Alaska Statutes 42.40.630 – Payment of bonds

(a) The principal and interest on bonds of the corporation is payable from corporation money or assets. Bonds may be additionally secured by a pledge of a grant or contribution from the federal or state government, a municipality, a corporation, an association, an institution, or a person, or a pledge of money, income, or revenue of the corporation from any source.

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Terms Used In Alaska Statutes 42.40.630

Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
bonds: means bonds, bond anticipation notes, notes, refunding bonds, or other obligations. See Alaska Statutes 42.40.980
Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
corporation: means the Alaska Railroad Corporation. See Alaska Statutes 42.40.980
municipality: means a political subdivision incorporated under the laws of the state that is a home rule or general law city, a home rule or general law borough, or a unified municipality. See Alaska Statutes 01.10.060
person: includes a corporation, company, partnership, firm, association, organization, business trust, or society, as well as a natural person. See Alaska Statutes 01.10.060
state: means the State of Alaska unless applied to the different parts of the United States and in the latter case it includes the District of Columbia and the territories. See Alaska Statutes 01.10.060
Trustee: A person or institution holding and administering property in trust.

(b)[Repealed, Sec. 13 ch 64 SLA 2018.]

(c) Before issuing bonds to provide the financing described in Alaska Stat. § 42.40.570 for real or personal property to be owned in whole or in part by an entity other than the corporation, the corporation shall enter into one or more contracts, leases, or other forms of agreement that will, in the judgment of the corporation, provide sufficient consideration to

(1) pay the principal of and interest on the bonds as they become due;

(2) create and maintain any reserves for the bond payments that the corporation considers necessary or desirable; and

(3) pay all costs necessary to issue, service, or additionally secure the bonds, including trustee‘s fees and bond insurance premiums, unless these costs are to be paid from bond proceeds or by a party other than the corporation.

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