75-10-124. Approval, payment, and compliance. (1) A loan agreement entered into pursuant to this part is subject to approval by the department and shall be accounted for on forms prepared by the department.
     (2) The department shall establish a schedule of payments to be made by a local government under a loan agreement. Payment shall be made in an amount sufficient to pay the principal and interest cost of the loan obtained from the department.
     (3) If a local government fails to comply with the payment schedule established by the department, the state may, after giving 30 days' written notice, withhold an equal share of any state taxes which are otherwise apportioned to the local government.

     History: En. 69-4018 by Sec. 8, Ch. 575, L. 1977; R.C.M. 1947, 69-4018(4), (5), (7).