SECTIONS 50760-50762 - California Statutes

GOVERNMENT CODE

SECTION 50760-50762

50760. The board shall fix the rental rates, fees and all other
charges to be made for all facilities furnished, acquired,
constructed or completed under this chapter for the use thereof by
any persons utilizing such facilities. Subject to such contractual
obligations as may be entered into by the board and the holders of
the revenue bonds issued under this chapter, the board is authorized
to change such rental rates, charges and fees from time to time as
conditions warrant. All rental rates, fees and charges shall be at
all times fixed to yield annual revenue equal to annual operating and
maintenance expenses including insurance costs and all redemption
payments and interest charges on the revenue bonds at any time issued
and outstanding in connection with the project of which such
facilities are a part as the same become due. The bond redemption and
interest payments shall constitute a first, direct and exclusive
charge and lien on all such rentals, fees and charges and other
revenues and interest thereon and sinking funds created therefrom
received from the use and operation of the project for the
acquisition, construction or completion of which such revenue bonds
were issued, and all such rentals, fees and charges and other
revenues, together with the interest thereon shall constitute a trust
fund for the security and payment of such bonds and shall not be
used or pledged for any other purpose so long as such bonds, or any
of them, are outstanding and unpaid. The board may provide that the
rental rates, fees and charges established are minimum rental rates,
fees and charges and subject to increase or decrease in accordance
only with the terms of the indenture under which the revenue bonds
were issued.

50761. The board may lease concessions for a period of time not
exceeding 10 years as may be agreed upon by the contracting parties
with or without advertising for bids.

50762. Every contract entered into by the board for the use of any
project or part thereof, acquired, constructed or completed from the
proceeds of the sale of revenue bonds shall incorporate by reference
the provisions of any indenture pursuant to which the bonds were
issued. Every such contract or lease shall also refer to the
provisions of this chapter with respect to the obligation of the
board to fix rental fees and charges to meet the payments provided
for in this chapter and in the proceedings for the issuance of
revenue bonds and all payments required to be made to the board under
such contract shall be subject to increase if and when the board is
required to increase rates or charges to meet its obligations
hereunder and under any indenture providing for the issuance of
bonds.