Page:United States Statutes at Large Volume 50 Part 1.djvu/668

75TH CONGRESS, 1sT SESSION-CH . 629-AUGUST 14, 1937 action of the bondholders as is customary in trust agreements respect- ing bonds of corporation . Such trust agreement may contain such provisions for protecting and enforcing the rights and remedies of the trustee and the bondholders as may be reasonable and proper and not inconsistent with the law and also provisions for approval by the original purchasers of the bonds of the employment of con- sulting engineers and of the security given by the bridge contractors and by any bank or trust company in which the proceeds of bonds or of bridge or ferry tolls or other moneys of the Commission shall be deposited, and may provide that no contract for construction shall be made without the approval of the consulting engineers . w The bridge constructed under the authority of this Act shall be deemed to be an instrumentality for interstate commerce, the Postal Service, and military and other purposes authorized by the Govern- ment of the United States, and said bridge and ferry or ferries and the bonds issued in connection therewith and the income derived therefrom shall be exempt from all Federal, State, municipal, and local taxation . Said bonds shall be sold in such manner and at such time or times and at such price as the Commission may deter- mine, but no such sale shall be made at a price so low as to require the payment of mo re than 6 per centum interest on the mon ey received therefor, computed with relation to the absolute maturity of the bonds in accordance with standard tables of bond values, and the face amount thereof shall be so calculated as to produce, at the price of their sale, the cost of the bridge and its approaches and the land, easements, and appurtenances used in connection therewith and, in the event the ferry or ferries are to be acquired, also the cost o f such 'ferry or fe rries and th e lands , ease ments, and a ppurte - nances used in connection therewith, when added to any other funds made available to the Commission for the use of said purposes . The cost of the bridge and approaches and approach highways, and ferry or ferries, shall be deemed to include interest during construc- tion of the bridge, and for twelve months thereafter, and all engi- neerin g, leg al, ar chitec tural, traff ic-surv eying, and o ther e xpense s incid ent to the c onstru ction of the bridge or th e acqu isitio n of t he ferry or fe rries, and t he acq uisiti on of t he nec essary prope rty, a nd incident to the financing thereof, including the cost of acquiring existing franchises, right, plans, and works of and relating to the bridge, now owned by any person, firm or corporation, and the cost of purchasing all or any part of the shares of stock of any such corporate owner if, in the judgment of the Commission, such pur- chases should be found expedient . If the proceeds of the bonds issued shall exceed the cost as finally determined, the excess be placed in the sinking fund hereinafter provided . P rio r to th e preparation of definitive bonds the Commission may, under like restrictions, issue temporary bonds or interim certificates with or ithout coupons or 1 any denomination whatsoever, exchangeable for definitive bonds when such bonds that have been executed are available for delivery . SEC . 5 . In fixing the rates of toll to be charged for the use of such brid ge the same shall be so adjust ed as t o prov ide a fund s uffici ent to pay for the reasonable cost of maintaining, repairing, and operat- ing the bridge and its approaches under economical management, and to provide a sinking fund sufficient to pay the principal and inter est of such bonds as the same shall f all du e and the re dempti on or repurchase price of all or any thereof redeemed or repurchased before maturity as herein provided . All tolls and other revenues from said bridge are h ereby pledge d to su ch use s and to the appli ca- tion thereof as hereinafter in this section required . After pay ment or provisi o n for payment therefrom of all such cost of maintaining, I So in original. 643 Bridge deemed in- strumentality for in- tersta te com merce . Tax exemption . Bo nd sale, price limitation . Financing costs, etc . Surplus fund placed in sinking fund . Temporary bond issue . Tolls to be applied to operation, sinking fund, etc .