AN ACT TO AUTHORIZE THE MAYOR AND COUNCIL OF NEW CASTLE TO BORROW MONEY AND ISSUE BONDS THEREFOR FOR A SUM NOT TO EXCEED ONE HUNDRED TWENTY-FIVE THOUSAND DOLLARS TO PAY FOR THE PURCHASING AND INSTALLATION OF AN ELEVATED WATER STORAGE TANK.
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 municipal 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 One Hundred Twenty-five Thousand Dollars ($125,000.00), to be expended as hereinafter provided, and for this purpose to issue bonds of the said The Mayor and Council of New Castle not exceeding in the aggregate that amount.
Section 2. That the moneys and proceeds derived from the sale of the said bonds herein authorized shall be used and appropriated only to pay for the purchasing and installation of an elevated water storage tank, and for the payment of all necessary expenses in and about the authorization, preparation, printing and sale of said bonds.
Section 3. That the term of the bonds herein authorized to be issued shall not exceed twenty-five (25) years from the date of issue. Each of the bonds shall be in the amount of One Thousand Dollars ($1,000.00). Their names, numbers and rate of interest shall be as prescribed by The Mayor and Council of New Castle. The bonds shall bear date when issued and shall bear interest from said date, payable semi-annually. They 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 said municipal corporation. The bonds shall be exempt from State, County and Municipal taxation.
Section 4. That the bonds to be issued hereunder shall be serial bonds, numbered consecutively and maturing at the rate of Five Thousand Dollars ($5,000.00) each year. Bonds numbered one to five inclusive shall be payable at the expiration of one year from the date of issue, and thereafter five of said bonds in their numerical order shall mature and be payable each year until all of said bonds have matured.
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.
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 in a special fund to be drawn out and used for the purpose of this Act.
Section 7. That the Council of the said City is authorized and, unless the funds are otherwise provided, is required to levy and collect annually by taxation a sum of money sufficient to pay the interest accruing on said bonds and to retire said bonds as they mature.
In July of each year, or oftener in their discretion, if the revenue warrants, the Board of Water and Light Commissioners for the City of New Castle shall turn over to the City Treasurer a sum sufficient to pay the interest on said bonds and to retire such bonds as annually mature.
Section 8. 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 9. That this Act shall be deemed and taken to be a public Act and shall be published as such.