§ 703-16. Indebtedness

(a)(1) The District may incur indebtedness for public improvements and other purposes as provided by 24 V.S.A. chapter 53, subchapter 1. The limits on indebtedness in chapter 53 or otherwise shall not apply to indebtedness incurred or assumed by the District.

(2) Obligations incurred under subchapter 1 or as otherwise authorized in this act by the District, except obligations incurred under 24 V.S.A. chapter 53, subchapter 2, shall be the joint and several obligations of the District and the member towns composing it. However, as among such member towns, their respective shares of such obligation shall be apportioned and paid in the manner provided in this chapter. Any joint or several liability incurred by a member town under the provisions of this act shall not be considered in determining its debt limit for its own separate purposes. Bonds or other evidences of indebtedness of the District may be authorized for public improvements by a majority of the voters present and voting on the question at a District meeting, may be paid in not more than 40 years from their date of issue, may be made callable at the option of the District with or without premium and the serial maturities of such bonds or evidences of indebtedness may be so arranged that beginning with the first year in which principal is payable, the amount of principal and interest payable in any year shall be as nearly equal as is practicable according to the denominations in which such bonds or other evidences of indebtedness are issued. Interest up to and for not more than one year after commencement of regular operation of public improvements may be paid from obligations issued to finance such public improvements.

(b) The District may also issue bonds or other evidences of indebtedness pursuant to 24 V.S.A. chapter 53, subchapter 2, and any amendment thereof or addition thereto, and bonds payable solely from revenues may be issued while the District has outstanding other bonds or evidences of indebtedness for which the District and the member towns are jointly and severally liable as hereinbefore provided. (Added 1971, No. 135, § 16; amended 1971, No. 266 (Adj. Sess.), § 7.)