Alabama Constitution Section 222 Issuance of bonds by counties municipal corporations districts and other political subdivisions of counties
Here is the text and explanation for Section 222 of the Alabama Constitution:
Alabama Constitution – Section 222
Issuance of bonds by counties, municipal corporations, districts, and other political subdivisions of counties
“No county, city, town, or other subdivision of a county shall become indebted in an amount exceeding the income and revenue provided for such year, without the assent of a majority of the qualified electors thereof voting at an election held for that purpose, nor shall any such county or other subdivision thereof incur any new debt or liability for any object, unless such debt or liability be authorized by law.”
Explanation:
Section 222 places limits and conditions on how local governments (like counties, cities, towns, or special districts) in Alabama can borrow money or issue bonds:
Debt Limit Without Voter Approval: A county or city cannot incur debt beyond its current year's income/revenue unless a majority of voters approve it in a special election.
Legal Authorization Required: Even if voters approve the debt, it still must be authorized by state law—meaning local governments can’t independently decide to take on new debt without proper legal backing.
Purpose of This Provision:
Protects financial stability by preventing reckless borrowing.
Gives taxpayers a direct say before their local governments can take on major debts.
Ensures transparency and accountability in public finance at the local level.
0 comments