Section 9-711 - Bonds issued by municipal authorities - In general.
§ 9-711. Bonds issued by municipal authorities - In general.
(a) Purpose of bonds.- A municipal authority may issue bonds when and in the amounts needed to provide funds for all or part of a system's:
(1) Design;
(2) Construction;
(3) Extension;
(4) Alteration;
(5) Purchase; or
(6) Condemnation.
(b) Bond privileges and limitations.- The bonds issued under this subtitle:
(1) May be issued without previous legislative authority;
(2) May be outstanding in addition to the total indebtedness otherwise permitted by law;
(3) May be of any type and denomination determined by the municipal authority, so long as no bonds mature later than 50 years from the date of issue;
(4) Shall be exempt forever from any State, county, or municipal taxation; and
(5) Shall be a lien on all property within the municipality that issues them.
(c) Referendum.-
(1) Before issuing bonds under Part II of this subtitle, a municipal authority shall submit to a referendum of the voters of the municipality the question of whether to issue the bonds.
(2) The referendum shall be held at:
(i) Any regular municipal election; or
(ii) A special municipal election, provided that the voters are given at least 20 days' notice of the election.
(3) The referendum ballot shall include the words "for . . . bonds" and "against . . . bonds".
(4) If a majority of the votes cast are "for . . . bonds", the municipal authority may issue the bonds.
(5) If a majority of the votes cast are "against . . . bonds", the municipal authority:
(i) May not issue the bonds; but
(ii) May submit the question at any later regular or special municipal election as provided under this section, until a majority of the votes cast is "for . . . bonds".
[An. Code 1957, §§ 411, 425; 1982, ch. 240, § 2.]