[Amended by Sp. Act, Jan. Sess., 1955, Sp.
No. 281, Sec. 5, 27 C.S.A. 233, approved 6-3-1955]
The Town of Manchester is authorized to issue
negotiable bonds under its corporate name and seal and notes or other
certificates of debt upon the credit of the Town, for the purposes
hereinafter specified, which bonds, notes or other certificates of
indebtedness shall be obligatory upon the Town and the inhabitants
thereof according to the purport and tenor of same; provided each
issue of bonds made under the authority hereof, for the purpose of
obtaining funds for a period longer than one (1) year, shall be in
serial form, payable in accordance with the provisions of § 7-371
of the General Statutes, as the same may from time to time be amended.
[Amended by referendum 10-1-1962; amended by
referendum 4-30-1968]
The purposes for which such bonds, notes or
other certificates of debt may be issued and for which the avails
thereof shall be used are: to meet the cost of duly authorized public
improvements, including water and sewer installations and extensions;
to raise funds in anticipation of bond issues for the purpose of financing
such improvements for a temporary period previous to the issue of
such bonds; to raise funds in anticipation of taxes; to redeem or
refund outstanding bonds or other obligations of the Town; to meet
the cost in whole or in part, including damages awarded, which the
Town is required to defray temporarily in connection with duly authorized
public improvements, including water and sewer installations and extensions,
when benefits assessed cannot be immediately collected; to pay judgments
rendered against said Town; or for any purpose permitted by the General
Statutes.
[Amended by referendum 10-5-1964; amended by
referendum 4-30-1968]
No bond shall obligate said Town or its inhabitants
unless the Board of Directors shall have authorized its issue and
determined its rate of interest and dates of maturity, nor unless
it shall have been signed and sealed as hereinafter provided. At the
discretion of the Board of Directors, the rate of interest may be
left for bid upon sale of any bond issue. No note, except as hereinafter
provided, shall obligate said Town or its inhabitants, unless issued
in pursuance of its authority given by the Board of Directors as herein
provided.
[Amended by Sp. Act, Jan. Sess., 1949, Sp.
No. 475, Sec. 10, 25 C.S.A. 1196, effective 7-1-1949; amended by referendum 11-7-1978; amended by
referendum 11-4-2008; amended by referendum11-8-2022]
Each note and bond of the Town issued hereafter
shall be signed by any two (2) of the following Town officers: the
Director of Finance, the Town Manager and the Chair of the Board of
Directors. In event of the incapacity or unavailability of any of
said officers, the Board of Directors may by vote designate some other
Town officer for said purpose.
[Amended by Sp. Act, Jan. Sess., 1955, Sp.
No. 281, Sec. 6, 27 C.S.A. 234, approved 6-3-1955; amended by referendum 4-30-1968]
The Board of Directors shall be the trustees
of all bonds. Said Board shall determine the particular form of bonds,
superintend the issue and conduct the sale thereof. Except as hereinafter
provided, bonds shall not be sold without public advertisement setting
forth when bids therefor will be received and opened and specifying
the amount and kind thereof to be sold. The bid of responsible parties
which results in the lowest net cost to the Town shall be accepted
but if, in the opinion of the Board of Directors, the amount bid shall
be inadequate or the interest rate named shall be too high, all bids
may be rejected. Nothing in this section shall prevent the negotiation
of such bonds at private sale at an adequate price or a satisfactory
interest rate after failure to obtain such price or rate upon public
advertisement. Notes may bear interest or be discounted and shall
be sold in such manner as shall be prescribed by the Board of Directors.
[Amended by Sp. Act, Jan. Sess., 1955, Sp.
No. 281, Sec. 7, 27 C.S.A. 234, approved 6-3-1955]
When the Board of Directors shall approve a
budget and authorize expenditures, it may provide for the issuance
of bonds to pay for any part thereof which is to be spent for permanent
improvements which are properly a charge upon capital, and the Board
of Directors shall lay a tax at least sufficient with other income
of said Town to be received during such budget year, as is estimated,
to defray the balance of such budget of authorized expenditures including
principal of and interest upon and any amortization charge in respect
of all bonds and notes payable in such budget year, except bonds and
notes for waterworks or sewerage systems or other purposes which are
payable as to principal and interest solely from revenues or assessments
and including all ascertained deficiencies in the revenues of the
preceding year and including also an adequate charge for the proper
maintenance in good repair and working order or for depreciation of
all permanent improvements then made or hereafter to be paid for out
of the proceeds of bonds not so excepted.
