2009 Rhode Island Code
Title 45 - Towns and cities
CHAPTER 45-12 - Indebtedness of Towns and Cities
§ 45-12-1 - Payment of indebtedness.

SECTION 45-12-1

   § 45-12-1  Payment of indebtedness. – The outstanding notes, bonds, and contracts of cities and towns shall be paid and fulfilled according to their tenor, and all public works now authorized to be prosecuted shall be prosecuted, and all indebtedness now authorized to be incurred on account thereof may be incurred, according to the tenor of the authority therefor. The power and obligation of each city and town to pay its general obligation bonds and notes, whether or not issued pursuant to this chapter, shall be unlimited, and each city and town shall levy ad valorem taxes upon all the taxable property within the city or town for the payment of the general obligation bonds or notes and interest on these bonds or notes, without limitation of rate or amount, except as otherwise provided by or pursuant to law. The faith and credit of each city and town shall be pledged for the payment of the principal of, premium and the interest on, all general obligation bonds and notes of the city or town whether or not the pledge is stated in the bonds or notes, or in the proceedings authorizing their issue. Each city and town shall annually appropriate a sum sufficient to pay the principal, premium and interest coming due within the year on all its general obligation bonds and notes to the extent that moneys for the general obligation bonds and notes are not otherwise provided. If that sum is not appropriated, it shall nevertheless be added to the annual tax levy.