539.595 - Directors may execute agreement with bond purchasers guaranteeing tax levy for bond redemption; approval of Department of Taxation; recording of agreement.
539.595 Directors may execute agreement with bond purchasers guaranteeing tax levy for bond redemption; approval of Department of Taxation; recording of agreement.
1. Whenever an election has been held in any irrigation district and bonds have been authorized to be issued having the maturities prescribed in NRS 539.615 to 539.635, inclusive, which bonds have likewise been authorized to be issued by the board of directors of such district but have not been delivered, the board of directors, subject to the approval of the Department of Taxation, may agree with any prospective purchaser of such bonds prior to delivery and payment of the purchase price, that the irrigation district will, during the life of the bonds, levy a minimum tax in each year prior to the fixed maturity date of such bonds, or any of them, which agreement shall be in writing signed by the president and secretary of the district, and bearing upon its face the approval of the Department of Taxation, and shall be filed in the office of the county recorder of each county in which the district is located.
2. When so filed for record, the agreement constitutes a binding and irrevocable agreement on the part of the district that such taxes will be levied, and the agreement inures to the benefit of the holders or owners of each of the bonds at any time outstanding, so as to give to them, or either of them, a right of action against the district to compel the levy of such taxes as provided in the agreement.
3. A copy of the agreement, certified by each of the county recorders in whose office the agreement is recorded, shall be filed with the county auditor of each county in which the agreement is recorded.
[Part 72:64:1919; added 1929, 286; NCL § 8090]—(NRS A 1977, 1239)