Text: SF00409 Text: SF00411 Text: SF00400 - SF00499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 SENATE FILE 410 1 2 1 3 AN ACT 1 4 RELATING TO THE IOWA HIGHER EDUCATION LOAN AUTHORITY BY 1 5 ELIMINATING THE LIMIT ON THE AMOUNT OF ITS OBLIGATIONS 1 6 THAT MAY BE OUTSTANDING FOR PURPOSES OF FUNDING CAPITAL 1 7 PROJECTS AND ALLOWING THE AUTHORITY TO ISSUE TUITION 1 8 ANTICIPATION NOTES AND OBLIGATIONS TO FINANCE PROJECTS 1 9 TO BE LEASED TO AN INSTITUTION. 1 10 1 11 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 1 12 1 13 Section 1. Section 261A.34, subsection 3, Code 1997, is 1 14 amended to read as follows: 1 15 3. "Project" means any property located within the state, 1 16 constructed or acquired before or after July 1, 1985 that may 1 17 be used or will be useful in connection with the instruction, 1 18 feeding, or recreation of students, the conducting of 1 19 research, administration, or other work of an institution, or 1 20 any combination of the foregoing. "Project" includes, but is 1 21 not limited to, any academic facility, administrative 1 22 facility, assembly hall, athletic facility, instructional 1 23 facility, laboratory, library, maintenance facility, student 1 24 health facility, recreational facility, research facility, 1 25 student union, or other facility suitable for the use of an 1 26 institution. "Project" also means the refunding or 1 27 refinancing of outstanding obligations, mortgages, or 1 28 advances, including advances from an endowment or similar 1 29 fund, originally issued, made, or given by the institution to 1 30 finance the cost of a project. "Project" also includes a 1 31 project that is to be leased by the authority to an 1 32 institution. 1 33 Sec. 2. Section 261A.36, Code 1997, is amended to read as 1 34 follows: 1 35 261A.36 ISSUANCE OF OBLIGATIONS. 2 1 The authority may issue obligations of the authority for 2 2 any of its corporate purposes as provided for in this division 2 3 including the issuing of obligations to finance projects to be 2 4 leased by the authority to an institution, and fund or refund 2 5 the obligations pursuant to this division. 2 6 Sec. 3. Section 261A.37, Code 1997, is amended to read as 2 7 follows: 2 8 261A.37 LOANS AUTHORIZED. 2 9 The authority may make loans to an institution for the cost 2 10 of a project or in anticipation of the receipt of tuition by 2 11 the institution in accordance with an agreement between the 2 12 authority and the institution, except that a loan for the cost 2 13 of a project shall not exceed the total cost of the project, 2 14 as determined by the institution and approved by the authority 2 15 and except that loans in anticipation of the receipt of 2 16 tuition shall not exceed the anticipated amount of tuition to 2 17 be received by the institution in the one-year period 2 18 following the date of the loan. The authority may lease 2 19 projects to institutions under the terms of lease agreements 2 20 determined by the institution and the authority, except that 2 21 the term of the lease shall not exceed the estimated useful 2 22 economic life of the project. 2 23 Sec. 4. Section 261A.38, Code 1997, is amended to read as 2 24 follows: 2 25 261A.38 ISSUANCE OF OBLIGATIONS – CONDITIONS. 2 26 The authority may issue obligations and make loans to an 2 27 institution or may issue obligations to finance projects to be 2 28 leased by the authority to an institution and refund, 2 29 refinance or reimburse outstanding obligations, indebtedness, 2 30 mortgages, or advances, including advances from an endowment 2 31 or any similar fund, issued, made, or given by the 2 32 institution, whether before or after July 1, 1985, for the 2 33 cost of a project, when the authority finds that the financing 2 34 prescribed in this section is in the public interest, and 2 35 either alleviates a financial hardship upon the institution, 3 1 results in a lesser cost of education, or enables the 3 2 institution to offer greater security for a loan or loans to 3 3 finance a new project or projects or to effect savings in 3 4 interest costs or more favorable amortization terms. 3 5 Sec. 5. Section 261A.42, unnumbered paragraph 1, Code 3 6 1997, is amended to read as follows: 3 7 The authority may provide by resolution for the issuance of 3 8 obligations for the purpose of paying, refinancing, or 3 9 reimbursing all or part of the cost of a project.The3 10authority shall not have outstanding at any one time3 11obligations issued pursuant to this division in an aggregate3 12principal amount exceeding one hundred fifty million dollars.3 13 Except to the extent payable from payments to be made on 3 14 federally guaranteed securities as provided in section 3 15 261A.45, the principal of and the interest on the obligations 3 16 shall be payable solely out of the revenue of the authority 3 17 derived from the project to which they relate and from other 3 18 facilities pledged or made available for this purpose by the 3 19 institution for whose benefit the obligations were issued. 3 20 The obligations of each issue shall be dated, shall bear 3 21 interest at rate or rates, without regard to any limit 3 22 contained in any other statute or law of the state, and shall 3 23 mature at times not exceeding forty years from the date of 3 24 issuance, all as determined by the authority; and may be made 3 25 redeemable before maturity at the prices and under terms fixed 3 26 by the authority in the authorizing resolution. 3 27 3 28 3 29 3 30 MARY E. KRAMER 3 31 President of the Senate 3 32 3 33 3 34 3 35 RON J. CORBETT 4 1 Speaker of the House 4 2 4 3 I hereby certify that this bill originated in the Senate and 4 4 is known as Senate File 410, Seventy-seventh General Assembly. 4 5 4 6 4 7 4 8 MARY PAT GUNDERSON 4 9 Secretary of the Senate 4 10 Approved , 1997 4 11 4 12 4 13 4 14 TERRY E. BRANSTAD 4 15 Governor
Text: SF00409 Text: SF00411 Text: SF00400 - SF00499 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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