1. (a) The bonds, notes, or other evidences of indebtedness, including interest, are not any of the following:

   1. (1) A debt of the district or the board.

   2. (2) A charge, lien, or encumbrance, legal or equitable, upon:

      1. (A) property of the district; or
      2. (B) income, receipts, or revenues of the district other than the revenues of the water facilities that have been pledged to payment.

2. (b) Every bond, note, or other evidence of indebtedness must recite in substance the following:

   1. (1) That the bond, note, or other evidence of indebtedness, including interest, is payable solely from the revenues pledged to payment.

   2. (2) That the board is not under an obligation to pay the bond, note, or other evidence of indebtedness except from those revenues.

      [Pre-1995 Recodification Citation: 13-3-4-8(f) part.]

As added by P.L.1-1995, SEC.26.