Opinion ID: 1206449
Heading Depth: 1
Heading Rank: 3

Heading: What is a constitutional debt?)

Text: In Laverents, supra, the constitutional efficacy of municipal revenue sewage disposal plant bonds secured only by the income from the facility was before the court where it was charged that the scheme was in violation of Article 16, § 2. We said that there would be no constitutionally prohibited debt if the city could not be called upon to pay the creditors should the facility-assessment income be insufficient for bond-redemption purposes. We said, also, that a further restriction upon the special-fund doctrine was that the bond creditor should be compelled to look to the fund alone and not to the general credit of the political entity issuing them. We further held that moral obligations do not create debts in the constitutional sense. [4] In my judgment, each of these injunctions is fully complied with under the Wyoming Community Development Authority Act in its utilization of excise taxes for special-fund financing.