1. A municipality may sell the right to call for purchase all or any part of an issuance of securities if, in the ordinance authorizing the issuance of the securities, it has:

(a) Reserved the right to make the sale;

(b) Provided the time during which a call may be exercised; and

(c) Provided the price of the purchase.

2. The municipality shall set forth the price and other terms for the sale of the right to call the security in the ordinance authorizing the issuance of the security or a supplemental ordinance adopted before or at the time of the sale of a right to call the security.

3. The owner of the right to call the security may call it only as provided in the ordinance authorizing the issuance of the security or in an ordinance supplemental thereto. A supplemental ordinance must not amend the time during which a call may be exercised or the price of the purchase.

4. The municipality may purchase its own security pursuant to a right to call the security for purchase. A call for purchase must be in accordance with the price and other terms for the purchase set forth in the ordinance authorizing the issuance of the security or in an ordinance supplemental thereto. A supplemental ordinance must not amend the time during which a call may be exercised or the price of the purchase. Such a purchase by a municipality does not discharge the indebtedness evidenced by the security unless the municipality cancels the security so purchased.

(Added to NRS by 1993, 1983)