13-51A-36. Exchange or sale of refunding bonds--Use of proceeds.
Refunding bonds issued pursuant to §13-51A-35 may be exchanged for not less than an equal principal amount of bonds to be refunded or may be sold at not less than par, or may be exchanged in part and sold in part. All proceeds received at the sale thereof (excepting the accrued interest received) shall be used:
(1)If the bonds to be refunded are then due, for the payment thereof;
(2)If the bonds to be refunded are voluntarily surrendered with the consent of the holder or holders thereof, for the payment thereof;
(3)If the bonds to be refunded are then subject to prior redemption by their terms, for the redemption thereof;
(4)If the bonds to be refunded are not then subject to payment or redemption, to purchase direct obligations of the United States of America so long as such obligations will mature at such time or times, with interest thereon or the proceeds received therefrom, to provide funds adequate to pay when due or called for redemption prior to maturity the bonds to be refunded, together with the interest accrued thereon and any redemption premium due thereon, and such proceeds or obligations of the United States of America shall, with all other funds legally available for such purpose, be deposited in escrow with a banking corporation, or national banking association, located in and doing business in the State of South Dakota, with power to accept and execute trusts, or any successor thereto, which is also a member of the Federal Deposit Insurance Corporation and of the Federal Reserve System, to be held in an irrevocable trust solely for and until the payment and redemption of the bonds so to be refunded, and any balance remaining in said escrow after the payment and retirement of the bonds to be refunded shall be returned to said board to be used and held for use as revenues pledged for the payment of said refunding bonds; or
(5)For any combination thereof.
Source: SL 1971, ch 134, §4 (C).
Structure South Dakota Codified Laws
Chapter 51A - Board Of Regents Revenue Bonds
Section 13-51A-1 - Definition of terms.
Section 13-51A-2 - Power to acquire property.
Section 13-51A-3 - Power to accept grants.
Section 13-51A-4 - Borrowing power of board.
Section 13-51A-5 - Interim notes authorized--Purposes.
Section 13-51A-6 - Terms of interim notes--Maturity date--Extension.
Section 13-51A-7 - Security for payment of interim notes--Sources of payment.
Section 13-51A-8 - Additional provisions to make interim notes salable.
Section 13-51A-9 - Registration of interim notes--Interest payments--Redemption.
Section 13-51A-10 - Execution of interim notes.
Section 13-51A-11 - Sale of interim notes.
Section 13-51A-12 - Payment of interim notes on issuance of bonds.
Section 13-51A-13 - Power to issue bonds--Purposes--Resolution--Signatures.
Section 13-51A-14 - Terms of bonds.
Section 13-51A-15 - Pledge of income for security of bonds.
Section 13-51A-16 - Rights of prior bondholders protected.
Section 13-51A-17 - Covenant to maintain adequate income for bond retirement.
Section 13-51A-18 - Covenant against debt or charge endangering income pledged to bond retirement.
Section 13-51A-19 - Covenant against alienation of project so as to endanger bond security.
Section 13-51A-20 - Additional covenants for security of bonds.
Section 13-51A-21 - Trustee for bondholders--General powers--Trust agreement.
Section 13-51A-22 - Covenants to take actions for benefit of bondholders.
Section 13-51A-23 - Prohibition against obligating state.
Section 13-51A-24 - Limited obligation of bonds.
Section 13-51A-25 - Recording not required to perfect lien.
Section 13-51A-27 - Sale of bonds--Minimum price.
Section 13-51A-28 - Negotiability of bonds.
Section 13-51A-29 - Bonds as legal investments.
Section 13-51A-30 - Deposit of bond proceeds and revenues--Security--Disbursement.
Section 13-51A-31 - Agreements as to custody of funds.
Section 13-51A-32 - Actions for enforcement of chapter and resolutions.
Section 13-51A-33 - Power to issue refunding bonds for matured obligations.
Section 13-51A-35 - Power to issue refunding bonds for unmatured obligations.
Section 13-51A-36 - Exchange or sale of refunding bonds--Use of proceeds.
Section 13-51A-37 - Contracts and leases to carry out purposes.
Section 13-51A-38 - Parietal rules.
Section 13-51A-39 - Establishment and collection of fees.
Section 13-51A-40 - Retention of revenues by board.
Section 13-51A-41 - Accounting for project financing--Audits.
Section 13-51A-42 - Supplemental nature of chapter--Conflicting provisions.