RS 4319 - Bond issue; election
A. Solely upon the recommendation of this commission, and in accordance with existing laws, and subject to the terms and conditions set forth in the ordinances and resolutions of the municipality, providing for the issuance and sale of revenue bonds and certificates of indebtedness heretofore issued, and remaining unpaid, and interest thereon, the mayor and board of aldermen may incur debt and issue negotiable bonds or certificates or other evidence of debt secured by a pledge of the revenues of the said systems, after such proposition or propositions have been approved by a majority of the voters of the municipality authorizing the incurring of such debt. The rights conferred herein shall be in addition to any other right now conferred upon the municipalities of Louisiana with reference to the issuance of bonds or other evidences of debt, payable out of and secured by a pledge of the revenues of any revenue producing utility. This Act shall never be construed by anyone as repealing any of such rights, insofar as the municipality is concerned.
B. The mayor and board of aldermen shall have the power to anticipate the five percent required to be placed in the renewal and replacement fund for a period not to exceed fifteen years and to borrow money against said fund, issue certificates or other forms of debt in such amount, and payable at such times and under such conditions as the commission may recommend and suggest.
The certificates of indebtedness or other forms of debt shall bear interest at a rate not to exceed that provided by state law, shall be payable at such times and places as the commission shall recommend and may be secured by a pledge of the whole or any part of the said five percent required to be placed in the renewal and replacement fund. The proceeds of such certificates may be used in retiring certificates of indebtedness previously issued by the mayor and board of aldermen against said five percent or any part thereof, or for the purpose of making major renewals, replacements, extensions and improvements to the said systems, or for the payment of revenue bonds or interest thereon heretofore issued to prevent a default thereof.
Acts 1972, No. 598, §8.