SECTIONS 50701-50713 - California Statutes

GOVERNMENT CODE

SECTION 50701-50713

50701. Subject to the provisions of this chapter, the board of a
local agency may undertake and issue revenue bonds to finance the
following public improvements:
(a) The acquisition, construction, maintenance, operation,
improvement and development of public golf courses, marinas, or small
craft harbors, and such facilities and improvements in connection
therewith as in the opinion of the board may be reasonably necessary
to provide for the full, complete and convenient public use of such
golf courses, marinas, or small craft harbors.
(b) The acquisition, construction, maintenance and operation of
facilities for the public convenience in conjunction with any public
golf course, marina, or small craft harbor.
A local agency may not condemn property for the purposes of this
chapter.

50702. Each separate improvement shall be designated as a "project."

50703. If in the opinion of the board, it is advisable that any
project be acquired, constructed or completed, in whole or in part,
it shall cause a report thereon to be made by any appropriate officer
or officers of the local agency, which shall include:
(a) An estimate of the probable cost of the acquisition,
construction and completion, including all incidental expenses,
engineering, legal and administrative during the construction;
(b) An estimate of probable sources of income and the amount
thereof;
(c) An estimate of the cost of maintenance and for the operation
upon completion, including the cost of all repairs, administrative
and overhead charges.
The expense of the preparation of the report shall be a local
agency charge and shall be paid by the board out of any funds of the
local agency available therefor.

50704. If the report is approved by the board, the board may adopt
a resolution declaring that the public interest and necessity demand
the acquisition, construction or completion of the project or of a
designated part thereof, the purpose, nature and extent of which
shall be described in general terms, and authorizing such
acquisition, construction or completion. The board may thereupon
authorize the issuance of revenue bonds for the purpose of obtaining
funds in an amount estimated by the board to be sufficient for such
project or part thereof.

50705. The board has full charge of the acquisition, construction
and completion of all projects authorized by it and may proceed with
such work subject to the availability of funds therefor.

50706. The board may institute any proceedings and acquire all real
property necessary therefor on such terms and conditions as it deems
advisable.
Whenever the cost of construction of any project or the cost of
any repairs thereto shall exceed two thousand five hundred dollars
($2,500), such work shall be done by contract, and any contract
therefor shall be void unless the same shall be let in the manner
provided by Sections 25451 to 25455, inclusive in the case of a
county, and Sections 37903 to 37907, inclusive, and Sections 37931 to
37935, inclusive, in the case of a city.

50706.5. It is unlawful to split or separate into smaller work
orders or projects any project undertaken pursuant to this chapter
for the purpose of evading any provisions of this chapter which
require such work to be done by contract after competitive bidding.
Every person who wilfully violates the provisions of this section is
guilty of a misdemeanor.

50707. Title to all property acquired under this chapter and the
revenue and income therefrom shall be in the name of the local
agency. The title to such property and the revenue and income
therefrom including any miscellaneous revenues, sinking funds,
reserve funds and other such funds and the income therefrom pledged
to the payment of and interest of any bonds issued hereunder is
subject to the trusts created by this chapter in favor of the
bondholders. All such property and the income therefrom is exempt
from all taxation by the State or by the county or by any city and
county, city, municipality, district, political subdivision or public
corporation thereof. The management, operation and control of all
improvements acquired, constructed or completed by the board under
this chapter shall be fixed in the board and the powers, rights,
functions and duties of the board with respect thereto shall not be
impaired or interfered with.

50708. So long as any bonds issued are outstanding and unpaid, the
operation, maintenance, control, repair, construction, alteration and
improvement of any project acquired, constructed or completed under
this chapter is vested in the board.

50709. The board may only use for the payment of the acquisition,
construction, completion, maintenance, or insurance of any project
undertaken under the authority of this chapter, the proceeds of
revenue bonds issued and sold by the board, or the revenues from such
project.

50710. The board may insure against any accident to or destruction
of any project or any part thereof. Any money collected on such
insurance shall be used for the purpose of repairing or rebuilding
the project damaged, injured or destroyed or for the retirement of
any revenue bonds issued in connection therewith which may be
outstanding or unredeemed, as may be agreed upon by the board in the
indenture authorizing the issuance of the bonds.

50711. The board may insure against loss of revenue from any cause
whatever and the proceeds of such insurance shall be used solely for
the payment of the bonds and interest thereon.

50712. The board may insure against public liability or property
damage in connection with any project. It may provide in the
proceedings authorizing the issuance of any revenue bonds for the
carrying of such or any other insurance in such amount and of such
character as may be specified and for the payment of the premiums
thereon.

50713. This chapter provides an alternative procedure to that
otherwise provided by law for undertaking the improvements authorized
herein and shall not operate to limit or control the authority of
the board to undertake the same improvements in any other manner
authorized by law.