Acts and resolutions of the General Assembly of the state of Georgia 1960 [volume 1]

Acts of the General Assembly of the State of Georgia Georgia Law, Georgia Georgia. Acts and resolutions of the General Assembly of the State of Georgia HAPEVILLE: LONGINO PORTER, INC. 19600000 English

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ACTS AND RESOLUTIONS OF THE GENERAL ASSEMBLY OF THE STATE OF GEORGIA 1960 19600000 COMPILED AND PUBLISHED BY AUTHORITY OF THE STATE

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PRESS OF LONGINO PORTER, INC. HAPEVILLE, GA.

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Compiler's Note To speed publication, the Acts and Resolutions of the 1960 session, with the exception of the proposed amendments to the Constitution, were sent to the printer in the order in which they were released from the Governor's office. This made only a broad classification possible. General Acts and Resolutions were grouped in one volume beginning at page 1 and running through page 1576. The proposed amendments to the Constitution were grouped together beginning at page 1193 of Volume One and are followed by a complete index beginning at page 1447. This volume is bound separately. Local and special Acts and Resolutions were grouped in one volume beginning on page 2001. There are no intervening pages between 1576 and 2000. The index, which is published in full in each volume, covers material included in both volumes. It is in two parts: a broad tabular index which attempts to supply some of the advantages which might have been gained from a more detailed classification, which speed of publication made impossible. This is followed by a regular alphabetical index. ACTS AND RESOLUTIONS OF THE GENERAL ASSEMBLY OF THE STATE OF GEORGIA 1960 PATRIOTIC ORGANIZATIONSSPECIAL AUTOMOBILE TAGS FOR COMMANDERS. No. 70 (House Resolution No. 137-404). A Resolution. Authorizing the issuance of license tags to the Commanders of certain patriotic organizations; and for other purposes. Whereas, the American Legion, Amvets, Jewish War Veterans, Disabled American War Veterans, Veterans of World War I and Spanish-American War Veterans are all outstanding veterans' organizations; and Whereas, these organizations have rendered valuable services to the State through the conduct of various forms of charitable, mercy work; and

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Whereas, these organizations have wide-spread following of the citizens of this State; and Whereas, it is fitting that the Commanders of these organizations should be recognized wherever they travel over the State. Now, therefore, be it resolved by the General Assembly of Georgia that the Commanders of the veterans' organizations listed in this Resolution upon application and compliance with the State motor vehicle laws relative to the registration and licensing of motor vehicles, and upon payment of the regular license fees for tags, as provided by law, and the payment of any additional fee as may be set by the State Revenue Commissioner shall be issued license plates as prescribed in section 68-214 of the Code of Georgia, as amended, for use on their official, private, passenger automobiles, upon which in lieu of the numbers prescribed by said section shall be such figures or symbols as may be prescribed by the State Revenue Commissioner indicative of the office held by such individuals. Be it further resolved that license tags issued under the provisions of this Resolution may not be transferred, so as to be used by any person other than the person to whom such tag was originally issued; and that such tags shall not be used by any person after he shall have vacated the office of Commander of any of the organizations enumerated in this Resolution. Be it further resolved that this Resolution is supplemental to the motor vehicle license laws of Georgia. Nothing herein shall be construed as abridging or amending such laws. Approved January 25, 1960.

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ELECTRIC MEMBERSHIP CORPORATION ACTAMENDED. No. 430 (Senate Bill No. 30). An Act to amend an Act known as the Electric Membership Corporation Act, approved March 30, 1937 (Ga. L. 1937, p. 644), as amended, particularly by an Act approved March 24, 1939 (Ga. L. 1939, p. 312), so as to redefine rural area and to provide for electric service by such corporations in such areas; to provide for contributions by such cooperatives to towns, villages, and cities of an amount comparable to, but not more than, the amount paid by privately owned electric utilities operating in or contiguous to such municipality, such amount to be computed on the same percentage basis as privately owned electric utilities and to be based upon the sale of electric energy made by the cooperative to its members in the affected area of said municipality for all domestic and small commercial loads of less than 50 K.W.; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Electric Membership Corporation Act, approved March 30, 1937 (Ga. L. 1937, p. 644), as amended, particularly by an Act approved March 24, 1939 (Ga. L. 1939, p. 312), is hereby amended by striking from section 2 thereof, paragraph 8 in its entirety, and in lieu thereof, inserting the following: (8). `Rural area' means any area not included within the boundaries of any incorporated or unincorporated city, town, or village having a population in excess of fifteen hundred inhabitants at the time a corporation commences to operate electric facilities or to furnish electric energy in such an area, and includes both the farm and non-farm population thereof; and the inclusion by annexation or otherwise, of any portion of a rural area, as defined in this chapter, within the limits of an incorporated or unincorporated city, town, or village,

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regardless of its population, shall not in any respect impair or affect the right of a corporation to continue to furnish electric energy to its member consumers or to new member consumers within such newly annexed area, provided that the right to serve new member consumers shall be limited to a service drop not exceeding three hundred (300) feet from any lines of such corporation in existence at the time of annexation or inclusion of any portion of rural area, as defined in this chapter, within limits of an incorporated or unincorporated city, town or village. Rural area defined. Section 2. Said Act as amended is hereby further amended by adding a new section to be known as section 13-A, to read: 13-A. Each cooperative serving members within an area that has been annexed to and included in the corporate limits of a municipality shall contribute to such municipality annually, within thirty (30) days following each calendar year, effective for the year 1960 and thereafter, an amount comparable to and proportionate to, but not more than, the amount paid by privately owned electric utilities operating in or contiguous to such municipality. Such amount shall be computed on the same percentage basis as privately owned electric utilities and shall be based upon the sale of electric energy made by the cooperative to its members in the affected area of said municipality for all domestic and small commercial loads of less than 50 K.W. Contributions to municipalities. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved January 27, 1960.

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CURRENT INCOME TAX PAYMENT ACT OF 1960. No. 435 (House Bill No. 602). An Act to impose withholding and estimated taxes to aid in the collection of the income tax imposed by law upon individuals; to provide for returns, assessment, collection, credits, and refunds thereof; to prescribe civil and criminal penalties for the enforcement thereof, to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Short Title. This Act shall be known as the Current Income Tax Payment Act of 1960. Section 2. Definitions. (a) When used in this Act, the following terms shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: (1) Person This term shall mean (A) Any individual, trust, estate, partnership, joint venture, association, cooperative, syndicate, company or corporation, profit or non-profit, which is resident, domiciled, incorporated, or domesticated in this State, or is doing business in this State; (B) A guardian, committee, trustee, executor, administrator, trustee in bankruptcy, receiver, assignee for the benefit of creditors, conservator, or any person acting in a fiduciary capacity. (C) The State of Georgia, any municipality, county, or other political subdivision or governmental unit thereof, any authority, commission, board or other agency thereof, public, quasi-public or private. (D) The United States, any other state or territory, and any political subdivision, instrumentality, or agency

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thereof, to the extent that jurisdiction may be exercised with respect thereto under the laws of the United States. (2) Doing Business In This State This term shall mean a person (A) having or maintaining, directly or indirectly, an office, warehouse, stock of goods, or other established facility or place of business in this State; or (B) performing services, owning, leasing or operating tangible property in this State on a more or less permanent and not transitory basis, or (C) having an officer, employee, agent or other representative who has, or maintains, an office, or who regularly or systematically solicits or promotes such person's business in this State. The term office as used in subsections (2) (A) and (2) (C) shall include the residence of any officer, employee, agent or representative of such person if such residence is held out or identified in the trade with such person's business. (D) The term business shall include any particular activity, occupation, or employment habitually engaged in whether for financial gain or not. (E) The fact of an employer's voluntary compliance with the requirements of this Act shall not of itself constitute any admission that such employer is doing business within this State for any other purpose but it shall be taken as conferring jurisdiction upon this State for purpose of collecting amounts withheld under this Act. (3) Employer This term shall mean any person for whom an individual, resident or domiciliary of Georgia, performs or performed any service, of whatever nature, within or without this State, or for whom a nonresident individual performs or performed any service, of whatever nature, within this State, as the employee of such person, except that

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(A) if the person for whom the individual performs or performed such services does not have control of the payment of the wages for such services, the term employer shall include the person having control of the payment of such wages, and (B) in the case of a person paying such wages on behalf of a non-resident individual, or foreign partnership, or foreign corporation, not doing business within this State, the term employer shall include such person. (4) Employee This term shall mean (A) any individual who is a domiciliary or resident of this State and who performs services either within or without, or both within and without, this State for an employer, and (B) any individual, not a domiciliary or resident of this State, who performs services within this State for an employer, and (C) an officer, employee or elected official of any body politic, or any agency or instrumentality thereof, and an officer of a corporation. (D) any person to whom a payment of wages is made whether such person is an employee of the payer of such wages at the time of payment or not. (5) Wages This term means all remuneration paid (other than fees paid to a public official) for services performed by an employee for his employer, including the cash value of all remuneration paid in any medium other than cash, and without any deduction of any amounts withheld by the employer for any reason, and regardless of the terminology which the employer or employee may apply to such remuneration, except that such term shall not include remuneration paid (A) for active service as a member of the armed forces of the United States; or

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(B) for agricultural labor; or (C) for domestic service in a private home, local college club, or local chapter of a college fraternity or sorority, or (D) for services performed by a duly ordained commissioned or licensed minister of a church in the exercise of his ministry, or by a member of a religious order in the exercise of duties required by such order; or (E) for services performed for a foreign government or an international organization; or (F) for service not in the couse of the employer's trade or business performed in any calendar quarter, by an employee unless the cash remuneration paid for such service is fifty dollars or more and such service is performed by an individual who is regularly employed, as defined in the rules and regulations of the State Revenue Commissioner, by such employer to perform such services. (G) for services performed by an individual under the age of 18 in the delivery or distribution of newspapers or shopping news, not including delivery of distribution to any point for subsequent delivery or distribution, or for services performed by an individual in, and at the time of, the sale of newspapers or magazines to ultimate consumers, under an arrangement under which the newspapers or magazines are to be sold by him at a fixed price, his compensation being based on the retention of the excess of such price over the amount at which the newspapers or magazines are charged to him, whether or not he is guaranteed a minimum amount of compensation for such service, or is entitled to be credited with the unsold newspapers or magazines turned back, or (H) for services not in the course of the employer's trade or business, to the extent paid in any medium other than cash; or

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(I) for services for an employer performed by a resident or domiciliary of Georgia in another state if, at the time of the payment of such remuneration, the employer is required by the law of such other state to withhold income tax upon such remuneration. (J) For services performed as a master, officer, or any other seaman who is a member of the crew on a vessel engaged in the foreign, coastwise, intercoastal, interstate, or contiguous trade to the extent withholding from such wages is prohibited by the laws of the United States. (K) To, or on behalf of, any employee (i) from or to a trust described in section 401 (a) of the Federal Internal Revenue Code of 1954 which is exempt under Code Section 92-3105 (k) at the time of such payment unless such payment is made to an employee of the trust as remuneration for services rendered as such employee and not as a beneficiary of the trust, or (ii) under or to an annuity plan which, at the time of such payment, meets the requirements of section 401 (a) (3), (4), (5) and (6) of the Federal Internal Revenue Code of 1954. (L) For services performed by a non-resident if such non-resident has been employed within this State for no more than 23 calendar days during the calendar quarter. (6) Payroll Period This term shall mean a period for which a payment of wages is ordinarily made to the employee by an employer, and the term miscellaneous payroll period shall mean a payroll period other than a daily, weekly, biweekly, semi-monthly, monthly, quarterly, semi-annual, or annual payroll period. (7) Single Exemption This term shall mean the

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withholding exemption status claimed in a withholding exemption certificate in effect under section 4 (c). (8) Marital Exemption This term shall mean the withholding exemption status claimed in a withholding exemption certificate in effect under section 4 (c). (9) Dependent Exemption This term shall mean the withholding exemption status claimed in a withholding exemption certificate in effect under section 4 (c). (10) Number of Dependent Exemptions Claimed This term shall mean the number of dependent exemptions claimed in a withholding exemption certificate in effect under section 4 (c). (11) Calendar Quarter This term means a period of three calendar months ending on March 31, June 30, September 30, or December 31. (12) Member of Armed Forces This term means commissioned officers and personnel below the grade of commissioned officers in all regular and reserve components of the uniformed services subject to the jurisdiction of the Department of Defense. It also includes the Coast Guard but does not include civilian employees of the armed forces. Section 3. Income Tax Collected at Source. (a) Wages Subject to Withholding. The amount of wages subject to withholding shall be the amount of wages being paid less (1) 10% thereof, but not in excess of $20.00 for a weekly payroll period; or $40.00 for a bi-weekly payroll period; or $41.50 for a semi-monthly payroll period; or $84.00 for a monthly payroll period; or $250.00 for a quarterly payroll period; or

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$500.00 for a semi-annual payroll period; or $1,000.00 for an annual payroll period; or $2.75 per day for a daily or miscellaneous payroll period; and (2) The total withholding exemption allowance applicable to such wage payment as computed under subsection (b) hereof. (b) Withholding Exemption Allowance. (1) Payroll Periods.The withholding exemption allowance applicable to a wage payment to an employee, determined according to the payroll period of such employee, shall be (A) the amount shown in Column 1, or the amount shown in Column 2, as the withholding exemption status of such employee may be, plus (B) the amount shown in Column 3 multiplied by the number of dependency exemptions claimed by such employee. Col. 3 Col. 1 Col. 2 Each Single Martial Dependent Payroll Period Exemption Exemption Exemption Weekly 28.75 57.50 11.50 Bi-weekly 57.50 115.00 23.00 Semi-monthly 62.50 125.00 25.00 Monthly 125.00 250.00 50.00 Quarterly 375.00 750.00 150.00 Semi-annual 750.00 1,500.00 300.00 Annual 1,500.00 3,000.00 600.00 Daily or Misc. 4.15 8.30 1.65 (2) Other Payroll Periods. If wages are paid for a miscellaneous payroll period, or with respect to a period which is not a payroll period, the withholding exemption allowance with respect to each payment of such wages

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shall be the exemption allowed for a daily payroll period multiplied by the number of days in the period (including Saturdays and Sundays) with respected to which such wages are paid. (3) Other Wage Payment. In any case in which wages are paid by an employer without regard to any payroll period or other period, the withholding exemption allowance with respect to each payment of such wages shall be the exemption allowance for a daily period multiplied by the number of days (including Saturdays and Sundays) which have elapsed since the last payment of such wages by such employer during the calendar year, or the date of commencement of employment with such employer during such year, or January 1 of such year, whichever is the later. (c) Requirement of Withholding. Every employer making payment of wages shall deduct and withhold upon such wages a tax determined in accordance with the following: (1) Weekly Payroll Period. Where wages are being paid for a weekly payroll period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $20.001% of such wages $20.00 but not over $57.50$.20 plus 2% of excess over $20.00 $57.50 but not over $96.00$1.00 plus 3% of excess over $57.50 $96.00 but not over $134.50$2.15 plus 4% of excess over $96.00 $134.50 but not over $192.50$3.70 plus 5% of excess over $134.50 $192.50 or over$6.55 plus 6% of excess over $192.50 (2) Bi-weekly Payroll Period. Where wages are being

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paid for a bi-weekly period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $40.001% of such wages $40.00 but not over $115.00$.40 plus 2% of excess over $40.00 $115.00 but not over $192.00$2.00 plus 3% of excess over $115.00 $192.00 but not over $269.00$4.30 plus 4% of excess over $192.00 $269.00 but not over $385.00$7.35 plus 5% of excess over $269.00 $385.00 or over$13.10 plus 6% of excess over $385.00 (3) Semi-monthly Payroll Period. Where wages are being paid for a semi-monthly period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $41.501% of such wages $41.50 but not over $125.00$.42 plus 2% of excess over $41.50 $125.00 but not over $208.00$2.10 plus 3% of excess over $125.00 $208.00 but not over $291.00$4.60 plus 4% of excess over $208.00 $291.00 but not over $417.00$7.95 plus 5% of excess over $291.00 $417.00 or over$14.20 plus 6% of excess over $417.00 (4) Monthly Payroll Period. Where wages are being paid for a monthly payroll period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $84.001% of such wages

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$84.00 but not over $250.00$.84 plus 2% of excess over $84.00 $250.00 but not over $416.00$4.20 plus 3% of excess over $250.00 $416.00 but not over $582.00$9.15 plus 4% of excess over $416.00 $582.00 but not over $833.00$15.85 plus 5% of excess over $582.00 $833.00 or over$28.35 plus 6% of excess over $833.00 (5) Quarterly Payroll Period. Where wages are being paid for a quarterly payroll period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $250.001% of such wages $250.00 but not over $750.00$2.50 plus 2% of excess over $250.00 $750.00 but not over $1,250.00$12.50 plus 3% of excess over $750.00 $1,250.00 but not over $1,750.00$27.50 plus 4% of excess over $1,250 $1,750.00 but not over $2,500.00$47.50 plus 5% of excess over $1,750 $2,500.00 or over$85.00 plus 6% of excess over $2,500.00 (6) Semi-annual Payroll Period. Where wages are being paid for a semi-annual payroll period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $500.001% of such wages $500.00 but not over $1,500.00$5.00 plus 2% of excess over $500.00 $1,500.00 but not over $2,500.00$25.00 plus 3% of excess over $1,500

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$2,500.00 but not over $3,500.00$55.00 plus 4% of excess over $2,500 $3,500.00 but not over $5,000.00$95.00 plus 5% of excess over $3,500 $5,000.00 or over$170.00 plus 6% of excess over $5,000 (7) Annual Payroll Period. Where wages are being paid for an annual payroll period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $1,000.001% of such wages $1,000.00 but not over $3,000.00$10.00 plus 2% of excess over $1,000 $3,000.00 but not over $5,000.00$50.00 plus 3% of excess over $3,000 $5,000.00 but not over $7,000.00$110.00 plus 4% of excess over $5,000 $7,000.00 but not over $10,000.00$190.00 plus 5% of excess over $7,000 $10,000.00 or over$340.00 plus 6% of excess over $10,000.00 (8) Daily or Miscellaneous Payroll Period. Where wages are being paid for a daily or miscellaneous payroll period and amount of wages subject to withholding is as follows, then the tax shall be as follows: Not over $2.751% of such wages $2.75 but not over $8.33$.03 plus 2% of excess over $2.75 $8.33 but not over $13.88$.14 plus 3% of excess over $8.33 $13.88 but not over $19.44$.31 plus 4% of excess over $13.88

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$19.44 but not over $27.75$.53 plus 5% of excess over $19.44 $27.75 or over$.95 plus 6% of excess over $27.75 (d) Optional Withholding Tax Tables. The Commissioner is required, within 45 days from the date of enactment, to prescribe by regulations withholding tax tables for the various payroll periods, which tables will show in specific monetary amounts, and not in any part by percentages of wages, the amount of tax to be withheld for various wage brackets depending upon the withholding exemptions of the person receiving such wages, provided, however, that any such tables hereby required shall only cover wages up to the maximum amount of $15,000.00 for an annual payroll period and correspondingly smaller amounts for shorter payroll periods. For wages in excess of said amounts, the Commissioner is authorized to prescribe by regulations withholding tax tables or a combination of withholding tax tables and a percentage of the wages. Such tables shall in so far as practicable be constructed to produce approximately the equivalent tax required to be withheld under subsection (c) hereof. Any tables so prescribed hereunder may be subsequently amended by regulations. In such tables the wage bracket may be in whole dollar amounts and graduated in such whole dollar amounts as the Commissioner may determine to be most practicable, and the amount of tax may be rounded off to the nearest multiple of ten cents. At the election of the employer with respect to any employee, the employer may deduct and withhold upon the wages paid to such employee a tax determined in accordance with the withholding tax tables required or authorized under this subsection which, when done, shall be in lieu of the tax required to be deducted and withheld under subsection (c) hereof. (e) Optional Conversion Factors. The Commissioner is authorized (1) To prescribe by regulation a conversion factor or factors which, at the option of an employer, may be used

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to compute the amount to be withheld under this section based upon the amount of tax collected and withheld for Federal tax purposes. (2) To approve, upon application therefor and upon such conditions as he sees fit, a conversion factor or factors, developed by an employer to be used to compute the amount to be withheld under this section based upon the amount of tax collected and withheld for Federal tax purposes. Such conversion factor or factors shall in so far as practicable be constructed to produce approximately the equivalent tax required to be withheld under subsection (c) hereof. A tax determined by the use of a conversion factor or factors authorized under this subsection shall be in lieu of the tax required to be deducted and withheld under subsection (c) hereof. (f) Other Employer Plans. The Commissioner is authorized to approve, upon application therefor and upon such conditions as he sees fit, any other plan of withholding developed by an employer to produce insofar as practicable approximately the equivalent tax required to be withheld under subsection (c) hereof, and any plan authorized under this subsection shall be in lieu of the tax required to be deducted and withheld under subsection (c) hereof. (g) Included and Excluded Wages. If the remuneration paid by an employer to an employee for services performed during one-half or more of any payroll period of not more than 31 consecutive days constitutes wages, all the remuneration paid by such employer to such employee for such period shall be deemed to be wages; but if the remuneration paid by an employer to an employee for services performed during more than one-half of any such payroll period does not constitute wages, then none of the remuneration paid by such employer to such employee for such period shall be deemed to be wages. (h) Regulations Authorized for Unusual Payments.

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The Commissioner is authorized to promulgate regulations for withholding in unusual cases, including the following: (1) The Commissioner may authorize an employer to estimate the wages which will be paid to an employee in any quarter of the calendar year, and to determine the amount to be deducted and withheld upon each payment of wages to such employee during such quarter as if the appropriate average of the wages so estimated constituted the actual wages paid. (2) The Commissioner may authorize the employer to deduct and withhold upon any payment of wages to such employee during such quarter the amount as may be necessary to adjust the amount actually deducted and withheld during such quarter to the amount required to be deducted and withheld during such quarter if the payroll period of the employee were quarterly. (3) The Commissioner may authorize an employer to deduct and withhold an amount in addition to that otherwise required to be withheld under this law, in cases in which the employer and employee agree to such additional withholding. Such additional withholding shall for all purposes be considered tax required to be deducted and withheld under this Act. (4) The Commissioner may by regulation prescribe the manner in which an employer may be authorized to deduct from wages, before withholding and deducting tax, any amount attributable to travel and other necessary business expense of employees who are not reimbursed by the employer for such expenses and whose duties require such expenditures, other than traveling to and from the employee's home and place of employment. (5) The Commissioner may by regulation prescribe the manner and extent to which withholding tax shall apply to extra payments to employees for services rendered, such as bonuses, separation pay, yearend, Christmas or birthday payments, and the like, and may, under such conditions as he may deem proper, authorize an employer

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to compute the tax to be withheld from such payments so as to make adjustments to the annual wages which employer may pay to such employee or employees. However, no withholding shall be required with respect to a Christmas or birthday (employee's) payment to an employee when the amount of such payment is not in excess of $100.00. (6) The Commissioner may by regulation prescribe the manner and extent to which withholding tax shall apply to other unusual payments of wages not stated above. Section 4. Withholding Exemptions. (a) Withholding Exemption Status. (1) Zero Exemption. A zero exemption status shall apply to an employee receiving wages, who on the withholding exemption certificate required under subsection (c) hereof, disclaims any exemption status, or who fails to file with his employer the withholding exemption certificate required thereunder. (2) Single Exemption. A single exemption status shall be available to any employee receiving wages who at the time cannot qualify for a marital exemption, or disclaims a marital exemption. (3) Marital Exemption. A marital exemption status shall be available to any employee receiving wages who at the time is married and living with his spouse, but only if his spouse does not have in effect at that time a withholding exemption certificate claiming a single or marital exemption. (4) Head of Household. A marital exemption status shall also be available to an employee receiving wages who at the time qualifies as maintaining a household under Code section 92-3106 (c); such employee, however, shall not claim a withholding dependency exemption for the dependent used for the purpose of qualifying for the exemption under said code section.

