State Codes and Statutes

Statutes > California > Puc > 99000-99026

PUBLIC UTILITIES CODE
SECTION 99000-99026



99000.  Whenever the board of directors of any transit district or
rapid transit district finds that areas adjacent to any transit
station of the district, exclusive of any right-of-way of a common
carrier, receive special benefit by reason of the operation thereof
and deems it necessary to incur a bonded indebtedness for the
acquisition, construction, completion or repair of any or all
improvements, works, property or facilities otherwise authorized by
law for such district, or convenient or necessary to carry out the
powers of the district, and to provide for such bonded indebtedness
to be payable from a special assessment tax levied upon less than all
the real property of the district, it shall, by resolution adopted
by a vote of two-thirds of all members of the board so declare and
state:
   (a) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to or
connected with the accomplishment of such purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant, bond and other reserve funds, working capital,
bond interest estimated to accrue during the construction period and
for a period not to exceed three years thereafter, and expenses of
all proceedings for the authorization, issuance and sale of the
bonds;
   (b) The estimated cost of accomplishing said purposes and the
amount of the principal of the indebtedness to be incurred;
   (c) That the board intends to form a special benefit district of a
portion of the district which in the opinion of the board will be
benefited, the exterior boundaries of which portion are set forth on
a map on file with the secretary of the district, which map shall
govern for all details as to the extent of the proposed benefit
district, and to call an election in such proposed benefit district
on a date to be fixed, for the purpose of submitting to the qualified
voters thereof the proposition of incurring indebtedness by the
issuance of bonds of the district for said benefit district;
   (d) That assessments for the payment of said bonds and the
interest thereon shall be levied exclusively upon the taxable land in
the benefit district, except for any right-of-way of a common
carrier;
   (e) The extent to which, if at all, all or a portion of the
revenues of the district are to be used to pay the principal of,
interest on, and sinking fund payments for, said bonds, including the
establishment and maintenance of any reserve fund therefor;
   (f) That a general description of the proposed construction area,
together with a map showing the exterior boundaries of said proposed
benefit district with relation to the territory immediately
contiguous thereto and to the proposed improvement is on file with
the secretary of the district and is available for inspection by any
person or persons interested;
   (g) The time and place for a hearing by the board on the questions
of the formation of said proposed benefit district, the extent
thereof, the proposed construction, the estimated cost and the amount
of debt to be incurred;
   (h) That at the time and place specified in the resolution any
person interested, including all persons owning property in the
district or in the proposed benefit district, will be heard; and
   (i) That at the same time as the board of supervisors is required
by law to fix the general tax levy and in the manner provided for
such general tax levy, the board of directors shall levy and collect
upon all land in the proposed benefit district, except for any
right-of-way of a common carrier, an ad valorem assessment at a
uniform rate which is sufficient, together with revenues already
collected and available therefor, to pay the interest on the said
bonds as the same will become due and such part of the principal
thereof, including any sinking fund installments required by any of
the district's agreements with holders of bonds issued for the
benefit district, as will become due before the proceeds of an
assessment levied at the time of the next general tax levy will be
available for such purposes, and sufficient to provide or to restore
such reserve fund to the amount required by any of the district's
agreements with holders of bonds issued for the benefit district.



99001.  The board of directors of any transit district or rapid
transit district may establish one or more special benefit districts
within the district pursuant to this chapter. Any special benefit
district may contain separate zones, which may consist of either
contiguous or noncontiguous areas of land within the district. Each
zone within a special benefit district shall be an area adjacent to a
transit station which the board determines will receive special
benefit by reason of the operation of transit facilities but all
zones within a special benefit district need not be adjacent to the
same transit station.


99002.  Whenever the board of directors of any transit district or
rapid transit district finds that areas adjacent to two or more
transit stations of the district, exclusive of any right-of-way of a
common carrier, receive special benefit by reason of the operation
thereof and deems it necessary to form a special benefit district
containing two or more zones, in order to incur a bonded indebtedness
for the acquisition, construction, completion or repair of any or
all improvements, works, property or facilities otherwise authorized
by law for such district, or convenient or necessary to carry out the
powers of the district, and in order to provide for such bonded
indebtedness to be payable from a special assessment tax levied upon
less than all the real property of the district, it shall, by a
resolution adopted by a vote of two-thirds of all members of the
board, declare and state:
   (a) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to or
connected with the accomplishment of such purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant, bond and other reserve funds, working capital,
bond interest estimated to accrue during the construction period and
for a period not to exceed three years thereafter, and expenses of
all proceedings for the authorization, issuance and sale of the
bonds;
   (b) The estimated cost of accomplishing said purposes and the
amount of the principal of the indebtedness to be incurred;
   (c) That the board intends to form a special benefit district
composed of a specified number of zones within a portion of the
territory of the district, which in the opinion of the board will be
benefited, and that the exterior boundaries of each such zone within
the special benefit district are set forth on a map on file with the
secretary of the district, which map shall govern for all details as
to the extent of the zones within the proposed benefit district;
   (d) That the board intends to call an election in all zones of the
proposed benefit district on a date to be fixed for the purpose of
submitting to the qualified voters of the proposed benefit district
the proposition of incurring indebtedness by the issuance of bonds of
the district for the special benefit district, which shall be deemed
for all purposes to be a single election;
   (e) That assessments for the payment of the bonds and the interest
thereon shall be levied exclusively upon the taxable land in all
zones of the benefit district, except for any right-of-way of a
common carrier, at a uniform rate to pay the indebtedness of the
entire special benefit district;
   (f) The extent to which, if at all, all or a portion of the
revenues of the district are to be used to pay the principal of,
interest on, and sinking fund payments for, said bonds, including the
establishment and maintenance of any reserve fund therefor;
   (g) That a general description of each proposed construction area,
together with a map showing the exterior boundaries of each zone of
the benefit district with relation to the territory contiguous
thereto and to the proposed improvements, is on file with the
secretary of the district and is available for inspection by any
person or persons interested;
   (h) The time and place for a hearing by the board on the questions
of the formation of said proposed benefit district, the extent
thereof, the proposed construction, the estimated cost and the amount
of debt to be incurred;
   (i) That at the time and place specified in the resolution any
person interested, including all persons owning property in the
district or in the proposed benefit district, will be heard; and
   (j) That at the same time as the board of supervisors is required
by law to fix the general tax levy and in the manner provided for
such general tax levy, the board of directors shall levy and collect
upon all land in each zone of the proposed benefit district, except
for any right-of-way of a common carrier, an ad valorem assessment at
a uniform rate which is sufficient, together with revenues already
collected and available therefor, to pay the interest on the said
bonds as the same will become due and such part of the principal
thereof, including any sinking fund installments required by any of
the district's agreements with holders of bonds issued for the
benefit district, as will become due before the proceeds of an
assessment levied at the time of the next general tax levy will be
available for such purposes, and sufficient to provide or to restore
such reserve fund to the amount required by any of the district's
agreements with holders of bonds issued for the benefit district.



99003.  The notice of the time and place of hearing specified in
either Section 99000 or Section 99002 shall be given by publishing a
copy of the resolution declaring the necessity pursuant to Section
6066 of the Government Code prior to the time fixed for the hearing
in at least one newspaper published in the district.




99004.  At the time and place so fixed, or at any time and place to
which the hearing is adjourned, the board shall proceed with the
hearing. At the hearing any person interested, including any person
owning property within the district or within the proposed benefit
district, may appear and present any matters material to the
questions set forth in the resolution declaring the necessity.



