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April 25, 2024 Clear | 41°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 26: Contract assistance for debt service obligations

Section 26. The state treasurer acting on behalf of the commonwealth shall enter into an agreement with the Agency providing that the commonwealth shall provide contract assistance for debt service obligations of the Agency derived from its predecessor, the government land bank, in the maximum amount of $6,000,000 per fiscal year of the commonwealth for a period of 12 such fiscal years; provided, however, that notwithstanding the foregoing, such agreement shall also provide that the commonwealth shall provide contract assistance necessary to defray debt service costs associated with up to $80,000,000 in principal amount of debt obligations of the Agency derived from its predecessor, the government land bank, issued pursuant to law for the purposes of the Devens project, so-called, created by chapter 498 of the acts of 1993. Such contract assistance agreement shall provide for the payment by the commonwealth of the debt service obligations of the Agency at such time during each such fiscal year and upon such terms and under such conditions as the Agency may stipulate. The Agency may pledge such agreement and the rights of the Agency to receive amounts thereunder as security for the payment of debt obligations issued by the Agency. Such agreement shall constitute a general obligation of the commonwealth for which the faith and credit of the commonwealth shall be pledged for the benefit of the Agency and of the holders of any debt obligations of the Agency which may be secured by a pledge of such agreement or of amounts to be received by the Agency under such agreement.

Amounts received by the Agency from debt obligations issued pursuant to this chapter shall be used for the purposes of acquisition, holding, protection, maintenance, repair, stabilization, operation, management, development, redevelopment, improvement and use of lands, for making grants and undertaking financing transactions, for the acquisition of stock, options or warrants, for refunding other such debt obligations, or for provision of personnel and administrative costs of the Agency as provided by this chapter.