CHAPTER 3.5. Revenue Bonds for Public Improvements

Chapter 3.5 added by Stats. 1957, Ch. 2066.

§§ 50701–50798.4 · 75 sections

1. ARTICLE 1. Authority §§ 50701–50713 · 14 sections

   • § 50701 Subject to the provisions of this chapter, the board of a local agency may undertake and issue revenue bonds to finance the following public improvements: (a)…
   • § 50702 Each separate improvement shall be designated as a “project.”
   • § 50703 If in the opinion of the board, it is advisable that any project be acquired, constructed or completed, in whole or in part, it shall cause a report thereon to…
   • § 50704 If the report is approved by the board, the board may adopt a resolution declaring that the public interest and necessity demand the acquisition, construction…
   • § 50705 The board has full charge of the acquisition, construction and completion of all projects authorized by it and may proceed with such work subject to the…
   • § 50706 The board may institute any proceedings and acquire all real property necessary therefor on such terms and conditions as it deems advisable. Whenever the cost…
   • § 50706.5 It is unlawful to split or separate into smaller work orders or projects any project undertaken pursuant to this chapter for the purpose of evading any…
   • § 50707 Title to all property acquired under this chapter and the revenue and income therefrom shall be in the name of the local agency. The title to such property and…
   • § 50708 So long as any bonds issued are outstanding and unpaid, the operation, maintenance, control, repair, construction, alteration and improvement of any project…
   • § 50709 The board may only use for the payment of the acquisition, construction, completion, maintenance, or insurance of any project undertaken under the authority of…
   • § 50710 The board may insure against any accident to or destruction of any project or any part thereof. Any money collected on such insurance shall be used for the…
   • § 50711 The board may insure against loss of revenue from any cause whatever and the proceeds of such insurance shall be used solely for the payment of the bonds and…
   • § 50712 The board may insure against public liability or property damage in connection with any project. It may provide in the proceedings authorizing the issuance of…
   • § 50713 This chapter provides an alternative procedure to that otherwise provided by law for undertaking the improvements authorized herein and shall not operate to…
2. ARTICLE 2. Revenue Bonds §§ 50715–50753 · 39 sections

   • § 50715 The board shall issue revenue bonds in the name of the local agency. These bonds shall constitute obligations of the project only, and neither the payment of…
   • § 50716 The board shall determine the time, form and manner of the issuance of revenue bonds.
   • § 50717 The board may enter into indentures providing for the aggregate principal amount, date, or dates, maturities, interest rate, denominations, form, registration…
   • § 50718 An indenture pursuant to which bonds are issued may include such covenants and agreements on the part of the board as the board deems necessary or advisible…
   • § 50719 An indenture may include a clause relating to the bonds issued thereunder requiring the board to pay or cause to be paid punctually the principal of all such…
   • § 50720 An indenture may include a clause relating to the bonds issued thereunder requiring the board to continuously operate all improvements acquired, constructed,…
   • § 50721 An indenture may include a clause relating to the bonds issued thereunder requiring the board to make all needful and necessary repairs, renewals and…
   • § 50722 An indenture may include a clause relating to the bonds issued thereunder requiring the board to preserve and protect the security of the bonds and the rights…
   • § 50723 An indenture may include a clause relating to the bonds issued thereunder requiring the board to pay and discharge or cause to be paid and discharged from the…
   • § 50724 An indenture may include a clause relating to the bonds issued thereunder which limits, restricts, or prohibits any right, power or privilege of the board to…
   • § 50725 An indenture may include a clause relating to the bonds issued thereunder requiring the board to fix, prescribe and collect fees, rates, tolls, rentals or…
   • § 50726 An indenture may include a clause relating to the bonds issued thereunder requiring the board to hold in trust the revenues pledged to the payment of such…
   • § 50727 An indenture may include a clause limiting the power of the board to apply the proceeds of the sale of any issue of bonds for the acquiring, constructing, or…
   • § 50728 An indenture may include a clause limiting the power of the board to issue additional bonds for the purpose of acquiring, constructing or completing any…
   • § 50729 An indenture may include a clause requiring, specifying or limiting the kind, amount and character of insurance to be maintained by the board on any…
   • § 50730 An indenture may include a clause providing the events of default and the terms and conditions upon which any or all of the bonds then or thereafter issued may…
   • § 50731 An indenture may include a clause designating the rights, limitations, powers and duties arising upon breach by the board of any of the covenants, conditions,…
   • § 50732 An indenture may include a clause prescribing a procedure by which the terms and conditions of the indenture may be subsequently amended or modified with the…
   • § 50733 The indenture may include a clause providing for such other acts and matters as may be necessary or convenient or desirable in order to secure the bonds or to…
   • § 50734 The board may designate a bank or trust company, qualified to do business in this State, as a trustee for the holders of bonds issued hereunder, and may…
   • § 50735 The board shall fix and determine the conditions upon which any trustee shall receive, hold or disburse any or all revenues collected for or on account of the…
   • § 50736 The board may issue bonds in series or may divide any issue into one or more divisions and fix different maturities or dates of such bonds, different rates of…
   • § 50737 Bonds may be issued as coupon bonds or as registered bonds. The board may provide for the interchange of coupon bonds for registered bonds and registered bonds…
   • § 50738 Bonds shall bear interest at a rate of not to exceed 8 percent per annum, payable annually or semiannually or in part annually and in part semiannually. Prior…
   • § 50739 Bonds may be callable upon such terms, conditions, and upon such notice as the board may determine, and upon the payment of the premium fixed by the board in…
   • § 50740 The board may provide for the payment of the principal and interest of bonds at any place within or without the State of California, and in specified coin or…
   • § 50741 The board may provide for the execution and authentication of bonds by the manual, lithographed or printed facsimile signature of officers of the board. If any…
   • § 50742 Bonds shall bear dates prescribed by the board. Bonds may be serial bonds or sinking fund bonds with such maturities as the board may determine. No bond by its…
   • § 50743 The board may fix terms and conditions for the sale or other disposition of any authorized issue of bonds. The board may sell bonds at less than their par or…
   • § 50744 The board may provide for the security of bonds.
   • § 50745 Interest on bonds may be paid out of the proceeds of the sale of the bonds during the actual construction of any project for the acquisition, construction or…
   • § 50746 The board may provide in the proceedings for the issuance of bonds that the bonds and the interest thereon constitute such lien upon the revenues of any…
   • § 50747 Pending the actual issuance or delivery of revenue bonds, the board may issue temporary or interim bonds, certificates or receipts of any denominations…
   • § 50748 All bonds, and the interest or income therefrom, are exempt from all taxation in this State other than gift, inheritance and estate taxes.
   • § 50749 The bonds issued under this chapter shall be subject to investigation and certification by the State Treasurer under the Districts Securities Law (Chapter 1…
   • § 50750 The board may provide for the issuance, sale, or exhange of refunding bonds for the purpose of redeeming or retiring any revenue bonds issued by the board. All…
   • § 50751 Funding or refunding bonds may be issued in a principal amount sufficient to provide funds for the payment of all bonds to be funded or refunded thereby, and…
   • § 50752 All bonds issued under the provisions of this chapter are negotiable instruments, except when registered in the name of a registered owner.
   • § 50753 An action to determine the validity of bonds may be brought pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the Code of Civil…
3. ARTICLE 3. Rental Rates, Charges and Fees §§ 50760–50762 · 3 sections

