Section 6908.5 Of Chapter 3. District Powers From California Harbors And Navigation Code >> Division 8. >> Part 6. >> Chapter 3.
6908.5
. Upon a four-fifths vote of all the members of the board, it
may issue negotiable promissory notes bearing interest at a rate of
not exceeding 7 percent per annum; provided, however, that said notes
shall be payable from revenues and taxes levied for purposes of the
district other than the payment of principal and interest on any
bonded debt of the district; and provided further, that the maturity
date shall not be later than 20 years from the date thereof and that
the total aggregate amount of such notes outstanding at any one time
shall not exceed 1 percent of the assessed valuation of the taxable
property in the district, or if such assessed valuation is not
obtainable, 1 percent of the county auditor's estimate of the
assessed valuation of the taxable property in the district evidenced
by his certificate.