Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1961-05-25
Lssul Advertisement

Notice of Bond Sale
THE TOWN OF
GAITHERSBURG, MD.
$4,000
STREET IMPROVEMENT
BONDS OF 1861
Sealed proposals will be re-
ceived by the Mayor and
Council of The Town of Cal.
thersburg, Maryland, at the
Town Office in the Civic Cen
ter, Gaithersburg, Maryland,
until
1880 o'clock Noon
eastern Daylight Time)
THURSDAY, JUNE 1, 1861
for the purchase of $4,000
Street Improvement Bonds of
1851, to be dated June /, 1861,
to be numbered consecutively
from No. / upward, to bear in
terest at the rate or rates
named by the successful bidder,
not to exceed five per centum
(5e6) per annum, payable semi
annually (June 1 and Decem-
Der u until the respective ma
turtles of said bonds, and to
mature and be payable without
option of prior payment in nu-
merical order, in annual serial
installments on June l in each
Of the years 1862 to 1876, inclu-
sive, five 81 of said bonds ma
turing on said date in each of
the years 1862 to 1875, inclusive,
and ten (10) of said bonds ma
turing on said date in the year
1876.
Said bonds will be issued pur-
suant to the authority of Sec
tons 81 to 80, inclusive, of Ar
ticle 23-A of the Annotated
Code of Maryland t1957 Edi-
tion), and pursuant to the Town
Charter. Said bonds have also
been authorized by an Ordi-
nance of the Mayor and Council
Of The Town of Gaithersburg
(herein called the Town /,
adopted pursuant to the above
mentioned statute. Said bonds
will constitute unqualified gen.
eral obligations of the Town, a
municipal corporation of the
State of Maryland. BY said Or
dinance, provision is made for
the payment of the principal
of and interest on said bonds
from the proceeds of ad val
'crem taxes levied by said Or.
dinance pursuant to said char
ter which empowers the Town
to levy ad valorem taxes with
out limit as to rate or amount
upon all taxable property with
in the corporate limits of the
Town sufficient in rate and
amount to pay the principal of
and interest on the Indebtedness
Of the Town. By said Ordi-
nance, provision is also made
for the application to such pay
ment Of the proceeds of certain
special benefit assessments to
be imposed by the Town with
respect to certain street i'm
provements.
All Of said bonds will be in
coupon form, registrable as to
principal only. Both principal
and interest will be payable at
The Farmers Banking an d
Trust Company, Rockville,
Maryland, Paying Agent. Said
bank has also been designated
by the Town as Registrar for
said bonds.
Under existing laws, said
bonds and the interest thereon
will be exempt from taxation
in the State of Maryland and
such interest will be exempt
from direct Federal income tax.
Bidders are requested to
name the rate or rates OF in
terest, in multiples of ones
eighth (h) or one-tenth (1/1O)
of one per cent, to be borne
by the bonds, on which rate
or rates their proposals are
based and submitted. Bidders
may name different rates Of in
terest for the several maturi-
ties of the bonds offered but
may not name more than one
rate for any one maturity. No
rate of interest may be named
in excess of five per centum
$50 per annum.
All of said bonds will be
awarded to the bidder whose
offer to purchase said bonds re-
suits in the lowest net interest
cost to the Town. Such net in
terest cost will be determined,
with respect to each acceptable
proposal, by deducting the to-
tai amount of the premium bid,
II any, from the aggregate
amount Of interest payable on
the bonds, at the rate of rates
named in such proposal, from
the dukn ~ iearfa If qttch bonds