53800. The following terms whenever used in this article have the
meanings given in this section except where the context clearly
indicates otherwise:
(a) "Local agency" means any county, city, or city and county.
(b) "Board" means the legislative body of the local agency.
(c) "Investing agency" means the Public Employees' Retirement
System, as defined by Section 20004.
(d) "Construction" includes the extension, enlargement, repair,
renovation, restoration, improvement, and equipping of any public
building.
(e) "Public building" includes any structure, building, facility,
or work which a local agency is authorized to construct and
automobile parking lots, landscaping, and other facilities, including
equipment, incidental to the use of any building, and also includes
the site thereof, and any easements or rights-of-way appurtenant
thereto or necessary for its full use.
(f) "Acquire" includes purchase, condemnation, lease, and gift.
(g) "Cost of a public building" includes, but is not limited to,
the cost of all real estate, properties, rights, and easements
acquired, the cost of construction of public buildings and equipment
of them, all financing charges, interest prior to, during and for a
period of six months after construction, engineering, architects' and
legal expenses, including the cost of plans, specifications, and
surveys, estimates of cost and revenues, administrative expenses, and
such other expenses as are necessary or incident to the financing of
public buildings, or to determine the feasibility or practicability
of any public buildings, and the condemnation of property necessary
for use of, or in connection with, any public building.
(h) "Property" includes all property, real, personal or mixed,
tangible or intangible, or any interest therein necessary or
desirable for carrying out the purposes of this part.
53801. The board may issue certificates to the investing agency
pursuant to this article to obtain funds to pay the cost of public
buildings, secure the payment of certificates and interest thereon by
pledging all or part of its revenues, rentals, and receipts, and
provide for the security of the certificates and the rights of the
holders thereof. The board may also obtain insurance against loss by
fire or other hazards on public buildings, both during and after
construction and obtain insurance against loss of revenues from any
cause whatsoever, for the protection of the certificate holders.
53802. Certificates issued pursuant to this article are negotiable
instruments and are transferable between local agencies and state
agencies or between such agencies and other persons having
jurisdiction over special or trust funds at a price mutually agreed
upon by the agencies or by such agencies and other persons.
53803. The board has no power at any time or in any manner to
pledge the credit or taxing power of the local agency.
53804. The preparation of plans and specifications of any public
building constructed pursuant to this article shall be the
responsibility of the board.
53805. The local agency shall be responsible for the maintenance
and repair of all public buildings constructed, acquired or operated
by the board.
53806. The certificates shall be authorized by resolutions of the
board, and shall bear such dates, mature at such time or times not
exceeding 25 years from their respective dates, bear interest at such
rate or rates agreed upon between the board and the investing
agency, not exceeding 6 percent per year, payable semiannually, be in
such denominations and in such form, be payable in such medium of
payment and at such place or places, and subject to such terms of
redemption at such prices not exceeding 106 percent of the principal
amount as the resolutions provide.
53807. The certificates shall be sold by the board at their face
value to the investing agency. Such certificates are a legal
investment by the investing agency notwithstanding any provision of
law limiting the investment which may be made by the investing
agency. Payment of the purchase price of certificates may be made in
accordance with mutual agreement between the investing agency and the
board, which agreement may provide for such payment in installments
as work upon the public building or buildings progresses and funds
necessary therefor are required.
53808. Any resolutions authorizing the issue of certificates may
contain provisions which are part of the contract with the investing
agency as to:
(a) Pledging all or any of the revenues, rentals, or receipts of
the local agency from specific properties.
(b) The construction or acquisition of any public building and the
duties of the board with reference thereto.
(c) The terms and provisions of the certificates.
(d) Limitations on the purposes to which the proceeds of the
certificates, then or thereafter to be issued may be applied.
(e) The rate of rentals and other charges for use of the public
buildings of, or for the services rendered by, the board, including
limitations upon the power of the board to modify any leases or other
agreements pursuant to which any rentals or other charges are
payable.
(f) The setting aside of reserves or sinking funds and the
regulation and disposition of them.
(g) Limitations on the issuance of additional certificates.
(h) Any other agreements with the certificate holders.
