Amendment status not verified — confirm the current text below against the official source.
(1) Notwithstanding anything contained in the forgoing provisions the borrowing powers of a Municipality shall be as prescribed, in relation to the total annual receipts of that Municipality. Provided that nothing contained in this section shall prevent the issuance of Revenue Bonds by the Municipality, secured by pledge of the revenue stream from the project and strengthened on the basis of escrow account or credit enhancement conditions: Provided further that the short fall in the escrow account would be made good from the grants due from Government intimation by the trustees.] Section 299 substituted by Act 14 of 1999, w.e.f. 24-3-1999. Prior to the substitution it read as under: "299. Limitation on borrowing power.- Notwithstanding anything hereinbefore contained the borrowing powers of a Municipality shall be limited as hereafter provided, to the sum payable annually as interest and for the maintanance of the sinking funds and repayment of any sums and intrest borrowed otherwise and shall not, except with the express sanction of the Government, exceed twelve and a half per cent of the annual value of buildings, and lands as determined under this Chapter."