934 LAWS OF MARYLAND. [CH. 461

SECTION 1. Be it enacted by the General Assembly of
Maryland, That the Commissioners of St. Michaels be and they
are hereby authorized and empowered to erect, construct, equip,
maintain and operate a plant for manufacturing and supply-
ing electric current for lighting the streets, avenues, lanes,
alleys, squares and ways of St. Michaels and for other munic-
ipal purposes, and for supplying light, heat and power to the
citizens of St. Michaels and vicinity and to fix rates and make
contracts for supplying the same.

SEC. 2. That for the purpose of paying for said plant and
appurtenances thereto the Commissioners of St. Michaels are
authorized and directed to borrow on the faith and credit of
the town of St. Michaels not exceeding the sum, of Eight
Thousand Dollars ($8, 000), and to issue coupon bonds there-
for in sums of Five Hundred Dollars ($500) each, to be signed
by the Commissioners of St. Michaels and countersigned by the
Town Clerk thereof, attested by the corporate seal of said town;
said bonds to be designated as St. Michaels Electric Bonds,
and shall be consecutively numbered from one to sixteen, and
shall bear interest at the rate not exceeding six per centum
per annum, payable semi-annually, on the first day of Jan-
uary and July in each year accounting from July 1, 1916, and
shall be forever exempt from all taxation for State, county
and municipal purposes, and shall have printed on them a
distinct reference to this Act authorizing their issue.

SEC. 3. That the said bonds to be issued under this Act
shall mature in numerical order to the amount of Five Hun-
dred Dollars ($500) every two years beginning July 1, 1921;
and that the said bonds with interest thereon shall be paid and
cancelled by the said Commissioners of St. Michaels to the
amount of Five Hundred Dollars ($500) every two years, be-
ginning as aforesaid, until the whole of said bonds shall have
been paid; and the date of issue shall be the same on all bonds
issued under this Act; to wit, July 1, 1916, and the same shall
be advertised by the said Commissioners of St. Michaels, and
sold to the highest bidder for cash, provided that the same
shall be sold for not less than their par value and accrued
interest.

SEC. 4. That for the purpose of redeeming said bonds at
maturity and for securing the prompt payment of the interest
thereon, the Commissioners of St. Michaels shall apply any
surplus which may be received from time to time from: the