53809. The board may provide, by resolution, for the issuance of
refunding certificates for the purpose of refunding any certificates
of the board issued pursuant to this article and then outstanding,
either by voluntary exchange with the holders of the outstanding
certificates, or to provide funds to redeem and retire the
outstanding certificates, with accrued interest and any redemption
value payable on any call date. The issuance of the refunding
certificates, the maturities and other details of the certificates,
the rights of the certificate holders, and the duties of the board in
respect to the certificates, are governed by the provisions of this
article insofar as they are applicable. Refunding certificates may be
issued by the board to refund certificates originally issued or to
refund certificates of the board previously issued for refunding
purposes.
53810. The treasurer of the local agency shall act as trustee for
the board and the holders of the certificates issued under this
article and the board may authorize the trustee to act on behalf of
the holders of the certificates, or any stated percentage thereof,
and to exercise and prosecute on behalf of the holders of the
certificates such rights and remedies as may be available to the
holders.
The board shall, by resolution, prescribe the duties and powers of
such trustee with respect to the issuance, authentication, sale, and
delivery of the certificates, and the payment of principal and
interest thereof, the redemption of the certificates, and the
management, exclusive of the investment or reinvestment thereof, of
any sinking fund or other funds provided as security for the
certificates.
53811. The rights and remedies conferred by this article upon or
granted to certificate holders are in addition to and not in
limitation of any rights and remedies lawfully granted to such
certificate holders by the resolutions providing for the issuance of
certificates.
If the board defaults in the payment of principal or interest on
any of the certificates after such principal or interest becomes due,
whether at maturity or upon call for redemption, and if such default
continues for a period of 60 days, or if the board fails or refuses
to comply with the provisions of this article or defaults in any
agreement made with the certificate holders, the holders of 25
percent in aggregate principal amount of the certificates then
outstanding by instruments filed in the office of the recorder of the
county in which the local agency is situated, and acknowledged in
the same manner as a deed to be recorded except as this right is
limited under the provisions of any deed of trust, indenture, or
other agreement, may appoint a trustee to represent the certificate
holders for the purposes provided in this article. The trustee or any
trustee under any deed of trust, indenture or other agreements may,
and upon written request of the holders of 25 percent in principal
amount of the certificates then outstanding, or such other percentage
as is specified in the deed of trust, indenture or other agreement,
shall in his name:
(a) By proper proceedings and actions enforce all rights of the
certificate holder, including the right to require the board to
collect rates, rentals and other charges adequate to carry out any
agreement as to the revenues or the pledge of revenues or receipts of
the board, to lease public buildings and require the board to carry
out any other agreements with or for the benefit of the certificate
holders, and to perform its duties under this article.
(b) Bring suit upon the certificates.
(c) By an action require the board to account as if it were the
trustee of an express trust for the certificate holders.
(d) By an action enjoin any acts or things which may be unlawful
or in violation of the certificate holders' rights.
(e) By notice in writing to the board declare certificates due and
payable, and if all defaults are made good then with the consent of
the holders of 25 percent of the principal amount of the certificates
then outstanding or such other percentage as is specified in any
deed of trust, indenture, or other agreement, annul the declaration
that certificates are due and payable.
53812. A trustee, appointed pursuant to Section 53811, or acting
under a deed of trust, indenture, or other agreement, whether or not
all certificates have been declared due and payable, may have a
receiver appointed. The receiver may, to the same extent that the
board itself could do, enter and take possession of the public
buildings of the board, or any parts thereof, the revenues, rentals,
or receipts from which are applicable to the payment of the
certificates in default, and operate and maintain the public
buildings and collect and receive all rentals and revenues thereof
arising therefrom in the same manner as the board might do. The
receiver shall deposit money in a separate account and apply it in
such manner as the court directs. In any action or proceeding by the
trustees, the fees, counsel fees, and expenses of the trustees, and
of the receiver, and all costs and disbursements allowed by the
court, are a first charge on any revenues and receipts derived from
the public buildings of the board, the revenues or receipts from
which are or may be applicable to the payment of the certificates in
default. The trustee shall have and possess all the powers necessary
or appropriate for the exercise of any functions specifically set
forth in this article or incident to the general representation of
the certificate holders in the protection and enforcement of their
rights; provided, however, that nothing in this section or any other
section in this article shall authorize any trustee appointed
pursuant to Section 53811, for the purpose of operating and
maintaining any public buildings of the board, to sell, assign,
mortgage, or otherwise dispose of, any of the assets of whatever kind
and character belonging to the board.
