SECTIONS 22550-22561 - California Statutes

WATER CODE

SECTION 22550-22561

22550. The provisions of this article apply only to leases made
pursuant to it.

22551. Whenever a district in the development of its works has the
opportunity without increased expenditure to lease for mechanical
purposes not inconsistent with the district's purposes the use of
water controlled by it, it may do so.

22552. Whenever the board desires to lease the use of water it
shall pass a resolution of intention to do so.

22553. Immediately after the passage of the resolution the
secretary shall give notice of the intention, by publication for at
least 20 days in one newspaper published in each affected county if a
newspaper is published in it, and, if not, in any newspaper the
board selects, and if the board thinks proper, in any other
newspapers the board selects.

22554. The notice of intention to lease the use of water shall
state all of the following:
(a) The board will receive sealed proposals for the lease.
(b) The lease will be let to the highest responsible bidder.
(c) The time and place of opening the proposals.

22555. At the time and place appointed the board shall open in
public the proposals to lease the use of water.

22556. As soon after opening the proposals as may be convenient the
board may let the lease in portions or as a whole to the highest
responsible bidder or may reject any or all proposals and readvertise
for proposals.

22557. The rental accruing upon a lease of the use of water may
vary from year to year as specified in the lease and shall be payable
semi-annually on the thirtieth day of December and thirtieth day of
June of each year.

22558. If at any time the rental is not paid on the day fixed, the
amount of the rental due shall be doubled, and if not paid within the
next succeeding 90 days, the lease shall be forfeited to the
district, together with any and all works constructed, owned, used,
or controlled by the lessee.

22559. All money collected on a lease shall be paid into the
district treasury and be apportioned to any funds the board deems
advisable.

22560. Upon the letting of any lease, the board may require the
lessee to execute a bond for the faithful performance of the
covenants of the lease or give such other guaranty of good faith as
in its judgment may be necessary.

22561. The lease may be for a period not exceeding 25 years.