100460-100463

PUBLIC UTILITIES CODE
SECTION 100460-100463




100460.  The district shall have power to purchase transit equipment
such as cars, trolley buses, and motor buses, or rolling equipment;
and may execute agreements, leases and equipment trust certificates
in the forms customarily used by private corporations engaged in the
transit business appropriate to effect such purchase and leasing of
transit equipment and may dispose of such equipment trust
certificates upon such terms and conditions as the board may deem
appropriate. Payment for such equipment, or rentals therefor, may be
made in installments, and the deferred installments may be evidenced
by equipment trust certificates payable from any source or sources of
funds specified in such certificates that are or will be legally
available to the district. Title to such equipment shall not rest in
the district until the equipment trust certificates are paid.



100461.  The agreement to purchase or lease may direct the vendor or
lessor to sell and assign or lease the rolling equipment to a bank
or trust company duly authorized to transact business in the State of
California as trustee, for the benefit and security of the equipment
trust certificates and may direct such trustee to deliver the
rolling equipment to one or more designated officers of the district
and may authorize the district to execute and deliver simultaneously
therewith an installment purchase agreement or a lease of the
equipment to the district.



100462.  The agreements and leases shall be duly acknowledged before
a person authorized by law to take acknowledgments of deeds and in
the form required for acknowledgment of deeds. Such agreements,
leases, and equipment trust certificates shall be authorized by
resolution of the district and shall contain such covenants,
conditions, and provisions which may be deemed necessary or
appropriate to insure the payment of the equipment trust certificates
from legally available sources of funds specified in such
certificates.


100463.  The covenants, conditions, and provisions of the
agreements, leases, and equipment trust certificates shall not
conflict with any of the provisions of any trust agreement securing
the payment of bonds, notes, or certificates of the district.