99005.  The board shall have power to change the purposes for which
the proposed debt is to be incurred, or the estimated cost, or the
amount of bonded debt to be incurred, or the boundaries of said
proposed benefit district, or any zone therein, or one or all of said
matters; provided, however, that said board shall not change such
boundaries so as to include any territory which will not, in its
judgment, be benefited by said construction. For all purposes of this
chapter, it shall be conclusively presumed that any right-of-way of
a common carrier will not be benefited by said construction.



99006.  The purposes, estimated cost, amount of bonded debt or
boundaries shall not be changed by said board except after notice of
its intention to do so, given by publication pursuant to Section 6061
of the Government Code in at least one newspaper published in the
district. Said notice shall state the changed purposes and estimated
cost and debt proposed and that the exterior boundaries as proposed
to be changed are set forth on a map on file with the secretary of
the district, which map shall govern for all details as to the extent
of the proposed benefit district and as to any zone contained
therein, and specify the time and place for hearing on such change or
changes, which time shall be at least ten days after publication of
said notice.



99007.  At the time and place so fixed, or at any time and place to
which the hearing is adjourned, the board shall proceed with the
hearing. At the hearing any person interested, including any person
owning property within the district or the proposed benefit district,
may appear and present any matters material to the changes stated in
the notice.



99008.  At the conclusion of the hearing the board shall by
resolution determine whether it is deemed necessary to incur the
bonded indebtedness, and, if so, the resolution shall also state the
purposes for which said proposed debt is to be incurred, the
estimated cost of accomplishing said purposes, the amount of the
proposed debt, that the exterior boundaries of the portion of the
district which will be benefited are set forth on a map on file with
the secretary of the district, which map shall govern for all details
as to the extent of the benefit district, and that said portion of
the district set forth on said map shall thereupon constitute and be
known as "Benefit District No. __ of the ____ Transit District," and
the determinations made in said resolution shall be final and
conclusive.



99009.  After the formation of such benefit district within the
district and after the assessments have been confirmed pursuant to
this chapter, all proceedings for the authorization and issuance of
bonds of the district for such benefit district shall be limited and
shall apply only to the benefit district; and assessments for the
payment of said bonds and the interest thereon, except as otherwise
provided in the resolution of necessity, shall be levied exclusively
upon the land in the benefit district, except for any right-of-way of
a common carrier; and the revenues of the district shall be used
only to the extent set forth in the resolution declaring the
necessity. If zones have been established within the benefit
district, the ad valorem assessment shall be imposed at a uniform
rate throughout all zones of the benefit district to pay the
principal and interest on all bonds of the district issued for the
benefit district.


99010.  After the board has made its determination of the matters
required to be determined by this chapter, and if the board deems it
necessary to incur the bonded indebtedness, the board shall by
ordinance call a special election in said benefit district for the
purpose of submitting to the qualified voters thereof the proposition
of incurring indebtedness by the issuance of bonds of the district
for said benefit district. Said ordinance shall state:
   (a) That the board deems it necessary to incur the bonded
indebtedness.
   (b) The purposes for which the bonded indebtedness will be
incurred.
   (c) The estimated cost of accomplishing said purposes.
   (d) The amount of the principal of the indebtedness to be
incurred.
   (e) The benefit district to be benefited by said indebtedness, as
set forth in the resolution making determinations, and that a map
showing the exterior boundaries of said benefit district and all
zones contained therein is on file with the secretary of the
district, which map shall govern for all details as to the extent of
the benefit district.
   (f) That assessments for the payment of such bonds and the
interest thereon shall be levied exclusively and at a uniform rate
upon the land in said benefit district and all zones contained
therein, except for any right-of-way of a common carrier; and that
revenues of the district shall be used only to the extent set forth
in the resolution declaring the necessity.
   (g) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not exceed 50 years from the date
thereof or the date of each series thereof.
   (h) The maximum rate of interest to be paid, which shall not
exceed 6 percent per annum.
   (i) The proposition to be submitted to the voters which may
include one or more purposes.
   (j) The date of the election.
   (k) The manner of holding the election and the procedure for
voting for and against the measure.



99011.  Notice of the holding of such election shall be given by
publishing, pursuant to Section 6066 of the Government Code, the
ordinance calling the election in at least one newspaper published in
such district. No other notice of such election need be given.
Except as otherwise provided in the ordinance, the election shall be
conducted as other district elections. If a special benefit district
has been divided into zones, the votes cast in all zones shall be
counted as in the case of a benefit district without such zones to
determine the outcome of the election.



99012.  If any proposition is defeated by the electors, the board
shall not call another election on a substantially similar
proposition to be held within six months after the prior election. If
a petition requesting submission of such a proposition, signed by 15
percent of the benefit district electors, as shown by the votes cast
for all candidates for governor at the last gubernatorial election,
is filed with the board, it may call an election before the
expiration of six months.



99013.  If 66 2/3 percent of the electors in the entire benefit
district voting on the proposition vote for it, then the board may,
by resolution, at such time or times as it deems proper, issue bonds
of the district for the benefit district for the whole or any part of
the amount of the indebtedness so authorized and may from time to
time, by resolution, provide for the issuance of such amounts as the
necessity thereof may appear, until the full amount of such bonds
authorized shall have been issued. Said full amount of bonds may be
divided into two or more series and different dates and different
dates of payment fixed for the bonds of each series. A bond need not
mature on an anniversary of its date. The maximum term the bonds of
any series shall run before maturity shall not exceed 50 years from
the date of each series respectively. In such resolution or
resolutions the board shall prescribe the form of the bonds
(including, without limitation, registered bonds and coupon bonds)
and the form of any coupons to be attached thereto, the registration,
conversion and exchange privileges, if any, pertaining thereto, and
fix the time when the whole or any part of the principal shall become
due and payable.



99013.5.  Notwithstanding the provisions of Section 99013, if a
rapid transit district is authorized to issue bonds subject to
approval by a percentage of the electors voting other than 66 2/3
percent, such other percentage of the electors voting shall apply for
purposes of the approval of bonds issued by the rapid transit
district under this chapter.



99014.  The bonds shall bear interest at a rate or rates not
exceeding 6 percent per annum, payable semiannually, except that the
first interest payable on the bonds or any series thereof may be for
any period not exceeding one year as determined by the board. In the
resolution or resolutions providing for the issuance of such bonds
the board may also provide for call and redemption of such bonds
prior to maturity at such times and prices and upon such other terms
as it may specify, provided that no bond shall be subject to call or
redemption prior to maturity unless it contains a recital to that
effect or unless a statement to that effect is printed thereon. The
denomination or denominations of the bonds shall be stated in the
resolution providing for their issuance, but shall not be less than
one thousand dollars ($1,000). The principal of and interest on such
bonds shall be payable in lawful money of the United States at the
office of the treasurer of the district or at such other place or
places as may be designated or at either place or places at the
option of the holders of the bonds. The bonds shall be dated,
numbered consecutively and shall be signed by the president and
treasurer, countersigned by the secretary and the official seal of
the district attached. The interest coupons of such bonds shall be
signed by the treasurer. All such signatures, countersignatures and
seal may be printed, lithographed or mechanically reproduced, except
that one of such signatures or countersignatures on the bonds shall
be manually affixed. If any officer whose signature or
countersignature appears on bonds or coupons ceases to be such
officer before the delivery of the bonds, his signature is as
effective as if he had remained in office.




