SEC. 51-23-27. Details of bonds; supplemental powers conferred in issuance of bonds.
All such bonds provided for by section 51-23-25 shall be negotiable instruments within the meaning of the Uniform Commercial Code of this state, shall be lithographed or engraved and printed in two (2) or more colors to prevent counterfeiting, shall be in denominations of not less than one thousand dollars ($1,000.00) nor more than five thousand dollars ($5,000.00), shall be registered as issued, and shall be numbered in a regular series from one (1) upward. Each such bond shall specify on its face the purpose for which it was issued and the total amount authorized to be issued, shall be payable to bearer, and the interest to accrue thereon shall be evidenced by proper coupons to be attached thereto. Such bonds shall bear interest at such rate or rates, not exceeding six percent (6%) per annum, as may be determined by the sale of such bonds. They shall mature annually in such amounts and at such times as shall be provided by the resolution of the board of directors. No bond shall have a longer maturity than thirty (30) years, and the first maturity date thereof shall be not more than five (5) years from the date of such bonds. The denomination, form and place or places of payment of such bonds shall be fixed in the resolution of the board of directors of the district. Such bonds shall be signed by the president and the secretary of such board, with the seal of the district affixed thereto; but the coupons may bear only the facsimile signatures of such president and secretary. All interest accruing on such bonds so issued shall be payable semiannually, except that the first interest coupon attached to any such bond may be for a period not exceeding one (1) year.
The resolution issuing said bonds may provide that such bonds may be called in, paid and redeemed in inverse numerical order on any interest date prior to maturity, upon not less than thirty (30) days' notice to the paying agent or agents designated in such bonds, and at such premium as may be designated in such bonds. However, in no case shall any premiums exceed six percent (6%) of the face value of such bonds.
All such bonds shall contain in substance a statement to the effect that they are secured solely by a pledge of the net revenues of such district, including the avails of the one-half ( 1 /2 ) mill ad valorem tax levy provided for in section 51-23-11, and that they do not constitute general obligations of the state of Mississippi or of the counties comprising said district, and are not secured by a pledge of the full faith, credit and resources of said state or of such counties.
All such bonds as provided for herein shall be sold at public sale as now provided by law. No such sale shall be at a price so low as to require the payment of interest on the money received therefor at more than six percent (6%) per annum computed with relation to the absolute maturity of the bonds, in accordance with standard tables of bond values, excluding from such computation the amount of any premium to be paid on redemption of any bonds prior to maturity.
This chapter shall be full and complete authority for the issuance of the bonds provided for herein, and no restriction or limitation otherwise prescribed by law shall apply herein.
Notwithstanding the foregoing provisions of this section, bonds referred to hereinabove may be issued pursuant to the supplemental powers and authorizations conferred by the provisions of the Registered Bond Act, being sections 31-21-1 through 31-21-7.
SOURCES: Codes, 1942, Sec. 5956-370; Laws, 1968, ch. 268, Sec. 4; 1983, ch. 494, Sec. 21, eff from and after passage (approved April 11, 1983).
1997 Amendment
SECTION 8. Sections 51-23-19, 51-23-21, 51-23-23, 51-23-25, 51-23-27, 51-23-29, 51-23-31, 51-23-33, 51-23-35, 51-23-37, 51-23-39, 51-23-41, 51-23-43, 51-23-45, 51-23-47 and 51-23-49, Mississippi Code of 1972, which place certain requirements on the issuance of construction contracts, authorize the district to provide park and recreation facilities, authorize the board of directors to adopt rules and regulations and to designate depositories for district funds, authorize the board of directors to issue bonds and notes, provide for a limitation on the amount on and for validation of bonds and notes, authorize the board of directors to enter into trust agreements and to issue refunding bonds, declare bonds as legal investments, provide for certain agreements, cooperation with other government agencies and severability, exempt the district and its bonds from taxation and provide the intent of the Legislature regarding overflow of school lands, are repealed.
SOURCE: 1997 Laws, Chapter 403, Sec. 8, SB2937, Effective July 1, 1997.