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HomePublic Utilities CodeDiv. 10Pt. 13Ch. 8Art. 4§ 101316 Refunding Bonds Voter Exemption

§ 101316 Refunding Bonds Voter Exemption

Public Utilities Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 101316 Refunding Bonds Voter Exemption

This law says that when the government issues new bonds to pay off old ones, it doesn't count as new debt, and voters don't need to approve it. It also lets the government decide to pay back these bonds early.

Key Takeaways

  • •Refunding bonds (new loans to pay off old ones) don't count as new debt.
  • •Voters don't need to approve refunding bonds.
  • •The government can decide to pay back these bonds early.

Example

Imagine the city took out a loan to build a park 10 years ago. Now, they want to take out a new loan to pay off the old one because the new loan has better terms.

The city doesn't need to ask voters for permission to do this, and they can also choose to pay back the new loan early if they want.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 101316 Refunding Bonds Voter Exemption

The issuance of refunding bonds shall not be construed as the incurring or increase of an indebtedness within the meaning of this part, and the approval of the voters is not required for the issuance of refunding bonds. The board may provide for the call and redemption of any or all of the bonds on any interest payment date prior to their fixed maturity in the ordinance authorizing the issuance of the refunding bonds. (Added by Stats. 1971, Ch. 1161.)

Last verified: January 11, 2026

Key Terms

refunding bondsindebtednessvoter approvalcall and redemption

Related Statutes

  • § 13282 Refunding Bonds Exemption
  • § 26282 Refunding Bonds Exemption
  • § 29214 Refunding Bond Proceeds Use
  • § 29215 Refunding Bond Proceeds Use
  • § 101315 Bond Refunding Authority

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Utilities Code. Section 101316.
View Official Source