Delaware General Assembly


CHAPTER 160 - CITIES AND TOWNS—CLAYTON

AN ACT AUTHORIZING THE TOWN OF CLAYTON TO BORROW THIRTY THOUSAND DOLLARS ($30,000) AND TO ISSUE BONDS THEREFOR, FOR THE PURPOSE OF REDEEMING AND REFUNDING CERTAIN OUTSTANDING BONDS OF THE TOWN OF CLAYTON.

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 of the Legislature concurring therein):—

SECTION 1.—That THE TOWN OF CLAYTON, a municipal Corporation created by and existing under the laws of the State of Delaware, be and it is hereby authorized and empowered to borrow on the faith and credit of the said THE TOWN OF CLAYTON a sum of money not exceeding Thirty Thousand Dollars ($30,000) for the purpose of redeeming and refunding certain outstanding bonds of the said THE TOWN OF CLAYTON.

SECTION 2.—That the Town Council of the said THE TOWN OF CLAYTON, for the purpose set forth in Section One of this Act, shall have full power and authority to issue bonds of the said THE TOWN OF CLAYTON to an amount not exceeding in the aggregate the sum of Thirty Thousand Dollars ($30,000) and that said bonds shall be known by whatever name said Town Council shall determine.

SECTION 3.—That the said bonds shall be authorized by a resolution or resolutions of said Town Council and shall be issued in one or more series, shall bear such date or dates, mature at such time or times, not exceeding twenty-five years from their respective dates, bear interest at such rate or rates not exceeding four percent per annum, be payable at such time or times, be in such denominations and payable at such place or places as such resolution or resolutions of said Town Council may provide. The bonds may or may not be coupon bonds as said Town Council shall determine. Any and all of said bonds may be redeemed at the option of said Town Council at par and accrued interest at such interest period or periods and after the expiration of such time or times from the respective dates of said bonds, all as shall be authorized by resolution or resolutions of said Town Council and as shall be set forth in the bonds, and if said Town Council shall elect to redeem any or all of said bonds as provided therein, such redemption shall be made in pursuance of notice signed by the President of the Town Council of THE TOWN OF CLAYTON, or signed by the Mayor of THE TOWN OF CLAYTON, if at any time the charter of the said THE TOWN OF CLAYTON be amended to provide for the office of Mayor of THE TOWN OF CLAYTON in lieu of the office of President of the Town Council of THE TOWN OF CLAYTON. Such notice shall be published once a week for three consecutive weeks in a newspaper published in the City of Wilmington and State of Delaware, and also like notice shall be published in a newspaper published in Kent County and State of Delaware. Such notice shall indicate the bonds so called for redemption and in making such call or calls for redemption said Town Council shall select the bonds to be called by lot or in such other manner as the said resolution or resolutions of said Town Council, providing for the issuance of said bonds, and as the bonds issued in pursuance thereof shall state. The interest on bonds so called for redemption shall cease from the redemption date or dates named in any of said calls.

SECTION 4.—The Town Council of THE TOWN OF CLAYTON shall direct and effect the preparation and sale of the bonds which are authorized by this Act at such time or times and upon such terms and in such form as the said Town Council shall deem best and so provide and authorize by resolution or resolutions. All monies arising from the sale of said bonds shall be used for the purpose of carrying out the provisions of this Act.

SECTION 5.—The form of said bonds, together with any coupons which may be attached thereto, shall be prescribed by resolution or resolutions of said Town Council and said bonds shall be signed by the President of the Town Council of THE TOWN OF CLAYTON, or by the Mayor of THE TOWN OF CLAYTON, if the charter of THE TOWN OF CLAYTON be amended changing the present office of President of the Town Council of THE TOWN OF CLAYTON to the Mayor of THE TOWN OF CLAYTON, and by the Treasurer of THE TOWN OF CLAYTON and sealed with the corporate seal of said municipal corporation. Said bonds shall be exempt from all State, County and Municipal taxes. As said bonds and any coupons attached thereto shall be paid, the same shall be cancelled as said Town Council shall direct. Facsimile signatures of the said President of the said Town Council, or of the Mayor of THE TOWN OF CLAYTON as the case may be as aforesaid, and of the Treasurer of THE TOWN OF CLAYTON, may be imprinted upon any coupons that may be attached to said bonds in lieu of the signature of the said President of said Town Council, or of the Mayor of THE TOWN OF CLAYTON as the case may be as aforesaid, and in lieu of the signature of the Treasurer of THE TOWN OF CLAYTON.

SECTION 6.—That the said Town Council of THE TOWN OF CLAYTON is hereby authorized and required to levy and raise by taxation in each year such sum of money as may be required to pay_ the interest accruing on said bonds, or any of them while all or any of said bonds remain unpaid, and the said Town Council is further authorized and required to levy and raise by taxation from time to time, such sum or sums of money as shall be needed to establish such sinking fund, as said Town Council may at its discretion authorize for the redemption of said bonds or any of them, at or before their maturity, and such sum or sums of money as shall be required to otherwise redeem any or all of said bonds at or before their maturity. Taxes for interest and for redemption of said bonds as aforesaid shall be levied and raised as taxes for general municipal purposes in the said Town are levied and raised and shall be in addition to the taxes raised for any and all other purposes.

SECTION 7.—The faith and credit of THE TOWN OF CLAYTON are hereby pledged for the due payment of all of the bonds, and interest thereon, which may be issued under the provisions of this Act.

SECTION 8.—That a statement appearing in the bonds issued under this Act to the effect that the bonds have been duly authorized, shall be deemed and held to be conclusive evidence, in favor of the holder of any such bonds, that all the terms and conditions of this Act have been fully met and complied with.

Approved April 9, 1941.