17-2351.   Issuance of revenue bonds; types; exemptfrom taxation.A municipality shall have power to issue bonds from time to time in itsdiscretion, for any of the purposes of this act. A municipality shallalso have power to issue refunding bonds for the purpose of paying orretiring bonds previously issued by it in the manner prescribed by and subjectto the provisions of K.S.A. 10-116a. A municipality may issue suchtypes of bonds as it may determine, including (without limiting thegenerality of the foregoing) bonds on which the principal and interestare payable (a) exclusively from the income and revenues of the projectfinanced with the proceeds of such bonds, or (b) exclusively from theincome and revenues of certain designated housing projects whether ornot they are financed in whole or in part with the proceeds of suchbonds. Any such bonds may be additionally secured by a pledge of anyloan, grant or contribution or parts thereof from the federal governmentor other source, or a pledge of any income or revenues connected with ahousing project or a mortgage of any housing project or projects.

      Neither the governing body of a municipality nor any person executingthe bonds shall be liable personally on the bonds by reason of theissuance thereof hereunder. The bonds and other obligations issued underthe provisions of this act (and such bonds and obligations shall sostate on their face) shall be payable solely from the sources providedin this section and shall not constitute an indebtedness within themeaning of any constitutional or statutory debt limitation orrestriction and shall not under any circumstances become generalobligations of the municipality. Bonds issued pursuant to this act aredeclared to be issued for an essential public and governmental purposeand to be public instrumentalities and, together with interest thereonand income therefrom, shall be exempt from taxes. The tax exemptionprovisions of this act shall be considered part of the security for therepayment of bonds and shall constitute, by virtue of this act andwithout the necessity of the same being restated in said bonds, acontract between the bondholders and each and every one thereof,including all transferees of said bonds from time to time on the onehand and the respective municipalities issuing said bonds and the stateon the other.

      History:   L. 1957, ch. 132, § 15; L. 1973, ch. 96, § 11; L. 1977,ch. 58, § 12; May 18.