99015.  The bonds may be sold as the board determines by resolution
but for not less than par. Before selling the bonds, or any part
thereof, the board shall give notice inviting sealed bids in such
manner as it may prescribe. If satisfactory bids are received the
bonds offered for sale shall be awarded to the highest responsible
bidder. If no bids are received or if the board determines that the
bids received are not satisfactory as to price or responsibility of
the bidders the board may reject all bids received, if any, and
either readvertise or sell the bonds at private sale.



99016.  Delivery of any bonds may be made at any place either inside
or outside the state, and the purchase price may be received in cash
or bank credits.


99017.  All accrued interest and premiums received on the sale of
bonds shall be placed in the fund to be used for the payment of
principal of and interest on the bonds and the remainder of the
proceeds of the bonds shall be placed in the treasury to the credit
of the proper benefit fund and applied exclusively to the purposes
for which the debt was incurred; provided, however, that when said
purposes have been accomplished any moneys remaining in such benefit
fund (a) shall be transferred to the fund to be used for the payment
of principal of and interest on the bonds, or (b) shall be placed in
a fund to be used for the purchase of outstanding bonds of the
benefit district from time to time in the open market at such prices
and in such manner, either at public or private sale or otherwise, as
the board may determine. Bonds so purchased shall be canceled
immediately.



99018.  After the expiration of three years after a bond election
the board may determine, by ordinance adopted by a vote of two-thirds
of all the members of the board, that any or all of the bonds
authorized at said election remaining unsold shall not be issued or
sold. When the ordinance takes effect, the authorization to issue
said bonds shall become void.



99019.  Whenever the board deems that the expenditure of money for
the purposes for which the bonds were authorized by the voters is
impractical or unwise, it may, by ordinance adopted by a vote of
two-thirds of all members of the board, so declare and call an
election to be held in the district for the purpose of submitting to
the qualified voters thereof the proposition of incurring
indebtedness by the issuance of such bonds for some other purposes
or, in the case where bonds have been sold, the proposition to use
the proceeds for some other purposes. The procedure, so far as
applicable, shall be the same as when a bond proposition is
originally submitted.



99020.  The board may provide for the issuance, sale or exchange of
refunding bonds to redeem or retire any bonds issued by the district
upon the terms, at the times and in the manner which it determines.
Refunding bonds may be issued in a principal amount sufficient to pay
all or any part of the principal of such outstanding bonds, the
interest thereon and the premiums, if any, due upon call and
redemption thereof prior to maturity and all expenses of such
refunding. The provisions of this chapter for issuance and sale of
bonds apply to the issuance and sale of such refunding bonds; except
that (i) no election need be called or held for the purpose of
authorizing the issuance of refunding bonds, and (ii) when refunding
bonds are to be exchanged for outstanding bonds the method of
exchange shall be as determined by the board.



99021.  The provisions of Article 4 (commencing with Section 53500)
of Chapter 3 of Part 1 of Division 2 of Title 5 of the Government
Code are applicable to the district.



99022.  Any bonds which shall be issued under the provisions of this
chapter shall be legal investment for all trust funds; for the funds
of insurance companies, banks--both commercial and savings--and
trust companies; and for state school funds; and whenever any money
or funds may, by any law now or hereafter enacted, be invested in
bonds of cities, cities and counties, counties, school districts, or
other districts within the State of California, such money or funds
may be invested in the bonds issued under this part, and whenever
bonds of cities, cities and counties, counties, school districts, or
other districts within this state may, by any law now or hereafter
enacted, be used as security for the performance of any act or the
deposit of any public moneys, the said bonds issued under this part
may be so used. The provisions of this article shall be in addition
to all other laws relating to legal investments and shall be
controlling as the latest expression of the Legislature with respect
thereto.


99023.  Any action or proceeding, wherein the validity of the
formation of the benefit district or of any such bonds or of the
proceedings in relation thereto is contested, questioned or denied,
shall be commenced within three (3) months from the date of such
election; otherwise, said bonds and all proceedings in relation
thereto, including the formation of the benefit district, shall be
held to be valid and in every respect legal and incontestable.



99024.  If 66 2/3 percent of the electors of the benefit district
voting on the proposition at the special election called pursuant to
Section 99011 have voted in favor of it and the board has issued a
resolution for the issuance of bonds and has imposed the assessments,
the secretary shall so certify to the assessor of the county or
counties in which territory of the benefit district is located and
deliver to the assessor copies of all maps and diagrams of the
benefit district and the assessments to be levied on the lots or
parcels of land therein. The assessments authorized by this chapter
shall be levied and collected at the same time and in the same manner
by the county or counties as taxes are levied and collected.




99025.  The powers granted to transit districts and rapid transit
districts by this chapter shall be in addition to any powers
otherwise granted to such districts by law.



99026.  This part may be cited as "the Mills Act."


State Codes and Statutes

Statutes > California > Puc > 99000-99026

PUBLIC UTILITIES CODE
SECTION 99000-99026



99000.  Whenever the board of directors of any transit district or
rapid transit district finds that areas adjacent to any transit
station of the district, exclusive of any right-of-way of a common
carrier, receive special benefit by reason of the operation thereof
and deems it necessary to incur a bonded indebtedness for the
acquisition, construction, completion or repair of any or all
improvements, works, property or facilities otherwise authorized by
law for such district, or convenient or necessary to carry out the
powers of the district, and to provide for such bonded indebtedness
to be payable from a special assessment tax levied upon less than all
the real property of the district, it shall, by resolution adopted
by a vote of two-thirds of all members of the board so declare and
state:
   (a) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to or
connected with the accomplishment of such purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant, bond and other reserve funds, working capital,
bond interest estimated to accrue during the construction period and
for a period not to exceed three years thereafter, and expenses of
all proceedings for the authorization, issuance and sale of the
bonds;
   (b) The estimated cost of accomplishing said purposes and the
amount of the principal of the indebtedness to be incurred;
   (c) That the board intends to form a special benefit district of a
portion of the district which in the opinion of the board will be
benefited, the exterior boundaries of which portion are set forth on
a map on file with the secretary of the district, which map shall
govern for all details as to the extent of the proposed benefit
district, and to call an election in such proposed benefit district
on a date to be fixed, for the purpose of submitting to the qualified
voters thereof the proposition of incurring indebtedness by the
issuance of bonds of the district for said benefit district;
   (d) That assessments for the payment of said bonds and the
interest thereon shall be levied exclusively upon the taxable land in
the benefit district, except for any right-of-way of a common
carrier;
   (e) The extent to which, if at all, all or a portion of the
revenues of the district are to be used to pay the principal of,
interest on, and sinking fund payments for, said bonds, including the
establishment and maintenance of any reserve fund therefor;
   (f) That a general description of the proposed construction area,
together with a map showing the exterior boundaries of said proposed
benefit district with relation to the territory immediately
contiguous thereto and to the proposed improvement is on file with
the secretary of the district and is available for inspection by any
person or persons interested;
   (g) The time and place for a hearing by the board on the questions
of the formation of said proposed benefit district, the extent
thereof, the proposed construction, the estimated cost and the amount
of debt to be incurred;
   (h) That at the time and place specified in the resolution any
person interested, including all persons owning property in the
district or in the proposed benefit district, will be heard; and
   (i) That at the same time as the board of supervisors is required
by law to fix the general tax levy and in the manner provided for
such general tax levy, the board of directors shall levy and collect
upon all land in the proposed benefit district, except for any
right-of-way of a common carrier, an ad valorem assessment at a
uniform rate which is sufficient, together with revenues already
collected and available therefor, to pay the interest on the said
bonds as the same will become due and such part of the principal
thereof, including any sinking fund installments required by any of
the district's agreements with holders of bonds issued for the
benefit district, as will become due before the proceeds of an
assessment levied at the time of the next general tax levy will be
available for such purposes, and sufficient to provide or to restore
such reserve fund to the amount required by any of the district's
agreements with holders of bonds issued for the benefit district.



