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obligation
(redirected from obligational)

   Also found in: Dictionary/thesaurus, Medical, Legal, Financial, Wikipedia, Hutchinson 0.02 sec.
obligation
1. Law a legally enforceable agreement to perform some act, esp to pay money, for the benefit of another party
2. Law
a. a written contract containing a penalty
b. an instrument acknowledging indebtedness to secure the repayment of money borrowed


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Most GARVEE bonds require obligational authority to be set aside at the beginning of the federal fiscal year (October 1st) in an amount equal to debt service, so debt payments through Sept.
KYTC also covenants that if only a portion of the obligational authority is provided by the federal government, KYTC will reserve the same pro-rata share of that portion of the obligational authority for debt service for that year until the full amount is provided.
 
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