US Laws, Codes, Statutes & Cases

                                  TITLE  42
                       IRRIGATION AND DRAINAGE -- WATER
                            RIGHTS AND RECLAMATION
                                  CHAPTER 17
                       DEPARTMENT OF WATER RESOURCES --
                             WATER RESOURCE BOARD
    42-1743.  COVENANTS. The board may provide such covenants as it may deem
necessary to secure and guarantee the payment of the principal of and interest
on such bonds, including but not limited to covenants to create reserve
accounts and to authorize the deposit of certain moneys therein for the
purpose of securing and guaranteeing the payment of such principal and
interest, to appoint a state or national bank or trust company as trustee for
the bondholders to hold, invest and disburse moneys set aside and pledged to
pay and guarantee the payment of such bonds and/or as a trustee for
safeguarding the disbursing of the proceeds of the sale of such bonds, to fix
such powers and duties of such trustee or trustees as may be found necessary
to carry out the purpose of this act, and to make any and all other covenants
not inconsistent with the provisions of this act which in the judgment of the
board will increase the marketability of such bonds. The board may also
provide that revenue bonds payable out of the same source or sources may be
later issued on a parity with any revenue bonds being issued and sold. The
provisions of this act and any resolution or resolutions providing for the
authorization, issuance and sale of such bonds shall constitute a contract
with the holders of such bonds and the provisions thereof shall be enforceable
by any owner or holder of such bonds by any appropriate suit, action or
proceeding in any court of competent jurisdiction.