Chap. 155.—An ACT to amend sections 80, 81, and 82 of the charter of the
city of Portsmouth approved March ‘10, 1908, to provide for a sinking fund
-and the management thereof by a board of sinking fund orn S

365]
Approved March 10, 1922.

1. Be it enacted by the general assembly of Virginia, That sec-
tions eighty, eighty-one and eighty-two be amended so as to read as
follows:

Section 80. For the redemption at maturity of such bonds, ex-
cepting serial bonds, as may have been heretofore issued by the
city of Portsmouth, it shall be the duty of the council of said city
‘to provide and the city treasurer to set aside annually a sum equal
to one and one-half per cent. of the par value of said bonds; and for
the redemption at maturity of such bonds as may hereafter. be issued
by the city of Portsmouth, it shall be the duty of the council of: said
‘city’ to provide and the city treasurer to set aside annually a. sum
sufficient to retire said bonds at maturity; and the superintendent
of the water department shall pay unto the city treasurer annually
a sum equal to one and one-half per cent of the par value of all out-
standing bonds, excepting serial bonds, issued for the purpose of
providing for and purchasing the water works property of the city.
The said stim so set aside shall be under the supetVision ‘and mgn-
agement. of a board of sinking fund commissioners, composed af. the
president of the city council, the chairman of the finance committee
of the council, the city treasurer, and two qualified citizens residing
in the said city to be appointed by the judge of the court of hust-
ings for the city of Portsmouth. The terms of office of the members
appointed by the judge of the court of hustings for the city of
Portsmouth shall be for a period of four years, and shall commence
on the first day of July, nineteen hundred and twenty-two, excepting
that of the first two members appointed, one shall hold office for a
term of two years, and thereafter one member shall be appointed
every two years by the judge of said court. The members of said
board shall serve without compensation and should vacancies occur
in the office of the two appointed members the said vacancies shall
be filled by appointment by the judge of the said court. |

Section 81, The treasurer of the city shall act as treasurer of
the board of sinking fund commissioners, and shall be custodian of
all sums and securities held in the sinking fund, and shall give such
bond as may be required by the council of the city. He shall keep
a book or books in which shall be recorded a statement of all assets,
and an account of all receipts and disbursements of the sinking fund,
and such other matters pertaining thereto as may be prescribed by
ordinance. He shall receive no fees for the management of said
fund, but only such compensation as may be allowed by the council
of the city. The books of the treasurer shall at all times be open for
inspection to the members of the board and the council of the city,
and the treasurer shall furnish the board detailed statements whenever
they desire the same. The treasurer shall before the fifteenth day of
January of each year furnish the council of the city a full, detailed
statement of the sinking fund, showing the amount and character
of its securities, and its receipts and disbursements for the preceding
year. The funds and other securities belonging to the sinking fund
shall be deposited in such banks doing business in the city of Ports-
mouth as may be selected by the city council, and the same can be
withdrawn only upon the order of the treasurer approved and certified
by a member to be selected by the board as its president.

Section 82. The sinking fund shall be under the control and
management of the board of sinking fund commissioners, and to that
end they are made a body politic with the right to sue and be sued
for the recovery of any fund or securities belonging to the sinking
fund. The sinking fund shall be used for the sole purpose of paying
at maturity the bonded debt of the city, and the fund paid into the
treasury by the superintendent of the water department shall be used
only for the payment of the bonds issued for the purpose of providing
for and purchasing the water works property of the city. The sink-
ing fund shall be invested in good interest bearing securities, consist-
ing of bonds of the city of Portsmouth, the United States of America,
the State of Virginia, or of municipalities which provide for and pro-
tect a sinking fund to a degree at least equal to that of the city of
Partsmouth. The council of the city shall at no time diminish the
‘resources of the sinking fund, but may, if it sees fity increase the
same. Should any of the bonds of the city fall due without a sufficient
amount in the sinking fund to provide for the same such fact shall be
certified by the board of sinking fund commissioners to the city
council who shall make provision for retiring the same. It shall be
unlawful for any member of the board of sinking fund commissioners
to hereafter purchase directly or indirectly any bonds of the city or
other securities for the purpose of selling them to the board of
sinking fund commissioners, or having the same paid at their maturity
whereby he shall receive any profit from the same except the regular
rate of interest drawn on such securities. Any member of the board
who shall violate this provision shall thereby vacate his office and
any other office held by him in the city of Portsmouth, and may be
punished in such manner as may be prescribed by ordinance of the
city, not to exceed, however, imprisonment in jail for more than
twelve months.

Section 82-A. All acts or parts of acts in conflict herewith are
hereby repealed.