Vermont § 36 - Indebtedness

§ 36. Indebtedness

• (a) Short-term borrowing. The Board of Supervisors may borrow money through the issuance of notes of the District
  for the purpose of paying current expenses of the District. These notes, however,
  must mature within the fiscal year in which they were issued. The Board of Supervisors
  may also borrow money in anticipation of taxes in an amount not to exceed 90 percent
  of the amount of taxes assessed for each such year and may issue notes of the District
  that must mature within the fiscal year in which they were issued. The Board of Supervisors
  may also borrow money in anticipation of any revenues other than taxes through the
  issuance of notes of the District. These notes, however, must mature within the fiscal
  year in which they were issued. (b) Long-term indebtedness and long-term contracts. (1) Submission to voters. On a petition signed by at least 10 percent of the voters of the District, the proposition
  of incurring a bonded debt or other indebtedness to pay for public improvements or
  of authorizing a long-term contract shall be submitted to the qualified voters of
  the District at any special meeting to be held for that purpose, or, when the Board
  of Supervisors at a regular or special meeting called for the purpose shall determine
  by resolution passed by a vote of a majority of votes, present and voting, that the
  public interest or necessity demands improvements or a long-term contract, and that
  the cost of the same will be too great to be paid out of the ordinary annual income
  and revenue, it may order the submission of the proposition of incurring a bonded
  debt or other indebtedness or of authorizing a long-term contract to the qualified
  voters of the District at a meeting to be held for that purpose. A “long-term contract”
  means a contract wherein the District incurs obligations for which the costs are too
  great to be paid out of the ordinary annual income and revenues of the District in
  the judgment of the Board of Supervisors. Bonded debt or other indebtedness or long-term
  contracts may be authorized for any purpose permitted by 24 V.S.A chapter 53 or any
  other applicable sections of the Vermont Statutes Annotated for any purpose for which
  the District is organized. The warning calling the meeting shall state the object
  and purpose for which the indebtedness or long-term contract is proposed to be incurred
  or authorized, the estimated cost of the improvements or service, the amount of bonds
  or other evidence of indebtedness proposed to be issued, a summary of the terms of
  any contract proposed to be authorized, and the means of raising or apportioning all
  costs entailed thereby for debt service for payments under a long-term contract. The
  warning shall fix the places where and the date on which the meeting shall be held
  and the hours of opening and closing the polls. The District may not submit to the
  voters more than twice in the same calendar year or any 12 month period the proposition
  of incurring bonded or other indebtedness to pay for the same or substantially similar
  public improvement or the same or substantially similar long-term contract. (2) Notice of meeting, authorization. The Clerk of the District shall cause notice of a special meeting to be published
  in a newspaper of general circulation in the District once a week for three consecutive
  weeks on the same day of the week, the last publication to be not less than five nor
  more than 10 days before the meeting. Notice of the meeting shall also be posted in
  at least five public places within each member municipality for two weeks immediately
  preceding the meeting and be filed with the town or city clerk of each member municipality.
  Each municipality will have its voters vote in locations and in the manner it votes
  on similar questions for the municipality. When a majority of all the voters in the
  District present and voting on the question at the meeting votes to authorize the
  issuance of bonds or other evidence of indebtedness or to authorize a long-term contract,
  the District shall be authorized to issue bonds or other evidence of indebtedness
  as provided in 24 V.S.A. chapter 53 or other applicable sections of the Vermont Statutes
  Annotated, or to enter into the long-term contract. The ballots cast in all the member
  municipalities shall be counted as ballots are counted in each municipality. The results
  shall then be combined. Blank and defective ballots shall not be counted in determining
  the question. Obligations incurred by the District shall be joint and several obligations
  of the District and of each member municipality but shall not affect any limitation
  on indebtedness of a member municipality. The cost of debt service or of payments
  under a long-term contract shall be included in the annual budget of the District,
  and shall be allocated among the member municipalities as provided in subsection 33(c)
  of this chapter, unless otherwise provided by applicable law and in the vote authorizing
  the same. The applicable provision of 24 V.S.A. chapter 53 or other enabling law under
  which debt is incurred or long-term contracts are authorized shall apply to the issuance
  of bonds or other evidence of indebtedness by the District and for that purpose the
  Rutland County Recreation District shall be deemed a “municipal corporation,” the
  Board of Supervisors shall be deemed a “legislative branch,” and the District Treasurer
  shall be deemed a “municipal treasurer” within the purview of that chapter. Bonds
  or other evidence of indebtedness and long-term contracts shall be signed by the Treasurer
  and Chair of the Board of Supervisors of the District. (Added 2005, No. M-8, § 2.)