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(b) Withholding Dependency Exemption. An employee receiving wages shall on any day be entitled to one withholding dependency exemption (1) For each individual with respect to whom he would be entitled to an exemption under Code section 92-3106(d) (dependents) if that day were the last day of the employee's taxable year; and (2) For each condition with respect to which he would be entitled to an exemption under Code section 92-3106 (k) (over age 65) or Code section 92-3106(1) (blindness) on account of his personal condition if that day were the last day of the employee's taxable year; and (3) For each condition with respect to which he would be entitled to an exemption under Code section 92-3106 (k) (over age 65) or Code section 92-3106(1) (blindness) on account of the condition of his spouse if that day were the last day of the employee's taxable year and if such employee is also entitled to a marital exemption under sub-section (a) (3) hereof. (c) Exemption Certificate. (1) On Commencement of Employment. On or before the date of the commencement of employment with an employer, the employee shall furnish the employer with a signed withholding certificate in the form prescribed by the Commissioner relating to his withholding exemption status and the number of dependency exemptions which he claims, which shall in no event exceed that to which he is entitled. For purposes of this section, the date of the commencement of employment for an employee already employed by an employer on the effective date prescribed in section 34 (a) hereof shall be that date. (2) Federal Certificate. Except as provided otherwise by rules or regulations of the State Revenue Commissioner, if an employee has filed with his employer an exemption certificate as required for Federal withholding tax purposes, an employer may give effect to the exemption

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status and exemptions claimed thereon provided such Federal exemption certificate contains sufficient information to enable such employer to give effect to the withholding exemptions allowable under this section. (3) Change of Status. Whenever, during a calendar year, the withholding exemptions status of an employee, or the number of dependency exemptions to which he is entitled, shall change, or if he may reasonably expect a change before the end of the calendar year, so that he may be entitled to different withholding exemptions than that shown on the exemption certificate in effect for such employee he shall, within 10 days of the change, or, on or before December 20th, for the next calendar year, file with his employer a new certificate indicating the change. In no event shall the withholding exemption status or the number of dependency exemptions claimed on a certificate exceed that to which the employee is entitled. (4) When Certificate Takes Effect. (a) First Certificate Furnished. A withholding exemption certificate furnished the employer in cases in which no previous such certificate is in effect shall take effect as of the beginning of the first payroll period ending, or the first payment of wages made without regard to a payroll period, on or after the date on which such certificate is so furnished. (b) Furnished to Take Place of Existing Certificate. A withholding exemption certificate furnished the employer in any case in which a previous certificate is in effect shall take effect with respect to the first payment of wages made on or after the first status determination date which occurs at least 30 days from the date on which such certificate is so furnished. However, at the election of the employer, such certificate may be made effective with respect to any payment of wages made on or after the date on which such certificate is so furnished. For purposes of this subparagraph the term status determination date means January 1 and July 1 of each year.

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(5) Period and Effect of Certificate. A withholding exemption certificate which takes effect under this subsection shall continue in effect with respect to the employer until another such certificate takes effect under this subsection, and is, at the time of the receipt of any wages, a present representation of fact subject to the criminal penalties of section 31 (d) hereof. (6) Form and Contents of Certificate. Withholding exemption certificates shall be in such form and contain such information as the Commissioner may by regulations prescribe. Section 5. Quarterly Returns and Payments of Tax. (a) Quarterly Returns. Every employer required to deduct and withhold any tax under this Act and every person who deducts and withholds any amount from any wage payments under the authority of this Act shall make a calendar quarterly return to the Commissioner on a form prescribed by him and shall pay therewith the tax required to be paid under this Act for such calendar quarter, or the amount withheld from employees' wages during such calendar quarter under the authority of this Act. Such quarterly return and the payment of the required tax shall be due not later than the last day of the month following the close of the calendar quarter. (b) Jeopardy Returns. If the Commissioner, in any case, has reason to believe that the collection of the tax required to be paid under this Act is in jeopardy for any reason, he may require the employer to make a return and pay the required tax at any time. Section 6. Quarterly Adjustments. (a) In General. If, for any reason during any quarter of the calendar year, more or less than the correct amount of the tax is withheld, or more or less than the correct amount of the tax is paid to the Commissioner, proper adjustment, without interest, may be made in any subsequent quarter of the same calendar year. No adjustment,

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however, under the provisions of this section shall be made in respect of an underpayment for any quarter after receipt from the Commissioner of notice and demand for payment thereof based upon an assessment, but the amount shall be paid in accordance with such notice and demand; nor shall any adjustment under the provisions of this section be made in respect of an erroneous or over-payment for any quarter after the filing of a claim for refund thereof. (b) Less Than Correct Amount of Tax Withheld. (1) If none, or less than the correct amount, of the tax is deducted from any wage payment and the error is ascertained prior to the making of the quarterly return for the quarter in which such wages are paid, the employer shall nevertheless report on such return and pay to the Commissioner the correct amount of the tax required to be withheld. If the error is not ascertained until after the making of the quarterly return for the quarter in which such wages are paid, the under-collection may be corrected by an adjustment on the return for any subsequent quarter of the same calendar year, subject, however, to the limitations noted in subsection (a). The amount of any under-collection adjusted in accordance with this paragraph shall be paid to the Commissioner, without interest at the time prescribed for payment of the tax for the quarter in which such adjustment is made. (2) If none, or less than the correct amount, of the tax is withheld from any wage payment, the employer may correct the error by deducting the amount of the under-collection from remuneration of the employee, if any, under his control after he ascertains the error. Such deduction may be made even though the remuneration, for any reason, does not constitute wages. (c) More Than Correct Amount of Tax Withheld. (1) If, in any quarter, more than the correct amount of tax is deducted from any wage payment, the overcollection may be repaid to the employee in any quarter of

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the same calendar year. If the amount of the over-collection is repaid, the employer shall obtain and keep as part of his records the endorsed cancelled check or written receipt of the employee showing the date and amount of the repayment. (2) If any overcollection in any quarter is repaid and receipted for by the employee prior to the time the quarterly return for such quarter is filed with the Commissioner, the amount of such overcollection shall not be included in the return for such quarter. (3) Subject to the limitations provided in subsection (a), if an overcollection in any quarter is repaid and receipted for by the employee after the time for the quarterly return for such quarter is filed and the tax is paid to the Commissioner, the overcollection may be corrected by an adjustment on the return for any subsequent quarter of the same calendar year. (4) Every overcollection not repaid and receipted for by the employee as provided in this subsection must be reported and paid to the Commissioner with the quarterly return for the quarter in which the overcollection is made. Section 7. Receipts for Employees. (a) Requirement. Every person required to deduct and withhold from an employee a tax under this Act, or who would have been required to deduct and withhold a tax under this Act if the employee had claimed no more than a single exemption status, shall furnish, in duplicate, to each such employee in respect of the remuneration paid by such person to such employee during the calendar year, on or before January 31 of the succeeding year, or, if his employment is terminated before the close of such calendar year, on or before the thirtieth day after the day on which the last payment of remuneration is made, a written receipt, in the form prescribed by the Commissioner, showing the name and address of such person, the name and address of the employee, the total amount of wages paid such employee during said period, and the

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total amount deducted and withheld as tax under this Act. Such a receipt shall be furnished at such other times, shall contain such other information, and shall be in such form as the Commissioner by regulation may prescribe. With respect to an employee who is a Georgia resident or domiciliary performing services both within and without this State, the receipt required under this subsection shall include the total wages paid for such services irrespective of subsection 2 (a) (5) (I). (b) Extension of Time. The Commissioner, or his delegate, may grant a reasonable extension of time, not exceeding thirty days, for furnishing the aforesaid receipts. Section 8. Annual and Final Returns. (a) Requirement. On or before January 31, of each year for the preceding calendar year, or on or before the thirtieth day after the date on which the final payment of wages is made by an employer who has ceased to pay wages, an employer shall file with the Commissioner an annual, or a final return, as the case may be, on a form prescribed by him, to which return shall be attached copies of the receipts required to be furnished under section 7 for the period covered thereby. (b) Extension of Time. The Commissioner, or his delegate, may grant a reasonable extension of time, not exceeding thirty days, for filing the aforesaid annual or final return. Section 9. Filing Returns and Making Payments. (a) Place of Filing. Returns and payments required under this Act to be made to the Commissioner shall be filed at the office of the Commissioner, State Office Building, Atlanta, Georgia, unless the Commissioner shall in his forms, instructions or regulations specify some other place. (b) Execution of Returns. Each return shall be signed by the employer required to deduct and withhold the tax

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under this Act and shall contain or be verified by a written declaration that it is made under the penalties of false swearing. The return shall be signed and verified by the employer or by a person having control of the payment of wages for the employer or authorized to make such return for the employer. The fact that a name appears to be signed to a return shall be prima facie evidence that same was actually signed by the person named, and the fact that a person appears to have signed for an employer shall be prima facie evidence that such person is authorized to sign for such employer. (c) Use of Prescribed Forms. The Commissioner shall, so far as possible, furnish employers with copies of the prescribed forms required to be used under this Act regularly and without application therefor. However, an employer will not be excused from making a return, or furnishing a receipt, by the fact that no forms had been furnished to him. Section 10. Return and Payment by Governmental Employer. If the employer is the United States, or a State, Territory, or political subdivision thereof, or any agency or instrumentality of any one or more of the foregoing, the return of the amount deducted and withheld upon any wages may be made by an officer or employee of the United States, or of such State, Territory, or political subdivision, or of such agency or instrumentality, as the case may be, having control of the payment of such wages, or appropriately designated for that purpose. Section 11. Employer's Liability. (a) General. The employer shall be liable for the payment of the tax required to be deducted and withheld under this Act whether or not he has deducted and withheld same as required under this Act. (b) Withheld Tax. The amount of tax deducted and withheld by an employer from an employee's wages under

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this Act shall be held to be a special fund in trust for the State of Georgia and the employer's liability therefor shall be discharged only by payment to the Commissioner. To the extent that such tax is deducted and withheld, such employer shall not be liable to any other person for the amount thereof and is hereby indemnified against the claims and demands of any person for the payment of any amounts made to the Commissioner in accordance with the provisions of this Act. (c) Assessment, Collection, Payment. The liability of an employer under subsection (a) hereof, and the amount of the fund described in subsection (b) hereof, shall be assessed, collected and paid in the same manner and subject to the same provisions and limitations (including penalties) as income taxes, except as hereinafter provided. (d) Amount Due on Face of Return. The filing of any return by an employer in compliance with this Act which shows on its face an amount due shall be operation of law constitute an assessment of the amount shown to be due thereon against the employer filing such return as of the date of its filing. For purposes of this section an entry on a return showing the date of receipt by the Revenue Department shall be prima facie evidence that the return was actually received and filed on the date indicated. If payment is not made with such return, or on or before the due date of such return, whichever is later, then the amount shown due shall thereupon be in default and the Commissioner, or his delegate, is authorized to issue an execution for the collection thereof forthwith. (e) Protest to Proposed Assessment. Protests to any proposed assessment of taxes due under this Act shall be filed within 10 days of the notice of such proposed assessment unless the Commissioner, or his delegate, shall authorize additional time. The filing of a protest, or request for additional time therefor, shall toll the period of limitations for making an assessment until the protest or request is withdrawn by the taxpayer or denied by the Commissioner.

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(f) lien. The lien of the State for taxes due under this Act shall attach to all property of the defaulting employer on the date of the assessment of such taxes by operation of law or by action of the Commissioner and shall be superior to all other liens against such property except the lien of a prior recorded instrument securing a bona fide debt. However, as to subsequent bona fide purchasers or lenders for value of such property the lien of the State shall have superior priority as of the date of the recording of a tax execution against such defaulting employer for the amount in default in the county of his residence, or place of business, provided, however, that before the lien provided for herein shall attach to real estate it shall be recorded in the county where the real estate is located. Section 12. Employer's Records. (a) Records Required. Every employer required to deduct and withhold taxes under this Act shall keep accurate records of all remuneration paid to his employees including that paid in forms other than cash. Such records shall show, with respect to each employee, the employee's name and address, dates worked during each calendar quarter and days for which remuneration is paid or payable, the total amount (including any sum withheld therefrom for any reason) and date of each remuneration payment and the period covered by such payment, the amount of each such payment which constitutes wages, the date and amount of tax withheld or collected with respect to such wage payments, exemption certificates required under section 4 (c) filed by employees, and such other records or information as the Commissioner by regulation may prescribe. (b) Place and Time of Keeping. The records required under this section, and regulations promulgated under this section, shall be made available for inspection by representatives of the Revenue Department at reasonable times and places. Such records shall be preserved and maintained for a period of at least four years after the date the tax to which they relate becomes due, or the

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date the tax is paid, whichever is the later. Records relating to refunds shall be preserved and maintained for a period of at least four years after the date the claim is filed. Section 13. Special Accounting for Withheld Tax. (a) General. Whenever an employer required to deduct and withhold taxes as required under this Act fails, at the time and in the manner prescribed by law or regulation to deduct and withhold, to deduct and withhold, collect, truthfully account for, or pay over to the Commissioner the amount of taxes due as required by this Act, upon being notified thereof by the Commissioner by notice served upon him, personally or by registered or certified mail addressed to his last known address, shall comply with the requirements of special accounting as set forth in subsection (b) hereof. (b) Requirement. Beginning at the time of service of the aforesaid notice upon him, such employer shall deduct and withhold the tax required under this Act and, not later than the second banking day after any amount of such tax is deducted and withheld, shall (1) deposit same in a special and separate account in any state or national bank, designated as a state depository, and keep the amount of such taxes in such account until payment over to the Commissioner or to the Revenue Department, and any such account shall be, and it is hereby designated, as a special fund in trust for the State of Georgia payable only to the Commissioner or Revenue Department; or (2) purchase a postal money order, or other certified or bankable paper, for such amount payable only to the Commissioner or the Revenue Department, the same to be handled and dealt with under such rules and regulations as the Commissioner may prescribe. (c) Relief From Requirements. Whenever the Commissioner is satisfied that the special accounting prescribed

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under subsections (a) and (b) hereof is no longer necessary to effect future compliance with the law and regulations, he may cancel the notice requiring compliance with subsection (b) at such time and under such conditions as he may specify. (d) Criminal Penalty. Any person who fails to comply with a notice of the Commissioner requiring compliance with subsection (b) hereof shall, in addition to any other penalties provided by law, be guilty of a misdemeanor, unless such person shall show that there was reasonable doubt as to whether the law required collection of the tax or as to who was required by law to collect the tax, or shall show that the failure to comply was due to circumstances beyond his control; a lack of funds existing immediately after the payment of wages (whether or not created by the payment of such wages) shall not be considered to be circumstances beyond the control of a person. Section 14. Tax Paid by Employee. If an employer, in violation of the provisions of this Act, fails to deduct and withhold the required tax, and thereafter the income tax liability of the employee under Code section 92-3101 against which the amount, if withheld, would have been a credit is paid by such employee, the tax required to be deducted and withheld shall not be collected from the employer; but this shall in no case relieve the employer from liability for any penalties or additions to the tax otherwise applicable in respect to such failure. Section 15. Employee Refunds and Credits. (a) Credit. Income on which any tax is required to be withheld by an employer under this Act shall be included in the income tax return of the employee, but the amount of tax deducted or withheld during any calendar year shall be allowed as a credit to such employee against his income tax liability under Code section 92-3101 for the taxable year beginning in such calendar year.

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(b) Underpayment. To the extent that the aforesaid credit, together with other credits allowed by law, is less than the amount of the employee's income tax liability for said taxable year, the amount of such underpayment shall be paid on or before the date prescribed by law for filing individual income tax returns for said taxable year and shall be delinquent and past due after said date. (c) Overpayment. To the extent that the aforesaid credit, together with other credits allowed by law, is in excess of the employee's income tax liability for said taxable year, as shown on an income tax return filed by such employee for that year, such overpayment shall be considered as taxes erroneously paid to be credited or refunded as herein provided. Such overpayment shall be credited to such person's estimated or income tax liability for the succeeding taxable year unless such person shall claim a refund therefor; however, the Commissioner is authorized to consider any final return showing an overpayment as per se a claim for refund. An overpayment shall bear no interest if credit is given therefor; amounts refunded as overpayments shall bear interest at the rate of 6% per annum but only after ninety days from the filing date of the final return showing the overpayment, or from the due date of such final return, whichever is later. (d) Evidence of Credit. No refund or credit shall be allowed unless the employee attaches to and files with his final income tax return a copy of the employer's receipt for the amount of tax deducted and withheld from his wages for that taxable year as provided for in section 7. Except that if such employee submits satisfactory proof that his employer deducted and withheld taxes from his wages and that his employer failed or refused to furnish him with the prescribed receipt, such proof may be taken to establish a credit or refund under this section. (e) Income Tax Liability Unaffected by Failure to Withhold. The income tax liability of an employee shall in no wise be affected by the failure of his employer to withhold the tax required under this Act.

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Section 16. Employer Refunds and Credits. (a) In General. If more than the correct amount of tax, penalty or interest is paid to the Commissioner by an employer he may file a claim for refund of such overpayment or may take credit for the overpayment against the tax reported on any quarterly return which he subsequently files. However, refund or credit of the overpayment shall be made only to the extent that the amount of the overpayment exceeds the tax actually withheld, and penalty and interest thereon. If more than the correct amount of tax, penalty or interest is assessed but not paid to the Commissioner, the employer against whom such assessment is made may file a claim for abatement of such overassessment. (b) Refund Procedure. Claims for refund under this section shall be governed by the general law relating to the refund of taxes erroneously or illegally collected by the State. Section 17. Acts to be Performed by Agents. In case a fiduciary, agent, or other person has the control, receipt, custody, or disposal of, or pays the wages of an employee or group of employees, employed by one or more employers, the Commissioner, under regulations prescribed by him, is authorized to designate such fiduciary, agent, or other person to perform such acts as are required of employers under this Act and as the Commissioner may specify. Except as may be otherwise prescribed, all provisions of law (including penalties) applicable in respect of an employer shall be applicable to a fiduciary, agent, or other person so designated but, except as so provided, the employer for whom such fiduciary, agent, or other person acts shall remain subject to the provisions of law (including penalties) applicable in respect of employers. Section 18. Declaration of Estimated Income Tax by Individuals.

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(a) Requirement of Declaration. Every resident individual and every taxable non-resident individual, as defined under the income tax laws of this State, shall make a declaration of his estimated tax for the current taxable year if his gross income can reasonably be expected (1) To include more than $1,000.00 from sources other than wages as defined in section 2 (a) (5) hereof, and (2) to exceed $1,500.00 if single, or if married and not living with spouse, or if married and expects to claim only $1,500.00 of the marital exemption, or to exceed $3,000.00 if married and living with spouse and expects to claim the full marital exemption. (b) Estimated Tax. For purposes of this Act the term estimated tax means the amount which the individual estimates as the amount of income tax imposed by Code section 92-3101, as amended, less the amount which the individual estimates as the sum of credits allowable by law against such tax. (c) Contents of Declaration. The declaration shall contain such pertinent information as the Commissioner may by form or regulations prescribe. (d) Amendment of Declaration. An individual may take amendments of a declaration filed during the taxable year under regulations prescribed by the Commissioner. (e) Return as Declaration or Amendment. If on or before January 31 (or February 15, in the case of an individual referred to in section 21 (b), relating to income from farming) of the succeeding taxable year the taxpayer files a return, for the taxable year for which the declaration is required, and pays in full the amount computed on the return as payable, then, under regulations prescribed by the Commissioner (1) if the declaration is not required to be filed during the taxable year, but is required to be filed on or before January 15, such return shall be considered as such declaration; and

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(2) if the tax shown on the return (reduced by the sum of the allowable credits) is greater than the estimated tax shown in a declaration previously made, or in the last amendment thereof, such return shall be considered as the amendment of the declaration permitted by subsection (d) to be filed on or before January 15. (f) Short Taxable Years. An individual with a taxable year of less than 12 months shall make a declaration in accordance with regulations prescribed by the Commissioner. Section 19. Time for Filing Declarations. (a) General. Declarations of estimated tax required by section 18 from individuals not regarded as farmers shall be filed with the Commissioner on or before April 15 of the taxable year, except that if the requirements of section 18 (a) are first met (1) After April 1 and before June 1 of the taxable year, the declaration shall be filed on or before June 15 of the taxable year; or (2) After June 1 and before September 1 of the taxable year, the declaration shall be filed on or before September 15 of the taxable year; or (3) After September 1 of the taxable year, the declaration shall be filed on or before January 15 of the suceeding year. (b) Farmers. Declarations of estimated tax required by section 18 from individuals whose estimated gross income from farming for the taxable year is at least two-thirds of the total estimated gross income from all sources for the taxable year may, in lieu of the time prescribed in subsection (a), be filed at any time on or before January 15 of the succeeding taxable year. (c) Amendment. An amendment of a declaration may be filed in any interval between installment payment dates prescribed for that taxable year.

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(d) Extension of Time. The Commissioner, or his delegate, may grant a reasonable extension of time, not to exceed 30 days, for filing the aforesaid declaration. (e) Short Taxable Years. The application of this section to taxable years of less than 12 months shall be in accordance with regulations prescribed by the Commissioner. (f) Fiscal Years. In the application of this section to the case of a taxable year beginning on any date other than January 1, there shall be substituted, for the months specified in this section, the months which correspond thereto. Section 20. Instalment Payments of Estimated Tax. (a) General. The amount of estimated tax as defined in section 18 (b) with respect to which a declaration is required under section 19 shall be paid as follows: (1) If the declaration is filed on or before April 15 of the taxable year, the estimated tax shall be paid in four equal instalments. The first instalment shall be paid at the time of the filing of the declaration, the second and third on June 15 and September 15, respectively, of the taxable year, and the fourth on January 15 of the succeeding taxable year. (2) If the declaration is filed after April 15 and not after June 15 of the taxable year, and is not required by section 19 (a) to be filed on or before April 15 of the taxable year, the estimated tax shall be paid in three equal instalments. The first instalment shall be paid at the time of the filing of the declaration, the second on September 15 of the taxable year, and the third on January 15 of the succeeding taxable year. (3) If the declaration is filed after June 15 and not after September 15 of the taxable year and is not required by section 19 (a) to be filed on or before June 15 of the taxable year, the estimated tax shall be paid in two

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equal instalments. The first instalment shall be paid at the time of the filing of the declaration, and the second on January 15 of the succeeding taxable year. (4) If the declaration is filed after September 15 of the taxable year, and is not required by section 19 (a) to be filed on or before September 15 of the taxable year, the estimated tax shall be paid in full at the time of the filing of the declaration. (5) If the declaration is filed after the time prescribed in section 19 (a) (including cases in which an extension of time for filing the declaration has been granted), paragraphs (2), (3), and (4) of this subsection shall not apply, and there shall be paid at the time of such filing all instalments of estimated tax which would have been payable on or before such time if the declaration had been filed within the time prescribed in section 19 (a), and the remaining instalments shall be paid at the times at which, and in the amounts in which, they would have been payable if the declaration had been so filed. (b) Farmers. If an individual referred to in section 19 (b) (relating to income from farming) makes a declaration of estimated tax after September 15 of the taxable year and on or before January 15 of the succeeding taxable year, the estimated tax shall be paid in full at the time of the filing of the declaration. (c) Amendments of Declaration. If any amendment of a declaration is filed, the remaining instalments, if any, shall be ratably increased or decreased, as the case may be, to reflect the increase or decrease, as the case may be, in the estimated tax by reason of such amendment, and if any amendment is made after September 15 of the taxable year, any increase in the estimated tax by reason thereof shall be paid at the time of making such amendment. (d) Application to Short Taxable Years. The application of this section to taxable years of less than 12 months shall be in accordance with regulations prescribed by the Commissioner.

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(e) Fiscal Years. In the application of this section to the case of a taxable year beginning on any date other than January 1, there shall be substituted, for the months specified in this section, the months which correspond thereto. (f) Instalments Paid in Advance. At the election of the individual, any instalment of the estimated tax may be paid prior to the date prescribed for its payment. Section 21. Payments of Estimated Income Tax. Payment of the estimated income tax, or any instalment thereof, shall be considered payment on account of the income tax imposed by Code section 92-3101 for the taxable year. Section 22. Failure by Individual to Pay Estimated Income Tax. (a) Addition to the Tax. In the case of any underpayment of estimated tax by an individual, except as provided in subsection (d), there shall be added to the income tax under Code section 92-3101 for the taxable year an amount determined at the rate of 6 percent per annum upon the amount of the underpayment (determined under subsection (b)) for the period of the underpayment (determined under subsection (c)). (b) Amount of Underpayment. For purposes of subsection (a), the amount of the underpayment shall be excess of (1) The amount of the instalment which would be required to be paid if the estimated tax were equal to 70 percent (66[prime] percent in the case of individuals referred to in section 19 (b), relating to income from farming) of the tax shown on the return for the taxable year or, if no return was filed, 70 percent (66[prime] percent in the case of individuals referred to in section 19 (b), relating to income from farming) of the tax for such year, over.

