitations.
Section 45-48.1-7. - Exclusive authority for water distribution — Contracts.
Section 45-48.1-8. - Condemnation power.
Section 45-48.1-10. - Issuance of bonds and notes.
Section 45-48.1-12. - Payment of bonds and notes.
Section 45-48.1-13. - Refunding bonds and notes.
Section 45-48.1-14. - Defeasance of bonds or notes.
Section 45-48.1-15. - Credit of state and municipality not pledged.
Section 45-48.1-16. - Moneys received deemed to be trust funds.
Section 45-48.1-17. - Bonds eligible for investment.
Section 45-48.1-18. - Bonds and notes issued without consent of other entities.
Section 45-48.1-19. - Tax exemption.
Section 45-48.1-20. - Malicious damage — Civil and criminal penalties.
Section 45-48.1-21. - Records — Reports — Inspection.
Section 45-48.1-22. - Termination or dissolution of district.
Section 45-48.1-23. - Inconsistent laws or ordinances inoperative.
Section 45-48.1-24. - Provisions of act controlling.
Section 45-48.1-25. - Pledge not to alter rights of district.