176 



CONGRESS. (THE PHILIPPINE ISLANDS.) 



this section shall not exceed 5 per centum of the 

 assessed valuation of the property in said mu- 

 nicipality, and any obligation in excess of such 

 limit shall be null and void. 



" SEC. 07. That all municipal bonds shall be 

 in denominations of $50, or any multiple thereof, 

 hearing interest at a rate not exceeding 5 per 

 centum per annum, payable quarterly, such bonds 

 to be payable at the pleasure of the government 

 of the Philippine Islands, after dates named in 

 said bonds not less than five nor more than thirty 

 years from the date of their issue, together with 

 the interest thereon, in gold coin of the United 

 States of the present standard value, or its equiv- 

 alent in value in money of the said islands; and 

 said bonds shall be exempt from the payment of 

 all taxes or duties of the government of the Phil- 

 ippine Islands, or any local authority therein, or 

 the Government of the United States. 



" SEC. 68. That all moneys which may be real- 

 ized or received from the issue and sale of said 

 bonds shall be utilized under authorization of the 

 government of the Philippine Islands in provid- 

 ing the municipal improvements and betterment 

 which induced the issue and sale of said bonds, 

 ami for no other purpose. 



SEC. 69. That the government of the Philip- 

 pine Islands shall, by the levy and collection of 

 taxes on the municipality, its inhabitants and 

 their property, or by other means, make ade- 

 quate provision to meet the obligation of the 

 bonds of such municipality, and shall create a 

 sinking-fund sufficient to retire them and pay the 

 interest thereon in accordance with the terms of 

 issue: Provided, That if said bonds or any por- 

 tion thereof shall be paid out of the funds of the 

 government of said islands, such municipality 

 shall reimburse said government for the sum 

 thus paid, and said government is hereby em- 

 powered to collect said sum by the levy and col- 

 lection of taxes on such municipality. 



" SEC. 70. That for the purpose of providing 

 funds to construct sewers in the city of Manila 

 and to furnish it with an adequate sewer and drain- 

 age system and supply of water the government 

 of the Philippine Islands, with the approval of 

 the President of the United States first had, is 

 hereby authorized to permit the city of Manila 

 to incur indebtedness, to borrow money, and to 

 i"iie and sell (at not less than par value in gold 

 coin of the United States), upon such terms and 

 conditions as it may deem best, registered or 

 coupon bonds of the city of Manila to an amount 

 not exceeding $4,000,000 lawful money of the 

 United States, payable at such time or times as 

 may be determined by said government, with in- 

 terest thereon not to exceed 5 per centum per 

 annum. 



" SEC. 71. That said coupon or registered bonds 

 shall be in denominations of $50 or any multiple 

 thereof, bearing interest at a rate not exceeding 

 5 per centum per annum, payable quarterly, such 

 bonds to be payable at the pleasure of the govern- 

 ment of the Philippine Islands, after dates named 

 in said bonds not less than five nor more than 

 thirty years from the date of their issue, together 

 with the interest thereon 'in gold coin of the 

 United States of the present standard value, or 

 the equivalent in value in money of the said is- 

 lands; and said bonds shall be exempt from the 

 payment of all taxes or duties of the government 

 of the said islands, or of any local authority 

 therein, or of the Government of the United 

 States. 



" SEC. 72. That all moneys which may be real- 

 ized or received from the issue and sale of said 

 bonds shall be utilized under authorization of 



said government of the Philippine Islands in pro- 

 viding a suitable .sewer and drainage system and 

 adequate supply of water for the city of Manila 

 and for no other purpose. 



" SEC. 73. That the government of the Philip- 

 pine Islands shall, by the levy and collection of 

 taxes on the city of Manila, its inhabitants and 

 their property, or by other means, make ade- 

 quate provision to meet the obligation of said 

 bonds and shall create a sinking-fund sufficient 

 to retire them and pay the interest thereon in 

 accordance with the terms of issue: Pror'nied, 

 That if said bonds or any portion thereof shall 

 be paid out of the funds of the government of 

 said islands, said city shall reimburse said gov- 

 ernment for the sum thus paid, and said govern- 

 ment is hereby empowered to collect said sum 

 by the levy and collection of taxes on said city. 



" FRANCHISES. 



" SEC. 74. That the government of the Philip- 

 pine Islands may grant franchises, privileges, 

 and concessions, including the authority to exer- 

 cise the right of eminent domain for the con- 

 struction and operation of works of public util- 

 ity and service, and may authorize said works 

 to be constructed and maintained over and across 

 the public property of the United States, includ- 

 ing streets, highways, squares, and reservations, 

 and over similar pi-operty of the government of 

 said islands, and may adopt rules and regula- 

 tions under which the provincial and municipal 

 governments of the islands may grant the right 

 to use and occupy such public property belong- 

 ing to said provinces or municipalities: Provided, 

 That no private property shall be taken for any 

 purpose under this section without just compen- 

 sation paid or tendered therefor, and that such 

 authority to take and occupy land shall not au- 

 thorize the taking, use, or occupation of any land 

 except such as is required for the actual neces- 

 sary purposes for which the franchise is granted, 

 and that no franchise, privilege, or concession 

 shall be granted to any corporation except under 

 the conditions that it shall be subject to amend- 

 ment, alteration, or repeal by the Congress of the 

 United States, and that lands or rights of use 

 and occupation of lands thus granted shall re- 

 vert to the governments by which they were re- 

 spectively granted upon the termination of the 

 franchises and concessions under which they were 

 granted or upon their revocation or repeal. That 

 all franchises, privileges, or concessions granted 

 under this act shall forbid the issue of stock or 

 bonds except in exchange for actual cash, or for 

 property at a fair valuation, equal to the par 

 value of the stock or bonds so issued; shall for- 

 bid the declaring of stock or bond dividends, and, 

 in the case of public-service corporation, shall 

 provide for the effective regulation xf the charge- 

 thereof, for the official inspection and regulation 

 of the books and accounts of such corporations, 

 and for the payment of a reasonable percentage of 

 gross earnings into the treasury of the Philip- 

 pine Islands or of the province or municipality 

 within which such franchises are granted and ex- 

 ercised: Provided further, That it shall be unlaw- 

 ful for any corporation organized under this ad. 

 or for any person, company, or corporation re- 

 ceiving any grant, franchise, or concession from 

 the government of said islands, to use, employ. 

 or contract for the labor of persons claimed or 

 alleged to be held in involuntary servitude; and 

 any person, company, or corporation so violating 

 the provisions of this act shall forfeit all charters, 

 grants, franchises, and concessions for doing busi- 

 ness in said islands, and in addition shall be 





