2023 New Hampshire Revised Statutes › Title XXXIV - Public Utilities › Chapter 374-B - Municipal Electric Revenue Bonds › Section 374-B:2 - Authorization and Issuance of Bonds.

374-B:2 Authorization and Issuance of Bonds. –
I. Any municipality, when authorized by a 3/5 vote as defined in RSA 33:8 for bonds or notes not in excess of $100,000, or in RSA 33:8-a for other bonds or notes for towns and village districts or in RSA 33:9 for cities, may, subject to the approval of the commission under RSA 369:1, borrow money through the issue of revenue bonds to finance project costs, or its share of project costs, of electric power facilities. The commission in rendering its decision shall, in addition to the other requirements of said RSA 369:1, approve only such issue as the commission finds, after notice and opportunity for hearing, is appropriate to finance an electric power facility which is both consistent with the power needs of the state and necessary to supply the load plus reserve requirements created by the municipality's retail customers, and by such wholesale customers as may have existed on the day of the vote of the municipality, said load plus reserve requirements to be forecast by the municipality at a time 3 years beyond the scheduled date for commencement of commercial operation of the facility; in evaluating the ability of the municipality to supply its load plus reserve requirements at said time, the commission shall deduct from these requirements all capacity in other generating units to which the municipality will then be entitled by ownership or contract, including any contracts for the purchase of electricity to be in force at said time. The project costs to be financed may include finance charges, interest prior to and during the carrying out of any project and for a reasonable period thereafter, prepayments under contracts made pursuant to RSA 374-A:2, the funding of notes issued for project costs as hereinafter provided, such reserves for debt service (including a common reserve for debt service established pursuant to an agreement for consolidation of indebtedness under paragraph VI) or other capital or current expenses as may be required by a trust agreement or resolution securing notes or bonds, and all other expenses incidental to the determination of the feasibility of any project or to carrying out the project or to placing the project in operation.
II. The bonds of each issue may mature at a time or times not exceeding 40 years from their dates of issue, may be made redeemable before maturity with or without premiums, and the first payment of principal may be made payable within 2 years after such time as the electric power facility being financed is projected to be in normal operation. Subject to this chapter and to the terms of the commission's approval and of the authorizing vote, the municipality shall determine the date or dates of the bonds, their denomination or denominations, the place or places of payment of the principal and interest, which may be at any bank or trust company within or without the state, their interest rate or rates, maturity or maturities, redemption privileges, if any, and the form and other details of the bonds. The bonds shall be signed by the treasurer, shall be countersigned by the mayor or city manager, as the case may be, of a city or by a majority of the members of the governing board of a town or village district, either manually or by facsimile, and shall bear the seal of the municipality or a facsimile thereof. Any coupons attached thereto shall bear the facsimile signature of the treasurer.
III. In case any officer whose signature or a facsimile of whose signature shall appear on any bonds, coupons or notes issued under this chapter shall cease to be such officer before the delivery thereof, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office and until after such delivery.
IV. The bonds may be issued in coupon or in registered form, or both, and provision may be made for the registration of any coupon bonds as to principal alone and also as to both principal and interest, for the reconversion into coupon bonds of bonds registered as to both principal and interest, and for the interchange of registered and coupon bonds. Subject to this chapter and to the terms of the commission's approval and of the authorizing vote, the municipality may sell the bonds in such manner, either at public or private sale, for such price, as it may determine will best effect the purpose of this chapter.
V. Prior to the preparation of definitive bonds, the municipality may issue interim receipts or temporary bonds, with or without coupons exchangeable for definitive bonds when such bonds shall have been executed and are available for delivery.
VI. Upon the votes of 2 or more municipalities authorizing the issue of revenue bonds in conformity with this chapter, including approval of the commission as to each of said municipalities, or notes in anticipation thereof, for project costs of the same facilities, said municipalities may enter into an agreement for the consolidation of the indebtedness so authorized and the issuance of such revenue bonds, or notes in anticipation thereof, by one such municipality on behalf of itself and one or more others if the authorizing votes provide for such consolidation. The agreement for consolidation shall require the participating municipalities, severally and not jointly, to provide the funds necessary to pay their respective shares of the principal and interest on the bonds or notes so issued. Such obligation of each participating municipality shall be payable solely from the funds provided therefor under this chapter and may be secured in the same manner as bonds or notes issued separately by it under this chapter.
Source.
1975, 501:1, eff. June 24, 1975. 2020, 38:20, eff. Sept. 27, 2020.