SECTIONS 54460-54478 - California Statutes

GOVERNMENT CODE

SECTION 54460-54478

54460. In the resolution authorizing the bonds, the legislative
body may insert any of the provisions authorized by this article,
which shall become a part of the contract with the bond holders.

54461. The legislative body may provide limitations on:
(a) The purpose to which the proceeds of sale of any issue of
bonds may be applied.
(b) The issuance of additional bonds for the same purpose and on
the lien of additional bonds.
(c) The right of the local agency to restrict and regulate the use
of the enterprise.

54462. The legislative body may provide for the amount and kind of
insurance on the enterprise including insurance against:
(a) Accident to or destruction of any enterprise from any or all
risks.
(b) Loss of revenues from an enterprise.
(c) Public liability or property damage and workmen's
compensation.

54463. It may provide for other insurance carried by private
companies on property or risks on the same or similar enterprises.

54464. The legislative body may provide for the use and disposition
of insurance money.

54465. Without limiting the authority granted, the legislative body
may specifically provide that money collected from insurance against
accident to or destruction of the physical enterprise shall be used
for repairing or rebuilding the damaged or destroyed enterprise. The
legislative body may provide that if the money is not so applied
within a period specified by the local agency, it shall be applied to
the retirement of any outstanding and unredeemed bonds issued for
the enterprise.

54466. The legislative body may also specifically provide that the
proceeds of insurance against loss of revenue shall be used solely
for the payment and retirement of the bonds issued for acquisition,
construction, or improvement of the enterprise.

54467. The legislative body may insert in the resolution covenants
against the mortgaging or otherwise encumbering, selling, leasing,
pledging, placing any charge upon, or disposing of the enterprise or
any of its revenues or any other funds pledged or otherwise made
available to secure payment of the principal of and interest on the
bonds.

54468. It may insert covenants against the entering into any
agreement which impairs the operation of the enterprise or any part
of it necessary to secure adequate revenues to pay the principal and
interest of the bonds or which otherwise would impair the rights of
the bondholders with respect to the revenues or the operation of the
enterprise.

54469. The legislative body may provide for events of default and
terms upon which the bonds may be declared due before maturity and
the terms upon which the declaration and its consequences may be
waived.

54470. The legislative body may provide for the rights,
liabilities, powers, and duties arising upon the local agency's
breach of any covenants, conditions, or obligations.

54471. The legislative body may provide for the vesting in a
trustee of the right to enforce covenants to secure payment of or in
relation to the bonds and the trustee's powers, duties, and the
limitation of his liabilities.

54472. The legislative body may provide for the terms upon which
the bondholders or any percentage of them may enforce covenants or
duties imposed by this chapter.

54473. The legislative body may provide in the resolution for a
procedure for amending or abrogating the terms of the resolution with
the consent of the holders of a specified number of the bonds.

54474. Any resolution containing such a procedure may also provide
for meetings of bondholders or for their written assent without a
meeting and the manner of consenting, with or without a meeting.

54475. The resolution shall specifically state the effect of
amendment upon the rights of the holders of all of the bonds and
attached or detached interest coupons and shall be binding upon the
holders of all of the bonds and coupons issued pursuant to the
resolution.

54476. The legislative body may provide for the purchase out of any
available funds of any outstanding notes, bonds, or other
obligations, and the price at which, and the manner in which, the
purchases may be made.

54477. The legislative body may provide for any other acts and
things necessary, convenient, or desirable to secure the bonds or
tending to make them more marketable.

54478. Except as hereinafter provided in this section, this chapter
does not authorize any local agency to make any covenants, to
perform any act, or to do anything which requires expending any funds
other than revenues received or receivable from the enterprise and
such other funds from any source as are legally available for such
purpose and may be used by the local agency for such purpose without
incurring indebtedness. Notwithstanding any other provision of this
chapter, (a) a local agency may pledge, place a charge upon,
contribute, or otherwise make available, as additional security for
the payment of any bonds issued pursuant to this chapter for the
purpose of providing funds for the acquisition, construction,
improving or financing of public parking lots, garages, or other
automotive parking facilities, any or all revenues or funds derived
from any or all street parking meters then owned or controlled or
thereafter acquired or controlled by such local agency; and (b) a
local agency may also pledge, place a charge upon, or otherwise make
available, as additional security for the payment of any bonds issued
pursuant to this chapter any funds, including contributions, from
any source which the local agency may legally apply to such purpose,
excepting, however, any and all proceeds of taxation.