Section 5-11-24 - Dissolution of district. - New Mexico Statutes

5-11-24. Dissolution of district.

A.     The district shall be dissolved by the district board by a resolution of the district board upon a determination that each of the following conditions exist:   

(1)     all improvements owned by the district have been, or provision has been made for all improvements to be, conveyed to the municipality or county in which the district is located;   

(2)     either the district has no outstanding bond obligations or the municipality or county has assumed all of the outstanding bond obligations of the district; and   

(3)     all obligations of the district pursuant to any development agreement with the municipality or county have been satisfied.   

B.     All property in the district that is subject to the lien of district taxes or special levies shall remain subject to the lien for the payment of general obligation bonds and special levy bonds, notwithstanding dissolution of the district. The district shall not be dissolved if any revenue bonds of the district remain outstanding unless an amount of money sufficient, together with investment income thereon, to make all payments due on the revenue bonds either at maturity or prior redemption has been deposited with a trustee or escrow agent and pledged to the payment and redemption of the bonds. The district may continue to operate after dissolution only as needed to collect money and make payments on any outstanding bonds.