|(a) The contract of sale and purchase will be prepared by the
board. It is to be executed by both the veteran and the chairman of the board.
(b) The board will specify the terms of the contract for each
(c) Each contract of sale and purchase shall bear a rate of
interest designated by the board and shall not exceed 30 years in duration.
(d) If the tract contains improvements or is located in an
underground irrigation water area, the chairman may require accelerated installments
for the purpose of protecting the board's investment.
(e) Installment payments on a veteran-purchaser's contract
of sale and purchase shall be due and payable in the following manner:
(1) for transactions which have closed before January 1, 1984,
installment payments will be made on a semiannual basis, unless the veteran-purchaser
elects to change to a monthly payment schedule.
(2) for transactions which close after January 1, 1984, payments
will be made on a monthly basis.
(3) the installment dates will be specified in the contract.
(f) Advance payments may be made at any time. When making an
advance payment the veteran should provide the board with written instructions
as to the nature of the payment (i.e., whether it is an additional payment
against principal or an advance installment payment). Making an additional
payment against principal will not relieve the veteran of his obligation to
make each installment payment as it becomes due.
(g) All taxes (state, school, water district, city, or any
other tax) shall be kept current. Evidence of their payment shall be submitted
to the board by May 1 of each year.
(h) If there are any material errors in the contract, the chairman
may execute a correction contract. This instrument will then be provided to
the veteran for his signature.