CHAPTER 20. WATER SUPPLY SYSTEMS
IC 14-33-20
Chapter 20. Water Supply Systems
IC 14-33-20-1
Applicability of chapter
Sec. 1. (a) This chapter applies only to furnishing water supply fordomestic, industrial, and public use.
(b) This chapter does not apply to the accomplishment of anyother purpose:
(1) for which a district has been established; or
(2) that is added to the purposes of the district afterestablishment.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-2
"Commission" defined
Sec. 2. As used in this chapter, "commission" refers to the Indianautility regulatory commission.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-3
"Water facilities" and "water supply" defined
Sec. 3. As used in this chapter, "water facilities" and "watersupply" include the following:
(1) Source of supply.
(2) Treatment facilities.
(3) Purifying and storage facilities.
(4) Distribution systems.
(5) Appurtenant equipment.
(6) Materials and supplies.
(7) Land, easements, and rights-of-way.
(8) Buildings.
(9) All other facilities for the administration, operation, andmaintenance of the items described in subdivisions (1) through(8).
As added by P.L.1-1995, SEC.26.
IC 14-33-20-4
District electing to furnish water supply for domestic, industrial,and public use
Sec. 4. (a) A district established for the purpose of furnishingwater supply for domestic, industrial, and public use may elect tofurnish water supply under this chapter if:
(1) the district plan; or
(2) a part of or an amendment to the district plan;
so states.
(b) A district that adds the purpose of furnishing water supply fordomestic, industrial, and public use may elect in the manner providedby subsection (a) to furnish water supply under this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-5
District as legal entity
Sec. 5. (a) A district electing to come under this chapter isconsidered, with regard to activities relating to furnishing watersupply for domestic, industrial, and public use, to be a legal entity forthe following purposes:
(1) Contracting with individuals, associations, corporations,municipal corporations, conservancy districts, the state, and theUnited States for the acquisition of property.
(2) The borrowing of money, including security forindebtedness so incurred.
(3) The purchase and sale of water.
(b) A district:
(1) may sue and be sued for the purposes described insubsection (a); and
(2) has the rights and powers granted by this article to the extentconsistent with this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-6
Territorial authority
Sec. 6. An order of the court:
(1) establishing a district; or
(2) adding the purpose of furnishing water supply for domestic,industrial, and public use;
grants to the district territorial authority to provide the service ofwater supply within the district. Territorial authority includes thepower to acquire, maintain, and operate a source of water outside thedistrict.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-7
Supplying water outside territorial authority
Sec. 7. If a district proposes in:
(1) the district plan;
(2) a part of or an amendment to the district plan; or
(3) implementation of the district plan;
to provide water supply to users outside of the territory to which thedistrict has been granted territorial authority, the district mustpetition the commission for territorial authority to serve theadditional users.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-8
Commission setting hearing; notice
Sec. 8. Upon the filing of a petition with the commission undersection 7 of this chapter, the commission shall do the following:
(1) Set the petition for public hearing.
(2) Give notice of the time and place of the hearing bypublication one (1) time in at least one (1) newspaper printed
and published in each county in which the district proposes tocarry on operations relating to furnishing water supply. Thepublication must be at least ten (10) days before the date set forhearing. The district shall pay the cost of the publication at thetime of filing the petition.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-9
Opposing petition
Sec. 9. Any interested person may:
(1) appear at the hearing under section 8 of this chapter eitherin person or by attorney; and
(2) oppose the petition.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-10
Commission's findings after hearing
Sec. 10. (a) The commission shall, after hearing the evidenceintroduced at the hearing under section 8 of this chapter, enter afinding that the convenience and necessity of the public proposed tobe served in the area in which the additional users are located:
(1) will; or
(2) will not;
be served by the district.
(b) If the finding is in the affirmative, the commission shall enteran order granting territorial authority for the area. The district shallattach a copy of the order to:
(1) the district plan; or
(2) a part of, an amendment to, or the implementation of thedistrict plan;
before the district plan is submitted for approval.
