IRRIGATION DISTRICT OPERATION AND FINANCE. 15 
owners to pay. Where this view prevails, bondholders can not look 
to the liability of the district as a whole, but in case of default are 
limited to the purchase of tax-sale certificates on delinquent land. 
On the other hand, if the tax is considered a general tax and the 
district as a whole held liable, then paying lands may be assessed 
over and over again until the district obligations are discharged. 
The one view, therefore, is favorable to the landowners and the other 
to the bondholders. Several of the statutes have made provision for 
releasing individual tracts, either completely or conditionally, from 
the lien for construction assessments upon paying in advance their 
proportionate share of the total cost, thus definitely restricting the 
balance of the indebtedness to the remainder of the land. The reme- 
dies of bondholders are strengthened in several States, however, the 
Oregon law providing, for example, that in case of default the bond- 
holders, or the United States in case of Federal contract, may take 
possession of the irrigation works and operate them during the 
default, while Washington under similar circumstances permits the 
creditor to take possession and use the property until the lien can be 
enforced in a civil action, as in case of foreclosure of a mortgage. 
Assessments are levied annually at the times prescribed by the 
respective statutes, in order to raise money for paying the interest 
and principal of bonds, or to provide a sinking fund for retirement 
of the bonds when due ; also for payments due the United States, 
other obligations of the district, rentals due, and for maintenance and 
operation and all general purposes. The amount that may be raised 
annually for maintenance and general expenses is sometimes limited 
by statute. Special assessments must usually be authorized by vote 
of the electors. Some of the statutes provide for levying a greater 
amount than needed — usually 15 per cent — to cover anticipated 
delinquencies. 
Several States authorize the receipt of bonds or coupons in satis- 
faction of the bond fund levy for years in which such obligations fall 
due, and in some cases the receipt of warrants in payment of general 
fund levies. 
A usual statutory provision is that the assessment lien for the pay- 
ment of bonds or for payments due on contract with the United 
States shall be a preferred lien to that for bonds subsequently issued. 
METHODS OF ASSESSMENT. 
While all irrigable lands within an irrigation district are liable to 
assessment, and in some cases nonirrigable lands as well, there are 
several methods of determining the amounts to be assessed against 
the respective tracts. One method is customarily in use in each 
State, though it is sometimes provided that districts contracting 
with the United States may levy assessments pursuant to the terms 
of such contract. 
Ad valorem method. — The original Wright Act of California pro- 
vided that all real property in the district, including improvements, 
should be assessed for irrigation district purposes at its full cash 
value. In 1909, however, the legislature exempted improvements 
from taxation in all districts thereafter organized and provided that 
existing districts might come within the new provision by vote of a 
majority of the resident title holders. Most of the operating districts 
in which assessments were being levied proceeded to take advantage 
