Chap. 16.—An ACT authorizing the board of supervisors of Rockbridge county
to issue bonds for the purpose of refunding the indebtedness of the said
county created to pay the subscriptions of the said county to the stock of the
Valley Railroad Company.

Approved December 19, 1901.

Whereas, an act was passed by the general assembly of Virginia, ap-
proved February fifth, eighteen hundred and ninety-two, authorizing the
board of supervisors of Rockbridge county to issue new bonds to refund
the indebtedness of the county of Rockbridge created to pay the subscrip-
tion of the county to the stock of the Valley Railroad Company ; and,

Whereas, the said supervisors, under said act, issued one hundred and
fifty thousand dollars in bonds bearing five per centum interest on the
first day of July, eighteen hundred and ninety-two, redeemable on and
after the first day of July, nineteen hundred and two; and a further issue
of fifty-two thousand dollars in bonds bearing five per centum interest on
the first day of January, eighteen hundred and ninety-six, and redeem-
able at the pleasure of the board of supervisors, of which last issue
twenty-eight thousand five hundred dollars have been retired and paid in
full; and,

Whereas, it is thought desirable by the said board of supervisors to
refund all of the outstanding bonds of both issues with bonds bearing @
less rate of interest :

1. Be it enacted by the general assembly of Virginia, That it shall be
lawful for the board of supervisors of Rockbridge county, on behalf and
in the name of said county, to make and issue, and the said board is hereby
authorized and empowered to make and issue, bonds of said county, which
may be either coupon or registered, in denominations of one hundred
dollars, or multiples thereof, to bear a rate of interest not exceeding four
per centum per annum, payable semi-annually, to be payable not exceed-
ing thirty years after date, at the option of the board of supervisors, to be
in such form as may be prescribed by the said board, and not to exceed
in their aggregate amount the aggregate sum of the existing outstanding
bonds of said county heretofore issued in payment of its subscription to
the capital stock of the Valley Railroad Company. The bonds hereby
authorized to be issued shall be used exclusively for the purpose of re-
tiring the outstanding bonds issued under the act of February second,
eighteen hundred and ninety-two. ‘The said board of supervisors shall
be authorized to issue twenty-three thousand and five hundred dollars of
said bonds on or after the first day of January, nineteen hundred and
two, or as much thereof as is needed to retire the outstanding bonds of the
issue of January first, eighteen hundred and ninety-six, and the said
board shall be authorized to issue, on or after July first, nineteen hundred
and two, one hundred and fifty thousand dollars of said bonds to retire
the issue of bonds of July first, eighteen hundred and ninety-two.

2. The board of supervisors of Rockbridge county shall annually in-
clude in the levy upon the property and lawful subjects of taxation in said
county, as a part of the annual county levy, a sum and tax sufficient to
pay the interest on the bonds issued under this act, and to create a sink-
ing fund sufficient to pay off all of said bonds at or before their maturity.
The treasurer of said county shall keep a separate account of the funds
arising from the tax so levied, and the same shall be applied—first, to
the payment of the interest on the bonds issued under this act, and the
balance shall be applied under the order of the said board of supervisors
or under the supervision of such agencies as they may appoint, to the re
tiring of the bonds under this act, in their numerical order, lower num-
bers being called first, distributing the same equitably between the dif.
ferent denominations of the bonds redeemed. And no portion of the
fund arising from said tax shall be applied to any other purpose what-
ever other than that prescribed in this section.

3. All sums which may be realized from any sale of the shares of the
capital stock in the Valley Railroad Company owned by said county shall
be set apart and appropriated by the board of supervisors thereof exclu-
sively to the payment, purchase, or redemption of the bonds issued under
this act for paying the subscription of said county to the stock of the
Valley railroad so long as any of said bonds may remain unpaid: pro-
vided, however, that no sale shall be made of any of said shares of stock
unless two-thirds of all the members of said board of supervisors shall
vote in favor of the order or ordinance of said board authorizing or sanc-
tioning such sale.

4. The bonds issued under this act shall be free from county or cor-
poration taxes.

5. This act shall be in force from its passage.