(c) If the finding is in the negative, the commission shall enter anorder denying the approval to serve the additional users in the area.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-11
Municipality or public utility supplying water
Sec. 11. If:
(1) a district is established for the purpose of furnishing watersupply for domestic, industrial, and public use or that purposeis added to a district; and
(2) there is within the boundaries of the district a municipalityor public utility providing water supply to part of the territorywithin the boundaries;
the order of the court establishing the district or adding that purposeis territorial authority only for that territory within the boundaries notserved by the municipality or public utility.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-12 Supplying water to additional users outside territorial boundaries;jurisdiction; expenses
Sec. 12. (a) IC 14-33-4-2 does not apply to the addition ofterritory to a district in any county for the purpose of supplying waterto additional users outside the territorial boundaries of the district.The commission has exclusive jurisdiction over the granting to adistrict of territorial authority to serve additional water users.
(b) For the purposes of:
(1) granting territorial authority to a district to serve additionalwater users under subsection (a); and
(2) exercising the commission's jurisdiction for changes in therates and charges of a district under section 14 of this chapter;
the commission shall recoup its expenses under IC 8-1-2-70. Forpurposes of this subsection, a district that has the purpose of watersupply and that operates under this chapter is considered a municipalutility.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-13
Reasonable and just charges for services; rates
Sec. 13. (a) A district coming under this chapter shall furnishreasonably adequate services and facilities. The charge made by thedistrict for a service provided or to be provided, either directly orindirectly, must be nondiscriminatory, reasonable, and just. Everydiscriminatory, unjust, or unreasonable charge for service isunlawful. A reasonable and just charge for services is a charge thatproduces sufficient revenue to pay all the legal and other necessaryexpenses incident to the operation of the water facilities:
(1) including maintenance costs, operating charges, upkeep,repairs, and interest charges on bonds, notes, or other evidencesof indebtedness;
(2) providing a sinking fund for the liquidation of bonds, notes,or other evidence of indebtedness;
(3) providing adequate money to be used as working capital, aswell as money for making extensions and replacements; and
(4) paying taxes, if any, that are assessed against the waterfacilities.
(b) The rates may include a reasonable profit on the investment,so that the charges produce an income sufficient to maintain thewater facilities in a sound physical and financial condition to provideadequate and efficient service. A rate too low to meet theserequirements is unlawful.
(c) A district and the district's board, officers, and employees:
(1) shall enforce the collection of the rates and charges; and
(2) if necessary, may discontinue water service to a water userfor the nonpayment of rates and charges.
(d) A district shall make a charge against the property in thedistrict for fire protection furnished by the water facilities, separatefrom rates and charges for water supplied to users. The receipts fromfire protection charges are considered revenues of the water
facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-14
Schedule of rates and charges; regulation
Sec. 14. A district coming under this chapter shall file the initialschedule of rates and charges to patrons of the district with thecommission. If changes in rates and charges are necessary, thedistrict is subject to the jurisdiction of the commission in the samemanner as provided by statute for the regulation of rates and chargesof municipal water utilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-15
"Net revenues" defined
Sec. 15. (a) As used in this section, "net revenues" means grossrevenues less the reasonable cost of operation and maintenance.
(b) A district coming under this chapter may pay the costs,including incidental expenses, of constructing or otherwise acquiringall the works of improvement necessary to furnish water supply fordomestic, industrial, and public use by issuing bonds, notes, or otherevidences of indebtedness to be payable from revenues in the mannerprovided by this article. The bonds, notes, or other evidences ofindebtedness of the district for water purposes are payable solelyfrom the net revenues of the water facilities. All bonds, notes,contracts, warrants, debentures, and pledges entered into by a districtfor the purposes of:
(1) this chapter; or
(2) IC 13-3-4 (before its repeal);
do not constitute an obligation payable from the collection of aspecial benefits tax.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-16
Resolution authorizing bonds, notes, or other evidences ofindebtedness
Sec. 16. All bonds, notes, or other evidences of indebtednesspayable from revenues may be authorized only by resolution of theboard. The resolution, as well as the bonds, notes, or other evidencesof indebtedness issued under the resolution, is a contract with allholders of the bonds, notes, or other evidences of indebtedness.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-17
Requirements for bonds, notes, or other evidences of indebtedness
Sec. 17. (a) All bonds, notes, or other evidences of indebtednessthat are authorized by the resolution must be in one (1) or more seriesand may:
(1) bear the date;
(2) mature at a time not exceeding fifty (50) years from the date
of issuance;
(3) bear interest at any rate;
(4) be in a denomination;
(5) be in a form, either coupon or registered;
(6) carry registration and conversion privileges;
(7) be executed in the manner;
(8) be payable in the medium of payment, at the place;
(9) be subject to terms of redemption, with or without apremium;
(10) be declared or become due before the maturity date;
(11) provide for the replacement of mutilated, destroyed, stolen,or lost bonds, notes, or other evidences of indebtedness;
(12) be authenticated in a manner and upon compliance withconditions; and
(13) contain other terms and covenants;
that are provided by resolution of the board.
