§ 14-234-509 - Bonds -- Nature of indebtedness. - Arkansas Statutes

14-234-509. Bonds -- Nature of indebtedness.

(a) Bonds issued under the provisions of this subchapter shall be payable solely from the total revenues derived from the waterworks systems of all of the municipalities joining in the undertaking.

(b) The bonds shall not in any event constitute an indebtedness of the municipalities within the meaning of the constitutional provisions or limitations.

(c) It shall be plainly stated on the face of each bond that it has been issued under the provisions of this subchapter, that it does not constitute an indebtedness of the municipalities within any constitutional or statutory limitation, and that it is the joint and several obligation of all the municipalities executing the bond, payable solely from the total net revenues of the waterworks systems of the municipalities.