The record-union., 1892-10-27
FOURTH.

An Act to provide for the payment of
funded Indebtedness of the State of
California, and to contract funded
debt for that purpose.
The people of the State of California. repre-
sented in senate and Assembly, do enact as
follows:
Section 1. For the purpose of Iauidating
and providing for the payment of the funded
Indebtedness of the State of California here
inafter specified, and to lessen the burden OF
taxation, the Governor of the State the Con-
troller of State, and the Treasurer of State
and their successors in Office shall constitute
Board OF Commissioners, to be styled the
Loan comm tsslonerS OF the state OF Califor-
MIA, ana shall have and exercise the powers
and perform the duties hereinafter provided
Section 2. the said Loan Commissioners
are hereby authorized to issue and sell not ex-
ceeding two million five hundred and twenty
eight thousand five hundred dollars (S2 52S :
300 OF the bonds of SAID State, bearing Inter
est at the rate of four per cent. per annum
which interest shall be be payable seni-annu-
ally, in gold COIN, on the second days in April
and October in each year, at the Office of the
Treasurer of State. The principal of said
bonds shall be made payable in gold coin
within twenty years after the date of their
issue, and shall be of such denominations as
the said Loan Commits sioners shall direct but
not less than five hundred dollars; shall bear
the date OF their issue, and shall be signed hv
the said Loan Commissioners, and shall have
the seal of the State affixed thereto; and the
faith of the State of California is hereby
pledged for the payment OF said bonds and
the Interest accruing thereon, as herein pro-
vided.
section 8. Coupons for the interest shall be
attached to each bond so that they NAV he
removed without injury or mutilation 10 the
bond; said coupons, consecutively numbered
shall be signed by the Treasurer OF State
Section 4. Before the sale of any of said
bonds the SAID Loan Commissioners shall
cause notlce OF sucn sale TO be published for
the space OF one month in two daily newspa-
pers published in English, one in the city of
san Francisco and one in the Capital of the
non nfT lea Ia rsnrF
OF bonds TO be sold, the rate of interest thew
Shall bear, the day and hour OF sale the rlsca
OF sale, which shall be at the State Capitol
and that sealed proposals Will be received bv
the said Loan Commissioners for the purchase
OF said bonds. within one month from fhe ex-
plration OF such publications; and on the day
and hour named in said notice the said Loan
Comm ssloners shall open all sealed propo-
sails received by them, and shall award fhe
purchase OF said bonds TO such bidders as viii,
IN their opinion, make the most advantage
Gus bid for the state; provided, that said Loan
commissioners may reject any or all bids if
they deem 1t TO the advantage of the State:
ana provided further that they may refuse to
make any award unless sufficient security
shall be furnished by the bidders for the COM
pliance with the terms of their bids; and pro-
Nlded Iurther, that said bonds shall not be
sold for less than one hundred cents on the
dollar, in gold coin. par value.
Section 5. 1t snail be the duty of the Treas
urer and Controller Of State each to keep a
separate record OF all bonds sold under the
provisions OF this Act, showing the number,
Os4te amount anu rate OF Interest Of each
pohU ana TO whom the same was issued.
Section g. The proceeds of such bonds shall
oe paid into the State Treasury, and shall be
applled TO the payment OF the following
Donds, IN the order of their issuance. The
Outstanding bonds issued under the Act en-
s titea An Act TO provide for the payment of
fornia. and to contract a funded debt for That
purpose, approved April second, eighteen
hundred and seventy.
soeSeioh Z: = al persons having any of the
bonds specified in Section & of this Act shall
upon presentation OF such bonds to the said
Loan commissioners, be entitled TO exchange
them at their par value for bonds authorized
to be issued under this Act at the rate OF one
hundred cents on the dollar, par value. but no
bond snail be issued for a less sum than II ve
hundred dollars, nor for fractional part of n
hundred dollars, but the said Loan Commits
siOners may issue certificates of such frac-
tlonal parts not bonded, which said certificate
shall be transferable and entitled to be naid
out OF the proceeds OF the sales of any bonds
provided for in Section Of this Act The