Guam § 8203 - Powers of Board; Incurring Indebtedness.

§ 8203. Powers of Board; Incurring Indebtedness.

The Board has power and is hereby authorized, in addition to and in amplification of all other powers

conferred upon the Board by the Guam Power Authority Act of 1968 or any other provision of this Code

or by any statute of Guam or of the United States, to exercise any or all of the powers granted to the Board

by this Article. The Board may at any time or from time to time incur indebtedness:

(a) pursuant to § 8241;

(b) for a period not exceeding ten (10) years, payable only from the Guam Power Authority

Construction Fund created by § 8236 and incurred only for a purpose for which moneys in said Fund

may be expended;

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(c) for a period not exceeding ten (10) years, payable only from the Guam Power Authority

Revenue Fund created by § 8237 and incurred only to pay system operation and maintenance costs,

subject and subordinate to any contractual obligation of the Board to the holders of any bonds;

(d) by the issuance of revenue bonds, with the approval of I Maga’håga/Maga’låhi, to raise funds

for the purpose of establishing the system, or of acquiring lands for the system, or of acquiring,

constructing, improving, equipping, maintaining, repairing, renewing, replacing, reconstructing or

insuring the system, or any part thereof, or for the purpose of refunding any such bonds, or for any

combination of such purposes which bonds shall be issued and secured as provided in this Article; or

(e) for any other lawful purpose for a period not exceeding fifty (50) years pursuant to a contract

of indebtedness, repayment of which is subject and subordinate to any contractual obligation of the

Board to the holders of any bonds.

The maximum rate and times of payment of interest on any indebtedness incurred pursuant to this Section

are subject to the limitations of § 8214 (relating to interest on bonds). It is hereby declared that the system

is and shall be a public improvement or undertaking as that term is used in Section 11 of the Organic Act.

(§1423a, Title 48, U.S. Code.) All indebtedness incurred by the Board pursuant to this § 8203 shall be

repayable only from funds of the Authority available therefor or solely from revenues of the system and,

therefore, will not be and shall not be deemed to be public indebtedness of Guam as that term is used in

Section 11 of the Organic Act.