(b) Notwithstanding the form or tenor, and in the absence of anexpress recital on the face that the bond, note, or other evidence ofindebtedness is nonnegotiable, the bonds, notes, or other evidencesof indebtedness are negotiable instruments for all purposes.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-18
Execution of bonds, notes, or other evidences of indebtedness; validand binding obligations
Sec. 18. (a) The bonds, notes, or other evidences of indebtednessshall be executed in the name of the district by the chairman of theboard and attested by the secretary. Interest coupons may beexecuted by placing the facsimile signature of the chairman on thecoupons.
(b) The bonds, notes, or other evidences of indebtedness are validand binding obligations of the district for all purposes provided bythis chapter and in the resolution, even if before delivery any of thepersons whose signatures appear on the bonds, notes, or otherevidences of indebtedness have ceased to be officers of the district.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-19
Validity of authorization and issuance of bonds, notes, or otherevidences of indebtedness
Sec. 19. The validity of the authorization and issuance of thebonds, notes, or other evidences of indebtedness is not dependent onor affected in any way by the following:
(1) Proceedings taken for the improvement for which the bonds,notes, or other evidences of indebtedness are to be issued.
(2) Contracts made in connection with the improvement.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-20
Recital of authority of bond, note, or other evidence of
indebtedness
Sec. 20. A resolution authorizing bonds, notes, or other evidencesof indebtedness payable from revenues must provide that a bond,note, or other evidence of indebtedness payable from revenuescontain a recital that the bond, note, or other evidence ofindebtedness is issued under this article or under IC 13-3-3 (beforeits repeal). A bond, note, or other evidence of indebtednesscontaining the recital under authority of such a resolution isconclusively considered:
(1) to be valid; and
(2) to have been issued in conformity with this article orIC 13-3 (before its repeal).
As added by P.L.1-1995, SEC.26.
IC 14-33-20-21
Sale of bonds, notes, or other evidences of indebtedness
Sec. 21. The bonds, notes, or other evidences of indebtednesspayable from revenues:
(1) shall, except as provided in subdivision (4), be sold at publicsale as provided by general statutes concerning the sale ofbonds;
(2) may be sold at different times or an entire issue or seriesmay be sold at one (1) time;
(3) may be sold:
(A) in part; or
(B) in part in installments at different times or at one (1)time; and
(4) may be sold or issued to the United States or the statewithout a public offering.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-22
Bonds, notes, or other evidences of indebtedness equally andratably secured by lien
Sec. 22. All bonds, notes, or other evidences of indebtedness ofthe same issue shall be equally and ratably secured, without prioritybecause of:
(1) number or date of issue;
(2) sale;
(3) execution; or
(4) delivery;
by a lien upon the revenues in accordance with this chapter and theresolution authorizing issuance.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-23
Constitutionally restricted bonds or debts not authorized
Sec. 23. This chapter does not authorize the board to do anythingthat would result in the creation of an instrument that constitutes abond or debt within the meaning of the constitutional restriction
relating to:
(1) the creation or incurring of a debt or indebtedness; or
(2) the issuance of an instrument constituting a bond or debt.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-24
Restrictions on bonds, notes, or other evidences of indebtedness
Sec. 24. (a) The bonds, notes, or other evidences of indebtedness,including interest, are not any of the following:
(1) A debt of the district or the board.
(2) A charge, lien, or encumbrance, legal or equitable, upon:
(A) property of the district; or
(B) income, receipts, or revenues of the district other thanthe revenues of the water facilities that have been pledged topayment.
(b) Every bond, note, or other evidence of indebtedness mustrecite in substance the following:
(1) That the bond, note, or other evidence of indebtedness,including interest, is payable solely from the revenues pledgedto payment.
