SUBDIVISION XIV.-SCHOOLS IN CITIES.

SECTION 1. [Districts-Body corporate.]-That each incorporated city, in the state of Nebraska, or those hereafter incorporated as such, having a population of more than two thousand inhabitants, including such adjacent territory as now is, or hereafter may be attached for school purposes, shall constitute one school district, and be known by the name of "the school district of (name of city,) in the county of (name of county,) in the state of Nebraska," and as such, in that name, shall be a body corporate, and possess all the usual powers of a corporation for public purposes, and in that name and style may sue and be sued, purchase, hold, and sell such personal and real estate, and control such obligations as are authorized by law, and the title to all school buildings or other property, real or personal, owned by any school district within the corporate limits of any city, shall, upon the organization of a district under the provisions of this subdivision vest immediately in the new district; and the board of education by this subdivision provided, shall have exclusive control of the same for all purposes herein contemplated; Provided, That any territory not included within the corporate limits of any city, and containing territory or a number of children sufficient to constitute a school district under the provisions of this chapter, may, by petition signed by at least a majority of the legal voters of such territory, and a majority of the board of education of such city, be by the county superintendent erected into a separate district under the conditions imposed by this chapter; Provided, further, That in case any city above described shall embrace more than one entire school district and the fractional part of another school district shall extend within the corporate limits of said city, the fractional part so embraced within said corporate limits shall be exempt from the provisions of this subdivision, until such time as a majority of the legal voters of said fractional part shall petition the board of education of said city to be included in said district, and upon the receipt of such petition by said board, the said fractional part shall be included within the said district, for all purposes of this subdivision.

SEC. 2. [General control-Free school.]-That all schools organized within the limits of said cities shall be under the direction and control of the boards of education authorized by this subdivision. Such schools shall be free to all children between the ages of five and twenty-one years, whose parents or guardians reside within the limits of said district.

SEC. 3. [Board of education.]-That the boards of education contemplated by this subdivision shall consist of six members who shall be elected on a general ticket and shall hold their offices for the term of two years; Provided, That at the first election after the taking effect of this act, there shall be elected six members, three to serve two years, and three to serve one year, the term of service to be decided by lot, and annually thereafter three shall be elected to serve for two years.

SEC. 4. [Elections.]--That the ballots for the election of members of the board of education, for authorizing the issuance of bonds, or the purchase of sites, and erection of buildings, shall in all cases be deposited in boxes especially prepared for that purpose, and be received, and returns made by the regular election board; but the returns for the election of members shall be canvassed in the same manner as provided for in the case of city officers; the returns for the issuance of bonds, purchase of sites, and erection of buildings, shall be made to, and canvassed by, the board of education.

SEC. 5. [Oath-Vacancy.]-That all persons elected as members of boards of education, shall on or before the first Monday of the month following their election, take and subscribe the usual oath of office. In case any person elected shall fail so to do, his election shall be void, and the vacancy thereby occasioned shall be filled by the board, as hereinafter provided.

SEC. 6. [Meetings.]-That the regular meetings of the boards of education shall be held upon the first Monday of each month; but special meetings may be

held, from time to time, as circumstances may demand, and all meetings of the board shall be open to the public, unless otherwise specially ordered.

SEC. 7. [General power-Compensation. That the boards of education shall have power to select their own officers, make their own rules and regulations, subject to the provisions of this subdivision; but no member of the board, excepting the secretary, shall receive or accept any compensation for services performed in discharging the duties of his office.

SEC. 8. [Officers Superintendent.]-That the members of each board of education, at their first regular meeting succeeding their election, each year, shall elect a president, vice-president and secretary from their number, who shall serve for the term of one year, or until their successors are elected; they shall also elect at their regular meeting, in July annually, one superintendent of public instruction, who shall be the principal teacher of the school, with such salary as the board may deem just. The election of the officers of the board, of the superintendent and teachers, and for filling vacancies in the board shall be by ballot, and no person shall be declared elected, except he receive the vote of a majority of all the members of the board.

