Alabama Const. art. 12, § 222 — Alabama Constitution / Article 12 / Section 222
Issuance of bonds by counties, municipal corporations, districts and other political subdivisions of counties. The legislature, after the ratification of this Constitution, shall have author ity to pa
Status: in_force

Sec. 222. Issuance of bonds by counties, municipal corporations, districts and other political subdivisions of counties. The legislature, after the ratification of this Constitution, shall have author ity to pass general laws authorizing the counties, cities, towns, villages, districts, or other political subdivisions of counties to issue bonds, but no bonds shall be issued under authority of a general law unless such issue of bonds be first authorized by a majority vote by ballot of the qualified voters of such county, city, town, village, district, or other political subdivision of a county, voting upon such proposition. The ballot used at such election shall contain the words: ‘‘For bond issue,’’ and ‘‘Against bond issue’’ (the character ofthe bond to be shown in the blank space), and the voter shall indicate his choiceby placing a cross mark before or after the one or the other. This section shall not apply to the renewal, refunding, or reissue of bonds lawfully issued, nor to the issuance ofbonds in cases where the same havebeen authorized by lawsenacted prior to the ratification of this Constitution, nor shall this section apply to obligations incurred or bonds tobe issued to procure means to pay for streetand sidewalk improvements or sanitary or storm water sewers, the cost of which is to be assessed, in whole or in part, against the property abutting said improvements or drained by such sanitary or storm water sewers. Sec. 222.01. Issuance of revenue bonds and other revenue securities by municipalities. Revenue bonds and other revenue securities at any time issued by a municipality for the purpose of extending, enlarging or improving any water, sewer, gas or electric system then owned by such municipality shall not be deemed to constitute bonds or indebtedness of such municipality within the meaning of sections 222 and 225 of this Constitution if by their terms such bonds or other securities are not made a charge on the general credit or tax revenues of the issuing municipality and are made payable solely out of revenues derived from the operation of any one or more of such systems.

Sec. 222.02. Bonds and other securities issued by certain public corporations. Each public corporation heretofore or hereafter organized or created in this state pursuant to authorization or determination by any municipality or municipalities, or county or counties, or the governing body of any one or more 226

thereof, shall for the purposes of sections 222, 224, and 225 of this Constitution be deemed to be a separate entity from such municipality or municipalities, or county or counties. Bonds and other securities heretofore or hereafter issued by any public corporation so organized shall not be deemed to constitute bonds or indebtedness within the meaning of said sections even though property, whether or not capable of producing income, may have been transferred to such public corporation by any one or more of such municipalities or counties either with or without the payment of pecuniary or other consideration.

Sec. 222.03. Bonds for voting machines. Section 1. The several counties of the state may become indebted and issue and sell general obligation bonds or other evidence of such indebtedness for the purpose of paying the cost of installing and providing for the use of voting machines at all elections held within the county and the municipalities therein, (any provision of article 12 of this Constitution to the contrary notwithstanding). Such debts may be created and evidence thereof issued without a vote of the qualified electors of the county, but any debt so created shall be repaid within 20 years from the date of its creation. Section 2. The legislature may enact general, special or local laws to enforce and implement this amendment.

Sec. 222.04. Bonds for enlargement, etc., of municipally–owned manufacturing, industrial or commercial projects. Revenue bonds at any time issued by a municipality (a) for the purpose of enlarging, improving or expanding any manufacturing, industrial or commercial project then owned by such municipality and acquired by it pursuant to the provisions of Act No. 756 enacted at the 1951 regular session of the legislature of Alabama as heretofore amended, or (b) for the combined purpose of so enlarging, improving or expanding any such project and of refunding any revenue bonds theretofore issued by it under said Act 756, shall not be deemed to constitute bonds or indebtedness of such municipality within the meaning of sections 222 and 225 of this Constitution if by their terms such bonds are not made acharge on the general credit or tax revenues ofthe issuing municipality and are made payable solely out of revenues to be derived by such municipality from the leasing of such project as so enlarged, improved or expanded. Each municipality in the state is hereby authorized so to issue such revenue bonds, for either or both such purposes, at any time and from time to time and on the same terms and conditions, with the necessary changes in

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details, as prescribed in said Act No. 756 for the issuance of revenue bonds for the purpose of acquiring such a project, anything in the Constitution of this state or in said Act No. 756 to the contrary notwithstanding.

Sec. 222.05. Certain county revenue securities not to constitute bonds or indebtedness. Revenue bonds or other revenue securities at any time issued by a county for the purpose of extending, enlarging or improving any water, sewer, gas or electric system then owned by such county shall not be deemed to constitute bonds or indebtedness of such county within the meaning of Sections 222, 224 or Amendment No. 342 [amending § 224] of this Constitution, if by their terms such bonds or other securities are not made a charge on the general credit or tax revenues of the issuing county and are made payable solely out of revenues derived from the operation of any one or more of such systems.