(2) That the board is not under an obligation to pay the bond,note, or other evidence of indebtedness except from thoserevenues.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-25
Bonds, notes, or other evidences of indebtedness issued forrefunding other indebtedness
Sec. 25. Bonds, notes, or other evidences of indebtedness may beissued for refunding outstanding bonds, notes, or other evidences ofindebtedness of the district in the discretion of the board. However,refunding may not contradict the terms of a resolution that the boardhas passed authorizing the issuance of bonds, notes, or otherevidence of indebtedness sought to be refunded.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-26
District borrowing money
Sec. 26. (a) A district coming under this chapter may borrowmoney for a term not to exceed two (2) years, which may be renewedfor a term of two (2) years, from a bank organized under state orfederal statutes or from a state or federal agency in anticipation ofthe receipt of money from any source, including the following:
(1) Grants and loans from state or federal agencies.
(2) Money from the sale of bonds, notes, or other evidences ofindebtedness proposed to be issued under this chapter.
(b) The district may pledge the money to be received to therepayment of the principal and interest of the borrowing.
(c) The interim financing may also be repaid from the sale ofbonds, notes, or other evidences of indebtedness without designating
the bonds, notes, or other evidences of indebtedness as refundingobligations. The proceeds of interim financing may be used in wholeor part for the following:
(1) The acquisition of real, personal, or mixed property, oroptions on real, personal, or mixed property.
(2) Services reasonably necessary to provide water supply fordomestic, industrial, and public use.
(d) Interim financing may be negotiated and consummateddirectly between the district and the state or federal bank or state orfederal agency without public offering. The district may makecovenants to the lender and the lender has the rights and remediesthat are authorized by this article.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-27
Tax exemptions
Sec. 27. The:
(1) bonds, notes, or other evidences of indebtedness;
(2) proceeds from and the interest on the bonds, notes, or otherevidences of indebtedness;
(3) water property and facilities of the district; and
(4) revenues received from the furnishing of water andproviding fire protection;
are exempt from taxation by the state.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-28
Security of bonds, notes, or other evidences of indebtedness
Sec. 28. (a) To adequately secure the payment of the bonds, notes,or other evidences of indebtedness, including interest, payable fromrevenues, the board and the board's officers, agents, and employeesshall do the following:
(1) Pay punctually the principal of every bond, note, or otherevidence of indebtedness, including interest:
(A) on the date;
(B) at the place;
(C) in the manner; and
(D) out of the money mentioned in the bonds, notes, otherevidences of indebtedness, and coupons;
in accordance with the resolution authorizing issuance.
(2) Preserve and protect the security of the bonds, notes, orother evidence of indebtedness and the rights of the holders, andwarrant and defend those rights against all claims and demandsof all persons.
(3) Hold in trust the revenues pledged to the payment of thebonds, notes, or other evidence of indebtedness for the benefitof the holders and apply those revenues:
(A) only as provided by the resolution authorizing issuance;or
(B) if the resolution is modified in the manner provided in: (i) the bonds, notes, or other evidence of indebtedness; or
(ii) this chapter;
only as provided in the resolution as modified.
(4) Keep proper books of record and accounts of the waterfacilities, separate from all other records and accounts:
(A) in which complete and correct entries shall be made ofall transactions relating to the water facilities and any part ofthe water facilities for which the revenues are pledged; and
(B) that, together with all other books and papers of theboard, are at all times subject to the inspection of the holderof the bonds, notes, or other evidences of indebtedness thenoutstanding or a representative of the holder authorized inwriting.
(b) This section does not require the board to expend money otherthan revenues received or receivable from the water facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-29
Provisions compromising parts of bonds, notes, or evidences ofindebtedness
Sec. 29. (a) The board may insert, in a resolution authorizing theissuance of bonds, notes, or other evidences of indebtedness payablefrom revenues, provisions that then comprise a part of the contractwith the holders of the bonds, notes, or other evidences ofindebtedness concerning the following:
(1) Limitations on the purpose to which the proceeds of sale ofan issue of bonds, notes, or other evidences of indebtednesspayable from revenues issued to finance the improving of thewater facilities may be applied.
(2) Limitations on the issuance of additional bonds, notes, orother obligations to finance the improving of the water facilitiesand on the lien of the water facilities.
(3) Limitations on the right of the board to restrict and regulatethe use of the water facilities.
