Pennsylvania Act 1935-68 — MUNICIPAL BONDS, REDEMPTION

Act text

MUNICIPAL BONDS, REDEMPTION
                   Act of May 9, 1935, P.L. 155, No. 68               Cl. 11
                                  AN ACT

     Granting power to counties, cities, boroughs, towns, townships,
        school districts, and poor districts to redeem unmatured
        bonds and obligations by a new issue of bonds at a lesser
        rate of interest.

        Compiler's Note:  Section 803 of Act 87 of 1941 provided that
            Act 68 is repealed except insofar as it relates to first
            class cities.
        Section 1.  Be it enacted, &c., That any county, city,
     borough, town, township, poor district, or school district,
     which has heretofore issued bonds or other interest-bearing
     evidences of indebtedness with or without interest coupons
     attached, and which bonds or obligations have not matured, shall
     have the option to redeem such bonds or interest-bearing
     obligations, in whole or in part, prior to maturity, at or
     subsequent to any date when any issue or any part of any issue
     of such bonds or obligations is callable, or if not callable,
     then if the consent of the holders thereof to such redemption is
     first secured, and for the purpose of redeeming or paying off
     any or all of such bonds or obligations, shall have power to
     issue and sell registered or coupon bonds at any rate of
     interest, but less than the rate specified in the bonds or
     obligations to be redeemed, maturing at any time not exceeding
     twenty years after the date thereof, and not exceeding in the
     aggregate, the amount of the bonds and obligations, redeemed and
     to be paid off. The bonds issued, in accordance with the
     provisions of this act, shall be exempt from taxation, except
     for State purposes: Provided, however, That all moneys in the
     sinking fund, properly applicable to any such issue of bonds or
     obligations to be so redeemed, shall first be applied to the
     payment, so far as applicable, of the principal of such bonds or
     obligations, and the balance of such issue only shall be
     redeemed by the issue of new bonds.
        Section 2.  All acts and parts of acts inconsistent herewith
     are hereby repealed.
        Section 3.  This act shall become effective immediately upon
     final enactment.