Mississippi Code 1972 (2023) › Title 21 - MUNICIPALITIES (§§ 21-1-1 — 21-47-5) › Chapter 33 - TAXATION AND FINANCE (§§ 21-33-1 — 21-33-561) › Article 5 - BONDS (§§ 21-33-301 — 21-33-329) › Section 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 under Section
55-23-8
, or to any indebtedness incurred through a loan to a municipality under Section
57-75-11(tt)
in connection with a project defined in Section
57-75-5(f)(xxvii)
.
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.
Codes, Hemingway's 1917, §§ 5969, 5971; Hemingway's 1921 Supp. § 6069p; 1930, §§ 2484, 2485; 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, eff. 4/16/2001.
Amended by Laws, 2020, ch. 481, HB 23,§ 1, eff. 7/8/2020.