P.R. Laws tit. 22, § 1078

2019-02-20 00:00:00+00
§ 1078. Use of proceeds of restructing bonds

The proceeds of the restructuring bonds shall be used only to pay or fund upfront financing costs. The remaining proceeds, if any, shall be contributed to or on behalf of the Authority or otherwise applied to approved restructuring costs, as provided in the restructuring resolution. Restructuring bonds may also be issued without such issuance generating any proceeds to defease a portion of the Authority’s outstanding debt. Upon payment or defeasance of all restructuring bonds and all related financing costs, all amounts held or receivable by the Corporation or any financing entity shall be used to make a refund or credit to Customers in the manner provided by the Commission. Any failure by any person to apply the proceeds of the restructuring bonds in a reasonable, prudent, and appropriate manner or otherwise comply with any of the provisions of this chapter (including any restructuring resolution or applicable trust agreement or any agreement between the Corporation and the Authority) shall not invalidate, impair, or affect any restructuring property, transition charge, or restructuring bonds.

History —Feb. 16, 2016, No. 4, § 36.