Chap. 42.-An ACT to amend and re-enact sections 4, 10 and 12 of an‘act entitled
an act to provide for the creation of sanitary districts in counties of the State
adjoining a city having a population, according to the last preceding United
States census, of one hundred and seventy thousand inhabitants or more; to
prescribe the powers and duties of the boards of supervisors of such counties
as to the construction, acquisition, maintenance and operation of water supply,
sewerage, heat, light and power and gas systems in such districts; and to
provide for the issuance of county bonds; to provide funds for establishing
and operating such public utilities in said sanitary districts, approved March 17,
1926, as heretofore amended, so as to provide for the issuance of district
bonds instead of county bonds as provided in said act. [H. B. 48]

Approved September 11, 1933

1. Be it enacted by the General Assembly of Virginia, That sections
four, ten and twelve of an act entitled an act to provide for the creation
of sanitary districts in counties of the State adjoining a city having a
population, according to the last preceding United States census, of
one hundred and seventy thousand inhabitants or more; to prescribe
the powers and duties of the boards of supervisors of such counties as
to the construction, acquisition, maintenance and operation of water
supply, sewerage, heat, light and power and gas systems in such dis-
tricts ; and to provide for the issuance of county bonds; to provide funds
for establishing and operating such public utilities in said sanitary dis-
tricts, approved March seventeenth, nineteen hundred and twenty-six,
as heretofore amended, be amended and re-enacted so as to read as
follows:

Section 4. In order to raise the necessary funds to carry into effect |
the foregoing powers the board of supervisors in any such county in
which any such sanitary district has been created shall have power to
issue the bonds of the said district to an amount in the aggregate of
not exceeding eighteen per centum of the assessed value of all real
estate in the said sanitary district subject to local taxation.

~ Section 10. The board of supervisors shall determine what amount
of bonds shall be issued for constructing and operating said system or
systems in said district or districts, but the maximum amount of bonds
issued shall in no case exceed the maximum amount prescribed in
section four of this act, and in event they do not at said meeting direct
the present issuing of all the said bonds, they may thereafter, from |
time to time, direct the residue thereof to be issued to carry out the
wishes of the voters, so far as necessary, as expressed in such election,
and in event the board, for any reason, fails or refuses to issue the
bonds so authorized to be issued, the circuit court of the county may,
upon the complaint of ten qualified voters of such district and after ten
days’ notice to the chairman of the board, for cause shown, issue an
order directing them to issue the said bonds of any unissued residue
thereof, or such portion thereof as the court may, from time to time,
deem proper to be issued in order to carry out the wishes of the voters
as expressed in said election. They shall have the power to appoint
an agent or agents to sell said bonds (and to pay said agent or agents
a commission for negotiating said sale not to exceed three per centum
of the amount of bonds sold by them, or to pay such sum to the pur-
chaser of such bonds, provided that said bonds shall be sold to be paid
for in lawful money only, and shall not be sold at less than par value).
When such a sale of bonds has been negotiated, the board of super-
visors shall issue the same. Such bonds may be either registered or
with coupons attached, as said board of supervisors may prescribe, and
shall have written or printed in ink the following sentences: “These
bonds are issued for the construction and operation of a public
veseeeceeseeeeeeseeeeeeeeeseeeeseees SySteM iM.........2..22-eeeeee-------Sanitary district, and
the full faith and credit of the said district is hereby pledged for their
payment.” Such bonds shall be signed by the chairman and counter-
signed by the clerk thereof under the seal of the board; shall be in
denominations of one hundred dollars or some multiple thereof; shall
bear interest at a rate not exceeding six per centum per annum, payable
semi-annually, both principal and interest to be payable at such place
or places as may be determined by the board of supervisors, and shall
be payable not exceeding thirty-four years from the date thereof at
said office, but may, in the discretion of the said board, be made re-
deemable at such time or times within such period or periods and upon
such notice as the said board may prescribe and stipulate upon the face
of the bonds when issued. The board shall deliver them to the treas-
urer of the county, who shall deliver said bonds to the purchasers
thereof, or their order, upon the payment of the price thereof. The
said treasurer and his sureties shall be liable for the amount received
for said bonds as though it were a county levy, and said funds shall
be expended for the purposes and in the sanitary district or districts
for which it was intended, and none other. The said treasurer shall
receive the reasonable-cost to him of giving surety on such additional
bond or bonds as may be required of him, if any, on account of his
receipts heretofore or hereafter of said funds. The proceeds of said
bond issue shall be deposited, paid out and disbursed as provided by
section three hundred and fifty of the Tax Code of Virginia, as
amended. All interest that shall accrue from said funds shall be ac-
counted for by the said treasurer and be expended for the purposes
for which the bonds were issued, and in so far as not necessary there-
for, shall be used for the payment of the interest on the bonds, or shall
be paid into the sinking fund to redeem the principal thereof at ma-
turity.

Section 12. When the board of supervisors of the county wishes
to redeem any of the outstanding bonds subject to call, issued under
the provisions of this act, it may, through the chairman of the board
of supervisors, give notice of its readiness to do so to the holder in
person or by publication thereof once a week for two successive weeks
in a newspaper published in said county or nearest thereto. It shall be
sufficient in the notice to give the number and amount of such bond,
and fix a day for its presentation for payment, which shall not be
less-than ten days from the date of personal service of notice, or the
completion of the publication thereof, as the case may be.

If the bond be not presented on the day fixed for its redemption,
interest thereon shall cease from that day.

2. An emergency existing, this act shall be in force from its passage.