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(2) The amount, if any, of the instalment paid on or before the last date prescribed for such payment. (c) Period of Underpayment. The period of underpayment shall run from the date the instalment was required to be paid to whichever of the following dates is the earlier (1) The 15th day of the fourth month following the close of the taxable year. (2) With respect to any portion of the underpayment, the date on which such portion is paid. For purpose of this paragraph, a payment of estimated tax on any instalment date shall be considered a payment of any previous underpayment only to the extent such payment exceeds the amount of the instalment determined under subsection (b) (1) for such instalment date. (d) Exception. Notwithstanding the provisions of the preceding subsections, the addition to the tax with respect to any underpayment of any instalment shall not be imposed if the total amount of all payments of estimated tax made on or before the last date prescribed for the payment of such instalment equals or exceeds whichever of the following is the lesser (1) The amount which would have been required to be paid on or before such date if the estimated tax were whichever of the following is the least (a) The tax shown on the return of the individual for the preceding taxable year, if a return showing a liability for tax was filed by the individual for the preceding taxable year and such preceding year was a taxable year of 12 months, or (b) An amount equal to the tax computed, at the rates applicable to the taxable year, on the basis of the taxpayer's status with respect to personal exemptions under Code section 92-3106 for the taxable year, but otherwise

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on the basis of the facts shown on his return for, and the law applicable to, the preceding taxable year, or (c) An amount equal to 70 percent (66[prime] percent in the case of individuals referred to in section 19 (b), relating to income from farming) of the tax for the taxable year computed by placing on an annualized basis the taxable income for the months in the taxable year ending before the month in which the instalment is required to be paid. For purposes of this subparagraph, the taxable income shall be placed on an annualized basis by (i) Multiplying by 12 (or, in the case of a taxable year of less than 12 months, the number of months in the taxable year) the taxable income (computed without deduction of personal exemptions) for the months in the taxable year ending before the month in which the instalment is required to be paid, (ii) dividing the resulting amount by the number of months in the taxable year ending before the month in which such instalment date falls, and (iii) deducting from such amount the deductions for personal exemptions allowable for the taxable year (such personal exemptions being determined as of the last date prescribed for payment of the instalment), or (2) An amount equal to 90 percent of the tax computed, at the rates applicable to the taxable year, on the basis of the actual taxable income for the months in the taxable year ending before the month in which the instalment is required to be paid. (e) Application of Section in Case of Tax Withheld on Wages. For purposes of applying this section (1) The estimated tax shall be computed without any reduction for the amount which the individual estimates as his credit under section 15 (a) (relating to tax withheld at source on wages), and

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(2) The amount of the credit allowed under section 15 (a) for the taxable year shall be deemed a payment of estimated tax, and an equal part of such amount shall be deemed paid on each instalment date (determined under section 20) for such taxable year, unless the taxpayer establishes the dates on which all amounts were actually withheld, in which case the amounts so withheld shall be deemed payments of estimated tax on the dates on which such amounts were actually withheld. (f) Tax Computed After Application of Credits Against Tax. For purposes of subsections (b) and (d), the term tax means the tax imposed by Code section 92-3101 reduced by the credits against tax allowed by law, other than the credit against tax provided by section 15 (a) (relating to tax withheld on wages). (g) Short Taxable Year. The application of this section to taxable years of less than 12 months shall be in accordance with regulations prescribed by the Commissioner or his delegate. Section 23. Refunds and Credits of Estimated Tax. (a) Credit Against Income Tax. The amount of estimated tax paid under this Act during any calendar year shall be allowed as a credit to the taxpayer against his income tax liability under Code section 92-3101 for the taxable year beginning in such calendar year. (b) Underpayment. To the extent that the aforesaid credit, together with other credits allowed by law, is less than the amount of the taxpayer's income tax liability for said taxable year, the amount of such underpayment shall be paid on or before the date prescribed by law for filing individual income tax returns for said taxable year and shall be delinquent and past due after said date. (c) Overpayment. To the extent that the aforesaid credit, together with other credits allowed by law, is in excess of the taxpayer's income tax liability for said taxable year, as shown on an income tax return filed by such

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taxpayer for that year, such overpayment shall be considered as taxes erroneously paid to be credited or refunded as herein provided. Such overpayment shall be credited to the taxpayer's estimated or income tax liability for the succeeding taxable year unless such taxpayer shall claim a refund therefor; however, the Commissioner is authorized to consider any final return showing an overpayment as per se a claim for refund. An overpayment shall bear no interest if credit is given therefor; amounts refunded as overpayments shall bear interest at the rate of 6% per annum but only after ninety days from the filing date of the final return showing the overpayment, or from the due date of such final return whichever is the later. Section 24. Fractional Parts of a Dollar. The Commissioner is authorized in the allowance of any amount as a credit or refund, or in the assessment or collection of any amount as a deficiency or underpayment to disregard a fractional part of a dollar. Section 25. Regulations, Instructions, Forms. (a) General. The Commissioner shall have authority to prescribe such rules, regulations, instructions, and forms, consistent with this Act, as he deems necessary for its proper administration and enforcement, including the authority to apply regulations prospectively only. He is also authorized to adopt or adapt Federal regulations where there is similar statutory authority. (b) Forms. The Commissioner may by regulation authorize the use, or adaption, of Federal, or Federal-type forms for purposes of the forms required under this Act, and he may, on application therefor, authorize any other type of unofficial form which he deems to set forth the required information or data. Section 26. Use of State Depositories. The Commissioner may authorize duly designated depositories

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of State funds to receive any tax imposed under this Act in such manner, at such times, and under such conditions as he may prescribe; and he shall prescribe the manner, times, and conditions under which the receipt of such tax by such depositories is to be treated as payment of such tax. Section 27. Payment to State Treasury. All amounts collected or received by the Commissioner, or by the Revenue Department, or by any unit, or officer, or employee thereof, under this Act shall be paid over to the State Treasury. Section 28. Nondeductibility of Tax for Income Tax Purposes. The tax deducted and withheld under this Act shall not be allowed as a deduction either to the employer or to the employee in computing taxable income for income tax purposes, nor shall any payment of estimated tax be allowed as a deduction in computing taxable income for income tax purposes. Section 29. Reciprocity. In the administration and enforcement of this Act with respect to a taxpayer or taxpayers whose income may be subject to the current income tax payment laws of two or more taxing jurisdictions including this State, the Commissioner is authorized to make reciprocal arrangements with the taxing authorities of such other jurisdictions for the relief of such taxpayer or taxpayers from the multiple burden imposed by the operation of several current income tax payment laws. Section 30. Assessable Penalties, Additions to Tax. (a) Assessable as Tax. The liabilities hereinafter prescribed shall be paid upon notice and demand by the Commissioner or his delegate, and shall be assessed and collected in the same manner as income taxes. Except as

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otherwise provided any reference to tax imposed under this Act shall be deemed also to refer to the liabilities herein prescribed. The term person as used in this section includes an officer or employee of a corporation, or a member or employee of a partnership, who as such officer, employee or member, is under a duty to perform the act in respect to which the violation occurs. (b) Failure to Withhold Tax. Any person required to deduct and withhold the tax required by section 3 who, with respect to each wage payment to each employee, fails to deduct and withhold the required tax, unless it is shown that such failure is due to reasonable cause and not to willful neglect, shall pay a penalty of $10; such penalty, however, shall not exceed $10 quarterly for each employee with respect to whose wages such failure occurred. (c) Failure to File Employer Return or Pay Tax. If an employer fails to file, within the prescribed time, a return required under this Act, or to pay, when due, the tax required under this Act, or both, unless it is shown that such failure is due to reasonable cause and not to willful neglect, there shall be added to the amount required to be shown as tax on such return 5 per cent of the amount of such tax if the failure is for not more than one month, with an additional 5% for each additional month or fraction thereof during which such failure continues, not exceeding 25% in the aggregate, but in no case shall the amount so added be less than $5.00; or, in the case of failure to file a return where no tax is due, there shall be collected a penalty of $5.00. If any check or money order in payment of any amount is not paid when duly presented for payment, it shall constitute a failure to pay under this subsection. (d) Fraudulent Withholding Receipt. Any person required to furnish an employee with a withholding receipt required by section 7, who willfully furnishes a false or fraudulent receipt, shall for each such receipt be subject to a penalty of $50.00.

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(e) Interest. If the tax imposed by this Act on employers is not paid on the date prescribed for payment in section 5, and is not adjusted as authorized in section 6, interest on the unpaid amount at the rate of 6 per cent per annum shall be paid for the period from the due date thereof (irrespective of any extension of time for payment) until the date of payment, the same to be assessed and collected as part of the tax. Section 31. Criminal Penalties. (a) Willful Failure to Withhold Tax. Any person, required to deduct and withhold the tax required by section 3, who, in making payments of wages for any payroll period, willfully fails to deduct and withhold the required tax from the wages paid to any employee, shall, in addition to other penalties provided by law, be guilty of a misdemeanor for each such payroll period. (b) Willful Failure to Pay over Withheld Tax. Any person who had deducted and withheld any amount from an employee's wage as a tax required under section 3, who willfully fails, within the prescribed time, to pay such amount over to the State Revenue Commissioner as required under section 6, shall, in addition to other penalties provided by law, be guilty of a misdemeanor. For purposes of this subsection, a lack of funds existing immediately after the payment of wages (whether or not created by the payment of such wages) shall not negate willfulness. (c) Willful Failure to File Return or Declaration. Any person required under this Act, or regulations pursuant thereto, to file any return of any tax, or any declaration of estimated tax, or to keep any records, who willfully fails to file such return, or declaration, or to keep such records, at the time or times required by law or regulations shall, in addition to other penalties provided by law, be guilty of a misdemeanor for each such failure. (d) False Exemption Certificate or Failure to Supply Information. Any individual required to supply information

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to his employer under section 4 of this Act who willfully supplies false or fraudulent information, or who willfully fails to supply information thereunder which would require an increase in the tax to be withheld under section 3 of this Act shall, in lieu of any penalty otherwise provided, be guilty of a misdemeanor. (e) False Withholding Receipts or Failure to Furnish Receipts. In lieu of any other penalty provided by law (except the penalty provided in section 30(d) any person required to furnish to an employee the receipt prescribed in section 7 who willfully furnishes a false or fraudulent receipt or who willfully fails to furnish such receipt at the time, in the manner and showing the information required by law or regulations, shall for each such receipt, or failure, be guilty of a misdemeanor. (f) Attempt to Evade or Defeat Tax. Any person who willfully attempts in any manner to evade or defeat any tax imposed under this Act, or the payment thereof, shall, in addition to the other penalties provided by law, be guilty of a misdemeanor. Section 32. Repeal. All laws and parts of laws in conflict with this Act are repealed. Section 33. Partial Unconstitutionality. If any provision of this Act should be held unconstitutional by a court of competent jurisdiction, it shall not vitiate the remaining provisions, but all such remaining provisions shall be given full force and effect. Section 34. Effective Dates. (a) Withholding. This Act shall be effective with respect to all wages paid by an employer to an employee on and after May 1, 1960, regardless of when earned. (b) Exemption Certificate. The exemption certificate

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required by section 4 shall be furnished by an employee to his employer on or before April 1, 1960. (c) Quarterly Return. The first quarterly return due under section 5 shall be due on or before July 31, 1960. (d) Declaration of Estimated Tax. The first declaration of estimated tax and instalment payment thereon shall be due on or before June 15, 1960, for the taxable year 1960 and the amount of underpayment allowable without penalty for the taxable year 1960 shall be increased proportionately. Approved January 28, 1960. STATE HOSPITAL AUTHORITY ACTAMENDED. No. 436 (House Bill No. 588). An Act to amend an Act known as the State Hospital Authority Act approved February 1, 1939 (Ga. L. 1939, p. 144), as amended and recreated by an Act approved February 6, 1941 (Ga. L. 1941, p. 250), as amended by an Act approved January 30, 1946 (Ga. L. 1946, p. 56), as amended by an Act approved February 1, 1951 (Ga. L. 1951, p. 22), and as amended by an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess. p. 357), so as to eliminate the restriction upon the rate of interest and the restriction on the amount to be utilized for Milledgeville State Hospital of revenue bonds issued by the State Hospital Authority; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the State Hospital Authority Act approved February 1, 1939 (Ga. L. 1939, p. 144), as amended and recreated by an Act approved February 6, 1941 (Ga. L. 1941, p. 250), as amended by an Act approved January 30, 1946 (Ga. L. 1946, p. 56),

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as amended by an Act approved February 1, 1951 (Ga. L. 1951, p. 22), and as amended by an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 357), is amended by striking from section 5 thereof as amended the words not exceeding four and one-quarter per cent per annum; the words but no such sale shall be made at a price so low as to require the payment of interest on the money received therefor at more than four and one-quarter per cent per annum computed with relation to the absolute maturity of the bonds in accordance with standard tables of bond values excluding, however, from such computation the amount of any premium to be paid on redemption of any bond prior to maturity; and the words Provided that eight million dollars shall be utilized for additional buildings at the Milledgeville State Hospital so that said section as amended hereby shall read as follows: Section 5. Revenue bonds. The authority, or the authority created under the Act of the General Assembly of 1941, approved February 6th, 1941, appearing on pp. 250-253 inclusive, of the Acts of 1941, or any authority which has or which may in the future succeed to the powers, duties and liabilities vested in the authority created in the Act here sought to be amended shall have power and is hereby authorized at one time, or from time to time, to provide by resolution for the issuance of negotiable revenue bonds in addition to those which have already been issued by said authority, in a sum not to exceed the total sum of twenty million dollars, of the authority for the purpose of paying all or any part of the cost as herein defined of any one or more projects under or for any department or agency of the State of Georgia. The principal and interest of such revenue bonds shall be payable solely from the special fund herein provided for such payment. The bonds of each issue shall be dated, shall bear interest at such rate or rates payable semi-annually, shall mature at such time or times not exceeding thirty years from their date or dates, shall be payable in such medium of payment as to both principal and interest as may be determined by the authority and may be made redeemable before maturity, at the option of the authority,

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at such price or prices and under such terms and conditions as may be fixed by the authority in the resolution providing for the issuance of the bonds. The authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and shall fix the denomination or denominations of the bonds and the place or places of payment of principal and interest thereof, which may be at any bank or trust company within or without the State. In case any officer whose signature shall appear on any bonds or whose facsimile signature shall appear on any coupon shall cease to be such officer before the delivery of such bonds, such signature shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office until such delivery. All such bonds shall be signed by the chairman of the authority and the official seal of the authority shall be affixed thereto and attested by the secretary-treasurer of the authority and any coupons attached thereto shall bear the facsimile signature of the chairman of the authority. Any coupon may bear the facsimile signature of such person and any bond may be signed, sealed and attested on behalf of the authority by such persons as at the actual time of the execution of such bonds shall be duly authorized or hold the proper office, although at the date of such bonds such persons may not have been so authorized or shall not have held such office. All revenue bonds issued under the provisions of this Act shall have and are hereby declared to have all the qualities and incidents of negotiable instruments under the negotiable instruments law of the State. Such bonds and the income thereof shall be exempt from all taxation within the State. The bonds may be issued in coupon or in registered form, or both, as the authority may determine, and provision may be made for the registration of any coupon bond as to principal alone and also as to both principal and interest. The authority may sell such bonds in such manner and for such price as it may determine to be for the best interests of the authority. The proceeds of such bonds shall be used solely for the payment of the cost of the project or projects, and shall be disbursed upon requisition or order of the chairman of the authority under such

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restrictions, if any, as the resolution authorizing the issuance of the bonds or the trust indenture hereinafter mentioned may provide. If the proceeds of such bonds, by error of calculation or otherwise, shall be less than the cost of the project or projects, unless otherwise provided in the resolution authorizing the issuance of the bonds or in the trust indenture, additional bonds may in like manner be issued to provide the amount of such deficit, which unless otherwise provided in the resolution authorizing the issuance of the bonds or in the trust indenture, shall be deemed to be of the same issue and shall be entitled to payment from the same fund without preference or priority of the bonds first issued for the same purpose. If the proceeds of the bonds of any issue shall exceed (the amount required for the purpose for which such bonds are issued), the surplus shall be paid into the fund hereinafter provided for the payment of principal and interest of such bonds. Prior to the preparation of definitive bonds, the authority may, under like restrictions issue interim receipts, interim certificates or temporary bonds, with or without coupons exchangeable for definitive bonds upon the issuance of the latter. The authority may also provide for the replacement of any bond which shall become mutilated or be destroyed or lost. Such revenue bonds may be issued without any other proceedings or the happenings of any other conditions or things than those proceedings, conditions and things which are specified or required by this Act. In the discretion of the authority, revenue bonds of a single issue may be issued for the purpose of paying the cost of any one or more projects at any one institution. Any resolution providing for the issuance of revenue bonds under the provisions of this Act shall become effective immediately upon its passage and need not be published or posted, and any such resolution may be passed at any regular or special or adjourned meeting of the authority by a majority of its members. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved January 28, 1960.

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BRUNSWICK JUDICIAL CIRCUITCOMPENSATION OF JUDGE. No. 437 (House Bill No. 609). An Act to further supplement the salary of the Judge of the Superior Courts of the Brunswick Judicial Circuit by an additional sum of twenty-four hundred ($2400.00) dollars per annum, so as to make the same equal to the supplement presently enjoyed by the Judge of the Superior Courts of the Waycross Judicial Circuit, to apportion the amount thereof among the several counties of the circuit; and for other purposes. Section 1. The several counties of the Brunswick Judicial Circuit are hereby authorized and directed to further supplement the salary of the Judge of the Superior Courts of such circuit by an additional sum of twenty-four hundred dollars ($2400.00) per annum, to be paid monthly. Section 2. The said supplement shall be apportioned among the counties composing such circuit so that the monthly payments by each county to such judge shall be as follows: Jeff Davis County $ 12.10 Appling County 31.44 Wayne County 36.70 Glynn County 105.52 Camden County 14.24 Section 3. This supplement shall be in addition to the supplement to the salary of said judge provided for in an Act of the General Assembly, approved March 6, 1945 (Ga. L. 1945, p. 890). Section 4. This act shall become effective on the first day of the next month after its approval. Section 5. There is attached hereto and made a part of this bill certificates from the publishers of the newspapers,

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in which sheriff's advertisements appear, in the counties of Appling, Jeff Davis, Glynn, Wayne and Camden, showing that notice of intention to seek this legislation has been published as required by the Constitution. Section 6. All laws and parts of laws in conflict herewith are hereby repealed. State of Georgia, County of Camden. I, Howard H. Davis, the publisher of the Southeast Georgian, a newspaper in Camden County, Georgia in which sheriff's advertisements are published, hereby certify that the notice of intention to seek local legislation hereto attached was published in the said Southeast Georgian once a week for three (3) weeks, the said advertisement appearing in its issues of December 17, 1959, December 24, 1959, and December 31, 1959. This January 1, 1960. Howard H. Davis, Publisher, Southeast Georgian. Notice of Intention to Seek Local Legislation. Notice is hereby given that application will be made to the General Assembly of Georgia at the session which convenes January 11, 1960, for the passage of a bill to further supplement the salary of the judge of the superior courts of the Brunswick Judicial Circuit by the sum of twenty-four-hundred dollars ($2400.00) per annum, so as to make the same equal to the supplement presently enjoyed by the judge of the superior courts of the Waycross Judicial Circuit; to apportion the amount thereof among the several counties of the circuit; and for other purposes. This December 11, 1959. Charles L. Gowen, Representative Glynn County and Chairman of the Judiciary Committee of the House of Representatives.

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State of Georgia, County of Wayne. I, W. B. Rhoden, publisher of the Jesup Sentinel, a newspaper in Wayne County, Georgia in which sheriff's advertisements are published, hereby certify that the notice of intention to seek local legislation hereto attached was published in the said Jesup Sentinel once a week for three (3) weeks, the said advertisement appearing in its issues of December 17, 1959, December 24, 1959, and December 31, 1959. This January 1, 1960. W. B. Rhoden, Publisher, Jesup Sentinel. Notice of Intention to Seek Local Legislation. Notice is hereby given that application will be made to the General Assembly of Georgia at the session which convenes January 11, 1960, for the passage of a bill to further supplement the salary of the judge of the superior courts of the Brunswick Judicial Circuit by the sum of twenty-four hundred dollars ($2400.00) per annum, so as to make the same equal to the supplement presently enjoyed by the judge of the superior courts of the Waycross Judicial Circuit; to apportion the amount thereof among the several counties of the circuit; and for other purposes. This December 11, 1959. Charles L. Gowen, Representative of Glynn County and Chairman of the Judiciary Committee of the House of Representatives. State of Georgia, County of Glynn. I, C. H. Leavy, Jr., publisher of The Brunswick News, a newspaper in Glynn County, Georgia, in which Sheriff's advertisements are published, hereby certify that the

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notice of intention to seek local legislation hereto attached was published in the said Brunswick News once a week for three weeks, the said advertisement appearing in its issues of December 14, 1959, December 21, 1959, December 28, 1959. This January 5th, 1960. C. H. Leavy, Jr., Publisher, Brunswick News. Notice of Intention to Seek Local Legislation. Notice is hereby given that application will be made to the General Assembly of Georgia at the session which convenes January 11, 1960, for the passage of a bill to further supplement the salary of the judge of the superior courts of the Brunswick Judicial Circuit by the sum of twenty-four hundred dollars ($2400.00) per annum, so as to make the same equal to the supplement presently enjoyed by the judge of the superior courts of the Waycross Judicial Circuit; to apportion the amount thereof among the several counties of the circuit; and for other purposes. This December 11, 1959. Charles L. Gowen, Representative Glynn County and Chairman of the Judiciary Committee of the House of Representatives. State of Georgia, County of Jeff Davis. I, J. E. Baynard, the publisher of the Jeff Davis County Ledger, a newspaper in Jeff Davis County, Georgia in which sheriff's advertisements are published, hereby certify that the notice of intention to seek local legislation hereto attached was published in the said Jeff Davis County Ledger once a week for three (3) weeks, the said

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advertisement appearing in its issues of December 17, 1959, December 24, 1959, and December 31, 1959. This January 2, 1960. J. E. Baynard, Publisher, Jeff Davis County Ledger. Notice of Intention to Seek Local Legislation. Notice is hereby given that application will be made to the General Assembly of Georgia at the session which convenes January 11, 1960, for the passage of a bill to further supplement the salary of the judge of the superior courts of the Brunswick Judicial Circuit by the sum of twenty-four hundred dollars ($2400.00) per annum, so as to make the same equal to the supplement presently enjoyed by the judge of the superior courts of the Waycross Judicial Circuit; to apportion the amount thereof among the several counties of the circuit; and for other purposes. This December 11, 1959. Charles L. Gowen, Representative Glynn County and Chairman of the Judiciary Committee of the House of Representatives. State of Georgia, County of Appling. I, Albert S. Jenkins, publisher of the Baxley News-Banner, the newspaper in Appling County, Georgia in which sheriff's advertisements are published, hereby certify that the notice of intention to seek local legislation hereto attached was published in the said Baxley News-Banner once a week for three (3) weeks, the said advertisement appearing in its issues of December 17, 1959, December 24, 1959, and December 31, 1959. This January 1, 1960. Albert S. Jenkins, Publisher, Baxley News-Banner.

