DIVISION 11. REFUNDING OF BONDS ISSUED UNDER THE “IMPROVEMENT BOND ACT OF 1915” [9000. - 9481.]
Division 11 added by Stats. 1951, Ch. 463.
§§ 9000–9481 · 175 sections
CHAPTER 1. General Provisions and Definitions §§ 9000–9025 · 26 sections
ARTICLE 1. General Provisions §§ 9000–9014 · 15 sections
- § 9000 The refunding of bonds issued under the “Improvement Bond Act of 1915” so as to restore property to the tax rolls and make it available for development is…
- § 9001 The legislative body of any city in this State may refund bonds issued under the “Improvement Bond Act of 1915,” under and subject to the provisions of this…
- § 9002 It is the intention of this division that the original bonds and the original assessments shall remain in full force and effect until superseded and supplanted…
- § 9003 Any action or determination made necessary by reason of constitutional requirements or otherwise, or any action or determination which is convenient in the…
- § 9004 Any city may employ any qualified person to perform any work provided for or authorized by this division or in connection with the refunding of any…
- § 9005 The incidental expenses of any refunding and reassessment authorized by this division shall be paid by the city in which the district lies.
- § 9006 When proceedings are commenced under this division, the provisions of this division only shall apply thereto.
- § 9007 This division does not affect any other act or acts now existing or which may hereafter be passed covering the same subject matter, nor apply to any…
- § 9008 The remedies provided for the enforcement of any reassessment levied under the provisions of this division are not exclusive and additional remedies may be…
- § 9009 The curative clauses of this division are cumulative and each of them is to be given full force and effect.
- § 9010 This division and all of its provisions shall be liberally construed, to the end that the purposes thereof may be made effective.
- § 9011 Whenever the requisite number of property owners have filed their written consent to the refunding and reassessment under this division, any city may perform…
- § 9012 In any action to foreclose or in any action to quiet title brought by the purchaser at a sale for delinquency under this division, or by his successor in…
- § 9013 In the event of foreclosure or action to quiet title process shall be served upon the same person or persons as in other cases of suits against the city.
- § 9014 The purchaser, whether at tax collector’s sale or at resale by the city in the event of the city having become the purchaser, or at foreclosure sale by order…
ARTICLE 2. Definitions §§ 9015–9025 · 11 sections
- § 9015 Unless the particular provision or the context otherwise requires, the definitions contained in this article shall govern the construction of this division.
- § 9016 All words in this division relating to municipal officers and matters shall be construed as referring to the corresponding county officers and matters under…
- § 9017 “Auditor” means: (a) When used with reference to a county, the county auditor. (b) When used with reference to a city, any person who, under whatever name or…
- § 9018 “City” includes counties, cities and counties, and all corporations organized and existing for municipal purposes.
- § 9019 “Clerk” means: (a) When used with reference to a county, the clerk of the board of supervisors. (b) When used with reference to a city, the person who is or…
- § 9020 “Legislative body” means: (a) When used with reference to a county, the board of supervisors. (b) When used with reference to a city, the body which by law…
- § 9021 “Parcel” means lot, piece, parcel, or tract of land.
- § 9022 As used with reference to a county, “street superintendent” or “superintendent of streets” means the county surveyor or such other competent county officer as…
- § 9023 “Tax collector” means any person who, under whatever name or title, is charged with the duty of collecting taxes, advertising delinquent lists of unpaid taxes,…
- § 9024 “Tax-deeded lands” are parcels of land, the assessment upon which is security for the outstanding bonds to be refunded, which have been deeded to the State for…
- § 9025 “Treasurer” means: (a) When used with reference to a county, the county treasurer. (b) When used with reference to a city, the city treasurer.
CHAPTER 2. Preliminary Proceedings §§ 9050–9081 · 17 sections
ARTICLE 1. Authority to Refund § 9050 · 1 section
- § 9050 Whenever any principal or interest of any issue of bonds issued under the “Improvement Bond Act of 1915” is past due and unpaid because of delinquency in the…
ARTICLE 2. Consent of Bondholders §§ 9055–9061 · 7 sections
- § 9055 The legislative body may enter into a written contract or contracts with the owner or owners of such bonds and provide therein for the cancellation of the…
- § 9056 When any bond is presented by any person to the legislative body for refunding, such person shall be deemed the owner thereof, and the legislative body may…
- § 9057 The contract or contracts shall determine the terms and conditions upon which the outstanding bonds shall be exchanged for the refunding bonds.
