Arizona republican., 1890-07-26
AN ACT Approving, With Amendments, the Fund ing Act of Arizona.


 Be it enacted by the Senate and House of Re- presentatives of the United States of America in Congress assembled, that the act of the revised statutes of Arizona of 1887, known as Title XXXI-Funding," be and is hereby, amended so as to read as follows, and that as amended the same is hereby approved and confirmed, subject to future Territorial legislation: "IItle XXXl-Funding and loan. Chapter one Ter rtorial, county municipal and school district indebtedness"
 PAR 2O39 (sec. l.) For the purpose of liqnidat- ing and providing for the payment of the out standing and existing indebtedness of the Ter rtory of Arizona and such future indebtedness as may be or is now authorized by law, the Gov ernor of the said Territory, together with the Territorial auditor and Territorial secretary, and their successors in office, shall constitute Il board of commis ssioners, to be styled the loan commissioners of the Territory of Arizona, and shall have and exercise the powers and perform the duties hereinafter provided.
 PAR 20i0. (Sec. 2.) It shall be, and IS hereby, declared the duty of the loan commissioners to provide for the payment of the existing Territo, rial indebtedness due, and to become due,o that is now, or may be hereafter, authorized by law, and for the purpose of paying, redeemlng and refunding all or any part ot the principal ana interest, or either of the existing ana suUeisung Territorial legal indebtedness, and also that which may at any time become due, or is now or may be hereafter, authorized by law, the said commissioners shall, from time to time, issue negotiable coupon bonds of this Territory when the same can be done at q lower rate of interest and to the profit and benefit of the Territory.
 PAR 2O4l. (Sec. 3,l Said bonds shall be issued as near as practicable in denominations of one thousand dollars. but bonds of lower denomina- tion, not less than two hundred and fifty dol. lars, may be issued when necessary. Said bonds shall bear Everest at a rate to be fixed by said loan commissioners, but in no case to ex. ceed five per centum per annum, which interest shall he paid in gold coin or its equivalent in lawful money of the United States, on the fir teenth day of January in each year, at the office .,g, Tar, rtal nrar nr n hn the city of New York, in the state of New York. or in the city of San Francisco, in the state of California, or such place as may be des- ignated by said loan commissioners, at the option of the purchaser of said bonds, the place of payment being mentioned in said bonds The principal of said bonds shall be made payable in lawful money Of the United States, fifty years after the date of their issue. Said Territory reserves the right to redeem at par any of said bonds, in their numerical order, at any time after twenty years alter the date thereof.
 .sThey shall bear the date of their issue, state when, where, and to whom payable, rate of in terest, and when and where payable, and shall be signed by said loan commissioners, and shall have the seal of the Territory affixed thereto, and countersigned by the Territorial treasurer and bear his official seal and shall be registered by the Territorial auditor in book to De Kept by him for the purpose, which shall state amount sold for, or, if exchanged, for what, and the faith and credit of the Territory is hereby pledged for the payment of said bonds and the interest accruing thereon, as herein provided;
 "PAR. 2Oi2. (Sec. 4) Coupons for the interest shall be attached to each bond, so that they may be removed without injury or of mutilation bond. They shall be consecutiyely numbered and bear the same number of the bond to which they are attached, and shall be signed by the Territorial treasurer.
 "The said coupons shall cover the interest ex- pressed in said bond from the date of issue until paid but In no case shall bonds bear interest, nor shall any interest be paid thereon for any time before their delivery to the purchaser, as herinafter provided.
 PAR 20i3. (Sec. 5) Whenever the said loan commissioners may be authorized by law to issue bonds, or shah have decided to refund or redeem all or any part of the existing indebted ness of this Territory, they shall direct the Ter ritorial treasurer to advertise for sale of the bonds to be issued for that purpose, by causing anotice of such sale to be published Tor the period of one month in some daily newspaper published at the capital of the Territory, and at least one insertion in newspaper published in the city of New York, in the State of New York, and in the city of San Francisco, in the State of California; such notice shall specify the amount of bonds to be sold, the place. day and hour of sale, and that bids will be received by said treasurer for the purchase of said bonds within one month from the expira. ton of said publication; and at the place and time named in said notice the said treasurer and loan commissioners shall open all bids re- ceived by him and shall award the purchase oi said bonds or any part thereof to the bidder or bidders therefor bidding the lowest rate of in terest: Provided, That said loan commission. CTS shall have the right to reject any and all bids: And provided further, That they may refuse to make any award unless sufficient security shall be furnished by the bidder or bidders for the compliance with the terms oi their bids.
 shall DC awarded by the loan commissioners they shall provide and procure the necessary bonds as in this act provided, and any expense incurred by them therefor, for the publication of said notices cost of remitting funds for the payment of interest or money on said bonds, and all other necessary incidental expenses un- der the provisions Of this act shall be paid out of the general fund of said Territory, upon the order of the Territorial auditor, countersigned by the Governor; and sum Of money sufficient to cover said costs and expenses Is hereby ap- propriated out of said fund.
 "They shall, from time to time, after signing said bonds, deliver them to the Territorial treasurer, taking his receipt therefor, and charge him herewith The said treasurer shall give to the Territory of Arizona an additional sum equal to the amount of bonds de livered to him by the said loan commissioners, which bond shall be approved by the Governor and deposited and filed with the Secretary of the Territory, and recorded by him in book to be kept for that purpose. And the said Treasurer shall stand charged upon his official bond for the faithful performance of the duties required
 "PAR, 2Oi5 Sec 7.) The Territorial Treasurer shall sell said bonds for cash, or exchange them for any of the indebtedness for the redemption of which they were so issued but in no case shall said bonds be sold or exchanged for less than their face or par value and the accrued interest at the time of disposal, nor must any indebted ness be redeemed at more than its face value and any interest that may be due thereon.
 That said Treasurer shall indorse, by writing or stamping in ink on the face of the paper,evl- dencing the indebtedness received by him in exchange for said bonds, the time when and the amount for which exchanged.
 "PAR. 2046, (Sec S.) Moneys received by said Treasurer shall be applied by him to the re- ,IAl A.l..ag faN sl.ar .A... ton of which bonds were issued, and the Treas urer shall give notice, as is provided by law in case of payment and redemption of Territorial warrants, of his readiness to redeem such in debtedness, and thereafter interest on all such indebtedness due and outstanding shall cease.
 "Before any such indebtedness shall be paid the Territorial Auditor shall indorse on each certificate the amount due thereon, and shall write across the face of each the date of it's render and the name of the person surrender ing, and shall keep proper record thereof.
 nually, upon the taxable property in this Terri tory, and in addition to the levy for other au- thOriZed taxes, a sufficient sum tO pay the inter est on all bonds issued and disposed of in pur- suance of the provisions of this act, to be placed in the Territorial treasury, in the fund to be known as the Interest fund.- And fifty years after such bonds shall have been issued such ad- ditional amount shall be levied annually as will pay ten per cent. of the total amount issued un- til all the bonds issued under the provisions Of this act are paid and discharged nothing here in contained shall be construed to prevent the Legislature of Arizona from creating a sinking fund during the life of said bonds for their re- demption at maturity.
 'The Territorial Board of Equalization, or, on their failure, the Territorial Auditor, shall de- termine the rate of tax to be levied in the diff ferent counties in the Territory to carry out the provisions of this act. and shall certify the same to the Board of Supervisors, in each county and to the municipal or school authorities and the said board of supervi sors, or authorities, are hereby directed and re. quired to enter such rate on their assessment rolls, in the same manner and with the same effect as is provided by law in relation to other