1. 1. A public body authorized to issue bonds may issue project notes in anticipation of the receipt of any of the following:

   1. a. Proceeds from the issuance of public bonds or obligations previously authorized.
   2. b. Proceeds to be received pursuant to law or agreement from any state or federal agency.
   3. c. Income or revenues from sources to be received and expended for the project during the project construction or acquisition period.
   4. d. Any combination of paragraphs “a” through “c”.
2. 2. Notes shall be issued in the form and manner provided in a resolution of the governing body of the issuer. The resolution may set forth and appropriate the moneys anticipated by the notes.
3. 3. The resolution may provide that to the extent issued in anticipation of public bonds or obligations, notes shall be paid from the proceeds of the issuance of public bonds or obligations. To the extent issued in anticipation of bonds, note proceeds shall be expended only for the purposes for which the bond proceeds may be expended.
4. 4. Notes shall not be issued in anticipation of public bonds or obligations in an amount greater than the authorized amount of the public bonds or obligations and moneys appropriated for the same purposes.

5. 5.

   1. a. Notes may be sold at public or private sale and bear interest at rates set by the governing body of the issuer at the time of their issuance notwithstanding chapter 74A.
   2. b. The authority of a public body to issue project notes under this section is in addition to any other authority of the public body to issue other obligations as otherwise provided by law.

83 Acts, ch 90, §5

Referred to in §75.9