The Federal Reporter

(8) I further find that the following additional judgments were entered against the defendant Lyon county at the dates and in the amounts named, towit:

E. T. Kirk, July 24, 1873..

James H. Wagner, April 21, 1874..

A. J. Harmon, April 21, 1874..

Perkins Bros., August 22, 1874.

Wilson & Van Saun & Co., May 5, 1875.

Lyman J. Gage, Oct. 16, 1875....

C. H. Smith, Nov. 15, 1876.......

E. T. Drake, May 14, 1878..
Swan & Fawcet, May 14, 1878..
A. H. Andrews & Co., May 14, 1878..
T. C. Thompson, May 14, 1878.....
Chase & Taylor, May 14, 1878...

.....

.$2,204 23

672 06

381 42

815 05

3,850 34

4,400 56

233 00

462 67

603 00

107 45

304 00

479 10

(9) I further find that bonds had been issued to discharge these last-named judgments, which bonds in turn have been merged in or paid from the proceeds of later issues of bonds. .

(10) I find that there were no judgments rendered against the defendant county after the 1st day of Jan., 1879, and that all judgments against the defendant county prior to that date, had been satisfied prior to that date, either by bonds as herein before found, warrants, or cash.

(11) I find that the next bonds issued by the defendant county were issued on January 8, 1880, and that on said date, and at various dates subsequent thereto, up to and including July 1, 1885, there were issued $60,600 of funding bonds, under the provisions of chapter 1, tit. 4, of the Code of 1873; chapter 9 of the Acts of the 15th General Assembly; chapter 125 of the Acts of the 16th General Assembly; chapter 154 of the Acts of the 17th General Assembly; chapter 183 of the Acts of the 18th General Assembly; chapter 147 of the Acts of the 19th General Assembly; chapter 80 of the Acts of the 20th General Assembly,-at dates and in amounts as follows:

(12) I find that the whole amount of said bonds was issued for the purpose of taking up outstanding floating warrants against said county, and, on the date of the issuance of the last $20.000 thereof, to-wit, July 1, 1885, there was over $20,000 of warrants outstanding against said county, which had been outstanding and unpaid more than six months prior to July 1, 1885, said bonds being issued to take up said warrants under a resolution of the board of supervisors of said county, of date April 10, 1884, as follows:

"Whereas, the county of Lyon, state of Iowa, has a floating indebtedness in warrants of the different funds of said county, and whereas, the board of supervisors of said county deem it for the best interest of the county to bond the same, be it therefore resolved by the board of supervisors of Lyon county, Iowa, that the chairman, with the auditor, be authorized to issue bonds in amounts sufficient to cover said indebtedness, and deliver the same to the county treasurer, and take his receipt therefor.

"Adopted by a full vote of the board."

(13) On May 1, 1885, an issue of $120,000 of refunding bonds was made by the defendant county under the provisions of chapter 58 of the Acts of the 17th General Assembly, and chapter 175 of the Acts of the 20th General Assembly of the state of Iowa, and under a resolution of the board of supervisors of said county, of date April 11, 1884, as follows:

"Whereas, it is deemed to be for the public interest to refund the indebtedness of the county of Lyon, state of Iowa, evidenced by the bonds thereof, heretofore issued and outstanding on the 1st day of Jan., 1884, and to issue the coupon bonds of county.

"It is therefore resolved by the board of supervisors of said county in session assembled, to issue coupon bonds of this county, in sums not less than one hundred nor more than one thousand dollars, having not more than twenty years to run, redeemable in lawful money of the United States of America, at the pleasure of the county, after five years from the date thereof, and bearing interest, payable semi-annually, at 6 per cent. per annum, which bonds shall be substantially in the form given in section 1, ch. 58, 17th General Assembly, and shall bear the date of July 1, 1884, or on the first day of any month called for by Miller & Thompson, and the chairman of the board, and the auditor of this board, and auditor of the county are hereby directed to issue same in accordance with said statute and this resolution. "In testimony whereof the said county, by its board of supervisors, has caused this bond to be signed by the chairman of the board, and attested by the auditor, with the county seal attached, this 1st day of May, 1885.

[Seal.]

The foregoing preamble and resolution was passed the 11th day of April, 1884, by the vote of all the members of this board present, which was 4-5 of all the members thereof.

