Idaho Code § 42-1312: LATERAL WATER USERS’ ASSOCIATION AUTHORIZED TO BORROW MONEY OR TO MORTGAGE OR PLEDGE ASSETS.

(1) A lateral water users’ association may:

(a) Borrow money to repay a loan;

(b) Mortgage or pledge any assets of the association as security for a loan; and

(c) Levy assessments to repay a loan.

(2) Before any money can be borrowed or any mortgage or pledge can be made or entered into, the association’s secretary-treasurer shall send a written notice to all water users to inform the water users that an election is being called to determine whether or not the association, through its chair and secretary-treasurer, may borrow money or mortgage or pledge its assets. Such notice shall include a brief description of the proposed action and the date, time, and place of such election, which shall be held at least ten (10) days after the date of the secretary-treasurer’s notice.

(3) The election shall be determined by a majority vote of the water users present at the election in accordance with section 42-1302(5), Idaho Code.