53813. In addition to all other rights and all other remedies the
holder of certificates of the board may by an action at law enforce
his rights against the board, including the right to require the
board to collect fees, rentals, and other charges adequate to carry
out any agreement as to fees, rentals, or other charges or income,
revenue and receipts and require the board to carry out any of its
covenants and agreements with the certificate holders and perform its
duties under this article.
53814. All money received by the board from whatever source
derived, shall be transmitted by the board at least once in every
calendar month to the county treasurer, and shall be deposited in the
county treasury to the credit of the public buildings construction
fund, which fund shall be created for the purpose hereinafter
provided. There shall be maintained within the fund three separate
accounts for each series of certificates covering all the public
buildings authorized, under this article:
(a) A construction account.
(b) A revenue account.
(c) A sinking fund account.
There shall be deposited to the credit of the respective series in
the construction account the proceeds from the sale of each series
of certificates authorized under the provisions of this article. The
money in each such account shall be expended, for the purposes
authorized by this article, or as provided in the resolution, for the
acquisition and construction of the public buildings, and in
addition, for the payment of all costs and expenses of, and incident
to, the issuance and sale of certificates and the payment of interest
due or to become due on the certificates during the period of actual
construction, and for such further period as may be specified in the
resolution for the issuance of the certificates, not exceeding six
months after the period of construction.
There shall be deposited to the credit of the respective series in
the revenue account all revenues, rentals, or receipts received from
the operation of each series of public buildings acquired,
constructed, or operated by the board under the provisions of this
article, and all other money received by the board from whatever
source derived, the disposition of which is not otherwise provided by
this article.
The money in each revenue account shall be expended for the
payment of the costs of operation and maintenance of the public
buildings authorized by this article, including administrative
expenses of the board, and for such other purposes as may be provided
in the resolution, subject to any restrictions provided by law or by
the resolution.
All money in each revenue account, shall be set aside at regular
intervals as provided in the resolution in separate sinking fund
accounts for each series of certificates, which are pledged to and
charged with the payment of:
(a) The interest upon such certificates as the interest falls due.
(b) The principal of the certificates as it falls due.
(c) Any redemption value upon certificates.
The use and disposition of the sinking fund account is subject to
the regulations provided in the resolution. Each separate sinking
fund account is an account for the benefit of each of the respective
series of the certificates issued, without distinction or priority of
one over another, except as to series. Subject to the provisions of
the resolution, any money in the sinking fund account of each series
in excess of the amount equal to one year's interest on all
certificates of that series then outstanding may be applied to the
purchase or redemption of certificates of such series. All
certificates purchased or redeemed shall be canceled and shall not be
issued again.
53800. The following terms whenever used in this article have the
meanings given in this section except where the context clearly
indicates otherwise:
(a) "Local agency" means any county, city, or city and county.
(b) "Board" means the legislative body of the local agency.
(c) "Investing agency" means the Public Employees' Retirement
System, as defined by Section 20004.
(d) "Construction" includes the extension, enlargement, repair,
renovation, restoration, improvement, and equipping of any public
building.
(e) "Public building" includes any structure, building, facility,
or work which a local agency is authorized to construct and
automobile parking lots, landscaping, and other facilities, including
equipment, incidental to the use of any building, and also includes
the site thereof, and any easements or rights-of-way appurtenant
thereto or necessary for its full use.
(f) "Acquire" includes purchase, condemnation, lease, and gift.
(g) "Cost of a public building" includes, but is not limited to,
the cost of all real estate, properties, rights, and easements
acquired, the cost of construction of public buildings and equipment
of them, all financing charges, interest prior to, during and for a
period of six months after construction, engineering, architects' and
legal expenses, including the cost of plans, specifications, and
surveys, estimates of cost and revenues, administrative expenses, and
such other expenses as are necessary or incident to the financing of
public buildings, or to determine the feasibility or practicability
of any public buildings, and the condemnation of property necessary
for use of, or in connection with, any public building.
(h) "Property" includes all property, real, personal or mixed,
tangible or intangible, or any interest therein necessary or
desirable for carrying out the purposes of this part.
