us-nm/stat
NMSA 1978, § 7-19-17 — Issuance of bonds; purposes
A.
If the ordinance imposing the supplemental municipal gross receipts tax is
approved as provided in Subsection E of Section 7-19-12 NMSA 1978, the governing
body of a municipality may issue bonds pursuant to the Supplemental Municipal Gross
Receipts Tax Act in an amount not to exceed nine million dollars ($9,000,000). The
supplemental municipal gross receipts bonds shall be issued for the purpose of
constructing and equipping and otherwise acquiring a municipal water supply system,
including the purchase of water rights and easements, equipment and professional fees
related thereto, to be paid back from the proceeds of the supplemental municipal gross
receipts tax imposed.
B.
Supplemental municipal gross receipts bonds shall be issued and sold as
provided in the Supplemental Municipal Gross Receipts Tax Act. The governing body of
the municipality shall determine at its discretion the terms, covenants and conditions of
the supplemental municipal gross receipts bonds, including but not limited to, date of
issuance, denomination, maturity, coupon rates, call features, premium, registration,
refundability and other matters covering the general and technical aspects of their
issuance. These bonds may be either serial or term and may be sold by the governing
body of the municipality at the time and in the manner as the governing body may elect,
at either public or private sale. The supplemental municipal gross receipts bonds shall
not be considered or held to be general obligations of the municipality issuing them and
are payable solely from the revenue accruing from the revenue of the supplemental
municipal gross receipts tax. The ordinance authorizing the tax shall be irrepealable
until these bonds are fully paid.
Source: official text