A legal requirement pertaining to the issuance of additional bonds. It states that, before the new bond issue can be made, the issuer’s current revenues must cover more than the debt service on both the first issue and the proposed new issue.
A legal requirement pertaining to the issuance of additional bonds. It states that, before the new bond issue can be made, the issuer’s current revenues must cover more than the debt service on both the first issue and the proposed new issue.