As Amended
SEC. 21-33-303. Limitation of indebtedness.
No municipality shall hereafter issue bonds secured by a pledge of its
full faith and credit for the purposes authorized by law in an amount which,
when added to the then outstanding bonded indebtedness of such municipality,
shall exceed either (a) fifteen percent (15%) of the assessed value of
the taxable property within such municipality, according to the last completed
assessment for taxation, or (b) ten percent (10%) of the assessment upon
which taxes were levied for its fiscal year ending September 30, 1984,
whichever is greater. In computing such indebtedness, there may be deducted
all bonds or other evidences of indebtedness, heretofore or hereafter issued,
for school, water, sewerage systems, gas, and light and power purposes
and for the construction of special improvements primarily chargeable to
the property benefited, or for the purpose of paying the municipality's
proportion of any betterment program, a portion of which is primarily chargeable
to the property benefited. However, in no case shall any municipality contract
any indebtedness which, when added to all of the outstanding general obligation
indebtedness, both bonded and floating, shall exceed either (a) twenty
percent (20%) of the assessed value of all taxable property within such
municipality according to the last completed assessment for taxation or
(b) fifteen percent (15%) of the assessment upon which taxes were levied
for its fiscal year ending September 30, 1984, whichever is greater. Nothing
herein contained shall be construed to apply to contract obligations in
any form heretofore or hereafter incurred by any municipality which are
subject to annual appropriations therefor, or to bonds heretofore issued
by any municipality for school purposes, or to contract obligations in
any form heretofore or hereafter incurred by any municipality which are
payable exclusively from the revenues of any municipally-owned utility,
or to bonds issued by any municipality under the provisions of Sections
57-1-1 through
57-1-51, or
to any special assessment improvement bonds issued by any municipality
under the provisions of Sections 21-41-1
through 21-41-53,
or to any indebtedness incurred pursuant to Section 4 of Senate Bill No.
3046, 2001 Regular Session.
All bonds issued prior to July 1, 1990, pursuant to this chapter by
any municipality for the purpose of the constructing, replacing, renovating
or improving wastewater collection and treatment facilities in order to
comply with an administrative order of the Mississippi Department of Natural
Resources issued pursuant to the Federal Water Pollution Control Act and
amendments thereto, are hereby exempt from the limitation imposed by this
section if the governing body of the municipality adopts an order, resolution
or ordinance to the effect that the rates paid by the users of such facilities
shall be increased to the extent necessary to provide sufficient funds
for the payment of the principal of and interest on such bonds as each
respectively becomes due and payable as well as the necessary expenses
in connection with the operation and maintenance of such facilities.
SOURCES: Codes, Hemingway's 1917, §§ 5969, 5971; Hemingway's 1921 Supp. § 6069p; Laws, 1930, §§ 2484, 2485; Laws, 1942 § 3598-02; Laws, 1914, ch. 147; Laws, 1920, ch. 169; Laws, 1932, ch. 235; Laws, 1950, ch. 493, § 2; Laws, 1955, Ex. Sess., ch. 96; Laws, 1962, ch. 555; Laws, 1982, ch. 347, § 2; Laws, 1985, ch. 476, § 2; Laws, 1987, ch. 424, § 2; Laws, 1989, ch. 516, § 1; Laws, 1989, ch. 499, § 1; Laws, 1992, ch. 499 § 1; Laws, 1995, ch. 526, § 2; Laws, 1996, ch. 401, § 1; Laws, 2001, ch. 602, § 12, SB 3046, eff from and after passage (approved Apr. 16, 2001.)
PREVIOUS VERSION: Pre-2001.