A resolution or indenture for bonds may include provisions for:

1. (1) protecting and enforcing the rights and remedies of the holders of the bonds being issued;

2. (2) covenants setting forth the duties of the state educational institution and its officers in relation to:

   1. (A) the acquisition, construction, operation, maintenance, use, and abandonment of the building facility; and
   2. (B) insurance of the building facility;
3. (3) the custody, safeguarding, application, and investment of all money;
4. (4) the rights and remedies of the trustee and the holders of the bonds being issued;
5. (5) the issuance of additional bonds as provided in the resolution or indenture; and

6. (6) other terms, conditions, and covenants as the board of trustees of the state educational institution determine are proper, including provision for the establishment of a debt service reserve by:

   1. (A) the use of bond proceeds or other sources;
   2. (B) the furnishing of an insurance policy, surety bond, or letter of credit; or

   3. (C) any combination of clause (A) or (B).

      [Pre-2007 Higher Education Recodification Citation: 20-12-6-7(c).]

As added by P.L.2-2007, SEC.275.