North Iowa times. [volume] (McGregor, Iowa) 1867-current, 1868-05-13
WHOLE No. 6O4.

ASoucu ny VITtu0 neTeOIs inc ROVerOln}
body shall levy specific tax, as provided
herein, sufficient to supply the deficiency
not provided for by the portion Of general
revenue thus set apart aud pledged.
And it shall not be in the power Of any
creditor, by any process, suit, judgmen,
or otherwise, to obtain lien, right O,
priority upon or to such general fund, &C
as to prevent tho corporation from thu.
appropriating, or setting apart, or pledg.
ing such portion Of its general revenue \.
is not necessary for the payment of it.
current expenses.
If for any reason the revenue raised any
one year shall not be fully sufficient to pay
the interest or any part Of the principal o
the new bonds falling due any given year
specific levy to pay such deficit shall bt
included in levy for the next year. II
there is surplus of the specific levy 70,
any year, such surplus shall be exclusively
applied on the bonds herein authorized to
be issued.
Sec. 4. Ifnew bonds or obligations are
issued pursuant to the power given by this
act. the corporations named in the lst sec.
ton thereof are herby authorized, and it is
hereby made the duty Of the governing
body Of said corporations to provide annu-
ally in the manner herein prescribed for
the payment Of the interest Of such new
bonds, and such portion OF the principal,
II any, as has been agreed to be paid each
year. ..--. -..-....
When any portion Of the general tax i.
appropriated and set apart as provided fol
in Section of this act, or when any spe.
cific additional tax is levied under the pro.
visions of this act, the same shall be from
that time forward a specific tax for the
purpose of applying on or paying said new
bonds or the interest thereon. and for no
other purpose, and neither said tax nor the
money raised thereby shall ever be divert
ed or used for any other object or purpose
until the whole Of the compromise bonds
issued under the provisions Of this act are
paid in full, both pricipal and interest.
Nor shall the money so raised, or the pro-
ceeds of new bonds acquired to settle and
pay the old bonds or debts or be subject to
attachment, garnishment, levy, or appro-
priation by the holders of debts or judg-
ments against the corporation unless such
judgments are obtained on the new bonds
issued by virtue of this act. Money thus
raised shall be kept as distinct fund to be
sacredly and exclusively applied to the
sole purpose of paying the debts of the
corporations as provided in this act
If the corporation agree to pay, in addi-
ton to the annual interest, some specific
portion of the principal each year, such
new bonds shall be in such form as to ena-
BILE this to be done and the amount paid
from year to year to he detached from the
bonds and cancelled. Said specific tax
hereby authorized shall be levied at the
same time that other taxes are levied, and
shall be collected in the same manner, but
nothing but money shall be receivable in
payment of such tax. And this act shall
not be construed as an amendment to the
charter of cities and to the general incor-
poration act, being chapter 81 of the Revi-
sion, and also as enlarging the power now
given by law to the counties of the State.
But no creditor of any public or municipal
corporation who refuses to settle or COM
pound his debt AID refuses to receive and
does not receive new bonds or obi isations,
shall be entitled to the benefit Of this act,
or to the specific tax levy herein author
lied.
And if the court is satifed that there Is
any evasion or delay in the performance
of this duty on the part of the corporation,
it is hereby invested with the power, and
it is hereby made duty of the court it.
self to enter an order levying such tax and
to charge its own officers with the duty Of
collecting it, and for this purpose they
shall have all the powers. and be substi-
tuted in place of til. corporate officers.
And if judgments are obtained upon such
new bonds or for the interest thereon, and
are not paid, the corporate property Of all
kinds, with any exemptions, shall be sub
ject to seizure and sale on execution, is
sued upon such judgments the general
revenues Of the corporation shall be liable
to pay such judgments, and officers SUBJ
ject to garnishments,
But it shall not be held to authorize the
levy of any specific or other tax than such
as may be levied by virtue hereof and for
the purposes of paying the new bonds
herein authorized. And this act shall not
be construed to enlarge the taxing power
of cities, towns, or counties as respects old
bonds or debts, nor to validate such bonds
or debts in ca G they are not adjusted un-
der the provisions Of this act. Its benefits
are designed for and limited to those who
voluntarily make an adjustment under its
provisions.
SEC. 5. This sct shall be deemed to be
contract in favor Of any creditor who ac-
cepts of its provisions, and to such creditor
or holder of the new bonds herein author
ized shall be irrepealable.
Sec. 6. The benefits and provisions Of
this act only apply to creditors who shall
receive new bonds in settlement of prior
debts or bonds, nor does this act apply to
corporations not indebted, or which do not
issue new bonds in settlement of former
ones.
SEC. :. The provisions of this act shall
be deemed incorporated in the new bonds
issued by virtue hereof. Any of the bonds
hereby authorized may at the pleasure of
the corporation be paid prior to the time
therein fixed for payment, in which case
the holder can only demand the principal
and interest up to the time of payment.
Sec. s. Power is hereby given to the
Board of Commissioners, provided for in
this act, to advertise from time to time in
such papers as they may think best, and
invite the existing bond holders Of the
corporation to state to the Commissioners:
LIST. The terms on which they viii ex-
change old bonds or debts for new bonds
to be issued under this act. I'd. The terms
on which they will surrender to the city,
town or county, (as the case may be), old
bonds or debts for new bonds to be issued
under this act. Sd. The terms on which
they will surrender to the city, town or
county, (as the case may), old bonds for
cash. The result shall be reported from
time to time to the proper governing body
of tho corporation, for such action as it
may see proper to t.ke on the premises
under the provisions Of this act. If it is
ascertained that the offers to surrender for
ready money are the most advantageous,
the new bonds herein authorized, may be
sold for cash, but in no case at less than
par, and to no greater extent than is nec-
essary to accept offers from time to time
actually received. Money thus obtained
sLou 10 naid 70 aud liant hu tho nrnnnr