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Notice of Intention to Seek Local Legislation. Notice is hereby given that application will be made to the General Assembly of Georgia at the session which convenes January 11, 1960, for the passage of a bill to further supplement the salary of the judge of the superior courts of the Brunswick Judicial Circuit by the sum of Twenty-four hundred dollars ($2,400.00) per annum, so as to make the same equal to the supplement presently enjoyed by the judge of the superior courts of the Waycross Judicial Circuit; to apportion the amount thereof among the several counties of the circuit; and for other purposes. This December 11, 1959. Charles L. Gowen, Representative Glynn County and Chairman of the Judiciary Committee of the House of Representatives. Approved January 28, 1960. GEORGIA PUBLIC SERVICE COMMISSIONSALARIES OF MEMBERS AND CHAIRMAN. Code 93-208 Amended. No. 438 (Senate Bill No. 133). An Act to amend Code section 93-208 pertaining to the salaries of the members of the Georgia Public Service Commission and Acts amendatory thereof so as to provide for a salary of $16,000 per annum; to repeal conflicting laws and for other purposes. Now, therefore, be it enacted by the General Assembly of Georgia:

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Section 1. Code section 93-208 pertaining to the salaries of the members of the Public Service Commission of Georgia and Acts amendatory thereof is amended so as to provide for a salary of $16,000 per annum so that said section, as amended hereby, shall read as follows: Section 93-208. Salaries. The salary of each commissioner, including the chairman, shall be $16,000 per annum to be paid from the treasury of the State. Section 2. It is the intention of the General Assembly to remove each member of the Public Service Commission from all of the provisions of the Act that was approved March 12, 1953 that is found in the Georgia Laws, Jan.-Feb. Sess. 1953, pages 613 through 616, inclusive, and to reactivate Code section 93-206, as herein amended, and Code section 93-209 as it pertains to the commissioners. Intent. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 1, 1960. LAND CONVEYANCE TO CITY OF VIDALIA AUTHORIZED. No. 71 (Senate Resolution No. 26). A Resolution. Authorizing the conveyance of the Vidalia State Farmers Market property; and for other purposes. Whereas, the City of Vidalia by deed dated August 11, 1949, conveyed a certain tract of land to the State of Georgia and said deed is recorded in deed book 41, folio 586-7, in the records of the Clerk of the Superior Court of Toombs County; and

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Whereas, there has been established thereon a State Farmers Market which has not been successful, in that the need for such a facility apparently is non-existent; and Whereas, by an agreement entered into the 20th day of August, 1956, the Commissioner of Agriculture leased a partion of said property to Union Bag and Paper Corporation; and Whereas, said agreement is outstanding and any conveyance of such property will be subject to said agreement. Now, therefore, be it resolved by the General Assembly of Georgia that the Governor, acting for and in behalf of the State of Georgia, is hereby authorized to convey the hereinafter described property to the City of Vidalia for a nominal consideration, so as to effectuate a transfer of such property from the State to the City of Vidalia subject to the afore-described agreement. Be it further resolved that the Commissioner of Agriculture is hereby authorized to cause the necessary documents to be executed to assign the interest of the State, in the agreement between the Commissioner of Agriculture and the Union Bag and Paper Corporation, to the City of Vidalia. The description of the property is as follows: All that certain tract or parcel of land situate, lying and being in the 51st district, G.M., of Toombs County, Georgia, and consisting of 18 acres, more or less, and bounded as follows: On the north by the Old Vidalia-Lyons Public Road; on the east by lands of C. C. Somers, the present fence being the dividing line between this property and the other property of C. C. Somers; on the south by the Seaboard Air Line Railway right-of-way; and on the west by lands of Dr. C. D. Williams.

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This being the same property as conveyed to the City of Vidalia by C. C. Somers by deed dated June 24, 1949, said deed being on record, along with a plat of said property, in deed book 41, pages 481-2, in the office of the Clerk of the Superior Court of Toombs County, Georgia, and being the same property conveyed by the City of Vidalia to Tom Linder, Commissioner of Agriculture of the State of Georgia and/or his successors in office by deed dated August 11, 1949 and being recorded in deed book 41, folio 586-7, in the office of the Clerk of the Superior Court of Toombs County, Georgia. Approved February 1, 1960. LOTTERYPUNISHMENT FOR THIRD OR SUBSEQUENT CONVICTION. No. 440 (Senate Bill No. 56). An Act to provide that upon the third or subsequent conviction under the lottery statutes, the maximum imprisonment therefor shall be imposed; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Any person upon his or her third or subsequent conviction under the lottery statutes shall be sentenced to confinement in the county or other jail for a period of at least six months, or imprisonment in some institution under the jurisdiction of the State Board of Corrections for a period of at least six months, or both such confinement and imprisonment, and, in the discretion of the judge, a fine not to exceed $1,000.00. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 2, 1960.

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LEASE PROPOSED BY WESTERN AND ATLANTIC RAILROAD COMMISSION RATIFIED. No. 72 (House Resolution No. 322-682). A Resolution. Ratifying the lease agreement dated the 12th day of January, 1960, entered into between the Western and Atlantic Railroad Commission, acting for and on behalf of the State of Georgia and City Center, Inc., a corporation organized and existing under the laws of the State of Georgia; and for other purposes. Whereas, the State of Georgia owns in fee simple a tract of land lying between the Spring Street Viaduct and the Magnolia Street Viaduct in Atlanta, Fulton County, Georgia; and Whereas, the Western and Atlantic Railroad Commission, acting for the State of Georgia, has made a lease involving said property with the Nashville, Chattanooga and St. Louis Railway, which expires at midnight December 27, 1969; and Whereas, the State desires to have the air rights area, over said property and not needed for railroad purposes, developed so as to produce income to the State and also ownership of improvements erected in such air rights area; and Whereas, to assist in the accomplishment of such development, the State desires to lease said air rights for a term of seventy-five (75) years beginning at the expiration of the Nashville, Chattanooga and St. Louis Railway lease, and Whereas, the Western and Atlantic Railroad Commission, in compliance with all acts of the General Assembly of Georgia, has made the required investigations and determinations and advertised for sixty days for open competitive bids for said lease in the Atlanta

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Constitution, a newspaper with general circulation; and Whereas, City Center, Inc., a Georgia corporation, duly qualified as a bidder and submitted the highest bid, which bid was duly accepted by the Commission; and Whereas, on the 12th day of January, 1960, the Commission, on behalf of the State of Georgia, entered into a lease agreement of said air rights area with City Center, Inc.; said agreement carrying out the exact terms of the bid of that corporation; and Whereas, an Act approved March 17, 1959 (Ga. L. 1959, p. 365), provides that no proposed agreement shall in any way be binding on the State of Georgia, unless and until it has been adopted by act or by a joint resolution by the House of Representatives and Senate of the State of Georgia; and Whereas, the executed copy of said lease agreement is in the possession of the Commission; and Whereas, upon the formal adoption of this resolution and the proper recording thereof, the original of said lease agreement shall be delivered to the State Treasurer, and exact copy thereof shall be delivered to the Governor and the Secretary of State; Now, therefore, be it resolved by the General Assembly of Georgia that the lease agreement dated the 12th day of January, 1960, entered into between the Western and Atlantic Railroad Commission, acting for and on behalf of the State of Georgia, and City Center, Inc., a corporation organized and existing under the laws of the State of Georgia, leasing certain rights in and to a tract of land lying between the Spring Street Viaduct and the Magnolia Street Viaduct in Atlanta, Fulton County, Georgia, be and the same is approved and authorized. Approved February 3, 1960.

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STATE PARKSCABINS FOR PARK PERSONNEL AUTHORIZED. No. 73 (Senate Resolution No. 85). A Resolution. A Resolution to amend a Resolution approved March 9, 1956 (Ga. L. 1956, p. 673) relating to the building of cabins at State Parks by amending the last paragraph of said resolution so as to permit the construction of quarters for the housing of park personnel where necessary. Be it resolved by the General Assembly of Georgia: Section 1. A resolution approved March 9, 1956 (Ga. L. 1956, p. 673) relating to the building of cabins in State parks is hereby amended by adding to the last paragraph of said resolution the words: Provided, however, that the director of the Georgia Department of State Parks may contract for the construction of cabins or cottages upon lands owned by the State of Georgia and under the control and supervision of the Department of State Parks for the use of personnel of the Department of State Parks assigned to that particular State park where constructed. So that the last paragraph of said resolution when amended shall read as follows: Now, therefore, be it resolved by the General Assembly of Georgia that no State funds be expended for the construction of additional cabins or other housing facilities at any State park; provided, however, that the director of the Georgia Department of State Parks may contract for the construction of cabins or cottages upon lands owned by the State of Georgia and under the control and supervision of the Department of State Parks for the use of personnel of the Department of State Parks assigned to that particular State park where constructed.

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Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 3, 1960. MACON JUDICIAL CIRCUITADDITIONAL JUDGE. No. 441 (House Bill No. 684). An Act to add one additional judge of the Superior Court for the Macon Judicial Circuit of Georgia; to provide for his appointment by the Governor and his subsequent election at the General Election of 1960 and for the term of office of said judge and to fix the time at which he shall begin his term of office; to prescribe the powers, duties, jurisdiction, privileges and immunities of said judge; to prescribe the compensation, salary and expense allowance of said judge to be paid by the State of Georgia and the supplementary compensation paid by the counties comprising the Macon Judicial Circuit; to authorize the judges of said court to adopt, promulgate, amend and enforce rules of practice and procedure in said court and to provide for the allocation of the work and duties in transacting the business of said court; to provide for the issuance of writs, processes, orders, subpoenas and other official papers out of said court and the return and trial thereof; to provide for quarters for said additional judge; and for other purposes. Be it enacted by the General Assembly of the State of Georgia, and it is hereby enacted by authority of the same; Section 1. Under and in accordance with the provisions of Article VI, Section III, Paragraph I, of the Constitution of the State of Georgia of 1945, one additional judge of the Superior Court for the Macon Judicial Circuit of Georgia is hereby added, thereby increasing

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to three the number of the judges of the Superior Court of said circuit. Additional Judge. Section 2. The Governor shall appoint the judge of the Superior Court for the Macon Judicial Circuit of Georgia, in the additional judgeship created by this Act, to hold office from the date of his qualification under said appointment and continuing until January 1, 1961, or until such subsequent date as his successor shall have been elected and qualified as herein provided. At the General Election for members of the General Assembly to be held in 1960, the judge shall be elected by the electors of the whole State entitled to vote for members of the General Assembly, to serve for a full term of four years which shall expire December 31, 1964, or until his successor shall have been elected and qualified. Appointment and election. After the term specifically provided herein, the successor to the office of judge of Superior Court in the additional judgeship herein created, shall be elected in the manner now provided by law for the election of judges of the Superior Courts of this State. Section 3. Said additional judge of the Superior Court of Macon Judicial Circuit of Georgia shall have and may exercise all powers, duties, jurisdiction, privileges and immunities of a judge of said court. Powers, etc. Section 4. Be it further enacted by the authority of aforesaid, that the qualifications of such additional judge shall be the same as are now provided by law for all other Superior Court judges, and his compensation from the State of Georgia and the supplemental compensation from the counties of said circuit, shall be the same as that of the other judges of the Superior Court of the Macon Judicial Circuit. Qualifications, salary, etc. Section 5. Upon and after qualification of the additional judge of the Superior Court for the Macon Judicial Circuit of Georgia, the three judges of said court shall be and are authorized to adopt, promulgate, amend and

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enforce such rules of practice and procedure in consonance with the Constitution and laws of the State of Georgia as they deem suitable and proper for the effective transaction of the business of the court, and in transacting the business of said court and in performing their duties and responsibilities, they shall share, divide and allocate the work and duties to be performed by each. Rules. Section 6. All writs, processes, orders, subpoenas and any other official paper issuing out of the Superior Court of the Macon Judicial Circuit may bear teste in the name of any judge of said Macon Judicial Circuit, and when issued by and in the name of any judge of said circuit, shall be fully valid and may be heard and determined before the same or any other judge of said circuit. Any judge of said court may preside over any cause therein and perform any official act as judge thereof. Section 7. The drawing and empaneling and charging of all juries, either grand, petit or special, may be by any one of the judges of the Superior Court of said circuit. Duties. Section 8. The governing authorities, namely, the Board of County Commissioners or the Ordinary of the counties comprising the Macon Judicial Circuit are authorized and directed to provide suitable courtrooms, jury rooms and chambers for said additional judge. Courtroom, etc. Section 9. If any section or provision of this Act shall be declared to be invalid by any court the remaining sections or provisions of this Act not so declared invalid shall remain in full force and effect. Section 10. All laws and parts of laws in conflict with this Act shall be and the same are hereby repealed. Approved February 4, 1960.

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BANKING LAW OF GEORGIAAMENDED. Code 13-201, 13-201.1, 13-203, 13-203.1, 13-207, 13-208, 13-9938, Amended. No. 442 (House Bill No. 712). An Act to amend Article I of the Banking Laws of Georgia as the same is codified in Chapter 13-2 of the Code of Georgia, as amended, relating to the definition of the terms bank, depositor, insolvency, capital, surplus, and undivided profits, and relating to branch banks and private banks, so as to redefine the term bank, and to define the terms parent bank, branch bank, bank office, bank facility, and bank holding company, to prohibit the establishment of new and additional branch banks, as redefined, to provide for the establishment and operation of bank offices and bank facilities, to empower the Superintendent of Banks to regulate the establishment of bank offices and bank facilities, to provide for criteria of examination and determination of the public need and advantage in the establishment of bank offices and bank facilities, to limit the number of bank offices and bank facilities in certain cities, to prohibit the establishment of any new or additional bank holding companies and to restrict further the acquisition of voting shares of banks by existing bank holding companies; to amend Article XX of the Banking Law of Georgia as the same is codified in Chapter 13-99 of the Code of Georgia, as amended, relating to crimes and misdemeanors under the Banking Law so as to provide that the violation of the Banking Law respecting branch banks, bank offices, bank facilities, and bank holding companies, shall constitute a crime and provide the punishment therefor; to provide for injunctive relief against violations of certain acts; to repeal an Act approved July 20, 1929 dealing with the establishment of branch banks in cities having a population of not less than 80,000 nor more than 120,000; to repeal an Act approved August 17, 1929 dealing

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with the establishment of branch banks in cities having a population of not less than 200,000; to repeal an Act approved February 27, 1956 dealing with the owning controlling and voting of stock in banks and bank holding companies; to repeal conflicting laws, and for other purposes. Now, therefore, be it enacted by the General Assembly of Georgia: Section 1. Legislative Intent. It is intended that this Act be an amendment to the Banking Law of Georgia (Ga. L. 1919, p. 135), later codified as Title 13 to the Code of Georgia as the same has from time to time been amended and codified. It is intended that this Act have uniform and general application to all phases of banking, dealt with herein, wherever located in this state. It is the intent of this Act to prevent the extension of statewide banking by any institution and to encourage the normal growth of banking units in the local communities. It is the intent of this Act to recognize and provide local units of banking with additional service outlets (offices and facilities) within the local municipality to meet the requirements of public need and advantage occasioned by urban growth and development, and to put on an equal competitive basis branch banks, as defined in this Act, with parent banks in the municipal corporations where such branch banks are located. It is the intent of this Act to restrict further the acquisition of voting shares of banks by bank holding companies. It is the intent of this Act to keep banking units from expanding into territories beyond their municipal corporate limits. Section 2. That section 13-201 of Chapter 13-2 of the Code of Georgia, which is codified from Section I of Article I of the Banking Law of Georgia, relating to the definition of the term bank, be, and the same is hereby, amended by striking the same in its entirety and substituting in lieu thereof a new section to be section 13-201 (which will be Section I of Article I of the Banking Law of Georgia), relating to the definition of the term bank, which shall read as follows:

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13-201. Definition of term `bank.' The term `bank,' as used in this Title, means any moneyed corporation authorized by law to receive deposits of money and commercial paper, to make loans, to discount bills, notes and other commercial paper, to buy and sell bills of exchange, and to issue bills, notes, acceptances or other evidences of debt, and shall include incorporated banks, savings banks, banking companies, trust companies, and other corporations doing a banking business, but unless the context otherwise indicates, shall not include private bankers, partnerships or voluntary associations doing a banking business, or national banking associations, or building and loan associations or similar associations or corporations; Provided, however, that the following sections of this Title, to-wit, section 13-207, restricting the acquisition and ownership of bank shares or assets, section 13-2035, defining due diligence on the part of a bank in collections; section 13-2036, authorizing the forwarding of collection items direct to the payor; section 13-2039, providing for the payment of deposits in two names; section 13-2040, authorizing the payment under certain circumstances of the checks of a deceased, bankrupt or insane depositor; section 13-2041, authorizing deposit accounts by minors; section 13-2042, providing for the payment of deposits by agents, trustees or other fiduciaries; section 13-2043, providing for the payment of deposits in trust; section 13-2044, providing a limitation for claims on account of forged or raised checks; section 13-2048 as amended by Georgia Laws 1943, page 253, 1952, page 189 and 1955, pages 202, 203, providing for the payment of deposits of deceased depositors; section 13-2049, providing for stale checks; section 13-2050 providing for stop-payment orders to be renewed; section 13-2052, as provided by Georgia Laws 1945, page 228, providing for forged or unauthorized endorsements; sections 13-2053 through 2057, provided by Georgia Laws 1953, page 70, relating to records; section 13-9931 providing for libel of bank; section 13-9932, providing for slander of bank; section 13-9933, providing for check or draft without funds, shall apply to private banks, national banking associations, and all other persons, corporations, or associations, by whatever authority organized, doing a banking

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business in this state. National banking associations shall have the same, but no greater, right under or by virtue of this Title and Acts amendatory and supplementary thereof, than is granted to banks and trust companies organized under the laws of this state. Section 3. That Chapter 13-2 of the Code of Georgia, which is codified from Article I of the Banking Law of Georgia, relating to the definition of the terms bank, branch bank, depositor, private bank, insolvency, surplus, and undivided profits, be, and the same is hereby, amended by adding a new section to Chapter 13-2 of the Code of Georgia, to be section 13-201.1 (which will be Section 1-A of Article I of the Banking Law of Georgia), relating to the definition of the terms parent bank, branch bank, bank office, bank facility, bank holding company, and bank, and which shall read as follows: 13-201.1 Other definitions. (a) The term `parent bank' as used in this Title means the principal place of business where the general business of each bank shall be transacted in the particular city, town, or village specified in its charter. (b) The term `branch bank' as used in this Title means any additional place of business of any parent bank not located in the particular city, town or village where its parent bank was chartered. (c) The term `bank office' as used in this Title means any additional place of business of a parent bank or a branch bank located within the incorporated limits of any municipal corporation in which said parent bank or branch bank is situated and which has obtained a permit to operate a complete banking service in the manner and under the conditions hereinafter provided. (d) The term `bank facility' as used in this Title means any additional place of business of a parent bank or a branch bank located within the incorporated limits of any

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municipal corporation in which said parent bank or branch bank is situated and which has obtained a permit to operate a limited banking service in the manner and under the conditions hereinafter provided. (e) The term `bank holding company' as used in this Title means any company incorporated or organized under the laws of this state, or doing business in this state, which directly or indirectly owns, controls or holds, with power to vote, more than 5 per centum of the voting shares of each of two or more banks. (f) The term `bank' as defined in section 13-201 of the Code of Georgia (Article I, Section 1 of the Banking Law) as used elsewhere in this Title, shall include `bank office,' `bank facility,' `parent bank,' and `branch bank,' unless the context indicates that it does not. Section 4. That section 13-203 of Chapter 13-2 of the Code of Georgia, which is codified from Section 3 of Article I of the Banking Law of Georgia, relating to branch banks, be, and the same is hereby, amended by striking the same in its entirety and substituting in lieu thereof a new section to be Section 13-203 (which will be Section 3 of Article I of the Banking Law of Georgia) relating to branch banks, which shall read as follows: 13-203. Branch Banks. (a) Branch banks, as defined in section 13-201.1 (b), shall be operated as branches and under the name of the parent bank, and under the control and direction of the board of directors and executive officers of said parent bank. The board of directors of the parent bank shall elect a cashier, and such other officers that may be required to properly conduct the business of said branch; and a board of directors, or loan committee, shall be responsible for the conduct and management of said branch, but not of the parent bank or of any other branch save that of which they are officers, directors or committee. (b) Taxation of all banks, branch banks, bank offices, and bank facilities, shall be in the manner provided in

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Section 92-2406 of the Code of Georgia, and all Acts amendatory and supplementary thereof. (c) No new or additional branch bank, as defined in Section 13-201.1 (b) shall be established. Section 5. That Chapter 13-2 of the Code of Georgia, which is codified from Article I of the Banking Law of Georgia, relating to the definition of the terms bank, branch bank, depositor, private bank, insolvency, surplus, and undivided profit, be, and the same is hereby, amended by adding a new section to Chapter 13-2 of the Code of Georgia, to be section 13-203.1 (which will be Section 3-A of Article I of the Banking Law of Georgia,) relating to the establishment and operation of bank offices and bank facilities, and which shall read as follows: 13-203.1 Bank offices and bank facilities. (a) A parent bank or a branch bank may, upon obtaining approval and a permit from the Superintendent of Banks, establish and operate a bank office or offices within the incorporated limits of the municipal corporation in which said parent bank or branch bank is situated. (b) A parent bank or a branch bank may, upon obtaining approval and a permit from the Superintendent of Banks, establish and operate a bank facility or facilities within the incorporated limits of the municipal corporation in which said parent bank or branch bank is situated. (c) Application for a permit to establish either a bank office or a bank facility shall be made to the Superintendent of Banks in such form as he may prescribe by regulation from time to time. The Superintendent of Banks shall exercise his discretion in his consideration of the application, but the Superintendent of Banks shall not approve the application until he has ascertained to his satisfaction that the public need and advantage will be promoted by the establishment of the proposed bank office or bank facility according to the same criteria of examination and determination provided in section 13-905 of the Code of Georgia (Section 4-A of Article VIII of the Banking Law of Georgia). Without limitation on the foregoing and in

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furtherance thereof, the Superintendent of Banks may approve with respect to any municipal corporation now or hereafter having a population of 80,000 or under according to the 1950 official U. S. Census or any future official U. S. Census, not more than one of either a bank office or bank facility for each population unit of 40,000 or any fraction thereof, according to the 1950 official U. S. Census or any future official U. S. Census for any parent bank or branch bank; provided, nevertheless, that this limitation shall not apply to parent banks or branch banks in municipalities with a population of more than 80,000 according to the 1950 official U. S. Census or any future official U. S. Census. The Superintendent of Banks may in his discretion, to accommodate the public need and advantage of each locality, consider an application for a bank office as an application for a bank facility, or vice versa; and he may, in the exercise of his discretion to accommodate the public need and advantage, determine the amount of funds which may be committed for the construction of each bank office or bank facility, whether by outright expenditure or by long-term lease contract, or by creation of, or utilization of, a real estate holding company. Within ninety (90) days after the filing of an application for a permit to establish a bank office or bank facility, the Superintendent of Banks shall issue under his hand and seal a certificate approving or disapproving the application for a permit, which determination shall be final as to that application. (d) All bank offices and bank facilities, as herein defined, already lawfully established in certain cities, shall not be required to apply for the permit hereinabove required to continue the present operations already established. Section 6. That Chapter 13-2 of the Code of Georgia, which is codified from Article I of the Banking Law of Georgia, relating to the definition of the terms bank, branch bank, depositor, private bank, insolvency, surplus, and undivided profits, be, and the same is hereby, amended by adding a new section to Chapter 13-2 of the Code of Georgia, to be section 13-207

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(which will be Section 7 of Article I of the Banking Law of Georgia), relating to bank holding companies, and to the acquisition and ownership of bank shares or assets, and which shall read as follows: Section 13-207. Bank holding companies. (a) On and after the effective date of this section, it shall be unlawful (1) for any action to be taken which results in a company becoming a bank holding company as defined in this Title; (2) for any bank holding company to acquire or hold direct or indirect ownership or control of more than 5 per centum of the voting shares of any bank; (3) for any bank holding company or subsidiary thereof, other than a bank, to acquire all or substantially all of the assets of a bank; or (4) for any bank holding company to merge or consolidate with any other bank holding company. Notwithstanding the foregoing, these prohibitions shall not apply (A) to shares of voting stock in banks or bank holding companies acquired, owned, controlled, or held on the effective date of this section, or shares of voting stock acquired after the effective date of this section as a result of the distribution of a stock dividend distributed in voting shares or as the result of the exercise and receipt of pre-emptive rights, provided that after the receipt of such stock dividend or exercise of pre-emptive rights, or both, the percentage of voting stock owned in such bank shall not exceed the percentage owned on the effective date of this section, or (B) to shares acquired by a bank (i) in good faith in a fiduciary capacity, except when such shares acquired after the effective date of this section are held for the benefit of the shareholders of such bank, or (ii) in the regular course of securing or collecting a debt previously contracted in good faith, but any shares acquired after the effective date of this section in securing or collecting any such previously contracted debt shall be disposed of within a period of two years from the date on which they were acquired; or (C) to additional shares acquired by a bank holding company in a bank in which such bank holding company owned or controlled a majority of the voting shares prior to such acquisition and prior to the effective date of this section.