99001.  The board of directors of any transit district or rapid
transit district may establish one or more special benefit districts
within the district pursuant to this chapter. Any special benefit
district may contain separate zones, which may consist of either
contiguous or noncontiguous areas of land within the district. Each
zone within a special benefit district shall be an area adjacent to a
transit station which the board determines will receive special
benefit by reason of the operation of transit facilities but all
zones within a special benefit district need not be adjacent to the
same transit station.


99002.  Whenever the board of directors of any transit district or
rapid transit district finds that areas adjacent to two or more
transit stations of the district, exclusive of any right-of-way of a
common carrier, receive special benefit by reason of the operation
thereof and deems it necessary to form a special benefit district
containing two or more zones, in order to incur a bonded indebtedness
for the acquisition, construction, completion or repair of any or
all improvements, works, property or facilities otherwise authorized
by law for such district, or convenient or necessary to carry out the
powers of the district, and in order to provide for such bonded
indebtedness to be payable from a special assessment tax levied upon
less than all the real property of the district, it shall, by a
resolution adopted by a vote of two-thirds of all members of the
board, declare and state:
   (a) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to or
connected with the accomplishment of such purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant, bond and other reserve funds, working capital,
bond interest estimated to accrue during the construction period and
for a period not to exceed three years thereafter, and expenses of
all proceedings for the authorization, issuance and sale of the
bonds;
   (b) The estimated cost of accomplishing said purposes and the
amount of the principal of the indebtedness to be incurred;
   (c) That the board intends to form a special benefit district
composed of a specified number of zones within a portion of the
territory of the district, which in the opinion of the board will be
benefited, and that the exterior boundaries of each such zone within
the special benefit district are set forth on a map on file with the
secretary of the district, which map shall govern for all details as
to the extent of the zones within the proposed benefit district;
   (d) That the board intends to call an election in all zones of the
proposed benefit district on a date to be fixed for the purpose of
submitting to the qualified voters of the proposed benefit district
the proposition of incurring indebtedness by the issuance of bonds of
the district for the special benefit district, which shall be deemed
for all purposes to be a single election;
   (e) That assessments for the payment of the bonds and the interest
thereon shall be levied exclusively upon the taxable land in all
zones of the benefit district, except for any right-of-way of a
common carrier, at a uniform rate to pay the indebtedness of the
entire special benefit district;
   (f) The extent to which, if at all, all or a portion of the
revenues of the district are to be used to pay the principal of,
interest on, and sinking fund payments for, said bonds, including the
establishment and maintenance of any reserve fund therefor;
   (g) That a general description of each proposed construction area,
together with a map showing the exterior boundaries of each zone of
the benefit district with relation to the territory contiguous
thereto and to the proposed improvements, is on file with the
secretary of the district and is available for inspection by any
person or persons interested;
   (h) The time and place for a hearing by the board on the questions
of the formation of said proposed benefit district, the extent
thereof, the proposed construction, the estimated cost and the amount
of debt to be incurred;
   (i) That at the time and place specified in the resolution any
person interested, including all persons owning property in the
district or in the proposed benefit district, will be heard; and
   (j) That at the same time as the board of supervisors is required
by law to fix the general tax levy and in the manner provided for
such general tax levy, the board of directors shall levy and collect
upon all land in each zone of the proposed benefit district, except
for any right-of-way of a common carrier, an ad valorem assessment at
a uniform rate which is sufficient, together with revenues already
collected and available therefor, to pay the interest on the said
bonds as the same will become due and such part of the principal
thereof, including any sinking fund installments required by any of
the district's agreements with holders of bonds issued for the
benefit district, as will become due before the proceeds of an
assessment levied at the time of the next general tax levy will be
available for such purposes, and sufficient to provide or to restore
such reserve fund to the amount required by any of the district's
agreements with holders of bonds issued for the benefit district.



99003.  The notice of the time and place of hearing specified in
either Section 99000 or Section 99002 shall be given by publishing a
copy of the resolution declaring the necessity pursuant to Section
6066 of the Government Code prior to the time fixed for the hearing
in at least one newspaper published in the district.




99004.  At the time and place so fixed, or at any time and place to
which the hearing is adjourned, the board shall proceed with the
hearing. At the hearing any person interested, including any person
owning property within the district or within the proposed benefit
district, may appear and present any matters material to the
questions set forth in the resolution declaring the necessity.



99005.  The board shall have power to change the purposes for which
the proposed debt is to be incurred, or the estimated cost, or the
amount of bonded debt to be incurred, or the boundaries of said
proposed benefit district, or any zone therein, or one or all of said
matters; provided, however, that said board shall not change such
boundaries so as to include any territory which will not, in its
judgment, be benefited by said construction. For all purposes of this
chapter, it shall be conclusively presumed that any right-of-way of
a common carrier will not be benefited by said construction.



99006.  The purposes, estimated cost, amount of bonded debt or
boundaries shall not be changed by said board except after notice of
its intention to do so, given by publication pursuant to Section 6061
of the Government Code in at least one newspaper published in the
district. Said notice shall state the changed purposes and estimated
cost and debt proposed and that the exterior boundaries as proposed
to be changed are set forth on a map on file with the secretary of
the district, which map shall govern for all details as to the extent
of the proposed benefit district and as to any zone contained
therein, and specify the time and place for hearing on such change or
changes, which time shall be at least ten days after publication of
said notice.



99007.  At the time and place so fixed, or at any time and place to
which the hearing is adjourned, the board shall proceed with the
hearing. At the hearing any person interested, including any person
owning property within the district or the proposed benefit district,
may appear and present any matters material to the changes stated in
the notice.



99008.  At the conclusion of the hearing the board shall by
resolution determine whether it is deemed necessary to incur the
bonded indebtedness, and, if so, the resolution shall also state the
purposes for which said proposed debt is to be incurred, the
estimated cost of accomplishing said purposes, the amount of the
proposed debt, that the exterior boundaries of the portion of the
district which will be benefited are set forth on a map on file with
the secretary of the district, which map shall govern for all details
as to the extent of the benefit district, and that said portion of
the district set forth on said map shall thereupon constitute and be
known as "Benefit District No. __ of the ____ Transit District," and
the determinations made in said resolution shall be final and
conclusive.



99009.  After the formation of such benefit district within the
district and after the assessments have been confirmed pursuant to
this chapter, all proceedings for the authorization and issuance of
bonds of the district for such benefit district shall be limited and
shall apply only to the benefit district; and assessments for the
payment of said bonds and the interest thereon, except as otherwise
provided in the resolution of necessity, shall be levied exclusively
upon the land in the benefit district, except for any right-of-way of
a common carrier; and the revenues of the district shall be used
only to the extent set forth in the resolution declaring the
necessity. If zones have been established within the benefit
district, the ad valorem assessment shall be imposed at a uniform
rate throughout all zones of the benefit district to pay the
principal and interest on all bonds of the district issued for the
benefit district.


