§ 45-12-4.2. Borrowing in anticipation of federal or state grants. A city or town may contract for and accept grants of federal or state aid for any purpose for which it is authorized to appropriate money. A city or town, by resolution of its city council or town council, may authorize the issue of notes in anticipation of the receipt of federal or state aid; provided, that the aid has been previously approved by the appropriate federal or state agency. The proceeds of the notes may be used only for the purpose for which the aid is granted. The amount of original notes issued under the provisions of this section may not exceed the amount of available federal or state aid as estimated by the director of finance or treasurer and are payable within three (3) years from their dates, but the principal of and interest on notes issued for a shorter period may be refunded or paid from time to time by the issue of other notes under the provisions of this section; provided, that the period from the date of an original note to the maturity of any note issued to refund or pay the same debt or the interest on that debt does not exceed three (3) years. To the extent that the state or federal aid actually received is insufficient to pay the principal and interest on those notes, the city or town shall appropriate a sum sufficient to make the payments.
History of Section. (P.L. 1977, ch. 222, § 1; P.L. 2007, ch. 252, § 1; P.L. 2007, ch. 292, § 1.)
Copyright ©2024 LegalFix. All rights reserved. LegalFix is not a law firm, is not licensed to practice law, and does not provide legal advice, services, or representation. The information on this website is an overview of the legal plans you can purchase—or that may be provided by your employer as an employee benefit or by your credit union or other membership group as a membership benefit.
LegalFix provides its members with easy access to affordable legal services through a network of independent law firms. LegalFix, its corporate entity, and its officers, directors, employees, agents, and contractors do not provide legal advice, services, or representation—directly or indirectly.
The articles and information on the site are not legal advice and should not be relied upon—they are for information purposes only. You should become a LegalFix member to get legal services from one of our network law firms.
You should not disclose confidential or potentially incriminating information to LegalFix—you should only communicate such information to your network law firm.
The benefits and legal services described in the LegalFix legal plans are not always available in all states or with all plans. See the legal plan Benefit Overview and the more comprehensive legal plan contract during checkout for coverage details in your state.
Use of this website, the purchase of legal plans, and access to the LegalFix networks of law firms are subject to the LegalFix Terms of Service and Privacy Policy.