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(b) The term `company' as used in this section and in section 13-201.1 (e) means any corporation, partnership, foundation, joint stock company, business or voting trust, association or similarly organized group of persons, whether incorporated or not, and includes the shareholders and those persons who otherwise own the `company' and including any foreign corporation or other organization or association doing business in Georgia. (c) On or before January 15, 1961 and annually thereafter each bank holding company shall register with the Superintendent of Banks on forms prescribed by him, which shall include such information with respect to the financial condition, operation, management and intercompany relationships of the bank holding company and its subsidiaries and related matters as the Superintendent of Banks may deem necessary or appropriate to carry out the purposes of this section; provided, however, that any bank holding company required to register under the Federal Bank Holding Company Act of 1956 (70 Stat. 133) with the Board of Governors of the Federal Reserve System shall be made exempt from the above requirements by certifying to the Superintendent of Banks that it has registered under the federal statute. (d) The Superintendent of Banks is authorized to issue such regulations and orders as may be necessary to enable him to administer and carry out the purposes of this section and prevent evasions thereof. (e) The Superintendent of Banks from time to time may require reports under oath to keep him informed as to whether the provisions of this section and such regulations and orders thereunder issued by him have been complied with, may make examinations of each bank holding company and each subsidiary thereof, the cost of which may be assessed against and paid by such holding company, and shall, as far as possible, use the reports of examination made by the Comptroller of the Currency, Federal Deposit Insurance Corporation or the Board of Governors of the Federal Reserve System for the purposes of this section; provided, however, that no bank

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holding company or subsidiary thereof required to register under the Federal Bank Holding Company Act of 1956 (70 Stat. 133) with the Board of Governors of the Federal Reserve System shall be required to furnish any reports or be subject to any examination by the Superintendent of Banks, but the Superintendent of Banks shall rely upon the reports of examination thereof made by the Comptroller of the Currency, Federal Deposit Insurance Corporation or the Board of Governors of the Federal Reserve System. Section 7. That Chapter 13-2 of the Code of Georgia, which is codified from Article I of the Banking Law of Georgia, relating to the definition of the terms bank, depositor, private bank, insolvency, surplus, and undivided profits, be, and the same is hereby, amended by adding a new section to Chapter 13-2 of the Code of Georgia, to be numbered section 13-208 (which will be Section 8 of Article I of the Banking Law of Georgia) relating to empowering the Superintendent of Banks to proceed to enjoin any violation of any provision of this chapter, and which shall read as follows: Section 13-208. Suits by Superintendent of Banks. The Superintendent of Banks of this state may bring a civil action to enjoin the violation of any provision of this chapter in the Superior Court of the county wherein is located the residence of any individual in violation of this chapter or the principal office of such bank, bank holding company or companies violating the provisions of this chapter. Section 8. That Chapter 13-99 of the Code of Georgia, which is codified from Article XX of the Banking Law of Georgia, relating to crimes and misdemeanors under the Banking Law of Georgia, be, and the same is hereby amended by adding a new section to Chapter 13-99 of the Code of Georgia, to be section 13-9938 (which will be Section 39 of Article XX of the Banking Law of Georgia), relating to making it a crime to violate the Banking Law with respect to things prohibited to bank holding companies and banks, and which shall read as follows:

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Section 13-9938. Any bank, bank holding company, or company (as defined in Section 13-207 of this Title), which violates section 13-203 (c) or any provision of section 13-203.1 or section 13-207 shall, upon conviction, be fined not less than $500 nor more than $5,000 unless it shall cease and desist therefrom within 60 days after notice of any such violation served on it by the Superintendent of Banks. Each day on which such violation occurs shall constitute a separate offense. Crimes. Section 9. That an Act approved July 20, 1929 (Ga. L. 1929, p. 214) dealing with the establishment of branch banks in cities having a population of not less than 80,000 nor more than 125,000 be, and the same is hereby, repealed in its entirety. 1929 Act repealed. Section 10. That an Act approved August 17, 1929 (Ga. L. 1929, pp. 214, 215) dealing with the establishment of branch banks in cities having a population of not less than 200,000 be, and the same is hereby, repealed in its entirety. 1929 Act repealed. Section 11. That an Act approved February 27, 1956 (Ga. L. 1956, p. 309) dealing with owning, controlling, and voting stock in banks and bank holding companies be, and the same is hereby, repealed in its entirety. 1956 Act repealed. Section 12. Should any provision of this Act be held illegal or unconstitutional the same shall not vitiate the remaining provisions of said Act, but all such provisions not held illegal or unconstitutional shall remain in full force and effect. Section 13. That all laws and parts of laws in conflict herewith be, and the same are hereby, repealed. Approved February 9, 1960.

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SUPERVISOR OF PURCHASESPURCHASE OF FIDELITY BONDS OF STATE EMPLOYEES. No. 443 (Senate Bill No. 129). An Act to amend an Act approved March 29, 1937 (Ga. L. 1937, p. 503), relating to the duties of the Supervisor of Purchases by adding to section 2 of said Act a new subsection to be known as subsection H requiring that a fidelity bond covering state employees be procured by the Supervisor of Purchases, except such bonds of elected state officers or other officers required to give special bond; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Act approved March 29, 1937 (Ga. L. 1937, p. 503) as amended relating to the duties of the Supervisor of Purchases, is hereby amended by adding to section 2 of said Act a new subsection to be known as subsection H, which shall read as follows: H. To procure all fidelity bonds covering State employees required by law or administrative directive to give such bonds, and, in order to provide same at a minimum expense to the State, such bonds may be procured under a master policy or policies providing insuring agreements on a group or blanket coverage basis. Provided, that this section shall not apply to bonds of elected State officers or otehr officers whose bonds are required by law to be specially given or conditioned in such manner as to make it impractical to comply with the provisions hereof. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 9, 1960.

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MILEAGE ALLOWANCE FOR AUTOMOBILESSUPERVISION BY BUDGET BUREAU. Code 40-2002, 40-2003, Amended. Code 40-2004, 40-2005, Repealed. No. 444 (Senate Bill No. 130). An Act to amend Code section 40-2002, relating to mileage allowance for State officials and employees, as amended by an Act approved February 15, 1950 (Ga. L. 1950, p. 224), so as to provide that the Budget Bureau shall fix the rate of such mileage allowance; to amend Code section 40-2003, relating to the furnishing of automobiles by officials and employees, so as to provide that officials and employees shall receive the mileage allowance fixed by the Budget Bureau; to provide that the various heads of departments, institutions, boards, bureaus and agencies of the State shall be charged with the duty of enforcing the law relative to mileage allowance; to repeal Code section 40-2004, relating to the State Supervisor of Purchases administering said law; to repeal Code section 40-2005, relating to the filing of the list of State officials and employees entitled to receive such allowance; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 40-2002, relating to mileage allowance for State officials and employees, as amended by an Act approved February 15, 1950 (Ga. L. 1950, p. 224), is hereby amended by striking the words State Supervisor of Purchases with the heads of the several departments, and inserting in lieu thereof the words Budget Bureau, and by striking the words State Supervisor of Purchases, who shall consult with the heads of the several departments, agencies, boards, bureaus, and institutions interested therein, and inserting in lieu thereof the words Budget Bureau, so that when so amended, section 40-2002 shall read as follows: Code 40-2002 amended.

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40-2002. It shall be the duty of the Budget Bureau, by proper executive or instructive order, to fix the amount or rate per mile, not to exceed 7 cents per mile, to be paid to officers, officials, or employees of the various departments, institutions, boards, bureaus, and agencies, as traveling expense when traveling in the service of the State or any agency thereof by automobile. The said rate per mile shall be uniform and of general application to all departments, agencies, and institutions of the State. Said rate shall be subject to change by the Budget Bureau, and such mileage allowance shall be fixed in such manner as will reasonably cover the cost of operating such automobile, but the same shall not exceed 7 cents per mile. Amount determined by Budget Bureau. Section 2. Code section 40-2003, relating to the furnishing of automobiles by officials and employees, is hereby amended by striking the words State Supervisor of Purchases in conjunction with the head or heads of the various departments and bureaus and inserting in lieu thereof the words Budget Bureau, and by adding at the end thereof the words The heads of the various departments, institutions, boards, bureaus and agencies of the State shall be charged with the duty of the enforcement of this law; and they shall devise such forms and procedures for use within their departments, institutions, boards, bureaus and agencies as are necessary for the purpose of carrying into effect the intent of this law., so that when so amended, section 40-2003 shall read as follows: 40-2003. All officers, officials, or employees of the State and of the various departments, institutions, boards, bureaus, and agencies of the State, required to travel by automobile in the performance of their official duties, shall themselves furnish out of their own personal funds such automobiles as may be necessary for their official use, and shall receive, for the use of such automobile and as expense of operating the same, such mileage allowance as is fixed by the Budget Bureau. The heads of the various departments, institutions, boards, bureaus and agencies of the State shall be charged with the duty of the enforcement of this law; and they shall devise such

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forms and procedures for use within their departments, institutions, boards, bureaus and agencies as are necessary for the purpose of carrying into effect the intent of this law. Code 40-2003 amended, supervision by heads of departments. Section 3. Code section 40-2004, relating to the State Supervisor of Purchases administering said law, which reads as follows: 40-2004. The State Supervisor of Purchases, assisted by the heads of the departments, agencies, bureaus, or institutions, shall be charged with the duty of the enforcement of this law; and he shall supply such department, agency, bureau, or institution with suitable blanks for the purpose of carrying into effect the purpose and intent of this law, including tickets to be known as mileage tickets, which shall be in triplicate consecutively numbered, to show the date any trip was made, origin and destination of trip, miles traveled on the trip, and purpose for which the trip was made. No ticket shall cover more than one day's travel, and shall be signed by the officer or employee making such trip, who shall keep one copy thereof and forward the other two copies to the head of such department, board, bureau, agency, or institution in which he is employed, at the end of the week filing a weekly report to the head of the said department, agency, or bureau. The head of such agency, board, bureau, or institution, or his authorized agent, shall, within five days after receipt of such weekly report, audit the same and place thereon his approval or disapproval of the same, and promptly forward copy of each ticket to the State Supervisor of Purchases for his records. The State Supervisor of Purchases shall have authority to inquire into the correctness and legality of such mileage tickets, and it shall be his duty to do so. When any mileage ticket shall have been approved by the head of such department, agency or bureau, the amount represented by said ticket shall be paid to the officer or employee making the said ticket from the general funds appropriated for such department or institution. Code 40-2004 repealed. is hereby repealed in its entirety.

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Section 4. Code Section 40-2005, relating to the filing of the list of State officials and employees entitled to receive such allowance, which reads as follows: 40-2005. The head of each department, board, agency, or institution of this State shall file with the State Supervisor of Purchases a list of all officials and employees entitled to receive compensation under the provision of this law, said list to be approved by the State Supervisor of Purchases, and no employee or official of any department or institution whose name has not been so enrolled shall receive any compensation under the provisions of this law. Code 40-2005 repealed. is hereby repealed in its entirety. Section 5. This Act shall become effective on July 1, 1960. Effective date. Section 6. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 9, 1960. NAVAL STORESOFFICE OF SUPERVISING INSPECTOR ABOLISHED. Code 5-1620, 5-1621 Amended. Code 5-1611, 5-1612, 5-1613, 5-1614, 5-1615, Repealed. No. 445 (Senate Bill No. 131). An Act to abolish the office of Supervising Inspector of Naval Stores Created by Georgia Laws 1903, p. 77; to repeal sections 5-1611, 5-1612, 5-1613, 5-1614 and 5-1615 of the Code of Georgia of 1933 pertaining to appointment, qualification, powers and duties of the Supervising Inspector of Naval Stores; to amend sections 5-1620 and 5-1621 of the Code of Georgia pertaining

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to inspection, sampling and analysis of spirits of turpentine so as to delete therefrom all references to the Supervising Inspector of Naval Stores and vest such powers exclusively in other inspectors of naval stores established by law; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Sections 5-1611, 5-1612, 5-1613, 5-1614, and 5-1615 of the Code of Georgia of 1933, codified from Georgia Laws 1903, p. 77, which provides for the appointment and qualification of a Supervising Inspector of Naval Stores, and for his bond, place of office, compensation, powers and duties, are hereby repealed in their entirety, and the functions and office of Supervising Inspector of Naval Stores are hereby abolished. Code repealed. Section 2. Sections 5-1620 and 5-1621 of the Code of Georgia, providing for inspection, taking of samples, and analysis of spirits of turpentine, and the admissibility of same in evidence by the Supervising Inspector of Naval Stores or any other inspector of naval stores, are hereby amended by striking therefrom all references contained therein to the Supervising Inspector of Naval Stores so as to leave the provisions and powers contained in such sections applicable only to inspectors of naval stores, so that said sections, when so amended, shall read as follows: Section 5-1620. Inspection and Analysis; taking of samples. Any inspector of naval stores, if he shall have reason to believe that any spirits of turpentine or wood spirits of turpentine has been or is adulterated in any manner, shall have the right to enter the place where the same is stored or kept, and to open any barrel, or barrels, in which the same may be, and to take therefrom a sufficient quantity, not exceeding a pint, from every barrel as a sample for analysis and inspection. Each such sample shall be sealed by the inspector of naval stores taking the same, who shall at the same time write, mark, or label the same in such manner as to indicate the time and place

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of taking the same and the ownership of the barrel from which it is taken, as well as any other facts necessary to identify the sample so taken with the original. The owner, claimant, or custodian of such spirits of turpentine shall have the right to be present, if he desires, in person or by agent, at such sampling, and to demand and receive of such inspector of naval stores a sample in all respects like that taken by such inspector of naval stores. 5-1621. Analysis as evidence. The analysis of any such sample so taken by such inspector, sworn to by any witnesses competent to make such analysis, shall be admissible in evidence in any action wherein the grade or quality of the original from which the sample shall have been taken shall be in issue. A certificate of the result of an analysis made and certified by the State Chemist or assistant chemist shall be prima facie evidence of the nature, composition, and character of the contents of the barrel from which such sample was taken and of the correctness of such analysis, and for such purposes admissible in evidence. Section 3. This Act shall be construed as abolishing the office and functions of the Supervising Inspector of Naval Stores and as repealing all laws relating to the creation of such office, but it shall not be construed to repeal or limit any other provisions of said Act of 1903, or of Chapter 5-16 of the Code of Georgia, or any other law, not specifically repealed herein, which confers powers or duties upon other inspectors of naval stores or which are capable of administration and enforcement by such other inspectors. Intent. Section 4. All laws or parts of laws in conflict with this Act are hereby repealed. Approved February 9, 1960.

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STATE BOARD OF SOCIAL SECURITY ABOLISHEDSTATE WELFARE ADVISORY BOARD CREATED. No. 446 (Senate Bill No. 134). An Act to amend an Act known as The Welfare Reorganization Act of 1937, approved February 26, 1937 (Ga. L. 1937, p. 355), as amended, particularly by an Act approved March 18, 1943 (Ga. L. 1943, p. 202), so as to abolish the State Board of Social Security; to create the State Welfare Advisory Board; to provide that the State Department of Public Welfare shall be under the control, administration and supervision of the director of said department; to transfer duties; to repeal provisions relating to mental hygiene; to repeal provisions relating to pension for Confederate veterans and dependents; to provide the procedure connected therewith; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as The Welfare Reorganization Act of 1937, approved February 26, 1937 (Ga. L. 1937, p. 355), as amended, particularly by an Act approved March 18, 1943 (Ga. L. 1943, p. 202), is hereby amended by striking section 1 in its entirety and inserting in lieu thereof a new section 1 to read as follows: Section 1. Definitions. As used in this Act, the following words and phrases shall have the following meanings: DepartmentState Department of Public Welfare. BoardState Welfare Advisory Board. 1937 Acts amended. DirectorDirector of the State Department of Public Welfare. County DepartmentCounty or District Department of Public Welfare.

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County BoardCounty or District Board of Public Welfare. County DirectorDirector of the County or District Department of Public Welfare. Section 2. Said Act is further amended by striking section 2 in its entirety and inserting in lieu thereof a new section 2 to read as follows: Section 2. State Department of Public Welfare. There is hereby created a State Department of Public Welfare which shall be under the control, administration and supervision of the Director of the State Department of Public Welfare. The State Department of Public Welfare is hereby declared to be an Institution of the State of Georgia within the meaning of that term as it is used in Article VII, Section II, Paragraph I of the Constitution and is empowered and authorized to administer, expend and disburse funds appropriated to it and allocated to it by the General Assembly of Georgia and by the respective counties of the State and by the United States Government through its appropriate agencies and instrumentalities for the purpose of distributing old age benefits and all other benefits provided for in this law. Section 3. Said Act is further amended by striking section 3 in its entirety and inserting in lieu thereof a new section 3 to read as follows: Section 3. State Welfare Advisory Board. There is hereby created a State Welfare Advisory Board which shall be composed of one member from each Congressional District of the State. The members of the Board shall be appointed by the Governor and the term of each member so appointed shall expire at the end of the term of the Governor appointing them. Each member shall serve, however, until his successor is appointed and qualified. Vacancies on the Board shall be filled by appointment of the Governor for the unexpired term. All members shall be appointed by the Governor on the basis of recognized interest and knowledge of problems of Public

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Welfare. Members of the Board shall receive a per diem of twenty ($20.00) dollars for their attendance at board meetings plus their actual traveling and subsistence expenses incurred in the performance of their official duties in attending said board meetings. The State Board of Social Security is hereby abolished. Section 4. Said Act is further amended by striking section 4 in its entirety and inserting in lieu thereof a new section 4 to read as follows: Section 4. Duties of the Board. The Board shall serve as an advisory board only and shall meet with the Director once each six (6) months, and at such other times as the Director may designate. The Director shall fix the dates of the regular meetings. Section 5. Said Act is further amended by striking section 5 in its entirety and inserting in lieu thereof a new section 5 to read as follows: Section 5. Director of the State Department of Public Welfare. There is hereby created the Office of Director of the State Department of Public Welfare and the Department shall be under his control, administration and supervision. The Director shall be appointed by the Governor on the basis of his training, ability and experience in Public Welfare Administration. His term shall run concurrently with that of the Governor and until his successor is appointed and qualified. His compensation shall be fixed by the Governor. The Director shall give bond for the faithful performance of his duties and faithful accounting of all the monies coming into his hands as such Director. All the duties prescribed for the State Board of Social Security and for the State Department of Public Welfare shall be the duties of the Director, and all such duties are hereby transferred to him. He shall have the right to employ personnel to assist him in the performance of his duties subject to applicable Merit System Laws and Rules and Regulations. He shall have the duties normally devolving upon the head of a State Department.

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Section 6. Said Act is further amended by striking subsection (4) of section 6, which reads as follows: (4) Administer or supervise all mental hygiene work, including the operation of all State institutions for the care of mentally ill or feeble-minded persons, and of non-institutional care for this group; in its entirety. Repealed. Section 7. Said Act is further amended by striking subsection (12) of section 6, which reads as follows: (12). Administer the payment of pensions to ex-confederate soldiers and sailors and their dependents and perform all of the duties and responsibilities therewith which have heretofore been under the supervision and jurisdiction of the Veterans Service Office under and by virtue of Title 78, Chapter 78-201 of the 1933 Code of Georgia and as may hereafter be more specifically provided for in section 19 of this Act: in its entirety. Repealed. Section 8. Said Act is further amended by striking from section 7 the words with the advice of the State Board, so that when so amended, section 7 shall read as follows: Section 7. Department Organization. There shall be created in the department such divisions as the State Department may find necessary for the effective administration of the State Department. The Director shall have the power to allocate and reallocate functions among the divisions within the Department. Section 9. Said Act is further amended by striking section 19, which reads as follows: Section 19. Transfer of Supervision of Ex-Confederate Soldiers and Sailors and dependents. All of those duties which have heretofore devolved upon the Veterans Service Office and the Director of the Veterans Service Office under and by the virtue of Title 78, Chapter 78-2 of the 1933 Code of Georgia, having to do with the administration of pensions to ex-Confederate soldiers and sailors

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and their dependents are hereby removed from the supervision and administration of the Veterans Service Office and are vested in the State Department of Public Welfare and hereafter all of those functions pertaining to such ex-Confederate soldiers and sailors and dependents as prescribed and laid down in Chapter 78-2 of the 1933 Code of Georgia are hereby designated as a part of the duties of the State Department of Public Welfare, which department is hereby vested with the responsibility of administering all of such functions. The Director of the State Department of Public Welfare is hereby substituted for the Director of the Veterans Service Office in connection with the administration of the duties provided for in Chapter 78-2 of the 1933 Code of Georgia, and wherever a duty devolves upon the ordinary of the respective counties of the State in said chapter, such duty is hereby transferred to and shall hereafter be administered by the county director in each respective county. in its entirety. Repealed. Section 10. The provisions of this Act shall become effective April 1, 1960. Effective date. Section 11. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 9, 1960. JEKYLL ISLAND STATE AUTHORITY ACTAMENDED. No. 447 (House Bill No. 683). An Act to amend an Act creating the Jekyll Island State Park Authority (Ga. L. 1950, pp. 152-162, as amended by Ga. L. 1951, pp. 782-786 and Ga. L. 1952, pp. 276-281, and Ga. L. 1953, pp. 261-266, and Ga. L. 1957, pp. 608-615, and Ga. L. 1958, pp. 119-120), so as to revise the Revenue Anticipation Certificate and Bond provisions thereof and the method, procedure, and authority

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for issuing same; to revise the provisions relating to Definitions and Powers and Authority of the Authority; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That the Act creating the Jekyll Island Park Authority (Ga. L. 1950, pp. 152-162, as amended by Ga. L. 1951, pp. 782-786, and Ga. L. 1952, pp. 276-281, and Ga. L. 1953, pp. 261-266, and Ga. L. 1957, pp. 608-615, and Ga. L. 1958, pp. 119-120), be and the same is hereby amended by striking and repealing therefrom sections 15, 16, 17, 18, 19, 20, 21, 22, relating to Revenue Anticipation Certificates and Bonds in their entirety and enacting in lieu thereof the following new sections which shall read and be numbered: Section 15. Revenue Bonds; Issuance; Interest; Redemption Before Maturity. The Authority, or any Authority or body which has or which may in the future succeed to the powers, duties and liabilities vested in the Authority created hereby, shall have power and is hereby authorized at one time, or from time to time, to provide by resolution for the issuance of negotiable revenue bonds for the purpose of paying all or any part of the cost as herein defined of any one or combination of projects. The principal and interest of such revenue bonds shall be payable solely from the special fund herein provided for such payment. The bonds of each issue shall be dated, shall bear interest at the lowest obtainable rate, payable in such medium of payment as to both principal and interest as may be determined by the Authority and may be made redeemable before maturity, at the option of the Authority, at such price or prices and under such terms and conditions as may be fixed by the Authority in the resolution providing for the issuance of the bonds. Section 15-A. Same; Form; Denominations; Registration; Place of Payment. The Authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and shall fix the denomination or denominations of the bonds and the place or places of

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payment of principal and interest thereof, which may be at any bank or trust company within or without the State. The bonds may be issued in coupon or registered form, or both, as the Authority may determine, and provision may be made for the registration of any coupon bond as to principal alone and also as to both principal and interest. Section 15-B. Same; Signatures; Seal. In case any officer whose signature shall appear on any bonds or whose facsimile signature shall appear on any coupon shall cease to be such officer before the delivery of such bonds, such signature shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office until such delivery. All such bonds shall be signed by the chairman of the Authority, and the official seal of the Authority shall be affixed thereto and attested by the secretary of the Authority, and any coupons attached thereto shall bear the signature or facsimile signature of the chairman of the Authority. Any coupon may bear the facsimile signature of such person and any bond may be signed, sealed, and attested on behalf of the Authority by such persons as at the actual time of the execution of such bonds shall be duly authorized or hold the proper office, although at the date of such bonds such persons may not have been so authorized or shall not have held such office. Section 16. Same; Negotiability; Exemption from Taxation. All revenue bonds issued under the provisions of this Act shall have and are hereby declared to have all the qualities and incidents of negotiable instruments under the negotiable instruments law of the State. Such bonds and the income thereof shall be exempt from all taxation within the State. Section 17. Same; Sale; Price. The Authority may sell such bonds in such manner and for such price as it may determine to be for the best interests of the Authority. Section 17-A. Same; Proceeds of Bonds. The proceeds

