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Terms Used In Louisiana Constitution Art. 6 Sec. 37

  • Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
  • Political subdivision: means a parish, municipality, and any other unit of local government, including a school board and a special district, authorized by law to perform governmental functions. See Louisiana Constitution Art. 6 Sec. 44

Section 37.(A)  Authorization.  The legislature by law may authorize political subdivisions to issue bonds or other debt obligations to construct, acquire, extend, or improve any revenue-producing public utility or work of public improvement.  The bonds or other debt obligations may be secured by mortgage on the lands, buildings, machinery, and equipment or by the pledge of the income and revenues of the public utility or work of public improvement.  They shall not be a charge upon the other income and revenues of the political subdivision.  

(B)  Exception.  This Section shall not apply to a school board.