NORTH CAROLINA GENERAL ASSEMBLY
1961 SESSION

CHAPTER 951
SENATE BILL 6

AN ACT TO AUTHORIZE THE ISSUANCE OF $6,189,000 (AMOUNT CHANGED BEFORE PASSAGE TO $6,216,000) IN BONDS OF THE STATE TO PROVIDE FOR CAPITAL IMPROVEMENTS FOR STATE INSTITUTIONS AND AGENCIES.

The General Assembly of North Carolina do enact:

Section 1.  This Act shall be known and may be cited as the "State Capital Improvement Legislative Bond Act of 1961."
Sec. 2.  The State Treasurer is hereby authorized, by and with the consent of the Governor and Council of State, to issue and sell, at one time or from time to time in the biennium beginning July 1, 1961, bonds of the State, to be designated "State of North Carolina Capital Improvement Bonds" in an aggregate principal amount not exceeding six million two hundred sixteen thousand dollars ($6,216,000) for the purpose of providing needed capital improvements for State institutions and agencies as follows:

I. GENERAL GOVERNMENT
Department of Administration		$1,070,000
	1.	Electrical and General Renovations		$	75,000
	2.	Extensions of Utilities		20,000
	3.	Purchase of Land		975,000

II. PUBLIC SAFETY AND REGULATION
North Carolina Armory Commission		317,000
	1.	Military Center		317,000

III. CORRECTION
Stonewall Jackson Manual Training and Industrial School		101,500
	1.	Renovation of Windows in Cottages		25,000
	2.	Renovation of Milking Barn		7,000
	3.	Milk House and Equipment		24,000
	4.	Granary, Storage Bin and Drier		23,000
	5.	Equipment Shed		14,500
	6.	Renovate Textile Mill		8,000

Morrison Training School		4,000
	1.	New Boiler for Laundry		4,000

Eastern Carolina Industrial School for Boys		48,500
	1.	Extension of Water Lines and Fire Hydrants		8,200
	2.	Connect Sanitary Sewer to Municipal Line		18,000
	3.	Laundry Renovation and Equipment		22,300

State Training School for Girls — Dobbs Farm		$ 96,000
	1.	Renovation of Leonard Cottage 		$	64,000
	2.	Electric Distribution System Renovation and
			Street Lights		10,000
	3.	New Boiler for Laundry and Vocational Building		7,000
	4.	Deep Well and Repair to Water Tank		15,000

IV. EDUCATION
University of North Carolina — Division of Health Affairs		1,459,000
	1.	Renovation of Medical School Areas		25,000
	2.	Air Conditioning Memorial Hospital and
		Dental School		1,434,000

University of North Carolina — Academic Affairs		266,000
	1.	Rewire Phillips Hall (old part)		55,000
	2.	Murphy Hall Renovation		95,000
	3.	Storm Sewer Lines		35,000
	4.	Sanitary Sewer Lines		11,000
	5.	Renovate Bynum Hall		45,000
	6.	Venable Hall Floor Repairs		25,000

State College of Agriculture and Engineering		451,000
	1.	Building Repairs and Renovations		251,000
	2.	Equipment for Physical Sciences and
		Applied Mathematics		50,000
	3.	Instructional Equipment for Industrial Arts		30,000
	4.	Equipment for Mechanical Engineering		50,000
	5.	Equipment for Psychology Laboratory		10,000
	6.	Equipment for Engineering Classrooms and
		Laboratories		50,000
	7.	Equipment for Asheville Minerals Laboratory		10,000

Woman's College of the University of North Carolina		29,000
	1.	Storm Sewer		29,000

East Carolina College		108,500
	1.	Repairs to Wright Building		38,500
	2.	Air Conditioning Rawl Building		70,000

The Agricultural and Technical College		80,500
	1.	Renovation of Maintenance Building		16,500
	2.	Laundry Equipment		19,000
	3.	Cafeteria Equipment and Building Repair		45,000

Western Carolina College		$ 63,000
1. Renovation and Conversion of McKee Building		$	53,000
2. Conversion of Moore and Madison Dormitories		10,000

Appalachian State Teachers College		34,500
	1.	Electrical Repairs		7,500
	2.	Modernize Switch gear at Power Plant (1/4 Cost)		20,000
	3.	Campus Lighting		3,000
	4.	Resurface Tennis Courts		4,000

Pembroke State College		88,500
	1.	Improvement to Sanitary Sewer System		40,000
	2.	Roads		6,000
	3.	Storm Sewer		4,500
	4.	Equipment Garage		7,000
	5.	Parking Areas		11,000
	6.	Renovation of Electrical Distribution System		20,000

Winston‑Salem Teachers College		195,000
	1.	Renovate Junior and Senior Dormitory
		(Supplement to 1959 Appropriation)		130,000
	2.	Renovate Kitchen and Equipment		65,000

