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The bonds are to be coupon bonds in the denomination of $1,000 each, and the interest will be payable August 1, 1942 and semi-annually thereafter on the first days of February and August; both principal and interest will be payable at the office of the City Treasurer, Charlottesville, Virginia. Bidders are invited to name the rate of interest which the bonds are to bear, which must be in multiples of one-tenth of one per cent. Not more than one rate of interest may be named, and no rate may exceed two per cent (2%). No bid of less than par will be considered. The bonds will be awarded to the bidder offering the lowest interest cost to the City, which will be determined by aggregating the interest payable by the City over the life of the bonds in accordance with the terms of each bid presented, and deducting therefrom the premium, if any, stipulated in said proposal. All proposals must be unconditional and must be accompanied by a certified check payable to the City Treasurer, Charlottesville, Virginia, in the amount of two (2) per cent of the face amount of said bonds, which check will be immediately returned to the bidder if his bid is not accepted, otherwise it will be deposited by the City Treasurer, and when the bonds are delivered and paid for pursuant to the terms of the accepted bid will be considered as part-payment for said bonds or will be redeemed as and for liquidated damages in case the bidder fails to take up and pay for the bonds. The City of Charlottes- ville reserves the right to reject any or all bids. Bonds will be delivered to the purchaser as soon after February 1, 1942 as is possible. The City of Charlottesville will pay the cost of printing and preparing said bonds. The purchaser will be furnished, without cost, with the opinion of Messrs. Thomson, Wood & Hoffman, of New York City, stating that the bonds are valid and binding obligations of the City of Charlottesville, and that the City has power and is obligated to levy ad valorem taxes for the payment of said bonds and the interest thereon upon all property within said City, subject to taxation by said City without limitation of rate or amount. --- Clerk of the Council of the City of Charlottesville, Virginia SECTION 7. The Council will fix the rate of interest to be borne by said Refunding Bonds, not exceeding the maximum rate prescribed by Section 1 of this ordinance, to conform to the rate of interest set forth in the successful bid for said bonds. SECTION 8. In the event said Refunding Bonds are delivered and paid for prior to September 1, 1942, the entire proceeds of said bonds shall be credited to the Sinking Fund of the City of Charlottesville and said proceeds, exclusive of premium and accrued interest, if any, until used for the purpose of paying and retiring the bonds described in the preambles to this ordinance, shall be deposited in such bank or banks within or without the City of Charlottesville as the Council of the City may by resolution hereafter designate, which deposit or deposits shall be secured by an equivalent face or par amount of bonds or other obligations of the United States of America. SECTION 9. This ordinance shall take effect immediately. SECTION 10. This ordinance shall be published once in The Daily Progress, a newspaper of general circulation published in the City of Charlottesville. Adopted by the Council January 16, 1942 Ayes: Mr. Gleason, Dr. Haden, Mr. Huff, Mr. Nash and Mr. Peyton Noes: None Clerk Signature President Signature