12-3712.   Grants not subject to other state agencies; revenues fromservice charge placed in fund for payment of bonds; use of revenues, liens;sinking fund for all bonds outstanding.Grants made under this act and receipt thereunder shall not be subjectto supervision or regulation by any other commission, board, bureau oragency of the state. The revenues from sewer service charges in connectionwith which the bonds of any issue shall have been issued, shall be setaside at such regular intervals as may be provided in such resolution orsuch trust agreement in a sinking fund which is hereby pledged to, andcharged with, the payment of the principal of and the interest on suchbonds as the same shall become due, and the redemption price or thepurchase price of bonds retired by call or purchase as therein provided.Such pledge shall be valid and binding from the time when the pledge ismade. Revenues or other moneys so pledged and thereafter received by thesecretary of health and environment shall immediately be subject to thelien of such pledge without any physical delivery thereof or further act,and the lien of any such pledge shall be valid and binding as against allparties having claims of any kind in tort, contract or otherwise againstthe department of health and environment, irrespective of whether suchparties have notice thereof. Neither the resolution nor any trust agreementby which a pledge is created need be filed or recorded except in therecords of the secretary of health and environment. The use and dispositionof moneys to the credit of such sinking fund shall be subject to theprovisions of the resolution authorizing the issuance of such bonds or ofsuch trust agreement. Except as may otherwise be provided in suchresolution or such trust agreement, such sinking fund shall be a fund forall such bonds without distinction or priority of one over another.

      History:   L. 1973, ch. 69, § 3; L. 1975, ch. 462, § 4; July 1.