P.R. Laws tit. 13, § 63a
(a) The notes to be issued from time to time under the provisions of §§ 63—63h of this title shall be authorized by a resolution or resolutions to be adopted by the Secretary of the Treasury and approved by the Governor. Said notes shall be designated “Notes in Advance of Taxes (and/or Revenues) of the Commonwealth of Puerto Rico, Series ____”, with a year, or letter, or both inserted to identify the particular issue.
(b) The notes authorized under the provisions of §§ 63—63h of this title shall be dated, shall mature in such date or dates that shall not exceed thirty (30) days after the close of the fiscal year in which such notes are issued (Provided, That no note issued to renew another note issued under the provisions of §§ 63—63h of this title shall mature later than said deadline), shall bear interest at such rate or rates, or provide a formula or formulas to determine said rate or rates of interest which shall not exceed the legally authorized rate at the time said notes are issued, may be redeemable before their maturity at the option of the Secretary of the Treasury on such date and prices as he may determine, shall be in such denomination and shall be issued in such form or forms, including those coupon bonds, registered bonds with or without coupons, and bonds without certificates, shall have such registration, conversion and reconversion privileges, shall be payable in such places in or outside of the Commonwealth of Puerto Rico, shall be subscribed in such manner and may contain such other terms and conditions, all pursuant to the provisions of the resolution or resolutions adopted by the Secretary of the Treasury and approved by the Governor prior to issuing said notes.
(c) No resources corresponding to a subsequent fiscal year may be used to liquidate notes issued in previous fiscal years.
(d) The notes authorized by §§ 63—63h of this title may be sold from time to time in public or private sale for such price or prices which the Secretary of the Treasury, with the approval of the Governor, may determine to be in the best interests of the Commonwealth of Puerto Rico, but at no time shall such price or prices be lower than the price established by law at the time the notes are issued.
(e) Whenever any official whose signature or facsimile thereof appears on any note or coupon authorized by §§ 63—63h of this title is no longer in office before the delivery of such notes, such signature or facsimile shall, nevertheless, be valid and sufficient, it being deemed for all legal purposes as if such official had remained in office until such delivery, besides, any note or coupon may bear the signature or facsimile of such person who at the time said note or coupon is signed is the proper official to sign it even though said person may not hold said office on the date of the note or coupon.
(f) The notes issued under the provisions of §§ 63—63h of this title shall be deemed to be negotiable instruments under the laws of the Commonwealth of Puerto Rico.
(g) The total of the principal of the notes issued pursuant to the provisions of §§ 63—63h of this title and outstanding at any time with regard to any fiscal year shall not exceed eighteen percent (18%) or one point five billion dollars ($1,500,000,000), whichever is less, from General Fund net revenues of the fiscal year preceding the issue of said notes.
History —June 26, 1987, No. 1, p. 591, § 2; Nov. 9, 2005, No. 139, § 1.