The record-union., 1892-10-26
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 l. For the purpose of hquidating
and providing for the payment of the funded
Indebtedness of the State of California here
matter specified, and to lessen the burden of
taxation, the Governor of the State, the Con-
Toller of State, and the Treasurer of State
and their successors in Office, shall constitute
Board of Commissioners, to be styled the
Loan Commissioners OF the State OF Califor-
MIA, and 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-
ceedng two million i've hundred and twenty
eight thousand five hundred dollars tS2 52S :
50Ol OF the bonds OF SAID State, bearing inter
est at the rate OF four per cent. per annum
which interest shall be be payable seTni-aunu-
ally, in gold coin, on the second days in April
ana October in each year, at the Office of the
Treasurer of state. The principal of said
bonds snail 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 Comms siOueTs hall direct but
not less than five hundred dollars; shall bear
the date OF their issue, and shall be signed bv
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 3. Coupons for the interest shall he
attached to each bond so that they may be
removed without injury or mutilation to the
bond; said coupons, consecutiyely mum bered
snail be signed by the Treasurer OF State
Section 4. Before the sale of any of said
bonds the said Loan Commissioners shall
cause notice Of such sale to be published for
the space OF one month in two daily ncwspa-
pers published in English, one in the city OF
san Francisco and one in the Capital of the
State. Such notice shall specify the amount
OF bonds TO be sold, the rate of interest they
shall bear, the day and hour of sale the place
OF sale, which shall be at the State Capitol
and that sealed proposals will be received nv
the said Loan Commissioners for the purchase
of said bonds, within one month from the ex-
plration of such publication; and on the dav
and hour named in said notice the said Loan
Commissioners snail open all sealed propo-
sails received by them, and shall award The
purchase OF said bonds to such bidders as will
in their opinion, make the most ADVANTAGE.
Gus bid for the state; provided, that said oan
| Commissioners may reject any or all bids III
they deem 1t to the advantage of the State.
! and pro yided 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-
Vided further, that said bonds shall not be
sold for less than one hundred cents on the
dollar, ia gold coin. par value.
Section 5. 1t shall bethe duty of the Treas
separate record Of all bonds sold under the
provisions of this Act, showing the number
GATE amount and rate of interest of each
oond and to whom the same was issued.
Section 6. The proceeds of such bonds shall
oe PAID INTO the State Treasury, and shall be
appllea To the payment OF the following
pohQS, IN the order of their issuance: The
outstanding bonds issued under the Act en-
utleo An Act TO provide for the payment OF
lhe Iunded Indebtedness of the State of CALI
iornla, and TO contract a funded debt for fhat
purpose approved April second, eighteen
hundred and seventy
oeelioh 4: All persons having any of the
bonds specified in Section s of This Act sbaII
upon presentation OF such bonds to the said
Loan commissioners, be entitled to Q exchanqe
to be issued under this Act at the rate Of one
hundred cents on the dollar, par value. bnt no
bond shall be issued for Il less sum than fiI-e
hundred dollars, nor for 4 fractional part Of n
hundred dollars, but the said Loan Commas
sioners may issue certificates OF such frnc.
tional parts not bonded, which said Certificate
shall be transferable and entitled to be "a IA
out OF the proceeds OF the sales of any bonds
provided for in Section of this Act. The