§ 20010 Bond Proceeds Not Taxes

• •Money from selling bonds (like borrowing money) is not the same as tax money.
• •This money can be spent without following the usual tax money rules.
• •This law was approved by voters in 2000.

A city wants to build a new park but doesn’t have enough tax money.

The city can sell bonds (like taking a loan) to get the money. Since this isn’t tax money, they don’t have to follow the strict spending rules that apply to taxes.