(2) Following the five-year period described in subsection (1) of this section, if there is any default in the payment of any assessment levied by the district, the board shall levy against each legal subdivision or other described tract of land held in separate ownership within the district, an assessment in an amount not to exceed 25 percent of the regular yearly installment of the assessment for principal and interest for that year, as shown in the bond lien docket. The latter assessment shall be known as the "Emergency Assessment," and shall be levied and collected at the time provided in ORS 545.381 to 545.397 and 545.413 to 545.422. All moneys received from the emergency assessment shall be placed by the county treasurer in a special fund to be known as the "Emergency Fund."
(3) The emergency fund shall be a revolving fund and shall be used only for temporarily supplementing the bond fund in case of deficiencies due to accident, delinquency or other contingency. The emergency fund shall be disbursed by the treasurer upon order of the board of directors.
(4) The emergency assessment shall be levied against each legal subdivision or other described tract of land held in separate ownership within the district as shown on the bond lien docket, even though the subdivision or tract is relieved from assessment for the payment of irrigation bonds in accordance with ORS 545.595. The amount of the emergency assessment for any year levied against a legal subdivision or other tract of land shall not exceed 25 percent of the amount of the assessment for that year levied against that legal subdivision or other tract of land for bond interest and principal, or which would have been levied against that legal subdivision or tract of land for those purposes if the land were not relieved from assessments under ORS 545.595. The aggregate net amount of assessments levied against a legal subdivision or other tract exceed the benefit surplus of the legal subdivision or other tract as shown by the bond lien docket. The net amount of every assessment shall be determined by discounting the amount levied at the rate of six percent per annum for the time that has elapsed between the date of the final resolution determining total benefits and the date of the levy of the assessment.
(5) The net amount of all assessments levied against a legal subdivision or other tract under this section shall be duly entered in an appropriate column in the bond lien docket, and each net amount when paid shall be deducted from the amount of the benefit surplus or balance thereof of the legal subdivision or other tract affected. [Formerly 545.266; 1997 c.170 §52]