Elizabeth City State Teachers College		46,000
	1.	Renovate Laundry Building		16,000
	2.	New Floor — Bias Hall		10,000
	3.	Repairs to Sanitary Sewer System		20,000

Fayetteville State Teachers College		204,000
	1.	Renovation of Dining Hall, Kitchen and
		New Heating System for Dining Hall		151,000
	2.	Convert 15 Coal‑Fired Boilers to Oil		17,000
	3.	Science Liboratory Equipment		36,000

North Carolina College at Durham		148,000
	1.	Repairs to Women's Dormitory		27,000
	2.	Improvements to Duke Auditorium		7,000
	3.	Campus Lighting		35,000
	4.	Statistical Machine Room		35,000
	5.	Computers for Mathematics and Physics		44,000

State School for the Blind and the Deaf		114,000
	1.	Renovate 4 Dormitories (Colored Division)		70,000
	2.	Replace Floors in Kitchens (White Division)		2,000
	3.	Install Toilets — Basement of Main Building
		(Colored Division)		8,000
	4.	Improvements to Electrical Distribution System
		(White Division)		25,000
	5.	Rewire 6 Buildings (White Division)		9,000

State Department of Archives and History		$ 132,000
	1.	Vance Birthplace Museum		42,500
	2.	Town Creek Indian Mound Museum		42,500
	3.	Fort Fisher Museum		47,000

V. HEALTH AND HOSPITALS
Dorothea Dix Hospital		405,000
	1.	Resurfacing Roads, Walks and Parking Areas		50,000
	2.	Renovate Clarke Building		72,000
	3.	Renovate Brown Building		108,000
	4.	Renovate Old Wing of Spruill Building		50,000
	5.	Air Conditioning McBryde Building		100,000
	6.	Air Conditioning Dobbin Infirmary		25,000

Broughton Hospital		355,000
	1.	New Wiring and Lighting — Center Building		170,000
	2.	Renovate Scroggs Building		132,000
	3.	New Baths and Toilets— Wards 36 and 37		23,000
	4.	Convert old Staff House into Efficiency Apartments		30,000

Cherry Hospital		236,000
	1.	Storm Drainage		35,000
	2.	Coal Handling Equipment and Stokers		83,000
	3.	Rewiring, New Heating and Renovations — 5 houses		15,000
	4.	Protection Screens		45,000
	5.	Recreation Field and Field House		18,000
	6.	Garbage and Trash Handling Equipment		40,000
___________

O'Berry School		42,000
	1.	Air Conditioning — Crippled Children's Building		25,000
	2.	Air Conditioning — Infirmary		17,000

John Umstead Hospital		32,000
	1.	Renovate Building 63		32,000

Caswell School		$ 75,000
	1.	Air Conditioning — New Hospital and
		Crippled Children's Building		$	75,000

North Carolina Orthopedic Hospital		15,000
	1.	Replace Elevator in Administration Building		15,000

