Arizona Laws 49-1278. Water supply development bonds; purpose
A. Water supply development bonds may be issued to provide financial assistance under this article and to increase the capitalization of the water supply development revolving fund to accomplish the purposes stated in section 49-1273. These bonds may be secured by any monies received or to be received in the water supply development revolving fund. Amounts in the water supply development revolving fund may be used to cure defaults on loans made from the water supply development revolving fund to the extent otherwise permitted by law.
Terms Used In Arizona Laws 49-1278
- Board: means the water infrastructure finance authority board established by section 49-1206. See Arizona Laws 49-1201
- Contract: A legal written agreement that becomes binding when signed.
- fund: means the water supply development revolving fund established by section 49-1271. See Arizona Laws 49-1270
- Lien: A claim against real or personal property in satisfaction of a debt.
- Political subdivision: means a county, city, town or special taxing district authorized by law to construct wastewater treatment facilities, drinking water facilities or nonpoint source projects. See Arizona Laws 49-1201
- Tort: A civil wrong or breach of a duty to another person, as outlined by law. A very common tort is negligent operation of a motor vehicle that results in property damage and personal injury in an automobile accident.
- Water supply development: means any of the following:
(a) Acquiring water or rights to or contracts for water to augment the water supply of a water provider, including any environmental or other reviews, permits or plans reasonably necessary for that acquisition. See Arizona Laws 49-1201
B. Any pledge made under this article is valid and binding from the time when the pledge is made. The monies pledged and received to be placed in the appropriate fund are immediately subject to the lien of the pledge without any future physical delivery or further act, and any such lien of any pledge is valid or binding against all parties having claims of any kind in tort, contract or otherwise against the board regardless of whether the parties have notice of the lien. The official resolution or trust indenture or any instrument by which this pledge is created, when placed in the board’s records, is notice to all concerned of the creation of the pledge, and those instruments need not be recorded in any other place.
C. The bonds issued under this section, their transfer and the income they produce are exempt from taxation by this state or by any political subdivision of this state.