Ruston Daily Leader
May 8, 2026
The following resolution was offered by John Sutton and seconded by Paula Griswold:
RESOLUTION
A resolution authorizing the issuance of Taxable Water Revenue Bonds (LDH), Series 2026, in an amount not to exceed Two Million One Hundred Fifty Thousand Dollars ($2,150,000) by Greater Ward One Waterworks District, Lincoln Parish, Louisiana; prescribing the form, terms and conditions of said Bonds; providing for the payment thereof; entering into certain other covenants and agreements in connection with the security and payment of said Bonds; authorizing the execution of a Loan and Pledge Agreement and other loan documents with the Louisiana Department of Health; providing for the delivery of the Bonds to said Department; and providing for other matters in connection therewith.
WHEREAS, Greater Ward One Waterworks District, Lincoln Parish, Louisiana (the "District"), now owns and operates a waterworks system (the "System") as a revenue-producing work of public improvement, and proposes to construct and acquire improvements, extensions, renovations and replacements to the System, including appurtenant equipment, fixtures, accessories and properties, both personal and real, a work of public improvement for the District (the "Project"); and
WHEREAS, the Board of Waterworks Commissioners of Greater Ward One Waterworks District, Lincoln Parish, Louisiana (the "Governing Authority"), acting as the governing authority of the District, proposes that bonds be issued by the District for the purpose of paying a portion of the costs of the Project, in the manner prescribed by and under the authority of Section 1430 of Title 39 of the Louisiana Revised Statutes of 1950, as amended, and other constitutional and statutory authority (the "Act"), to be payable solely from the income and revenues derived or to be derived from the operation of the System, after provision has been made for payment therefrom of all reasonable and necessary expenses of operating and maintaining the System (the "Net Revenues"); and
WHEREAS, it is now the wish of the District to authorize the issuance of its Taxable Water Revenue Bonds (LDH), Series 2026, in an amount not to exceed Two Million One Hundred Fifty Thousand Dollars ($2,150,000) (the "Bonds") in accordance with the terms and provisions of the Act and for the purposes set forth above; and
WHEREAS, the District has no outstanding indebtedness payable from a pledge of the Net Revenues EXCEPT its outstanding Water Revenue Bonds, Series 2005 (the "Outstanding Parity Bonds"); and
WHEREAS, the District has determined that all the terms and conditions required for the issuance of the Bonds on a parity with the Outstanding Parity Bonds have been or will be complied with, or otherwise waived or consented to by the owners of the Outstanding Parity Bonds, prior to the delivery of the Bonds, and it is the express desire and intention of the District that the Bonds be issued on a complete parity with the Outstanding Parity Bonds; and
WHEREAS, the United States of America, pursuant to the Safe Drinking Water Act Amendments of 1996, specifically Section 300j-12 of Title 42 of the United States Code (the "Federal Act"), is authorized to make capitalization grants to states to be used for the purpose of providing loans or loan guarantees, or as a source of reserve and security for leveraged loans, the proceeds of which are deposited in a state revolving fund, or to provide other financial assistance authorized under the Federal Act to community water systems and nonprofit non-community water systems, other than systems owned by Federal agencies; and
WHEREAS, the State of Louisiana (the "State"), pursuant to Chapter 32 of Title 40 of the Louisiana Revised Statutes of 1950, as amended (La. R.S. 40:2821, et seq.) (the "State Act"), has established a Drinking Water Revolving Loan Fund (the "State Loan Fund") in the custody of the Louisiana Department of Health (the "Department") to be used for the purpose of providing financial assistance for the improvement of public drinking water systems in the State, as more fully described in Section 2825(A)(2) of the State Act, and has authorized the Department's Office of Public Health to establish assistance priorities and perform oversight and other related activities with respect to the State Loan Fund; and
WHEREAS, the District has made application to the Department for a loan from the State Loan Fund to finance a portion of the costs of the Project, and the Department has approved the District's application for such loan; and
WHEREAS, the Bonds will be issued to represent the District's obligation to repay the loan from the State Loan Fund; and
WHEREAS, the District desires to fix the details necessary with respect to the issuance, sale and delivery of the Bond, and to provide for the authorization and issuance thereof, as hereinafter provided;
NOW, THEREFORE, BE IT RESOLVED by the Board of Waterworks Commissioners of Greater Ward One Waterworks District, Lincoln Parish, Louisiana, acting as the governing authority of the District, that:
SECTION 1. Definitions. As used herein, the following terms shall have the following meanings, unless the context otherwise requires:
"Act" means Section 1430 of Title 39 of the Louisiana Revised Statutes of 1950, as amended, and other constitutional and statutory authority.
"Additional Parity Bonds" means any pari passu additional bonds that may hereafter be issued pursuant to Section 19 hereof on a parity with the Bonds and the Outstanding Parity Bonds.
"Administrative Fee" means the annual fee equal to one-half of one percent (0.50%) per annum of the outstanding principal amount of the Bonds, or such lesser amount as the Department may approve from time to time, which shall be payable each year in semi-annual installments on each Interest Payment Date.
"Authorized Officers" means, collectively, the President and the Secretary of the Governing Authority, or such other person or persons authorized pursuant to a resolution of the Governing Authority to act as an authorized officer of the District to perform any act or execute any document relating to the Loan, the Bonds or the Loan Agreement.
"Bond" or "Bonds" means the District's Taxable Water Revenue Bonds (LDH), Series 2026, issued by this Bond Resolution in the total aggregate principal amount of not exceeding Two Million One Hundred Fifty Thousand Dollars ($2,150,000), and any bond of said issue, whether initially delivered or issued in exchange for, upon transfer of, or in lieu of any previously issued Bond.
"Bond Register" means the registration books of the Paying Agent, in which registration of the Bonds and transfers of the Bonds shall be made as provided herein.
"Bond Resolution" means this resolution authorizing the issuance of the Bonds.
"Bond Year" means the one-year period ending on each Principal Payment Date.
"Business Day" means a day of the year on which banks located in the City of New Orleans are not required or authorized to remain closed and on which the New York Stock Exchange is not closed.
"Completion Date" means the earlier of (i) the date of the final disbursement of the purchase price of the Bonds to the District, or (ii) the date the operation of the Project is initiated or capable of being initiated, as certified by an Authorized Officer in accordance with the Loan Agreement.
"Consulting Engineer" means a regionally known consulting engineer or firm of consulting engineers with skill and experience in the construction and operation of publicly owned drinking water and wastewater disposal systems.
