§39-64  Revenue bonds not a general
or moral obligation of State.  Unless otherwise provided in this section,
revenue bonds issued pursuant to this part shall be payable solely from and
secured by the revenue, or the user taxes, or combination of both, of the
undertaking or loan program for which the revenue bonds have been issued,
pledged to the payment thereof, or secured solely by and payable solely from a
special fund to be maintained from the revenue, or user taxes, or combination
of both, pledged to the special fund, and shall not constitute a general or
moral obligation of the State or a charge upon the general fund of the State,
nor shall the full faith and credit of the State be pledged to the payment of
the principal and interest thereof.



Revenue bonds issued for the purpose of
establishing and administering a loan program authorized by law may also be
secured by a pledge of all or a portion of undertakings, mortgages, and other
obligations held by the department as security for a loan made under the
program.  Each revenue bond issued pursuant to this part shall recite in
substance that the revenue bonds and the interest thereon are payable from and
secured by the revenue, or the user taxes, or combination of both, of the
undertaking or loan program for which the revenue bond is issued, pledged to
the payment thereof, or secured by and payable from a special fund to be
maintained from the revenue, or user taxes, or combination of both, pledged to
the special fund, and that the revenue bond is not a general or moral
obligation of the State and the full faith and credit of the State are not
pledged to the payment of principal and interest. [L 1988, c 28, pt of §3]



 



Cross References



 



  See Const. art. VII, §§12, 13.