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of such bonds shall be used solely for the payment of the cost of the project or combined project, and shall be disbursed upon requisition or order of the chairman of the Authority under such restrictions, if any, as the resolution authorizing the issuance of the bonds or the trust indenture hereinafter mentioned may provide. If the proceeds of such bonds, by error of calculation or otherwise, shall be less than the cost of the project or combined project, unless otherwise provided in the resolution authorizing the issuance of the bonds or in the trust indenture, additional bonds may in like manner be issued to provide the amount of such deficit, which unless otherwise provided in the resolution authorizing the issuance of the bonds or in the trust indenture, shall be deemed to be of the same issue and shall be entitled to payment from the same fund without preference or priority of the bonds first issued for the same purpose. If the proceeds of the bonds of any issue shall exceed the amount required for the purpose for which such are issued, the surplus shall be paid into the fund hereinafter provided for the payment of principal and interest of such bonds. Section 17-B. Same; Interim Receipts and Certificates or Temporary Bonds. Prior to the preparation of definitive bonds, the Authority may, under the restrictions issue interim receipts, interim certificates or temporary bonds, with or without coupons exchangeable for definitive bonds upon the issuance of the latter. Section 17-C. Same; Replacement of Lost or Mutilated Bonds. The Authority may also provide for the replacement of any bond which shall become mutilated or be destroyed or lost. Section 17-D. Same; Conditions Precedent to Issuance; Object of Issuance. Such revenue bonds may be issued without any other proceedings or the happening of any other conditions or things than those proceedings, conditions and things which are specified or required by this Act. In the discretion of the Authority, revenue bonds of a single issue may be issued for the purpose of paying the cost of any one or more, including a combination of,

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projects at any one institution or any number of institutions. Any resolution, providing for the issuance of revenue bonds under the provisions of this Act, shall become effective immediately upon its passage, and need not be published or posted, and any such resolution may be passed at any regular or special or adjourned meeting of the Authority by a majority of its members. Section 18. Same; Credit of State Not Pledged. Revenue bonds issued under the provisions of this Act shall not be deemed to constitute a debt of the State of Georgia or a pledge of the faith and credit of the State, but such bonds shall be payable solely from the fund hereinafter provided for and the issuance of such revenue bonds shall not directly, indirectly or contingently obligate the State to levy or to pledge any form of taxation whatever therefor or to make any appropriation for the payment, and all such bonds shall contain recitals on their fact convering substantially the foregoing provisions of this section: Provided, however, such funds may be received from State appropriations or from any other source are hereby declared to be available and may be used by any department, board, commission or agency of the State of Georgia for the performance of any lease contract entered into by said department, board, commission or agency. Section 18-A. Same; Trust Indenture as Security. In the discretion of the Authority, any issue of such revenue bonds may be secured by a trust indenture by and between the Authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or outside of the State. Such trust indenture may pledge or assign rents, revenues and earnings to be received by the Authority. Either the resolution providing for the issuance of revenue bonds or such trust indenture may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including convenants setting forth the duties of the Authority in relation to the acquisition of property, the construction of the project, the maintenance, operation, repair,

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and insurance of the project, and the custody, safeguarding and application of all moneys, and may also provide that any project shall be constructed and paid for under the supervision and approval of consulting engineers or architects employed or designated by the Authority and satisfactory to the original purchasers of the bonds issued therefor, and may also require that the security given by contractors and by any depository of the proceeds of the bonds or revenues or other moneys be satisfactory to such purchasers, and may also contain provisions concerning the conditions, if any, upon which additional revenue bonds may be issued. It shall be lawful for any bank or trust company incorporated under the laws of this State to act as such depositary and to furnish such indemnifying bonds or pledge such securities as may be required by the Authority. Such indenture may set forth the rights and remedies of the bondholders and of the trustee and may restrict the individual right of action of bondholders as is customary in trust indentures securing bonds and debentures of corporations. In addition to the foregoing, such trust indenture may contain such other provisions as the Authority may deem reasonable and proper for the security of the bondholders. All expenses incurred in carrying out such trust indenture may be treated as a part of the cost of maintenance, operation and repair of the project affected by such indenture. Section 18-B. Same; To Whom Proceeds of Bonds Shall be Paid. The Authority shall, in the resolution providing for issuance of revenue bonds or in the trust indenture, provide for the payment of the proceeds of the sale of the bonds to any officer or person who or any agency, bank or trust company which shall act as trustee of such funds and shall hold and apply the same to the purposes hereof, subject to such regulations as this Act and such resolution or trust indenture may provide. Section 18-C. Same; Sinking Fund. The revenues, rents, and earnings derived from any particular project or combined project or any and all funds from any source received by any department, board, commission or agency of the State of Georgia, and pledged and allocated by it

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to the Authority as security for the performance of any lease or leases, or any and all revenues, rents and earnings received by the Authority, regardless of whether or not such rents, earnings, and revenues were produced by a particular project for which bonds have been issued unless otherwise pledged and allocated, may be pledged and allocated by the Authority to the payment of the principal and interest on revenue bonds of the Authority as the resolution authorizing the issuance of the bonds or in the trust instrument may provide, and such funds so pledged from whatever source received, which said pledged may include funds received from one or more or all sources, shall be set aside at regular intervals as may be provided in the resolution or trust indenture, into a sinking fund which said sinking fund shall be pledged to and charged with the payment of (1) the interest upon such revenue bonds as such interest shall fall due, (2) the principal of the bonds as the same shall fall due, (3) the necessary charges of paying agents for paying principal and interest, and (4) any premium upon bonds retired by call or purchase as hereinabove provided. The use and disposition of such sinking fund shall be subject to such regulations as may be provided in the resolution authorizing the issuance of the revenue bonds or in the trust indenture, but, except as may otherwise be provided in such resolution or trust indenture, such sinking fund shall be a fund for the benefit of all revenue bonds without distinction or priority of one over another. Subject to the provisions of the resolution authorizing the issuance of the bonds or in the trust indenture, surplus moneys in the sinking fund may be applied to the purchasing or redemption of bonds and any such bonds so purchased or redeemed shall forthwith be cancelled and shall not again be issued. Section 18-D. Same; Remedies of Bondholders. Any holder of revenue bonds issued under the provisions of this Act, or any of the coupons appertaining thereto, and the trustee under the trust indenture, if any, except to the extent the rights herein given may be restricted by resolution passed before the issuance of the bonds or by the trust indenture, may, either at law or in equity, by suit,

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action, mandamus, or other proceedings, protect and enforce any and all rights under the laws of the State of Georgia or granted hereunder or under such resolution or trust indenture, and may enforce and compel performance of all duties required by this Act or by such resolution or trust indenture, to be performed by the Authority, or any officer thereof, including the fixing, charging, and collecting of revenues, rents, and other charges for the use of the project or projects. But no holder of any such bond shall have the right to compel any exercise of the taxing power of the State to pay any such bond or the interest thereon, or to enforce the payment thereof against any property of the State, nor shall any such bond constitute a charge, lien or incumbrance, legal or equitable, upon any property of the State. Section 19. Same; Refunding Bonds. The Authority is authorized to provide by resolution for the issue of revenue refunding bonds of the Authority for the purpose of refunding any revenue bonds issued under the provisions of this Act and then outstanding, together with accrued interest thereon. The issuance of such revenue refunding bonds, the maturities and all other details thereof, the rights of the holders thereof, and the duties of the Authority in respect to the same, shall be governed by the foregoing provision of this Act insofar as the same may be applicable. Section 19-A. Same; Bonds as Legal Investment; Security for Deposit. The bonds herein authorized are hereby made securities in which all public officers and bodies of this State and all municipalities and all municipal subdivisions, all insurance companies and associations and other persons carrying on an insurance business, all banks, bankers, trust companies, savings banks and savings associations, including savings and loan associations, building and loan associations, investment companies and other persons carrying on a banking business, all administrators, guardians, executors, trustees and other fiduciaries and all other persons whatsoever who are now or may hereafter be authorized to invest in bonds or other obligations of the State may properly and legally invest

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funds including capital in their control or belonging to them. The bonds are also hereby made securities which may be deposited with and shall be received by all public officers and bodies of this State and all municipalities and municipal subdivisions for any purpose for which the deposit of the bonds or other obligations of this State is now or may hereafter be authorized. Section 20. Same; Exemption of Property of Authority From Taxation; Covenant of State. It is hereby found, determined and declared, that the creation of the Authority, and the carrying out of its corporate purpose, is in all respects for the benefit of the people of this State, and is a public purpose and that the Authority will be performing an essential governmental function in the exercise of the power conferred upon it by this Act, and this State covenants with the holders of the bonds that the Authority shall be required to pay no taxes or assessments upon any of the property acquired or leased by it, or under its jurisdiction, control, possession or supervision, or upon its activities in the operation or maintenance of the buildings erected or acquired by it, or any fees, rentals, or other charges, for the use of such buildings, or other income received by the Authority, and that the bonds of the Authority, their transfer, and the income therefrom shall at all times be exempt from taxation within the State. Section 20-A. Same; Venue and Jurisdiction. Any action to protect or enforce any rights under the provisions of this Act shall be brought in the Superior Court of Fulton County, Georgia, and any action pertaining to validation of any bonds issued under the provisions of this Act shall likewise be brought in said court which shall have exclusive, original jurisdiction of such actions. Section 20-B. Same; Validation. Bonds of the Authority shall be confirmed and validated in accordance with the procedure of the Revenue Certificate Law of 1937 (Chapter 87-8, Code of Georgia). The petition for validation shall also make party defendant to such action

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any authority, subdivision, instrumentality or agency of the State of Georgia which has contracted with the Jekyll Island State Park Authority for the use of any building, structure or facilities for which bonds have been issued and sought to be validated, and such authority, subdivision, instrumentality or agency shall be required to show cause, if any, why such contract or contracts and the terms and conditions thereof should not be inquired into by the court and the validity of the terms thereof determined, and the contract adjudicated as security for the payment of any such bonds of the Authority. The bonds when validated, and the judgment of validation, shall be final and conclusive with respect to such bonds, and against the Authority issuing the same, and any authority, subdivision, instrumentality, department or agency contracting with the Authority. Section 20-C. Same; Interests of Bondholders Protected. While any of the bonds issued by the Authority remain outstanding, the powers, duties or existence of said Authority or of its officers, employees or agents or of any department, board, commission or agency of the State shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of such bonds, and no other entity, department, agency or authority will be created which will compete with the Authority to such an extent as to affect adversely the interests and rights of the holders of such bonds, nor will the State itself so compete with the Authority. The provisions of this Act shall be for the benefit of the State, the Authority and the holders of any such bonds, and upon the issuance of bonds under the provisions hereof, shall constitute a contract with the holders of such bonds. Section 21. Acceptance of Funds and Contributions From Any Source. The Authority, in addition to the moneys which may be received from the sale of revenue bonds and from the collection of revenues, rents and earnings derived under the provisions of this Act, shall have authority to accept from any Federal Agency grants for or in aid of the construction of any project or for the payment of bonds, and to receive and accept contributions

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from any source of either money or property or other things of value to be held, used and applied only for the purposes for which such grants or contributions may be made. Section 21-A. Moneys Received Considered Trust Funds. All moneys received pursuant to the authority of this Act, whether as proceeds from the sale of revenue bonds, as grants or other contributions, or as revenues, rents, and earnings, shall be deemed to be trust funds to be held and applied solely as provided in this Act. Section 21-B. Revenues, Rents, and Earnings; Use. The Authority is hereby authorized to fix rentals and other charges, which any department, board, commission, authority, or agency of the State of Georgia shall pay to the Authority for the use of each project, or part thereof or combination of projects and to charge, and collect, the same and to lease and make contracts with any department, board, commission, authority, or agency of the State of Georgia with respect to the use by any institution or unit under its control of any project or part thereof. Such rentals and other charges shall be so fixed and adjusted in respect to the aggregate thereof from the project or projects for which a single issue of revenue bonds is issued, as to provide a fund sufficient with other revenues of such project or projects, if any, to pay (a) the cost of maintaining, repairing and operating the project or projects, including reserves for extraordinary repairs and insurance, and other reserves required by the resolution or trust indentures, unless such cost shall be otherwise provided for, which cost shall be deemed to include the expenses incurred by the Authority on account of the project or projects for water, light, sewerage and other services furnished by other facilities as such institution, and (b) the principal of the revenue bonds and the interest thereon as the same shall become due. Section 21-C. Rules and Regulations for Operation of Projects. It shall be the duty of the Authority to prescribe rules and regulations for the operation of each project

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or combination of projects constructed under the provisions of this Act, including rules and regulations to insure maximum use or occupancy of each such project. Section 22. Powers Declared Supplemental and Additional. The foregoing sections of this Act shall be deemed to provide an additional and alternative method for the doing of the things authorized thereby and shall be regarded as supplemental and additional to powers conferred by other laws, and shall not be regarded as in derogation of any powers now existing. Section 2. Be it further enacted by the Authority aforesaid that section 6 of said Act relating to the specific powers of said Authority be and the same is hereby amended by adding thereto the following new additional subsections which shall read and be numbered as follows: (p) To acquire in its own name by purchase, on such terms and conditions and in such manner as it may deem proper, or by condemnation in accordance with the provisions of any and all existing laws applicable to the condemnation of property for public use, real property or rights of easement therein or franchises necessary or convenient for its corporate purposes, and to use the same so long as its corporate existence shall continue and to lease or make contracts with respect to the use of or dispose of the same in any manner it deems to be the best advantage of the Authority, the Authority being under no obligation to accept and pay for any property condemned under this Act except from the funds provided under the authority of this Act, and in any proceedings to condemn, such orders may be made by the court having jurisdiction of the suit, action or proceeding as may be just to the Authority and to the owners of the property to be condemned, and no property shall be acquired under provisions of this Act upon which any lien or other incumbrance exists, unless at the time such property is so acquired a sufficient sum of money be deposited in trust to pay and redeem the fair value of such lien or incumbrance; and if the Authority shall deem it expedient to construct any project on lands which are a part

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of the real estate holdings of the State of Georgia, the Governor is hereby authorized to execute for and on behalf of the State a lease upon such lands to the Authority for such parcel or parcels as shall be needed for a period not to exceed 50 years; and if the Authority shall deem it expedient to construct any project on any other lands the title to which shall then be in the State of Georgia, the Governor is hereby authorized to convey, for and in behalf of the State title to such lands to the Authority; Specific powers. (q) To acquire by purchase, lease or otherwise, and to hold, lease and dispose of real and personal property of every kind and character for its corporate purposes; (r) To make contracts, leases, and to execute all instruments necessary or convenient, including contracts for construction of projects and leases of projects or contracts with respect to the use of projects which it causes to be erected or acquired, and any and all political subdivisions, departments, institutions or agencies of the State are hereby authorized to enter into contracts, leases, or agreements with the Authority upon such terms and for such purposes as they deem advisable; and without limiting the generality of the above, authority is specifically granted to any department, board, commission or agency of the State of Georgia, and to enter into contracts and lease agreements for the use of any structure, building or facilities or a combination of any two or more structures, buildings or facilities of the Authority for a term not exceeding 50 years, and any department, board, commission or agency of the State of Georgia may obligate itself to pay an agreed sum for the use of such property so leased and also to obligate itself as part of the lease contract, to pay the cost of maintaining, repairing and operating the property so leased from the Authority. (s) To construct, erect, acquire, own, repair, remodel, maintain, add to, extend, improve, equip operate and manage projects as hereinabove defined, to be located on property owned by or leased by the Authority, the cost of any such project to be paid in whole or in part from the proceeds of revenue bonds of the Authority or

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from such proceeds and any grant from the United States of America, or State of Georgia, or any agency or instrumentality thereof; (t) To borrow money for any of its corporate purposes and to issue negotiable revenue bonds payable solely from funds pledged for that purpose, and to provide for the payment of the same and for the rights of the holders thereof. Section 3. Be it further enacted by the Authority aforesaid that section 5 of said Act relating to the definitions contained in said Act be and the same is hereby amended by adding thereto the following new additional subsections which shall read and be numbered as follows: (d) The word project shall be deemed to also mean and include one or a combination of two or more of the following: Buildings and facilities, and all structures, electric, gas, steam, water and sewerage utilities and facilities of every kind and character deemed by the Authority necessary or convenient for the efficient operation of any department, board, commission, authority, or agency of the State of Georgia. Definitions. (e) The term cost of the project shall embrace the cost of construction, the cost of all lands, properties, rights and easements and franchises acquired, the cost of all machinery and equipment, financing charges, interest prior to and during construction, and for one year after completion of construction, cost of engineering, architectural and legal expenses, and of plans and specifications, and other expenses necessary or incident to determining the feasibility or practicability of the project, administrative expense, and such other expenses as may be necessary or incident to the financing herein authorized, the construction of any project, the placing of the same in operation, and the condemnation of property necessary for such construction and operation. Any obligation or expense incurred for any of the foregoing purposes shall be regarded as a part of the cost of the project and may be paid or reimbursed as such out of the proceeds

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of revenue bonds issued under the provisions of this Act for such project. (f) The term revenue bonds as used in this Act shall mean revenue certificates as defined in the Revenue Certificate Law of Georgia (Chapter 87-8 of the Code of Georgia). Section 4. Be it further enacted by the Authority aforesaid that section 23-A of said Act be and the same is hereby repealed in its entirety and a new section 23-A enacted in lieu thereof to read as follows: Section 23-A. Easements for Intracoastal Waterway. The Authority shall be authorized to execute to the United States of America spoilage easements and rights of way to the property leased to said Authority by this Act which shall be necessary in the construction and maintenance of the Intracoastal Waterway, said easements and rights of way not to exceed in length such period of time as said Authority is to exist under this Act. Section 5. That all laws and parts of laws in conflict with the provisions of this Act be and the same are hereby repealed. Approved February 10, 1960. LABORER'S AND MATERIALMEN'S LIENS. Code 67-2002 Amended. No. 453 (Senate Bill No. 44). An Act to amend the Code of Georgia of 1933, section 67-2002 (3) as amended, particularly by an Act approved March 27, 1941 (Ga. L. 1941, p. 345), so as to provide a means for the enforcement of such liens, without the necessity of filing a suit against the contractor or subcontractor in the event that said contractor

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or subcontractor has been adjudicated a bankrupt; to repeal all conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act amending the Code of Georgia of 1933, Section 67-2002 (3) as amended, particularly by an Act approved March 27, 1941 (Ga. L. 1941, p. 345) by inserting after the following words so that personal jurisdiction cannot be obtained on said contractor or subcontractor in a suit for said services, material, labor, or supplies the words or if such contractor or subcontractor shall be adjudicated a bankrupt,; by striking after the words no final judgment can be obtained against him for the value of said material, services, labor or supplies the words by reason of the bankruptcy of the said contractor or subcontractor and his subsequent discharge from civil liabilities, or; by inserting after the words by reason of his death, the words or adjudication in bankruptcy so that subsection (3) of Code section 67-2002 of the Code of 1933, as amended, shall read: 3. The commencement of an action for the recovery of the amount of his claim within 12 months from the time the same shall become due. In the event any contractor or subcontractor procuring material, architect's services, registered land surveyor's services, or registered professional engineer's services, labor or supplies for the building, repairing or improving any real estate, building, or other structure shall abscond or die or remove from the State within 12 months from the date such services, labor, supplies or material are furnished him, so that personal jurisdiction cannot be obtained on said contractor or subcontractor in a suit for said services, material, labor or supplies, or if such contractor or subcontractor shall be adjudicated a bankrupt, or, if after the filing of suit, no final judgment can be obtained against him for the value of such material, services, labor or supplies, by reason of his death or adjudication in bankruptcy then and in any of said events, the person or persons so furnishing material,

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services, labor and supplies shall be relieved of the necessity of obtaining judgment against such contractor or subcontractor as a prerequisite to enforcing a lien against the property improved by said contractor or subcontractor and may, subject to the provision of section 67-2001, enforce said lien directly against the property so improved, in an action against the owner thereof, but with the judgment rendered in any such proceeding to be limited to a judgment in rem against the property improved and to impose no personal liability upon the owner of said property; provided, that in such action for recovery, the owner of the real estate improved, who has paid the agreed price, or any part of same may set up such payment in any action brought, and proved by competent and relevant evidence that such payments were applied as provided by law, and no judgment shall be rendered against the property improved. As between themselves, the liens provided for in said section shall rank according to date, but all of the liens herein mentioned for repairs, buildings or furnishing materials or services, upon the same property, shall, as to each other be of the same date when declared and filed for record within three months after the work is done, or before that time. Said liens specified in section 67-2001 shall be inferior to liens for taxes, to the general and special liens of laborers, to the general lien of landlords for rent when a distress warrant is sued out and levied, to claims for purchase money due persons who have only given bonds for titles, and to other general liens, when actual notice of such general lien of landlords and others has been communicated before the work was done or materials or services furnished; but the said liens provided for in said section shall be superior to all other liens not herein excepted. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 11, 1960.

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AGRICULTURECOMPENSATION OF COMMISSIONER AND EMPLOYEES OF DEPARTMENT OF AGRICULTURE. Code 5-105 Amended. No. 459 (House Bill No. 681). An Act to amend Code section 5-105, relating to the compensation of the Commissioner of Agriculture, as amended particularly by an Act approved February 28, 1956 (Ga. L. 1956, p. 376), so as to change the compensation of the Commissioner; to provide that the Commissioner shall fix the compensation of the employees of the Department of Agriculture; to provide that employees of the Department of Agriculture under the Merit System shall be compensated under the Rules and Regulations of the State Personnel Board; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 5-105, relating to the compensation of the Commissioner of Agriculture, as amended particularly by an Act approved February 28, 1956 (Ga. L. 1956, p. 376), is hereby amended by striking said section in its entirety and in lieu thereof inserting the following: 5-105. The salary of the Commissioner shall be at the rate of $12,000.00 per annum, payable in semi-monthly installments, with an additional amount of $800.00 annually for each four years of service, figured at the beginning of each such period of service, with a State department financed by appropriations payable through the State Treasury up to twenty years, and an annual contingent expense allowance in the amount of $2,400.00 in lieu of any and all travel expense and expense of purchasing a personal automobile for official use, with the exception of actual transportation expense incurred while traveling by public carrier and the expense incurred at the legal mileage rate for the use of a personal automobile. In addition to the foregoing, he shall be paid $240.00 annual compensation for each ex officio office

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created by law provided the Attorney General certifies to the State Auditor the legal citation for each ex officio office. The Commissioner shall fix the compensation of the employees of the Department of Agriculture. Provided, however, that the employees of the Department of Agriculture Agriculture under the Merit System shall be compensated under the rules and regulations of the State Personnel Board. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 10, 1960. TAX COLLECTORS COMPENSATION IN COUNTIES OF NOT LESS THAN 32,500 AND NOT MORE THAN 33,500 POPULATION. Code 92-5301 Amended. No. 464 (House Bill No. 883). An Act to amend an Act entitled An Act to amend section 92-5301 of the Code of Georgia of 1933, by changing the classes and amounts of commissions allowed to tax receivers and tax collectors of State and county taxes; to provide for the fees to be allowed tax collectors on delinquent taxes; to provide for the time of payment of commissions to tax receivers; to provide for the effective date of this Act; to repeal all laws in conflict herewith; and for other purposes., approved January 17, 1938 (Ga. L. 1937-38, Ex. Sess., p. 297), as amended, particularly by an Act approved February 11, 1955 (Ga. L. 1955, p. 176), so as to provide that in certain counties if the tax collector or tax commissioner is on a salary, the commissions provided for collecting certain taxes shall be paid to the county and shall be county funds; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act entitled An Act to amend section 92-5301 of the Code of Georgia of 1933, by changing the classes and amounts of commissions allowed to tax receivers and tax collectors of State and county taxes; to provide for the fees to be allowed tax collectors on delinquent taxes; to provide for the time of payment of commissions to tax receivers; to provide for the effective date of this Act; to repeal all laws in conflict herewith; and for other purposes., approved January 17, 1938 (Ga. L. 1937-38, Ex. Sess., p. 297), as amended, particularly by an Act approved February 11, 1955 (Ga. L. 1955, p. 176), is hereby amended by adding at the end of section 3 the following: Provided, however, in those counties having a population of not less than 32,500 and not more than 33,500, according to the 1950 United States Census or any such future census, where the tax collector or tax commission is on a salary, the commissions provided for herein shall be funds of the county and shall be collected by the tax collector or tax commissioner for the county and paid over to the fiscal authority of the county by the tenth day of each month for the immediately preceding month. so that when so amended, section 3 shall read as follows: Section 3. Be it further enacted by the authority aforesaid that as far as the tax collectors and tax commissioners are concerned, the rates and schedules prescribed by section 92-5301 shall apply upon the first 90 percent of the ad valorem net digests collected by the tax collector. On all taxes collected in excess of 90 percent of the total of taxes due, according to the tax net digest, the tax collector's or tax commissioner's commission shall be for such taxes 10 percent of all such collections, irrespective of the above and foregoing schedule and rates; provided further, that the board of commissioners of roads and revenues or the ordinary in those counties having no board of commissioners may by appropriate resolution provide that the tax collector's or tax commissioner's commission shall be 10 percent of all taxes collected in excess of 80

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percent of the total taxes due according to the net tax digest. Provided, further, that in those counties where the tax collector or tax commissioner is paid on a salary basis, the commission provided for herein shall be paid to the tax collector or tax commissioner in addition to the said salary. Provided, further, that in counties having a population of 75,000 or more according to the Federal census of 1950 or any future census where the tax collector or tax commissioner is paid on a salary basis, the commission provided for herein shall be paid into the treasury of such county. And provided further that in all counties having a population in excess of 300,000 according to the 1950 census or any future census, the commission provided for herein to the tax collector or tax commissioner, shall not apply to any part of the taxes collected under the Intangible Property Tax Act, approved December 22, 1953 (Ga. L. 1953, Nov.-Dec. Sess., pp. 379-390) being an amendment to an Act entitled `An Act to classify property for taxation.', approved December 27, 1937 (Ga. L. 1937-38, p. 156) as amended. Provided, however, in those counties having a population of not less than 32,500 and not more than 33,500, according to the United States Census or any such future census, where the tax collector or tax commissioner is on a salary, the commissions provided for herein shall be funds of the county and shall be collected by the tax collector or tax commissioner for the county and paid over to the fiscal authority of the county by the tenth day of each month for the immediately preceding month. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 12, 1960.

