Legal Documents of Dandridge

The town shall consider the ability to repay debt as it relates to the total budget resources, the wealth and income of the community, and its property tax base and other revenues available to service the debt. The town may consider debt ratios and other benchmarks compared to its peers when analyzing its debt including materials published by the nationally recognized credit rating agencies. In the absence of extraordinary circumstances, the town will seek to limit total outstanding debt obligations secured by the full faith and credit of the town that is outstanding at any one (1) time to not more than ten percent (10%) of the total assessed value within the town limits, excluding overlapping debt, enterprise debt, and revenue debt. The town's total outstanding debt obligation will be monitored and reported to the board of mayor and aldermen on an annual basis through various schedules included in both the comprehensive annual financial report and annual budget. The town administrator and finance director shall monitor the maturities, terms, and conditions of all obligations to ensure compliance. The town administrator and finance director shall also report to the board of mayor and aldermen any matter that adversely affects the credit or financial integrity of the town. (Ord. #11/12-08, Nov. 2011)