Section § 35470

Explanation

If a water district in California was formed after July 30, 1917, it can choose to fund its operations by charging people who own or occupy land that can access district water, instead of using assessments. These charges can be set through a specific process involving notice, protest, and hearing, and might include standby charges even if landowners don't use the water. Charges may change according to the month or area to reflect the cost and benefit of services. The money collected helps cover district operation and maintenance costs, or any other legal district purposes.

Any district formed on or after July 30, 1917, may, in lieu in whole or in part of raising money for district purposes by assessment, make water available to the holders of title to land or the occupants thereon, and may fix and collect charges therefor. Pursuant to the notice, protest, and hearing procedures in Section 53753 of the Government Code, the charges may include standby charges to holders of title to land to which water may be made available, whether the water is actually used or not. The charges may vary in different months and in different localities of the district to correspond to the cost and value of the service, and the district may use so much of the proceeds of the charges as may be necessary to defray the ordinary operation or maintenance expenses of the district and for any other lawful district purpose.

Section § 35470.1

Explanation

This law allows a district to continue a standby charge—essentially a fee—for multiple years at the same rate if the original procedures were properly followed. However, if the district wants to introduce new, increased, or extended assessments, they must follow certain procedures that include providing notice and the opportunity for protests and hearings, as outlined in another section of the Government Code.

If the procedures set forth in this article as it read at the time a standby charge was established were followed, the district may, by resolution, continue the charge pursuant to this article in successive years at the same rate. If new, increased, or extended assessments are proposed, the board shall comply with the notice, protest, and hearing procedures in Section 53753 of the Government Code.

Section § 35470.5

Explanation

This law allows a district to impose a penalty of up to 10% on unpaid water-related charges, such as water use or standby fees, if they become overdue. If the charges remain unpaid past a certain date, these charges will also accrue interest up to 1.5% per month. The district decides when the charges are considered late. Important to note, certain previously established dates for delinquencies might not apply concerning adding these penalties and interest.

The district may, by resolution, provide that a penalty not in excess of 10 percent shall be added to water, standby, facility, or other charges which are delinquent, and the delinquent charges shall bear interest at a rate not in excess of 11/2 percent per month. For purposes of this section, the district shall establish the period or date after which the charges shall become delinquent if they remain unpaid. The delinquency dates established in Part 7 (commencing with Section 36550) and Part 7.5 (commencing with Section 37200) for unpaid assessments, which may include standby or other charges for the use of district water that has been made a part of the assessment, shall not apply to the addition of penalties and interest to delinquent charges, pursuant to this section.

Section § 35471

Explanation

This law says that if a district earns more money than it needs for its regular expenses from sources mentioned in another law (Section 35470), the extra money should be used by the treasurer to pay interest on general obligation bonds or to set up a sinking fund. A sinking fund is a savings set aside to pay off debt or bonds in the future.

Any funds derived pursuant to Section 35470 in excess of the amount necessary for operating or maintenance expenses and other lawful district purposes shall be applied by the treasurer upon the payment of interest on general obligation bonds or to create a sinking fund.

Section § 35472

Explanation

This section says that to ensure there is enough money to pay off revenue bonds and their interest on time, the board is responsible for setting and collecting fees from water sales.

For the purpose of providing funds to pay revenue bonds and interest when due the board shall fix and collect charges for the sale of water.

Section § 35473

Explanation

Every year, by April 1st, the board must set the amounts that will be charged to cover the costs of paying off revenue bonds and their interest when they are due.

The charges to pay revenue bonds and interest thereon when due shall be fixed by the board before April 1st of each year.

Section § 35474

Explanation

This law section explains how a board is responsible for setting water charges to pay off revenue bonds and their interest. These charges can be determined either by a fixed rate per acre or connection, by usage measured through a meter, or a combination of both.

The sum collected should be enough to cover what's stated on the bond and a year's worth of interest unless there's already enough money saved up in the district's surplus fund to cover the current year's bond payments and interest.

