Washington telegraph., 1914-06-05
Constitutional
Amendment No. IA
PROPOSED BY IN1TrAT1vE PETITION
MUNICIPAL BOND AMENDMENT.

MUNICIPAL BOND AHrENDMEMT.
Proposed Amendment No. IA to the
constitution of Arkansas TO be entitled
constitution so as to permit cities and
towns under certain conditions to issue
interest bearing bonds and other evil
oences of Indebtedness"
FOR AMENDMENT NO. IA.
AGAINST AMENDMENT NO. IA.
Be it Enacted by the People of the
state of Arkansas:
That Section l of Article 16 of the
constitution of the State of Arkansas
De amended so as to read as follows:
Article 16. Section L.. Neither the
state nor any city, county, town or other
municipality in this State shall ever loan
lts credit for any purpose whatever; nor
ShalI any county, city. town or munich
panty ever issue any interest-bearing
evidences Of Indebtedness except such
ponds as may be authorized by law to
provide for and secure the payment of
the Indebtedness existing at the time
of the adoption of the Constitution OF
1874. and the State shall never issue any
lnterest-bearing treasury warrants or
Provided that Incorporated towns OF
1000 or more population. as shown by
the next preceding Federal census. or
by census taken for that purpose by
the municipal authorities of said towns,
ana cities of the first and second class.
may issue, by and with the consent of
majority of the qualified electors of
said municipalities voting on the ques-
ton at an election held for that pur-
pose, bonds or other interest-bearin
evidences of Indebtedness in sums and
FOR the purposes approved by such ma
1ority at such election, as follows.
For the funding or refunding of any
existing Indebtedness incurred prior to
the adoption of this amendment; for the
requirement. constructors or mainten-
anCp alleNS
or boulevards; for the purchase Of equip
mont of parks or Fairgrounds; for the
construction of sewers. FOR the purchase
or construction of city or town halls.
auditoriums, prisons. libraries. hospitals,
fire stations or equipment, viaducts or
bridges; and for any and all public
oulIdlnSs, structures or grounds that
may be required by said municipality
for the proper and economical acminis-
tration Of its government; and for any
other public improvements Of a general
nature for the use and benefit Of said
icipality
Provided. that no municipality shall
ever grant financial aid towards the
construction of railroads or other pri-
vate enterprises operated by any pri-
vate person or corporation; and, pro-
vided further. that any of the aforesaid
improvements nav be within or with
out the corporate limits of said munich
palities
No norov raised for specific pur-
pose shat he used for any other or
different purpose.
No bonds or other interest-bearing
evidences of Indebtedness issued under
the authority of this amendment shall
ever be sold at less thar par. and when
issued by cities of the first class they
shall not bear a greater rate of interest
than five 90 per cent per annum, and
when issued by cities of the second
class and by such incorr Aated towns
as aforesaid shall not be1r a greater
rate of interest than six co. per cent
per annum. In order to provide for the
-nayment Of bonds and .other interest
i5;s 70 sTcssi = gs%sB ts : r, njs j-s51ia, n
! In addition TO the rate of taxation now
permitted. may be levied by said munich
ralities on the taxable property therein;
and any of said municipalities issuing
derces of indebtedness shall. before or
at the tine of doing so, provide for the
collection of A direct annual tax, not
sao ing the amount limited as above.
"0R7,nt to pay the interest such
Ten f0lor other interest-bearin< evil
Do of indebtedness as they fall due
~ lso to pay and discharge the
pal thereof. within thirty-five
j., 7ears from the time of issuing the
D Se15 Provided further. that bonds or
81. : interest-bearing evidences of in
deb edness shall not be issued for an
amount in the aggregate of more than
seven Cd per cent of the assessed valua-
tiOn of all real and personal property in
the municipality proposing to issue the
same, according to the last general as
| sessment Said bonds and other inter
est-bearing evidences of indebtedness
shall be serial. and shall be paid or as
rapidly as the income derived from snid
! tax will permit Provided further. that
bonds may be issued by said munich
palities for the purpose of acquiring,
purchasing. extending improving. en-
| larging. building or constructing water
works or lighting plants with the assent
| Of a majority of che voters of said
| municipalities voting on such question.
-N,1 -roI
| at any time to issue such bonds with
/ the assent aforesaid. and shall be au-
/ thorized to make levy of taxes for the
| purpose of paying the principal and
| interest of such bonds: and such water
/ works and lighting bonds or renewals
/ thereof shall not be included In the
| computation of the amount OF bonded
| Indebtedness or the amount of the levy
hereinbefore permitted. but said muni-
! cipalities are permitted to issue such
| bonds and levy taxes therefor IN excess
/ of said limitations. and the rates of in
| terest on such water works or lighting
| bonds shall he governed by the prOvis-
i ions hereinbefore Get out relating to
| general bonds. but such bonds need not
| he retired within thirty-five (3bl years.
| Provided further. that as additional Sc
| curity of said additional bonds. mort
! gage or other lien shall be given by said
! rnunicipalitv on such water works or
lighting plant including it's franchise
and all other property connected there
with
| Said election shall be held at Such
! tirne as the city or town council may
! designate by ordinance which ordinance
! eLaIl specifically state the purpose for
| which the bonds or other interest-bear-
| inc evidences of Indebtedness are to
| he issued, and II for more than one pur-
| nose provision shall be made In said
! ordinance for balloting on each sepa-
| rate purpose; the sum total of the is
sue: the dates of maturity thereof; and
said ordinances shall fix the date of
| election. so that 1t shall not occur
| earlier than sixty DAYS after the passage
| of said ordinance. said election snail
! be held and conducted. and the vote
| thereon cenvassed- and the result there
| of declared under the law and in the
| manner now or hereafter provided for
| municipal elections. so far as the same
may he applicable. except as herein
otherwise provided. Notice of said cleo
tion shall be given by the Mayor by
advertisements weekly for at least -four
times in some newspaper published in
tion therein the last publication to be
rot loss than ten (10) days prior to the
date of said election.
Qualified electors of said municipality
only shall have a right to vote at said
elections. The result of said election
shall be proclaimed and published by
the Mayor and the result as proclaimed
shall be conclusive unless attacked il
the courts within sixty (60) days after
tho date of such proclamation.
This amendment shall not repeal mol
affect any law relating to the orGant
zation of Improvement districts
This amendment shall be in force upor
its adoption and shall not require iegis
lative action TO put II into force and
effect.
shall be treated as mandatory. and al
provisions of the Constitution or amend
rents thereto in conflict herewith ar'
hereby repealed
state on the 5th day Of March 1913