53801. The board may issue certificates to the investing agency
pursuant to this article to obtain funds to pay the cost of public
buildings, secure the payment of certificates and interest thereon by
pledging all or part of its revenues, rentals, and receipts, and
provide for the security of the certificates and the rights of the
holders thereof. The board may also obtain insurance against loss by
fire or other hazards on public buildings, both during and after
construction and obtain insurance against loss of revenues from any
cause whatsoever, for the protection of the certificate holders.
53802. Certificates issued pursuant to this article are negotiable
instruments and are transferable between local agencies and state
agencies or between such agencies and other persons having
jurisdiction over special or trust funds at a price mutually agreed
upon by the agencies or by such agencies and other persons.
53803. The board has no power at any time or in any manner to
pledge the credit or taxing power of the local agency.
53804. The preparation of plans and specifications of any public
building constructed pursuant to this article shall be the
responsibility of the board.
53805. The local agency shall be responsible for the maintenance
and repair of all public buildings constructed, acquired or operated
by the board.
53806. The certificates shall be authorized by resolutions of the
board, and shall bear such dates, mature at such time or times not
exceeding 25 years from their respective dates, bear interest at such
rate or rates agreed upon between the board and the investing
agency, not exceeding 6 percent per year, payable semiannually, be in
such denominations and in such form, be payable in such medium of
payment and at such place or places, and subject to such terms of
redemption at such prices not exceeding 106 percent of the principal
amount as the resolutions provide.
53807. The certificates shall be sold by the board at their face
value to the investing agency. Such certificates are a legal
investment by the investing agency notwithstanding any provision of
law limiting the investment which may be made by the investing
agency. Payment of the purchase price of certificates may be made in
accordance with mutual agreement between the investing agency and the
board, which agreement may provide for such payment in installments
as work upon the public building or buildings progresses and funds
necessary therefor are required.
53808. Any resolutions authorizing the issue of certificates may
contain provisions which are part of the contract with the investing
agency as to:
(a) Pledging all or any of the revenues, rentals, or receipts of
the local agency from specific properties.
(b) The construction or acquisition of any public building and the
duties of the board with reference thereto.
(c) The terms and provisions of the certificates.
(d) Limitations on the purposes to which the proceeds of the
certificates, then or thereafter to be issued may be applied.
(e) The rate of rentals and other charges for use of the public
buildings of, or for the services rendered by, the board, including
limitations upon the power of the board to modify any leases or other
agreements pursuant to which any rentals or other charges are
payable.
(f) The setting aside of reserves or sinking funds and the
regulation and disposition of them.
(g) Limitations on the issuance of additional certificates.
(h) Any other agreements with the certificate holders.
53809. The board may provide, by resolution, for the issuance of
refunding certificates for the purpose of refunding any certificates
of the board issued pursuant to this article and then outstanding,
either by voluntary exchange with the holders of the outstanding
certificates, or to provide funds to redeem and retire the
outstanding certificates, with accrued interest and any redemption
value payable on any call date. The issuance of the refunding
certificates, the maturities and other details of the certificates,
the rights of the certificate holders, and the duties of the board in
respect to the certificates, are governed by the provisions of this
article insofar as they are applicable. Refunding certificates may be
issued by the board to refund certificates originally issued or to
refund certificates of the board previously issued for refunding
purposes.
53810. The treasurer of the local agency shall act as trustee for
the board and the holders of the certificates issued under this
article and the board may authorize the trustee to act on behalf of
the holders of the certificates, or any stated percentage thereof,
and to exercise and prosecute on behalf of the holders of the
certificates such rights and remedies as may be available to the
holders.
The board shall, by resolution, prescribe the duties and powers of
such trustee with respect to the issuance, authentication, sale, and
delivery of the certificates, and the payment of principal and
interest thereof, the redemption of the certificates, and the
management, exclusive of the investment or reinvestment thereof, of
any sinking fund or other funds provided as security for the
certificates.
53811. The rights and remedies conferred by this article upon or
granted to certificate holders are in addition to and not in
limitation of any rights and remedies lawfully granted to such
certificate holders by the resolutions providing for the issuance of
certificates.