- § 9058 The bonds to be refunded may be deposited with the city treasurer or with any duly incorporated bank or trust company doing business in the State, which shall…
- § 9059 The State of California or any city, county, or other political subdivision or public corporation, owning any bonds which might be refunded under the…
- § 9060 The city may at any time prior to the actual issuance and exchange of the refunding bonds make additional contracts with any owners of bonds for the surrender…
- § 9061 If the owners of 75 percent or more of the principal amount of the outstanding bonds of any issue join in the contract or contracts, the city may proceed under…
ARTICLE 3. Nonconsenting Bondholders §§ 9070–9076 · 7 sections
- § 9070 In the event that the holders of one or more of the outstanding bonds do not enter any contract to refund the same, nevertheless, if the holders of 75 percent…
- § 9071 The city which is conducting the refunding proceedings may make an advancement or contribution or an additional contribution in order to provide money to pay…
- § 9072 If any person advances money to provide for the payment or retirement of the bonds of nonconsenting holders the legislative body may deliver at par all or any…
- § 9073 Any other methods of raising funds for the payment or retirement of the bonds of nonconsenting holders which will, prior to the time the assessment is recorded…
- § 9074 Whenever any money is placed in any fund for the retirement or payment of the bonds of nonconsenting holders such money shall be used only for that purpose.…
- § 9075 In the event that the discharge of the bonds of any nonconsenting holders at less than the par value thereof has been authorized by any final decree or order…
- § 9076 The reassessment shall not be recorded until adequate provision has been made in accordance with the terms of this article for the payment or retirement of…
ARTICLE 4. Refunding of Two or More Issues §§ 9080–9081 · 2 sections
- § 9080 Two or more issues of bonds issued under the Improvement Bond Act of 1915 may be refunded in one proceeding under this division and only one issue of refunding…
- § 9081 The proceedings for refunding two or more issues of bonds shall follow as nearly as may be the procedure for the refunding of one issue, with such…
CHAPTER 3. Reassessment §§ 9100–9145 · 24 sections
ARTICLE 1. Computing the Reassessment §§ 9100–9107 · 8 sections
- § 9100 When the contract between the city and 75 percent or more of the bondholders has been entered into, the legislative body shall direct the auditor to submit a…
- § 9101 The amount of the reassessment upon any parcel of land shall be computed by the auditor in the following manner: (a) Subtract from the total amount of unpaid…
- § 9102 As an alternative method of apportioning the reassessments, the legislative body, if it determines that it appears that the assessments upon some of the lands…
- § 9103 When the reassessment has been spread under the alternative method, it shall be filed with the auditor and the auditor shall include it in his statement in…
- § 9104 The amount of the reassessment upon any parcel shall not exceed the unpaid amount of the original assessment upon that parcel and the unpaid annual interest…
- § 9105 Tax-deeded land shall be subject to reassessment.
- § 9106 Any parcel of land subject to the lien of any assessment securing bonds to be refunded pursuant to this division which has been deeded to any city or other…
- § 9107 All money appropriated by the city or county to assist in refunding shall be credited upon the reassessment and shall reduce each of the reassessments therein…
ARTICLE 2. Contributions and Appropriations §§ 9125–9134 · 10 sections
- § 9125 A city proceeding under this division may appropriate money from any available fund to assist in the refunding. Wherever the improvement is a street, bridge,…
- § 9126 In addition to the authority contained elsewhere in this division, any city, county, or city and county, district, or other public corporation of any class or…
- § 9127 All or any part of the delinquent taxes levied upon lands subject to reassessment in the refunding proceeding for any city, county, or city and county,…
- § 9128 Such appropriation or contribution may be of money to be received from the collection of such delinquent taxes or may be made by authorizing the cancellation…
- § 9129 If cancellation as provided in this article is authorized, a certified copy of the resolution making the contribution or appropriation and authorizing the…
- § 9130 When any appropriation or contribution is made by authorizing the cancellation of taxes, all interest and penalties on the taxes appropriated or contributed…
- § 9131 The taxes to be appropriated or contributed may be described in the resolution making the appropriation or contribution as all of the taxes for the particular…
- § 9132 The resolution making the appropriation or contribution and authorizing the cancellation of taxes shall comply with the following requirements: (a) It shall be…
- § 9133 When an appropriation or contribution of taxes has been made under this article, the county auditor shall compute the amount of the unpaid taxes, penalties,…
- § 9134 Where property has been deeded to the State for delinquent taxes and any appropriation or contribution of any part of the delinquent taxes is made pursuant to…
ARTICLE 3. Approval of Reassessment §§ 9140–9145 · 6 sections
- § 9140 The statement of the auditor pursuant to Article 1 of this chapter shall be filed with the legislative body.