"Department" means the Louisiana Department of Health, an executive department and agency of the State, and any successor to the duties and functions thereof with respect to the State Loan Fund.
"District" means Greater Ward One Waterworks District, Lincoln Parish, Louisiana, a political subdivision of the State of Louisiana, and its successors or assigns.
"Fiscal Year" means the District's one-year accounting period determined from time to time by the Governing Authority as the fiscal year of the District, currently being the year ending each December 31.
"Governing Authority" means the Board of Waterworks Commissioners of Greater Ward One Waterworks District, Lincoln Parish, Louisiana.
"Government Securities" means direct obligations of, or obligations the timely payment of the principal of and interest on which are fully and unconditionally guaranteed by the United States of America, which are non-callable prior to their maturity and may be United States Treasury Obligations such as the State and Local Government Series and may be in book entry form.
"Interest Payment Date" means each June 1 and December 1, commencing on the first such date to occur following the delivery of the Bonds, unless otherwise provided in the Loan Agreement.
"Loan" means the loan made by the Department from the Drinking Water Revolving Loan Fund to the District pursuant to the Loan Agreement, the obligation to repay which Loan is evidenced by the Bonds.
"Loan Agreement" means the Loan and Pledge Agreement to be entered into by and between the Department and the District prior to the delivery of the Bonds, in substantially the form presently on file with the Governing Authority, which will contain certain additional agreements relating to the Bonds and the Project, as it may be supplemented or amended from time to time in accordance with the provisions thereof.
"Net Revenues" means the income and revenues to be derived from the operation of the System, after provision has been made for payment therefrom of the reasonable and necessary expenses of operating and maintaining the System.
"Outstanding" when used with respect to Bonds means, as of the date of determination, all Bonds theretofore issued and delivered under this Bond Resolution, except:
(a) Bonds theretofore canceled by the Paying Agent or delivered to the Paying Agent for cancellation;
(b) Bonds for whose payment or prepayment sufficient funds have been theretofore deposited in trust for the Owners of such Bonds as provided in Section 277 herein provided that, if such Bonds are to be prepaid, irrevocable notice of such prepayment has been duly given or provided for pursuant to this Bond Resolution, to the satisfaction of the Paying Agent, or waived;
(c) Bonds in exchange for or in lieu of which other Bonds have been registered and delivered pursuant to this Bond Resolution; and
(d) Bonds alleged to have been mutilated, destroyed, lost or stolen which have been paid as provided in this Bond Resolution.
"Outstanding Parity Bonds" means, collectively, the District's outstanding Water Revenue Bonds, Series 2005.
"Outstanding Parity Bond Resolution" means the resolutions adopted by the Governing Authority authorizing the issuance of the Outstanding Parity Bonds.
"Owner" or "Owners" when used with respect to any Bond means the Person in whose name such Bond is registered in the Bond Register.
"Paying Agent" means the Secretary of the Governing Authority, unless and until a successor Paying Agent shall have assumed such responsibilities pursuant to this Bond Resolution.
"Person" means any individual, corporation, partnership, joint venture, association, joint stock company, trust, unincorporated organization, or government or any agency or political subdivision thereof.
"Principal Payment Date" unless otherwise provided in the Loan Agreement, means each June 1, commencing not later than one year after the Completion Date, provided that in no event shall the final maturity of the Bonds be more than thirty (30) years from the date of the Bonds.
"Project" means, collectively, one or more public works projects of the District to construct and acquire improvements, extensions, renovations and replacements to the System, including appurtenant equipment, fixtures, accessories and properties, both personal and real, a work of public improvement for the District, as further described in the Loan Agreement.
"Qualified Investments" means those investments permitted under State law, including but not limited to La. R.S. §33:2955.
"Reserve Fund Requirement" with respect to the Bonds, means as of any date of calculation, a sum equal to one-half of the maximum principal and interest requirements for any succeeding Bond Year on the Bonds. The Reserve Fund Requirement for any issue(s) of Additional Parity Bonds shall be defined in the resolution(s) authorizing the issuance of such Additional Parity Bonds.
"Series 2026 Account" shall have the meaning given such term in Section 15 hereof.
"Series 2005 Sinking Fund" means the sinking fund for the Outstanding Parity Bonds create pursuant to the Outstanding Parity Bond Resolution.
"State" means the State of Louisiana.
"State Loan Fund" means the Drinking Water Revolving Loan Fund established by the State pursuant to Chapter 32 of Title 40 of the Louisiana Revised Statutes of 1950, as amended (La. R.S. 40:2821, et seq.) in the custody of the Department, which is to be used for the purpose of providing financial assistance for the improvement of public drinking water systems in the State, as more fully described in La. R.S. 40:2825(A)(2).
"System" means the drinking water system of the District, as now existing and as constructed, acquired, extended and improved with the proceeds of the Bonds or as said drinking water system shall hereafter be improved, extended or supplemented from any source whatsoever while any of the Bonds remain outstanding, including, specifically, all properties of every nature owned by the District and used or useful in the operation of said drinking water system, including real estate, personal and intangible properties, contracts, franchises, leases and choses in action, whether lying within or without the boundaries of the District.
SECTION 2. Authorization of Bonds. In compliance with and under the authority of the Act, there is hereby authorized the incurring of an indebtedness of not exceeding Two Million One Hundred Fifty Thousand Dollars ($2,150,000), for, on behalf of and in the name of the District, for the purpose of financing the Project and for paying costs of issuance of the Bonds. To represent the said indebtedness, the District does hereby authorize the issuance of its "Taxable Water Revenue Bonds (LDH), Series 2026," in an amount not to exceed Two Million One Hundred Fifty Thousand Dollars ($2,150,000). The Bonds shall be initially issued in the form of a single fully registered Bond numbered R-1, shall be dated the date of delivery thereof and shall be in substantially the form attached hereto as Exhibit A. The Authorized Officers may approve a different series designation if the Bonds are delivered after the end of 2026 or if it is in their sole judgment preferable to do so.
The Bonds shall be payable annually on each Principal Payment Date, and each annual installment shall be due as set forth in the Loan Agreement and the Bond.
The unpaid principal of the Bonds shall bear interest from the date thereof, or the most recent Interest Payment Date to which interest has been paid or duly provided for, at the rate of one and ninety-five hundredths percent (1.95%) per annum, said interest to be calculated on the basis of a 360-day year consisting of twelve 30-day months and payable on each Interest Payment Date. Interest on the Bonds on any Interest Payment Date shall be payable only on the aggregate amount of the purchase price which shall have been paid theretofore to the District and is outstanding and shall accrue with respect to each purchase price installment only from the date of payment of such installment.
