48-3161. Order of conversion; notice to
landowners
A. The board of directors may order such conversion by a resolution prescribing the
aggregate amount of the lien per acre and the terms, conditions and procedure for
accomplishing the conversion, the times, manner and method of payment and satisfaction of
the converted lien, including the rate of interest which the converted lien shall bear
and the times of payment thereof, but such interest shall not exceed seven per cent per
annum.
B. The district secretary shall mail to the owner of each parcel of land within the
district, at his last known address as it appears on the records of the district, a copy
of the resolution, accompanied by a notice demanding that the landowner, within twenty
days after the date of mailing the notice, execute a good and sufficient note or notes
evidencing the amount of the converted lien, and a mortgage upon the lands of the owner
located within the district and subject to the lien as security for payment of the note.
C. A copy of the resolution and notice shall be published at least once a week for
two consecutive weeks in a newspaper of general circulation within the county in which
the district office is located, the first of which shall be not less than twenty days
prior to the date fixed by the notice for execution of the notes, mortgages or contracts
therein mentioned. Publication of the resolution and notice shall be equivalent to
service by mail upon any landowner whose address is unknown.
D. The form and contents of the notes and mortgages shall be prescribed by the
board of directors.
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