2010 Arizona Revised Statutes
Title 48 - Special Taxing Districts
48-2465 Revenue bonds

48-2465. Revenue bonds

A. To undertake, carry out and accomplish any or all of the purposes and powers of the district authorized or permitted by law, the district may borrow money and issue its negotiable bonds therefor. No bonds may be issued unless authorized by a resolution of the board of directors adopted by an affirmative vote of a majority of its members, which shall set forth a brief description of the undertaking to be accomplished, the estimated cost thereof, and the amount, maximum rate of interest and time of payment of the bonds. In districts that have both a board of directors and a council pursuant to article 3 of this chapter, no bonds may be issued unless the council by resolution adopted by an affirmative vote of a majority of its members ratifies and confirms the amount of bonds authorized to be issued by the board of directors. Written notice of any meeting of the board or council for the purpose of taking action under this section shall be sent to all members thereof by certified mail at least three days prior to the date of such meeting.

B. No bonds shall be issued pursuant to this article until the district first secures an order authorizing the issuance of such bonds in accordance with those provisions of section 40-302 pertaining to the issuance of bonds. All additional costs which are necessarily incurred by the corporation commission in connection with securing such order shall be paid for by the district.

C. The principal of and interest on such bonds and premiums, if any, shall be payable solely from the revenue of the district, or any part thereof, or all or any part of the revenue from the undertaking, as shall be pledged thereto in the authorizing resolution, which may include, if the resolution so provides, revenues derived by reason of future improvements, enlargements, extensions or repairs thereto, or revenues from the operation of all or any part of the district or undertaking. No bond or coupon may be issued pursuant to this article for which taxes or assessments upon or against the lands included within the district may be levied, nor may payment thereof be enforceable out of any funds other than the revenue pledged to the payment thereof. Any other provision of law to the contrary notwithstanding, bonds issued under the provisions of this article shall not be a lien upon the real property included in the district, and neither such bonds nor the interest thereon may be payable from the levy of taxes upon the real property included in the district. No referendum or election is required for the issuance of bonds authorized in this article.