Section 4623.1 Of Article 3. Issuance Of Bonds From California Health And Safety Code >> Division 5. >> Part 3. >> Chapter 1. >> Article 3.
4623.1
. (a) When the purposes and objects specified in any measure
incurring bonded indebtedness submitted at any special election
called for that purpose have been accomplished and any proceeds of
sale of bonds authorized at the special election remain unexpended,
or any bonds authorized at the special election remain unissued and
unsold (the unexpended proceeds and the proceeds of sale of the then
unissued bonds being hereinafter in this section together referred to
as "unexpended bond proceeds"), the unexpended bond proceeds may be
applied to payment of the costs (including any or all of the items
specified in Section 4625) of any improvements, additions,
betterments or extensions (hereinafter in this section collectively
referred to as "improvements") to the sewer work or improvement
described in the resolution or ordinance calling the special election
if the governing body shall first find and determine that:
(1) The improvements are reasonably related to the purposes and
objects included within the terms of the bond measure approved at the
special election or are necessary to carry out the purposes and
objects.
(2) The improvements will be acquired or constructed entirely
within the area of and will benefit the district as it existed on the
date on which the special election was called to authorize the bonds
sold, or to be sold, to provide the unexpended bond proceeds.
(3) The resolution providing for the issuance of the bonds
authorized at the special election and already outstanding does not
prohibit, or can be and is amended to permit, the application of the
unexpended bond proceeds to payment of the costs of the improvements;
and if a hearing is duly called, noticed and held and resolutions
are adopted by the governing body as provided in paragraph (b) of
this section.
(b) Before so applying the unexpended bond proceeds the governing
body shall adopt a resolution stating the following:
(1) The name and number of the district and a reference by date of
adoption to the resolution or resolutions in which the boundaries of
the district are set forth.
(2) The date of the special election at which the bonds (which
provided, or which when sold will provide, the unexpended bond
proceeds) were authorized, the aggregate principal amount of bonds
outstanding, the amount (if any) of unexpended bond proceeds provided
by bonds theretofore sold and the principal amount of authorized,
but unissued bonds (if any), proposed to be sold to provide
unexpended bond proceeds.
(3) A general description of the improvements proposed to be
acquired or constructed, the estimated costs thereof and the amount
of unexpended bond proceeds to be applied to payment of the costs.
(4) A time and place for the hearing of objections to the proposed
improvements or to the proposed expenditure of the unexpended bond
proceeds by any person who is on the date of the hearing an owner of
land or a registered voter within the boundaries of the district as
it existed on the date of the special election at which the bonds
were authorized.
The resolution shall be published, posted and mailed as provided
in Sections 4610 and 4610.5 for a resolution relating to formation of
a district. On the day fixed for the hearing, or on any date to
which the hearing is continued, the governing body shall hear and
consider all written and oral objections presented to the proposed
improvements or to the proposed expenditure of the unexpended bond
proceeds. At the hearing, the governing body may make any changes in
the proposed improvements or proposed expenditures as appear
necessary in the public interest; and the governing body may not
exclude any land from the district and shall abandon the proceedings
if it finds that any land within the boundaries of the district as it
existed on the date the special election was called will not be
benefited by the proposed improvements.
At the conclusion of the hearing, if the proceedings are not
abandoned and if the governing body overrules all protests and
objections and finds that the provisions of this section are complied
with, the governing body may by a resolution which is passed by a
vote of two-thirds of all its members approve the proposed
improvements and proposed expenditure of the unexpended bond proceeds
and, if bonds are to be issued and sold, may also, by the resolution
provide for the issue and sale of the bonds.