§ 45-54-11. Trust agreement.
In the discretion of the corporation, any bonds issued under the provisions of this chapter may be secured by a trust agreement by and between the corporation and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or without the state. The trust agreement or the resolution providing for the issuance of the bonds may pledge or assign the revenues to be received and may convey, or mortgage or grant, a security interest in any project or any part of it or any combination of projects or parts of them. The trust agreement or resolution providing for the issuance of the bonds may contain provisions for protecting and enforcing the rights and remedies of the bondholders or noteholders as may be reasonable and proper and not in violation of law, including: covenants establishing the duties of the corporation in relation to the acquisition of property and the construction, improvement, maintenance, repair, operation, and insurance of the project or projects in connection with which the bonds have been authorized, and in relation to the custody, safeguarding, and application of all moneys; and conditions or limitations with respect to the issuance of additional bonds. It is lawful for any bank or trust company incorporated under the laws of the state which may act as depository of the proceeds of bonds or of revenues to furnish indemnifying bonds or to pledge those securities that may be required by the corporation. Any trust agreement may establish the rights and remedies of the bondholders and of the trustee, and may restrict the individual right of action by bondholders. In addition to the preceding, any trust agreement or resolution may contain any other provisions that the corporation may deem reasonable and proper for the security of the bondholders. All expenses incurred in carrying out the provisions of the trust agreement or resolution may be treated as a part of the corporation’s cost of operation and maintenance.
History of Section.P.L. 1991, ch. 421, § 1.
Structure Rhode Island General Laws
Chapter 45-54 - Municipal Detention Facility Corporations
Section 45-54-1. - Corporations created.
Section 45-54-2. - Legislative findings.
Section 45-54-3. - Definitions.
Section 45-54-4. - Resolution conclusive as to capacity of corporation.
Section 45-54-5. - Board of directors — Tenure — Quorums.
Section 45-54-7. - Exemption from taxation.
Section 45-54-9. - Eminent domain proceedings.
Section 45-54-10. - Revenue bonds.
Section 45-54-11. - Trust agreement.
Section 45-54-13. - Trust funds.
Section 45-54-15. - Negotiable instruments.
Section 45-54-16. - Refunding bonds.
Section 45-54-17. - Credit of state and political subdivisions not pledged.
Section 45-54-18. - Use of projects.
Section 45-54-19. - Capital reserves.
Section 45-54-20. - Bonds eligible for investment.
Section 45-54-21. - Limitation of powers.
Section 45-54-22. - Annual report and audit.
Section 45-54-23. - Transfers to governmental body.
Section 45-54-24. - Applicability of other laws.
Section 45-54-25. - Liberal construction.
Section 45-54-26. - Inconsistent provisions.