Pledge of Revenues from Systems for Payment of Principal and Interest on Bonds; Disposition of Gross Revenues from Operation of System Generally

(a) In the authorizing proceedings the borrower shall pledge for payment of the principal and interest on bonds issued under this article the revenues derived from operation of a system or systems of the borrower out of which such bonds are made payable; provided, that the borrower may reserve the privilege of using for any lawful purpose surplus revenues from such system or systems remaining after compliance with the provisions of this section and any additional requirements contained, as provided for in this article, in the authorizing proceedings or in a trust indenture. (b) In the authorizing proceedings or in a trust indenture provided for therein, the borrower shall agree to deposit the gross revenues from such system or systems daily, as received by the borrower, into a “gross revenue account” and to apply the gross revenues in such account for monthly payments into the following separate and special funds, in the order in which said funds are listed: (Acts 1933, Ex. Sess., No. 102, p. 88; Code 1940, T. 37, §327; Acts 1955, No. 494, p. 1127, §10.)