The Robesonian., 1917-03-15


development of the State demands
the construction and maintenance of
public highways as commerce arte-
ries and means of social intercourse;
and whereas the State as a unit en-
joys borrowing credit at a less rate
of interest than individual townships
or counties; and whereas, by the use
of Estates aid" money can be bor-
rowed on township and county bonds
at saving in the rate of interest,
and at no cost or risk to the State,
thereby encouraging road building:
Now, therefore,
The General Assembly of North Caro-
lima do enact:
Section /. That for the purpose
of creating a semiannual road fund,
not to exceed four hundred thousand
dollars, to be used by the several
counties of the State for permanent
road improvement upon the terms
herein prescribed, the State Treasur-
er is hereby authorized and directed
to issue bonds of the State of North
Carolina, payable forty-one years af-
ter date of issue, which bonds shall
be issued semiannually on the first
days of January and July of each
year. On the first day of July fol-
lowing the ratification of this act
said State Treasurer shall issue bonds
to an amount not to exceed four
hundred thousand dollars, which
bonds shall bear interest at rate not
exceeding four per cent per annum
from date of issue until paid, which
shall be payable semiannually on the
fi,.r4 of o,oI T,11y Of
each year so long as any portion Of
paid.
Loans to Counties
Sec. 2. That the proceeds received
by the State Treasurer from the sale
of said bonds shall be loaned to the
several counties of the State, as here
matter provided, to be used by said
counties in the construction of macad-
am, sandclay, or other surfaced
roads.
Interest Paid by Counties
Sec. 3. Said counties shall pay to
the State Treasurer five per cent in
terest per annum on the amount so
loaned, to be paid seminannually on
the first days of December and June
of each and every year, for period
of forty-one years, or for such time
thereafter as may hereinafter be re-
quired. From the five per cent in
terest received on such coun-
ty bonds the State Treasurer
shall pay the four per cent in
terest on the State bonds issued for
this purpose, and the surplus shall
become a part of the semi-annual
road fund herein provided for.
Sec. A. On January first follow
ing the first issue of bonds under
this act the State Treasurer shall
issue bonds to an amount sufficient,
when added to said surplus, to make
an available fund of four hundred
thousand dollars, or so much thereof
as may be necessary to meet the de-
mand made for loans, which said sum
shall be loaned in the same manner
as the proceeds arising from the first
sale of bonds. Said bonds shall be
the same in all respects as those first
issued, and shall run for a period of
forty-one years from date of issue,
and bear interest at like rate, which
interest shall be payable on the first
days of January andJuly of each year.
If sufficient applications for loans to
counties shall not be made under the
provisions of this act to take up the
surplus at any time the State Treas
urer is authorized to loan such re-
manning surplus, in such manner as
may deem best, at rate of not less
than five per cent per annum, pay
able semiannually on the first
days of December and June of each
year.
Sec. 5. Each six months thereaf-
ter, for a period of forty-one years,
said State Treasurer shall issue bonds
of the same class, to run for a period
of forty-one years from date of issue,
to an amount sufficient, when added
to said surplus to create a fund Of
four hundred thousand dollars, or so
much thereof as may be demanded,
which amounts shall be loaned to the
counties applying therefor under the
conditions herein imposed.
Payment of Bonds
Sec. G.. At the expiration of said
period of forty-one years the State
Treasurer shall retire all of said
bonds as they mature, from the sur
plus remaining each six months af-
ter paying the semiannual interest
on the bonds outstanding.
Sec. Z. That the bonds authorized
and directed to be issued by this act
shall be coupon bonds, and of the
denominations of one hundred dol
lars, five hundred dollars, and one
thousand dollars each, as they may
be determined by the State Treasurer
and shall be signed by the Governor