(a) The bonds, within the discretion of the board, may be additionally secured by
a deed of trust or mortgage lien on part or all of the physical properties of the
district, and franchises, easements, water rights, and appropriation permits, leases,
and contracts and all rights appurtenant to such properties, vesting in the trustee
power to sell the properties for payment of the indebtedness, power to operate the
properties, and all other powers and authority necessary for the further security
of the bonds.
(b) The trust indenture, regardless of the existence of the deed of trust or mortgage
lien on the properties, may contain provisions prescribed by the board for the security
of the bonds and the preservation of the trust estate, and may make provisions for
amendment or modification, and may condition the right to spend district money or
sell district property on approval of a registered professional engineer selected
as provided in the trust indenture and may make provisions for investment of funds
of the district.
(c) Any purchaser under a sale under the deed of trust or mortgage lien, where one
is given, shall be absolute owner of the properties, facilities, and rights purchased
and shall have the right to maintain and operate them.
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