17001-17009

PUBLIC UTILITIES CODE
SECTION 17001-17009




17001.  District bonds shall be of such form and shall be redeemed
at such times and in such amounts as the board may from time to time
prescribe. However, the redemption of the bonds shall begin in not
more than 15 years and shall be completed in not more than 75 years
from the date of issue.


17002.  The bonds are payable, principal and interest, in lawful
money of the United States.



17003.  The interest on the bonds, other than bonds for sewage
works, shall not exceed 8 percent a year. The interest on bonds for
sewage works shall not exceed 8 percent a year.



17004.  The bonds shall be issued in such denomination or
denominations as the board may prescribe and may be sold by the board
at such times and in such manner as it determines, but at not less
than par and accrued interest.


17005.  District bonds have the same force, value, and use as bonds
issued by a municipality.



17006.  The proceeds from the sale of bonds shall be placed in the
treasury to the credit of the proper fund, and shall be applied
exclusively to the purposes and objects mentioned in the ordinance
authorizing their issue until such objects are fully accomplished,
after which, if any surplus remains, the surplus may be transferred
to the general fund, except that a surplus exceeding five thousand
dollars ($5,000) shall be wholly transferred to the appropriate fund
to pay interest and maintain the sinking fund, or provide for the
retirement of the bonded indebtedness in connection with which the
surplus remains.


17007.  The bonds shall be signed by the president of the board and
countersigned by the clerk, and shall have the seal of the district
attached. The coupons shall be numbered consecutively and signed by
the treasurer, by original or facsimile signature, and the bonds and
coupons shall be payable at the office of the treasurer.




17008.  Notwithstanding the fact that an officer whose signature,
countersignature, or attestation appears on any bonds or coupons
thereof ceases to be such officer before the sale or delivery of such
bonds, his signature, countersignature, or attestation appearing
either on the bonds or the coupons, or on both, is valid and
sufficient for all purposes the same as if he had remained in office
until the sale or delivery of the bonds.



17009.  In determining the amount of bonds to be issued, the
legislative body may include:
   (a) All costs and estimated costs incidental to or connected with
the acquisition, construction, improving or financing of the project.
   (b) All engineering, inspection, legal and fiscal agent's fees,
costs of the bond election and of the issuance of said bonds, bond
reserve funds and working capital and bond interest estimated to
accrue during the construction period and for a period of not to
exceed 12 months after completion of construction.