New Mexico Statutes Chapter 73. Special Districts § 73-13-15. Use of borrowed money

Money obtained or borrowed under the provisions hereof shall be expended only in the betterment, extension, construction, operation, reconstruction and repair of the canal, irrigation system and physical works of the district, and for the payment or retirement of any or all existing indebtedness not evidenced by outstanding bonds, and in any such expenditures made by the district the lender of the monies shall not be responsible for the application or expenditure thereof.