General obligation bonds and limited and unlimited tax general obligation (LTGO) have been the traditional form of financing for capital projects such as administrative facilities (City Halls, Courts, etc.) owned and operated by government.
Councilmanic bonds, also known as limited LTGOs, may be issued by a vote of the legislative body of government entity. Councilmanic bonds do not require a ballot vote. Because voters are not asked to approve a tax increase to pay for the principal and interest, general fund revenues must be pledged to pay the debt service on LTGO bonds. LTGO debt does not provide any additional revenue to fund debt service payments but must be paid from existing revenue sources.