Arizona Revised Statutes Title 48. Special Taxing Districts § 48-2091.01. Use of net proceeds of refunding bonds; authorized investments

A. Refunding bonds issued under this article may be:

B. If the refunding bonds are sold, the net proceeds of the refunding bonds, together with all or part of the amounts held in the debt service fund for payment of principal of and interest on the bonds being refunded, amounts in any reserve fund for the bonds being refunded and other amounts lawfully available, may be invested if the investments and any reinvestment will mature with interest so as to provide monies to pay the bonds to be refunded when due, or when called for redemption, plus interest and redemption premiums, if any, at maturity or on an available redemption date or on an earlier voluntary surrender with the consent of the board of directors. On receipt, these amounts and investments shall be deposited in trust with a national banking corporation, or an association authorized to do trust business in this state, that is a member of the federal deposit insurance corporation, or any successor. After the deposit, the bonds being refunded are considered to have been paid and have no further interest in the assessments for the bonds being refunded. For the purposes of this subsection, “net proceeds” means the gross proceeds of the refunding bonds, after the deduction of:

C. The treasurer of the sanitary district may enter into trust agreements with banking corporations or associations for the handling, safekeeping and administration of the amounts and investments that are derived from, or contributed to, the refunding.

D. Monies that are invested pursuant to subsection B of this section shall be invested and reinvested at the board's discretion in: