Newport daily independent., 1918-08-28
PROPOSED BY INITIATIVE
 PETITION. PROPOSED CoNsTrrUTIoNA AMENDMENT NO. 13.

PQSC authorities of said town, and cities of the first and second class may issue. by and with the consent of a majority of the qualified electors of said municipality voting on the question at an election held for that purpose, bonds or other interest bearing evidences of indebted ness. and providing the means and manner of payment of said bonds.
 FOR AMENDMENT NO 13.
 AGAINST AMENDMENT NO. IS.
 Be It Enacted by t.-e People of the
 State of Arkansas:
 That Section 1 of Article 16 % the Constitution of the State of Arkansas be amended to read as follows:
 Article 16. Section 1. Neither the State nor any city, county, town or other municipality in this State shall ever lend its credit for any purpose whatever; nor shall any county. city. town or municipality ever issue any interest bearing evidences of indebted ness, except such bonds as may be au- thorized by law to provide for'and se- cure the payment of the indebtedness existing at the time of the adoption of the Constitution of 1874, and the State shall never issue any interest bearing treasury warrants or scrip.
 Provided. that incorporated towns of 1000 or more population, as shown by the next preceding federal census or by census taken for that purpose py the municipal authorities of said towns
  may issue, by and with the consent of a majority of the qualified electors or said municipality voting on the ques- tion at an election held for the pur- pose, bonds or other interest bearing evidences of indebtednss in sums and for the purposes approved by such ma jority at such election, as follows, to- wit:
 For the funding or resunding or any existing indebtedness incurred prior to the adoption of this amendment; for the acquisition of rights of way Tor and construction of public highways, streets, alleys or boulevards within the corporate limits of such municipality; for the purchase development and inn provement of parks, located either within or without the corporate limits of such municipafity; for the construc- ton of sewers; for the purchase or sites for, or for the purcnasc of con- struction of, city or town halls, audi toriums, prisons, libraries, hospitals, viaducts, bridges. or buildings for hous- ing fire fighting apparatus; and for the purpose of acquiring, purchasing, ex- tending, improving, charging, building or constructing of water works, or light and heat plants. As additional security in providing water works or light and heat plants for cities and towns. a mortgage or other lien may be given by such munciT alities on such water works or light and neat plants and the income thereof, and the rfTan'7IS6 dnQ OlntT pIOpSity SOiitiSSe- ed therWith.
 No bonds or other interest bearing evidences of indebtedness issued under the authority of this amendment shall bear greater rate Of interst than SIX per cnt per annun, payable either an nuafly or semi -annually, and bonds ls- sued by cities of the first class shall not be sold on basis of more tl-an live per cent; that Is to say, the cost to the municipality for interest and discount on each issue of bonds shall not exceed s per cent per annum, and bonds 1s- sued by cities of the second class ana Incorporated towns shall not. De sold on a basis of more than six per cent, and no bonds issued under the author ity of this amendment shall ever pc sold, except at public sale after twenty days advertisement in some newspaper having bona f,a fide ereuihtion q hand n the
 Tn order to provide for the payment of the bonds and other interest bearing evidences of indebtedness issued undeI the provisions of this amendmnt, ana interest thereon, special tax, not to exceed five mills on the dollar, in ad- dftfon to the rate now permitted, may be levied by municipalities on the tax able property therein: and any munlc- ip1lity issuing any bonds or other ln- terest-bearing evidences of indebted. ness shall before or at the time or doing so levy a direct tax payable an nually not exceeding the amount linn lied above, SulIlCloul u pay tHC iAi- terest on such bonds or other interest," bearing evidences of indebtedness as the same natures, and also sufficient to pay and discharge the prlnclpai oI all such bonds or other interest pear ing evidences of indebtedness at their respective maturitics; provided, that tae above limitation of the raye or tax ation shall not apply to bonds issuec by any municipality for the purpose or acquiring purchasing, extending, lm- proving. enlarging. building or con- structing water works and light ana heat plants, but the levy of the spe- cial tax of five mills authorized by thls amendment having been exnausteu or to pay interest on and retire the pro- posed bonds, said municipality. for the purpose of paying the principal ana interest of such water Works ana ilgnt and heat plant bonds. may, so Tar as required. levy and collect special tax. in addition to the rate allowed by thls amendment. of not to exceed nve mills on the dollar; provided aIso that, as further and additional limitation upon both the issuance of bonds or other interest bearing evidences of indeDted- ness and the levy of a special tax 10 pay interest thereon and retire the same at their respective maturltles, no ,nunicipality shall have the power to make an issue Of bonds or other ln- tcrest bearing evidences of indebted ness if said proposed issue ltseii' or together with all previous issues VI bonds and other interest-bearing evl- dences of indebtedness then outstand- ing by such municipality shall aggre- gate as to a city of the first class more in amount than five per cent (5co). and as to incorporated towns and cities of the second class more in amount than seven per cent G9o) or the assessed valuation of all taxable property in the municipality proposing to issue the same according to the last general assessment next preceding said proposed issue of bonds or other inter- est-bearing evidences of indebtedness.
 Said bonds and other hearing evidences or indebtedness shall be se- rial. maturing annually after three years from date of issue. and shall be paid off as they mature, and no bonds for the acquisition of rights of way for and the construction of public high ways, streets. alleys or boulevards is- sued under the authority of this amend ment shall be issued for longer pe- riod than fifteen years, and no otEer bonds shall be issued for longer pe- riod than thirty-f1ve years.
 No municipality shall ever grant financial aid toward the construction of railroads or other private enterprises operated by any person. firm or corpo-
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