Section 360.107

Title XXIII CORPORATIONS, ASSOCIATIONS AND PARTNERSHIPS

Chapter 360

Effective - 28 Aug 1988   

  360.107.  Bonds or notes to finance working capital, security for — working capital defined. — 1.  Notwithstanding any other provision of law to the contrary, in addition to other powers granted to the authority by sections 360.010 to 360.140, the authority shall have the power to issue bonds or notes for the purpose of making loans to, or purchasing the notes of, any educational institution or health institution for the purpose of financing working capital and all related costs of such financing, including, but not limited to, all costs, charges, fees and expenses of underwriters, advisory lawyers, consultants, accountants and of the authority.  "Working capital" as used in this section means moneys to be used by, or on behalf of, an educational institution or health institution to pay or prepay maintenance or operation expenses or any other costs that would be treated as an expense item, under generally accepted accounting principles, in connection with the ownership or operation of an educational facility or health facility, including, but not limited to, reserves for maintenance or operation expenses, interest for not to exceed one year on any loan for working capital made pursuant to this part, and reserves for debt service with respect to, and any costs necessary or incidental to, that financing.

  2.  Bonds or notes issued pursuant to this section may be secured by a pledge of payments made to the authority by the educational institution or health institution, by the notes of the educational institution or health institution, or by a pooling of such payments or notes of two or more such entities.  In connection with any financing pursuant to the power granted in this section, the authority shall have all power as set forth elsewhere by sections 360.010 to 360.140.

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(L. 1988 H.B. 1456)