In addition to interest at the rate set forth above, at any time that the Department owns the Bonds the District will pay the Administrative Fee to the Department on each Interest Payment Date. In the event (i) the Department owns any Bonds or the Department has pledged or assigned any Bonds in connection with its Drinking Water Revolving Loan Fund and (ii) the Administrative Fee payable by the District to the Department under the terms of the Loan Agreement is declared illegal or unenforceable by a court or an administrative body of competent jurisdiction, the interest rate borne by the Bonds shall be increased by one-half of one percent (0.50%) per annum, effective as of the date declared to be the date from which the Administrative Fee is no longer owed because of such illegality or unenforceability. The Administrative Fee shall be calculated in the same manner as interest on the Bonds.
SECTION 3. Prepayment. The principal installments of the Bonds are subject to prepayment at the option of the District at any time, in whole or in part, at a prepayment price of par plus accrued interest and accrued Administrative Fee, if any, to the prepayment date and in such case the remaining principal of the Bonds shall continue to mature in installments as set forth in the Loan Agreement and the Bond. Official notice of such call for prepayment shall be given by means of first class mail, postage prepaid by notice deposited in the United States Mail not less than thirty (30) days prior to the prepayment date addressed to the Owner of each Bond to be prepaid at his address as shown on the registration records of the Paying Agent. In the event a portion of the Bonds is to be prepaid, such Bonds shall be surrendered to the Paying Agent, who shall note the date and amount of such prepayment in the space provided therefor on the Bonds.
SECTION 4. Security for Payment of Bonds. The Bonds, equally with the Outstanding Parity Bonds, shall be secured and payable in principal and interest exclusively by a pledge of the Net Revenues. The Net Revenues are hereby irrevocably and irrepealably pledged in an amount sufficient for the payment of the Bonds in principal and interest as the installments thereof fall due, and the income and revenues thus pledged shall remain so pledged for the security of the Bonds in principal and interest until they shall have been fully paid and discharged.
This Governing Authority finds and determines that the parity requirements of the Outstanding Parity Bond Resolution have been or will be satisfied and/or waived by the registered owner of the Outstanding Parity Bonds prior to delivery of the Bonds.
SECTION 5. Statutory Lien. As provided in R.S. 39:504, the Bonds shall be secured debt entitled to the highest possible protection and priority afforded by the bankruptcy laws of the United States and the State, and the Owners shall have a statutory lien on and a security interest in the Net Revenues pledged to the payment of the Bonds in this Bond Resolution, to the fullest extent and in the manner stated in the Act and this Bond Resolution, and any pledge or grant of a lien or security interest in such Net Revenues made by the District in connection with the issuance of the Bonds shall be valid, binding and perfected from the time when the pledge or grant of lien or security interest is made. The Net Revenues shall immediately be subject to the lien of such pledge and security interest without any physical delivery therefor or further act and the lien of such pledge and security interest shall be first priority and valid and binding as against all parties having claims of any kind in tort, contract, bankruptcy or otherwise against the District, whether or not such parties have notice thereof. The Owner or Owners of the Bonds shall be secured creditors with respect to such Net Revenues. As provided by R.S. 39:504(D), the statutory lien provided in the Act shall also apply to and secure the Administrative Fee.
SECTION 6. Bond Resolution a Contract. The provisions of this Bond Resolution shall constitute a contract between the District and the Owner or Owners from time to time of the Bonds, and any Owner may either at law or in equity, by suit, action, mandamus or other proceedings, enforce and compel the performance of all duties required to be performed by the District as a result of issuing the Bonds.
Notwithstanding the foregoing, no member of the Governing Authority or any officer or employee of the District, or any person executing the Bonds shall be personally liable on the Bonds.
SECTION 7. Sale and Delivery of Bonds. The Bonds are hereby awarded to and sold to the Department at a price of par plus accrued interest, if any, under the terms and conditions set forth in the Loan Agreement, and after their execution the Bonds shall be delivered to the Department or its agents or assigns, upon receipt by the District of the agreed first advance of the purchase price of the Bonds. Pursuant to R.S. 39:505(B), the District has determined to sell the Bonds at a private sale without necessity of publication of a notice of sale. It is understood that the purchase price of the Bonds will be paid by the Department to the District in installments, and a portion of the principal amount advanced by the Department may be forgiven by the Department, each in the manner and under the terms and conditions set forth in the Loan Agreement.
SECTION 8. Manner of Payment. The principal and interest on the Bonds will be payable by check mailed to the Owner (determined as of the Interest Payment Date) at the address shown on the registration books kept by the Paying Agent for such purpose, provided that payment of the final installment of principal on the Bonds shall be made only upon presentation and surrender of the Bonds to the Paying Agent.
SECTION 9. Execution of Bonds and Documents. The Authorized Officers are each hereby empowered, authorized and directed to do any and all things necessary and incidental to carry out all of the provisions of this Bond Resolution, to execute and deliver the Loan Agreement, and to cause the Bonds to be prepared and/or printed, to issue, execute and seal the Bonds and to effect delivery thereof as hereinafter provided. If facsimile signatures are used on the Bonds, then such signatures shall be registered with the Louisiana Secretary of State in the manner required by La. R.S. 39:244.
In connection with the issuance and sale of the Bonds, the Authorized Officers are each authorized, empowered and directed to execute on behalf of the District such additional documents, certificates and instruments as they may deem necessary, upon the advice of counsel, to effect the transactions contemplated by this Bond Resolution, including a Commitment Agreement with the Department. The signatures of said officers on such documents, certificates and instruments shall be conclusive evidence of the due exercise of the authority granted hereunder
SECTION 10. Registration. The District shall cause the Bond Register to be kept at the principal office of the Paying Agent in which registration of the Bonds and transfers of the Bonds shall be made as provided herein. The Bonds may be transferred, registered and assigned only on the Bond Register, and such registration shall be at the expense of the District. The Bonds may be assigned by the execution of an assignment form on the Bonds or by other instruments of transfer and assignment acceptable to the Paying Agent. A new Bond will be delivered by the Paying Agent to the last assignee (the new Owner) in exchange for such transferred and assigned Bond after receipt of the Bond to be transferred in proper form.
SECTION 11. Effect of Registration. The District, the Paying Agent, and any agent of either of them may treat the Owner in whose name any Bond is registered as the Owner of such Bond for the purpose of receiving payment of the principal (and redemption price) of and interest on such Bond and for all other purposes whatsoever, and to the extent permitted by law, neither the District, the Paying Agent, nor any agent of either of them shall be affected by notice to the contrary.
