2006 New Mexico Statutes - Section 11-3A-15 — Form and sale of bonds; interest on certain obligations.

11-3A-15. Form and sale of bonds; interest on certain obligations.

A.     Bonds of an authority issued pursuant to the provisions of the Regional Housing Law [Chapter 11, Article 3A NMSA 1978] shall be authorized by a resolution of the regional authority's board.  The resolution, its trust indenture or the bonds to be issued shall set forth with regard to the bonds the date of issuance, the date of maturity, the rates of interest that the bonds will bear, the denominations, the form, either coupon or registered, the conversion or registration privileges, the rank or priority, the manner of execution, the medium and place of repayment and the terms of redemption, with or without premiums.   

B.     Obligations issued by an authority that are true loan obligations made to the farmers home administration of the United States department of agriculture or the department of housing and urban development may bear interest at a rate of interest not exceeding par.   

C.     The bonds shall be sold at not less than par at public sale held after notice published once at least five days prior to the sale in a newspaper having a general circulation in the authority and in a financial newspaper published in the city of New York, New York; provided that the bonds may be sold to the federal government at private sale at not less than par, and, in the event fewer than all of the bonds authorized in connection with any housing project are sold to the federal government, the balance of the bonds may be sold at private sale at not less than par at an interest cost to the authority that does not exceed the interest cost to the authority of the portion of the bonds sold to the federal government.   

D.     If an officer of an authority or any of its instrumentalities whose signature appears on bonds issued pursuant to the Regional Housing Law [Chapter 11, Article 3A NMSA 1978] ceases to hold that office before the delivery of the bonds, the signature shall, nevertheless, be valid and sufficient for all purposes the same as if the officer had remained in office until delivery.  Any provision of any law to the contrary notwithstanding, any bonds issued pursuant to the Regional Housing Law shall be fully negotiable.   

E.     In any suit, action or proceedings involving the validity or enforceability of any bond of an authority or the security for the bonds, any bond reciting in substance that it has been issued by the authority to aid in financing a housing project to provide dwelling accommodations for persons of low income shall be conclusively deemed to have been issued for a housing project of that character, and the housing project shall be conclusively deemed to have been planned, located and constructed in accordance with the purposes and provisions of the Regional Housing Law [Chapter 11, Article 3A NMSA 1978].