New Jersey § 52:27-51

§ 52:27-51.

To the end that the principal of and interest on the notes or bonds issued hereunder

may be further secured and thereby a more favorable sale or exchange effected, any

resolution authorizing the issuance of notes or bonds hereunder may contain provisions

which shall be a part of the contract with the holders of such notes or bonds as to

(a) the amount to be raised by taxation in the school district in each year for debt

service and for reserve or sinking funds, which amount may be expressed in dollars,

percentage of total assessed valuations or both, or otherwise; (b) the setting aside

of reserve or sinking funds, and the amount, source, securing, regulation, investment,

application and disposition thereof; (c) the pledging, depositing or trusteeing of

moneys to be applied to the payment of the principal of and interest on the notes

or bonds, and the securing of such deposits; (d) the pledging of taxes and other

revenues or moneys of the school district directly to the payment of the principal

of and interest on the notes or bonds, or to reserve or sinking funds; (e) limitations

effective for not exceeding ten years from the effective date of such resolution or

resolutions on the amount or nature of borrowing or incurring of indebtedness by the

school district; (f) appointment of a fiscal agent by the school district and the

powers and duties thereof; (g) the levying of a special tax, in such amount as said

resolution may provide, for the payment of the principal of and interest on the notes

or bonds, which special tax shall be levied upon all the real and personal property

in the school district subject to taxation in addition to the taxes levied for all

other purposes, and shall be assessed, levied and collected in the same manner and

at the same time as other taxes upon real and personal property are now or shall hereafter

be assessed, levied and collected, and, when collected, shall be deemed trust funds

and shall be applied and paid over by the collector or other officer having the custody

of the collected taxes solely to the agreed payment of the principal of and interest

on the notes or bonds, or if such agreed payment shall have been made, then in such

manner and for such purposes as said resolution may provide; (h) the terms and conditions

upon which such resolution or resolutions or any contract entered into thereby may

be amended, rescinded or repealed; (i) any other or further course of conduct on

the part of the school district which may tend to improve its credit standing. Any school district adopting a resolution containing any provision authorized hereunder

shall have and possess all of the powers necessary and appropriate for the performance

thereof. The provisions of any such resolution shall be enforceable by a proceeding in lieu

of prerogative writ or other appropriate action or proceeding instituted by the commission

or by the holder of any note or bond on his own behalf, or on behalf of all the holders

of such notes or bonds, in either case in any court of competent jurisdiction whether

or not there shall have been any default in the payment of the principal of or interest

on any such notes or bonds.