SECTION 12. Recital of Regularity. This Governing Authority, having investigated the regularity of the proceedings had in connection with this issue of Bonds, and having determined the same to be regular as provided by La. R.S. 39:507, the Bonds shall contain the following recital, to wit:
"It is certified that this indebtedness is authorized by and is issued in conformity with the requirements of the Constitution and statutes of Louisiana."
SECTION 13. Deposit of Bond Proceeds. The proceeds derived from the sale of the Bonds shall constitute a trust fund to be used exclusively for the purposes for which the Bonds are herein authorized to be issued, but the purchaser of the Bonds shall not be obliged to see to the application thereof. All of the proceeds derived from the sale of the Bonds, which shall be paid in installments by the Department in the manner set forth in the Loan Agreement, shall be deposited by the District in a Construction Fund (the "Construction Fund"). The funds in the Construction Fund shall be used solely for the purpose of paying costs of the Project, in the manner set forth in the Loan Agreement, and costs of issuance of the Bonds.
SECTION 14. Davis-Bacon Wage Rate Requirements. The District agrees that all laborers and mechanics employed by contractors and subcontractors on the portion of the project that is funded in whole or in part with the Bonds purchased by the Department shall be paid wages at rates not less than those prevailing on projects of a character similar in the locality of the District as determined by the Clerk of the United States Department of Labor ("DOL") in accordance with Subchapter IV of Chapter 31 of Title 40, United States Code. DOL provides all pertinent information related to compliance with the foregoing requirements, including prevailing wage rates and instructions for reporting. The District will ensure that all construction contracts relating to the portion of the Project that is funded in whole or in part with Bonds purchased by the Department will require that the contractor comply with the aforesaid wage and reporting requirements. This section shall not apply to situations where the District may perform construction work using its own employees rather than any contractor or subcontractor.
SECTION 15. Flow of Funds. All of the income and revenues derived or to be derived by the District from the operation of the System shall continue to be deposited daily as the same may be collected in the "Waterworks Revenue Fund" (the "Water Revenue Fund"), which fund shall be maintained separate and apart from all other funds of the District but need not be held in a separate bank account. Funds in the Water Revenue Fund shall be expended in the following order of priority and for the following express purposes:
(a) All reasonable and necessary expenses of operating and maintaining the System as are not provided for from any other lawfully available sources shall first be paid from the Water Revenue Fund.
(b) On a pro rata basis to the Series 2005 Sinking Fund the separately identifiable fund designated as the "2026 Waterworks Revenue Bond and Interest Sinking Fund" (the "2026 Sinking Fund"), by transferring from the Water Revenue Fund, monthly in advance on or before the 20th day of each month of each year, (i) to the Series 2005 Sinking Fund, the amounts required pursuant to the Outstanding Parity Bond Resolution, and (ii) to the 2026 Sinking Fund, a sum equal to the principal, interest and Administrative Fee, if any, accruing on the Bonds for such month, together with such additional proportionate monthly sum as may be required to pay said principal, interest and Administrative Fee, if any, as the same become due. The District shall transfer from the Sinking Fund to any paying agent bank or banks for all bonds payable from the said Sinking Fund, or directly to the owners thereof, on or before the Interest Payment Date, funds fully sufficient to pay promptly the principal, interest and Administrative Fee, if any, falling due on such date.
If Additional Parity Bonds are hereafter issued by the District in the manner provided herein, moneys in the 2026 Sinking Fund may be equally available to pay principal, interest and/or Administrative Fee, if any, on such Additional Parity Bonds, and payments into the 2026 Sinking Fund shall be increased as provided in the resolution authorizing the issuance of such Additional Parity Bonds, if so required by the resolution issuing such Additional Parity Bonds.
(c) The District shall establish and maintain of the "2026 Waterworks Reserve Fund" (the "Reserve Fund"), which shall contain separate accounts for each series of the Bonds and any Additional Parity Bonds as may be applicable (each a "Reserve Account"), into which shall be deposited and retained such amount, if any, required by the resolution of the Governing Authority issuing such bonds. The money in each Reserve Account shall be retained solely for the purpose of paying the principal, interest, or Administrative Fee, if any, on the bonds secured by such Reserve Account as to which there would otherwise be a default. Each Reserve Account shall be designated as the "Series ____ Account" as necessary.
There is hereby established the "Series 2026 Account" as a Reserve Account in the Reserve Fund, separate and apart from the moneys held in such Reserve Fund for the security of the Outstanding Parity Bonds; provided, however, that if the Bonds are delivered after the end of 2026, the "Series 2026 Account" shall be renamed to properly identify such Reserve Account. The District shall make monthly deposits into the Series 2026 Account from the Reserve Fund such that an amount equal to the Reserve Fund Requirement is on deposit in the Series 2026 Account within a period not exceeding five (5) years from the date of delivery of the Bonds, and thereafter there shall be maintained in the Series 2026 Account an amount equal to the Reserve Fund Requirement.
If at any time it shall be necessary to use moneys in any Reserve Account for the purpose of paying principal, interest or Administrative Fee, if any, on bonds payable from the Sinking Fund as to which there would otherwise be default, then the moneys so used shall be replaced from the Net Revenues first thereafter received, not hereinabove required to be used for the purpose described above; provided, however, if the District is required to replenish multiple Reserve Accounts, it shall do so on a pro rata basis each month, calculated based on the amount to be deposited in each Reserve Account to fully replenish such account.
(d) The maintenance of the "Short-Lived Assets Fund" (the "Contingency Fund"), heretofore established, to provide for the maintenance and replacement of short-lived assets of the System, by transferring from funds in the Water Revenue Fund after making the payments required by (a), (b) and (c) above to the Contingency Fund monthly on or before the 20th day of each month of each year, a sum equal to five percent (5%) of the Net Revenues for the preceding month, provided that such sum is available after provision is made for the payments required under paragraphs (a), (b) and (c) above. Such payments into the Contingency Fund shall continue until such time as there has been accumulated in the Contingency Fund the sum of Sixty Thousand Dollars ($60,000), whereupon such payments may cease and need be resumed thereafter only if the total amount of money on deposit in said fund is reduced below the sum of Sixty Thousand Dollars ($60,000), in which event such payments shall be resumed and continue until said maximum amount is again accumulated. In addition to caring for maintenance and replacement of short-lived assets of the System, the money in the Contingency Fund may also be used to pay the principal of and the interest on the Bonds for the payment of which there is not sufficient money in the Sinking Fund and/or the appropriate reserve account described in paragraphs (b) and (c) above, but the money in said Contingency Fund shall never be used for the making of improvements and extensions to the System or for payment of principal or interest on Bonds if the use of said money will leave in said Contingency Fund for the making of emergency repairs or replacements less than the sum of Twenty-Five Thousand Dollars ($25,000).
