                                 CODE OF VIRGINIA

POWERS; ISSUANCE OF REFUNDING REVENUE BONDS (§ 23.1-1230)

A. The Authority may provide for the issuance of revenue bonds to (i) refund any
of its outstanding revenue bonds, including the payment of any redemption
premium thereon and any interest accrued or to accrue on the earliest or any
subsequent date of redemption, purchase, or maturity of such revenue bonds or
(ii) pay all or any part of the cost of constructing and acquiring additions,
improvements, extensions, or enlargements of a project or any portion of a
project.

B. The Authority may (i) apply the proceeds of any revenue bonds issued to
refund outstanding revenue bonds to purchase, retire at maturity, or redeem such
outstanding revenue bonds either on their earliest or any subsequent redemption
date, upon their purchase, or at their maturity and (ii) place the proceeds of
revenue bonds issued to refund outstanding revenue bonds in escrow pending such
application to be applied to such purchase, retirement, or redemption on the
date that it determines.

C. The Authority may invest and reinvest proceeds placed in escrow pursuant to
subsection B in direct obligations of the United States, certificates of
deposit, or time deposits secured by direct obligations of the United States
that mature at such time as is appropriate to ensure the prompt payment of
principal, interest, and any redemption premium of the outstanding revenue bonds
to be so refunded, pending the purchase, retirement at maturity, or redemption
of such outstanding revenue bonds. The Authority may apply interest, income, and
any profits earned or realized on any such investment to pay the outstanding
revenue bonds to be so refunded. After the terms of the escrow have been fully
satisfied and carried out, any balance of such proceeds and any interest,
income, and profits earned or realized on the investments on such proceeds may
be returned to the Authority for its lawful use.

D. The Authority may invest or reinvest the portion of the proceeds of any
revenue bonds issued to pay all or any part of the cost of constructing and
acquiring additions, improvements, extensions, or enlargements of a project in
direct obligations of the United States or certificates of deposit or time
deposits secured by direct obligations of the United States that mature not
later than the time when such proceeds are needed to pay all or any part of such
cost. The Authority may apply any interest, income, and profits earned or
realized on such investment to the payment of all or any part of such cost or
use such interest, income, and profits in any lawful manner.

E. All refunding revenue bonds issued pursuant to this section are subject to
the provisions of this article in the same manner and to the same extent as
other revenue bonds issued pursuant to this article.

HISTORY: 1972, c. 686, § 23-30.54; 2016, c. 588.