This California water district law states that once an engineer's report is approved and adopted, but before precise plans are made, the district board can propose to the district's voters the idea of taking on debt (through bonds) to raise funds for acquiring property or completing projects outlined in the report. To do this, the board must call a special election by passing a resolution.

This law section explains what needs to be included in a resolution when a district wants to incur debt by issuing bonds. It must outline why the debt is needed, refer to a report for specifics, and state the bond amount which cannot exceed 15% of the district's taxable property value. The resolution also needs to mention how long the bonds will last, the interest rate, and details about the election, including its date, polling places, and officials.

This law allows a district board to combine several voting precincts, which are set up for general elections, into a single precinct specifically for a bond election. They can do this by referencing the general election precincts when describing the new precinct.

If you want to vote in a bond election for a district, you must be registered as a voter in that district.

This law requires that when an election is called, the announcement must be published in a widely-read newspaper chosen by the district board. According to another section of the law, Section 6063, this publication method is the only notification needed for the election.

If at least two-thirds of the voters approve, the district can issue and sell bonds for the amount specified in the election resolution.

Once bonds are issued, their legality can only be challenged in court for two reasons: if the rules allowing for their issuance are unconstitutional; or if there was a legal issue with how the district was formed, such as an improperly held hearing or lack of proper notification.

This law allows the district board to decide the details of bonds, like their form and where they are payable, through a formal decision called a resolution. The bonds can last up to 40 years and will continue to earn interest until fully paid off.

The board can split any bond issue into multiple parts, called series, with each part having different payoff dates. However, all bonds or series must be paid off completely within 40 years from their issuance date.

This law specifies that the district board decides the value of bonds, which must be between $100 and $1,000. The bonds will be paid back on a specified date and place with an interest rate not exceeding 8% per year. After the first year, this interest is paid every six months.

This law specifies that bonds must be signed by the chairman of the district board and the district's auditor, with the district's seal on them. The interest coupons attached to the bonds are to be numbered and signed by the auditor. These signatures can be mechanically produced except one signature on the bonds must be done by hand. The district's auditor is the county auditor where the district is located.

This law states that if an officer's signature is on a bond and they leave their position before the bond is delivered to the buyer, the signature is still valid as if the officer had stayed in their role until the bond was delivered.

This law section explains how a board can issue and sell bonds of a district. Bonds must be sold at or above their face value, and the money earned goes into the county treasury. Before the sale, a public notice must be given at least 10 days in advance, inviting sealed bids. If suitable bids are received, the bonds are sold to the highest responsible bidder. If no acceptable bids are made, the board can reject all bids and either try again with a new advertisement or sell the bonds privately.

Any extra money from selling the bonds, like premiums and interest, should go into a fund for paying off the bond's principal and interest. Remaining proceeds go into a district construction fund, and all transactions should be recorded in the treasurer's books.

Funds designated for construction must be used only for the specific purposes outlined when the bond election was called. Payments from these funds must be handled in the same way as county fund payments, requiring approval and auditing by the district board.

Once the goals outlined in the bond election resolution are achieved, any leftover money from the construction fund must be moved to a fund dedicated to paying off the bond's principal and interest.

If a vote to issue bonds fails because it doesn't get enough support, the district board has to wait six months before trying again. After that time, they can organize another election to propose the same idea or something else for the district.

If a district has already issued bonds and used up the proceeds, the district board can decide, with a four-fifths majority vote, that it needs to issue more bonds to support the district's projects. They have to make a report and ask the voters to approve the new bonds, following the same process as the original bond issue. All rules about issuing, selling, and spending bond proceeds apply to these additional bonds, just like the first time.

This section states that bonds and their interest will be paid through an annual property tax on all real estate within the district. The real estate in the district will continue to be subject to these taxes until the bonds are paid off. Additionally, the bonds and their interest will not be taxed in this state.

This law section explains how bonds can be issued by a district once voters have approved them. It states that no debt is considered contracted until the bonds are sold and delivered, and only up to the amount of those sold. Additionally, the district's board of directors can choose to split the total amount of authorized bonds into multiple parts, with each part having different dates for payment. These divisions or series can have separate payment schedules from each other.

This law section allows bonds to have a payment date that comes after the due date for collecting the second installment of district taxes. When this happens, the first interest payments (or coupons) will cover interest from the bond issue date to when the interest is due.

If voters approve the issuance of bonds in an election, the board can start a special legal process in the county's superior court to confirm their right to issue these bonds and check if they're legally valid. This process is similar to what's done for irrigation bonds under existing Irrigation District Law. The resulting court decision holds the same weight as it would for irrigation bonds.