(1) Sections 51-10-37 through 51-10-55 shall apply to all bonds issued by the authority on or after July 1, 2026, and such provisions shall not affect, limit or alter the rights and powers of the authority under this chapter or any law of the State of Mississippi to conduct the activities referred to in this chapter in any way pertinent to the interests of the bondholders, including, without limitation, the authority’s right to charge and collect rates, fees, assessments and charges and to fulfill the terms of any covenants made with the registered owners of any existing system bonds outstanding as of July 1, 2026, or in any other way impair the rights and remedies of the registered owners of any existing system bonds outstanding as of July 1, 2026, unless provision for full payment of such bonds, by escrow or otherwise, has been made pursuant to the terms of the bonds or the resolution, trust indenture or other security instrument securing the bonds.
(2) The authority shall have the power and is hereby authorized, from time to time, to borrow money and to issue revenue bonds and interim notes in such principal amounts as the authority may determine to be necessary to provide sufficient funds for achieving one or more of the purposes of this chapter, including, without limiting the generality of the foregoing, to defray all the costs of a project; the cost of the acquisition, construction, improvement, repair or extension of a system, or any part thereof, whether or not such facilities are owned by the authority; the payment of interest on bonds of the authority issued pursuant to this chapter; establishment of reserves to secure such bonds and payment of the interest thereon, expenses incident to the issuance of such bonds and to the implementation of the authority’s system; and all other expenditures of the authority incident to or necessary or convenient to carry out the purposes of this chapter.
(3) Before issuing bonds other than interim notes, bonds issued to refinance the existing system debts as of July 1, 2026, as provided in subsection (12) of this section or refunding bonds as provided in Section 51-10-41, the board of directors of the authority shall adopt a resolution declaring its intention to issue such bonds and stating the maximum principal amount of bonds proposed to be issued, a general generic description of the proposed improvements, the proposed location thereof and the date, time and place at which the board of directors proposes to take further action with respect to the issuance of such bonds. The resolution shall be published once a week for at least three (3) consecutive weeks in at least one (1) newspaper having a general circulation within the geographical limits of the service area under this chapter.
(4) Bonds of the authority issued pursuant to this chapter, other than bonds issued to refinance the existing system debts as of July 1, 2026, as provided in subsection (12) of this section, shall be payable from and secured by a pledge of all or any part of the revenues derived from the operation of the systems, or any part or parts thereof, and any other monies legally available and designated therefor, as may be determined by the authority, subject only to an agreement with the purchasers of the bonds. Such bonds may be further secured by a trust indenture between the authority and a corporate trustee, which may be any trust company or bank that has the powers of a trust company without or within the state.
(5) Bonds of the authority shall be issued pursuant to this chapter only upon authorization by a resolution or resolutions adopted by a majority affirmative vote of the total membership of the board. Such bonds may be issued in series, and each series of such bonds shall bear such date or dates, mature at such time or times, bear interest at such rate or rates not exceeding the maximum rate set out in Section 75-17-103, be in such denomination or denominations, be in such form, carry such conversion privileges, have such rank or priority, be executed in such manner and by such officers, be payable from such sources in such medium of payment at such place or places within or without the state, provided that one (1) such place shall be within the state, and be subject to such terms of redemption prior to maturity, as may be provided by resolution or resolutions of the board. The term of bonds issued pursuant to this chapter shall not exceed forty (40) years.
(6) Bonds of the authority issued pursuant to this chapter may be sold at such price or prices, at public or private sale, in such manner and at such times as may be determined by the authority to be in the public interest, and the authority may pay all expenses, premiums, fees and commissions which it deems necessary and advantageous in connection with the issuance and sale thereof.
(7) Any pledge of earnings, revenues or other monies made by the authority for bonds issued pursuant to this chapter, or made by the city to the authority for such bonds, shall be valid and binding from the time the pledge is made. The earnings, revenues or other monies so pledged and thereafter received by the authority or the city shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the authority or the city, irrespective of whether such parties have notice thereof. Neither the resolution nor any other instrument by which a pledge is created need be recorded. The revenues may also be pledged as security for the payment of obligations due to providers of credit enhancement with respect to any bonds issued.
(8) Neither the members of the board nor any person executing the bonds shall be personally liable on the bonds or be subject to any personal liability or accountability by reason of their issuance.
(9) Proceeds from the sale of bonds of the authority may be invested, pending their use, in such securities as may be specified in the resolution authorizing the issuance of the bonds or the trust indenture securing them, and the earnings on such investments may be applied as provided in such resolution or trust indenture.
(10) When bonds have been signed by an officer who was designated by resolution of the board to sign the bonds and who was in office at the time of such signing, but who has ceased to be such an officer prior to the sale and delivery of such bonds, or who is not in office on the date such bonds bear, the manual or facsimile signatures of the officer upon such bonds shall nevertheless be valid and sufficient for all purposes and have the same effect as if the person who officially executed the bonds had remained in office until delivery to the purchaser or had been in office on the date such bonds bear.
(11) The authority may advance or borrow funds needed to satisfy any short-term cash flow demands or deficiencies or to cover start-up costs until such time as sufficient bonds, assets and revenues have been secured to satisfy the needs of the authority.
(12) The authority is authorized to issue special revenue bonds for the purpose of refinancing the existing system debts as of July 1, 2026. Bonds issued pursuant to this subsection shall be payable from and secured by a pledge of all or any part of such monies legally available and designated therefor, as determined by the authority, subject only to an agreement with the purchasers of the bonds. Such bonds may be further secured by a trust indenture between the authority and a corporate trustee, which may be any trust company or a bank that has the powers of a trust company without or within the state.
(13) Notwithstanding any provision to the contrary in Section 31-25-21, the authority shall constitute a local governmental unit for the purposes of the Mississippi Development Bank Act.