(14) That on the 9th day of January, 1885, the board of supervisors of the defendant, Lyon county, duly adopted the following resolutions:

"On motion, the resolution appointing Miller & Thompson as financial agents for funding and refunding county indebtedness, and the contract entered into in such resolutions, is hereby rescinded.

"On motion, it is hereby resolved by the board of supervisors that B. L. Richards is hereby appointed financial agent for Lyon county, for the purpose of funding and refunding county indebtedness, and that said B. L. Richards is required to give bond covering amount called for at any time by said agent. This resolution is passed in accordance with the Laws of 1873, and the amendment thereto."

That under these resolutions the defendant county, on the first day of May, 1885, duly executed one hundred and twenty refunding bonds in the sum of one thousand dollars each, numbered 01 to 0120 inclusive. That said bonds were identical in form, and are as follows:

"Number "0106

"UNITED STATES OF AMERICA.

State of Iowa, Lyon County.

Dollars 1000

"The county of Lyon, in the state of Iowa, "For value received, promises to pay to Connecticut General Life Insurance Co., or order, at the office of the treasurer of said county of Rock Rapids, on the 1st day of May, 1905, or at any time before that day after the expiration of five years, at the pleasure of the county, the sum of one thousand dollars, with interest at the rate of six per cent. per annum, payable at the

office of the said treasurer semi-annually, on the 1st days of May and November in each year, on presentation and surrender of the interest coupons hereto attached. This bond is issued by the board of supervisors of said county, under the provisions of chapter 58 of the Session Laws of the 17th General Assembly, chapter 175 of Public Laws of the 20th General Assembly of the state of Iowa, and in conformity with a resolution of said board dated 10 day April, 1884."

Indorsed on the back of the bond:

"CHAPTER LVIII.

"An act to authorize counties, cities, or towns to refund outstanding bonded debt at a lower rate of interest, and to provide for the payment of the same. "Section 1. Be it enacted by the general assembly of the state of Iowa that counties, cities, and towns are hereby authorized and empowered, if by a vote of two-thirds () of the board of supervisors or city or town council, as the case may be, it be deemed for the public interest to refund the indebtedness of such corporation, evidenced by the bonds thereof, heretofore issued and outstanding, at the time of the passage of this act, and to issue the coupon bonds of such corporation in sums not less than one hundred dollars, ($100.00,) nor more than one thousand dollars, ($1,000.00,) having not more than twenty years to run, redeemable in lawful money of the United States of America, at the pleasure of such corporation, after five years from the date of their issue, and bearing interest payable semi-annually, at a rate not exceeding eight per cent. (8%) per annum, which bonds shall be substantially in the following form:

"No.

"The to pay

in the state of Iowa, for value received, promises or order, at the office of the treasurer of said in on the first day of time before that date, after the the sum of

or at

expiration of five years, at the pleasure of said dollars, with the interest at the rate of

per cent. per annum, payable

and

at the office of said treasurer semi-annually, on the first days of in each year, on presentation and surrender of the interest coupons hereto attached.

"This bond is issued by the of chapter

of the Session Laws of the Seventeenth General Assembly

of Iowa, and in conformity with a resolution of said

dated

day

"And the interest coupons shall be in the following form:

The treasurer of
day of

Iowa, will pay to the holder hereof on the 18-, at his office in dollars, for interest issued under the provisions of chapter sion Laws of the Seventeenth General Assembly.'

on bond No.

of the Ses

"Sec. 2. The treasurer of any such corporation is hereby authorized to sell and dispose of the bonds issued under this act at not less than their par value, and to apply the proceeds thereof to the redemption of the outstanding bonded debt, or he may exchange said bonds for outstanding bonds, par for par; but the bonds hereby authorized shall be issued for no other purpose whatever: provided, however, such corporation may appropriate, not to exceed two percentum (2%) of the bonds herein authorized, to pay the expenses of prepar

ing, issuing, advertising, and disposition of the same, and may employ a financial agent therefor.

