Ohio § 5540.06

§ 5540.06.

(A) The board of trustees of a transportation improvement district may provide by resolution

for the issuance, at one time or from time to time, of bonds of the district for the

purpose of paying all or any part of the cost of any one or more projects.  The bond service charges shall be payable solely from pledged revenues pledged for

such payment pursuant to the applicable bond proceedings.  The bonds of each issue shall be dated, shall bear interest at a rate or rates or

at variable rates, and shall mature or be payable at such time or times, with a final

maturity not to exceed thirty years from their date or dates, all as determined by

the board in the bond proceedings.  The board shall determine the form of the bonds, including any interest coupons

to be attached thereto, and shall fix the denomination or denominations of the bonds

and the place or places of payment of bond service charges. (B) The bonds shall be signed by the chairperson or vice-chairperson of the board or

by the facsimile signature of that officer, the official seal of the district or a

facsimile thereof may be affixed thereto or printed thereon and attested by the secretary-treasurer

of the district, which may be by facsimile signature, and any coupons attached thereto

shall bear the facsimile signature of the chairperson or vice-chairperson of the board.  In case any officer whose signature, or a facsimile of whose signature, appears

on any bonds or coupons ceases to be such officer before delivery of the bonds, such

signature or facsimile shall nevertheless be valid and sufficient for all purposes

the same as if the officer had remained in office until such delivery. (C) Subject to the bond proceedings and provisions for registration, the bonds shall

have all the qualities and incidents of negotiable instruments under Title XIII of

the Revised Code.  The bonds may be issued in such form or forms as the board determines, including

without limitation coupon, book entry, and fully registered form, and provision may

be made for the registration of any coupon bonds as to principal alone and also as

to both principal and interest, and for the exchange of bonds between forms.  The board may sell such bonds by competitive bid on the best bid after advertisement

or request for bids or by private sale in the manner, and for the price, it determines

to be for the best interest of the district. (D) The proceeds of the bonds of each issue shall be used solely for the payment of the

costs of the project or projects for which the bonds were issued, and shall be disbursed

in such manner and under such restrictions as the board provides in the bond proceedings. (E) Prior to the preparation of definitive bonds, the board may, under like restrictions,

issue interim receipts or temporary bonds or bond anticipation notes, with or without

coupons, exchangeable for definitive bonds when such bonds have been executed and

are available for delivery.  The board may provide for the replacement of any mutilated, stolen, destroyed, or

lost bonds. (F) Sections 9.98 to 9.983 of the Revised Code apply to the bonds. (G) The bond proceedings shall provide, subject to the provisions of any other applicable

bond proceedings, for the pledge to the payment of bond service charges and of any

costs of or relating to credit enhancement facilities of all, or such part as the

board may determine, of the pledged revenues and the applicable special fund or funds,

which pledges may be made to secure the bonds on a parity with bonds theretofore or

thereafter issued if and to the extent provided in the bond proceedings.  Every pledge, and every covenant and agreement with respect thereto, made in the

bond proceedings may in the bond proceedings be extended to the benefit of the owners

and holders of bonds and to any trustee and any person providing a credit enhancement

facility for those bonds, for the further security for the payment of the bond service

charges and credit enhancement facility costs. (H) The bond proceedings may contain additional provisions as to: (1) The redemption of bonds prior to maturity at the option of the board or of the bondholders

or upon the occurrence of certain stated conditions, and at such price or prices and

under such terms and conditions as are provided in the bond proceedings; (2) Other terms of the bonds; (3) Limitations on the issuance of additional bonds; (4) The terms of any trust agreement securing the bonds or under which the same may be

issued; (5) Any or every provision of the bond proceedings being binding upon the board and state

agencies, or other person as may from time to time have the authority under law to

take such actions as may be necessary to perform all or any part of the duty required

by such provision; (6) Any provision that may be made in a trust agreement; (7) Any other or additional agreements with the holders of the bonds, or the trustee

therefor, relating to the bonds or the security for the bonds, including agreements

for credit enhancement facilities. (I) Any holder of bonds or a trustee under the bond proceedings, except to the extent

that the holder's or trustee's rights are restricted by the bond proceedings, may

by any suitable form of legal proceedings, protect and enforce any rights under the

laws of this state or granted by the bond proceedings.  Those rights include the right to compel the performance of all duties of the board

required by this chapter or the bond proceedings;  to enjoin unlawful activities;

 and in the event of default with respect to the payment of any bond service charges

on any bonds or in the performance of any covenant or agreement on the part of the

board contained in the bond proceedings, to apply to a court having jurisdiction of

the cause to appoint a receiver to receive and administer the revenues and the pledged

revenues which are pledged to the payment of the bond service charges on such bonds

or that are the subject of the covenant or agreement, with full power to pay, and

to provide for payment of, bond service charges on such bonds, and with such powers,

subject to the direction of the court, as are accorded receivers in general equity

cases, excluding any power to pledge additional revenue or receipts or other income,

funds, or moneys of the board to the payment of such bond service charges and excluding

the power to take possession of, mortgage, or cause the sale or otherwise dispose

of any project or other property of the board. (J) Each duty of the board and the board's officers and employees, undertaken pursuant

to the bond proceedings, is hereby established as a duty of the board, and of each

such officer, member, or employee having authority to perform the duty, specifically

enjoined by law resulting from an office, trust, or station within the meaning of section 2731.01 of the Revised Code . (K) The board's officers or employees are not liable in their personal capacities on

any bonds issued by the board or any agreements of or with the board relating to those

bonds. (L) The bonds are lawful investments for banks, savings and loan associations, credit

union share guaranty corporations, trust companies, trustees, fiduciaries, insurance

companies, including domestic for life and domestic not for life, trustees or other

officers having charge of sinking and bond retirement or other funds of the state

or its political subdivisions and taxing districts, the commissioners of the sinking

fund of the state, the administrator of workers' compensation, the state teachers

retirement system, the public employees retirement system, the school employees retirement

system, and the Ohio police and fire pension fund, notwithstanding any other provisions

of the Revised Code or rules adopted pursuant thereto by any state agency with respect

to investments by them, and also are acceptable as security for the repayment of the

deposit of public moneys. (M) Provision may be made in the applicable bond proceedings for the establishment of

separate accounts in the bond service fund and for the application of such accounts

only to the specified bond service charges pertinent to such accounts and bond service

fund, and for other accounts therein within the general purposes of such fund. (N) The board may pledge all, or such portion as it determines, of the pledged revenues

to the payment of bond service charges, and for the establishment and maintenance

of any reserves and special funds, as provided in the bond proceedings, and make other

provisions therein with respect to pledged revenues, revenues, and net revenues as

authorized by this chapter, which provisions shall be controlling notwithstanding

any other provisions of law pertaining thereto. (O) The board may pledge all, or such portion as it determines, of the pledged or assigned

sales and use taxes received from a qualifying regional transit authority to the payment

of debt service charges on any qualifying bonds issued by the transportation improvement

district to fund or finance qualifying projects under section 306.353 of the Revised Code .