- § 9141 If the legislative body finds the statement of the auditor to be correct upon examination, it shall approve the statement.
- § 9142 Upon the approval of the statement of the auditor the legislative body shall adopt a resolution reciting that the statement of the auditor has been approved…
- § 9143 The resolution shall also state the total amount of the outstanding bonds, the amount of the due and unpaid interest coupons, the total amount of unpaid…
- § 9144 If the assessment was spread as provided in Section 9102 the resolution shall state that fact.
- § 9145 The resolution shall be published once a week for four successive weeks in some newspaper of general circulation in the city.
CHAPTER 4. Election of Landowners to Pay Original Assessment §§ 9160–9165 · 6 sections
- § 9160 The owners of property liable to pay assessments have the right to pay such assessments, together with interest thereon as provided by the proceedings and…
- § 9161 The assessments upon property as to which such written notice has been given shall be paid and collected with interest and penalties thereon as provided by the…
- § 9162 Outstanding bonds payable serially as the assessments are payable, and in principal amount equal to the principal of the assessments included in written…
- § 9163 In the event any property owner elects to continue to pay assessments as provided in this chapter, the proposed reassessment upon his parcel of land as set…
- § 9164 If in order that the principal amount of outstanding bonds not canceled in the refunding proceedings which is payable annually and interest thereon shall equal…
- § 9165 If any property owner does not elect to continue to pay assessments as provided in this chapter, then the legislative body shall make a reassessment against…
CHAPTER 5. Consent of Landowners to Refunding and Reassessment §§ 9180–9187 · 8 sections
- § 9180 The written consent of the owners of a majority in area of the land subject to reassessment shall be filed with the clerk of the legislative body before the…
- § 9181 Any owner of land subject to reassessment may file his consent in writing to the refunding and reassessment upon substantially the terms stated in the…
- § 9182 Owners of land within the meaning of this chapter are those and those only who appear to be such upon the records in the office of the county recorder of the…
- § 9183 As to any land deeded to a city for delinquent taxes or for delinquent taxes and assessments, the legislative body of the city is authorized to consent to the…
- § 9184 As to tax deeded lands the State Controller may sign any consent or consents to the refunding and reassessment for the State, and the board of supervisors of…
- § 9185 Executors, administrators, special administrators and guardians may consent for any property of the estate represented by them. Any trustee of an express trust…
- § 9186 At the hearing on the refunding and reassessment the legislative body shall determine whether the written consent of the owners of a majority in area of the…
- § 9187 The validity, sufficiency, or genuineness of any of the consents, or the finding and determination of the legislative body thereon, shall not be contested in…
CHAPTER 6. Protest and Hearing §§ 9200–9208 · 9 sections
- § 9200 Any person interested in any of the property to be reassessed may file a written protest against the amount reassessed against his or any other property, as…
- § 9201 Any person who files such a protest shall have full opportunity to be heard thereon.
- § 9202 At the time and place fixed for hearing, the legislative body shall hear any complaints or objections that may be made concerning the amount of unpaid…
- § 9203 At the hearing no objections to the regularity of the proceedings with reference to the making of the improvement or the validity or the amount of any…
- § 9204 The determination of the legislative body upon all objections or protests shall be final and conclusive.
- § 9205 The hearing may be continued from time to time by order entered in the minutes, but must be concluded within 30 days from the date orginally fixed.
