This is from the Bond Buyer article that was used for the Forbes article.
https://www.bondbuyer.com/news/city-streets-back-new-bonds-california-cities-issue-to-fund-pensions
Ultimately, the cities' general funds will pay the debt service.
“Similar to other lease-back deals, the city leases property to the financing authority, the city makes rental payments, and the financing authority makes the bond payments,” said Mike Meyer, a vice president with NHA Advisors, an advisor to the two cities. “It isn’t that common to pledge streets, but several cities have over the years to finance sizeable projects.”
The move prompted city residents to ask if the city defaults on the bonds could bondholders charge tolls on the streets to pay off the bonds.
“In our experience, the structure does not allow for investors to take control of the roads or turn them into toll roads,” Meyer said. “The remedy would be the trustee suing the city for lease payments.”