Indiana Code 8-1-40.5-16. Securitization bonds not debt, obligation, or charge on credit or taxing power of state; state covenant with respect to securitization bonds
(1) a debt or obligation of the state; or
Terms Used In Indiana Code 8-1-40.5-16
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- premium: refers to comparable terms with respect to those certificates. See Indiana Code 8-1-40.5-7
- securitization bonds: means bonds, debentures, notes, certificates of participation, certificates of a beneficial interest, certificates of ownership, or other evidences of indebtedness that:
Indiana Code 8-1-40.5-7
- securitization charges: means nonbypassable amounts that are:
Indiana Code 8-1-40.5-8
- securitization property: means the rights and interests of an electric utility, or its successor, under a financing order, as described in section 11 of this chapter. See Indiana Code 8-1-40.5-9
(b) The state pledges, for the benefit and protection of financing parties and electric utilities under this chapter, that it will not:
(1) take or permit any action that would impair the value of securitization property; or
(2) reduce or alter, except as authorized by section 12(c) of this chapter, or impair securitization charges to be imposed, collected, and remitted to financing parties under this chapter;
until the principal, interest, and premium, and other charges incurred, or contracts to be performed, in connection with the related securitization bonds have been paid or performed in full. Any party issuing securitization bonds is authorized to include the pledge set forth in this subsection in any documentation relating to those bonds.
As added by P.L.80-2021, SEC.1.