§ 17D-2-506. Other entities not responsible for local building authority bonds or breach of mortgage and other obligations.

(1) Nothing in this part may be construed to require:

(a) the state or any political subdivision of the state to pay a bond issued under this part;

(b) the state or, except the creating local entity, any political subdivision of the state to pay any rent or lease payment due to a local building authority under the terms of a lease agreement; or

(c) the creating local entity to appropriate money to pay:

(i) principal of or interest on bonds issued by a local building authority; or

(ii) the lease payments under a lease agreement with the local building authority.

(2) A breach of a mortgage or a covenant or agreement in a mortgage may not impose a general obligation or liability upon or a charge against:

(a) the creating local entity; or

(b) the general credit or taxing power of the state or any political subdivision of the state.

Amended by Chapter 356, 2009 General Session