12-6a35.   Same; special obligation bonds; issuance;not subject to statutory bonded indebtedness limitations.(a) Any municipality may issue special obligationbonds in one or more series to finance any project in accordance withthe provisions of this act. Such bonds shall be made payable, both asto principal and interest solely from a pledge of the sources of fundsdescribed in subsections (a), (b), (c) and (e) of K.S.A. 2009 Supp. 12-6a33,andamendments thereto. The municipality may pledge such revenue to therepayment of such bonds prior to, simultaneously with or subsequent tothe issuance of such bonds, except for any revenues received underthe provisions of subsection (e) of K.S.A. 2009 Supp. 12-6a33 and amendmentsthereto,which revenues are subject to annual appropriation.

      (b)   Bonds issued pursuant to this section shall not be generalobligations of the municipality, give rise to a charge against its generalcredit or taxing powers, or be payable out of any funds or propertiesother than any of those set forth in subsections (a), (b), (c) and (e) ofK.S.A. 2009 Supp. 12-6a33, and amendments thereto, and such bonds shall sostate ontheir face.

      (c)   Bonds issued pursuant to this section shall be specialobligations of the municipality and are declared to be negotiableinstruments. Such bonds shall be executed by the authorizedrepresentatives of the municipality and sealed with the corporate sealof the municipality. All details pertaining to the issuance of the bondsand terms and conditions thereof shall be determined by ordinance orresolution of the municipality. The provisions of K.S.A. 10-106, andamendments thereto, requiring a public sale of bonds shall not apply tobonds issued under this section. All bonds issued pursuant to thissection and all income or interest therefrom shall be exempt from allstate taxes except inheritance taxes. Such bonds shall contain none ofthe recitals set forth in K.S.A. 10-112, and amendments thereto. Suchbonds shall contain the following recitals: The authority under whichsuch bonds are issued; that such bonds are in conformity with theprovisions, restrictions and limitations thereof and that such bondsand the interest thereon are to be paid from the money and revenuereceived as provided in this section. Such bonds shall mature in nomore than 22 years.

      (d)   Any municipality issuing bonds under the provisions of thissection may refund all or part of such bonds pursuant to the provisionsof K.S.A. 10-116a, and amendments thereto.

      (e)   Bonds issued under the provisions of this section shall be inaddition to and not subject to any statutory limitation of bondedindebtedness imposed on such municipality.

      History:   L. 2009, ch. 122, § 11; July 1.