Section 15728 - Sale of bonds issued to redeem existing bondsWhen any such city shall borrow money and shall issue and sell new bonds for the purpose of redeeming or paying off bonds theretofore issued and proposed to be refunded the authorities of such city may sell the same at, above or below par, either at a private negotiated sale or a public sale to the highest responsible bidder after public notice by advertisement in at least one newspaper of general circulation published in the county in which such city shall be situated at least one time not less than ten (10) nor more than thirty (30) days prior to the date fixed for opening bids. Notwithstanding any act of Assembly to the contrary, for the purpose of determining the outstanding net debt of the city, the bonds to be refunded shall no longer be deemed to be outstanding obligations of the city:
(1) when the city shall have deposited with a bank, bank and trust company, or trust company funds: (i) which are represented by demand deposits, interest-bearing time accounts, savings deposits or certificates of deposit, or noncallable obligations of the United States or of this Commonwealth, in each case subject to withdrawal, maturing or payable at the option of the holder at or prior to the dates needed for disbursement, provided such deposits or accounts, whether deposited by the city or any depository, are insured or secured as public deposits with securities having a market value equal to the principal amount thereof;(ii) which are irrevocably pledged for the payment of such obligations; and(iii) which are sufficient, together with the interest to disbursement date payable with respect thereto, if also pledged, to meet such obligations in full; and(2) when the city shall have called for redemption the bonds that it determines to call and shall have met all notice requirements or given irrevocable instructions to give such notice.1941, June 11, P.L. 113, § 2. Amended 1985, Dec. 8, P.L. 324, No. 85, § 1, imd. effective.