The charges to pay revenue bonds and interest thereon shall be fixed by the board upon a flat rate per acre or connection or on a metered basis or on a combination of a flat rate and metered basis and shall be sufficient to raise the amount specified on the face of the bonds when issued and one year’s interest thereon unless the district has accumulated a surplus fund in the treasury of the district which is available for the payment of all bonds and interest that will accrue for payment during the current year, in which event the charges may be made so that the aggregate amount to be raised by the sale of water when added to the surplus fund equals the face value of the bonds that will mature within one year and the interest thereon.

Section § 35475

Explanation

This statute states that even if water is not being actively used, charges to cover revenue bonds and their interest can include a 'stand-by' or 'carrying' charge. The board responsible for these bonds will set the rules and regulations for these charges.

The charges to pay revenue bonds and interest thereon may include a stand-by or carrying charge notwithstanding the water is not actually used, under such rules and regulations as the board may prescribe.

Section § 35476

Explanation

This law allows the charges for paying off revenue bonds and the interest on them to be required before water service is provided to a property.

The charges to pay revenue bonds and interest thereon may be made payable in advance before service of water is made to the land.

Section § 35477

Explanation

This law states that each year, charges must be collected to pay off revenue bonds and their interest until they are completely paid off.

The collection of charges to pay revenue bonds and interest thereon shall be continued each year until all revenue bonds, together with interest thereon, are fully redeemed and paid.

Section § 35478

Explanation

This law states that when a district issues revenue bonds, the repayment and interest of these bonds are the top priority for payment from the money the district earns from water sales. However, if the district specifies differently on the election ballot and bonds, they can choose to put this financial obligation on just a part of their income or a specific portion from water sales.

All revenue bond redemption and interest charges are a first lien on all revenues received from the sale of water unless the district, by a limitation clearly expressed in the ballots used at the election at which the bonds are voted and in all the bonds, limits the charge and lien to a part of the revenues of the district or to a fixed portion of all revenues from the sale and use of water.

Section § 35479

Explanation

This law allows a district to choose to have a county levy and collect standby charges for district assessments. If the district makes this choice, it needs to provide specific information to the county auditor and assessor by the fourth Monday in August each year. This information includes the amount charged for each acre, total estimated collections, and details about each parcel of land, such as the landowner's name and the total charge per parcel. These are necessary for the county to properly assess and collect the charges starting July 1 of the fiscal year.

The district may elect, if it is using the alternative provisions for levy, collection and enforcement of district assessments by the county as provided in Part 7.5 hereof, to have the county levy and collect standby charges. If the district so elects, it shall certify to the county auditor of each county in which the district is located and the county assessor in each county in which the district is located on or before the fourth Monday in August of each year in which a standby charge is to be levied and collected for the fiscal year commencing on that July 1, the following information for purposes of such levy, assessment and collection:
(a)CA Water Code § 35479(a) The amount of the acreage standby charge levied by the district, both by acre and total amount estimated to be collected for the entire district;
(b)CA Water Code § 35479(b) The assessee parcels and assessee names for each parcel of land in the district against whom a standby charge is being levied and the acreage assessed to such person according to the district records, and the total amount of the charge to be paid by each assessee parcel.

Section § 35480

Explanation

This law requires the county assessor and auditor to include standby charges from a district on the tax bills for each property owner and their parcels. These charges are in addition to any other taxes or fees listed on the bill.

The county assessor and county auditor shall thereafter add to the tax bills for each assessee and assessee parcel as so certified, in addition to the other charges, the standby charges of the district.

Section § 35481

Explanation

This law states that the county tax collector and treasurer are responsible for collecting, receiving, and distributing standby charges to the district. These charges are collected along with the regular county tax payments.

The county tax collector and treasurer shall thereupon collect, receive and disburse to the district the standby charges as collected with the regular tax payments to the county.

Section § 35482

Explanation

This law states that water districts cannot make a new tenant pay for water charges or penalties left unpaid by a previous tenant. However, the district can require that the water account for future tenants be in the landlord's or property owner's name.

No district furnishing water for residential use to a tenant shall seek to recover any charges or penalties for the furnishing of water to or for the tenant’s residential use from any subsequent tenant on account of nonpayment of charges by a previous tenant. The district may, however, require that service to subsequent tenants be furnished on the account of the landlord or property owner.