Text: HF00557 Text: HF00559 Text: HF00500 - HF00599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 261A.34, subsection 3, Code 1997, is 1 2 amended to read as follows: 1 3 3. "Project" means any property located within the state, 1 4 constructed or acquired before or after July 1, 1985 that may 1 5 be used or will be useful in connection with the instruction, 1 6 feeding, or recreation of students, the conducting of 1 7 research, administration, or other work of an institution, or 1 8 any combination of the foregoing. "Project" includes, but is 1 9 not limited to, any academic facility, administrative 1 10 facility, assembly hall, athletic facility, instructional 1 11 facility, laboratory, library, maintenance facility, student 1 12 health facility, recreational facility, research facility, 1 13 student union, or other facility suitable for the use of an 1 14 institution. "Project" also means the refunding or 1 15 refinancing of outstanding obligations, mortgages, or 1 16 advances, including advances from an endowment or similar 1 17 fund, originally issued, made, or given by the institution to 1 18 finance the cost of a project. "Project" also includes a 1 19 project that is to be leased by the authority to an 1 20 institution. 1 21 Sec. 2. Section 261A.36, Code 1997, is amended to read as 1 22 follows: 1 23 261A.36 ISSUANCE OF OBLIGATIONS. 1 24 The authority may issue obligations of the authority for 1 25 any of its corporate purposes as provided for in this division 1 26 including the issuing of obligations to finance projects to be 1 27 leased by the authority to an institution, and fund or refund 1 28 the obligations pursuant to this division. 1 29 Sec. 3. Section 261A.37, Code 1997, is amended to read as 1 30 follows: 1 31 261A.37 LOANS AUTHORIZED. 1 32 The authority may make loans to an institution for the cost 1 33 of a project or in anticipation of the receipt of tuition by 1 34 the institution in accordance with an agreement between the 1 35 authority and the institution, except that a loan for the cost 2 1 of a project shall not exceed the total cost of the project, 2 2 as determined by the institution and approved by the authority 2 3 and except that loans in anticipation of the receipt of 2 4 tuition shall not exceed the anticipated amount of tuition to 2 5 be received by the institution in the one-year period 2 6 following the date of the loan. The authority may lease 2 7 projects to institutions under the terms of lease agreements 2 8 determined by the institution and the authority, except that 2 9 the term of the lease shall not exceed the estimated useful 2 10 economic life of the project. 2 11 Sec. 4. Section 261A.38, Code 1997, is amended to read as 2 12 follows: 2 13 261A.38 ISSUANCE OF OBLIGATIONS – CONDITIONS. 2 14 The authority may issue obligations and make loans to an 2 15 institution or may issue obligations to finance projects to be 2 16 leased by the authority to an institution and refund, 2 17 refinance or reimburse outstanding obligations, indebtedness, 2 18 mortgages, or advances, including advances from an endowment 2 19 or any similar fund, issued, made, or given by the 2 20 institution, whether before or after July 1, 1985, for the 2 21 cost of a project, when the authority finds that the financing 2 22 prescribed in this section is in the public interest, and 2 23 either alleviates a financial hardship upon the institution, 2 24 results in a lesser cost of education, or enables the 2 25 institution to offer greater security for a loan or loans to 2 26 finance a new project or projects or to effect savings in 2 27 interest costs or more favorable amortization terms. 2 28 Sec. 5. Section 261A.42, unnumbered paragraph 1, Code 2 29 1997, is amended to read as follows: 2 30 The authority may provide by resolution for the issuance of 2 31 obligations for the purpose of paying, refinancing, or 2 32 reimbursing all or part of the cost of a project.The2 33authority shall not have outstanding at any one time2 34obligations issued pursuant to this division in an aggregate2 35principal amount exceeding one hundred fifty million dollars.3 1 Except to the extent payable from payments to be made on 3 2 federally guaranteed securities as provided in section 3 3 261A.45, the principal of and the interest on the obligations 3 4 shall be payable solely out of the revenue of the authority 3 5 derived from the project to which they relate and from other 3 6 facilities pledged or made available for this purpose by the 3 7 institution for whose benefit the obligations were issued. 3 8 The obligations of each issue shall be dated, shall bear 3 9 interest at rate or rates, without regard to any limit 3 10 contained in any other statute or law of the state, and shall 3 11 mature at times not exceeding forty years from the date of 3 12 issuance, all as determined by the authority; and may be made 3 13 redeemable before maturity at the prices and under terms fixed 3 14 by the authority in the authorizing resolution. 3 15 EXPLANATION 3 16 The bill eliminates the maximum amount of bonds which the 3 17 Iowa higher education loan authority may have outstanding to 3 18 finance improvements at private colleges. The bill would also 3 19 permit the authority to issue its obligations and make loans 3 20 to institutions in anticipation of the receipt of tuition by 3 21 the institutions and would permit the authority to issue its 3 22 obligations to finance projects which would be leased to 3 23 institutions. 3 24 LSB 2551HH 77 3 25 mg/jj/8.1
Text: HF00557 Text: HF00559 Text: HF00500 - HF00599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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