99010.  After the board has made its determination of the matters
required to be determined by this chapter, and if the board deems it
necessary to incur the bonded indebtedness, the board shall by
ordinance call a special election in said benefit district for the
purpose of submitting to the qualified voters thereof the proposition
of incurring indebtedness by the issuance of bonds of the district
for said benefit district. Said ordinance shall state:
   (a) That the board deems it necessary to incur the bonded
indebtedness.
   (b) The purposes for which the bonded indebtedness will be
incurred.
   (c) The estimated cost of accomplishing said purposes.
   (d) The amount of the principal of the indebtedness to be
incurred.
   (e) The benefit district to be benefited by said indebtedness, as
set forth in the resolution making determinations, and that a map
showing the exterior boundaries of said benefit district and all
zones contained therein is on file with the secretary of the
district, which map shall govern for all details as to the extent of
the benefit district.
   (f) That assessments for the payment of such bonds and the
interest thereon shall be levied exclusively and at a uniform rate
upon the land in said benefit district and all zones contained
therein, except for any right-of-way of a common carrier; and that
revenues of the district shall be used only to the extent set forth
in the resolution declaring the necessity.
   (g) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not exceed 50 years from the date
thereof or the date of each series thereof.
   (h) The maximum rate of interest to be paid, which shall not
exceed 6 percent per annum.
   (i) The proposition to be submitted to the voters which may
include one or more purposes.
   (j) The date of the election.
   (k) The manner of holding the election and the procedure for
voting for and against the measure.



99011.  Notice of the holding of such election shall be given by
publishing, pursuant to Section 6066 of the Government Code, the
ordinance calling the election in at least one newspaper published in
such district. No other notice of such election need be given.
Except as otherwise provided in the ordinance, the election shall be
conducted as other district elections. If a special benefit district
has been divided into zones, the votes cast in all zones shall be
counted as in the case of a benefit district without such zones to
determine the outcome of the election.



99012.  If any proposition is defeated by the electors, the board
shall not call another election on a substantially similar
proposition to be held within six months after the prior election. If
a petition requesting submission of such a proposition, signed by 15
percent of the benefit district electors, as shown by the votes cast
for all candidates for governor at the last gubernatorial election,
is filed with the board, it may call an election before the
expiration of six months.



99013.  If 66 2/3 percent of the electors in the entire benefit
district voting on the proposition vote for it, then the board may,
by resolution, at such time or times as it deems proper, issue bonds
of the district for the benefit district for the whole or any part of
the amount of the indebtedness so authorized and may from time to
time, by resolution, provide for the issuance of such amounts as the
necessity thereof may appear, until the full amount of such bonds
authorized shall have been issued. Said full amount of bonds may be
divided into two or more series and different dates and different
dates of payment fixed for the bonds of each series. A bond need not
mature on an anniversary of its date. The maximum term the bonds of
any series shall run before maturity shall not exceed 50 years from
the date of each series respectively. In such resolution or
resolutions the board shall prescribe the form of the bonds
(including, without limitation, registered bonds and coupon bonds)
and the form of any coupons to be attached thereto, the registration,
conversion and exchange privileges, if any, pertaining thereto, and
fix the time when the whole or any part of the principal shall become
due and payable.



99013.5.  Notwithstanding the provisions of Section 99013, if a
rapid transit district is authorized to issue bonds subject to
approval by a percentage of the electors voting other than 66 2/3
percent, such other percentage of the electors voting shall apply for
purposes of the approval of bonds issued by the rapid transit
district under this chapter.



99014.  The bonds shall bear interest at a rate or rates not
exceeding 6 percent per annum, payable semiannually, except that the
first interest payable on the bonds or any series thereof may be for
any period not exceeding one year as determined by the board. In the
resolution or resolutions providing for the issuance of such bonds
the board may also provide for call and redemption of such bonds
prior to maturity at such times and prices and upon such other terms
as it may specify, provided that no bond shall be subject to call or
redemption prior to maturity unless it contains a recital to that
effect or unless a statement to that effect is printed thereon. The
denomination or denominations of the bonds shall be stated in the
resolution providing for their issuance, but shall not be less than
one thousand dollars ($1,000). The principal of and interest on such
bonds shall be payable in lawful money of the United States at the
office of the treasurer of the district or at such other place or
places as may be designated or at either place or places at the
option of the holders of the bonds. The bonds shall be dated,
numbered consecutively and shall be signed by the president and
treasurer, countersigned by the secretary and the official seal of
the district attached. The interest coupons of such bonds shall be
signed by the treasurer. All such signatures, countersignatures and
seal may be printed, lithographed or mechanically reproduced, except
that one of such signatures or countersignatures on the bonds shall
be manually affixed. If any officer whose signature or
countersignature appears on bonds or coupons ceases to be such
officer before the delivery of the bonds, his signature is as
effective as if he had remained in office.




99015.  The bonds may be sold as the board determines by resolution
but for not less than par. Before selling the bonds, or any part
thereof, the board shall give notice inviting sealed bids in such
manner as it may prescribe. If satisfactory bids are received the
bonds offered for sale shall be awarded to the highest responsible
bidder. If no bids are received or if the board determines that the
bids received are not satisfactory as to price or responsibility of
the bidders the board may reject all bids received, if any, and
either readvertise or sell the bonds at private sale.



99016.  Delivery of any bonds may be made at any place either inside
or outside the state, and the purchase price may be received in cash
or bank credits.


99017.  All accrued interest and premiums received on the sale of
bonds shall be placed in the fund to be used for the payment of
principal of and interest on the bonds and the remainder of the
proceeds of the bonds shall be placed in the treasury to the credit
of the proper benefit fund and applied exclusively to the purposes
for which the debt was incurred; provided, however, that when said
purposes have been accomplished any moneys remaining in such benefit
fund (a) shall be transferred to the fund to be used for the payment
of principal of and interest on the bonds, or (b) shall be placed in
a fund to be used for the purchase of outstanding bonds of the
benefit district from time to time in the open market at such prices
and in such manner, either at public or private sale or otherwise, as
the board may determine. Bonds so purchased shall be canceled
immediately.



99018.  After the expiration of three years after a bond election
the board may determine, by ordinance adopted by a vote of two-thirds
of all the members of the board, that any or all of the bonds
authorized at said election remaining unsold shall not be issued or
sold. When the ordinance takes effect, the authorization to issue
said bonds shall become void.



99019.  Whenever the board deems that the expenditure of money for
the purposes for which the bonds were authorized by the voters is
impractical or unwise, it may, by ordinance adopted by a vote of
two-thirds of all members of the board, so declare and call an
election to be held in the district for the purpose of submitting to
the qualified voters thereof the proposition of incurring
indebtedness by the issuance of such bonds for some other purposes
or, in the case where bonds have been sold, the proposition to use
the proceeds for some other purposes. The procedure, so far as
applicable, shall be the same as when a bond proposition is
originally submitted.



99020.  The board may provide for the issuance, sale or exchange of
refunding bonds to redeem or retire any bonds issued by the district
upon the terms, at the times and in the manner which it determines.
Refunding bonds may be issued in a principal amount sufficient to pay
all or any part of the principal of such outstanding bonds, the
interest thereon and the premiums, if any, due upon call and
redemption thereof prior to maturity and all expenses of such
refunding. The provisions of this chapter for issuance and sale of
bonds apply to the issuance and sale of such refunding bonds; except
that (i) no election need be called or held for the purpose of
authorizing the issuance of refunding bonds, and (ii) when refunding
bonds are to be exchanged for outstanding bonds the method of
exchange shall be as determined by the board.



