New Jersey § 40a:2-15

§ 40a:2-15.

Any bond ordinance to finance any cost or expense of a municipal public utility, or

any ordinance amendatory thereof or supplemental thereto adopted prior to the issuance

of obligations, may contain the following covenants with the holders of such obligations

which shall be observed and performed by the local unit, notwithstanding the provisions

of this or any other law: a. As to the use and disposition of revenues derived or to be derived from the operation

of the whole or any part of any municipal public utility, including any improvements

thereto or extensions thereof thereafter constructed or acquired, whether said obligations

are authorized to finance construction, improvement, enlargement, reconstruction,

extension or acquisition of such or any other municipal public utility; b. Pledging to the punctual payment of the principal of and interest on such obligations,

all or any part of such revenues; c. As to the setting aside out of such revenues of 1 or more reserve funds, and the

regulation and disposition thereof; d. As to the fixing and collection of such rates, rentals and other charges for connection

with or the use of any such municipal public utility, including any improvements thereto

or extensions thereof thereafter constructed or acquired as will annually produce

revenues sufficient to provide for all or any lesser part described in said ordinance

of the following: 1. expenses of operation, maintenance and repair of such utility and any other such

utilities, 2. payment of the principal of and interest on said obligations, 3. such reserve funds as may have been provided for in said ordinance, 4. payment of any mortgage or mortgages subject to which such utility or any other

such utilities, or any part thereof may have been acquired, and 5. payment of any obligations having a lien on the revenues of such utility or any

other such utilities, or any part thereof prior to or on a parity with the lien of

such obligations; e. As to the procedure, if any, by which the terms of any covenant with the holders

of such obligations may be amended or abrogated, the amount of obligations the holders

of which must consent thereto and the manner in which such consent may be given. Such obligations may contain such recitals of or reference to any such covenants as

any resolution determining their form may provide.