Sec. 1371.103. SECURITY FOR OBLIGATION. (a) An obligation must be secured solely by: (1) the proceeds from the sale of other obligations; (2) the proceeds from the sale of revenue bonds payable from the revenue to be received from a public works or a specified user of a public works; (3) any revenue that the issuer is authorized by the constitution, a statute, or the charter of a home-rule municipality to pledge to the payment of an obligation; (4) a credit agreement; or (5) any combination of those sources. (b) A governing body may secure an obligation and pay the cost of a credit agreement executed and delivered in connection with the financing of a project cost with: (1) the sources permitted by this chapter; and (2) ad valorem taxes to the extent the project cost relates to an eligible project financed or to be financed with obligations payable from ad valorem taxes.
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