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HomeGovernment CodeDiv. 2Pt. 1Ch. 3Art. 4§ 53503 Bond Revenue Use Covenants

§ 53503 Bond Revenue Use Covenants

Government Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 53503 Bond Revenue Use Covenants

Key Takeaways

  • •The government can make rules about how money from bonds is used.
  • •They can decide how to take care of the place or thing the bond money is for.
  • •They can set prices for services or products from that place or thing.
  • •They can create special funds to pay back the bond money.

Example

A city builds a new water park using money from bonds.

The city can make rules about how the bond money is spent, like only using it for building the water park. They can also decide how much to charge people to enter the water park and set aside some money to pay back the bonds.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 53503 Bond Revenue Use Covenants

In connection with such pledge the legislative body may provide in such ordinance, resolution, order or indenture such covenants, promises, restrictions and provisions as it may deem necessary or desirable including, but not limited to, covenants, promises, restrictions and provisions relating to the use of bond proceeds, the maintenance, operation and preservation of such facility, the rates and charges to be established and collected for the services or products furnished or provided by such facility, the incurring of additional indebtedness payable from such revenues, and the establishment, maintenance and use of reserve funds, sinking funds, interest and redemption funds, maintenance and operation funds and other special funds for the payment or security of the bonds and the interest thereon. In connection with such pledge and in connection with such covenants, promises, restrictions and provisions the legislative body shall have, but shall not be limited to, the powers specified in the Revenue Bond Law of 1941 (Chapter 6 of this part). (Added by Stats. 1961, Ch. 1157.)

Last verified: January 22, 2026

Key Terms

agreementresolutionordinancefacilitycovenantconnectionmaintenancehow the

Related Statutes

  • § 31484.9 County Deputy Sheriff Retirement
  • § 31485.9 Equal Retirement Benefits Rule
  • § 31631 Employee Retirement Contribution Rules
  • § 31694 Public Employee Benefits Trust
  • § 31694.3 County Trust For Benefits

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Government Code. Section 53503.
View Official Source