"Sec. 3. The board of supervisors or common council of any city or town, as the case may be, shall cause to be assessed and levied each year, upon the taxable property of the county, city, or town, as the case may be, in addition to the levy authorized for other purposes, a sufficient sum to pay the interest on outstanding bonds, issued in conformity with the provisions of this act, accruing before the next annual levy, and such proportion of the principal that at the end of eight years the sum raised from such levies shall at least equal fifteen per cent. (15%) of the amount of bonds issued, at the end of ten years, at least thirty per cent. (30%) of the amount, and at and before the date of maturity of the bonds shall be equal to the whole amount of the principal and interest; and the money arising from such levies shall be known as the bond fund,' and shall be used for the payment of bonds and interest coupons, and for no other purpose whatever; and the treasurer of such county, city, or town shall open and keep in his books a separate and special account thereof, which shall at all times show the exact condition of said bond fund. "Sec. 4. Whenever the amount in the hands of the treasurer of any such county, city, or town, belonging to the bond fund, after setting aside the sum required to pay the interest coupons maturing before the next levy, is sufficient to redeem one or more bonds, he may notify the owner of such bond or bonds that he is prepared to pay the same, with all the interest accrued thereon; and, if said bond or bonds are not presented for payment or redemption within thirty (30) days after the date of such notice, the interest on such bonds shall cease, and the amount due thereon shall be set aside for its payment whenever presented: provided, however, that nothing herein shall be construed to mean that any such bond or bonds issued in accordance with this act shall be due or payable before the expiration of five years after its date of issue. All redemption shall be made in the exact order of their issuance, beginning at the lowest or first number, and the notice herein required shall be directed to the post-office address of the owner, as shown by the record kept in the treasurer's office.

"Sec. 5. If the board of supervisors of any county, or the common council of any city or town, which has issued bonds under the provisions of this act, shall fail to make the levy necessary to pay such bonds or interest coupons at maturity, and the same shall be presented to the treasurer of any such county, city, or town, and payment thereof refused, the owner may file the bond, together with all unpaid coupons, with the auditor of the state, taking his receipt therefor, and the same shall be registered in the auditor's office, and the executive council shall, at their next session as a board of equalization, and at each annual equalization thereafter, add to the state tax to be levied in said county, city, or town a sufficient rate to realize the amount of principal or interest past due, and to become due prior to the next levy; and the same shall be levied and collected as a part of the state tax, and paid into the state treasury, and passed to the credit of such county, city, or town, as bond tax, and shall be paid by warrants, as the payments mature, to the holder of such obligations, as shown by the register in the office of the state auditor, until the same shall be fully satisfied and discharged: provided that nothing in this act shall be construed to limit or postpone the right of any holder of any such bonds to resort to any other remedy which such holder might otherwise have.

"Sec. 6. This act, being deemed by the general assembly of immediate importance, shall take effect from and after its publication in the Iowa State Register and Iowa State Leader, newspapers published at Des Moines, Iowa. "Approved March 20, 1878.

"CHAPTER CLXXV.

“Acts Twentieth General Assembly. An act to amend chapter 58, Acts of the Seventeenth General Assembly.

"Be it enacted by the General Assembly of the State of Iowa:

"Section 1. That section one (1) of chapter 58, Acts of the Seventeenth General Assembly of Iowa, be amended by striking out of the fifth and sixth lines the words heretofore issued and outstanding at the time of the passage of this act,' and insert in lieu thereof the words 'now outstanding,' and strike out the word 'eight,' in the twelfth line, and insert in lieu thereof the word 'six.'

"Sec. 2. This act, being deemed of immediate importance, shall take effect and be in force from the date of its publication in the Iowa State Register and Iowa State Leader, newspapers published in Des Moines."

(15) I and the proceeds arising from the sale of the $120,000 of "Richards" refunding bonds, issued May 1, 1885, were used to take up the $100,000 of "Shade" refunding bonds, issued July 1, 1879, and $16,900 of funding bonds, issued June 4, 1878, and subsequent thereto, as follows:

--and also to pay the commission and expense of placing said bonds, amounting to $2,438.59; and the balance of the amount realized from the sale of said bonds, amounting to $661.41, was applied on the payment of accrued interest on the bonds taken up.

(16) I find that five per cent. (5 per cent.) of the value of the taxable property within the county of Lyon, defendant, as ascertained by the state and county tax-lists for the several years since the organization of the county up to 1885, is as follows:

(17) of the issue of $100,000, bearing date July 1, 1879, there is no testimony as to the order in which the bonds were sold upon the market. Of the issue of $120,000, of date May 1, 1885, the testimony tends to show that they were sold at the date, and in the amounts, and of the numbers, and to the persons or corporations, as follows, to-wit:

June 1, 185, Nos. 01 to 027 to G. B. Provost.