2007 California Water Code Article 1. Bond Issuance

CA Codes (wat:35950-35954)

35950.  The board shall, as soon after the formation of the district
as is practicable, prepare and adopt a plan of works and estimate
the amount of money it is necessary to raise for the purposes for
which bonds may be issued.  Such plan shall be adopted in the manner
hereinafter provided.



35950.1.  After the board has adopted a plan of works it may
thereafter by resolution change or supplement the plan if it
determines that the works described in the plan as changed or
supplemented will benefit all the territory within the district or
improvement district, including any territory annexed thereto since
the adoption of the original plan of works, and may revise its
estimate of the amount of money it is necessary to raise for that
purpose.  Any such changes or supplements shall be accomplished in
the manner hereinafter provided.


35950.2.  If the board determines to adopt a plan of works, or that
it is necessary to change or supplement a plan of works previously
adopted for a district or an improvement district, it shall adopt a
resolution stating the following:
   (a) The intention of the board to adopt a plan of works, or to
change or supplement a previously adopted plan of works.
   (b) A description of the purpose of the plan, or of the original
purpose of the plan and a general description of the proposed change
or supplement.
   (c) The estimated expense of carrying out the plan of works, or
any change in the estimated expense of carrying out the plan of works
by reason of the change or supplement.
   (d) If general obligation bonds are to be issued and sold for the
purpose of providing funds to carry out the plan of works or the
change or supplement of a plan of works previously adopted, that
assessments for carrying out said purpose shall be levied exclusively
on the lands of the district or improvement district including any
territory annexed thereto.
   (e) If revenue bonds are to be issued and sold for the purpose of
providing funds to carry out the plan of works or change or
supplement of a plan of works previously adopted, that only the
revenues derived from the operation of such works shall be pledged to
the payment of principal and interest on such bonds and that no tax
or assessment shall ever be levied or collected to pay principal or
interest on such bonds.
   (f) That a map of the exterior boundaries of the district or an
improvement district is on file with the secretary of the district
and is available for inspection by any person or persons interested.

   (g) The time and place of the hearing by the board in regard to
the proposed plan, or to the proposed change or supplement, and the
benefit or lack thereof to the lands within the district or an
improvement district.


35950.3.  Notice of said hearing shall be given by publishing a copy
of the resolution provided for in Section 35950.2 in a newspaper of
general circulation published in each affected county, pursuant to
Section 6066 of the Government Code; the first publication to be at
least fourteen (14) days prior to the time fixed for the hearing.
Said notice shall also be given by posting a copy of said resolution
in three public places within the district or the improvement
district for at least fourteen (14) days prior to the time fixed for
said hearing.  No notice other than that required by this section
need be given.


35950.4.  At the time and place so fixed or at any time or place to
which the hearing is continued, the board shall hold the hearing
provided for by the resolution at which hearing any person
interested, including all persons owning land in the district or
improvement district to which the hearing pertains, may appear and be
heard concerning any matters set forth in the resolution or any
matters material thereto.  At the conclusion of the hearing on the
proposed plan, or the proposed changes or supplements, the board may,
by resolution, adopt the proposed plan of works, or amend the plan
of works previously adopted in accordance with the proposed changes
or supplements.  The board shall set forth the estimated cost of
carrying out any plan of works and the purpose to be accomplished.
If there is any change in the estimate of cost of carrying out the
plan of works and the purpose is to be accomplished, the amended
total of the estimated expense shall be set forth specifically.



35950.5.  If the issuance of bonds has been authorized previously by
the district or by the district for an improvement district and the
change or supplement to the plan of works has increased the original
estimate of cost, the board may provide for and call a special bond
election within the district or the improvement district to submit to
the voters of the district or the improvement district a proposition
of whether or not additional indebtedness shall be incurred and
bonds issued therefor in an amount which, when added to the amount of
unissued bonds previously authorized to accomplish the original plan
of works, will not exceed the revised estimate of cost set forth in
the resolution approving the change or supplement to the plan of
works.  Said proposition need only refer to the amended plan, state
the amount of additional bonds to be authorized, and indicate that
previously authorized bonds will be issued to carry out the amended
plan.  Said proposition need not state the amount of unissued bonds
previously authorized.  In any such instance, the special bond
election provided for herein shall be called, noticed, held,
conducted and the results thereof canvassed in substantially the same
manner as provided for in this division for bond elections.



35950.7.  Any bonds authorized to accomplish the amended plan of the
district or improvement district shall be issued and sold in the
same manner and upon the same terms and conditions as general
obligation bonds of the district.


35951.  Bonds may be issued for the purposes of acquiring or
constructing works for irrigation, domestic, municipal, and
industrial water supply, acquiring the necessary property for these
works, acquiring funds to fulfill contractual commitments to carry
out the powers and purposes of the district contained in contracts
with other agencies, including contractual commitments entered into
pursuant to Section 35850.5, acquiring all or part of the operating
funds for the district (the total amount of such funds so acquired
not to exceed at any time an amount equal to the total operating
costs of the district for a two-year period as estimated by its
board), acquiring any property necessary for the purposes of the
district, redeeming any outstanding warrants of the district issued
for the acquisition or construction of works of the district and
otherwise carrying out the provisions of this division.



35953.  When the treasurer receives the bonds from the board, he
shall place them to the credit of the district and keep a record of
the bonds, the payment thereof, and the interest thereon, in a book
provided for that purpose.


35954.  A district may, when necessary or proper, issue additional
bonds in the same manner as provided for the original issue for any
one or more of the following purposes:
   (a) To complete works.
   (b) To acquire property or property rights necessary or proper to
complete the works.
   (c) To supply the land with sufficient water for irrigation,
domestic, industrial, and municipal purposes.
   (d) To make additions to the works.
   (e) To refund any issue of bonds previously made.