If pursuant to the notice, the bondholders file with the legislative body one or more written proposals for the surrender and cancellation or redemption of not less than 75 percent of the principal amount of all the original bonds referred to in the resolution of intention, the legislative body shall direct the engineer to make a diagram of the property within the new district, affected or benefited by the proposed acquisition and cancellation of such original bonds and to be assessed to pay the cost of the proceedings.
Special Assessment and Bond Refunding Law ofDiagram
Section § 59290
This law says that if bondholders offer to give up or exchange at least 75% of the principal amount of certain bonds, the local government must hire an engineer. The engineer's job will be to create a diagram of properties in the affected area. These properties will help pay for the costs linked to the bond cancellation or redemption process.
bondholders principal amount surrender and cancellation
Section § 59291
This law states that if a property was initially excluded from a special assessment tax meant to pay off bond debt, it must still appear on the official diagram of properties, but it will not have additional taxes imposed on it later.
If in the original proceedings for formation of the district and the issuance of bonds any lot was excepted from the special assessment tax levy to pay the principal and interest of the bonds, the lot shall be shown upon the diagram but no reassessment shall be levied on it.
special assessment tax bonds issuance property exemption
