Chap. 506.— An ACT to authorize the council of the town of Covington, in
the county of Alleghany, to borrow money for the purpose of purchasing,
erecting, constructing, and maintaining a system of water-works for said
town.

Approved February 24, 1900.

1. Be it enacted bv the general assembly of Virginia, That the council
of the town of Covington, in Alleghany county, be, and it is hereby,
authorized to borrow for said town a sum of money not exceeding the
sum of thirtv thousand dollars by the issue and sale of bonds of the
said town of Covington, for the purpose of purchasing, constructing
erecting, and maintaining a system of water-works for said town.

2. The said bonds shall be coupon bonds of the denomination of one
thousand dollars, numbered from one to thirty, inclusive, and shall bear
such a rate of interest not exceeding five per centum per annum, as may
be determined bv the council, the coupons of said bonds to be receivable
for all taxes and levies due said town. The principal of said bonds shall
be pavable in twenty-five years from their date, or, at the option of the
council of said town, at any time after the expiration of ten years from
the date of the issuance of the first of said bonds. After the expiration
of ten years from the date of the issuance of the first of said bonds, the
council of said town shall pav off and discharge at least two of said bonds
each year until all of said bonds are paid off and discharged, the said
bonds to be paid off in the inverse order of their issuance; and the council
shall levy and collect such tax as shall be necessary to pay the vearly
interest on the said bonds, and after the expiration of ten years from the
date of the issuance of the first of said bonds, shall levy and collect such
tax as will be necessary to pay the yearly interest on all the said bonds
outstanding, and to redeem at least two of said bonds each year as afore-
said. The interest on said bonds shall be payable semi-annually.

3. The bonds issued under this act shall be signed by the mavor and
secretary of said town, and shall not be sold at less than par. The said
bonds may be issued at such times and in such amounts as the council
shall from time to time determine.

4. The council of said town may enter into a contract of purchase of
the whole or a majority of the stock of any joint stock company now
operating a water-works system in or near the said town. And such
council may purchase such spring or springs of water, or such stream or
streams of water as shall be necessary to furnish a good and sufficient
supply of water for said town, together with such rights of way as may
be necessary for the purposes of carrying such water from such spring or
springs, stream or streams, to the place where such water shall be stored
in a reservoir or reservoirs, and from such reservoir or reservoirs to the
various points at which the said water shall be consumed. And in case
the council of said town finds it necessary, in order to obtain a good,
pure, and sufficient supply of water for the uses of said town to obtain
said water from any running stream of water within a distance of ten
miles from the corporate limits of said town, and said council and the
owner or owners of the land or lands through which such stream flows,
cannot agree upon a proper compensation to be paid such owners by
said town, or, in case the owner or owners of land or lands through which
a pipe line would necessarily be laid in order to carry the water from
such stream to the said town, and the said council cannot agree as to
compensation for such rights of way, then, in either event, the said
council of said town may institute condemnation proceedings against
such land owners for the ascertainment of compensation for such water
or rights of way, or both, in the same manner and with the same effect
as in the case of condemnation proceedings for the acquiring of lands
by towns under chapter forty-six of the code of eighteen hundred and
eighty-seven and amendments thereto.

5. Nothing in this act shall be construed to authorize the levy or col-
lection by the town of a higher tax than that authorized by the charter
of the town; but water rents collected by the town shall not be regarded
as taxes within the meaning of the clause in said charter limiting the
taxing power of the council.

6. On such terms as the council may prescribe it may furnish from
its plant established under the provisions of this act, water to such
persons residing without the corporate limits of said town as may desire
to take the same.

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