10-120a.   Bond election; notice requirements.(a) When used in this section, "municipality" means anycounty, township, city, municipal university, school district and any othertaxing district or political subdivision of the state which is, or may be,authorized to issue bonds.

      (b)   Whenever any municipality proposes to issue bonds and an election isrequired to be held prior to such issuance, the governing body of suchmunicipality shall include in the notice of such election the following:

      (1)   The total amount of the bonds to be issued;

      (2)   the amount of such bonds which represent the actual cost of the projectfinanced by the bonds to be issued;

      (3)   the projected amount of interest to be paid until the bonds are retired. Such projectedamount shall be determined by using the interest rate from most recent bondissuances for the financing of similar projects by similar municipalities;

      (4)   the projected amount of all expenses incurred in such bond issuanceincluding, but not limited to, attorney fees, underwriter fees and the cost ofprinting such bonds;

      (5)   the projected amount of the annual payments for principle and intereston the bonds;

      (6)   the projected annual rate of taxation and the source of taxationnecessary to retire such bonds; and

      (7)   any other information deemed necessary by the governing body of themunicipality to provide full disclosure relating to the proposed bond issue.

      (c)   For the purposes of this section, an election is required to be heldwhenever a law specifically requires an election to be called or whenever a lawauthorizes the filing of a petition requesting an election and a sufficientpetition is filed as required by such law.

      (d)   Nothing in this section shall be grounds to challenge thevalidity of the election on or the issuance of such bonds if the governing bodyhas made a good faith effort to make accurate projections based upon theinformation available to the governing body at the time of making suchprojections.

      History:   L. 1995, ch. 269, § 1; July 1.