Any moneys remaining in the Water Revenue Fund each month after making the required payments described in (a), (b), (c) and (d) above for the current month and for prior months during which the required payments may not have been made, shall be considered as surplus. Such surplus may be used by the District for any lawful purpose, including retiring Bonds in advance of their maturities, either by purchase of Bonds then outstanding at prices not greater than the prepayment prices of said Bonds, or by redeeming such Bonds at the prices and in the manner set forth in this Bond Resolution.
SECTION 16. Replenishment of Funds. If at any time it shall be necessary to use moneys in any account of any of the reserve accounts or the Assets Fund for the purpose of paying principal of or interest on bonds payable from the Sinking Fund as to which there would otherwise be default, then the moneys so used shall be replaced from the revenues first thereafter received, not hereinabove required to be used for the purposes described in (a) through (c) of Section 15 above. If more than one Reserve Account is required to be replenished, then such replenishment shall be made ratably to each such account in proportion to the remaining amount that is required to be so replenished, provided, however, that the District shall take all reasonable steps to ensure that the funds drawn from any Reserve Account are replenished not later than 24 months following such draw.
SECTION 17. Notification of Deficiencies. As required by La. R.S. 39:510, the District will notify the State Bond Commission, in writing, whenever (i) transfers to any fund required to be established by this Bond Resolution or any resolution authorizing the issuance of indebtedness of the District have not been made timely or (ii) principal, interest, or other payments due on the Bonds or any other outstanding indebtedness of the District have not been made timely.
SECTION 18. Investments. All or any part of the moneys in the Water Revenue Fund and the Sinking Fund shall at the written request of the Governing Authority be invested in Qualified Investments and all of the moneys in the Reserve Fund shall be invested in Government Securities maturing in five (5) years or less, in which event all income derived from such investments shall be added to the Water Revenue Fund, with the exception that any interest earnings from invested funds of the Reserve Fund shall be retained therein until an amount equal to the applicable reserve fund requirement is on deposit therein, and such investments shall, to the extent at any time necessary, be liquidated and the proceeds thereof applied to the purposes for which the respective fund has been created.
SECTION 19. Issuance of Additional Parity Bonds. All of the Bonds shall enjoy complete parity of lien on the revenues of the System despite the fact that any of the Bonds may be delivered at an earlier date than any other of the Bonds. The District shall issue no other bonds or obligations of any kind or nature payable from or enjoying a lien on the Net Revenues having priority over or parity with the Bonds, provided, however, that Additional Parity Bonds may hereafter be issued under the following conditions:
(a) The Bonds or any part thereof, including interest thereon, may be refunded and the refunding bonds so issued shall enjoy complete equality of lien with the portion of the Bonds which is not refunded, if there be any, and the refunding bonds shall continue to enjoy whatever priority of lien over subsequent issues may have been enjoyed by the Bonds refunded, provided, however, that if only a portion of the Bonds outstanding is so refunded and the refunding bonds require total principal and interest payments during any Bond Year in excess of the principal and interest which would have been required in such Bond Year to pay the Bonds refunded thereby, then such Bonds may not be refunded without the consent of the Owners of the unrefunded portion of the Bonds.
(b) Additional Parity Bonds may also be issued on a parity with the Bonds if all of the following conditions are met:
(i) The net revenues of the System for the fiscal year immediately preceding the year in which such parity bonds are to be issued are equal to at least 120% of the average annual debt service requirements on all bonds then outstanding, including any bonds or obligations whatsoever then outstanding which are payable from the revenues of the System, and any pari passu additional bonds theretofore issued and then outstanding (but not including bonds which have been refunded or provision otherwise made for their full and complete payment and redemption) and the bonds so proposed to be issued; provided, however, that this limitation may be waived or modified by the written consent of the owners or holders representing seventy-five percent (75%) of the then outstanding bonds. (Junior and subordinate bonds may be issued without restriction.)
(ii) There must be no delinquencies in the payments required to be made into the various funds provided in Section 15 hereof.
(iii) The existence of the facts required by paragraphs (i) and (ii) above must be determined and certified to by the Secretary of the Governing Authority, or by an independent firm of certified public accountants who have previously audited the books of the District, or by such successors thereof employed for that purpose.
(iv) The proceeds of the Additional Parity Bonds must be used solely for the making of improvements, extensions, renewals, replacements or repairs to the System, or for refunding prior bonds issued for such purposes.
(v) If required in connection with the issuance of the Additional Parity Bonds, the District shall make provisions in the resolution(s) authorizing such Additional Parity Bonds for the establishment and funding of a separate account in the Reserve Fund with respect to such Additional Parity Bonds in accordance with Section 15(c) above.
(vi) No Additional Parity Bonds may be issued should any event of default under this Bond Resolution or the Outstanding Parity Bond Resolution have occurred and be continuing.
No Additional Parity Bonds may be issued on a parity with the Outstanding Parity Bonds without the consent of the owner thereof.
SECTION 20. Obligation to Fix Rates; Schedule of Rates and Charges. The District may alter, amend or repeal from time to time any resolutions or ordinances establishing a schedule of rates and charges for the services and facilities to be rendered by the System, said alterations, amendments or repeals to be conditioned upon the preservation of the rights of the owners of the Outstanding Parity Bonds and the Bonds with respect to the income and revenues of the System, not alone for the payment of the principal of and the interest on the Outstanding Parity Bonds and the Bonds, but to ensure that the income and revenues of the System shall be sufficient at all times to fulfill the other provisions specified in Section 15 hereof. No discrimination shall be made as to rates and charges for the services and facilities of the System as between users of the same type or class.
The District shall fix and maintain rates and collect charges for all services and facilities to be rendered by the System, irrespective of the user thereof, and no free services or facilities shall be furnished to any person, association of persons, or corporation, public or private, or even to the District itself, other than water delivered to fire hydrants for firefighting purposes.
