California's constitutional prohibition on excessive municipal debt doesn't apply in situations where cities must pay involuntary judgments such as inverse condemnation awards, the Fifth District Court of Appeal has ruled. Furthermore, the court suggested that a city may be legally obligated to increase taxes without a vote, as otherwise required under Proposition 13, in order to pay the judgment.
The ruling came in a case by several farming companies against the City of Lindsay, in Tulare Co...
