The Penn's Grove record., 1891-06-12
CCLNlIl.


An Act to authorize cities to issue bonds Tor
the funding of water debts and to provide Tor
their payment,
/. BE Ii enacted by the Senate and General
Assembly of the State of New Jersey, That
whenever in any city of this state, owning and
controlling water works for the supply OF the
inhabitants thereof the board having charge
aud control of such water works shall have
heretofore expended a part OF the income De
rived by way of water rents in the extension
of water mains and the construction OF per
mancnt improvements in connection with such
water works, so that the income derived from
such water works shall have proved INSULT
cient TO meet all expenditures made by SAID
board, and said deficiency shall have been met
by temporary loans made to said water de-
partincnt, ii shall be lawful for the board hay
ing charge and control of the finances of such
city, with the approval of the mayor of such
city, TO fund such temporary indebtedness or
any part thereof by the issuing of water bonds
of said city to take up the same, TO an amount
not exceeding three hundred and nifty thou
sand dollars.
=. And be it enacted, That the bonds to he
issued under the provisions of this act shall he
made payable at periods not to exceed thirty
years from the date of issuing the same, and
shall bear interest at a rate not exceedingsive
per centum per annum and be in sucn sums as
t me board having GnasEe ana control oil h me
bonds shall be executed under the corporate
scalot such city and the signature of the may
or, comptroller or other proper financial officer
thereof, and may he either registered or cou-
pom bonds, as said board may direct; provided,
that IN order TO redeem said bonds at maturity,
II Silhll NJ tut ultA OF INC UDdFu hdNlilE tndFEt
and control Of the finances of said city ~ cs-
tablish a sinking fund, into which IL shall be
the duty of the board having the charge and
control Of such water works TO pay annually,
in the month Of July in each year, out of the
Income derived from such water supply,a sum
equal TO two per Centum of the bonds issued
under the provisions of this act, which ink
ing fund shall he under the charge and con-
troll of the sinking fund commissioners of
such city by Whatsoever name they may be
called.
3. And he II enacted. That the interest on the
paid s~omiiannually out OF the reflections for
water rents in such city for said year, before
expenditures therefrOm for other purposes.
4. And to il enacted. That the board having
charge and control of the water works for the
supply of such city shall, before making or
mourning any obligation on behalf of such city
against the water account thereof. lay aside
and devote each year u sum Sufficient to pay
the interest upon all water b9nhs issued and to
he issued by such city ON behalf of the water
supply thereof,
3. And be- il enacted. That the board having
charge and control of the tinanceS Of suckcity
may dispose OF the bonds hereby authorized to
be issued NJ public sale for the best price that
can be obtained for the same, or at private sale
In ease u more favorable bid can be obtained
than shall have been bid publicly therefor. but
in no case for less than par, and all moneys de
rived from the sale OF said bonds shall be in
vtOlably applied 10 and used for the payment
of said temporary loans.
3. And be il enacted, That this act she'll
take effect Immediately.
Approved April II, 1881,