Montana Code 7-10-209. Use of revenue from project
7-10-209. Use of revenue from project. (1) A regional resource authority issuing bonds pursuant to this part for the acquisition, purchase, construction, reconstruction, improvement, betterment, or extension of any project has the right to appropriate, apply, or expend the revenue of the project for the following purposes:
Terms Used In Montana Code 7-10-209
- project: means one or a combination of water systems, together with all parts of the systems and appurtenances to the systems, including but not limited to supply and distribution systems, reservoirs, dams, and treatment and disposal works. See Montana Code 7-10-201
(a)to pay when due all bonds and interest on the bonds for the payment of which the revenue is or has been pledged, charged, or otherwise encumbered, including reserves;
(b)to provide for all expenses of operation and maintenance of the project, including reserves; and
(c)to provide a reserve for improvements or enhancements to the project.
(2)Unless and until adequate provision has been made for the purposes of subsection (1), a regional resource authority may not transfer the revenue of the project to its general fund.