The District further agrees that the failure of any individual, partnership, corporation or other entity to pay said charge for any service rendered by the System within fifteen (15) days of the date on which it is due shall cause such charge to become delinquent; that if such delinquent charge, with interest and penalties accrued thereon, is not paid within fifteen (15) days from the date on which it became delinquent, the District will take steps to cause water service to be shut off to the affected premises; and that the District and this Governing Authority and its officials, agents and employees will do all things necessary and will take advantage of all remedies afforded by law to collect and enforce the prompt payment of all charges made for services rendered by the System. All delinquent charges for service shall on the date of delinquency have added thereto a penalty of ten percent (10%) of the amount of the charge, and the amount so due, including the penalty charge, may, in the discretion of this Governing Authority, after ten (10) days from the date of the delinquency, bear interest at a reasonable rate to be established by the Governing Authority, which rate shall not be less than six per centum (6%) per annum. If services are discontinued as above provided, the customer shall, in addition to paying the delinquent charges, penalties and interest, pay as a condition precedent to the resumption of service a reasonable reconnection charge.
It is further understood and agreed that the schedule of rates, fees, rents and other charges being charged as of the date of the adoption of this Bond Resolution for services and facilities rendered by the System shall remain in effect and neither said existing schedule nor any subsequent schedule shall be reduced at any time unless all payments required for all funds by this Bond Resolution, including any deficiencies for prior payments, have been fully made, and unless such schedule as so reduced will in each year thereafter produce sufficient revenues to meet and fulfill the other provisions stated and specified in Section 155 of this Bond Resolution.
SECTION 21. Rights of Owners; Appointment of Receiver in Event of Default. The Owners from time to time shall be entitled to exercise all rights and powers for which provision is made in the laws of the State. Any Owners or any trustee acting for such Owners in the manner hereinafter provided, may, either at law or in equity, by suit, action, mandamus or other proceeding in any court of competent jurisdiction, protect and enforce any and all rights under the laws of the State, or granted and contained in this Bond Resolution, and may enforce and compel the performance of all duties required by this Bond Resolution, or by any applicable statutes to be performed by the District or by any agency, board or officer thereof, including the fixing, charging and collecting of rentals, fees or other changes for the use of the System and in general to take any action necessary to most effectively protect the right of the Owners.
In the event that default shall be made in the payment of the interest on or the principal of any of the Bonds as the same shall become due, or in the making of the payments into any of the funds or accounts described in Section 15 above, or any other payments required to be made by this Bond Resolution, or in the event that the District or any agency, board, officer, agent or employee thereof shall fail or refuse to comply with the provisions of this Bond Resolution or shall default in any covenant made herein, and in the further event that any such default shall continue for a period of thirty (30) days after written notice, any Owner of such Bonds or any trustee appointed to represent such Owners as hereinafter provided, shall be entitled as to or right to the appointment of a receiver of the System in an appropriate judicial proceeding in a court of competent jurisdiction.
The receiver so appointed shall forthwith directly or by his agents and attorneys, enter into and upon and take possession of the System, and each and every part thereof, and shall hold, operate and maintain, manage and control the System, and each and every part thereof, and in the name of the District shall exercise all the rights and powers of the District with respect to the System as the District itself might do. Such receiver shall collect and receive all rates, fees, rentals and other revenues, maintain and operate the System in the manner provided in this Bond Resolution, and comply under the jurisdiction of the court appointing such receiver, with all of the provisions of this Bond Resolution.
Whenever all that is due upon the Bonds and interest thereon, and under any covenants of this Bond Resolution for reserve, sinking or other funds, and upon any other obligations and interest thereon, having a charge, lien or encumbrance upon the fees, rentals or other revenues of the System, shall have been paid and made good, and all defaults under the provisions of this Bond Resolution shall have been cured and made good, possession of the System shall be surrendered to the District upon the entry of an order of the court to that effect. Upon any subsequent default, any Owner, or any trustee appointed for Owners as hereinafter provided, shall have the same right to secure the further appointment of a receiver upon any such subsequent default.
Such receiver, in the performance of the powers hereinabove conferred upon him by and under the direction and supervision of the court making such appointment, shall at all times be subject to the orders and decrees of such court, and may be removed thereby and a successor receiver appointed in the discretion of such court. Nothing herein contained shall limit or restrict the jurisdiction of such court to enter such other and further orders and decrees as such court may deem necessary or appropriate for the exercise by the receiver of any function not specifically set forth herein.
Any receiver appointed as provided herein shall hold and operate the System in the name of the District and for the joint protection and benefit of the District and the Owners. Such receiver shall have no power to sell, assign, mortgage or otherwise dispose of any property of any kind or character belonging or pertaining to the System but the authority of such receiver shall be limited to the possession, operation and maintenance of the System for the sole purpose of the protection of both the District and the Owners and the curing and making good of any default under the provisions of this Bond Resolution, and the title to and the ownership of the System shall remain in the District, and no court shall have any jurisdiction to enter any order or decree permitting or requiring such receiver to sell, mortgage or otherwise dispose of any property of the System except with the consent of the District and in such manner as the court shall direct.
The Owner or Owners of Bonds in an aggregate principal amount of not less than twenty-five percent (25%) of the Bonds then outstanding may by a duly executed certificate appoint a trustee for the Owners with authority to represent such Owners in any legal proceedings for the enforcement and protection of the rights of such Owners. Such certificate shall be executed by such Owners, or by their duly authorized attorneys or representatives, and shall be filed in the office of the Secretary of the Governing Authority.
UNTIL AN EVENT OF DEFAULT SHALL HAVE OCCURRED, THE DISTRICT SHALL RETAIN FULL POSSESSION AND CONTROL OF THE SYSTEM WITH FULL RIGHT TO MANAGE, OPERATE AND USE THE SAME AND EVERY PART THEREOF WITH THE RIGHTS APPERTAINING THERETO, AND TO COLLECT AND RECEIVE AND, SUBJECT TO THE PROVISIONS OF THIS BOND RESOLUTION, TO TAKE, USE AND ENJOY AND DISTRIBUTE THE EARNINGS, INCOME, RENT, ISSUE AND PROFITS ACCRUING ON OR DERIVABLE FROM THE SYSTEM.
SECTION 22. Specific Covenants. The District does hereby covenant and represent so long as any of the Bonds are outstanding and unpaid in principal and/or interest:
(a) That it is or will be lawfully seized and possessed of the System, that it has a legal right to pledge the income and revenues of the System as herein provided, and that the Bonds will have a lien and privilege on said income and revenues, subject only to the prior payment of all reasonable and necessary expenses of operating and maintaining the System.
(b) That it will at all times maintain the System in first class repair and working order and condition.