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GWINNETT JUDICIAL CIRCUIT CREATED. Code 24-2501 Amended. No. 465 (House Bill No. 850). An Act to create a new judicial circuit for the State of Georgia, to be known as the Gwinnett Judicial Circuit, to be composed of the County of Gwinnett; to provide for a judge and a solicitor-general for said circuit; to provide for their election and compensation; to fix the terms of court in said circuit; to provide for the transfer of proceedings to said circuit; to amend section 24-2501 of the Code, as amended, relative to judicial circuits, so as to include the new circuit; to make provision relative to a solicitor-general emeritus; to provide for an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Effective January 1, 1961, there is hereby created a new judicial circuit of the Superior Courts of this State, to be known as the Gwinnett Judicial Circuit, which circuit shall be composed of the County of Gwinnett. The offices of Judge and Solicitor-General of the Superior Court of the Gwinnett Judicial Circuit are hereby created. Although such circuit shall not come into existence until January 1, 1961, a judge and a silicitor-general for said circuit shall be elected at the general election in 1960, to take office for a term beginning January 1, 1961. Created. Section 2. The compensation and allowances of the judge of said circuit shall be as now or hereafter provided by law. The solicitor-general of said circuit shall be compensated on a salary basis, rather than a fee basis, and in addition to the compensation and allowances paid the solicitor-general of the superior courts by the State, the solicitor-general of said circuit shall be compensated in the amount of $6,000.00 per annum, which shall be paid in equal monthly installments from the funds of Gwinnett

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County. Any solicitor-general emeritus of the Piedmont Judicial Circuit residing in Gwinnett County upon the effective date of this Act shall become solicitor-general emeritus of the Gwinnett Judicial Circuit, and shall not lose any benefits accruing to him under the Act creating the office of solicitor-general emeritus approved February 17, 1949 (Ga. L. 1949, p. 780), as amended. Compensation of judge and solicitor-general. Section 3. The terms of court for said circuit shall be as follows: first Mondays in January, March, May, July; second Monday in September; first Monday in November. Terms. Section 4. That the grand jury of said county shall convene as provided by law, and whenever in the opinion of the judge of said circuit it is expedient or necessary to have a grand jury, he may in his discretion draw, call, and empanel a grand jury for services at any term of court. Grand jury. Section 5. All proceedings and litigations, civil, equitable and criminal, pending in the Superior Court of Gwinnett County, including all pleadings, petitions, indictments, special presentments, summonses, processes, motions, writs, mesne and final proceedings, together with all books and records of any kind or character belonging to, issued, returnable, filed, pending or commenced in such county, shall relate to, become a part of, and be transferred to the Gwinnett Judicial Circuit and its jurisdiction, when said circuit comes into existence. Transfer of cases. Section 6. Section 24-2501 of the Code of Georgia, as amended, which section enumerates the judicial circuits of this State and the counties comprising each circuit, is hereby amended by striking the figure 37 in the first sentence, and inserting in lieu thereof the figure 38, and by striking the words Piedmont Circuit, composed of the counties of Gwinnett, Barrow, Jackson and Banks, and inserting in lieu thereof the words Piedmont Circuit, composed of the counties of Barrow, Jackson and Banks, and by adding after the words Griffin Circuit, composed of the counties of Spalding, Pike, Upson and Fayette, the words Gwinnett Circuit, composed of the county of

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Gwinnett, so that section 24-2501, as so amended, shall read as follows: Judicial circuits. 24-2501. The entire State is divided in 38 judicial circuits, in reference to the jurisdiction and sessions of the superior courts as follows, to-wit: Code 24-2501 amended. Alapaha Circuit, composed of the counties of Atkinson, Berrien, Clinch, Cook and Lanier. Albany Circuit composed of the counties of Baker, Calhoun, Decatur, Dougherty, Mitchell and Grady. Atlanta Circuit composed of the county of Fulton. Atlantic Circuit, composed of the counties of Bryan, Liberty, McIntosh, Tattnall, Evans and Long. Augusta Circuit, composed of the counties of Burke, Columbia and Richmond. Blue Ridge Circuit, composed of the counties of Cherokee, Fannin, Forsyth, Gilmer and Pickens. Brunswick Circuit, composed of the counties of Appling, Camden, Glynn, Wayne and Jeff Davis. Chattahoochee Circuit, composed of the counties of Chattahoochee, Harris, Marion, Muscogee, Talbot and Taylor. Cherokee Circuit, composed of the counties of Bartow, Gordon, Murray and Whitfield. Clayton Circuit, composed of Clayton County. Cobb Circuit, composed of the county of Cobb. Cordele Circuit, composed of the counties of Dooly, Wilcox, Crisp and Ben Hill. Coweta Circuit, composed of the counties of Carroll, Coweta, Heard, Meriwether and Troup.

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Dublin Circuit, composed of the counties of Laurens, Johnson, Twiggs and Treutlen. Eastern Circuit, composed of the county of Chatham. Flint Circuit, composed of the counties of Butts, Henry, Monroe and Lamar. Griffin Circuit, composed of the counties of Spalding, Pike, Upson and Fayette. Gwinnett Circuit, composed of the county of Gwinnett. Lookout Mountain Circuit, composed of the counties of Catoosa, Dade, Chattooga and Walker. Macon Circuit, composed of the counties of Bibb, Crawford, Houston and Peach. Middle Circuit, composed of the counties of Emanuel, Jefferson, Washington, Toombs and Candler. Mountain Circuit, composed of the counties of Habersham, Rabun, Stephens, Towns and Union. Northeastern Circuit, composed of the counties of Dawson, Hall, Lumpkin and White. Northern Circuit, composed of the counties of Elbert, Hart, Madison, Oglethorpe and Franklin. Ocmulgee Circuit, composed of the counties of Baldwin, Greene, Jasper, Jones, Morgan, Putnam, Wilkinson and Hancock. Oconee Circuit, composed of the counties of Dodge, Montgomery, Pulaski, Telfair, Bleckley and Wheeler. Ogeechee Circuit, composed of the counties of Bulloch, Effingham, Jenkins and Screven. Pataula Circuit, composed of the counties of Clay, Early, Miller, Quitman, Randolph, Terrell and Seminole.

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Piedmont Circuit, composed of the counties of Barrow, Jackson and Banks. Rome Circuit, composed of the county of Floyd. Southern Circuit, composed of the counties of Brooks, Colquitt, Echols, Lowndes and Thomas. Southwestern Circuit, composed of the counties of Lee, Macon, Schley, Stewart, Sumter and Webster. Stone Mountain Circuit, composed of the counties of DeKalb, Newton, and Rockdale. The Judge of the Stone Mountain Circuit, when the business of said circuit does not require his attention, may aid in the disposition of the business of the Atlanta Circuit. Tallapoosa Circuit, composed of the counties of Douglas, Haralson, Polk and Paulding. Tifton Circuit, composed of the counties of Tift, Irwin, Worth and Turner. Toombs Circuit, composed of the counties of Glascock, Lincoln, McDuffie, Taliaferro, Warren and Wilkes. Waycross Circuit, composed of the counties of Pierce, Coffee, Charlton, Ware, Bacon and Brantley. Western Circuit, composed of the counties of Clarke, Oconee and Walton. Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 12, 1960.

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PIEDMONT JUDICIAL CIRCUITSOLICITOR-GENERAL PLACED ON FEE BASIS. No. 466 (House Bill No. 851). An Act to repeal an Act placing the Solicitor-General of the Piedmont Judicial Circuit on salary in lieu of a fee basis, approved March 7, 1955 (Ga. L. 1955, p. 2821); to provide for the compensation of said solicitor-general; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act placing the Solicitor-General of the Piedmont Judicial Circuit on a salary in lieu of a fee basis, approved March 7, 1955 (Ga. L. 1955, p. 2821), is hereby repealed in its entirety. 1955 Act repealed. Section 2. This Act shall become effective January 1, 1961, and the Solicitor-General of the Piedmont Circuit shall be compensated by the fees provided by law for his services performed on and after such date. Effective date. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 12, 1960. ELECTIONSPRIMARIES IN WHICH CANDIDATES FOR MEMBERSHIP IN GENERAL ASSEMBLY MAY RUN. No. 468 (House Bill No. 723). An Act to amend an Act entitled An Act to provide that candidates for membership in the General Assembly of Georgia may run either in a county primary or a State primary; to repeal conflicting laws; and for other purposes., approved February 20, 1956 (Ga. L. 1956, p.

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159), so as to change the provisions relating to the date by which certain county primaries must be called; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act entitled `An Act to provide that candidates for membership in the General Assembly of Georgia may run either in a county primary or a State primary; to repeal conflicting laws; and for other purposes.', approved February 20, 1956 (Ga. L. 1956, p. 159), is hereby amended by striking Section 1 in its entirety and inserting in lieu thereof a new section 1, to read as follows: Section 1. Any other provisions of law to the contrary notwithstanding, any person who has been or who hereafter is nominated for membership in the General Assembly, either in a county primary or the State primary, shall be the nominee for such political party, and the names of such candidates shall be placed on the general election ballot as the official nominee of such party. Provided, however, that no county primary in which members of the General Assembly are candidates shall be called to be conducted in the year 1960 prior to the 15th day of February, and beginning with the year 1961, no county primary in which members of the General Assembly are candidates shall be called to be conducted prior to the 1st day of March of any year, and when so called, all candidates for nomination to the General Assembly shall run therein. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 15, 1960.

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REVENUECOMPUTATION OF INCOME TAXES ON TIMBER TRANSACTIONS. Code 92-3119 Amended. No. 474 (House Bill No. 260). An Act to amend certain provisions of Title 92 of the Code of Georgia of 1933, as amended, relating to the imposition, assessment, computation and collection of an income tax on net income; to amend section 92-3119 of the Code of Georgia of 1933, as amended, and to amend particularly subsection (d) of said Code section, which subsection (d) relates to the recognition, computation and treatment, for income tax purposes, of gains and losses from sales or exchange of capital assets, to insert and incorporate into said subsection (d) of said Code section 92-3119 a new provision relating specifically to gains and losses in cases of sales, exchange, cutting or other disposition of timber; to more nearly conform the income tax treatment under Georgia law of such gains and losses with the income tax treatment of such gains and losses under the United States Internal Revenue Code; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia, and it is hereby enacted by authority of the same: Section 1. That Subsection (d) of section 92-3119 of the Code of Georgia of 1933, as amended, which subsection relates to the recognition, computation and treatment, for income tax purposes, of gains and losses from sales or exchange of capital assets, be further amended by adding to the end of said subsection new provisions which shall read as follows: Code 92-3119 amended. (8) Gain or loss in the case of timber. In the case of the disposal of timber held for more than 6 months before such disposal, by the owner thereof under any form or type of contract by virtue of which such owner does or does not retain an economic interest in such timber,

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the difference between the amount realized from the disposal of such timber and the adjusted depletion basis thereof, shall be considered as though it were a gain or loss, as the case may be, on the sale of such timber. In determining the gross income, or the taxable income of the purchaser or lessee, the deductions allowable with respect to rents and royalties shall be determined without regard to the provisions of this paragraph. The date of disposal of such timber shall be deemed to be the date such timber is cut, but if payment is made to the owner under the contract before such timber is cut the owner may elect to treat the date of such payment as the date of disposal of such timber. For purposes of this paragraph, the term owner means any person who owns an interest in such timber but shall not be construed to apply to dealers, traders, and processors, who hold such timber for resale and which should be properly includable in inventory. Section 2. That all laws and parts of laws in conflict with this Act are hereby repealed. Approved February 15, 1960. LIENSBILLS OF SALE TO SECURE ADVANCES ON CROPS. Code 67-1105 Amended. No. 475 (House Bill No. 625). An Act to amend Code section 67-1105 relating to securing of advances made for the purpose of planting, making, or gathering a crop, by the giving of a bill of sale, covering all crops planted and grown within twelve months from the date of such bill of sale, so as to provide that a bill of sale may be given conveying crops planted and growing and that may be planted and grown to secure indebtedness of the grantor to the grantee, incurred and that may be incurred; to

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provide for the rank and priority of such bill of sale; to provide for a severability clause; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 67-1105 relating to securing of advances made for the purpose of planting, making, or gathering a crop, by the giving of a bill of sale, covering all crops planted and grown within twelve months from the date of such bill of sale, is hereby amended by striking said section in its entirety and inserting in lieu thereof the following: 67-1105. A bill of sale may be given under section 67-1301 of the Code of Georgia of 1933, conveying crops planted and growing and that may be planted and grown to secure existing indebtedness and such future advances as may thereafter be made by the grantee to the grantor, whether obligatory or otherwise, and also to secure all other indebtedness ex contractu that may thereafter be owing by the grantor to the grantee to the same extent as if all indebtedness secured and that may be secured by such bill of sale was contracted on the date of the execution of the bill of sale; provided, however, that the crop or crops shall be described in the said bill of sale with the same particularity as the laws require for a crop mortgage. Such bill of sale shall pass title to the crop or crops covered thereby, and shall not be held or construed to be a mortgage; provided, however, that the bill of sale herein authorized shall not be construed to be superior to the lien of a landlord for rent and supplies, or to a laborer's lien, but shall be superior to a judgment of older date than such bill of sale. Code 67-1105 amended. Section 2. In the event any section, subsection, sentence, clause or phrase of this Act shall be declared or adjudged invalid or unconstitutional, such adjudication shall in no manner affect the other sections, subsections, sentences, clauses or phrases of this Act, which shall remain of full force and effect, as if the section, subsection, sentence, clause or phrase so declared or adjudged invalid

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or unconstitutional was not originally a part hereof. The General Assembly hereby declares that it would have passed the remaining parts of this Act if it had known that such part or parts hereof would be declared or adjudged invalid or unconstitutional. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 15, 1960. CLERKS OF SUPERIOR COURTS MAY STORE RECORDS AWAY FROM COURTHOUSE. Code 24-2714 Amended. No. 479 (House Bill No. 734). An Act to amend Code section 24-2714, relating to the duties of the clerks of superior courts, so as to extend the distance from the courthouse for places at which records may be kept; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 24-2714, relating to the duties of the clerks of superior courts, is hereby amended by striking from paragraph 1. the word one and inserting in lieu thereof the word three, so that when so amended, paragraph 1. of section 24-2714 shall read as follows: Code 24-2714 amended. 1. To keep their offices and all things belonging thereto at the county site and at the courthouse, unless impracticable from any cause, when, by special permission of the ordinary, they may be kept at some other designated place not more than three miles therefrom, of which public notie must be given.

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Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 16, 1960. COBB JUDICIAL CIRCUITADDITIONAL JUDGE. No. 480 (House Bill No. 735). An Act to add one additional judge of the Superior Court of the Cobb Judicial Circuit of Georgia; to provide for the election of said judge and to fix the time at which he shall begin his term of office; to prescribe the powers of said judge; to prescribe the compensation or salary of said judge; to authorize the judges of said court to formulate, promulgate, amend and enforce rules of procedure in said court; to authorize the judges of said court to divide and allocate the work and duties thereof; to require candidates for such judgeships to designate the places for which they are running; to provide for the manner of empanelling jurors; to provide for an additional court reporter for said circuit; to provide for courtroom and chamber space; to provide for necessary secretarial assistance for the judges of said circuit; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Under and in accordance with the provisions of Article VI, Section III, Paragraph I, of the Constitution of the State of Georgia of 1954, (Code section 2-3801) one additional judge of the Superior Court for the Cobb Judicial Circuit of Georgia is hereby added, thereby increasing to two the number of the judges of the superior court for said circuit, effective January 1, 1961. Effective date. Section 2. Be it further enacted by the authority aforesaid that said additional judge of the Superior Court

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for the Cobb Judicial Circuit of Georgia shall be elected in the manner now provided by law for the election of judges of the superior courts of this State at the general election for members of the General Assembly to be held in 1960, for a term of four years, beginning on the first day of January, 1961, and ending on the last day of December, 1964, and when his successor shall have been elected and qualified. All subsequent elections for such judge shall be for a term of four years and shall be held and conducted as is now or may hereafter be provided by law for the election of judges of the superior courts of the State of Georgia. Term. Section 3. Be it further enacted by the authority aforesaid that every person who offers for nomination and election as one of the judges of said Superior Court for the Cobb Judicial Circuit of Georgia shall designate with the local party authority in all primaries and with the proper authority in all general elections the specific place for which he offers by naming the incumbent judge whom he desires to succeed and thereupon he shall be qualified, if otherwise qualified, to run for said specific judgeship and no other. In the event there is no incumbent judge in the place for which he desires to offer the candidate shall qualify by announcing his intention to run for the office for which there is no incumbent. Election. Section 4. Be it further enacted by the authority aforesaid that said additional judge of the Superior Court for the Cobb Judicial Circuit of Georgia shall have and may exercise all powers, duties, dignity, jurisdiction, privileges and immunities of the present Judges of the Superior Courts of this State. Either of the two judges of said court may preside over any cause, whether in their own or in other circuits, and perform any official act as judge thereof, including sitting on appellate courts as provided by law. Powers. Section 5. Be it further enacted by the authority aforesaid that the compensation, salary, and contingent expense allowance of said additional judge of the Superior

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Court for the Cobb Judicial Circuit of Georgia from the State of Georgia shall be the same as that of other judges of the superior courts of Georgia. Salary. Section 6. Be it further enacted by the authority aforesaid that all writs and processes in the Superior Court of the Cobb Judicial Circuit shall be returnable to the terms of said superior court as they are now fixed and provided by law, or as they may hereafter be fixed or determined by law, and all terms of said court shall be held in the same manner as though there were but one judge, it being the intent and purpose of this Act to provide two judges co-equal in jurisdiction and authority to attend to and perform the functions, powers, and duties of the judges of said superior court and to direct and conduct all hearings and trials in said court. Duties. Section 7. Be it further enacted by the authority aforesaid that said two judges of the Superior Court for the Cobb Judicial Circuit of Georgia in transacting the business of said court and in performing their duties and responsibilities, shall share, divide and allocate the work and duties to be performed by each. In the event of disagreement between said judges in respect hereof, the decision of the senior judge in point of continuous service as superior court judge shall be controlling. In the event that neither of said judges shall be senior in point of continuous service as superior court judge, the judge who was first admitted to the bar of Georgia shall be senior judge. Same. The two judges of the Superior Court of the Cobb Judicial Circuit shall have, and they are hereby clothed with full power, authority and discretion to determine from time to time, and term to term, the manner of calling the dockets and or fixing the calendars and order of business in said court. They may assign the hearing of trials by jury for a term to one of said judges, and the hearing of all other matters not requiring a trial by a jury to the other judge, and they may alternate such order of business at the next term. They may either of them conduct trials by jury at the same time within said

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circuit, or they may both or any one of them hear chambers business and motion business at the same time within said circuit. They may provide in all respects for holding the superior court of said circuit so as to facilitate the hearing and determination of all the business of said court at any time pending and ready for trial or hearing. In all such matters relating to the manner of fixing, arranging for and disposing of the business of said court, and making appointments as authorized by law where the judges thereof cannot agree or shall differ, the opinion or order of the senior judge as hereinbefore defined shall control. Same. Section 8. The drawing and empanelling of all jurors, whether grand, petit, or special may be by either of the judges of the Superior Court of said circuit, and they, or either of them, shall have full power and authority to draw and empanel jurors for service in said court so as to have jurors for the trial of cases before either of said judges separately, or before each of them at the same time. Juries. Section 9. The two judges of the Cobb Judicial Circuit shall be authorized and empowered to employ an additional court reporter for such duties and for such compensation as they see fit up to and including, but not exceeding the remuneration of the present court reporter of the Cobb Judicial Circuit as the same shall be now and hereafter fixed. Court reporter. Section 10. The governing authority of Cobb County, Georgia, is hereby fully authorized and empowered to provide such suitable courtroom, jury rooms and chambers for the two judges of the Cobb Judicial Circuit upon the recommendation of said judges. Courtroom, etc. Section 11. Be it further enacted by the authority aforesaid that the sections of this Act are separately enacted and it is the intention of the General Assembly that if any one or more sections of this Act should be declared unconstitutional by the Supreme Court of Georgia, or the Supreme Court of the United States, such

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declaration shall not affect the other or remaining sections of this Act. Section 12. Be it further enacted by the authority aforesaid that all laws or parts of laws in conflict with the provisions of this Act be and the same are hereby repealed. Approved February 16, 1960. REVENUETOBACCO TAX ACT AMENDED. No. 483 (House Bill No. 790). An Act to amend an Act imposing a tax upon the sale, use, or other disposition of cigars and cigarettes, approved February 28, 1955 (Ga. L. 1955, p. 268), as amended, particularly by an Act approved June 24, 1955 (Ga. L. 1955, Ex. Sess., p. 48), and an Act approved March 25, 1958 (Ga. L. 1958, p. 336), so as to re-define the word distributor and the word dealer; to provide for the collection of said tax by the use of stamps; to provide for discounts to be allowed licensed distributors; to provide for the sale of tax stamps by the State Revenue Commissioner to licensed distributors only; to provide for the affixing of stamps to containers of cigars and cigarettes by licensed distributors for and on behalf of dealers and others; to provide for the licensing, regulation and supervision of manufacturers, distributors, dealers and others, of cigars and cigarettes; to provide that cigars and cigarettes may not be sold at less than cost; to provide for the determination by the Commissioner of the cost price thereof; to provide for registration and regulation of vending machines for cigars and cigarettes and seizure and sale thereof as contraband when found in violation of this Act; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: The General Assembly does hereby determine that the following amendments to the Act imposing a tax upon the sale, use, or other disposition of cigars and cigarettes, approved February 28, 1955 (Ga. L. 1955, p. 268), as amended, particularly by an Act approved June 24, 1955 (Ga. L. 1955, Ex. Sess., p. 48), and an Act approved March 25, 1958 (Ga. L. 1958, p. 336), are proper and necessary to facilitate the collection of the taxes therein imposed and to protect the revenue. Section 1. The Act imposing a tax upon the sale, use or other disposition of cigars and cigarettes, approved February 28, 1955 (Ga. L. 1955, p. 268), as amended, particularly by an Act approved June 24, 1955 (Ga. L. 1955, Ex. Sess., p. 48), and an Act approved March 25, 1958, (Ga. L. 1958, p. 336), is amended by repealing in its entirety section 2 thereof and by substituting in lieu thereof the following section 2, so that said section as amended hereby shall read as follows: Section 2. For the purposes of this Act, and unless otherwise required by the context, the following definitions shall apply: (a) The word `Commissioner' shall mean the State Revenue Commissioner. Definitions. (b) The word `person' shall mean any individual, firm, fiduciary, partnership, corporation, trust, or association, however formed. (c) The word `distributor' shall mean any person who maintains a warehouse, warehouse personnel and salesmen who regularly contact and call on dealers, and who is engaged in the business of manufacturing cigars or cigarettes in this State, or is engaged in the business of importing into this State cigars or cigarettes, or is engaged in the business of purchasing cigars or cigarettes from other manufacturers or distributors, and selling such cigars or cigarettes to dealers in this State for resale, but not directly to the ultimate consumer thereof.

