Oklahoma § 82-1127 - Powers of board of directors in connection with payment

§ 82-1127. Powers of board of directors in connection with payment

of principal and interest.

The board of directors of a port authority issuing bonds

pursuant to the provisions of this act is authorized to pledge for

the payment of principal of or interest on such bonds, all or any

part of the revenues to be derived from the managements and

operation of the buildings and facilities for the construction,

acquisition or improvement of which the bonds are issued; together

with any other available income and revenues from revenue producing

facilities of such port authority. In order to secure prompt

payment of the principal and interest, and the proper application of

revenues pledged thereto, the board of directors of such port

authority is authorized by appropriate resolution:

(a) To covenant as to the use and disposition of the proceeds

of the sale of such bonds;

(b) To covenant as to the operation of facilities and buildings

and the collection and disposition of the revenues derived from such

operation;

(c) To covenant as to the rights, liabilities, powers and

duties arising from the breach of any covenant or agreement into

which it may enter in authorizing and issuing the bonds;

(d) To covenant and agree to carry such insurance on the

buildings and facilities, and the use and occupancy thereof as may

be considered desirable and, in its discretion, to provide that the

cost of such insurance shall be considered a part of the expense of

operating the buildings and facilities;

(e) To vest in a trustee or trustees the right to receive all

or any part of the income and revenues pledged and assigned to or

for the benefit of the holder or holders of bonds issued hereunder

and to hold, apply and dispose of the same, and the right to enforce

any convenant made to secure the bonds; and to execute and deliver a

trust agreement or agreements which may set forth the powers and

Oklahoma Statutes - Title 82. Waters and Water Rights

duties and the remedies available to such trustee or trustees and

may limit the liabilities thereof and prescribe the terms and

conditions upon which such trustee or trustees or the holder or

holders of the bonds in any specified amount or percentage may

exercise such rights and enforce any or all such covenants and

resort to such remedies as may be appropriate:

(f) To fix rents, charges and fees to be imposed in connection

with and for the use of the buildings, services and facilities of

such port authority, which rents, charges and fees shall be

considered to be income and revenues derived from the operation of

the buildings and facilities, and are hereby expressly required to

be fully sufficient to assure the prompt payment of principal and

interest on the bonds as each becomes due, and to make and enforce

such rules and regulations with reference to the use of the

buildings and facilities, as it may deem desirable for the

accomplishment of the purposes of this act;

(g) To covenant to maintain a maximum percentage of use and

occupancy of the buildings and facilities for revenue producing

purposes;

(h) To covenant against the issuance of any other obligations

payable from the revenues to be derived from the buildings and

facilities; and to covenant as to priority of resort to such

revenues between obligations of such port authority;

(i) All such agreements and covenants entered into by the board

of directors of such port authority shall be binding upon the board

and the authority, its agents and employees, and upon its successors

in interest; and all such agreements and covenants shall be

enforceable by appropriate action or suit at law or in equity, which

may be brought by any holder or holders of bonds issued hereunder or

in their behalf.

Laws 1963, c. 314, § 7, emerg. eff. June 19, 1963.