   • § 50760 The board shall fix the rental rates, fees and all other charges to be made for all facilities furnished, acquired, constructed or completed under this chapter…
   • § 50761 The board may lease concessions for a period of time not exceeding 10 years as may be agreed upon by the contracting parties with or without advertising for…
   • § 50762 Every contract entered into by the board for the use of any project or part thereof, acquired, constructed or completed from the proceeds of the sale of…
4. ARTICLE 4. Competitive Projects §§ 50765–50766 · 2 sections

   • § 50765 The board may include, in an indenture for the issuance of revenue bonds, a clause that no competitive projects will be acquired or constructed by the board as…
   • § 50766 The board may also include in an indenture for the issuance of bonds a clause that no project acquired, constructed or completed from the proceeds of revenue…
5. ARTICLE 5. Rights of Bondholders §§ 50770–50771 · 2 sections

   • § 50770 The holder of any bond issued pursuant to this chapter may by mandamus or other appropriate proceeding, require and compel the performance of any of the duties…
   • § 50771 While any revenue bonds issued by the board remain outstanding, the powers and duties of the board shall not be diminished or impaired in any manner that will…
6. ARTICLE 6. Contributions and Cooperation §§ 50786–50790 · 5 sections

   • § 50786 The board may accept contributions or appropriations from the United States of America, the State of California, or any department or agency of either thereof,…
   • § 50787 The board may enter into any contract, arrangement or agreement with the United States, the State or any other municipal corporation or public agency and may…
   • § 50788 The board may cooperate and contract with the United States under the War Mobilization and Reconversion Act of 1944, approved October 3, 1944, and any acts…
   • § 50789 The board may authorize or direct any officer, employee or department of the local agency to perform services for or in connection with the development,…
   • § 50790 The board may provide for the construction, maintenance and operation of any project upon any lands owned by the local agency without regard to the manner in…
7. ARTICLE 7. Funds §§ 50793–50797 · 5 sections

   • § 50793 The proceeds from the sale of all bonds authorized under the provisions of this chapter shall be paid into the treasury of the local agency to the credit of…
   • § 50794 If any surplus shall exist in the construction fund after the payment in full of all costs of acquisition, construction and completion of the project for which…
   • § 50795 The board may provide for the payment of the interest becoming due and payment on the principal of revenue bonds prior to and during the period of actual…
   • § 50796 Moneys in the construction fund not required to meet acquisition or construction costs or expenses payable from the construction fund or interest on the bonds,…
   • § 50797 All revenues received from the operation of the project acquired, constructed or completed by the board shall be paid into the treasury of the local agency to…
8. ARTICLE 8. Definition and General Provisions §§ 50798–50798.4 · 5 sections

   • § 50798 This chapter shall be liberally construed to carry out its objects and purposes and to finance the construction of needed public improvements through the…
   • § 50798.1 “Bonds” as used in this chapter means the written evidence of any obligation incurred by the board payable out of revenues as provided in this chapter in order…
   • § 50798.2 “Revenue” as used in this chapter shall mean all fees, rates, charges, rentals or other income and revenue actually received or receivable by or for the…
   • § 50798.3 “Board” as used in this chapter means the board of supervisors in the case of a county or city and county, and city council or board of trustees in the case of…
   • § 50798.4 This chapter shall not be operative in any local agency until the board, either at a general or a special election, shall submit to the electors of the local…