Section 27247 Of Chapter 13. Issuance Of District Bonds And Disposition Of Surplus Proceeds From California Streets And Highways Code >> Division 16. >> Part 3. >> Chapter 13.

. If after paying the cost of constructing or acquiring or both the works and interest on the bonds during the actual period of construction and for a period of six months thereafter, there is a surplus of the proceeds of the bonds issued by the district, including all premiums paid there shall be set aside out of such surplus in a reserve interest fund an amount equal to one year's interest on the bonds, or, if the surplus shall be less than one year' s interest on the bonds, all of the surplus shall be set aside.