(a) In order to acquire equipment and to do the work, the board may issue the negotiable notes of the improvement district signed by the members of the board and bearing a rate of interest not exceeding six percent (6%) per annum and may pledge and mortgage a portion of future annual benefit assessments as collected for the payment thereof.(b) Any petitions for the creation of a district and the court order creating a district, shall limit the total amount of notes that may be outstanding at any one (1) time to twenty thousand dollars ($20,000).(c) The improvement district shall have no authority to issue bonds.Acts 1975 (Extended Sess. 1976), No. 1221, § 12; A.S.A. 1947, § 20-2012; reen. Acts 1987, No. 1011, § 12.
Arkansas Legal Code