Section 28.00. Capital notes

a.  Any  municipality, school district or
  district corporation may issue capital notes to finance all or  part  of
  the cost of any object or purpose for which serial or sinking fund bonds
  may  be  issued. Such capital notes may be renewed from time to time but
  such notes, including the renewals thereof, shall mature not later  than
  the  last  day  of  the second fiscal year succeeding the fiscal year in
  which such notes are issued. However, an installment of  not  less  than
  fifty  per  centum of the amount of such notes shall mature in the first
  fiscal year succeeding the fiscal year in which such notes  are  issued,
  unless  such  notes  are authorized and issued during a fiscal year at a
  time subsequent to the date of the adoption of the annual budget for the
  next succeeding fiscal year.
    b. Capital notes shall be redeemed out of  the  taxes  or  assessments
  levied  or  to be levied for the fiscal year in which they mature or out
  of other revenues  of  that  fiscal  year  legally  available  for  that
  purpose.