If the board defaults in the payment of principal or interest on
any of the certificates after such principal or interest becomes due,
whether at maturity or upon call for redemption, and if such default
continues for a period of 60 days, or if the board fails or refuses
to comply with the provisions of this article or defaults in any
agreement made with the certificate holders, the holders of 25
percent in aggregate principal amount of the certificates then
outstanding by instruments filed in the office of the recorder of the
county in which the local agency is situated, and acknowledged in
the same manner as a deed to be recorded except as this right is
limited under the provisions of any deed of trust, indenture, or
other agreement, may appoint a trustee to represent the certificate
holders for the purposes provided in this article. The trustee or any
trustee under any deed of trust, indenture or other agreements may,
and upon written request of the holders of 25 percent in principal
amount of the certificates then outstanding, or such other percentage
as is specified in the deed of trust, indenture or other agreement,
shall in his name:
(a) By proper proceedings and actions enforce all rights of the
certificate holder, including the right to require the board to
collect rates, rentals and other charges adequate to carry out any
agreement as to the revenues or the pledge of revenues or receipts of
the board, to lease public buildings and require the board to carry
out any other agreements with or for the benefit of the certificate
holders, and to perform its duties under this article.
(b) Bring suit upon the certificates.
(c) By an action require the board to account as if it were the
trustee of an express trust for the certificate holders.
(d) By an action enjoin any acts or things which may be unlawful
or in violation of the certificate holders' rights.
(e) By notice in writing to the board declare certificates due and
payable, and if all defaults are made good then with the consent of
the holders of 25 percent of the principal amount of the certificates
then outstanding or such other percentage as is specified in any
deed of trust, indenture, or other agreement, annul the declaration
that certificates are due and payable.
53812. A trustee, appointed pursuant to Section 53811, or acting
under a deed of trust, indenture, or other agreement, whether or not
all certificates have been declared due and payable, may have a
receiver appointed. The receiver may, to the same extent that the
board itself could do, enter and take possession of the public
buildings of the board, or any parts thereof, the revenues, rentals,
or receipts from which are applicable to the payment of the
certificates in default, and operate and maintain the public
buildings and collect and receive all rentals and revenues thereof
arising therefrom in the same manner as the board might do. The
receiver shall deposit money in a separate account and apply it in
such manner as the court directs. In any action or proceeding by the
trustees, the fees, counsel fees, and expenses of the trustees, and
of the receiver, and all costs and disbursements allowed by the
court, are a first charge on any revenues and receipts derived from
the public buildings of the board, the revenues or receipts from
which are or may be applicable to the payment of the certificates in
default. The trustee shall have and possess all the powers necessary
or appropriate for the exercise of any functions specifically set
forth in this article or incident to the general representation of
the certificate holders in the protection and enforcement of their
rights; provided, however, that nothing in this section or any other
section in this article shall authorize any trustee appointed
pursuant to Section 53811, for the purpose of operating and
maintaining any public buildings of the board, to sell, assign,
mortgage, or otherwise dispose of, any of the assets of whatever kind
and character belonging to the board.
53813. In addition to all other rights and all other remedies the
holder of certificates of the board may by an action at law enforce
his rights against the board, including the right to require the
board to collect fees, rentals, and other charges adequate to carry
out any agreement as to fees, rentals, or other charges or income,
revenue and receipts and require the board to carry out any of its
covenants and agreements with the certificate holders and perform its
duties under this article.
53814. All money received by the board from whatever source
derived, shall be transmitted by the board at least once in every
calendar month to the county treasurer, and shall be deposited in the
county treasury to the credit of the public buildings construction
fund, which fund shall be created for the purpose hereinafter
provided. There shall be maintained within the fund three separate
accounts for each series of certificates covering all the public
buildings authorized, under this article:
(a) A construction account.
(b) A revenue account.
(c) A sinking fund account.
There shall be deposited to the credit of the respective series in
the construction account the proceeds from the sale of each series
of certificates authorized under the provisions of this article. The
money in each such account shall be expended, for the purposes
authorized by this article, or as provided in the resolution, for the
acquisition and construction of the public buildings, and in
addition, for the payment of all costs and expenses of, and incident
to, the issuance and sale of certificates and the payment of interest
due or to become due on the certificates during the period of actual
construction, and for such further period as may be specified in the
resolution for the issuance of the certificates, not exceeding six
months after the period of construction.
