48-3094. Election upon question of contract; judicial determination of validity of contract and proceedings

A. Any proposal to enter into a contract with the United States for the repayment of construction monies, the cost of a water supply or the acquisition of property, and to issue bonds, if any are proposed, shall be voted upon at an election which shall be held as nearly as practicable in accordance with elections for the issuance of district bonds.

B. Notice of the election shall contain, in addition to the information required in regular district bond elections, a statement of the maximum amount of money to become payable to the United States for construction purposes, cost of water supply or acquisition of property, exclusive of penalties and interest, together with a general statement of the property, if any, to be conveyed by the district as provided by this article.

C. The ballots at the election shall contain a brief statement of the general purpose of the contract and the amount of the obligation to be assumed, with the words " contract yes, " and " contract no, " or " contract and bonds yes, " and " contract and bonds no, " as the case may be.

D. The board of directors may by petition filed in the superior court of the county in which the office of the district is located institute a proceeding for the purpose of having a judicial determination of the validity of the contract, the regularity and legality of the proceedings of the board for the authorization of the board to enter into the contract, the authority for and the validity of the issuance and deposit or transfer of the bonds, if any, and the validity of the organization of the district. Such proceedings shall be had as other judicial examinations and judgments as to the validity of bonds as provided by this chapter. The proceeding may be instituted by any person interested as an elector, taxpayer or property owner.