ARTICLE IX: MUNICIPAL BORROWING POWER
Subject to the applicable provisions of state law and this Charter, the Council, by proper ordinance, may authorize the borrowing of money for any purpose within the scope of the powers vested in the city and the issuance of bonds of the city or other evidence of indebtedness therefor, and may pledge the full faith and credit of the city for the payment of the obligation created thereby.
The net bonded indebtedness incurred for all public purposes shall not at any time exceed 10% of the assessed valuation of all the real and personal property in the city, provided that in computing such net bonded indebtedness there shall be excluded money borrowed for the following purposes: tax anticipation notes; special assessment bonds even though they are also general obligations of the city; and revenue bonds and any other obligations excluded by statute or the state constitution from such limitations.
Bonds issued in anticipation of the payment of special assessments may be an obligation of a special assessment district or districts and a general obligation of the city. All collections on special assessment rolls shall be set apart in a special fund and shall be used only for the purpose or purposes for which they were levied and for the payment of the principal and interest of any bonds issued in anticipation of the payment of such special assessments. If there be any deficiency in the special assessment fund to meet the payment of any such principal and interest, money shall be advanced from the general funds of the city to meet such deficiency and shall be replaced in such general fund when the special assessment fund shall be sufficient therefor.
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