Chap. 424.—An ACT to amend and re-enact Section 11 of an act entitled “An
act to provide for the refunding of certain certificates of indebtedness of
the par value of $2,000,000.00, issued under an act entitled ‘an act to repeal
-ah act entitled an act to anticipate by counties, or otherwise, the construction
of the State highway system, approved March 15, 1920, as amended and
re-enacted by an act entitled an act to amend and re-enact an act entitled
an act to-anticipate by counties or otherwise the construction of the State
highway system, approved March 15, 1920, approved March 21, 1924; to
‘provide for the issue and sale of certificates of indebtedness of the Common-
wealth of Virginia to repay the sums advanced to the State under the pro-
visions of the “aforesaid acts and to provide a sinking fund for the payment
of the interest on the said certificates of indebtedness and the principal
thereof at maturity,’ approved March 19, 1926, by authorizing and directing
the issuance and sale of $2,000,000.00 par value of certificates of indebted-
ness and/or notes of the Commonwealth of Vi irginia; and to provide for
the payment of the interest on such certificates of indebtedness and/or notes,
and the principal thereof at maturity”, approved March 3, 1932, so as to
provide for the transfer of surplus funds remaining in the sinking fund
- provided for by the said act to the sinking fund provided for by Chapter 33
.of the Acts of the General. Assembly of 1934, approved February 20, 1934,
and to appropriate the funds so transferred or credited for purposes for
which the last mentioned sinking fund was created. {[H B 489]

Approved April 1, 1938

1. Be it enacted by the General Assembly of Virginia, That section
eleven of an act entitled an act to provide for the refunding of certain
certificates of indebtedness of the par value of two million dollars,
issued under an act entitled an act to repeal an act entitled an act to
anticipate by. counties, or otherwise, the construction of the State high-
way system, approved March fifteenth, nineteen hundred and twenty,
as amended and re-enacted by an act entitled an act to amend and re-
enact an act entitled an act to anticipate by counties or otherwise the
construction of the State highway system, approved March fifteenth,
nineteen hundred and twenty, approved March twenty-first, nineteen
hundred and twenty-four ; to provide for the issue and sale of certificates
of indebtedness of the Commonwealth of Virginia to repay the sums
advanced to the State under the provisions of the aforesaid acts and
to provide a sinking fund for the payment of the interest on the said
certificates of indebtedness and the principal thereof at maturity, ap-
proved March nineteenth, nineteen hundred and twenty-six, by author-
izing and directing the issuance and sale of two million dollars par
value of certificates of indebtedness and/or notes of the Common-
wealth of Virginia; and to provide for the payment of the interest on
such certificates of indebtedness and/or notes, and the principal thereof
at maturity, approved March third, nineteen hundred and thirty-two,
be amended and re-enacted so as to read as, follows:

Section 11. The full faith and credit and taxing power of the
Commonwealth of Virginia are hereby pledged to secure the payment
of the principal and interest of the certificates of indebtedness issued
under the provisions of this act, and there is hereby created a sinking
fund for the payment of the principal and interest of the certificates
of indebtedness issued hereunder as follows: There shall be set
aside each year commencing in the calendar year nineteen hundred and
thirty-two, as in the case of the public debt, from the proceeds in the
State treasury of the motor vehicle fuel tax and the motor license tax,
now provided by law, or either, a sum sufficient to pay the interest on
the certificates of indebtedness issued hereunder, as the said interest
matures, and in order to create a sinking fund for the payment of one
million. ($1,000,000.00) dollars of said certificates of indebtedness, to
be dated July first, nineteen hundred and thirty-two, there shall be
annually set aside beginning July first, nineteen hundred and _thirty-
two, from the proceeds in the State treasury of the motor vehicle fuel
tax and the motor vehicle license tax, now provided by law, or either,
such an amount as if repeated annually and if laid out at interest,
would be sufficient for the payment of the principal of said certificates
of indebtedness when due, and in order to create a sinking fund for
the payment of one million ($1,000,000.00) dollars of said certificates
of indebtedness to be dated July first, nineteen hundred-and thirty-three,
there shall be annually set aside beginning July first, nineteen hundred
and thirty-three, from the proceeds in the State treasury of the motor
vehicle fuel tax and the motor vehicle license tax, now provided by
law, or either, such an amount as if repeated annually and if laid out
at interest, would be sufficient for the payment of the principal of said
certificates of indebtedness when due. The funds set aside under the
provisions of this section of this act shall constitute a sinking fund to
be known as the State highway system certificate of indebtedness. sink-
ing fund, and shall be used for the purpose of. paying the principal
and interest of the certificates of indebtedness issued hereunder and
for no other purpose, except that portion of the said sinking fund re-
maining after all certificates of indebtedness issued under the pro-
visions of this act have been retired, shall be credited to, or transferred
to the credit of, the State highway system certificates of indebtedness
sinking fund nineteen hundred and forty-four-nineteen hundred and
torty-five maturity provided for by chapter thirty-three of the acts
of the General Assembly of Virginia of nineteen hundred and thirty-
four, approved February twentieth, nineteen hundred and thirty-four,
to be and constitute a part of the said sinking fund and to be used for
the purposes for which the last mentioned sinking fund is created. The
commissioners of the sinking fund may, with the written approval of
the Governor being first obtained, when the said certificates of indebted-
ness or any part thereof are due, effect temporary loans for and on
behalf of the sinking fund provided for in this section and pledge as
security therefor any securities in which funds of the said sinking fund
have been invested; when in the opinion of the said commissioners such
action should be taken in lieu of selling the securities so purchased ;
if any such loan be effected the securities pledged shall within a reason-
able time thereafter be disposed of and the proceeds from such sale
used to repay the money borrowed. .

empaermoe