NRS309.260. Payment of interest from debt service fund; redemption of bonds not due from debt service fund.

      1.  The treasurer, upon the presentation of interest coupons when due, shall pay the same from the debt service fund.

      2.  Whenever, after 10 years from the issuance of bonds, the fund shall amount to the sum of $10,000, the board of directors may direct the treasurer to buy such an amount of the bonds not due as the money in the fund will redeem at the lowest value at which they may be offered for liquidation, after advertising once a week for at least 3 weeks in some newspaper published in the county in which the office of the district is located, and in such other newspapers as the board may deem advisable, for sealed proposals for the redemption of such bonds. Such proposals shall be opened by the board in open meeting at a time to be named in the notice, and the lowest bid or bids shall be redeemed at a rate above par. In case two or more bids are equal, the lowest numbered bond shall have the preference, and if any of the bonds are not so redeemed, that amount of the redemption money shall be invested by the treasurer under the direction of the board in bills, notes, certificates of indebtedness, bonds or other similar securities which are the direct obligations of the United States or which are unconditionally guaranteed as to payment, both of principal and of interest, by the United States, or in the bonds or warrants of the State or in municipal or school bonds, and such securities and the proceeds therefrom shall belong to the debt service fund.

      [24:24:1928; NCL § 3478]—(NRS A 1965, 741)