§ 45-33.2-8. Pledge of project revenues validated. (a) Notwithstanding any provision of any other law, including the Uniform Commercial Code, §§ 6A-1-101 - 6A-9-507:

(1) Any pledge under this chapter is valid and binding, and deemed continuously perfected from the time it is made;

(2) No filing need be made under the Uniform Commercial Code or otherwise;

(3) Unless otherwise provided in the financing instruments, a pledge of project revenues is deemed to include a pledge of any accounts or general intangibles from which revenues are derived, whether existing at the time of the pledge or thereafter coming into existence, and whether held at the time of the pledge or thereafter acquired by the city or town, and the proceeds of the accounts or general intangibles; and

(4) The pledge of project revenues, accounts, and general intangibles is subject to the lien of the pledge without delivery or segregation, and the lien of the pledge is valid and binding against all parties having claims of contract or tort or otherwise against the city or town.

(b) A pledge of project revenues under this chapter constitutes a sufficient appropriation for the purposes of any provision for appropriation, and the revenues may be applied as required by the pledge without further appropriation.

(c) For the purposes of this section the word "pledge" is construed to include the grant of a security interest under the Uniform Commercial Code.

History of Section. (P.L. 1984, ch. 78, § 1.)