48-3094. Election upon question of contract;
judicial determination of validity of contract and
proceedings
A. Any proposal to enter into a contract with the United States for the repayment
of construction monies, the cost of a water supply or the acquisition of property, and to
issue bonds, if any are proposed, shall be voted upon at an election which shall be held
as nearly as practicable in accordance with elections for the issuance of district bonds.
B. Notice of the election shall contain, in addition to the information required in
regular district bond elections, a statement of the maximum amount of money to become
payable to the United States for construction purposes, cost of water supply or
acquisition of property, exclusive of penalties and interest, together with a general
statement of the property, if any, to be conveyed by the district as provided by this
article.
C. The ballots at the election shall contain a brief statement of the general
purpose of the contract and the amount of the obligation to be assumed, with the words
"contract - -yes," and "contract - -no," or "contract and bonds - -yes," and "contract
and bonds - -no," as the case may be.
D. The board of directors may by petition filed in the superior court of the county
in which the office of the district is located institute a proceeding for the purpose of
having a judicial determination of the validity of the contract, the regularity and
legality of the proceedings of the board for the authorization of the board to enter into
the contract, the authority for and the validity of the issuance and deposit or transfer
of the bonds, if any, and the validity of the organization of the district. Such
proceedings shall be had as other judicial examinations and judgments as to the validity
of bonds as provided by this chapter. The proceeding may be instituted by any person
interested as an elector, taxpayer or property owner.
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