(c) That it will carry full coverage of insurance on the System at all times against those risks and in those amounts normally carried by privately owned public utility companies engaged in the operation of such utilities. Said policies of insurance shall be issued by a responsible insurance company or companies duly licensed to do business under the laws of the State. In case of loss, any insurance money received by the District shall be used for the purpose of promptly repairing or replacing the property damaged or destroyed.
(d) That it will not sell, lease or in any manner dispose of the System or any substantial part thereof, provided that the District may dispose of property which in its judgment is worn-out, unserviceable, unsuitable, or unnecessary in the operation of the System, when other property of equal value is substituted therefor, or the proceeds derived from the disposal of such property are used for constructing and acquiring extensions and improvements to the System or repairing the System.
(e) That except as provided in Section 19 hereof, it will not voluntarily create or cause to be created any debt, lien, pledge, mortgage, assignment, encumbrance, or any other charges having priority over or parity with the lien of the Bonds upon the income and revenues of the System pledged as security therefor.
(f) That, to the extent permitted by law, it will not grant a franchise to any other company or organization for operation within the boundaries of the District which would render services or facilities in competition with the System, and will oppose the granting of such franchise by any other public body having jurisdiction over such matters.
SECTION 23. Audit Requirements. The District will establish and maintain adequate financial records as required by the laws of the State governing financial record-keeping by political subdivisions and in accordance with generally accepted accounting principles ("GAAP") and will make these and the following records and reports available to the Owners or their authorized representatives upon request.
The District will cause an audit of its financial statements to be made by an independent firm of certified public accountants in accordance with the requirements of Chapter 8 of Title 24 of the Louisiana Revised Statutes of 1950, as amended, and for so long as the Department owns the Bonds, or any part thereof, in accordance with the requirements of Circular A-133 of the U.S. Office of Management and Budget, and Section 66.468 of the Catalog of Federal Domestic Assistance (CFDA #66.468 - Capitalization Grants for Drinking Water State Revolving Funds), if applicable. Upon completion, but in no event later than six (6) months after the close of the applicable Fiscal Year, the District shall file a copy of such audited financial statements with any Owner requesting same.
SECTION 24. Fidelity Bonds for Officers and Employees. So long as any of the Bonds are outstanding and unpaid, the District shall require all of its officers and employees who may be in a position of authority or in possession of money derived from the collection of the Sales Tax, to obtain or be covered by a blanket fidelity or faithful performance bond, or independent fidelity bonds written by a responsible indemnity company in amounts adequate to protect the District from loss.
SECTION 25. Retention and Duties of Consulting Engineer in Event of Failure to Make Required Payments. The District covenants and agrees that in the event it should fail to derive sufficient income from the operation of the System to make the required monthly payments into the funds established by Section 15 hereby, it will retain a Consulting Engineer on a continuous basis until all defaults are cured, for the purpose of providing for the District continuous engineering counsel in the operation of its System. Such Consulting Engineer shall be retained under contract at such reasonable compensation as may be fixed by this Governing Authority, and the payment of such compensation shall be considered to be one of the costs of maintaining and operating the System. Any Consulting Engineer appointed under the provisions of this Section may be replaced at any time by another Consulting Engineer appointed or retained by the District, with the consent and approval of the Owners.
The Consulting Engineer shall prepare within ninety (90) days after the close of each Fiscal Year a comprehensive operating report, which report shall contain therein or be accompanied by a certified copy of an audit of the preceding Fiscal Year prepared by the District's certified public accountants, and in addition thereto, shall report upon the operations of the System during the preceding Fiscal Year, the maintenance of the properties, the efficiency of the management of the System; the property and adequate keeping of books of record and account, the adherence to budget and budgetary control provisions, the adherence to the provisions of this Bond Resolution and all other things having a bearing upon the efficient and profitable operation of the System, and shall include whatever criticism of any phase of the operation of the System the Consulting Engineer may deem proper, and such recommendations as to changes in operations and the making of repairs, renewals, replacements, extensions, betterments and improvements as the Consulting Engineer may deem proper. Copies of such report shall be placed on file with the Secretary of this Governing Authority and sent to the Owner of the Bonds, and shall be open to inspection by any Owners of any of the Bonds. It shall be the duty of the Consulting Engineer to pass upon the economic soundness or feasibility of any extensions, betterments, improvements, expenditures or purchases of equipment and materials or supplies, which will involve the expenditure of more than Ten Thousand Dollars ($10,000), whether in one or more than one order, and whether authorized by a budget or not, and the Consulting Engineer shall devise and prescribe form or forms wherein shall be set forth his or its approval in certificate form, copies of which shall be filed with the Secretary of the Governing Authority.
Sixty (60) days before the close of each Fiscal Year, the Consulting Engineer shall submit to this Governing Authority a suggested budget for the ensuing year's operation of the System and shall submit recommendations as to the schedule of rates and charges for services supplied by the System, taking into account any other lawfully available funds of the District that may be available of such purposes. A copy of said suggested budget and recommendations shall also be furnished by said Consulting Engineer directly to any Owner. Such recommendations as to rates and charges consistent with the requirements relating thereto contained herein, shall be followed by this Governing Authority insofar as practicable and all other recommendations shall be given careful consideration by this Governing Authority and shall be substantially followed, except for good and reasonable cause. No expenditures for the operation, maintenance and repair of the System in excess of the amounts stated in said budget shall be made in any year, except upon the certificate of the Consulting Engineer that such expenditures are necessary and essential to the continued operation of the System.
It shall be the duty of the Consulting Engineer to prescribe a system of budgetary control along with forms for exercising of such control which shall be utilized by the manager or superintendent of the System and his staff and the manager or superintendent shall cause to prepare monthly reports not later than the twentieth (20th) day of each month, for the preceding months business and operation of the System, which reports shall be submitted to the Consulting Engineer, who shall prepare an analysis of each such report, which analysis shall be filed monthly as expeditiously as possible with the chief financial officer of the Parish and with the Owner or Owners.
In the event this Governing Authority shall fail to select and retain a Consulting Engineer in accordance with the first paragraph of this Section within thirty (30) days after the occurrence of the conditions prescribed thereby, then upon the petition of the Owners of the twenty-five percent (25%) of the aggregate principal amount of the Bonds then outstanding, this Governing Authority shall select and retain such Consulting Engineer as is named in the petition of said Owners unless a receiver has been appointed pursuant to Section 21 hereof.
