Sec. 7-266. Agreement with bondholders.
Sec. 7-266. Agreement with bondholders. In connection with any bonds or notes
issued under the authority of this chapter, the municipality may, by resolution of the
body having power to make appropriations for such municipality, covenant and agree
with the holders thereof as to (a) the rates or charges to be imposed upon the users of
such sewerage system, including the municipality, for connection with or the use of
such system, (b) the use and disposition of the revenue from such rates or charges, (c)
the creation and maintenance of special funds and the management, use and disposition
thereof, (d) the purposes for which the proceeds of the sale of such bonds or notes may
be used, (e) the acts or conduct which shall constitute a default and the rights and liabilities of the holders arising upon such default, (f) the terms and conditions upon which
bonds or notes issued under the authority of this chapter shall become or may be declared
due before maturity and the terms and conditions upon which such declaration and its
consequences may be waived, (g) the conditions upon which other or additional bonds
or notes may be issued and secured by revenue from sewerage system use charges or
benefit assessments or both, (h) the insurance to be carried upon the sewerage system,
or parts thereof, and the use and disposition of any insurance moneys, (i) the maintenance
of books of account and the inspection and audit thereof.
(1949, S. 333d.)