(a) In order to provide for the repayment of a loan by a qualifying borrower for a project, the qualifying borrower is hereby authorized and empowered to do and perform any one or more of the following:

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Terms Used In Alabama Code 41-10-45.4

  • Contract: A legal written agreement that becomes binding when signed.
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • following: means next after. See Alabama Code 1-1-1
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • property: includes both real and personal property. See Alabama Code 1-1-1
  • state: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Alabama Code 1-1-1
(1) To obligate itself to pay to the authority at periodic intervals a sum sufficient to repay the authority loan according to the terms thereof;
(2) To levy, collect, and pay over to the authority and to obligate itself to continue to levy, collect, and pay over to the authority the proceeds of any fee, charge, license, permit, tax, or other source of revenue;
(3) To undertake and obligate itself to pay its contractual obligation to the authority solely from the proceeds from any one or more of the sources specified in paragraph (2), or to impose upon itself a general obligation pledge to the authority additionally secured by a pledge of any one or more of such sources;
(4) To obligate itself to continue to levy and collect such revenues, fees, and charges in such amounts as shall be required by the authority;
(5) As evidence of its obligation to repay any loan made by the authority, to issue its bonds, warrants, or other obligations;
(6) As security for its obligation to repay any loan made by the authority, to contract for letters of credit in favor of the authority, to execute and deliver mortgages on any of its property in favor of the authority, to obtain and provide guaranties of its obligation to the authority, or to provide any other security as may be requested by the authority; and
(7) To enter into such agreements, to perform such acts, and to delegate such functions and duties as its governing body shall determine to be necessary or desirable to enable the authority to fund a loan to the public body to aid it in the construction or acquisition of a project.
(b) The authority may pledge any of the foregoing as set forth in subsection (a) to repayment of project obligations or refunding project obligations.
(c) In the event of default, the authority may accelerate all principal and interest on any loan and utilize any other available remedies under state law.
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