Haw. Rev. Stat. § 206-30

Current through Chapter 253 of the 2024 Legislative Session

Section 206-30 - Provisions of bonds

In connection with the issuance of bonds or the incurring of any obligation and to secure the payment of the bonds or obligations, the board of land and natural resources in addition to its other powers may:

(1) Pledge all or any part of its revenues under this chapter to which its right then exists or may thereafter come into existence;

(2) Covenant against mortgaging all or any part of its property, real or personal, then owned or thereafter acquired, in connection with development projects or against permitting or suffering any lien thereon;

(3) Covenant with respect to limitations on its right to sell, lease, or otherwise dispose of any project or any part thereof;

(4) Covenant against pledging all or any part of its revenues from any development project to which its right then exists or may thereafter come into existence, or against permitting or suffering any lien thereon;

(5) Covenant as to the bonds to be issued and as to the issuance of the bonds in escrow or otherwise, and as to the use and disposition of the proceeds thereof;

(6) Covenant as to what other, or additional debts may be incurred by it in the exercise of its authority under this chapter;

(7) Provide for the replacement of lost, destroyed, or mutilated bonds;

(8) Covenant that the board warrants title;

(9) Covenant as to the amount to be raised each year or other period of time by revenues under this chapter and as to the use and disposition to be made thereof;

(10) Covenant as to the use of any or all of its property, real or personal, acquired or held for use in connection with development projects under this chapter;

(11) Create or authorize the creation of special funds segregating the proceeds of any loans or grants, the revenue of any project or projects, reserves for principal and interest on its bonds and for operating contingencies and other reserves; and covenant as to the use and disposal of the moneys held in the funds;

(12) Redeem the bonds and covenant for their redemption and provide the terms and conditions thereof;

(13) Covenant against extending the time for the payment of its bonds or interest thereon;

(14) Prescribe the procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds the holders of which must consent thereto and the manner in which the consent may be given;

(15) Covenant as to the maintenance of its property acquired or held for use in connection with development projects under this chapter, and replacement thereof, the insurance to be carried thereon, and the use and disposition of insurance moneys;

(16) Vest in an obligee, in the event of a default by the board, the right to cure any such default and to advance any moneys necessary for the purpose and covenant that the moneys so advanced be an additional obligation of the board with such interest, security, and priority as may be provided in any lease or contract;

(17) Covenant and prescribe as to the events of default and terms and conditions upon which any or all of its bonds shall become or may be declared due before maturity and as to the terms and conditions upon which such declaration and its consequences may be waived;

(18) Covenant as to the rights, liabilities, powers, and duties arising upon the breach by it of any covenant, condition, or obligation;

(19) Covenant to surrender possession of a project or projects or parts thereof upon the happening of an event of default; and vest in any obligee the right, upon a default and without judicial proceedings, to take possession and use, operate, manage, and control the projects or any parts thereof and to collect and receive revenues arising therefrom in the same manner as the board itself might do and to dispose of the moneys collected in accordance with the agreement of the obligee with the board;

(20) Vest in a trustee the right to enforce any covenant to secure, or pay the bonds, or otherwise relating to the bonds; provide for the powers and duties of the trustee, limit the liabilities thereof, and provide the terms and conditions upon which the trustee or the holders of bonds, or any proportion of them may enforce any such covenant;

(21) Make covenants other than, and in addition to, the covenants herein expressly authorized, of like or different character; and execute all instruments necessary or convenient in the exercise of the powers herein granted, or in the performance of its covenants or duties, which may contain such covenants and provisions, in addition to those above specified, as the government or any purchaser of the bonds of the board may require;

(22) Make such covenants and do any and all such acts and things as may be necessary, convenient, or desirable to secure its bonds, or, in the absolute discretion of the board, tend to make the bonds more marketable, notwithstanding that such covenants, acts or things may not be enumerated herein.

HRS § 206-30

L 1961, c 6, §28; Supp, § 98J-28; HRS § 206-30