ALBERT C. RITCHIE, GOVERNOR.                    87

to sell the same and to use the proceeds thereof for the pur-
pose of increasing, improving, repairing, extending, estate
lishing, altering, maintaining and operating the water sys-
tem and supply of said city, and for all other necessary pur-
poses now or hereafter affecting the water supply of the
City of Frostburg, and providing generally for the adver-
tisement and sale of said bonds and the redemption of the
same at maturity and the payment of the interest thereon.

Section 1, Be it enacted by the General Assembly of
Maryland, That the Mayor and Councilmen of Frostburg be,
and they are hereby authorized and empowered to borrow
money upon the credit of said municipal corporation, and to
issue and sell bonds therefor to an amount not to exceed two
hundred thousand dollars ($200, 000. 00) in denominations of
one hundred dollars ($100. 00) or any multiple thereof. Said
bonds shall be forever exempt from State, county and munici-
pal taxes and shall be signed by the Mayor of said municipal
corporation and attested by its City Clerk, with its corporate
seal thereto attached, and shall bear interest at the rate of not
more than five per cent, per annum, payable semi-annually, for
which interest proper coupons are to be attached thereto. Said
bonds when issued shall have written or printed on them a
distinct reference to the Act authorizing the issuance of the
same, and shall be designated "Frostburg Water Improvement
Bonds of 1931. "

SEC. 2. And be it further enacted, That said bonds shall be
so issued that a series of said issue equal in amount to four per
cent of the total amount of said bonds actually issued shall
mature and become payable at the end of five years from the
date of issuance of said bonds and a like series to an amount
equal to four per cent of the total amount of said bonds actually
issued shall mature and become payable at the end of each and
every year thereafter, until all of said bonds of said issue shall
have been redeemed.

SEC. 3. And be it further enacted, That the said Mayor
and Councilmen of Frostburg shall by ordinance cause adver-
tisement to be made, setting the time and place where bids
conditioned as may be required by said ordinance will be
opened for the sale of said bonds, reserving unto itself the
right to reject any and all bids and the right to readvertise
the sale of said bonds. Said bids shall be filed with the City
Clerk and at the time and place advertised shall be opened by