Issuance of bonds; purpose; not general obligation of city

(1) Any city which has established a good life district economic development program may from time to time issue bonds as provided in sections 77-4418 to 77-4426 . Such bonds shall be in such principal amounts as the city's governing body authorizes to provide sufficient funds to carry out any of the purposes of and powers granted pursuant to the Good Life District Economic Development Act, including the payment of eligible costs and all other costs or expenses of the city incident to and necessary or convenient to carry out the good life district economic development program, and the principal of and interest on such bonds shall be payable from the local sources of revenue which are dedicated to the good life district economic development fund. Bonds may also be issued pursuant to the Good Life District Economic Development Act to provide funds to finance or refinance one or more redevelopment projects approved pursuant to the Community Development Law, and the taxes authorized or collected pursuant to sections 18-2142.02 and 18-2147 of the Community Development Law and which are permitted or required to be pledged pursuant to the Community Development Law for payment of bonds for a redevelopment project may be pledged by the city pursuant to the Good Life District Economic Development Act for payment of bonds issued hereunder to finance or refinance such redevelopment projects. Bonds may be issued by the city for such combination of eligible costs and redevelopment projects and other purposes permitted under the Good Life District Economic Development Act as determined appropriate by the city, and may be payable from such combination of local sources of revenue and taxes authorized under the act as determined appropriate by the city.

(2) The obligations of the city with respect to the good life district economic development program, including any bonds issued or contracts of the city entered into under the Good Life District Economic Development Act, shall not be a general obligation of the city or a pledge of its credit or taxing power, nor in any event shall such bonds or contracts be payable out of any funds or properties of the city, other than the local sources of revenue appropriated by the city and dedicated to the program pursuant to the act and the other taxes pledged for payment of bonds pursuant to the act. The bonds issued under the act shall not constitute an indebtedness within the meaning of any constitutional or statutory debt limitation or restriction.

(3) Notwithstanding anything to the contrary in the Good Life District Economic Development Act, any bonds, contracts, or other obligations which remain outstanding or unpaid upon termination of the program pursuant to section 77-4412 shall be deemed canceled and extinguished after all remaining amounts held in the applicable good life district economic development fund have been depleted to pay such bonds, contracts, or other obligations, and the city shall have no continued liability, express or implied, with respect to such bonds, contracts, or other obligations thereafter.