The appropriations hereby made shall be in addition to all other appropriations heretofore made, or which may be made at the present Session of the General Assembly, and shall be expended and disbursed under the direction and supervision of the Director of the Budget.
Each project must be so planned that its estimated cost will be within such limits that will allow the purchase of all needed equipment and provide drives, walks, grading and connections to all needed utilities so that when completed the facility may be fully utilized without requiring additional State funds.
Sec. 3. The funds appropriated to provide for Capital Improvements, by Section 2 of this Act, shall be disbursed for the purposes provided in this Act upon warrants drawn by the State Disbursing Officer, which warrants shall not be drawn for any State Institution, Department, or Agency until a requisition has been approved by the Director of the Budget and which requisition shall be approved only after full compliance with the Executive Budget Act, Article I of Chapter 143 of the General Statutes.
Any officer of the State or executive head of any institution, or any director, trustee or commissioner of any State institution, department or agency to which an appropriation is made under the provisions of this Act who votes for or aids in spending more money for any improvement for his institution, department, or agency than is appropriated therefore, may be removed from office by the Governor. Any additional moneys which may be received by means of a grant, or grants, from the United States of America or any agency or department thereof or from any other source to aid in financing the cost of any of the improvements herein referred to, may be placed by the State Treasurer in the same fund or in a separate fund and, to the extent permitted by the terms of such grant or grants, shall be disbursed in the same manner and for the purposes mentioned in this Act.
Sec. 4.  The Director of the Budget is authorized and empowered to make transfers and changes between appropriations made in this Act, within the appropriations made to each agency, to provide changes to permit completion of the projects as described in the appropriations.
Upon application of the governing body of a spending agency of the State, the Director of the Budget, when recommended by the Advisory Budget Commission is empowered to authorize transfers and changes from appropriations made in this Act, but within the appropriations made to each agency, to provide for needed projects for which no specific appropriations have been made.
Sec. 5.  Bonds authorized by this Act shall bear such date or dates, shall be serial bonds, and shall mature at such times and in such amounts, not exceeding 20 years from their date or respective dates, and shall bear interest at such rate or rates, not exceeding 4% per annum, payable semiannually, as may be fixed by the State Treasurer with the approval of the Governor and Council of State.
Sec. 6.  Said bonds shall be signed on behalf of the State of North Carolina by the Governor or shall bear his facsimile signature and shall be signed by the State Treasurer, shall bear the Great Seal of the State or a facsimile thereof shall be impressed or imprinted thereon, and said bonds shall carry interest coupons which shall bear a facsimile of the signature of the State Treasurer. In case any officer whose signature or a facsimile of whose signature shall appear on any bonds or coupons shall cease to be such officer before the delivery of such bonds, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office until such delivery. The form and denomination of the bonds shall be such as the State Treasurer may determine in conformity with this Act, and said bonds shall be subject to registration as is now or may hereafter be provided by law for State bonds, and provision may also be made for the reconversion into coupon bonds of any bonds registered as to both principal and interest.
Sec. 7.  Subject to determination by the Governor and Council of State as to the manner in which said bonds shall be offered for sale, whether by publishing notices in certain newspapers and financial journals or by mailing notices or by inviting bids by correspondence or otherwise, the State Treasurer is authorized to sell said bonds at one time or from time to time at the best price obtainable, but in no case for less than par and accrued interest, and when the conditions are equal he shall give the preference of purchase to the citizens of North Carolina. All expenses necessarily incurred in the preparation and sale of the bonds shall be paid from the proceeds of such sale in excess of the appropriations herein authorized or from the Contingency and Emergency Appropriation.
Sec. 8.  The proceeds of said bonds and of the bond anticipation notes herein authorized (except the proceeds of bonds the issuance of which has been anticipated by such bond anticipation notes) shall be placed by the State Treasurer in a special fund known as the "Capital Improvement Legislative Bond Fund of 1961" and shall be disbursed only for the purposes provided in this Act.
Sec. 9.  By and with the consent of the Governor and Council of State, who shall determine the rate or rates or maximum rate of interest and the date or approximate date of payment, the State Treasurer is hereby authorized to borrow money at the lowest rate of interest obtainable, and to execute and issue notes of the State for the same, but only in the following circumstances and under the following conditions:
(a)	For anticipating the sale of any of said bonds to the issuance of which the Governor and Council of State shall have given consent, if the State Treasurer shall deem it advisable to postpone the issuance of such bonds.
(b)	For the payment of interest upon or any installment of principal of any of said bonds then outstanding, if there shall not be sufficient funds in the State Treasury with which to pay such interest or installment of principal as they respectively fall due.
(c)	For the renewal of any loan evidenced by notes herein authorized.
Sec. 10.  Funds derived from the sale of bonds herein authorized shall be used in the payment of any bond anticipation notes that may have been issued in anticipation of the sale of such bonds and any renewals of such notes; and funds provided by the General Assembly for the payment of interest on or principal of bonds herein authorized shall be used in paying the interest on or principal of any notes and any renewals thereof the proceeds of which shall have been used in paying interest on or principal of such bonds. Interest payments upon said notes may be evidenced by interest coupons in the State Treasurer's discretion.
Sec. 11.  The full faith, credit and taxing power of the State are hereby pledged for the payment of the principal of and the interest on the bonds and notes herein authorized.
Sec. 12.  The coupons appertaining to said bonds and notes after maturity shall be receivable in payment of all taxes, debts, dues, licenses, fines, and demands due the State of any kind whatsoever.
Sec. 13.  All of said bonds and notes and coupons shall be exempt from all State, county and municipal taxation or assessment, direct or indirect, general or special, whether imposed for the purpose of general revenue or otherwise, and the interest on said bonds and notes shall not be subject to taxation as for income, nor shall said bonds or notes or coupons be subject to taxation when constituting a part of the surplus of any bank, trust company or other corporation.
Sec. 14.  It shall be lawful for all executors, administrators, guardians and fiduciaries generally, and all sinking fund commissions, to invest any moneys in their hands in said bonds and notes.
Sec. 14 1/2.  The provisions of this Act are severable, and if any of its provisions shall be held unconstitutional by any court of competent jurisdiction, the decision of such court shall not affect or impair any of the remaining provisions.
Sec. 15.  All laws and clauses of laws in conflict with this Act are hereby repealed.
Sec. 16.  This Act shall be in full force and effect from and after its ratification.
In the General Assembly read three times and ratified, this the 17th day of June, 1961.