99021.  The provisions of Article 4 (commencing with Section 53500)
of Chapter 3 of Part 1 of Division 2 of Title 5 of the Government
Code are applicable to the district.



99022.  Any bonds which shall be issued under the provisions of this
chapter shall be legal investment for all trust funds; for the funds
of insurance companies, banks--both commercial and savings--and
trust companies; and for state school funds; and whenever any money
or funds may, by any law now or hereafter enacted, be invested in
bonds of cities, cities and counties, counties, school districts, or
other districts within the State of California, such money or funds
may be invested in the bonds issued under this part, and whenever
bonds of cities, cities and counties, counties, school districts, or
other districts within this state may, by any law now or hereafter
enacted, be used as security for the performance of any act or the
deposit of any public moneys, the said bonds issued under this part
may be so used. The provisions of this article shall be in addition
to all other laws relating to legal investments and shall be
controlling as the latest expression of the Legislature with respect
thereto.


99023.  Any action or proceeding, wherein the validity of the
formation of the benefit district or of any such bonds or of the
proceedings in relation thereto is contested, questioned or denied,
shall be commenced within three (3) months from the date of such
election; otherwise, said bonds and all proceedings in relation
thereto, including the formation of the benefit district, shall be
held to be valid and in every respect legal and incontestable.



99024.  If 66 2/3 percent of the electors of the benefit district
voting on the proposition at the special election called pursuant to
Section 99011 have voted in favor of it and the board has issued a
resolution for the issuance of bonds and has imposed the assessments,
the secretary shall so certify to the assessor of the county or
counties in which territory of the benefit district is located and
deliver to the assessor copies of all maps and diagrams of the
benefit district and the assessments to be levied on the lots or
parcels of land therein. The assessments authorized by this chapter
shall be levied and collected at the same time and in the same manner
by the county or counties as taxes are levied and collected.




99025.  The powers granted to transit districts and rapid transit
districts by this chapter shall be in addition to any powers
otherwise granted to such districts by law.



99026.  This part may be cited as "the Mills Act."



State Codes and Statutes

State Codes and Statutes

Statutes > California > Puc > 99000-99026

PUBLIC UTILITIES CODE
SECTION 99000-99026



99000.  Whenever the board of directors of any transit district or
rapid transit district finds that areas adjacent to any transit
station of the district, exclusive of any right-of-way of a common
carrier, receive special benefit by reason of the operation thereof
and deems it necessary to incur a bonded indebtedness for the
acquisition, construction, completion or repair of any or all
improvements, works, property or facilities otherwise authorized by
law for such district, or convenient or necessary to carry out the
powers of the district, and to provide for such bonded indebtedness
to be payable from a special assessment tax levied upon less than all
the real property of the district, it shall, by resolution adopted
by a vote of two-thirds of all members of the board so declare and
state:
   (a) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to or
connected with the accomplishment of such purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant, bond and other reserve funds, working capital,
bond interest estimated to accrue during the construction period and
for a period not to exceed three years thereafter, and expenses of
all proceedings for the authorization, issuance and sale of the
bonds;
   (b) The estimated cost of accomplishing said purposes and the
amount of the principal of the indebtedness to be incurred;
   (c) That the board intends to form a special benefit district of a
portion of the district which in the opinion of the board will be
benefited, the exterior boundaries of which portion are set forth on
a map on file with the secretary of the district, which map shall
govern for all details as to the extent of the proposed benefit
district, and to call an election in such proposed benefit district
on a date to be fixed, for the purpose of submitting to the qualified
voters thereof the proposition of incurring indebtedness by the
issuance of bonds of the district for said benefit district;
   (d) That assessments for the payment of said bonds and the
interest thereon shall be levied exclusively upon the taxable land in
the benefit district, except for any right-of-way of a common
carrier;
   (e) The extent to which, if at all, all or a portion of the
revenues of the district are to be used to pay the principal of,
interest on, and sinking fund payments for, said bonds, including the
establishment and maintenance of any reserve fund therefor;
   (f) That a general description of the proposed construction area,
together with a map showing the exterior boundaries of said proposed
benefit district with relation to the territory immediately
contiguous thereto and to the proposed improvement is on file with
the secretary of the district and is available for inspection by any
person or persons interested;
   (g) The time and place for a hearing by the board on the questions
of the formation of said proposed benefit district, the extent
thereof, the proposed construction, the estimated cost and the amount
of debt to be incurred;
   (h) That at the time and place specified in the resolution any
person interested, including all persons owning property in the
district or in the proposed benefit district, will be heard; and
   (i) That at the same time as the board of supervisors is required
by law to fix the general tax levy and in the manner provided for
such general tax levy, the board of directors shall levy and collect
upon all land in the proposed benefit district, except for any
right-of-way of a common carrier, an ad valorem assessment at a
uniform rate which is sufficient, together with revenues already
collected and available therefor, to pay the interest on the said
bonds as the same will become due and such part of the principal
thereof, including any sinking fund installments required by any of
the district's agreements with holders of bonds issued for the
benefit district, as will become due before the proceeds of an
assessment levied at the time of the next general tax levy will be
available for such purposes, and sufficient to provide or to restore
such reserve fund to the amount required by any of the district's
agreements with holders of bonds issued for the benefit district.



99001.  The board of directors of any transit district or rapid
transit district may establish one or more special benefit districts
within the district pursuant to this chapter. Any special benefit
district may contain separate zones, which may consist of either
contiguous or noncontiguous areas of land within the district. Each
zone within a special benefit district shall be an area adjacent to a
transit station which the board determines will receive special
benefit by reason of the operation of transit facilities but all
zones within a special benefit district need not be adjacent to the
same transit station.


