AN ACT TO AMEND CHAPTER 302, VOLUME 49, LAWS OF DELAWARE, BEING AN ACT ENTITLED "AN ACT TO INCORPORATE THE TOWN OF FENWICK ISLAND, DELAWARE" BY AUTHORIZING THE BORROWING OF MONEY AND ISSUING OF BONDS THEREFOR, AND THE BORROWING FOR CURRENT EXPENSES.
Be it enacted by the General Assembly of the State of Delaware (two-thirds of all Members elected to each Branch thereof concurring therein):
Section 1. That Chapter 302, Volume 49, Laws of Delaware, as amended, is amended by adding thereto a new and additional section to be known as "Section 33" as follows:
Section 33. (A) The Council of the Town of Fenwick Island, Delaware, may borrow money and issue bonds or certificates of indebtedness to secure the payment thereof on the faith and credit of the Town of Fenwick Island, Delaware, to provide funds for the erection, the extension, the enlargement or the repair of any plant, machinery, appliances or equipment for the supply, or the manufacture and distribution of electricity, or gas for light, heat, or power purposes; for the furnishing of water, to the public, for the construction or repair or improvement of highways, streets, or lanes or the paving, curbing or erection of gutters along the same; for the construction or repair of sewers or sewage disposal equipment; or to defray the costs of the Town of Fenwick Island, Delaware, of any permanent municipal improvements; providing, however, that the borrowing of the money therefor shall be authorized by the Town Council and shall have been approved in the manner following:
(B) 1. Council by resolution shall propose to the electors of the Town by resolution that the stated amount of money shall be borrowed for any of the above purposes. The resolution shall state the amount of money desired to be borrowed, the purpose for which it is desired, the manner of securing the same, and all other pertinent facts relating to the loan, and shall fix a time and place for hearing on the said resolution.
2. Notice of the time and place of hearing on the resolution authorizing said loan shall be posted in five public places at least one week before the time set for said hearing.
3. A second resolution shall then be passed by Council ordering a special election to be held not less than thirty (30) days and not more than sixty (60) days after the date of its determination after said hearing to borrow the said money for the purpose of voting for or against the proposed loan.
4. The notice of the time and place for holding the said special election shall be given the inhabitants by posting notices in five public places for two weeks prior to the election. And the special election shall be conducted by a Board of Electors as herein provided in the case of annual election.
5. The Council shall cause to be prepared, printed and have available for distribution a sufficient number of ballots at not less than five (5) days prior to the date of the special election.
6. At the special election, every person who had a right at the next preceding annual Town election shall have one vote for every dollar and fractional part of dollar of tax paid by him or her respectively during the year preceding said election, and every owner of property, whether individual, partnership or corporation shall have one vote for every dollar or part of dollar of tax paid by said owner during the year preceding said election and the said vote may be cast either in person or by proxy.
7. The Board of Election shall count the votes for and against the proposed loan; and shall announce the result thereof, shall make a certificate under their hands of the number of votes cast for and against the proposed loan, and should deliver the same to the Council, which said Certificate shall be entered on the minutes of the Council, and the original shall be filed with the papers of the Council.
(C) The form of Bond or Certificate of Indebtedness, the times of payment of interest, the classes, the time of maturity, and provisions as to the registration shall be determined by the Council. The bonds or certificates of indebtedness shall be offered for sale to the best and most responsible bidder therefor after advertisement in a newspaper of the Town or otherwise, for at least one month before offering the same for sale. The Council shall provide, in its budget, and in fixing the rate of tax, for the payment of interest and principal of said bonds or certificates of indebtedness at the maturity or maturities thereof, and a sinking fund therefor. The faith and credit of the Town of Fenwick Island, Delaware, shall be deemed to be pledged for the due payment of the bonds or certificates of indebtedness and interest thereon issued under the provisions hereof, when the same have been properly executed and delivered for value.
(D) The bonded indebtedness of the Town of Fenwick Island, Delaware, shall not at any one time in the aggregate exceed the total sum of One Hundred Thousand Dollars ($100,000.00).
Section 2. That Chapter 302, Volume 49, Laws of Delaware, as amended, is amended by adding thereto a new and additional section to be known as "Section 34" as follows:
Section 34. Whenever during the year, the current receipts are insufficient to provide for the needs of the Town, the Council is authorized to anticipate revenue by borrowing money not in excess of the sum of Fifteen Thousand Dollars ($15,000.00), which shall be repaid from current revenue received thereafter; provided, however, such borrowing shall at no time exceed the aggregate of Fifteen Thousand Dollars ($15,000.00). Indebtedness created hereby shall be evidenced by bond or note of the Town, and the faith and credit of the Town shall be deemed to be pledged for the due payment thereof; but no agency or instrumentality of the Town shall borrow money upon the credit of the Town, except by resolution of the Council.
Approved May 27, 1965.