The Division in issuing any notes or bonds may contract with the holders thereof as to:

1. Pledging all or any part of the revenues of the Division to secure the payment of the notes or bonds subject to such agreements with noteholders or bondholders as may then exist.

2. Pledging all or any part of the assets of the Division, including mortgages and obligations securing such assets, to secure the payment of the notes or bonds subject to such agreements with noteholders or bondholders as may then exist.

3. The use and disposition of the gross income from mortgages owned by the Division and the payment of principal of mortgages owned by the Division.

4. The setting aside of reserves or sinking funds and the regulation and disposition thereof.

5. Limitations on the purpose to which the proceeds of sale of notes or bonds may be applied and pledging such proceeds to secure the payment of the notes or bonds or of any issue thereof.

6. Limitations on the issuance of additional notes or bonds, the terms upon which additional notes or bonds may be issued and secured, and the refunding of outstanding or other notes or bonds.

7. The procedure, if any, by which the terms of any contract with noteholders or bondholders may be amended or abrogated, the amount of notes or bonds the holders of which must consent thereto, and the manner in which such consent may be given.

8. Limitations on the amount of moneys to be expended by the Division for operating expenses of the Division.

9. Vesting in a trustee or trustees such property, rights, powers and duties in trust as the Administrator may determine, which may include any or all of the rights, powers and duties of the trustee appointed by the bondholders pursuant to this chapter and limiting or abrogating the right of the bondholders to appoint a trustee under this act or limiting the rights, powers and duties of such trustee.

10. Defining the acts or omissions which shall constitute a default in the obligations and duties of the Division to the holders of the notes or bonds and providing for the rights and remedies of the holders of the notes or bonds in case of such default, including as a matter of right the appointment of a receiver, but such rights and remedies shall not be inconsistent with the general laws of this state and the other provisions of this chapter.

11. Any other matters, of like or different character, which in any way affect the security or protection of the holders of the notes or bonds.

Any pledge made by the Division is valid and binding from the time when the pledge is made. The revenues, moneys or property so pledged and thereafter received by the Division are immediately subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge is valid and binding as against all persons having claims of any kind in tort, contract or otherwise against the Division, whether or not such persons have notice thereof. Neither the proceedings of the Division relating to the bonds or notes nor any other instrument by which a pledge is created need be recorded.

(Added to NRS by 1975, 631)