§ 9521 Refunding Bond Proceeds Use

• •Money from refunding bonds goes into a special state account for the drainage district.
• •This money can only be used for the specific reasons the bonds were created for.
• •The money is kept in a fund tied to the original assessment that led to the bonds.

A town issues new bonds to pay off old debt for fixing flood problems.

The money from these new bonds must go into a special account and can only be used to fix the flood issues, not for anything else like building a new park.