Section 3919.307 - Bonds, issue of bonds and notes, maturity, interest(a) Issue.--As evidence of indebtedness as authorized, bonds, which may be for one or more purposes, shall be issued under this chapter for all of the following purposes: (1) To fund or retire notes issued under section 306 and bonds issued under paragraph (2).(2) To provide money necessary to carry out the purposes of a debt-authorizing statute.(b) Series.--The bonds of each issue shall constitute a separate series to be designated by the issuing officials or may be combined for sale as one series with other general obligation bonds of the Commonwealth. Each series of bonds shall bear such rate of interest as determined by the issuing officials. Bonds shall be issued in denominations and in form, whether coupon or registered as to both principal and interest, and with or without such provisions of interchangeability, as the issuing officials determine. If interest coupons are attached, they shall, unless the debt-authorizing act provides otherwise, contain the facsimile signature of the State Treasurer.(c) Terms and conditions.--(1) Except as set forth in subsection (a) or (b), the terms and conditions of issue, redemption and maturity and time of payment of interest shall be as the issuing officials shall specify. Bonds of any series shall mature within a period not to exceed the estimated useful lives of the capital projects as stated in the debt-authorizing act but not later than 30 years from the date of issuance.(2) The issuing officials shall provide for the amortization of the bonds in substantial and regular amounts over the term of the debt, but the first retirement of principal shall be stated to mature prior to the expiration of a period of time equal to one-tenth of the time from the date of the first obligation issued to evidence the debt to the date of the expiration of the term of the debt.(3)(i) Retirements of principal shall be regular and substantial if made in annual or semiannual amounts whether by stated serial maturities or by mandatory sinking fund retirements computed in accordance with the equal annual maturities plan.(ii) Subparagraph (i) shall not apply to funding bonds authorized under section 312.(4) If debt is incurred in one issue of bonds to provide funds for and towards the financial cost of capital projects having estimated useful lives of varying length, the following shall apply: (i) The aggregate of the financial costs shall be considered as the debt to be incurred for the purpose of fixing the regular and substantial amounts of principal to be retired.(ii) The term of the debt shall be to the end of the longest estimated useful life for the purpose of determining the first date for the retirement of principal. At the end of the estimated useful life of each project, the aggregate principal retirements required to be made at or before that date shall exceed:(A) the aggregate financial cost of all capital projects having the same or shorter estimated useful lives; or(B) if bonds are issued for less than the full financial cost of all projects being financed in the same category, a proportionate amount in each case.(4.1) [Repealed by 2017 Amendment.](5) The issuing officials are authorized to carry out the provisions of this chapter relating to the issuance of bonds and shall determine all matters in connection with the issuance of bonds subject to the provisions hereof.(d) Verification.--(1) Bonds issued under the authority of this chapter, unless the debt-authorizing acts provide another method of signature, shall bear the facsimile signatures of the issuing officials and a facsimile of the Great Seal of the Commonwealth of Pennsylvania and shall be countersigned by an officer of an authorized loan and transfer agent of the Commonwealth.(2) The action taken by the issuing officials authorizing the issuance of bonds or notes shall set forth the title and citation of the debt-authorizing acts.(3) Notes and bonds issued under the authority of this chapter shall:(i) either contain a similar recital or refer to the recital of titles and citations set forth in the action authorizing issuance; and(ii) state that the bonds or notes are issued in accordance with the provisions of this chapter. In any action or proceeding involving the validity or enforceability of bonds or notes under this chapter, a recital under paragraph (3) shall be conclusive as to their authorization.Amended by P.L. TBD 2019 No. 43, § 1, eff. 7/2/2019.Amended by P.L. TBD 2017 No. 45, § 1, eff. 10/30/2017. 1999, Feb. 9, P.L. 1, No. 1, § 307, imd. effective. Amended 2004, July 4, P.L. 516, No. 67, § 3, imd. effective.