Chap. 187.—An ACT to amend and re-enact section 7 of an act entitled an act
to provide for the issuing of county bonds for permanent road or bridge
improvement in the magisterial districts of the counties of the State, and
repealing all acts in so far as the same are in conflict herewith, approved
September 5, 1919. {H B 370]

Approved March 15, 1922.

1. Be it enacted by the general assembly of Virginia, That sec-
tion seven of an act entitled an act to provide for the issuing of county
bonds for permanent road or bridge improvement in the magisterial
districts of the counties of the State, and repealing all acts in so far
as the same are in conflict herewith, approved September fifth, nine-
teen hundred and nineteen, be amended and re-enacted so as to read
as follows:

Section 7. After issuing'such bonds or any of them, when the
next levy is laid or tax imposed in said county, a tax shall be levied
on all property liable to county or district tax in such magisterial
district in which the proceeds of the bonds have been or are to be
expended, including such property located or the situs of which for
taxation is, within the limits of any incorporated town situated within
such districts, to pay the interest on the bonds so issued, and to create
a sinking fund to redeem the principal thereof, at maturity; and, in
addition, an annual levy at a rate to yield a sum equal to but not less
than, three per centum of the amount of bonds issued in any year,
or, in lieu thereof, an amount equal to the amount raised from said
additional levy may be set aside by the board of supervisors from
other funds of the county, or may be raised by other means now
provided for by law, which sum shall be expended under the direction
of the local road authorities in the maintenance and upkeep of the
roads constructed and improved hereunder, and from year to year
said levy or assessment spall be made until the bebt and interest are
paid, which levy shall not exceed ninety cents on the one hundred
dollars ($100.00) of taxable property within the said magisterial
district of said county; the amount levied for and set apart as a sink-
ing fund and the interest accruing thereon shall be used for the
payment of the principal of said bonds, and for no other purpose.

Should for any reason the county in any way have to assume any
payment on account of said bond issue, either interest or principal
it is hereby provided that the board of supervisors shall levy such
tax in said magisterial district as may be necessary to defray the
amount assumed by the county, it being and having heretofore been
intended that bonds issued or to be issued under this act are county
obligations, but payable primarily out of levies upon the property
in the magisterial districts, where the proceeds of the bonds may be
expended hereunder.

The board of supervisors is hereby authorized and empowered
to apply any part or all of said sinking fund to the payment or pur-
chase of any of said bonds, at any time, and all bonds so paid off or
purchased by said board of supervisors shall be immediately cancelled,
and shall not be reissued, and the board of supervisors, is authorized
and empowered to lend out, upon real estate security, the loan not
to exceed fifty per centum of the assessed value of such real estate
(except in the county of Charlotte, where such loan may not be in
excess of fifty per centum of the value), or deposit in bank at interest
all accumulations of money to the credit of said sinking fund; pro-
vided, as aforesaid, and to collect and re-invest the same and the
interest accruing thereon from time to time, so often as may be
necessary or expedient, until such bonds become subject to call; pro-
vided, that no money to credit of sinking fund shall be loaned out
or deposited or invested by the said board of supervisors, unless
the security of said loan, deposit or investment shall first be deter-
mined upon investigation, and if found sufficient, approved by the
circuit court of said county or the judge thereof in vacation, and the
form of the security be examined and approved by the Common-
wealth’s attorney of said county, which approval shall be entered
of record in the order book of said court.