There shall be deposited to the credit of the respective series in
the revenue account all revenues, rentals, or receipts received from
the operation of each series of public buildings acquired,
constructed, or operated by the board under the provisions of this
article, and all other money received by the board from whatever
source derived, the disposition of which is not otherwise provided by
this article.
The money in each revenue account shall be expended for the
payment of the costs of operation and maintenance of the public
buildings authorized by this article, including administrative
expenses of the board, and for such other purposes as may be provided
in the resolution, subject to any restrictions provided by law or by
the resolution.
All money in each revenue account, shall be set aside at regular
intervals as provided in the resolution in separate sinking fund
accounts for each series of certificates, which are pledged to and
charged with the payment of:
(a) The interest upon such certificates as the interest falls due.
(b) The principal of the certificates as it falls due.
(c) Any redemption value upon certificates.
The use and disposition of the sinking fund account is subject to
the regulations provided in the resolution. Each separate sinking
fund account is an account for the benefit of each of the respective
series of the certificates issued, without distinction or priority of
one over another, except as to series. Subject to the provisions of
the resolution, any money in the sinking fund account of each series
in excess of the amount equal to one year's interest on all
certificates of that series then outstanding may be applied to the
purchase or redemption of certificates of such series. All
certificates purchased or redeemed shall be canceled and shall not be
issued again.
53800. The following terms whenever used in this article have the
meanings given in this section except where the context clearly
indicates otherwise:
(a) "Local agency" means any county, city, or city and county.
(b) "Board" means the legislative body of the local agency.
(c) "Investing agency" means the Public Employees' Retirement
System, as defined by Section 20004.
(d) "Construction" includes the extension, enlargement, repair,
renovation, restoration, improvement, and equipping of any public
building.
(e) "Public building" includes any structure, building, facility,
or work which a local agency is authorized to construct and
automobile parking lots, landscaping, and other facilities, including
equipment, incidental to the use of any building, and also includes
the site thereof, and any easements or rights-of-way appurtenant
thereto or necessary for its full use.
(f) "Acquire" includes purchase, condemnation, lease, and gift.
(g) "Cost of a public building" includes, but is not limited to,
the cost of all real estate, properties, rights, and easements
acquired, the cost of construction of public buildings and equipment
of them, all financing charges, interest prior to, during and for a
period of six months after construction, engineering, architects' and
legal expenses, including the cost of plans, specifications, and
surveys, estimates of cost and revenues, administrative expenses, and
such other expenses as are necessary or incident to the financing of
public buildings, or to determine the feasibility or practicability
of any public buildings, and the condemnation of property necessary
for use of, or in connection with, any public building.
(h) "Property" includes all property, real, personal or mixed,
tangible or intangible, or any interest therein necessary or
desirable for carrying out the purposes of this part.
53801. The board may issue certificates to the investing agency
pursuant to this article to obtain funds to pay the cost of public
buildings, secure the payment of certificates and interest thereon by
pledging all or part of its revenues, rentals, and receipts, and
provide for the security of the certificates and the rights of the
holders thereof. The board may also obtain insurance against loss by
fire or other hazards on public buildings, both during and after
construction and obtain insurance against loss of revenues from any
cause whatsoever, for the protection of the certificate holders.
53802. Certificates issued pursuant to this article are negotiable
instruments and are transferable between local agencies and state
agencies or between such agencies and other persons having
jurisdiction over special or trust funds at a price mutually agreed
upon by the agencies or by such agencies and other persons.
53803. The board has no power at any time or in any manner to
pledge the credit or taxing power of the local agency.
53804. The preparation of plans and specifications of any public
building constructed pursuant to this article shall be the
responsibility of the board.
53805. The local agency shall be responsible for the maintenance
and repair of all public buildings constructed, acquired or operated
by the board.
53806. The certificates shall be authorized by resolutions of the
board, and shall bear such dates, mature at such time or times not
exceeding 25 years from their respective dates, bear interest at such
rate or rates agreed upon between the board and the investing
agency, not exceeding 6 percent per year, payable semiannually, be in
such denominations and in such form, be payable in such medium of
payment and at such place or places, and subject to such terms of
redemption at such prices not exceeding 106 percent of the principal
amount as the resolutions provide.
