Chap. 51.—An ACT to authorize the county school board of Northampton
county in behalf of the several school districts therein, to borrow money
and to issue its refunding bonds therefor, for the purpose of paying a like
amount of outstanding bonds of the several school districts in said county,
or any of them, and to provide for the payment of the interest thereon and
the principal thereof at maturity. [H B 78]

Approved February 26, 1926.

1. Be it enacted by the general assembly of Virginia, That the
county school board of Northampton county is hereby authorized and
empowered to borrow money and issue bonds therefor, for the pur-
pose of providing funds to redeem a like amount of the outstanding
school bonds of such county—or any of the school districts thereof,
which are not yet due and which by their terms are redeemable in
whole or in part at a date prior to the final maturity date therein
specified, or which the holders thereof in any case may be willing to
surrender before such final maturity.
Said bonds shall be denominated “refunding school bonds’’; shall
be signed by the chairman of the county school board, attested by
the secretary thereof, and the coupons thereof may bear the facsimile
signatures of such officers. They shall in every case, bear interest
at a rate lower than that borne by the outstanding bonds which they
are issued to redeem, and in no event in excess of five and three-fourths
per centum per annum, and shall mature annually in installments
beginning not later than three years after the date of their issuance,
so that all of said bonds shall be paid at the final maturity date of the
original bonds which they are issued to refund, or sooner at the option
of the board. They shall be of such denomination, and the interest
and principal thereof shall be made payable at such place or places
within or without the State, and the bonds shall be in such form as the
county school board may determine.

2. That such bonds shall be issued only after provision has been
made by appropriate resolution of the county school board to eall in
and pay the bonds contemplated to be refunded, in strict compliance
with the terms contained in such original bonds relating to the notice
to be given to the holders theréof.

3. That where such refunding school bonds are issued as herein
provided, they shall be deemed in every respect to stand in the place
of the outstanding and redeemable bonds they are issued to refund,
and to that end shall be an obligation of the school district, division
or subdivision liable thereunder in the first instance; and such re-
funding school bonds shall in every case contain a recital setting forth
the specific statutory authority by virtue of which the original bonds
were issued and the particular school district, division or subdivision
liable for the payment of the principal and interest thereof.

4. That simultaneously with the issuance and delivery of said
refunding school bonds, the original bonds in whose stead they are
issued shall be destroyed by the president and secretary of the county
school board of Northampton county, their action reported to the
board, and a recital thereof spread upon its minutes.

5. That said refunding school bonds shall be sold by the county
school board in such manner as it shall deem best, but not for less
than the par value thereof, including interest frofn their respective
dates to the date of delivery to the purchaser.

6. That the board of supervisors of Northampton county shall
provide for the annual levy and collection of a tax upon all the taxable
property within the school district or other division of such county
originally lable in the premises and subject to taxation for such pur-
pose, and at such rate as will be sufficient to provide for the payment
of the interest and to provide a sinking fund for the payment of prin-
cipal of such refunding bonds at maturity.

7. An emergency existing, this act shall be in force from its pas-
sage.