- § 9206 At the hearing the legislative body may review and correct the amount of any reassessments upon any parcel of land, but shall not assess against any parcel of…
- § 9207 At the conclusion of the hearing the reassessment as originally made or as reviewed and corrected shall be confirmed by resolution entered upon the minutes.
- § 9208 The resolution of confirmation shall designate by reassessment number or other appropriate designation or description the parcels of land in the statement on…
CHAPTER 7. Recordation of Reassessment §§ 9225–9231 · 7 sections
- § 9225 When the reassessment, as made or as reviewed and corrected, has been confirmed by the legislative body, it shall be recorded in the office of the…
- § 9226 When recorded with the superintendent of streets the reassessment shall become a lien upon the various parcels of land assessed and shall be in lieu of the…
- § 9227 Assessments originally levied, and all penalties and interest accrued thereon, shall be deemed superseded and supplanted by the reassessments.
- § 9228 The lien of the reassessment shall be given superiority and priority as of the date that the original assessment became a lien upon the property reassessed.
- § 9229 Reassessments and each installment thereof and the interest and penalties thereon shall be a lien against the parcels of land on which made, until the same are…
- § 9230 Unmatured installments, interest, and penalties on unpaid reassessments shall not be deemed to be within the terms of any general warranty of title as to any…
- § 9231 When refunding bonds are issued, the reassessments and any reassessments which may be issued thereon or in lieu thereof, together with interest thereon, shall…
CHAPTER 8. Payment and Collection of Reassessments §§ 9250–9291 · 20 sections
ARTICLE 1. Reassessment Records §§ 9250–9255 · 6 sections
- § 9250 A copy of the resolution of the legislative body confirming the reassessments upon the security of which the refunding bonds are issued, shall be filed in the…
- § 9251 The auditor shall keep a record in his office showing the several installments of principal and interest on the reassessments which are to be collected in each…
- § 9252 The auditor shall annually enter in his assessment roll on which taxes will next become due, opposite each parcel of land affected, in a space marked “public…
- § 9253 The percentages when collected shall cover the expenses and compensation of the treasurer incurred in the collection of such reassessments, and of the interest…
- § 9254 In the event that reassessment collections are made by county officials for a city the county auditor shall at the close of the tax collecting season promptly…
- § 9255 If a parcel of land affected by any reassessment is not separately assessed on the roll so that the installment to be collected can be conveniently entered…
ARTICLE 2. The Redemption Fund §§ 9260–9263 · 4 sections
- § 9260 The treasurer shall keep a redemption fund designated by the name of the bonds, into which he shall place all sums received by him from the collection of the…
- § 9261 A city proceeding under this division may at its discretion temporarily transfer money into the redemption fund from other funds in which such moneys are not…
- § 9262 From the redemption fund the treasurer shall disburse and pay the refunding bonds and the interest due thereon upon presention of the proper bonds and coupons.…
- § 9263 All money in the redemption fund upon the date the statement of the auditor is approved by the legislative body shall be paid to the holders of outstanding…
ARTICLE 3. Payment of Entire Assessment §§ 9270–9271 · 2 sections
- § 9270 Any interested owner may release and pay any unpaid reassessment by depositing with the treasurer of the city the total unpaid balance of such reassessment,…
- § 9271 If an owner pays a reassessment in a lump sum and the proceeds of that payment are used for the purchase or call of a bond, the person paying the reassessment…
ARTICLE 4. Payment Under Protest § 9280 · 1 section
- § 9280 Taxpayers shall have the same right to pay such reassessment as so entered with interest, and any penalties thereon, under protest as they have to pay general…
ARTICLE 5. Payment in Installments §§ 9285–9291 · 7 sections
- § 9285 Reassessments shall bear interest from the date of recording of the reassessment at the rate or rates stated in the refunding bonds.