(4) The amount and kind of insurance to be maintained on thewater facilities and the use and disposition of insurance money.
(5) Pledging all or a part of the revenues of the water facilitiesto which the board's right exists.
(6) Covenanting against pledging all or a part of revenues of thewater facilities to which the board's right exists.
(7) Events of default and terms and conditions upon which anyof the bonds, notes, or other evidences of indebtedness becomeor may be declared due before maturity, including the terms andconditions upon which the declaration and the consequences ofthe declaration may be waived.
(8) The rights, liabilities, powers, and duties arising if the boardbreaches any covenants, conditions, or obligations.
(9) A procedure by which the terms of:
(A) a resolution authorizing bonds, notes, or other evidencesof indebtedness payable from revenues; or (B) any other contract with the holders;
may be amended or abrogated, including the amount of bonds,notes, or other evidences of indebtedness to which the holdersmust consent and the manner in which the consent may begiven.
(10) The execution of all instruments necessary or convenientin the following:
(A) The exercise of the powers granted by this chapter.
(B) The performance of the duties of the board and theboard's officers, agents, and employees.
(11) Refraining from pledging or in any manner claiming ortaking the benefit or advantage of a stay or extension statutethat affects the duties or covenants of the board in relation tothe following:
(A) The bonds, notes, or other evidences of indebtedness.
(B) The performance of or the lien of the bonds, notes, orother evidences of indebtedness.
(12) The:
(A) purchase out of any money available for the purchase,including the proceeds of bonds, notes, or other evidences ofindebtedness payable from revenues, of outstanding bonds,notes, or other evidences of indebtedness; and
(B) price at which and the manner in which the purchasesmay be made.
(13) Other acts that:
(A) are desirable to secure the bonds, notes, or otherevidences of indebtedness; or
(B) may tend to make the bonds, notes, or other evidences ofindebtedness more marketable.
(b) This section does not authorize the board to:
(1) make any covenants; or
(2) perform any act;
requiring the expenditure of money other than revenues received orreceivable from the water facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-30
Application for appointment of receiver of water facilities
Sec. 30. If:
(1) the:
(A) board defaults in the payment of the principal or intereston any of the bonds, notes, or other evidences ofindebtedness payable from revenues after the bonds, notes,or other evidences of indebtedness have become due,whether at maturity or upon call for redemption; and
(B) default continues for a period of thirty (30) days; or
(2) the board or the board's officers, agents, or employees:
(A) fail or refuse to comply with this chapter; or
(B) default in an agreement made with the holders of thebonds, notes, or other evidences of indebtedness;any holder or a trustee of a holder may apply to the circuit court withjurisdiction in the county in which the district is primarily situatedfor the appointment of a receiver of the water facilities, whether ornot the holder or trustee is seeking or has sought to enforce any otherright or remedy in connection with the bonds, notes, or otherevidences of indebtedness.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-31
Appointment of receiver of water facilities
Sec. 31. Upon an application the circuit court:
(1) may appoint; and
(2) shall appoint, if the application is made by the holders or atrustee of the holders of twenty-five percent (25%) in principalamount of the bonds, notes, or other evidences of indebtednessthen outstanding;
a receiver of the water facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-32
Receiver taking possession of water facilities
Sec. 32. A receiver appointed under this chapter:
(1) shall directly or by the receiver's agents and attorneys enterupon and take possession of the water facilities for which therevenues are pledged; and
(2) may exclude:
(A) the board;
(B) the board's officers, agents, and employees; and
(C) all persons claiming under the board or the board'sofficers, agents, or employees.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-33
Duties of receiver
Sec. 33. A receiver appointed under this chapter shall do thefollowing:
(1) Have, hold, use, operate, manage, and control the facilities.
(2) In the name of the board or otherwise, exercise all rights andpowers of the board with respect to the water facilities as theboard might do.
(3) Maintain, restore, and insure the water facilities andperiodically make all proper repairs to the facilities.
(4) Subject to the jurisdiction of the commission, establish,levy, maintain, and collect fees, tolls, rentals, and other chargesin connection with the water facilities as are proper andreasonable.
