(1) All bonds issued pursuant to section 43-3-203 shall constitute a first lien on all or any part of the moneys pledged or set aside under sections 43-3-202 (1)(f) and 43-3-203; except that the department of transportation may provide preferential security for any bonds to be issued under section 43-3-203 over any bonds that may be issued under section 43-3-203 thereafter. No moneys which may, from time to time, be credited to the state highway fund which are derived from sources other than those described in section 43-3-202 (1)(f) or 43- 3-203 shall be applied to the payment of the bonds issued pursuant to section 43-3-203. (2) Any pledge made by the department of transportation to secure the payment of bonds issued pursuant to section 43-3-203 shall be valid and binding from the time when the pledge is made. The revenues, moneys, and funds so pledged shall immediately be subject to lien of such pledge without any physical delivery or further act, and the lien of such pledge shall be valid and binding against all parties having claims of any kind in tort or contract or otherwise against the department of transportation, irrespective of whether such parties have notice of such lien. Each pledge, agreement, and resolution made for the benefit or security of any of the bonds issued pursuant to section 43-3-203 shall continue to be effective until the principal of and interest on the bonds for the benefit of which the same are made has been fully paid or provision for such payment has been duly made. (3) Any resolution of the transportation commission for the issuance of bonds pursuant to section 43-3-203 may contain the provisions for protecting and enforcing the rights and remedies of the holders of any of the bonds as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the department of transportation in relation to the purposes to which proceeds of the bonds may be applied, the terms and conditions for the issuance of additional bonds, and the custody, safeguarding, and application of all moneys. Any such resolution may set forth the rights and remedies of the holders of any bonds and may restrict the individual right of action by any such holders. In addition, any such resolution may contain any other provisions as the department of transportation may deem reasonable and proper for the security of the holders of any bonds. All expenses incurred in carrying out the provisions of the resolution may be paid from the revenues or assets pledged or assigned to the payment of the bonds. In the event of default in any such payment or in any agreements of the department of transportation made as part of the contract under which the bonds were issued or contained in the resolution concerning the bonds, the payment or agreement may be enforced by suit, mandamus, or either of the remedies.
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