SEC. 9. [President.]-That it shall be the duty of the president to preside at all meetings of the board, to appoint all committees, whose appointment is not otherwise provided for, and to sign all warrants ordered by the board of education to be drawn upon the city treasurer for school moneys.

SEC. 10. Vice president.]-That it shall be the duty of the vice president to perform all the duties of the president, in case of his absence or disability.

SEC. 11. [Secretary.]-That it shall be the duty of the secretary to be. present at all meetings of the board, to keep an accurate journal of its proceedings, to take charge of its books and documents, to countersign all warrants for school moneys drawn upon the city treasurer by order of the board, to apply for and receive school funds from the county treasurer, or other person to whom such funds are payable by law and deposit the same with the treasurer of the board and to perform all such other clerical duties as the board may require; and for his services. he shall receive such salary as the board may deem adequate.

SEC. 12. [Same-Bond-Oath.]-That before entering upon the discharge of his duties, the secretary of the board shall give bonds in the sum of one thousand dollars, with good and sufficient sureties, and shall take and subscribe an oath or affirmation, before a proper officer, that he will support the constitution of the state of Nebraska, and faithfully perform the duties of his office.

SEC. 13. [Treasurer.]-The city treasurer of such city shall be, ex-officio, treasurer of the board of education; he shall attend all meetings of the board, when required to do so; shall prepare and submit in writing a monthly report of the state of his finances, and shall pay school moneys only upon a warrant, signed by the president, or in his absence by the vice-president, and countersigned by the secretary; Provided, That in cities of the first class the city treasurer of such city shall be ex-officio treasurer of the board of education, who shall perform all duties and be subject to all the liabilities of the treasurer of the board of education as herein provided.

SEC. 14. [Property of districts merged.]--That within ten days after the permanent organization of a board of education, as provided for in this subdivision, it shall be the duty of all officers of school districts within the limits of cities aforesaid, to deliver to the officers of the board, all property, funds and papers entrusted to their care, for the use of the public schools of such cities, and all funds thus received shall be immediately paid to the treasurer of the board and be by him placed to the credit of the school district provided by this subdivision.

SEC. 15. [Board-Vacancy.]-That the boards of education shall have power to fill any vacancies which may occur in their body, from among the legal voters who are taxpayers in the ward in which such vacancy shall occur; Provided, That any vacancy occurring more than ten days previous to the annual city elections, and leaving an unexpired term of more than one year, shall be filled at the first

city election thereafter, and the ballots and returns shall be designated as follows: "to fill unexpired term."

SEC. 16. Quorum.]-That a majority of all the members of each board of education shall constitute a quorum, but a less number in attendance, at any regular meeting, shall have, and a quorum at any special meeting may have, power to compel the attendance of absent members, in such manner, and under such penalties as such board shall see fit to prescribe, and the absence of any member from four consecutive regular meetings of the board, unless on account of sickness or consent of the board, removal from the district, or resignation accepted by the board, shall vacate his position on the board, and such vacancy shall be filled in accordance with the provisions of this subdivision.

SEC. 17. [Accounts Money when appropriated.]-That all accounts shall be audited by the secretary, approved by a committee, to be styled the committee on claims, and no expenditure greater than two hundred dollars shall be voted by the board, except in accordance with the provisions of a written contract; nor shall any money be appropriated out of the school fund, except on a recorded affirmative vote of a majority of all the members of the board.

SEC. 18. [Census.]--That the boards of education shall annually cause to be taken an enumeration of all persons between the ages of five and twentyone years, residing in the district, who shall report the same, together with such other information as required by sections ten and fifteen, of subdivisions IV of this chapter, to the county superintendent of public instruction at the time specified by law for like returns from other districts.

