P.R. Laws tit. 21, § 6743
As of July 1, 2014, municipalities at their discretion may choose to:
(a) Receive advances twice a year, which shall consist of the estimated revenues of the following six (6) months based on that same period during the immediately preceding year, which shall never be later than July and January 10 of each year, subject to the conditions and penalties of the Municipal Finance Corporation Act, §§ 6751 et seq. of this title;
(b) semiannually withdraw any excess available in the Municipal Redemption Fund, as defined in subsection (ii) of Section 3 of this Act[sic], once the debt service payment is made,
(c) if the GDB refinances any existing loans whose source of repayment or guarantee is forty percent (40%) of the zero point five percent (0.5%) of the State IVU provided in § 6741 of this title, the GDB shall assume any increase in the interest rate, but only until such obligations become due, and
(d) require priority in the distributions of revenues from the one percent (1%) Municipal IVU after the COFIM’s “fixed income” payment is made, subject to the following two conditions:
(1) To assign to the municipalities that chose not to exercise this option the amounts of the Municipal Development Fund corresponding to forty percent (40%) of the zero point five percent (0.5%) of the State IVU referred to in subsection (i) of Section 3 of this Act[sic], and
(2) to refrain from resorting to the GDB to obtain loans backed or pledged by the revenues generated by the Municipal IVU.
In order for a municipality to avail itself of this option, it shall sign an agreement with the GDB after the approval of this act, but prior to its effective date of February 1, 2014.
History —Jan. 24, 2014, No. 18, § 1.4, eff. Feb. 1, 2014.