The Tipton advertiser. [volume] (Tipton, Cedar Co., Iowa) 1856-1962, 1868-05-21

| I oSuiuSt tHeiil, bN the bpnu
or other promsory instruments of suci
upon such settlement and composition
are hereby authorized to issue new
bonds in the place of the old or forme
bonds, and such new bonds shalt be lie
gal and valid to all intents and purpo
ses and no corporation issuing such new
bonds shall be allowed to plead IN de
fensc thereto any matter which NIGH
have been pleaded in defense of the ole
or former bonds, frorided, that no com
promise shall be made without first sub
mitting the question whether such com
promise shall he made to the people
and shall be by them authorized by q
majority of the voters.
This act is intended to apply only to
cases where cities, towns and counties
have heretofore issued bonds or securi.
ties for money OH account of any sub.
scription to the capital stock Of any
railroad company. or on account of, OF
in aid OF any public improvement, and
the same remain outstanding, and any
| Illegal debt arising therefrp,n remains
unpaid. But this act Is limited to the
settlement Of bonds and securities here
toforc issued and outstanding at the
time Of the passage and approval here
of; that is to say, the power herein
! given to settle, adjust and compound
/ debts is given, with respect to debts al
ready existing, and t0enable the debtor
corporations to settle the same i'm accor-
dance with the provisions of this act.
And nothing herein contained shall
be construed to give the holder Of exist
ing bonds or securities the right to com
pei the debtor corporation to issue such
new bonds, or to settle, in the absence
of an agreement on its part to do so.-
| And nothing herein contained shall be
construed to lcgallze or render valid, or
binding, or in any manner to effect cx-
listing bonds or evidences of indebted
ness of any character contemplated in
this act.
This act applies to counties, and to
cities and towns, whether acting under
special charters or under the general
incorporation law.
New bonds issued by virtue hereof,
shall in no ease be for a greater sum
than the principal and accrued or earn
ed interest upaid on the bonds or debts,
In place of which, or TO pay which,
| they shall be given, nor bear Il greater
rate Of interest than seven per cent per
annum, which interest may be made
| payable at New York, vr at the treas
ury of the corporation and such new
| bonds shall show on their face that they
are issued under this act, and if so
agreed, may provide for the annual
! payment of five per cent of the princi
pie thereof, in addition to the annual
interest, until said new bonds are fully
! paid. Said new bonds shall be made
| payable mt the treasury of the cooperation
shall be cancelled when paid, and de-
stroyed in the presence Of the Council
or supervisors, who shall cause to be
are Cancelled and destroyed. Such new
| bonds may be in such form, for such
amount not exceeding principal and ill.,
terest then due on the old bonds or Sc
curitics, and upon such time, not cx-
| ceeding twenty-five years, rs may be
| agreed upon with the holder or owner
Such new bonds shall only be signed in
open session, 4 register shall be kept
thereof, the bonds at once delivered to
the treasurer OF the city, town or coun-
ty, who shall be liable on his official
! bond for the safe keeping thereof, and
| for the proceeds thereof, until he parts
herewith under the direction of the
Council or Board of Supervisors.
az. The Council or Trustees of in
corporated towns or cities, or the Board
of Supervisors Of counties are hereby
invested with full power to build their
|
made pursuant to and in virtue of this
act. But they are directed and rcquir.
ed, before any such settlement shall be
entered upon, to ascertain the whole
amount due by such debtor corporation,
and they are vested with power to as
certain this in such way and manner as
they may deem best. And the holders
of existing bonds shall, if required by
public proclamation of the Board Of Su-
| pervisors or proper city or town Coun-
ell, and as therein required, present
their bonds to the proper Clerk of the
county or city or town, and allow such
clerk to make Il register Of such bonds
showing their date, number, amount
maturity and rate of interest. And nc
I old bond or evidence of debt shall in
any case toe allowed audited, paid ol
settled until tile same shall be actually
produced and surrendered, or establish.
ed by the judgment of u competent
court. If it elects to act hereunder, the
city, town or county, by its proper gov,
erning body, shall appoint not less than
three or more than five of its citizens Il
Board Of commissioners to execute the
powers and duties required by this act,
Of which Board Of Commissioners the
| Mayor Of the city or town, or the
chairman of the Board of Supervisors
! shall bc &c DttciO mem ber but no
| act of the Board of Commissioners in
auditing or allowing bonds or debts, or
in settlement thereof, shall bind the
corporation until such act is report
ed to the proper governing body of the
corporation and approved by it. And
said Board Of Commissioners shall keep
record of their acts and doings,
| which shall at all times be open to pub
lie inspection. And the city town or
county corporation shall likewise keep
a record of all its acts aud doings in the
premises, which shall also be open to
/ public Inspection.
S3. If new bonds or obligations are
issued pursuant to the power given by
this act, the said corporal ions named in
the first section hereof are hereby au-
thorized, at the time they make their
annual levy of general taxes for gen
erai revenue, to appropriate and sci
apart for the ensuing year or for a given
number of years, specific portion OF
per centage of the general tax levied to
pay or apply on the new bonds herein
authorized, and on such portion of the
principal, if any, AS has been agreed to
be paid each year. When thus appro-
priatcd, (Which may be by ordinance,
contract or resolution the amount thus
| .ia