SEC. 19. [Examination of teachers.]---That all persons making applications to boards of education as teachers in graded and high schools therein, shall be required to produce a legal certificate given by some authority authorized to grant teachers' certificates or from an examining committee appointed by the board. And for such purpose the board of education is authorized to appoint three competent persons, at such times as may be deemed expedient, who shall be styled "the examining committee of the board of education," and whose duty it shall be to examine all persons who may apply to them as teachers, and teachers receiving such certificates setting forth that such person is competent to teach in the public schools of the city, and is a person of good moral character, shall be entitled to all the benefits arising from a certificate issued to any teacher under the laws of this state. Any certificate granted by such committee may be revoked by the board of education, for any reason which would have justified the withholding thereof when the same was granted, or for gross negligence of duty, incompetency, or immorality.

SEC. 20. [Board not interested in contracts.]-It shall be unlawful for any member of the board of education to have any pecuniary interest, either directly or indirectly, in any contract for the erection of school houses, or for warming, ventilating, furnishing, or repairing the same, or be in any manner connected with the furnishing of supplies for the maintenance of the schools.

SEC. 21. [Disposal of property.]--No school property of any kind belonging to any school district shall be sold by the board of education, except at a regular meeting of the same, and not then without an affirmative recorded vote of at least two-thirds of all the members of the board.

SEC. 22. [Payment of debts-Funding bonds.]-Each of the school districts provided for in section one of this subdivision shall have the power, and it shall be the duty of the board of education, to provide for the payment of debts created by school districts or other school organizations superseded by the districts herein provided for, when such debts shall have been incurred in the erection of school houses, or for other school purposes; if any portion of such debts shall be in the form of bonds, if issued for a valuable consideration and in accordance with law, the validity of which has not been called in question, or if called in question, have been declared by courts of last resort to be valid, the holder or holders thereof, on surrendering the same to said board, shall have the right to demand, and it shall

be the duty of said board, in the name of the district created by this subdivision, to cause to be issued other bonds of like amount, of the same tenor and effect as to payment of principal and interest as the bonds surrendered. This provision shall also apply to cases where only a part of a district shall be embraced within the district created by this subdivision, whenever said fractional part shall petition and become a part of said district, as provided for in section one of this subdivision; Provided, The latter shall assume and pay only such proportion of the debt of the divided district as the assessed valuation of the part taken therefrom shall bear to the assessed valuation of the part remaining. In case of a division of one or more school districts for the purpose of forming one school district within the limits of a city of the first class, it shall be the duty of the county superintendent of public instruction, the president of the board of education, and the director of the school district, to appraise and adjust all claims or assets in such a manner that each district shall bear its proportion of the indebtedness, as heretofore provided, and have its proportion of the assets of said district.

SEC. 23. [Estimate of expenses-Taxes,]-That the board of education shall annually, during the month of June, report to the city council an estimate of the amount of funds required for the support of the schools for the fiscal year next ensuing, the amount of funds required for the purchase of school sites, the erection and furnishing of school buildings, the payment of interest upon all bonds issued for school purposes, and the creation of a sinking fund for the payment of such indebtedness; and the city council is hereby authorized and, if approved by the city council, required to levy and collect the necessary amount the same as the other taxes; Provided, however, That in the cities of the first class, in case the purchase of school sites and erection of buildings shall require an expenditure exceeding five thousand dollars for any one calendar year, the question shall be submitted to a vote of the electors of the district at the time and place of any city, county, or state election. The board of education shall, previous to such election, designate in at least one daily paper published in the district where such election shall be held, the locality of the site or sites required and the cost of the building to be erected thereon.

SEC. 24. [Limit of taxation.]-That the aggregate school tax shall in no one year exceed one per cent. upon all the taxable property of the district.

SEC. 25. [Taxes paid in money.]-That all taxes collected for the benefit of the public schools shall be paid in money, and shall be subject to the order of the board of education.

SEC. 26. [Interest Sinking fund.]-That the board of education is hereby authorized and required to provide before the same shall become due, for the interest on all bonds issued by the district; they shall also, immediately after the expiration of one-half of the time for which said bonds are issued, proceed to set apart, each year, for a sinking fund, a requisite amount or proportion sufficient pay the principal of said bonds when they shall become due. All moneys set apart for said sinking fund shall be invested: First. In the purchase and redemption of bonds of the school district, which bonds shall be purchased in open market, in such manner as the board of education shall prescribe. Second. In bonds of the county in which the city is situated. Third. In bonds of the state of Nebraska. Fourth. In U. S. bonds.

