Section 27220 - Resolution declaring need for district to incur bonded indebtednessWhenever the board deems it necessary for the district to incur a bonded indebtedness it shall, by resolution so declare. The resolution shall contain:
(a) A statement of the proposition to be submitted to the electors, including the purpose for which the proposed debt is to be incurred.(b) The amount of debt to be incurred, which shall not exceed 15 per cent of the assessed value of all taxable property in the district.(c) The maximum term, which shall not exceed 40 years, that the bonds proposed to be issued shall run before maturity.(d) The maximum rate of interest to be paid, which shall not exceed 6 per cent per annum.(e) A statement that interest, to be paid upon such bonds, during the period of construction of the works of the district and before any revenue is obtained therefrom shall be a capital charge, and shall be payable out of the principal sum realized from the sale of the bonds.Ca. Sts. and High. Code § 27220
Added by Stats. 1943, Ch. 286.