(1) Power to Borrow. The City shall have the right and power, except as prohibited by law or this Charter, to borrow money by whatever method it may deem to be in the public interest. Provided that all election and notice requirements established by this Charter or state law have been complied with, an ordinance authorizing issuance of bonds may be finally passed and adopted on first reading.
(2) Tax Obligation Bonds - General.
(a) The City shall have the power to borrow money on the credit of the City and to issue general obligation bonds for permanent public improvements or any other public purpose not prohibited by law or this Charter, and to issue refunding bonds to refund outstanding bonds previously issued. All such bond or certificates of obligation shall be issued in conformity with the laws of the State of Texas and shall be used only for purposes for which they were issued.
(b) Any bonds issued under the provisions of this section 7.14(2) shall not be issued without an election except as provided by state law. The City Council shall prescribe the procedure for calling and holding such elections and shall provide for the return and canvass of the ballots cast at such elections.
(c) If at such elections a majority of the vote shall be in favor of creating such debt or bonds of the City, it shall be lawful for the City Council to issue bonds as proposed in the ordinance submitting same. If, however, a majority of the vote polled shall be against the creation of such debt or bonds, the City Council shall be without authority to issue the bonds. In all cases when the City Council shall order an election for the issuance of bonds of the City, it shall, at the same time, submit the question of whether or not a tax shall be levied upon the property within the City for the purpose of paying the interest on the bonds and to create a sinking fund for their redemption.
(3) Revenue Bonds. The City shall have the power to borrow money for the purpose of any self-liquidating municipal function not prohibited by the Constitution and the laws of the State of Texas. With an affirmative vote of at least a simple majority plus one vote of the full City Council, it shall have the power to issue revenue bonds and to evidence the obligation created thereby. Such bonds shall be a charge upon and payable from the revenues, or interest therein pledged, or the income therein gained from, or both. The holder(s) of the revenue bonds shall never have the right to demand payment thereof out of the monies raised or to be raised by taxation. All such bonds shall be issued in conformity with the laws of the State of Texas and shall be used only for the purpose for which they were issued.
(4) Emergency Funding. In any budget year, the City Council may, by an affirmative vote of a simple majority plus one of the City Council members in attendance, authorize the borrowing of money for emergency situations as defined in Section 11.05 of Article XI of this Charter.