                                 CODE OF VIRGINIA

RESOLUTIONS MAY BE PART OF CONTRACT WITH BONDHOLDERS (§ 21-274)

Any resolutions of the commission authorizing any bonds may contain provisions,
which shall be a part of the contract with the several holders of such bonds and
accordingly subject to amendment by mutual agreement of the commission and the
holders of all of such bonds, as to:

1. Pledging, setting aside, depositing or trusteeing any or all revenues or
funds of the commission to secure the payment of the principal of or interest on
such bonds or other bonds of the commission or the payment of expenses of
construction, operation or maintenance of the sewage disposal system, including
provisions giving priority, notwithstanding any provision or rule of law
otherwise to the contrary, to the obligation to perform such contractual
provisions to secure payment of such principal or interest over any or all other
obligations and liabilities of the commission;

2. Payment of the principal of or interest on such bonds or other bonds of the
commission, and the sources and methods thereof;

3. The fees, rents and other charges to be established and collected by the
commission, the collection and enforcement of the same, and the use, disposition
and application of the amounts collected;

4. The setting aside of reserves and sinking funds and the source, regulation,
application and disposition thereof;

5. The determination or definition of the revenues and income of the commission
and of the expenses of operation and maintenance of the sewage disposal system;

6. The use, regulation, operation, maintenance, insurance and disposition of the
sewage disposal facilities and other property of the commission;

7. Restrictions on the power of the commission to limit and regulate the use of
the sewage disposal system, facilities and other property of the commission;

8. Limitations on the purposes to which the proceeds of such bonds or other
bonds of the commission may be applied;

9. The construction and completion of all or any part of the sewage disposal
system or any facilities of the commission;

10. Limitations on the issuance of additional bonds or on the indebtedness of
the commission;

11. The procedure, if any, by which the terms of any contract with the holders
of such bonds may be amended or abrogated, the amount of bonds the holders of
which must consent thereto, and the manner in which such consent may be given or
evidenced;

12. Payment of costs or expenses incident to the enforcement of such bonds or of
the provisions of such resolution or of any contract with the holders of such
bonds, in accordance with this article; or

13. Any other matter which the commission shall determine to be necessary in
order to carry out and effectuate the purposes of the commission.

HISTORY: 1946, p. 357; Michie Suppl. 1946, § 1560iii8.