21-137.2 - Payment of interest on serial bonds; no sinking fund required; tax levy; use of excess revenues. - Virginia Statutes

§ 21-137.2. Payment of interest on serial bonds; no sinking fund required;tax levy; use of excess revenues.

When serial bonds have been issued, the net revenue derived from theoperation of such systems shall be applied to pay the interest on and theprincipal of such serial bonds as the same become due, but no sinking fundshall be required in respect of serial bonds.

The board shall, if necessary, levy an annual tax upon all property in suchsanitary district, subject to local taxation, to pay such principal andinterest as shall annually become due for payment. In the event net revenueexceeds the annual principal and interest due thereon, the board may use suchnet revenue for extensions and additions to the system, purchase andretirement of outstanding bonds of the district, or for any other lawfulpurpose consistent therewith.

(1972, c. 236.)