Sec. 60.177. LIEN ON REVENUE; FORECLOSURE OF ENCUMBRANCE. (a) If the revenue and income from the properties and facilities of the district are encumbered under the provisions of this subchapter, the expense of operation and maintenance necessary to render efficient service of the properties and facilities shall be a first lien and charge against the revenue and income. The first lien shall be prior to and superior to the lien of the encumbrance.
(b) No encumbrance shall be foreclosed because of default of the district until the default has existed for a period of 90 days and notice of the default has been served on the commission.
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.
Structure Texas Statutes
Title 4 - General Law Districts
Chapter 60 - Navigation Districts--General Provisions
Subchapter G. Powers of District to Provide Improvements Without Taxation
Section 60.171. Authority to Borrow Money and Encumber Property and Franchise
Section 60.172. Notice of Hearing on Indebtedness
Section 60.173. Hearing on Indebtedness
Section 60.174. Issuance of Obligations
Section 60.175. Execution and Sale of Obligations
Section 60.176. Obligations as Charge on Encumbered Property and Facilities
Section 60.177. Lien on Revenue; Foreclosure of Encumbrance
Section 60.178. Trustee to Enforce Foreclosure; Franchise Under Foreclosure
Section 60.179. Borrowing for Current Expenses