CHAPTER 174 - NEW CASTLE - AUTHORIZING BOND ISSUE TO TAKE CARE OF EMERGENCY REQUIREMENTS OF SEWER COMMISSION

AN ACT TO AUTHORIZE THE MAYOR AND COUNCIL OF NEW CASTLE TO BORROW MONEY AND ISSUE BONDS THEREFOR FOR THE SUM OF TWENTY-FIVE THOUSAND DOLLARS TO TAKE CARE OF ANY EMERGENCY REQUIREMENTS OF THE SEWER COMMISSION AND/ OR THE BOARD OF WATER AND LIGHT COMMISSIONERS OF THE CITY OF NEW CASTLE.

Be it enacted by the Senate and House of Representatives of the State of Delaware, in General Assembly met (two-thirds of all the members elected to each branch thereof concurring therein):

Section 1. That The Mayor and Council of New Castle, a corporation of the State of Delaware, be and it is hereby authorized and empowered to borrow upon the faith and credit of The Mayor and Council of New Castle a sum not to exceed Twenty-five Thousand Dollars ($25,000.00) to be expended as hereinafter provided and to issue bonds of the said The Mayor and Council of New Castle for the payment thereof.

Section 2. That the moneys and proceeds derived from the sale of the said bonds herein authorized shall be used and appropriated only to take care of emergency requirements of the Sewer Commission of the City of New Castle and/or emergency requirements of the Board of Water and Light Commissioners of the City of New Castle, and for no other purpose.

Section 3. That the date of maturity of the bonds herein authorized to be issued shall be twenty (20) years from the time of issue. Their denominations, their names, their numbers and rates of interest payments shall be as prescribed by The Mayor and Council of New Castle.

Section 4. That the said bonds herein authorized, or any of them, may be redeemed at the option of the said The Mayor and Council of New Castle at par and with accruing interest at any time after the expiration of five (5) years from the date of issue of said bonds; provided, however, that if the said The Mayor and Council of New Castle shall, at any time after the expiration of five (5) years from the date of said bonds, elect to redeem any of said bonds, such redemption shall be made in pursuance of a notice to that effect, signed by the President and Treasurer of the said The Mayor and Council of New Castle; said notice to be published once a week for three (3) successive weeks in a newspaper published in the City of Wilmington. Such notice shall indicate the bonds called, and in making such calls, the said The Mayor and Council of New Castle shall call the bonds according to their numbers beginning with the lowest number, and the interest on any of the said bonds so called shall cease from the date fixed in any such call for redemption.

Section 5. That the Council of the said Municipal Corporation shall direct and effect the preparation and printing, and negotiate the sale and delivery of said bonds.

Said bonds shall bear date when issued and shall bear interest from that date, payable semi-annually. The said bonds herein authorized shall be signed by the Mayor, the President of Council and the Treasurer of the City of New Castle, and be sealed with the corporate seal of the Municipal Corporation, and shall be exempt from City, County and Municipal taxation.

Section 6. That the moneys received from the sale of said bonds shall be paid over to the Treasurer of the City of New Castle and held by him as a special fund to be drawn out and used for the purpose of this Act.

The Council of the said City is authorized and, unless the funds are otherwise provided, is required to levy and collect annually by taxation such sum of money as shall be sufficient to pay the interest accruing on said bonds, and is further authorized and empowered to levy and collect by taxation from time to time such sum or sums as shall be necessary to provide a sinking fund adequate for the redemption of said bonds at or before their maturity. The taxes for such interest and sinking fund shall be levied and collected in the same manner as are the other City taxes. The taxes and sinking fund above provided for shall not be available for any other purpose.

Section 7. That the faith and credit of the said The Mayor and Council of New Castle is hereby pledged for the payment of the said bonds authorized to be issued under this Act.

Section 8. That this Act shall be deemed and taken to be a public Act and shall be published as such.

Approved April 20, 1945.