NORTH CAROLINA GENERAL ASSEMBLY

1969 SESSION

CHAPTER 995

SENATE BILL 745

AN ACT TO AMEND SECTION 160-383 OF THE GENERAL STATUTES, BEING A PART OF THE MUNICIPAL FINANCE ACT, 1921, CONCERNING THE LIMITATION ON THE INCURRING OF DEBT.

The General Assembly of North Carolina do enact:

Section 1.  Subdivision (4) of subsection (a) of Section 160-383 of Article 28 of Chapter 160 of the General Statutes of North Carolina, the same being part of the Municipal Finance Act, 1921, as amended, is hereby amended to read as follows:

"(4)      The true valuation of taxable property in the municipality, consisting of

(i)         the true value of real and personal property last used in fixing the assessed valuation of property for municipal taxation

and

(ii)        the true value of property subject to taxation under the provisions of Article 26 of Chapter 105 of the General Statutes, as it may be amended from time to time, as last determined by the State Board of Assessment."

and subdivision (5) of subsection (a) of said Section 160-383 is hereby amended to read as follows:

"(5)      The percentage that the net debt bears to said true valuation".

Sec. 2.  Subdivision (5) of subsection (b) of said Section 160-383 is hereby amended to read as follows:

"(b)      The ordinance shall not be passed unless it appears from said statement that the said net debt does not exceed ___ per centum (__%) of said true valuation, unless the bonds to be issued under the ordinance are to be funding or refunding bonds, or are bonds for water, gas, electric light or power purposes, or two or more of said purposes or are bonds for sanitary sewers, sewage disposal or sewage purification plants, the construction of which shall have been ordered by the Board of Water and Air Resources, which Board is hereby authorized to make such order, or by a court of competent jurisdiction or are bonds for erosion control purposes or are bonds for erecting jetties or other protective works to prevent encroachment by the ocean, sounds or other bodies of water."

Sec. 3.  Nothing in this Act shall be deemed to affect the validity of any bond ordinance adopted prior to the effective date of this Act or the power of a municipality to proceed with the calling and holding of an election thereon or the issuance of bonds or bond anticipation notes pursuant thereto.

Sec. 4.  All laws and clauses of laws in conflict with the provisions of this Act are hereby repealed; provided, however, that nothing in this Act shall limit the power of a municipality to adopt a bond ordinance in accordance with the provisions of any applicable special or local act relating to a limitation on indebtedness notwithstanding that such ordinance could not be adopted under the limitation on indebtedness provided by this Act.

Sec. 5.  This Act shall be in full force and effect on and after July 1, 1969.

In the General Assembly read three times and ratified, this the 23rd day of June, 1969.