- § 9286 For each year the interest shall be computed and collected up to the next second day of July succeeding, no deduction being made by reason of any installment…
- § 9287 Whenever it appears to the legislative body that according to the dates when taxes are collected in the city there will be an insufficient amount on hand to…
- § 9288 If the refunding bonds are payable in annual series, unpaid reassessments shall be payable in annual series corresponding in number to the number or series of…
- § 9289 If the refunding bonds all mature in one year, the unpaid reassessments shall be payable annually and an even annual proportion of each reassessment shall be…
- § 9290 The annual proportion of each reassessment coming due in any year, together with the annual interest on such reassessment, shall be payable in annual or…
- § 9291 Reassessment installments and the annual interest thereon shall be payable and become delinquent at the same times and in the same proportionate amounts and…
CHAPTER 9. Sale for Delinquency §§ 9300–9318 · 13 sections
ARTICLE 1. General Provisions §§ 9300–9308 · 9 sections
- § 9300 Upon default in payment of any installment of a reassessment, or interest or penalties thereon, the lands securing the reassessments shall be sold in the same…
- § 9301 In the event of default in the payment of any installment of any reassessment upon tax-deeded land or default in the payment of interest thereon, the land may…
- § 9302 The city shall be the purchaser at any delinquent sale in like manner in which it becomes or may become the purchaser of property sold for nonpayment of the…
- § 9303 If the municipal property tax is collected by county officials and sales for nonpayment of such taxes are made to the State, the State shall be the purchaser…
- § 9304 As to all lands of which any city is deemed the real purchaser under the provisions of this article, such city and all of the officials thereof shall have all…
- § 9305 If any succeeding installment of the reassessment on property purchased by a city at a delinquency sale or interest thereon is not paid in any future year, the…
- § 9306 The city shall, unless a resale has been made by it, from time to time, when due pay and transfer into the redemption fund the amount of any future delinquent…
- § 9307 In the event of sale by the tax collector of any lot or parcel of land for nonpayment of taxes and of any installment of the reassessment thereon, or of the…
- § 9308 A deed issued under this chapter conveys to the grantee the absolute title to the lands described therein, free of all encumbrances, except unpaid…
ARTICLE 2. Procedure When Funds Not Available for Payment §§ 9315–9318 · 4 sections
- § 9315 If there are no available funds in the treasury of the city or county with which to pay sums due on property bought at delinquency sales, the tax collector…
- § 9316 The delay in execution of a certificate of sale to a city or to the State referred to in the next preceding section shall not extend the period of redemption…
- § 9317 The legislative body may, and in the event of demand by the tax collector therefor as provided in Section 9315 shall, at the time of fixing the annual tax rate…
- § 9318 The special tax provided for in this chapter shall be in addition to all other taxes and shall be computed, entered, and collected in the same manner and by…
CHAPTER 10. Foreclosure of Reassessment Lien §§ 9350–9362 · 13 sections
- § 9350 In the event of nonpayment of any reassessment or installment thereof or of any interest thereon, together with any penalties and other charges accruing under…
- § 9351 The lien of a reassessment on tax-deeded land may be foreclosed as in case of other lands.
- § 9352 The action shall be brought in the name of the city and may be brought at any time prior to the expiration of four years subsequent to the date of delinquency…
- § 9353 The complaint may be brief and include substantially only the following allegations with reference to the reassessments sought to be collected: (a) That on a…
- § 9354 The costs of the action shall be fixed and allowed by the court and shall include a reasonable attorney’s fee, interest, penalties, and other charges and…
- § 9355 The amount of penalties, costs and interest due shall be calculated up to the date of judgment.
- § 9356 The court may adjudge and decree a lien against the lot or parcel of land covered by the reassessment for the amount of the judgment and may order the premises…
- § 9357 On appeal, the appellate courts shall have the same power to adjudge and decree a lien and order such premises to be sold on execution as is provided in this…
- § 9358 The foreclosure action shall be governed and regulated by the provisions of this chapter, and also where not in conflict herewith by the codes of this state.
- § 9359 Upon the ordering of any of the foreclosure actions the tax collector shall be credited upon the assessment roll then in his hands with the amount charged…
- § 9360 In any action to foreclose the lien of a reassessment, any refunding bond shall be conclusive evidence of the regularity and validity of the reassessment…
- § 9361 A city shall have the right to advance and pay county or other taxes wherever necessary to protect its interest in property against which there is a delinquent…
- § 9362 Any foreclosure of a reassessment lien shall convey the property to the purchaser free and clear of all encumbrances except such taxes and special assessment…
CHAPTER 11. Issuance of Refunding Bonds §§ 9400–9417 · 18 sections
- § 9400 The legislative body shall provide for the issuance of the refunding bonds.
