17B-1-1105 - Revenue bonds -- Requirement to impose rates and charges to cover revenue bonds -- Authority to make agreements and covenants to provide for bond repayment.
17B-1-1105. Revenue bonds -- Requirement to impose rates and charges to coverrevenue bonds -- Authority to make agreements and covenants to provide for bondrepayment.
(1) A local district intending to issue revenue bonds may, but is not required to, submit todistrict voters for their approval the issuance of the revenue bonds at an election held for thatpurpose as provided in Title 11, Chapter 14, Local Government Bonding Act.
(2) Each local district that has issued revenue bonds shall impose rates and charges forthe services or commodities it provides fully sufficient, along with other sources of districtrevenues, to carry out all undertakings of the district with respect to its revenue bonds.
(3) A local district that issues revenue bonds may:
(a) agree to pay operation and maintenance expenses of the district from the proceeds ofthe ad valorem taxes authorized in Subsection 17B-1-103(2)(g); and
(b) for the benefit of bondholders, enter into covenants that:
(i) are permitted by Title 11, Chapter 14, Local Government Bonding Act; and
(ii) provide for other pertinent matters that the board of trustees considers proper toassure the marketability of the bonds.
Enacted by Chapter 329, 2007 General Session