Same: Public Revenue Bonds

(a)Bonds or other obligations which are payable from revenues or earnings specifically pledged therefore of a public utility, state, municipally or territorially owned, either directly or through civil division, authority or public instrumentality of a state or territory or municipality; provided that:

(1)the laws of the state or territory or municipality authorizing the issuance of such bonds or other obligations require that rates for service shall be fixed, maintained and collected at all times so as to produce sufficient revenue or earnings to pay all operating and maintenance charges, and both principal and interest of such bonds or obligations; and

(2)no such bonds or other obligations shall be in default in the payment of principal or interest.

(b)Bonds authorized under this Section may be purchased and held in investment funds authorized under § 8158, or in exchange-traded funds authorized under § 8158.1; such purchases shall be excluded from the limitations of § 8158(e) and § 8158.1(b).