§ 7218 Bond Payment Terms Resolution

Harbors and Navigation Code·California

AI SummaryVerified

This law lets the board decide how bonds and their coupons look, when the money must be paid back, and allows the first payment to be delayed up to five years.

Key Takeaways

•The board can set the bond and coupon design.
•The board can set when the principal must be repaid.
•The first repayment can be postponed for up to five years.

Example

A city issues bonds to build a new library and needs to set the payment schedule.

The board can choose the bond format, attach coupons, and decide that the first repayment of the borrowed money won't be due for five years after the bonds are sold.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 7218 Bond Payment Terms Resolution

The board shall, by resolution, prescribe the form of the bonds and the form of the coupons attached thereto and fix the time when the whole or any part of the principal shall become due and payable. The payment of the first installment of principal may be deferred for a period of not more than five years from the date of the bonds or the date of the bonds of each series respectively. (Added by Stats. 1959, Ch. 1598.)

Last verified: January 11, 2026

Key Terms

bonds coupons principal board

References

Official text at leginfo.legislature.ca.gov
California Legislature. Harbors and Navigation Code. Section 7218.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References