ARTICLE 4. Investment Bond Act of 1909

Article 4 added by Stats. 1949, Ch. 79.

§§ 43760–43797 · 38 sections

§ 43760 This article may be cited as the Investment Bond Act of 1909.
§ 43761 Whenever the public interest or necessity requires, any city may incur a bonded indebtedness to acquire bonds: (a) Issued by the city. (b) Issued by or for any…
§ 43762 It is the intent of the Legislature in adopting this article that the acquisition of such bonds or investments of the general improvement fund shall be for any…
§ 43763 Bonds issued pursuant to this article shall be issued substantially in the manner prescribed by Article 1 of this chapter.
§ 43764 The ordinance calling the election need not contain any statement as to the estimated cost of the proposed public improvement.
§ 43765 If the bonds are to be issued to acquire outstanding bonds, the ordinance shall state generally: (a) What bonds are to be purchased or acquired. (b) The total…
§ 43766 The interest rate on the bonds need not be the same during the entire term and different rates may be fixed for one or more interest payments.
§ 43767 The bonds shall not be sold at less than their par value. They may be exchanged at their par value for the outstanding bonds if the outstanding bonds are taken…
§ 43768 In the exchange of bonds, interest upon the bonds to be acquired accruing to the date of exchange may be offset against the interest accruing upon the bonds…
§ 43769 Bonds issued pursuant to this article shall be redeemed and paid pursuant to Article 1 of this chapter.
§ 43770 Taxes for the payment of the bonds shall be levied pursuant to Article 1 except where any issue of bonds pursuant to this article is to mature at one time.
§ 43771 The legislative body of any city shall keep the funds arising from the sale of bonds pursuant to this article separate and distinct from all other municipal…
§ 43772 If the bonds are issued to acquire or to provide funds for the purchase of certain outstanding bonds, they may be used only for that purpose. All of the funds…
§ 43773 At such times as the legislative body determines, it may sell any of the bonds purchased by it. The bonds shall not be sold at a price less than that paid for…
§ 43774 The purchase price of any bonds sold and the accrued interest on them shall be placed in the general improvement fund and may be reinvested in bonds, or, if…
§ 43775 During the time the city owns any district bonds payable from taxes or assessments levied wholly or partially in accordance with the assessed value of the land…
§ 43776 When bonds are acquired at less than their par value, the legislative body may reduce the total principal amount of any issue acquired and held by it to a…
§ 43777 The ordinance is subject to referendum as other ordinances and shall designate: (a) The issue of bonds to be reduced. (b) The total principal amount of the…
§ 43778 At the time and place fixed, the bonds shall be publicly canceled, and the city clerk shall enter on the minutes of the legislative body a record of the bonds…
§ 43779 If the bonds canceled are issued under the Improvement Bond Act of 1915, the legislative body shall reduce the principal amount of the assessments securing the…
§ 43780 The reduction of assessments shall be carried out by canceling such proportion of the assessments as is necessary, and the legislative body may provide…
§ 43781 When the legislative body of any city has acquired any district bonds pursuant to this article, it may, as an alternative to the procedure prescribed in…
§ 43782 Before ordering the cancellation, by ordinance the legislative body shall: (a) Determine that the public interest and welfare will be best served by the…
§ 43783 At the time and place fixed in the ordinance, the bonds shall be publicly canceled, and the legislative body shall cause a record of the cancellation to be…
§ 43784 The legislative body may sell any district bonds acquired from money in the general improvement fund to any property owner at such price as it determines, to…
§ 43785 All district bonds sold for the purpose of effecting such redemption shall be canceled and discharged upon the redemption of the property. The treasurer shall…
§ 43786 The legislative body may determine that any issue of bonds pursuant to this article shall mature at one time, not to exceed twenty years from the date of issue.
§ 43787 If the bonds are made to mature at one time, the annual tax levy shall be sufficient to pay the interest on the bonds as it comes due and create a sinking fund…
§ 43788 The sum to be raised each year and placed in the sinking fund for the payment of the principal shall not be less than an amount obtained by dividing the total…
§ 43789 If the entire issue of bonds is to mature at one time, the bonds may be called for redemption in numerical order at par and accrued interest on any interest…
§ 43790 Any bond issued pursuant to this article shall not be callable or redeemable prior to its fixed maturity date unless it contains a statement that the bond is…
§ 43791 At least once each year, within sixty days prior to an interest payment date, if the sinking fund contains sufficient available money to call one or more of…
§ 43792 The notice shall state the amount available for the redemption of bonds and specify the time and place the proposals will be opened. At such time and place,…
§ 43793 A proposal shall not be accepted unless the sale price is less than par and accrued interest. If no proposals are received, or if those received are rejected…
§ 43794 Notice of the call for redemption shall be published once a week for two weeks in a newspaper of general circulation in the city. The first publication shall…
§ 43795 If any bonds called are not presented for redemption on the date fixed, on the day following a sum sufficient for the payment of the principal of such bonds…
§ 43796 This article provides an alternative system for the issuance of bonds. When proceedings are commenced under this article, its provisions govern all procedures…
§ 43797 This article shall be liberally construed to the end that its purposes may be made effective.