(1) Each Subject to the limitations contained in this part, each series of coal severance tax bonds must be issued by the board of examiners at public or private sale, sale. The bonds may be issued in such the denominations and form, whether payable to bearer or registered as to principal or both principal and interest, with such provisions for the conversion or exchange, bearing interest at such a rate or rates, maturing at such times not exceeding 40 years from date of issue, subject to redemption at such earlier times and prices and upon such on notice, and payable at the office of such fiscal the fiscal agency of the state as the board of examiners shall determine, subject to the limitations contained in this part. determines.

(2) In all other respects the board of examiners is authorized to prescribe the form and terms of the bonds and shall do whatever is lawful and necessary for their issuance and payment.

(3) Coal severance tax bonds and any interest coupons appurtenant thereto shall to be the bonds must be signed by the members of the board of examiners, and the bonds shall must be issued under the great seal of the state of Montana. The bonds and coupons may be executed with facsimile signatures and seal in the manner and subject to the limitations prescribed by law. The state treasurer shall keep a record of all such bonds issued and sold.

(4) The board of examiners is authorized may to employ employ a fiscal agent to assist in the performance of its duties hereunder. duties.

(5) All proceeds of a state of Montana coal severance tax bonds issue shall must be deposited in a capital projects fund or a state special revenue account established for that bond issue, except that any premiums and accrued interest received shall be deposited in a debt service fund that: established for that bond issue.

(a) bond proceeds used to pay interest on the bonds and accrued interest received must be deposited in a debt service fund established for that bond issue;

(b) any premiums received may be deposited in a debt service fund established for that bond issue; and

(c) bond proceeds used to pay the cost of issuance may be deposited in a separate account within the state special revenue account.

Form -- – principal and interest -- – fiscal agent -- – deposit of proceeds