Section 13433 Of Article 2.5. Guarantees For Local Agency Bonds From California Water Code >> Division 7. >> Chapter 6. >> Article 2.5.
13433
. The state board shall, by regulation, prescribe rules and
procedures for all of the following:
(a) To pay money from the Clean Water Bond Guarantee Fund to an
insured local agency or bondholder in the event that the amount in
the local agency's bond reserve fund falls below a minimum amount, or
in the event of failure by the local agency to pay the principal of,
or interest on, an insured bond issue on time, as the state board
may require.
(b) To require, by court action if necessary, a local agency to
raise sewer service charges, levy additional assessments, collect
charges or assessments, or foreclose or otherwise sell property as
needed to prevent a reduction in the local agency's bond reserve
fund, or to prevent default, or to collect funds to repay to the fund
any payments made pursuant to subdivision (a).