Chap. 72.—An ACT to amend and reenact Section 6 of Chapter 25 of the Acts
of Assembly of 1947, Extra Session, approved January 29, 1947, the chapter
and section relating to bond issues in sanitary districts. {S 119)

Approved March 3, 1948

Be it enacted by the General Assembly of Virginia:

1. That section six of chapter twenty-five of the Acts of As-
sembly of nineteen hundred forty-seven, Extra Session, approved
January twenty-nine, nineteen hundred forty-seven, be amended
and reenacted as follows:
Section 6. The governing body at its next meeting or as soon
thereafter as practicable, shal] determine what amount of bonds
shall be issued for the purposes defined in the order calling the
election.

The maximum amount of bonds issued shall in no case exceed
the limitation prescribed in section one of this act, and in the
event the governing body does not at such meeting direct the
present issuing of all the bonds, it may thereafter, from time to time,
direct the residue to be issued to carry out the wishes of the
voters, so far as necessary, as expressed in the election, and in event
the governing body, 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 the district, and
after ten days’ notice to the chairman of the governing body, for
cause shown, issue an order directing it to issue the bonds or any
unissued residue, or such portion as the court, from time to time,
deems proper to be issued in order to carry out the wishes of the
voters as expressed in the election. The governing body is authoriz-
ed to appoint an agent or agents to sell the bonds and to pay such
agent or agents a commission for negotiating the sale not exceeding
three per centum of the amount of bonds sold by them, provided the
bonds shall be sold to be paid for in lawful money only, and shall
not be sold at less than their par value. When such a sale has
been negotiated, the governing body shall issue the bonds. Such
bonds may be either registered or with coupons attached, as the
governing body prescribes, and coupon bonds may be registerable
as to principal or as to principal and interest, at the option of the
holder, under such rules and regulations as prescribed by the
governing body. The bonds shall be signed by the chairman and
countersigned by the clerk of the governing body under its seal;
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 determined by the governing
body, and shall be payable not exceeding fifty years from the date
thereof, but may, in the discretion of the governing body, be made
redeemable at such time or times within such period or periods and
upon such notice as the governing body prescribes and stipulates
upon the face of the bond when issued. Such bonds shall be legal
investments for trust funds in the State of Virginia and shall be
acceptable for the securing of deposits of the treasury of the State
of Virginia or any political subdivision thereof. The governing
body shall deliver the bonds to the treasurer of the county, who
shall deliver them to the purchasers, or to their order, upon the
payment of the purchase price. The treasurer and his sureties shall
be liable for the amount received for such bonds as though it were
a county levy, and such funds shall be experded for the purposes
for which the bonds were voted and none other. The treasurer shall
receive reasonable cost of giving surety on such additional bond
or bonds as required of him, if any, on account of his receipts
heretofore or hereafter of such funds, and the governing body
may direct the treasurer to deposit the proceeds of the bond issue
in such bank or banks as it approves, to the credit of the treasurer,
to be paid out on his checks therefor and at the rate of interest to
be specified, and all interest accrued therefrom shall be accounted
for by the treasurer, and shall be expended for the purposes for
which the bonds were issued, and insofar as not necessary therefor,
shall be paid into the sinking fund to redeem the principal thereof
at maturity. The treasurer shall not be liable for any deposits which
are lost by reason of the insolvency or failure of any bank in which
he has been directed by the governing body to deposit them. A
bond with surety may be required by such body from any hank
in which such deposits are made.

2. An emergency exists and this act is in force from its passage.