242.480. Issuance and payment of bonds--treasurer, duties. - Missouri Statutes

Issuance and payment of bonds--treasurer, duties.

242.480. 1. The board of supervisors may, if in theirjudgment it seems best, issue bonds not to exceed ninety percentof the total amount of the taxes levied under the provisions ofsection 242.450, in denominations of not less than one hundreddollars, bearing interest from date at a rate not to exceed sixpercent per annum, payable semiannually, to mature at annualintervals within twenty years, commencing after a period of yearsnot later than five years, to be determined by the board ofsupervisors, both principal and interest payable at someconvenient banking house or trust company's office to be named insaid bonds, which said bonds shall be signed by the president ofthe board of supervisors, attested with the seal of said districtand by the signature of the secretary of the said board.

2. All of said bonds shall be executed and delivered to thetreasurer of said district, who shall sell the same in suchquantities and at such dates as the board of supervisors may deemnecessary to meet the payments for the works and improvements inthe district. Said bonds shall not be sold for less thanninety-five cents on the dollar, with accrued interest, shallshow on their face the purpose for which they are issued, andshall be payable out of money derived from the aforesaid taxes.

3. A sufficient amount of the drainage tax shall beappropriated by the board of supervisors for the purpose ofpaying the principal and interest of the said bonds and the sameshall, when collected, be preserved in a separate fund for thatpurpose and no other. All bonds and coupons not paid at maturityshall bear interest at the rate of six percent per annum frommaturity until paid, or until sufficient funds have beendeposited at the place of payment and the said interest shall beappropriated by the board of supervisors out of the penalties andinterest collected on delinquent taxes or any other availablefunds of the district. Any expense incurred in paying said bondsand interest thereon and a reasonable compensation to the bank ortrust company for paying same, shall be paid out of other fundsin the hands of the treasurer and collected for the purpose ofmeeting the expenses of administration.

4. It shall be the duty of said board of supervisors inmaking the annual tax levy, as heretofore provided, to take intoaccount the maturing bonds and interest on all bonds, and to makeample provisions in advance for the payment thereof. In case theproceeds of the original tax levy made under the provisions ofsection 242.450 are not sufficient to pay the principal andinterest of all bonds issued, then the board of supervisors shallmake such additional levy or levies upon benefits assessed as arenecessary for this purpose, and under no circumstances shall anytax levies be made that will in any manner or to any extentimpair the security of said bonds or the fund available for thepayment of the principal and interest of the same.

5. Said treasurer shall, at the time of the receipt by himof said bonds, execute and deliver to the president of the boardof supervisors of the said district, a bond with good andsufficient sureties, to be approved by the said board ofsupervisors, conditioned that he shall account for and pay overas required by law and as ordered to do by said board ofsupervisors any and all money received by him on the sale of suchbonds, or any of them, and that he will only sell and deliversuch bonds to the purchaser or purchasers thereof under andaccording to the terms herein prescribed, and that he willreturn, duly canceled, any and all bonds not sold to the board ofsupervisors when ordered by said board so to do, which said bondshall remain in the custody of the said president of said boardof supervisors, who shall produce the same for inspection or forthe use as evidence whenever and wherever legally requested so todo.

6. The said treasurer shall promptly report all sales ofbonds to the board of supervisors, which board shall, atreasonable times thereafter, prepare and issue warrants insubstantially the forms provided in section 242.210 for thepayment of the maturing bonds so sold and the interest paymentscoming due on all bonds sold. Each of said warrants shallspecify what bonds and accruing interest it is to pay, and thesaid treasurer shall place sufficient funds at the place ofpayment to pay the maturing bonds and coupons when due as well asa reasonable compensation to the bank or trust company for payingsame.

7. The successor in office of any such treasurer shall notbe entitled to said bonds or the proceeds thereof until he shallhave complied with all the foregoing provisions applicable to hispredecessor in office.

8. The aforesaid bond of said treasurer, may, if the saidboard shall so direct, be furnished by a surety or bondingcompany, which may be approved by said board of supervisors;provided, if it should be deemed more expedient to the board ofsupervisors, as to money derived from the sale of bonds issued,said board may, by resolution, select some suitable bank or banksor other depositary, as temporary treasurer or treasurers, tohold and disburse said moneys on the orders of the board as thework progresses, until such fund is exhausted or transferred tothe treasurer by order of the said board of supervisors.

9. The funds derived from the sale of said bonds or any ofthem shall be used for the purpose of paying the cost of thedrainage works and improvements and such costs, expenses, feesand salaries as may be authorized by law and used for no otherpurpose.

(RSMo 1939 § 12369)

Prior revisions: 1929 § 10788; 1919 § 4418; 1909 § 5525

CROSS REFERENCES:

Bond issues, proceeds and moneys for interest and sinking fund to be kept separate, RSMo 108.180 to 108.230

Funding and refunding bonds authorized, payment thereof, RSMo 108.140 to 108.160