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Article 1. Bond Terms of California Water Code >> Division 11. >> Part 9. >> Chapter 3. >> Article 1.
As used in this chapter "bonds" includes both construction
and refunding bonds except as otherwise expressly provided.
Subject to the provisions of this article the board shall
prescribe the form of the bonds issued by the district and of the
attached interest coupons.
An issue of bonds means all of the bonds issued in
accordance with a single proposal approved at an election.
Each issue of bonds shall be numbered consecutively as
authorized, and the bonds of each issue shall be numbered
consecutively.
The board shall fix the date of each issue of bonds and may
divide any issue into two or more divisions and fix different dates
for the bonds of each respective division.
The date of any bond shall be subsequent to the date of the
election at which its issuance was authorized and prior to that of
its delivery to a purchaser from the district.
The date of issue of any bond shall be deemed to be the date
of the bond appearing on its face.
The board shall fix the denomination or denominations of the
bonds.
The bonds shall bear interest at a rate not to exceed 8
percent per year to be fixed by the board, except that, if, before
the issuance of the bonds, the board determines, to the best of its
knowledge and belief, that the interest on the bonds will be subject
to federal income taxation under then existing law, the bonds may
bear interest at a rate or rates not exceeding 10 percent per year to
be fixed by the board.
This section shall become operative on January 1, 1984.
Notwithstanding the provisions of Section 25208 of the
Water Code and any other provisions of law, the Board of Directors of
the Solano Irrigation District may determine and provide, in any
resolution providing for the issuance of bonds pursuant to this
division, for the bonds to bear interest at a rate or rates not
exceeding 18 percent a year if, before the issuance of the bonds, the
board determines, to the best of its knowledge and belief, that the
interest on the bonds will be subject to federal income taxation
under then existing law.
The interest shall be payable on the first day of January
and the first day of July of each year.
In the case of any district described in Section 20560.2,
notwithstanding any other provision of this division, the interest on
any bonds of the district payable solely from revenue issued for
purposes of financing works of the district for the generation,
transmission, distribution, or sale of electric power shall be
payable at least semiannually on the dates designated by the board.
The board shall designate the places at which the bonds and
the interest thereon shall be payable.
The bonds shall be payable in lawful money of the United
States.
Each bond shall be made payable at a given time for its full
face value and not for a percentage thereof.
The principal on bonds shall be payable on the first day of
January or the first day of July of the years designated by the
board.
In the case of any district described in Section 20560.2,
notwithstanding any other provision of this division, each principal
payment, other than payments of principal upon optional redemption,
on any bonds of the district payable solely from revenue issued for
purposes of financing works of the district for the generation,
transmission, distribution, or sale of electric power shall be
payable on one of the dates designated by the board pursuant to
Section 25209.1 for payment of interest on the bonds.
In no case shall the maturity of any bond be more than 50
years from its date.
When bonds are made callable, a statement to that effect
shall be set forth on the face of the bond.
Each bond shall be signed by the president and secretary
then in office at any time between the date of the bond and its
delivery to a purchaser from the district.
The seal of the district shall be impressed on each bond.
The interest coupons shall be signed by the secretary then
in office at any time between the date of the bond and its delivery
to a purchaser from the district. The signature of the secretary may
be made by facsimile.
Unless otherwise provided in the proceedings for the
issuance of the bonds, they and the interest on them shall be paid
from money derived from an annual assessment upon land or charges
which in the discretion of the board are fixed and collected in lieu
thereof and all land shall be and remain liable to be assessed for
these payments.
