11.1 Forms of Borrowing
The City may issue the following securities to evidence any borrowing authorized by this Article XI and Article X: short-term notes; general obligation securities; revenue securities; improvement district securities; and securities similar to the foregoing, and any other lawfully recognized security.
11.2 Short-Term Notes
The City may borrow money, by ordinance, without an election, payable from the proceeds of ad valorem taxes or any other revenue of the City and issue short-term notes or similar securities to evidence the amount borrowed. The short-term notes or similar securities shall mature within twelve months from the date of issuance thereof.
11.3 Long Term General Obligation Securities
(a) Except as otherwise provided in Section 11.5, no securities payable in whole or in part from the proceeds of ad valorem taxes of the City and having a term or terms exceeding twelve months, shall be issued until the questions of issuance thereof be submitted to a vote of the registered electors of the City at a special or regular municipal election and approved by a majority of those voting thereon at such election.
(b) The total outstanding amount of such long-term securities to which ad valorem taxes are so pledged, as heretofore provided in this section, in whole or in part, shall not exceed at any time three percent of the actual value of the taxable property in the City as last determined by the County Assessor for assessment purposes pursuant to law.
(c) Requirements and limitations set forth in this section shall not apply to securities issued pursuant to the provisions of Article X.
11.4 Revenue Securities
(a) Revenue securities may be issued without an election and be payable solely from revenues other than the proceeds of the general ad valorem property tax, including, without limitation, revenue derived from the operation of the project or capital improvement constructed, acquired, or improved with the proceeds from such revenue securities; from other municipal projects or improvements; from any city imposed fees; from the available proceeds of any sales, use, excise or other tax; from revenue received by the City from the state or any other governmental entity; or from any part or combination of such sources.
(b) Revenue securities issued pursuant to this section may also be secured by pledge of ad valorem taxes of the City; provided, however, that prior to the issuance thereof such revenue securities shall be approved by a majority of the registered electors of the City at an election held as required in Section 11.3 hereof.
(c) Revenue securities to which ad valorem taxes are not pledged shall not be included in the limitation on total outstanding indebtedness as specified in Section 11.3 hereof.
11.5 Refunding Securities
The City may issue refunding bonds or other like securities for the purpose of refunding and providing for the payment of the outstanding bonds or other like securities of the City as the same mature, or in advance of maturity by means of an escrow or otherwise. No refunding bonds or other like securities issued for the purpose of refunding revenue securities shall be made payable in whole or in part from the proceeds of general property taxes or pledge the full faith and credit of the City unless they are first submitted to a vote pursuant to Section 11.3, except that no such vote shall be necessary as a condition precedent to the issuance of securities to refund securities originally issued with voter approval and local improvement securities.
11.6 Long Term Rentals and Leaseholds
The City Council may by ordinance, and without an election, enter into long-term rental or leasehold agreements for any municipal purpose. The agreements may include an option or options to purchase and acquire title to the property within a period not exceeding the useful life of the property. Long-term rental or leasehold agreements shall not be included in the limitation on total outstanding indebtedness as specified in Section 11.3 hereof.
11.7 Review of Proceedings
No action or proceeding at law or in equity to review any acts or proceedings, or to question the validity of, or enjoin the performance of the issue or collection of any securities; or the levy or collection of any assessments, or for any other relief against any acts or proceedings of the City done or had under this article shall be maintained against the City, unless commenced within twenty days after the performance of the act or the effective date of the resolution or ordinance or else be thereafter forever barred.
11.8 Terms, Interest, and Sales of Securities
The terms, redemption features, maximum interest rate, and similar details of securities shall be fixed by the authorizing ordinance or resolution, and the securities shall be sold at public or private sale, at above or below par, all as determined upon issuance to be to the best advantage to the City.