(a) Obligations payable from ad valorem taxes, other than refunding obligations, may be issued only if authorized at an election held under Chapter 1251, Government Code.
(b) Notwithstanding any law or charter provision to the contrary, an election is not required to authorize the issuance under this chapter of obligations payable solely from revenue if:
(1) the obligations are not:
(A) a debt of the municipality; or
(B) a pledge of the faith and credit of the municipality; and
(2) the owner or holder of an obligation is not entitled to demand payment from money raised by taxation.