(5) Collect and receive all revenues, deposit the revenues in aseparate account, and apply the revenues collected and receivedin the manner that the court directs.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-34
Surrender of possession of water facilities by receiver
Sec. 34. (a) Whenever:
(1) all that is due:
(A) upon the bonds, notes, or other evidences ofindebtedness payable from revenues, including interest; and
(B) upon other notes, bonds, or other obligations, includinginterest, having a charge, lien, or encumbrance on therevenues of the water facilities;
under the terms of covenants or agreements with the holdershave been paid or deposited as provided; and
(2) all defaults have been cured;
the court may, after notice and hearing that the court considersreasonable and proper, direct the receiver to surrender possession ofthe facilities to the board.
(b) The same right of the holders of the bonds, notes, or otherevidences of indebtedness to secure the appointment of a receiverexists upon a subsequent default as provided in this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-35
Court supervision of receiver
Sec. 35. (a) A receiver appointed under this chapter:
(1) shall, in the performance of the powers conferred upon thereceiver, act under the supervision of the court making theappointment;
(2) is at all times subject to the orders of the court; and
(3) may be removed by the court.
(b) The court may enter other orders that the court considersappropriate for the exercise by the receiver of functions specificallyset forth in this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-36
Protection of holders or trustees
Sec. 36. Subject to contractual limitations binding upon theholders or trustees for the holders of an issue of bonds, notes, orother evidences of indebtedness payable from revenues, includingrestrictions on the exercise of a remedy to a specified proportion ofholders, a holder or trustee of bonds, notes, or other evidences ofindebtedness may, for the equal benefit and protection of all holderssimilarly situated, do the following:
(1) By mandamus or other action:
(A) enforce the rights of the holder or trustee against theboard and the board's officers, agents, and employees; and
(B) require the board or officers, agents, or employees toperform:
(i) duties and obligations under this chapter; and
(ii) contracts with the holders.
(2) By action require the board to account as if the board was
the trustee of an express trust.
(3) By action enjoin any acts or things that:
(A) are unlawful; or
(B) in violation of the rights of the holders.
(4) Bring suit upon the bonds, notes, or other evidences ofindebtedness.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-37
Remedies
Sec. 37. (a) A remedy conferred by this chapter upon a holder ortrustee for a holder of bonds, notes, or other evidences ofindebtedness payable from revenues:
(1) is in addition to every other remedy; and
(2) may be exercised without exhausting and without regard toany other remedy conferred by:
(A) this chapter; or
(B) any other statute.
(b) A waiver of a default or breach of duty or contract, whether bya holder or a trustee for a holder of bonds, notes, or other evidencesof indebtedness payable from revenues, does not do any of thefollowing:
(1) Extend to or affect a subsequent default or breach of duty orcontract.
(2) Impair any rights or remedies.
(c) A delay or an omission of a holder or a trustee for a holder ofbonds, notes, or other evidences of indebtedness does not do any ofthe following:
(1) Extend to or affect a subsequent default or breach of duty orcontract.
(2) Impair any rights or remedies.
(d) A delay or an omission of a holder or a trustee for a holder ofbonds, notes, or other evidences of indebtedness in exercising a rightor power accruing upon default:
(1) does not impair a right or power; and
(2) may not be construed to be a waiver of the default oracquiescence in the default.
(e) Every substantive right and every remedy conferred upon theholders of bonds, notes, or other evidences of indebtedness payablefrom revenues may be enforced and exercised periodically and asoften as is expedient. If action to enforce a right or exercise aremedy:
(1) is brought and then discontinued; or
(2) is determined adversely to the holder or trustee;
the board and the holder or trustee shall be restored to their formerpositions as if an action had not been brought.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-38
Discharge of indebtedness Sec. 38. (a) Notwithstanding any other provision of this chapter,a district may do the following:
(1) Borrow money from the state in accordance with otherstatutes.
(2) Evidence the indebtedness upon terms and conditions thatare provided in the statutes or that the state requires.
(b) A district may:
(1) pay and discharge the indebtedness from the proceeds ofbonds, notes, or other evidences of indebtedness issued under:
(A) this chapter; or
(B) IC 13-3-4 (before its repeal); or
(2) refund the indebtedness to the state;
in accordance with this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-39
Liberal construction of chapter
Sec. 39. This chapter shall be liberally construed to facilitate thefinancing of water supply systems of districts.
As added by P.L.1-1995, SEC.26.