This text of Louisiana § 40:2325 (Redemption of bonds) is published on Counsel Stack Legal Research, covering Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
§2325. Redemption of bonds
A.Each political subdivision that applies for a grant offer from the
Federal Water Quality Administration and qualifies for federal aid and
assistance under the provisions of Title 33 of Section 1251, et seq. of the
United States Code Annotated, may also apply in accordance with the rules
and regulations established by the Louisiana Department of Health for state
participation in the cost of such water quality control project. The application
for state participation in the cost of each project must be accompanied by a
certificate of the chief executive officer of the political subdivision that said
political subdivision has obligated itself to levy and collect fees or charges as
hereinafter provided, sufficient to produce in each year revenues at least equal
to
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§2325. Redemption of bonds
A. Each political subdivision that applies for a grant offer from the
Federal Water Quality Administration and qualifies for federal aid and
assistance under the provisions of Title 33 of Section 1251, et seq. of the
United States Code Annotated, may also apply in accordance with the rules
and regulations established by the Louisiana Department of Health for state
participation in the cost of such water quality control project. The application
for state participation in the cost of each project must be accompanied by a
certificate of the chief executive officer of the political subdivision that said
political subdivision has obligated itself to levy and collect fees or charges as
hereinafter provided, sufficient to produce in each year revenues at least equal
to 125% of the maximum annual amount required to meet the debt service
requirements on any bonds to be issued by the State Bond Commission for the
purpose of paying the cost of the state's participation in that particular water
quality control project. Said fees or charges to be levied and collected by the
political subdivision at the same time and in the same manner as other fees or
charges are levied and collected for water services or sewer services furnished
to its customers or may be any other type of levy or charge that it is authorized
to levy and collect under the constitution and laws of this state for such
purpose. The moneys collected by each political subdivision for such purpose
shall, after deducting therefrom the cost of administration and collection,
which shall be five percent of the gross charge, be remitted to the state
treasurer who shall deposit said moneys in a special fund designated
"Louisiana Water Quality Control Bond Redemption Fund" to the credit of that
political subdivision for the payment of bonds issued by the State Bond
Commission to finance the cost of the water quality control project for that
political subdivision. Any fee or charge levied by the political subdivision
pursuant to this Chapter shall not be decreased or discontinued so long as any
bonds issued by the State Bond Commission for the purpose of paying the cost
of state participation in that political subdivision's project remain outstanding
and unpaid. Upon retirement of the bonds issued for the purpose of state
participation in a particular project, any surplus moneys remaining in the said
Bond Redemption Fund to the credit of the political subdivision shall be
refunded to the political subdivision. The charge levied by the political
subdivision shall be known as the "Water Quality Control Charge" and shall
be billed and collected monthly, bimonthly or quarterly by the governing
authority of the political subdivision providing the sewerage collection and/or
treatment facilities and/or any agency, board or commission of the political
subdivision responsible for furnishing water to the sewer customers of the
political subdivision. All of the funds derived from the collection of said fees
or charges less the cost of collection shall be remitted to the state treasurer and
placed in the said bond redemption fund to meet maturing principal and/or
interest on the bonds issued to finance the cost of state participation in the
political subdivision's project.
B. The moneys so paid into the bond redemption fund by each political
subdivision shall be dedicated solely to the payment and redemption of the
bonds issued by the State Bond Commission for the purpose of participating
in the cost of the water quality control project for that particular subdivision;
provided, that if there are surplus funds on deposit in said fund to the credit of
the political subdivision, then, upon request by the political subdivision, the
state treasurer may make cash expenditures therefrom for such projects to the
extent that moneys are available therefor in any fiscal year after there have
been set aside sufficient funds to meet the principal and interest requirements
falling due in the ensuing fiscal year on outstanding bonds which have been
issued to finance the cost of prior projects of the political subdivision.