53807. The certificates shall be sold by the board at their face
value to the investing agency. Such certificates are a legal
investment by the investing agency notwithstanding any provision of
law limiting the investment which may be made by the investing
agency. Payment of the purchase price of certificates may be made in
accordance with mutual agreement between the investing agency and the
board, which agreement may provide for such payment in installments
as work upon the public building or buildings progresses and funds
necessary therefor are required.
53808. Any resolutions authorizing the issue of certificates may
contain provisions which are part of the contract with the investing
agency as to:
(a) Pledging all or any of the revenues, rentals, or receipts of
the local agency from specific properties.
(b) The construction or acquisition of any public building and the
duties of the board with reference thereto.
(c) The terms and provisions of the certificates.
(d) Limitations on the purposes to which the proceeds of the
certificates, then or thereafter to be issued may be applied.
(e) The rate of rentals and other charges for use of the public
buildings of, or for the services rendered by, the board, including
limitations upon the power of the board to modify any leases or other
agreements pursuant to which any rentals or other charges are
payable.
(f) The setting aside of reserves or sinking funds and the
regulation and disposition of them.
(g) Limitations on the issuance of additional certificates.
(h) Any other agreements with the certificate holders.
53809. The board may provide, by resolution, for the issuance of
refunding certificates for the purpose of refunding any certificates
of the board issued pursuant to this article and then outstanding,
either by voluntary exchange with the holders of the outstanding
certificates, or to provide funds to redeem and retire the
outstanding certificates, with accrued interest and any redemption
value payable on any call date. The issuance of the refunding
certificates, the maturities and other details of the certificates,
the rights of the certificate holders, and the duties of the board in
respect to the certificates, are governed by the provisions of this
article insofar as they are applicable. Refunding certificates may be
issued by the board to refund certificates originally issued or to
refund certificates of the board previously issued for refunding
purposes.
53810. The treasurer of the local agency shall act as trustee for
the board and the holders of the certificates issued under this
article and the board may authorize the trustee to act on behalf of
the holders of the certificates, or any stated percentage thereof,
and to exercise and prosecute on behalf of the holders of the
certificates such rights and remedies as may be available to the
holders.
The board shall, by resolution, prescribe the duties and powers of
such trustee with respect to the issuance, authentication, sale, and
delivery of the certificates, and the payment of principal and
interest thereof, the redemption of the certificates, and the
management, exclusive of the investment or reinvestment thereof, of
any sinking fund or other funds provided as security for the
certificates.
53811. The rights and remedies conferred by this article upon or
granted to certificate holders are in addition to and not in
limitation of any rights and remedies lawfully granted to such
certificate holders by the resolutions providing for the issuance of
certificates.
If the board defaults in the payment of principal or interest on
any of the certificates after such principal or interest becomes due,
whether at maturity or upon call for redemption, and if such default
continues for a period of 60 days, or if the board fails or refuses
to comply with the provisions of this article or defaults in any
agreement made with the certificate holders, the holders of 25
percent in aggregate principal amount of the certificates then
outstanding by instruments filed in the office of the recorder of the
county in which the local agency is situated, and acknowledged in
the same manner as a deed to be recorded except as this right is
limited under the provisions of any deed of trust, indenture, or
other agreement, may appoint a trustee to represent the certificate
holders for the purposes provided in this article. The trustee or any
trustee under any deed of trust, indenture or other agreements may,
and upon written request of the holders of 25 percent in principal
amount of the certificates then outstanding, or such other percentage
as is specified in the deed of trust, indenture or other agreement,
shall in his name:
(a) By proper proceedings and actions enforce all rights of the
certificate holder, including the right to require the board to
collect rates, rentals and other charges adequate to carry out any
agreement as to the revenues or the pledge of revenues or receipts of
the board, to lease public buildings and require the board to carry
out any other agreements with or for the benefit of the certificate
holders, and to perform its duties under this article.
(b) Bring suit upon the certificates.
(c) By an action require the board to account as if it were the
trustee of an express trust for the certificate holders.
(d) By an action enjoin any acts or things which may be unlawful
or in violation of the certificate holders' rights.
