12-5228.   Payment of bonds; bonded debt limitations inapplicable.All bonds issued under and pursuant to this act shall be limitedobligations of the city or county issuing the same, payable solely fromthe revenues and receipts derived from the home mortgage loans or from anynotes or other obligations of persons with respect to which such bonds areissued and secured by a mortgage, pledge, security interest, insurance agreementor indenture of trust of or with respect to such home mortgage loans. Nocity or county shall have any right or authority to levy taxes to pay anyof the principal of, redemption premium, if any, or interest on any bondsissued pursuant to this act or any judgment against a city or county onaccount thereof. No holder of any bonds issued under this act shall havethe right to compel any exercise of the taxing power of a city or countyto pay the bonds, the interest or redemption premium, if any, thereon, andthe bonds shall not constitute an indebtedness of such city or county, ora loan of the faith and credit thereof, within the meaning of any constitutionalor statutory provision, nor shall the bonds be construed to create any moralobligation on the part of such city or county to provide for the paymentof such bonds. It shall be plainly stated on the face of each bond thatit has been issued under the provisions of this act and that it does notconstitute an indebtedness of the city or county, or a loan of the faithand credit thereof, within the meaning of any constitutional or statutoryprovisions. Bonds may be issued pursuant to this act without regard to anystatutory limitations of bonded indebtedness and shall not be included incomputing the total bonded indebtedness of any city or county within themeaning of other statutes limiting such bonded indebtedness.

      History:   L. 1982, ch. 60, § 10; April 22.