Chap. 10.—An ACT validating certain outstanding school indebtedness of the city
of Hampton, Virginia, and authorizing said city to borrow money and. issue
bonds for the purpose of refunding such indebtedness, and to require the coun-
cil of said city annually to levy taxes to pay the interest thereon and to create
a sinking fund to redeem the principal thereof at maturity. [H B 22]

Approved February 11, 1932

1. Be it enacted by the general assembly of Virginia, That eighteen
thousand dollars ($18,000) school bonds of the Elizabeth City county,
Virginia, school district number two, dated January first, nineteen
hundred and two, bearing interest at the rate of five (5) per centum
per annum, payable January first and July first, the principal amount
of which bonds was due and payable January first, nineteen hundred and
thirty-two, and twenty-six thousand, five hundred dollars ($26,500)
John M. Willis temporary school loan notes of the city of Hampton
school board, one of which is in the denomination of ten thousand dol-
lars ($10,000), dated November twenty-fourth, nineteen hundred and
thirty-one and payable January twenty-third, nineteen hundred and
thirty-two to the order of the Merchants National Bank of Hampton,
Virginia, one of which is in the denomination of nine thousand dollars
($9,000); dated December first, nineteen hundred and thirty-one and
payable January thirtieth, nineteen hundred and thirty-two to the order
of the First National Bank of Hampton, and one note in the denomina-
tion of seven thousand five hundred dollars ($7,500), dated December
first, nineteen hundred and thirty-one and payable February first, nine-
teen hundred and thirty-two to the order of the Bank of Hampton,
Virginia ; interest on all of said notes at the rate of six (6) per centum
per annum having been paid in advance; all of said notes having been
signed by the chairman of the city of Hampton school board and by
the clerk of said board, are hereby validated, ratified and confirmed,
and it is hereby declared that said bonds and notes constitute valid
and legally binding obligations of the city of Hampton, Virginia.

2. That the school board of the city of Hampton be and it is here-
by authorized to borrow the sum of forty-four thousand, five hundred
dollars ($44,500), and to issue bonds of the city of Hampton to evi-
dence such indebtedness, the said bonds to be issued in such form, in
such denominations and to be payable at such time or times, not ex-
ceeding thirty years from the date thereof, as the said board may pro-
vide. Said bonds shall bear interest at the rate of not exceeding six
per centum per annum. Before said bonds are issued a resolution must
be adopted by the city council by the recorded affirmative vote of a
majority of all the members elected to said council approving the
resolution adopted by the school board directing the issuance of said
bonds, which resolution of the city council shall also authorize the
issuance of said bonds as provided by said resolution of the school
board.

3. That when the issuance of said bonds has been authorized in
accordance with the provisions of this act, the school board of the
city of Hampton shall offer the same to the sinking funds of the city
of Hampton, and the said sinking funds shall have the right to pur-
chase said bonds at a price of par and accrued interest. If the bonds
are so purchased, the city of Hampton or the officers thereof having
control of the sinking funds, when they deem it advisable may dispose
of all of such bonds at one time or parts of said issue of bonds from
time to time upon the open market at the best price obtainable. If it is
determined that the sinking fund does not desire to purchase said
bonds, the school board of the city of Hampton shall be so notified
and said school board may then sell said bonds at either private or
public sale for not less than par and accrued interest. Said bonds
when sold and delivered pursuant to the provisions of this act shall
constitute valid and legally binding obligations of the city of Hampton.

4. That after the issuance of these bonds, as hereinabove provided,
the council of the city of Hampton shall annually levy a special tax on
all of the property subject to taxation in the said city, sufficient to pay
the interest on the said bonds and to create a sinking fund to redeem
the principal thereof at maturity. |

5. All acts or parts of acts in conflict herewith are hereby repealed.

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