THE PROVISIONS OF THIS SECTION SHALL APPLY ONLY DURING ANY PERIOD WHEN THE DISTRICT MAY BE IN DEFAULT IN MAKING REQUIRED PAYMENTS INTO THE FUNDS REQUIRED BY SECTION 15 OF THIS BOND RESOLUTION.
SECTION 26. Discharge of Bond Resolution. If the District shall pay or cause to be paid, or there shall be paid to the Owners, the principal of and interest on the Bonds, at the times and in the manner stipulated in this Bond Resolution are paid in full for all amounts due and owing, then the pledge of the Net Revenues or any other money, securities, and funds pledged under this Bond Resolution and all covenants, agreements, and other obligations of the District to the Owners shall thereupon cease, terminate, and become void and be discharged and satisfied.
SECTION 27. Defeasance. Bonds or interest installments for the payment or prepayment of which money shall have been set aside and shall be held in trust (through deposit by the District of funds for such payment or prepayment or otherwise) at the maturity or prepayment date thereof shall be deemed to have been paid within the meaning and with the effect expressed above in this Section, if they have been defeased pursuant to Louisiana law.
SECTION 28. Cancellation of Bonds. All Bonds paid or prepaid either at or before maturity, together with all bonds purchased by the District, shall thereupon be promptly cancelled by the Paying Agent. The Paying Agent shall thereupon promptly furnish to the Secretary of the Governing Authority an appropriate certificate of cancellation.
SECTION 29. Lost, Destroyed or Improperly Cancelled Bonds. Lost, destroyed or improperly cancelled Bonds may be replaced in the manner set forth in La. R.S. 39:515, as amended. In case any such lost, destroyed or improperly cancelled Bond has become or is about to become due and payable, the District in its discretion may, instead of issuing a new Bond, pay such Bond.
Upon the issuance of any replacement Bond under this Section, the District may require the payment by the Owner of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees and expenses of the Paying Agent) connected therewith. Every new Bond issued pursuant to this section in lieu of any lost, destroyed or improperly cancelled bond shall constitute a replacement of the prior obligation of the District, whether or not the lost, destroyed or improperly cancelled bond shall be at any time enforceable by anyone. The obligation of the District on any replacement bonds shall be identical as its obligation upon the original bonds, and the rights of the holder shall be the same as those conferred by the original bonds.
SECTION 30. Successor Paying Agent; Paying Agent Agreement. The District will at all times maintain a Paying Agent for the performance of the duties hereunder for the Bonds. The designation of the initial Paying Agent in this Bond Resolution is hereby confirmed and approved. The District reserves the right to appoint a successor Paying Agent by (a) filing with the Person then performing such function a certified copy of a resolution of ordinance giving notice of the termination and appointing a successor and (b) causing notice to be given to each Owner. Every successor Paying Agent appointed hereunder shall at all times be an officer of the District or a bank or trust company organized and doing business under the laws of the United States of America or of any state, authorized under such laws to exercise trust powers, and subject to supervision or examination by Federal or State authority. The Authorized Officer are hereby authorized and directed to execute an appropriate agreement with the Paying Agent for and on behalf of the District in such form as may be satisfactory to said officers, the signatures of said officers on such Agreement to be conclusive evidence of the due exercise of the authority granted hereunder. No resignation or removal of the Paying Agent shall become effective until a successor has been appointed and has accepted the duties of Paying Agent.
SECTION 31. Notice to Owners. Wherever this Bond Resolution provides for notice to Owners of any event, such notice shall be sufficiently given (unless otherwise herein expressly provided) if in writing and sent via accepted means of electronic communication or mailed, first class postage prepaid, to each Owner, at the address of such Owner as it appears in the Bond Register. In any case where notice to Owners is given by mail, neither the failure to mail such notice to any particular Owner, nor any defect in any notice so mailed, shall affect the sufficiency of such notice with respect to all other Bonds. Where this Bond Resolution provides for notice in any manner, such notice may be waived in writing by the Owner entitled to receive such notice, either before or after the event, and such waiver shall be the equivalent of such notice. Waivers of notice by Owners shall be filed with the Paying Agent, but such filing shall not be a condition precedent to the validity of any action taken in reliance upon such waiver.
SECTION 32. Publication/Peremption. This Bond Resolution shall be published one time in the official journal of the District, or if there is none, in a newspaper having general circulation in the District. It shall not be necessary to publish the exhibits to this Bond Resolution, but such exhibits shall be made available for public inspection at the offices of the Governing Authority at reasonable times and such fact must be stated in the publication within the official journal. For a period of thirty days after the date of such publication any persons in interest may contest the legality of this Bond Resolution and any provisions herein made for the security and payment of the Bonds. After such thirty-day period no one shall have any cause or right of action to contest the regularity, formality, legality, or effectiveness of this Bond Resolution and the provisions hereof or of the Bonds for any cause whatsoever. If no suit, action, or proceeding is begun contesting the validity of the Bonds within the thirty days herein prescribed, the authority to issue the Bonds or to provide for the payment thereof, and the legality thereof, and all of the provisions of this Bond Resolution and such Bonds shall be conclusively presumed, and no court shall have authority or jurisdiction to inquire into any such matter.
SECTION 33. Disclosure Under SEC Rule 15c2-12. Subject to the terms of the Loan Agreement, the District is not required at this time to comply with the continuing disclosure requirements described in the Rule 15c2-12(b) of the Securities and Exchange Commission [17CFR '240.15c2-12(b)].
SECTION 34. Severability. In case any one or more of the provisions of this Bond Resolution or of the Bonds issued hereunder shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provision of this Bond Resolution or of the Bonds, but this Bond Resolution and the Bonds shall be construed and enforced as if such illegal or invalid provisions had not been contained therein. Any constitutional or statutory provision enacted after the date of this Bond Resolution which validates or makes legal any provision of this Bond Resolution or the Bonds which would not otherwise be valid or legal shall be deemed to apply to this Bond Resolution and to the Bonds.
SECTION 35. Section Headings. The headings of the various sections hereof are inserted for convenience of reference only and shall not control or affect the meaning or construction of any of the provisions hereof.
This resolution having been submitted to a vote, the vote thereon was as follows:
YEAS: 4
NAYS: 0
ABSENT: 0
ABSTAIN: 0
And the resolution was declared adopted on this, the 4th day of May, 2026.
/s/ Kathy Farris
Secretary
/s/ F. J. Armond
President
Exhibit is available for review during regular business hours at the office of the Greater Ward One Waterworks District, 241 Haddox Road, Ruston, LA.
Published in the Ruston Daily Leader, Ruston, LA on May 8, 2026.