§ 4653. Bond anticipation notes

Notwithstanding any law applicable to any governmental unit as to the period for temporary financing of any public improvement or purpose by issuance of its notes in anticipation of the issuance of permanent bonds or as to the renewal of bond anticipation notes, the Bank may purchase and the governmental unit may issue bond anticipation notes and may renew them from time to time provided that the bond anticipation notes, including renewals thereof, mature in such amounts and in such years not exceeding five years from the date of the original issuance as is agreed between the Bank and the governmental unit. In connection with the transaction and purchase of bond anticipation notes, the Bank may by agreement with the governmental unit impose any terms, conditions, and limitations as in its opinion are proper and for the purposes and security of the Bank and the holders of its bonds or notes. The failure of any governmental unit to comply with that agreement constitutes a failure of the governmental unit to pay principal of and interest on the bond anticipation notes under section 4652 of this title, and the Bank shall thereupon enforce all such rights, remedies, and provisions of law as it has under this section or are elsewhere provided. (Added 1969, No. 216 (Adj. Sess.), § 3, eff. March 27, 1970.)