- § 9401 In no event shall refunding bonds be issued for more than the par value of the outstanding bonds and the due and unpaid interest coupons to be refunded.
- § 9402 The refunding bonds shall represent and be secured by said reassessments and any later reassessments which may be levied or issued upon the same property in…
- § 9403 Refunding bonds issued pursuant to this division shall comply with the following requirements: (a) Bonds shall be in such denominations as the legislative body…
- § 9404 All of the refunding bonds shall mature on July 2d.
- § 9405 In no event shall the first maturity of any refunding bonds be earlier than the second day of July next succeeding 10 months after the date of the bonds.
- § 9406 The last maturity of any refunding bonds shall not exceed 19 years from the second day of July next succeeding 10 months after the date of said bonds.
- § 9407 The rate of interest on refunding bonds shall not exceed the rate of interest on the outstanding bonds.
- § 9408 The interest on refunding bonds shall be payable on January 2d and July 2d, respectively, of each year.
- § 9409 The first interest payment on such bonds shall in every case be January 2d next preceding the second day of July next succeeding 10 months after the date of…
- § 9410 Refunding bonds and the interest thereon shall be paid at the office of the treasurer.
- § 9411 Refunding bonds may be issued in substantially the following form: United States of America State of California No. City of $ Refunding Improvement Bond U
- § 9412 Each bond shall be conclusive evidence of the regularity of all proceedings for the issuance of refunding bonds and of the validity of said bonds and of all…
- § 9413 The refunding bonds shall be delivered to the holders of the outstanding bonds in accordance with the contract with such bondholders.
- § 9414 When the refunding bonds have been exchanged for the outstanding bonds, the outstanding bonds, except as to any sum payable from assessments which property…
- § 9415 If the city has appropriated money to assist in the refunding, such money shall be paid to the holders of outstanding bonds in accordance with the contract…
- § 9416 The validity of any refunding bonds issued under this division shall not be contested in any action, suit or proceeding unless such action or proceeding shall…
- § 9417 The treasurer shall keep a register in his office which shall show the series, number, date, amount, rate of interest, and last known holder of each bond and…
CHAPTER 12. Advance Retirement of Bonds §§ 9450–9456 · 7 sections
- § 9450 Whenever there is in the redemption fund two thousand dollars ($2,000) or more available for the payment of principal of bonds, and not collected for the…
- § 9451 The treasurer shall, by notice published once not less than 30 days prior to the date designated in some financial journal having a national circulation,…
- § 9452 The proposals for the sale of bonds shall be opened in public at the time and place specified in the notice. The legislative body in its discretion may reject…
- § 9453 If no proposals are received at a price of less than par and accrued interest, or if an insufficient amount of bonds are tendered at less than par and accrued…
- § 9454 Notice of the calling of bonds for redemption shall be given by publication once in a financial journal having a national circulation, unless the holders of…
- § 9455 All refunding bonds so purchased or redeemed pursuant to call shall be canceled by the treasurer.
- § 9456 All costs of publication provided for in this chapter shall be payable from the redemption fund.
CHAPTER 13. Validating Proceedings §§ 9475–9481 · 7 sections
- § 9475 After the reassessment has been confirmed it shall not be contested in any way other than at the time and in the manner specified in this chapter, and in any…
- § 9476 No defect in the form of any reassessment levied pursuant to this division and no statutory defect in any of the proceedings relating to the reassessment and…
- § 9477 No bond, coupon, assessment, or installment thereof or of the interest or penalties thereon, and no certificate of sale or deed shall be held invalid for error…
- § 9478 An action to determine the validity of a reassessment and of any refunding bonds issued or to be issued thereon may be brought pursuant to Chapter 9…
- § 9479 If any reassessment or any refunding bond is held illegal or invalid in any action or proceeding upon any ground which would apply to the entire reassessment…
- § 9480 If refunding bonds are invalidated or held to be illegal, all of the provisions of the act under which the original bonds were issued shall apply to the…
- § 9481 No action or proceeding to set aside, cancel, avoid, annul, or correct any reassessment levied under this division, or to review any of the proceedings, acts,…