99002.  Whenever the board of directors of any transit district or
rapid transit district finds that areas adjacent to two or more
transit stations of the district, exclusive of any right-of-way of a
common carrier, receive special benefit by reason of the operation
thereof and deems it necessary to form a special benefit district
containing two or more zones, in order to incur a bonded indebtedness
for the acquisition, construction, completion or repair of any or
all improvements, works, property or facilities otherwise authorized
by law for such district, or convenient or necessary to carry out the
powers of the district, and in order to provide for such bonded
indebtedness to be payable from a special assessment tax levied upon
less than all the real property of the district, it shall, by a
resolution adopted by a vote of two-thirds of all members of the
board, declare and state:
   (a) The purposes for which the proposed debt is to be incurred,
which may include all costs and estimated costs incidental to or
connected with the accomplishment of such purposes, including,
without limitation, engineering, inspection, legal, fiscal agents,
financial consultant, bond and other reserve funds, working capital,
bond interest estimated to accrue during the construction period and
for a period not to exceed three years thereafter, and expenses of
all proceedings for the authorization, issuance and sale of the
bonds;
   (b) The estimated cost of accomplishing said purposes and the
amount of the principal of the indebtedness to be incurred;
   (c) That the board intends to form a special benefit district
composed of a specified number of zones within a portion of the
territory of the district, which in the opinion of the board will be
benefited, and that the exterior boundaries of each such zone within
the special benefit district are set forth on a map on file with the
secretary of the district, which map shall govern for all details as
to the extent of the zones within the proposed benefit district;
   (d) That the board intends to call an election in all zones of the
proposed benefit district on a date to be fixed for the purpose of
submitting to the qualified voters of the proposed benefit district
the proposition of incurring indebtedness by the issuance of bonds of
the district for the special benefit district, which shall be deemed
for all purposes to be a single election;
   (e) That assessments for the payment of the bonds and the interest
thereon shall be levied exclusively upon the taxable land in all
zones of the benefit district, except for any right-of-way of a
common carrier, at a uniform rate to pay the indebtedness of the
entire special benefit district;
   (f) The extent to which, if at all, all or a portion of the
revenues of the district are to be used to pay the principal of,
interest on, and sinking fund payments for, said bonds, including the
establishment and maintenance of any reserve fund therefor;
   (g) That a general description of each proposed construction area,
together with a map showing the exterior boundaries of each zone of
the benefit district with relation to the territory contiguous
thereto and to the proposed improvements, is on file with the
secretary of the district and is available for inspection by any
person or persons interested;
   (h) The time and place for a hearing by the board on the questions
of the formation of said proposed benefit district, the extent
thereof, the proposed construction, the estimated cost and the amount
of debt to be incurred;
   (i) That at the time and place specified in the resolution any
person interested, including all persons owning property in the
district or in the proposed benefit district, will be heard; and
   (j) That at the same time as the board of supervisors is required
by law to fix the general tax levy and in the manner provided for
such general tax levy, the board of directors shall levy and collect
upon all land in each zone of the proposed benefit district, except
for any right-of-way of a common carrier, an ad valorem assessment at
a uniform rate which is sufficient, together with revenues already
collected and available therefor, to pay the interest on the said
bonds as the same will become due and such part of the principal
thereof, including any sinking fund installments required by any of
the district's agreements with holders of bonds issued for the
benefit district, as will become due before the proceeds of an
assessment levied at the time of the next general tax levy will be
available for such purposes, and sufficient to provide or to restore
such reserve fund to the amount required by any of the district's
agreements with holders of bonds issued for the benefit district.



99003.  The notice of the time and place of hearing specified in
either Section 99000 or Section 99002 shall be given by publishing a
copy of the resolution declaring the necessity pursuant to Section
6066 of the Government Code prior to the time fixed for the hearing
in at least one newspaper published in the district.




99004.  At the time and place so fixed, or at any time and place to
which the hearing is adjourned, the board shall proceed with the
hearing. At the hearing any person interested, including any person
owning property within the district or within the proposed benefit
district, may appear and present any matters material to the
questions set forth in the resolution declaring the necessity.



99005.  The board shall have power to change the purposes for which
the proposed debt is to be incurred, or the estimated cost, or the
amount of bonded debt to be incurred, or the boundaries of said
proposed benefit district, or any zone therein, or one or all of said
matters; provided, however, that said board shall not change such
boundaries so as to include any territory which will not, in its
judgment, be benefited by said construction. For all purposes of this
chapter, it shall be conclusively presumed that any right-of-way of
a common carrier will not be benefited by said construction.



99006.  The purposes, estimated cost, amount of bonded debt or
boundaries shall not be changed by said board except after notice of
its intention to do so, given by publication pursuant to Section 6061
of the Government Code in at least one newspaper published in the
district. Said notice shall state the changed purposes and estimated
cost and debt proposed and that the exterior boundaries as proposed
to be changed are set forth on a map on file with the secretary of
the district, which map shall govern for all details as to the extent
of the proposed benefit district and as to any zone contained
therein, and specify the time and place for hearing on such change or
changes, which time shall be at least ten days after publication of
said notice.



99007.  At the time and place so fixed, or at any time and place to
which the hearing is adjourned, the board shall proceed with the
hearing. At the hearing any person interested, including any person
owning property within the district or the proposed benefit district,
may appear and present any matters material to the changes stated in
the notice.



99008.  At the conclusion of the hearing the board shall by
resolution determine whether it is deemed necessary to incur the
bonded indebtedness, and, if so, the resolution shall also state the
purposes for which said proposed debt is to be incurred, the
estimated cost of accomplishing said purposes, the amount of the
proposed debt, that the exterior boundaries of the portion of the
district which will be benefited are set forth on a map on file with
the secretary of the district, which map shall govern for all details
as to the extent of the benefit district, and that said portion of
the district set forth on said map shall thereupon constitute and be
known as "Benefit District No. __ of the ____ Transit District," and
the determinations made in said resolution shall be final and
conclusive.



99009.  After the formation of such benefit district within the
district and after the assessments have been confirmed pursuant to
this chapter, all proceedings for the authorization and issuance of
bonds of the district for such benefit district shall be limited and
shall apply only to the benefit district; and assessments for the
payment of said bonds and the interest thereon, except as otherwise
provided in the resolution of necessity, shall be levied exclusively
upon the land in the benefit district, except for any right-of-way of
a common carrier; and the revenues of the district shall be used
only to the extent set forth in the resolution declaring the
necessity. If zones have been established within the benefit
district, the ad valorem assessment shall be imposed at a uniform
rate throughout all zones of the benefit district to pay the
principal and interest on all bonds of the district issued for the
benefit district.


99010.  After the board has made its determination of the matters
required to be determined by this chapter, and if the board deems it
necessary to incur the bonded indebtedness, the board shall by
ordinance call a special election in said benefit district for the
purpose of submitting to the qualified voters thereof the proposition
of incurring indebtedness by the issuance of bonds of the district
for said benefit district. Said ordinance shall state:
   (a) That the board deems it necessary to incur the bonded
indebtedness.
   (b) The purposes for which the bonded indebtedness will be
incurred.
   (c) The estimated cost of accomplishing said purposes.
   (d) The amount of the principal of the indebtedness to be
incurred.
   (e) The benefit district to be benefited by said indebtedness, as
set forth in the resolution making determinations, and that a map
showing the exterior boundaries of said benefit district and all
zones contained therein is on file with the secretary of the
district, which map shall govern for all details as to the extent of
the benefit district.
   (f) That assessments for the payment of such bonds and the
interest thereon shall be levied exclusively and at a uniform rate
upon the land in said benefit district and all zones contained
therein, except for any right-of-way of a common carrier; and that
revenues of the district shall be used only to the extent set forth
in the resolution declaring the necessity.
   (g) The maximum term the bonds proposed to be issued shall run
before maturity, which shall not exceed 50 years from the date
thereof or the date of each series thereof.
   (h) The maximum rate of interest to be paid, which shall not
exceed 6 percent per annum.
   (i) The proposition to be submitted to the voters which may
include one or more purposes.
   (j) The date of the election.
   (k) The manner of holding the election and the procedure for
voting for and against the measure.



99011.  Notice of the holding of such election shall be given by
publishing, pursuant to Section 6066 of the Government Code, the
ordinance calling the election in at least one newspaper published in
such district. No other notice of such election need be given.
Except as otherwise provided in the ordinance, the election shall be
conducted as other district elections. If a special benefit district
has been divided into zones, the votes cast in all zones shall be
counted as in the case of a benefit district without such zones to
determine the outcome of the election.



99012.  If any proposition is defeated by the electors, the board
shall not call another election on a substantially similar
proposition to be held within six months after the prior election. If
a petition requesting submission of such a proposition, signed by 15
percent of the benefit district electors, as shown by the votes cast
for all candidates for governor at the last gubernatorial election,
is filed with the board, it may call an election before the
expiration of six months.



