Arizona Revised Statutes § 48-2220 Tax Levy To Pay Principal And Interest Of Bonds

48-2220. Tax levy to pay principal and interest of bonds

A. The principal of and interest on bonds issued pursuant to this article shall be paid from the following, either singly or in combination:

1. Revenue derived from an annual tax on the real property within the health service district issuing them, and such real property shall remain liable to taxes for payment of the bonds and interest until paid in full.

2. Rental from an organization that has contracted for the facilities with the district in order to provide for contracted services pursuant to section 48-2212, or from service charges made to clients of the medical clinic or clinics.

B. The board of directors of a health service district shall annually, on or before August 15, certify to the board of supervisors the amount necessary to pay interest on and the portion of principal which will become due on bonds of the district during the ensuing year.

C. The board of supervisors, at the time of levying county taxes, shall levy and cause to be collected in the manner prescribed by law for county taxes, a tax upon the real property within the health service district, based upon the current assessment roll, sufficient to pay the amount certified by the board of directors. If the board of directors of a health service district fails to certify to the board of supervisors the amount necessary, the board of supervisors shall ascertain the amount which should have been certified and shall levy and cause to be collected a tax sufficient to produce that amount.

D. The tax, when collected, shall be paid into the county treasury to the credit of the bond fund of the health service district, and shall be used solely for payment of the principal of and interest on the bonds. The county treasurer shall pay the principal and interest on the dates and at the places specified in the bonds in the manner provided by law for the payment of principal of and interest on county bonds.

E. If a district lies in more than one county, the amount necessary to pay interest on and the portion of the principal which will become due on bonds during the ensuing year shall be apportioned to each county on the basis of the value of real property included within the district from each county. Each board of supervisors shall levy and collect a tax sufficient to pay the amount apportioned to their county, and all such taxes shall be paid to the county treasury of the organizing county. When such a division is to be made, the board of directors shall furnish to the boards of supervisors of the respective counties a written statement of the apportionment and the basis on which it was made.

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Last modified: October 13, 2016