Title 10, Chapter 9, Section 50
( 10-9-50)
(a)(1) Revenue bonds issued under the authority of this article
shall not be deemed to constitute a debt of the state or a pledge
of the faith and credit of the state. The bonds shall be
enforceable against the authority only to the extent of, and only
against funds derived from, the rents, revenues, earnings, and
funds derived from the facilities designated by the resolution
authorizing the issuance of such revenue bonds or which are
otherwise available to the authority for such purposes which are
so designated, including but not limited to, rents, revenues,
earnings, and funds which are: (A) Payable to the authority by the lessee or lessees and
received by the authority from the lessee or lessees under the
lease or leases by the authority of the facilities acquired or
improved by the proceeds of such revenue bonds described in the
resolutions authorizing the issuance of such revenue bonds; (B) Payable to the authority under such contracts as may be entered into in accordance with Code Section 10-9-49, relating to the facilities acquired or improved by the proceeds of the revenue bonds or the use thereof or services provided through such facilities, which are designated as security for the revenue bonds; (C) Payable to the authority under such other contracts or
agreements relating to the facilities acquired or improved by
the proceeds of the revenue bonds as may be designated as
security for such bonds; and (D) As may otherwise be designated as security for such bonds
either: (i) which are derived from or in connection with the
facilities acquired or improved by the proceeds of the revenue
bonds or the use or operation thereof or the services provided
through such facilities; or (ii) which are otherwise available
to the authority for such purposes. The bonds shall be payable solely from the rents, revenues,
earnings, and funds described in this paragraph, except that the
bonds may, in addition and in the discretion of the authority, be
paid in part by the authority from any other source of funds
lawfully available to the authority for that purpose. The
authority shall not be obligated in any way, however, to make any
payments from any such other source of funds. (2) The issuance of the revenue bonds shall not directly or
indirectly or contingently obligate the state to continue or to
levy or pledge any form of taxation whatsoever therefor or to
continue or make any appropriation for the payment thereof.
Revenue bonds issued under the authority of this article shall not
be payable from or a charge upon any funds other than those
pledged to the payment thereof nor shall the authority be
otherwise directly or indirectly subject to any pecuniary
liability thereon. Except as provided in this article, a holder
or holders of any such revenue bonds, directly or through any
trustee or receiver, shall not have the right to enforce payment
thereof against the authority or any property of or any right of
action of or against the authority nor shall any such revenue
bonds constitute a charge, lien, or encumbrance, legal or
equitable, upon any property of or any right of action of or
against the authority. (b) Notice of the limitations of this Code section shall be set
forth on the face of the revenue bonds which shall further provide
that the obligations of the authority thereunder are limited by the
provisions of this article. |