§ 3-63. Council may pledge credit of City when authorized by voters to do so

(a) Whenever the legal voters of said City, by two-thirds vote of all voters present and voting on the question at any special or annual City meeting duly warned for the purpose, or, if the purpose shall be the making of an improvement relating to a public school by a majority vote of all voters present and voting on the question, shall give authority to the City Council thereof to pledge the credit of said City for any purpose by issuing its negotiable orders, warrants, notes, or bonds, or whenever the City Council shall determine by resolution, upon prior recommendation of the Board of Light Commissioners, that it is necessary during a fiscal year to pledge the credit of the City by issuing its negotiable orders, warrants, notes, or bonds in an amount not to exceed in the aggregate $3 million in any such fiscal year for the purpose of providing capital improvements, additions, and replacements required for the efficient and economical operation of the Electric Light Department, said City shall have power and authority to issue its negotiable orders, warrants, notes, or bonds, and to prescribe whether such bonds shall be registered or have interest coupons attached, to the amount, not to exceed the limit prescribed by the general laws of the State, for which authority has been given as aforesaid to so pledge the credit of said City; such notes or bonds to be of such denominations, payable at such time or times; and at such a rate of interest, and to be sold and registered in such manner and under such terms and conditions as shall be established by resolution of said City Council.

(b) Notwithstanding subsection (a) of this section, however, a City Council resolution authorizing the credit of the City to be pledged in an amount not to exceed $3 million in a fiscal year for the operation of the Electric Light Department as aforesaid shall not give the City power to so pledge its credit until 44 days have passed following the effective date of such resolution. If during such 44-day period a petition is filed with the Chief Administrative Officer signed by not less than five percent of the qualified voters of the City requesting a referendum vote on whether the credit of the City will be pledged in accordance with the City Council resolution, the credit of the City shall not be pledged pursuant thereto unless a majority of the qualified voters of the City present and voting at a duly warned annual or special City meeting vote to affirm such City Council resolution. Upon receipt of a proper petition, a special City meeting shall be called by the City Council within 60 days from the date such petition is received, or if the next annual City meeting falls within the 60-day period, the City Council shall include an article in the warning for such annual City meeting, to determine whether the voters will affirm such resolution. If at such City meeting a majority of the qualified voters voting on the question affirm the action of the City Council, the City shall have power to pledge its credit pursuant to the City Council resolution as of the day following such City meeting. If the City Council resolution is not affirmed by a majority of the qualified voters voting on the question, the City shall not have power to pledge its credit in accordance with such resolution. (Amended 2005, No. M-3, § 5, eff. May 12, 2005; 2011, No. M-12 (Adj. Sess.), § 2, eff. May 3, 2012.)