(e) By notice in writing to the board declare certificates due and
payable, and if all defaults are made good then with the consent of
the holders of 25 percent of the principal amount of the certificates
then outstanding or such other percentage as is specified in any
deed of trust, indenture, or other agreement, annul the declaration
that certificates are due and payable.
53812. A trustee, appointed pursuant to Section 53811, or acting
under a deed of trust, indenture, or other agreement, whether or not
all certificates have been declared due and payable, may have a
receiver appointed. The receiver may, to the same extent that the
board itself could do, enter and take possession of the public
buildings of the board, or any parts thereof, the revenues, rentals,
or receipts from which are applicable to the payment of the
certificates in default, and operate and maintain the public
buildings and collect and receive all rentals and revenues thereof
arising therefrom in the same manner as the board might do. The
receiver shall deposit money in a separate account and apply it in
such manner as the court directs. In any action or proceeding by the
trustees, the fees, counsel fees, and expenses of the trustees, and
of the receiver, and all costs and disbursements allowed by the
court, are a first charge on any revenues and receipts derived from
the public buildings of the board, the revenues or receipts from
which are or may be applicable to the payment of the certificates in
default. The trustee shall have and possess all the powers necessary
or appropriate for the exercise of any functions specifically set
forth in this article or incident to the general representation of
the certificate holders in the protection and enforcement of their
rights; provided, however, that nothing in this section or any other
section in this article shall authorize any trustee appointed
pursuant to Section 53811, for the purpose of operating and
maintaining any public buildings of the board, to sell, assign,
mortgage, or otherwise dispose of, any of the assets of whatever kind
and character belonging to the board.
53813. In addition to all other rights and all other remedies the
holder of certificates of the board may by an action at law enforce
his rights against the board, including the right to require the
board to collect fees, rentals, and other charges adequate to carry
out any agreement as to fees, rentals, or other charges or income,
revenue and receipts and require the board to carry out any of its
covenants and agreements with the certificate holders and perform its
duties under this article.
53814. All money received by the board from whatever source
derived, shall be transmitted by the board at least once in every
calendar month to the county treasurer, and shall be deposited in the
county treasury to the credit of the public buildings construction
fund, which fund shall be created for the purpose hereinafter
provided. There shall be maintained within the fund three separate
accounts for each series of certificates covering all the public
buildings authorized, under this article:
(a) A construction account.
(b) A revenue account.
(c) A sinking fund account.
There shall be deposited to the credit of the respective series in
the construction account the proceeds from the sale of each series
of certificates authorized under the provisions of this article. The
money in each such account shall be expended, for the purposes
authorized by this article, or as provided in the resolution, for the
acquisition and construction of the public buildings, and in
addition, for the payment of all costs and expenses of, and incident
to, the issuance and sale of certificates and the payment of interest
due or to become due on the certificates during the period of actual
construction, and for such further period as may be specified in the
resolution for the issuance of the certificates, not exceeding six
months after the period of construction.
There shall be deposited to the credit of the respective series in
the revenue account all revenues, rentals, or receipts received from
the operation of each series of public buildings acquired,
constructed, or operated by the board under the provisions of this
article, and all other money received by the board from whatever
source derived, the disposition of which is not otherwise provided by
this article.
The money in each revenue account shall be expended for the
payment of the costs of operation and maintenance of the public
buildings authorized by this article, including administrative
expenses of the board, and for such other purposes as may be provided
in the resolution, subject to any restrictions provided by law or by
the resolution.
All money in each revenue account, shall be set aside at regular
intervals as provided in the resolution in separate sinking fund
accounts for each series of certificates, which are pledged to and
charged with the payment of:
(a) The interest upon such certificates as the interest falls due.
(b) The principal of the certificates as it falls due.
(c) Any redemption value upon certificates.
The use and disposition of the sinking fund account is subject to
the regulations provided in the resolution. Each separate sinking
fund account is an account for the benefit of each of the respective
series of the certificates issued, without distinction or priority of
one over another, except as to series. Subject to the provisions of
the resolution, any money in the sinking fund account of each series
in excess of the amount equal to one year's interest on all
certificates of that series then outstanding may be applied to the
purchase or redemption of certificates of such series. All
certificates purchased or redeemed shall be canceled and shall not be
issued again.