99013.  If 66 2/3 percent of the electors in the entire benefit
district voting on the proposition vote for it, then the board may,
by resolution, at such time or times as it deems proper, issue bonds
of the district for the benefit district for the whole or any part of
the amount of the indebtedness so authorized and may from time to
time, by resolution, provide for the issuance of such amounts as the
necessity thereof may appear, until the full amount of such bonds
authorized shall have been issued. Said full amount of bonds may be
divided into two or more series and different dates and different
dates of payment fixed for the bonds of each series. A bond need not
mature on an anniversary of its date. The maximum term the bonds of
any series shall run before maturity shall not exceed 50 years from
the date of each series respectively. In such resolution or
resolutions the board shall prescribe the form of the bonds
(including, without limitation, registered bonds and coupon bonds)
and the form of any coupons to be attached thereto, the registration,
conversion and exchange privileges, if any, pertaining thereto, and
fix the time when the whole or any part of the principal shall become
due and payable.



99013.5.  Notwithstanding the provisions of Section 99013, if a
rapid transit district is authorized to issue bonds subject to
approval by a percentage of the electors voting other than 66 2/3
percent, such other percentage of the electors voting shall apply for
purposes of the approval of bonds issued by the rapid transit
district under this chapter.



99014.  The bonds shall bear interest at a rate or rates not
exceeding 6 percent per annum, payable semiannually, except that the
first interest payable on the bonds or any series thereof may be for
any period not exceeding one year as determined by the board. In the
resolution or resolutions providing for the issuance of such bonds
the board may also provide for call and redemption of such bonds
prior to maturity at such times and prices and upon such other terms
as it may specify, provided that no bond shall be subject to call or
redemption prior to maturity unless it contains a recital to that
effect or unless a statement to that effect is printed thereon. The
denomination or denominations of the bonds shall be stated in the
resolution providing for their issuance, but shall not be less than
one thousand dollars ($1,000). The principal of and interest on such
bonds shall be payable in lawful money of the United States at the
office of the treasurer of the district or at such other place or
places as may be designated or at either place or places at the
option of the holders of the bonds. The bonds shall be dated,
numbered consecutively and shall be signed by the president and
treasurer, countersigned by the secretary and the official seal of
the district attached. The interest coupons of such bonds shall be
signed by the treasurer. All such signatures, countersignatures and
seal may be printed, lithographed or mechanically reproduced, except
that one of such signatures or countersignatures on the bonds shall
be manually affixed. If any officer whose signature or
countersignature appears on bonds or coupons ceases to be such
officer before the delivery of the bonds, his signature is as
effective as if he had remained in office.




99015.  The bonds may be sold as the board determines by resolution
but for not less than par. Before selling the bonds, or any part
thereof, the board shall give notice inviting sealed bids in such
manner as it may prescribe. If satisfactory bids are received the
bonds offered for sale shall be awarded to the highest responsible
bidder. If no bids are received or if the board determines that the
bids received are not satisfactory as to price or responsibility of
the bidders the board may reject all bids received, if any, and
either readvertise or sell the bonds at private sale.



99016.  Delivery of any bonds may be made at any place either inside
or outside the state, and the purchase price may be received in cash
or bank credits.


99017.  All accrued interest and premiums received on the sale of
bonds shall be placed in the fund to be used for the payment of
principal of and interest on the bonds and the remainder of the
proceeds of the bonds shall be placed in the treasury to the credit
of the proper benefit fund and applied exclusively to the purposes
for which the debt was incurred; provided, however, that when said
purposes have been accomplished any moneys remaining in such benefit
fund (a) shall be transferred to the fund to be used for the payment
of principal of and interest on the bonds, or (b) shall be placed in
a fund to be used for the purchase of outstanding bonds of the
benefit district from time to time in the open market at such prices
and in such manner, either at public or private sale or otherwise, as
the board may determine. Bonds so purchased shall be canceled
immediately.



99018.  After the expiration of three years after a bond election
the board may determine, by ordinance adopted by a vote of two-thirds
of all the members of the board, that any or all of the bonds
authorized at said election remaining unsold shall not be issued or
sold. When the ordinance takes effect, the authorization to issue
said bonds shall become void.



99019.  Whenever the board deems that the expenditure of money for
the purposes for which the bonds were authorized by the voters is
impractical or unwise, it may, by ordinance adopted by a vote of
two-thirds of all members of the board, so declare and call an
election to be held in the district for the purpose of submitting to
the qualified voters thereof the proposition of incurring
indebtedness by the issuance of such bonds for some other purposes
or, in the case where bonds have been sold, the proposition to use
the proceeds for some other purposes. The procedure, so far as
applicable, shall be the same as when a bond proposition is
originally submitted.



99020.  The board may provide for the issuance, sale or exchange of
refunding bonds to redeem or retire any bonds issued by the district
upon the terms, at the times and in the manner which it determines.
Refunding bonds may be issued in a principal amount sufficient to pay
all or any part of the principal of such outstanding bonds, the
interest thereon and the premiums, if any, due upon call and
redemption thereof prior to maturity and all expenses of such
refunding. The provisions of this chapter for issuance and sale of
bonds apply to the issuance and sale of such refunding bonds; except
that (i) no election need be called or held for the purpose of
authorizing the issuance of refunding bonds, and (ii) when refunding
bonds are to be exchanged for outstanding bonds the method of
exchange shall be as determined by the board.



99021.  The provisions of Article 4 (commencing with Section 53500)
of Chapter 3 of Part 1 of Division 2 of Title 5 of the Government
Code are applicable to the district.



99022.  Any bonds which shall be issued under the provisions of this
chapter shall be legal investment for all trust funds; for the funds
of insurance companies, banks--both commercial and savings--and
trust companies; and for state school funds; and whenever any money
or funds may, by any law now or hereafter enacted, be invested in
bonds of cities, cities and counties, counties, school districts, or
other districts within the State of California, such money or funds
may be invested in the bonds issued under this part, and whenever
bonds of cities, cities and counties, counties, school districts, or
other districts within this state may, by any law now or hereafter
enacted, be used as security for the performance of any act or the
deposit of any public moneys, the said bonds issued under this part
may be so used. The provisions of this article shall be in addition
to all other laws relating to legal investments and shall be
controlling as the latest expression of the Legislature with respect
thereto.


99023.  Any action or proceeding, wherein the validity of the
formation of the benefit district or of any such bonds or of the
proceedings in relation thereto is contested, questioned or denied,
shall be commenced within three (3) months from the date of such
election; otherwise, said bonds and all proceedings in relation
thereto, including the formation of the benefit district, shall be
held to be valid and in every respect legal and incontestable.



99024.  If 66 2/3 percent of the electors of the benefit district
voting on the proposition at the special election called pursuant to
Section 99011 have voted in favor of it and the board has issued a
resolution for the issuance of bonds and has imposed the assessments,
the secretary shall so certify to the assessor of the county or
counties in which territory of the benefit district is located and
deliver to the assessor copies of all maps and diagrams of the
benefit district and the assessments to be levied on the lots or
parcels of land therein. The assessments authorized by this chapter
shall be levied and collected at the same time and in the same manner
by the county or counties as taxes are levied and collected.




99025.  The powers granted to transit districts and rapid transit
districts by this chapter shall be in addition to any powers
otherwise granted to such districts by law.



99026.  This part may be cited as "the Mills Act."