Section 11.1 General authorization to borrow money.
(a) The City shall have the power to borrow money for any public purpose and to issue its evidences of indebtedness therefor. Such evidence of indebtedness shall include, but not be limited to those enumerated in the following three categories:
(1) Bonds for capital improvements authorized by the Council and ratified by a majority of the electors qualified under Section 10.3(b) and who vote thereon, voting at any regular or special election;
(a) General obligation bonds, the principal and interest of which are payable from taxes levied upon the taxable real and personal property in the city, and from any other sources of revenue and for the payment of which the full faith and credit of the city are pledged without limitation as to rate or amount;
(b) Special assessment bonds which are issued in anticipation of the payments of special assessments, or any combination of two or more special assessments, which bonds shall be both on obligation of the special assessment district or districts and a general obligation of the city;
(c) General obligation bonds which are also secured by the revenue from a revenue producing utility, such bonds being issued for the acquisition, construction, or improvement of the utility;
(2) Revenue bonds which are secured only by the revenue producing public utilities and do not constitute a general obligation or debt of the city. Such revenue bonds shall be authorized by the Council and ratified by a majority of the electors qualified under Section 10.3(a);
(3) Those bonds and other obligations which may be authorized by the Council and do not require ratification by the qualified electors of the City;
(a) Revenue or tax anticipation notes which may be issued in anticipation of the collection of any revenues, including taxes, in or during the current fiscal year of the City, for the purpose of meeting appropriations during the year;
(b) Disaster bonds or notes to be issued in case of fire, flood, wind, explosion, war damage, volcanic action, earthquake, or other calamity for the preservation and rehabilitation of municipal capital improvements, in a sum not to exceed two percent of the assessed value of all the real and personal property in the city, and due in not more than ten years;
(c) Notes for loans from accumulated reserves of the city on a definite plan for the repayment thereof and of interest thereon as provided by the Council;
(b) Bonds or notes on which a vote of the electorate is not required may be authorized by the Council. No such bonds or notes shall be issued, however, until not less than thirty days have passed from the date of Council authorization. The purpose of this section is to provide the electors of the city an opportunity to exercise their right for referendum. Disaster bonds or notes may be issued immediately upon receiving proper authorization by the Council.
(c) Each bond or other evidence of indebtedness shall contain on its face a statement specifying the purpose for which it is issued. No officer of the city shall use the proceeds thereof for any other purpose, except that whenever the proceeds of any bond issue or a part thereof remain unexpended and unencumbered for the purpose for which said bond issued was made, the Council shall authorize the use of such unexpended and unencumbered funds only in accordance with the following order of priority:
(1) for the retirement of such bond issue;
(2) if such bond issue has been fully retired, then for the retirement of other bonds or obligations of the city;
(3) for any other public improvement purpose or purposes of a like nature;
(4) if such funds cannot be used as above permitted, then in any other manner determined by the Council.
(d) No bond or other evidence of indebtedness of the city, regardless of type or purpose, shall bear interest, either directly or indirectly, at a rate exceeding the maximum permitted by law.
(e) All bonds and other evidences of indebtedness of the city shall be signed by the Mayor and countersigned by the Clerk under the seal of the city. Interest coupons shall be executed with the facsimile signature of the Clerk.
(f) A complete and detailed record of all bonds and other evidences of indebtedness shall be kept by an officer designated in the code. Upon the payment of any bond or other evidences of indebtedness, the same shall be marked “Paid,” or otherwise cancelled on its face.