Section 31428 Of Article 4. Issuance From California Water Code >> Division 12. >> Part 6. >> Chapter 2. >> Article 4.
31428
. All premiums and accrued interest received on the sale of
bonds shall be placed in the fund to be used for the payment of
principal and interest on the bonds, and the remainder of the
proceeds of the bonds shall be placed in the treasury to the credit
of the proper improvement fund and applied exclusively to the purpose
and object recited in the resolution provided for in Section 31391.
When the purpose and object has been accomplished any moneys
remaining in such improvement fund shall be transferred to the fund
to be used for payment of principal and interest on the bonds. When
the purpose and object has been accomplished and all principal and
interest on the bonds have been paid, any balance of money then
remaining shall be transferred to the general fund.