P.R. Laws tit. 23, § 6475
(a) Definitions. — The following words and terms when used or referred to in this chapter, shall have the meaning indicated below unless the context clearly indicates otherwise. Present tenses also include the future, and the masculine gender also includes the feminine, except in cases that such an interpretation would be absurd. The singular mode includes the plural and the plural includes the singular.
(1) AFICA. — Means the Puerto Rico Industrial, Tourist, Educational, Medical and Environmental Control Facilities Financing Authority, a legal entity and public corporation and instrumentality of the Commonwealth of Puerto Rico, duly constituted through §§ 1251 et seq. of Title 12.
(2) Authority. — Means the Puerto Rico Convention Center District Authority, a pubic corporation and instrumentality of the Commonwealth of Puerto Rico, created by virtue of §§ 6401 et seq. of this title, or any subsidiary corporation of the Authority created to comply with the purposes envisioned herein for the Authority.
(3) Bank. — Means the Government Development Bank for Puerto Rico.
(4) Bonds. — Means the bonds, notes and other obligations of the Puerto Rico Convention Center District Authority or the Corporation issued to finance the Project.
(5) Loan contract. — Means the loan contract or loan contracts between the Bank and the Debtor related to the financing of the Project.
(6) Corporation. — Means the Puerto Rico Public Financing Corporation, a subsidiary corporation of the Bank.
(7) Debtor. — Means the Authority.
(8) Loan. — Means the loan between the Bank and the Debtor under the loan contract.
(9) Obligations. — Means the obligations of the Debtor under its notes, agreements or financing contracts granted in behalf of the Corporation with regard to the refinancing of the loan and the financing of the undisbursed portion. In the event that the Authority is the issuer of the bonds, the term obligations means the bonds.
(10) Other payment obligations. — Means the payments required pursuant to agreements of interest rate changes or agreements contracted with regard to the bonds, including liquidation payments, payments to credit purveyors or of liquidity issued with regard to the bonds, redemption fees payable with respect to the bonds, and any other payment required under the bonds or pursuant to any other trust agreement or contract related to the bonds that the Debtor is bound to pay pursuant to an agreement with the Corporation, or for any other reason.
(11) Undisbursed portion. — Means the undisbursed portion of the loan.
(12) Project. — Means the development, construction, acquisition of equipment and furnishings of a new enclosed multiuse stadium to be located in San Juan, Puerto Rico;
(b) Payment of the financing and the public debt of the Coliseum:
(1) The Commonwealth of Puerto Rico shall honor the payment of the principal and interest of the obligations and the payment of the other obligations for payment incurred by the debtor upon refinancing the balance of the loan and financing the undisbursed portion, including the payment of the amount added to the principal of the obligations for transactional expenses and the cost of the bond issue, plus the amounts deposited in any reserve account securing the bonds, by means of budget appropriations approved by the Legislature for the operating budgets of each of the next thirty (30) fiscal years, commencing in fiscal year 2005-2006. For this purpose, the Director of the Office of Management and Budget shall include in each of the operating budgets of the Commonwealth of Puerto Rico submitted annually by the Governor of Puerto Rico to the Legislature, the amounts needed to meet the annual payment of the principal and interest of the obligations and to defray the other payment obligations during the next thirty (30) fiscal years, commencing in fiscal year 2005-2006 and ending in fiscal year 2035-2036. The budget appropriations authorized in this chapter shall be used exclusively for the payment of the principal and interest of the obligations and to pay the other payment obligations, and for any other related expense, and shall not be used for any other purpose, nor shall they be subject to claims by any other creditors of the debtor.
The principal amount of the obligations, excluding any reserve covered with the monies generated by the Bonds, shall not exceed two hundred million dollars ($200,000,000). The obligations shall be payable no later than August 1st, 2036.
(2) The Secretary of the Treasury shall deposit the funds appropriated under this section annually on or before July 15th of each year on each of the years referred to in clause (1) of this subsection into a special account in the Government Development Bank, or any other banking entity acting as trustee of the bonds. If necessary, the Secretary of the Treasury may advance those amounts necessary to defray the principal and interest of the obligations and the payment of the other payment obligations from any available funds.
(3) The Authority shall deposit the annual net profits resulting from the operation of the Coliseum into a separate account to be used for unforeseen repairs or replacements, expenses authorized by the Board, and transfers to the Department of the Treasury for the repayment of the bonds, as provided in this section. No later than ninety (90) days from the end date of the financial statement of the operations of the Coliseum and once the balance of said account reaches or accumulates the amount of five hundred thousand dollars ($500,000), the Authority shall remit to the Department of the Treasury the net profits in excess of five hundred thousand dollars ($500,000) generated by said operation during the corresponding fiscal year. The stated amount of five hundred thousand dollars ($500,000) or a lesser amount resulting before the account reaches or accrues said balance, shall be withheld in the account as a reserve for unforeseen repairs or replacements or expenses authorized by the Board. No later than ninety (90) days from the end date of the financial statement of the operations of the Coliseum, corresponding to each fiscal year subsequent to the fiscal year in which the balance of the account reaches the amount of five hundred thousand dollars ($500,000), and until the year 2036, the Authority shall remit to the Department of the Treasury the net profits generated by said operations during the corresponding fiscal year, after retaining in the account the amount needed to replace any amount that may have been used from the five hundred thousand dollars ($500,000) reserve so that at the beginning of each new fiscal year, the balance of the account shall not be less than five hundred thousand dollars ($500,000). This five hundred thousand dollars ($500,000) reserve shall be in addition to any reserve required by any contract for the administration of the Coliseum or related to the bond issue. The amounts remitted by the Authority to the Department of the Treasury shall be used for the repayment of the bonds. The Department of the Treasury shall cover any operational deficiency of the Coliseum.
History —Sept. 2, 2000, No. 351, added as § 6.15 on Aug. 3, 2004, No. 185, § 6; Jan. 20, 2006, No. 14, § 1.