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SEC. 27. [Sale of bonds.]-That if it shall be deemed advisable by the board of education to purchase bonds issued under the provisions of this chapter, before maturity, the treasurer shall sell to the highest bidder, in open market, and in a manner prescribed by the board, such bonds or securities as shall belong to the school funds, and the proceeds thereof shall apply to the purchase of bonds herein provided for.

SEC. 28. [Control of funds.]-That all moneys arising from any source whatever, which under any prior act or acts of the legislature of this state, are payable to any school fund of any city of the state, or any moneys which are

SEC. 23. City council may revise and lower the estimate, etc. 7 Neb. 269.

required to be set apart by the treasurer of any such city for the support and maintenance of any school heretofore organized therein, under any general or special law, shall, on and after the passage of this subdivision, be payable to the treasurer of the board of education, and shall be used only for the purpose specified in this subdivision.

SEC. 29. [Repealed act of 1869, 115, G. S. 961, and all acts amendatory thereof; act of 1873, G. S. 982; act of 1875, 208; act of 1867, 80, G. S. 484, and all acts amendatory thereto; act of 1871, 96, G. S. 488, and all acts amendatory thereof.]

SUBDIVISIONS XV.-SCHOOL DISTRICT BONDS.

SECTION 1. [School districts may issue bonds, when.]-The district officers of any school district in Nebraska shall have power to issue the bonds of the district for the purpose of purchasing a site for, and erecting thereon a school house or school houses, and furnishing the same in such district, on the terms and conditions set forth in the succeeding sections of this act. [1879 § 1, 170.]

SEC. 2. [Submission of question to vote.]-No bonds shall be issued until the question has been submitted to the qualified electors of the district, and two-thirds of all the qualified electors present and voting on the question shall have declared by their votes in favor of issuing the same at an election called for the purpose, upon a notice given by the officers of the district at least twenty days prior to such election.

SEC. 3. [Petition for submission.]-No vote shall be ordered upon the issuance of such bonds unless a petition shall be presented to the district board, suggesting that a vote be taken for or against the issuing of such amount of bonds as may therein be asked for, to purchase a site for, or build a school house or houses, or for furnishing the necessary furniture and apparatus for the same, or for all of these purposes, which said petition shall be signed by at least one-third of the qualified voters of such district.

SEC. 4. [Amount of bonds.]-That no such bonds shall be issued in aggregate amount to exceed three per cent of the taxable valuation of the district for county and state purpose for the year next preceding such issue; nor shall any district issue bonds unless there are at least twelve children of school age residing within the district.

SEC. 5. [Same.]-The amount of bonds shall in no case exceed five hundred dollars in those districts having less than twenty-five scholars, and not less than twelve, of school age; and the amount of bonds shall not exceed one thousand dollars when the number of children of school age are twenty-five, or more, and less than fifty; and the amount of bonds shall not exceed two thousand dollars when the number of children of school age in the district are fifty or more, but less than one hundred; and the amount of bonds shall not exceed five thousand dollars when the number of children of school age in the district are one hundred or more, but less than three hundred; and in districts having three hundred or more children of school age, such amouut as may be agreed upon, not to exceed three per cent. of the assessed valuation.

SEC. 6. [Rate of interest.]-The bonds issued under this subdivision shall draw such interest as shall be agreed upon, but not to exceed seven per cent per annum.

SEC. 7. [Description of bonds.]-The bonds shall specify on their face the date, amount, for what purpose issued, the time they run, and the rate of interest; shall be printed on good paper, with coupons attached for each year or half year's interest, and the amount of each year's interest shall be placed in corresponding coupons until such bonds shall become due, in a manner so as to have the last coupon fall due at the same time as the bond; said bonds and coupons thereto

SUBD. XV. "An act to provide for the issuing and payment of school district bonds. Laws 1879, 170. Took effect June 1, 1879.