Article 4. Community Appropriations And General Obligation Bonds of California Health And Safety Code >> Division 24. >> Part 1. >> Chapter 6. >> Article 4.
The community may issue and sell its general obligation
bonds for any or all of the following purposes: raising money to be
deposited in the redevelopment revolving fund, or providing funds
with which to redeem before maturity, retire at maturity, or purchase
agency bonds issued under Article 5 (commencing with Section 33640)
of this chapter. General obligation bonds issued pursuant to this
article may be authorized and issued in a principal amount sufficient
to provide funds for the payment of any or all of the following:
(a) The estimated amount of money to be raised to be deposited in
the redevelopment revolving fund.
(b) The principal amount of agency bonds proposed to be so
redeemed, retired or purchased.
(c) The estimated amount of any premiums required to be paid in
connection with the redemption or purchase of such agency bonds.
(d) The estimated amount of any due and unpaid interest or accrued
interest on such agency bonds which must be paid at the time the
same are redeemed, retired or purchased.
(e) The amount of interest on such general obligation bonds
estimated to accrue during the period from the date thereof until the
portion of taxes allocated to and paid into the special fund of the
redevelopment agency under the provisions of Section 33670 pledged or
to be pledged to the repayment of an advance to the agency for any
purpose authorized by this article or by Article 3 (commencing with
Section 33620) of this chapter equals the annual amount of the
interest upon such bonds due and payable thereon in the next
succeeding year, such period not to exceed 10 years from the date of
such general obligation bonds or the first series thereof; provided,
that such amount shall not include any interest estimated to accrue
during any year for which interest on agency bonds proposed to be so
redeemed, retired or purchased has been provided from the proceeds of
sale of such agency bonds.
(f) The estimated amount of all expenses incidental to or
connected with the redemption, retirement or purchase of such agency
bonds and the authorization, issuance and sale of such general
All agency bonds redeemed, retired or purchased with the proceeds
of such general obligation bonds shall be canceled and shall not be
The legislative body may fix a date, not more than 10 years from
the date of issuance of any such general obligation bonds, for the
earliest maturity of each issue or series of such bonds.
If the redevelopment plan contains the provision authorized
by Section 33670, the agency and the legislative body of the
community may, either before or after the authorization of general
obligation bonds for the purposes permitted by Section 33630, enter
into an agreement that the principal amount of any such general
obligation bonds sold for such purposes, together with all interest
which the community may pay thereon, shall constitute a loan by the
community to the agency for the purpose of refinancing the
redevelopment project, and that, subject to any prior pledge of or
claim upon the moneys in the special fund provided for in said
section 33670, the moneys accruing to such special fund are
irrevocably pledged to the repayment of such loan until there has
been repaid to the community from time to time from such special fund
the principal amount of such general obligation bonds plus all
interest which the community may pay thereon, less such part, if any,
of the proceeds of such general obligation bonds which were not used
for such purposes, and less any premiums and accrued interest
received by the community upon the sale of such general obligation
Any surplus existing in the general obligation bond
redemption fund after payment of principal and interest shall be
transferred to the general fund of the community.
Except as otherwise provided in this part, any general
obligation bonds issued by any community pursuant to this article
shall be authorized and issued in the manner and within the
limitations prescribed by law or the charter of the community for the
issuance and authorization of such bonds for public purposes
generally. Irrespective of any limitation as to the amount of general
obligation bonds which may be issued a community may issue such
bonds for the purposes prescribed in this article, in excess of the
limitation, in such amount as may be authorized by the voters of the
community at any general or special election.