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(d) The word `dealer' shall mean any person (other than a distributor) who is engaged in this State in the business of selling cigars or cigarettes directly to the ultimate consumer thereof. (e) The word `vending machine' shall mean any coin-in-the-slot device used for the automatic merchandising of cigars or cigarettes. (f) The word `cigar' shall mean any roll for smoking made wholly or in part of tobacco, the cover of which is also tobacco. (g) The word `cigarette' shall mean any roll for smoking made wholly or in part of tobacco, the cover of which is paper or any other substance except tobacco. (h) The word `sale' shall mean any sale, transfer, exchange, theft, barter, gift, or offer for sale and distribution in any manner, or by any means whatsoever. (i) The word `stamp' shall mean any impression, device, stamp, label, or print manufactured, printed, made or affixed as prescribed by the Commissioner. Section 2. That section 4 of said Act, relating to the collection of the taxes imposed thereunder by means of stamps, be amended by striking same in its entirety and substituting in lieu thereof the following section 4: Section 4. (a) The taxes imposed by section 3 of this Act shall be collected and paid through the use of stamps. The Commissioner shall secure stamps of such design, materials and denominations as he deems appropriate to protect the revenue, and shall sell such stamps to licensed distributors at a discount of not less than 2% nor more than 8% of the face value thereof, such percentage to be based on brackets according to the volume of cigars and cigarettes handled by said distributor according to regulations promulgated by the Commissioner. The Commissioner shall prescribe by regulations, to protect the revenue, the conditions, method and manner in

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which stamps are to be affixed to containers of cigars and cigarettes. No distributor shall sell or exchange with another distributor any stamps issued under authority of this Act. The Commissioner is authorized to redeem at cost price any stamps presented for redemption by a licensed distributor provided the Commissioner determines from physical inspection that no cigars or cigrettes have been sold by such distributor under pretense of the tax hereby imposed having been paid through use of such stamps. Revenue stamps. Section 3. That section 5 of said Act relating to the licensing and bonding of distributors and dealers of cigars or cigarettes, be amended by striking same in its entirety and substituting in lieu thereof the following section 5: Licenses. Section 5 (a) No person shall engage in or conduct the business of manufacturing, purchasing, selling, consigning, vending, dealing in or distributing cigars or cigarettes in this State without having first obtained a license from the Commissioner. (b) All licenses shall be issued by the Commissioner, who shall make rules and regulations respecting applications therefor and issuance thereof. The Commissioner may refuse to issue any license under this Act where he has reasonable cause to believe that the applicant has willfully withheld information requested of him or required by the regulations to be provided or reported, or where he has reasonable cause to believe that the information submitted in any application or report is false or misleading and is not in good faith. (c) The fee for a distributor's license shall be $50.00 annually, except that for a person commencing business as a distributor for the first time after the effective date of this Act the first year's fee shall be $250.00. Each dealer shall have a permanent license issued by the Commissioner free of charge. Each license, except a dealer's license, shall begin on July 1st and end on June 30th and the prescribed fee shall accompany every application for any such license and shall apply for any

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portion of the annual period. Any distributor's or dealer's license shall be subject to suspension or revocation for violation of any of the provisions of this Act and the rules and regulations made pursuant thereto. A separate license shall be required for each place of business. No person shall hold a distributor's license and a dealer's license at the same time. (d) The Commissioner shall have the power to make rules and regulations governing the sale of cigars and cigarettes in vending machines. Because of the transitory character of such vending machines, the Commissioner is authorized to require annually a special registration of each such vending machine for any operation in this State and to charge a license fee therefor in the amount of $1.00 for each machine. No vending machine shall be purchased or transported into this State for use in this State after the effective date of this Act which is not so designed as to permit inspection without opening the machine, in order to determine that cigars and cigarettes contained therein bear the tax stamp required under this Act. Vending machines. (e) The distributor's or dealer's license shall be exhibited in the place of business for which it is issued and in such manner as may be prescribed by the Commissioner. The Commissioner shall require each licensed distributor to file with him a bond in an amount not less than $1,000.00 to guarantee the proper performance of his duties and the discharge of his liabilities under this Act. The bond shall run concurrently with the distributor's license but shall remain in full force and effect for a period of one year after the expiration or revocation of the distributor's license unless the Commissioner certifies that all obligations due the State arising under the provision of this Act have been paid. Bond. (f) The jurisdiction of the Commissioner in the administration of this Act shall extend to every person using or consuming cigars or cigarettes in this State, and to every person dealing in cigars or cigarettes in

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any way for business purposes and maintaining a place of business in this State. For the purpose of this Act the maintenance of an office, store, plant, warehouse, stock of goods, or regular sales or promotional activity, whether carried on automatically or by salesmen or other representatives, shall, among other activities, constitute the maintenance of a place of business. Authority of Commissioner. (g) The Commissioner in his discretion may provide for the licensing of promotional activities, not including the sale of cigars or cigarettes, carried on by manufacturers, in which case the fee shall be $10.00 annually. Promotional activities. (h) No distributor or dealer as defined in this Act shall sell cigars or cigarettes below their cost price. The cost price shall be determined by the Commissioner according to his discretion in accordance with the rules and regulations promulgated by the Commissioner. (i) Any distributor or dealer licensed under this Act who sells cigars or cigarettes below their cost price, as determined by the Commissioner, shall subject the distributor or dealer to the suspension or revocation of his license after hearing before the Commissioner. Revocation of licenses. Section 4. That section 6 of said Act relating to the obligation of non-resident distributors, be amended by designating said section as section 6 (a) and adding thereto a new section 6 (b) as follows: (b) Every non-resident manufacturer of cigars or cigarettes, and every non-resident distributor of cigars or cigarettes making shipments thereof, by common carrier, or otherwise, for their own account or for the account of others, to distributors or dealers located within this State, shall make reports thereof when, and as required by rules and regulations of the State Revenue Commissioner. Non-resident manufacturers and dealers. Section 5. Said Act is further amended by striking sub-section 9 (a) of the Act as the same now appears

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in its entirety and by inserting in lieu thereof a new section to be numbered 9 (a) which shall read as follows: Section 9. (a) No person shall sell, offer for sale or possess with intent to sell in this State any cigars or cigarettes the containers of which do not bear the tax stamps required by section 4. Each distributor shall affix, at the location for which his license is issued, in such manner as the Commissioner may specify in regulations issued pursuant to this Act, to each individual package of cigarettes sold or distributed by him and to each container of cigars sold by him or from which he sells cigars, stamps of the denomination required by section 3. Such stamps may be affixed by a distributor at any time before the cigars or cigarettes are transferred out of his possession. It is the intent of the Act that the tax be paid only once, and if the distributor acquires stamped cigars or cigarettes he is not by this section required to affix additional stamps. Every dealer shall within twenty-four (24) hours after coming into possession of any cigars or cigarettes not bearing proper stamps evidencing payment of the tax imposed by this Act, and before selling, using or otherwise disposing of such cigars or cigarettes, cause to be affixed to each individual package of cigarettes and to each container of cigars, by any licensed distributor, and in such manner as the Commissioner may specify in regulations issued pursuant to this Act, stamps of the type and denomination required by section 3 of said Act. A licensed distributor shall affix such stamps when presented a permit therefor issued by the State Revenue Commissioner, and a licensed distributor shall stamp cigars and cigarettes other than his own only when authorized by such permit issued by the State Revenue Commissioner. Stamps. Section 6. Said Act is further amended by inserting following subsection (c) of section 9 thereof a new subsection (d), which shall read as follows: Section 9. (d) The Commissioner shall have the authority to prescribe the charges which may be made by a distributor, to any person under this Act, for the service

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of such distributor in affixing to each individual package of cigarettes and to each container of cigars, the stamps provided for in this Act. Service charge for affixing stamps. Section 7. That section 10 of said Act relating to seizure of unstamped cigars or cigarettes, be amended to add a further subsection 10 (c), relating to the seizure of vending machines found containing or dispensing unstamped cigars or cigarettes, to read as follows: 10 (c) Any vending machine found containing or dispensing any cigars or cigarettes which does not bear the tax stamps required under this Act or which is not registered as provided in this Act shall be contraband and the State Revenue Commissioner is authorized to seize such machine and deal with it in the same manner as prescribed by law for the seizure and sale of unstamped cigars and cigarettes. Contraband. Section 8. The effective date of this Act shall be upon the Governor signing the same into law, except subparagraphs (c) and (d) of section 3 thereof, which shall be July 1, 1960. Effective date. Section 9. All laws, or parts of laws, in conflict with this Act are hereby repealed and in the event any part of this Act should be declared unconstitutional, it shall not affect any other portion of the Act. Approved February 17, 1960. DEPARTMENT OF PUBLIC SAFETYSUBSISTENCE ALLOWANCESLICENSE FEES. No. 484 (House Bill No. 936). An Act to amend an Act creating a Department of Public Safety approved March 19, 1937 (Ga. L. 1937, p. 322), as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 296), also particularly

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by an Act approved June 24, 1955 (Ga. L. 1955, Ex. Sess., pp. 35, 37), so as to change the provisions relating to subsistence allowances and percentage increases; to provide a fee schedule and charges for driver's licenses; to provide effective dates; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating a Department of Public Safety approved March 19, 1937 (Ga. L. 1937, p. 322), as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 296), is hereby amended by striking section 2 of Article II in its entirety and inserting in lieu thereof a new section 2 of Article II, to read as follows: Section 2. The Uniform Division of the Department of Public Safety shall consist of: (1) The Headquarters Staff. (2) One Battalion. (3) Recruits. The Headquarters Staff shall be composed of Director; Deputy Director; Commanding Officer, with rank and pay of major; Director, Georgia Bureau of Investigation with rank and pay of major; Treasurer with rank and pay of major; Suspension and Revocation Supervisor and Supervisor of Safety Responsibility with rank and pay of captain; Drivers License Bureau Supervisor with rank and pay of captain; Accident Reporting Division Supervisor with rank and pay of captain; Safety Education Supervisor with rank and pay of captain; Personnel Officer with rank and pay of captain; Chief Radio Engineer and Supervisor of Radio Division with rank and pay of captain; Training and Indoctrination Officer with rank and pay of captain; and such commissioned and non-commissioned officers and troopers and clerical force as the Director deems necessary for use at headquarters. The personnel of the Headquarters Staff except the Commanding

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Officer and Treasurer shall not be included in the complement of the battalion hereinafter shown. The salaries of the Headquarters Staff shall be on the same scale and payable at such times as those of similar rank herein named. The clerical duties at headquarters shall be performed by such Headquarters Staff with the right in the Director of Public Safety to transfer any member of such Headquarters Staff to any other division or district for any other duty he may fee fit. The Director of Public Safety shall appoint one of the officers of the Headquarters Staff to act as Treasurer and Disbursing Officer for the Department of Public Safety, and such officer shall give a good and sufficient surety bond in the amount of $10,000 conditioned for the faithful discharge of his duties, and for the faithful accounting of all funds coming into his hands, payable to the Governor of Georgia and his successors in office and to be approved by the Director of Public Safety. Treasurer and Disbursing Officer. In the event a surety bond is given by any member or employee of the Department of Public Safety, the premium thereon shall be paid out of the funds of the Department. The one battalion shall consist of not more than 500 officers and men, in the discretion of the Director of Public Safety with the approval of the Department of Public Safety, which battalion as instituted, shall be composed of the following personnel including the Commanding Officer and Treasurer herein named; said battalion to include not more than the following number of officers and non-commissioned officers with salaries as herein stated, payable monthly: 2 Majors at $3,965.00 per year, each 4 Captains at $3,365.00 per year, each Salaries. 8 1st Lieutenants at $2,965.00 per year, each

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2 Sergeant Majors at $2,865.00 per year, each 45 Sergeants at $2,765.00 per year, each 45 Corporals at $2,565.00 per year, each All Troopers at $2,400.00 per year, each Radio Operators and License Examiners of said Department though not members of the uniform battalion shall be compensated at a sum of $255.00 per month and they shall be entitled to the increases hereinafter provided for length of service on such base salary. Radio operators and license examiners. Said salaries shall be automatically increased 5% annually for the first five years of service, 3% annually for the next five years of service, 2% annually for the next ten years of service, and 1% annually for each year of service thereafter. Such increases shall be computed on the base pay of each member at the rank which he holds on April 1, 1958. In the event such member's rank changes in the future, such increases shall be recomputed on the basis of such new rank. Credit for prior service shall be granted and such service shall be used in the formula for computing such increases. No credit for service shall be granted for any time during which a person was not actually employed by the Department of Public Safety and received compensation therefor in one of the positions for which such increases are authorized herein. Credit shall be granted for service, not to exceed five years, in the armed forces of the United States for any period of time served during the years 1940 through 1946 and 1950 through 1955, provided the member to whom such credit is granted left the Department for the purpose of going into the armed forces and returned to the Department within six months after his discharge therefrom. The increases provided for herein shall likewise be received by the members of the Headquarters Staff, except the Director. The increases provided for herein shall likewise be received by members of the Georgia Bureau of Investigation, whose compensation is based upon the same base pay schedule as that of the members of the Uniform Division of the Department of Public Safety as set forth in this Act, as amended. The Director and Deputy Director shall likewise continue to

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receive the increase of $365.00 per annum provided in the Act approved March 9, 1956 (Ga. L. 1956, p. 687), even if such Act is repealed. Subsistence allowances shall be $5.00 per day for troopers and officers and shall be in addition to all salaries and compensation and other allowances and shall also be subject to the automatic percentage increases provided hereinbefore relative to salaries. Subsistence allowance. In addition to the above officers, non-commissioned officers and troopers, the Director of Public Safety, with the approval of the Department of Public Safety, is authorized to make such promotions as may be necessary from time to time, to provide a sufficient number of non-commissioned officers for the State Patrol. No person in the employ of the Department of Public Safety shall take any part in the management, affairs or political campaign of any candidate for public office, except he shall have a right as a citizen to express his opinion and to cast his vote. No person in the employ of the Department of Public Safety, shall, either directly or indirectly, contribute any money or other thing of value to any person, organization or committee for political campaign or election in county or State primaries or general elections. Any employee of the Department of Public Safety convicted of violation of this section shall terminate his connection with the Department. The Director of Public Safety is authorized to employ the number of recruits as may be necessary, who shall not be members of the Uniform Division, and the Director shall prescribe the rules and regulations governing the training and enlistment of such recruits subject to the approval of the Board of Public Safety. The provisions of this section shall be effective January 1, 1961. Section 2. An Act creating the Department of Public Safety, approved March 19, 1937 (Ga. L. 1937, p. 322), as amended, particularly by an Act approved June 24,

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1955 (Ga. L. 1955, Ex. Sess., pp. 35, 37), is hereby amended by striking section 8 of Article IV in its entirety and inserting in lieu thereof the following: Section 8. The fee for a Learner's or Operator's license, or renewal of either, shall be $1.00 per annum. The fee for a Chauffeur's license, or renewal, shall be $2.00 per annum. The fee for a duplicate Learner's, Operator's or Chauffeur's license shall be $1.00. License fees. No fee shall be required for the issuance of a Veteran's license or duplicate Veteran's license. The provisions of this section shall become effective April 1, 1960. Section 3. All laws or parts of laws in conflict herewith are hereby repealed. Approved February 17, 1960. LAND CONVEYANCE TO APPLING COUNTY AUTHORIZED. No. 76 (House Resolution No. 409-912). A Resolution. Authorizing the conveyance of property to Appling County; and for other purposes. Whereas, by deed dated June 3, 1937, R. M. Dunn of the County of Appling conveyed to the State of Georgia a certain tract and parcel of land situate, lying and being in Appling County containing four hundred ninety (490) acres, more or less, of lot no. 192 in the second land district of Appling County,

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Georgia, said deed being recorded in deed book 43, pages 270-71, in the records of the Clerk of the Superior Court of Appling County, Georgia; and Whereas, by deed dated June 3, 1937, Nettie A. Neely, Samuel P. Neely, and Joseph Neely conveyed to the State of Georgia a certain tract or parcel of land in land lot no. 191 in the second land district of Appling County containing four hundred ninety (490) acres, more or less, said deed being recorded in deed book 43, page 270, of the records of the Clerk of the Superior Court of Appling County; and Whereas, the two tracts of land hereinbefore described were conveyed with the understanding, not in writing, that the land would be utilized in conjunction with the establishment of a forestry school in Appling County; and Whereas, said school has not been established and the only use being made of said property is by the State Forestry Commission and said property is known as the Baxley State Forest; and Whereas, it is desirable that a small portion of the land originally conveyed be retained by the State in conjunction with the buildings erected thereon by the Forestry Commission; and Whereas, by a resolution approved February 22, 1957, (Ga. L. 1957, p. 85), a portion, to wit; one hundred twenty-four (124) acres, was authorized to be conveyed to the Southeast Georgia Recreational Association for use as a recreational use in Appling County in connection with the location of a jet aircraft base in Appling County and, pursuant to the authority contained in such resolution by deed dated March 18, 1957, the State of Georgia conveyed to named persons, as trustees of and for the Southeast Georgia Recreational Association, the one hundred twenty-four (124) acres authorized to be so conveyed; and

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Whereas, the conveyance of the entire tract originally conveyed to the State, with the execption of that portion desired to be retained by the State for use by the Georgia Forestry Commission, embraces the property heretofore conveyed; and Whereas, the grantees in the indenture dated March 7, 1957 have executed a quit claim deed of their interest in the one hundred twenty-four (124) acres to Appling County, said instrument being held in escrow for delivery to Appling County simultaneously with the execution of any deed authorized by this resolution; and Whereas, the conveyance of the entire tract, with the exception of the retained property, would cause a merger of all the right title and interest of said property, including the one hundred twenty-four (124) acres in Appling County, thereby removing any doubt as to the title that Appling County would have in such property. Now, therefore, be it resolved by the General Assembly of Georgia that the Governor, acting for and in behalf of the State, is hereby authorized to convey to Appling County all of that property conveyed to the State by the two indentures dated June 3, 1937, containing nine hundred eighty (980) acres, more or less, as described in said instruments, with the exception of that portion of the aforedescribed property situate, lying and being in the second land district of Appling County land lot no. 191, beginning at the center of U. S. No. 1 SR 4 running east along the northern line of said property that is also the southern line of lands of E. Brannen a distance of nine hundred ninety-six (996) feet to the original land lot line; thence due south along the land line of Joe Herndon a distance of one thousand fifty-three (1,053) feet; thence north eighty-four degrees west a distance of one thousand five hundred ninety (1,590) feet to the center of U. S. No. 1 SR 4; thence north thirty-three degrees fifteen minutes east a distance of one thousand fifty-five

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(1,055) feet to the point of beginning. The conveyance herein authorized, when executed, shall include the one hundred twenty-four (124) acres heretofore conveyed under authority of the 1957 resolution of the General Assembly and, upon the delivery of the quit claim deed of the named persons as trustees of the Southeast Georgia Recreational Association, the conveyance made thereunder is hereby ratified. It is the intent and purpose of this paragraph to be a ratification of said conveyance only upon the execution of the quit claim deed and a merger of title of all such lands, as herein provided, to Appling County. Approved February 17, 1960. COMPENSATION TO DR. GEORGE W. JACKSON. No. 77 (House Resolution No. 275-600). A Resolution. To provide for compensation and expenses for the services rendered by Dr. George W. Jackson; and for other purposes. Whereas, the Joint House-Senate Mental Health Study Committee has made an exhaustive study of the mental health laws and the mental health institutions of the State of Georgia, and said Committee has met on numerous occasions between the adjournment of the 1959 regular session of the General Assembly of Georgia and the convening of the 1960 session of said General Assembly; and Whereas, during said studies, Dr. George W. Jackson, Director, Division of Institutional Management of the State Department of Social Welfare of the State of Kansas, was invited to the State of Georgia to assist the committee in making its studies, and Dr. Jackson was also requested by said committee to make a report to the Joint House-Senate Mental Health

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Study Committee, which was made and is a part of the report of said committee; and Whereas, Dr. Jackson has rendered his statement to the Joint House-Senate Mental Health Study Committee in the amount of $695.66 for services rendered and expenses for his consultations with said committee and the preparation of the report, as requested by said committee; and Whereas: it is desirable and just that said amount be paid. Now, therefore, be it resolved by the General Assembly of Georgia that Dr. George W. Jackson be compensated in the amount of $695.66 for services rendered and expenses in consulting with the Joint House-Senate Mental Health Study Committee and preparing the report, as requested by said Committee. Said sum shall be paid from funds appropriated to or available to the General Assembly of Georgia. Approved February 17, 1960. GENERAL ASSEMBLYPAY OF DECEASED MEMBERS. Code 47-109 Amended. No. 492 (House Bill No. 711). An Act to amend Code section 47-109, relating to the disposition of the pay of a member of the General Assembly who dies during a session or afterwards without having received his entire pay, so as to authorize payment to the mother, father, or the estate of such deceased member; to provide for the applicability of said section; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. Code section 47-109, relating to the disposition of the pay of a member of the General Assembly who dies during a session or afterwards without having received his entire pay, is hereby amended by striking said section in its entirety and inserting in lieu thereof a new section 47-109, to read as follows: 47-109. If any member of the General Assembly shall die during the session or afterwards without having received the whole or any portion of his pay, the amount due for the whole session shall be paid to the widow of the deceased, and if there shall be no widow, in like manner to the children, and if there shall be no children, in like manner, to the mother, and if there shall be no mother, in like manner, to the father, and if there shall be no father, in like manner, to the estate of such deceased member. The provisions of this section shall be applicable to all members of the General Assembly beginning with the 1959-1960 term and all future terms. Code 47-109 amended. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 18, 1960. CRIMESREFUSAL TO LEAVE PREMISES OF ANOTHER, ON PROPER REQUEST, A MISDEMEANOR. No. 497 (House Bill No. 1112). An Act to make it a misdemeanor for any person to refuse to leave certain premises when requested to do so; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. It shall be unlawful for any person, who is on the premises of another, to refuse and fail to leave

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said premises when requested to do so by the owner or any person in charge of said premises or the agent or employee of such owner or such person in charge. Any person violating the provisions of this section shall be guilty of a misdemeanor and upon conviction thereof shall be punished as for a misdemeanor. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 18, 1960. LIQUEFIED PETROLEUM SAFETY ACTAMENDED. No. 500 (House Bill No. 661). An Act to amend an Act known as the Liquefied Petroleum Safety Act of Georgia, approved February 25, 1949 (Ga. L. 1949, p. 1128), as amended by an Act approved February 23, 1955 (Ga. L. 1955, p. 221), so as to provide for minimum storage facilities for licensees in this State; to fix penalties for violations; to provide for hearings before the State Fire Marshal; to provide for appeals from the decisions of the State Fire Marshal to the superior court; to provide for bill of exceptions in the Court of Appeals or Supreme Court; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Liquefied Petroleum Safety Act of Georgia, approved February 25, 1949 (Ga. L. 1949, p. 1128), as amended by an Act approved February 23, 1955 (Ga. L. 1955, p. 221), is hereby amended by striking section 4A in its entirety, and by inserting in lieu thereof a new section 4A, to read as follows: Section 4A. No person, firm or corporation shall be licensed to sell or distribute liquefied petroleum gas in this State unless such person, firm or corporation owns or

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operates in Georgia at least one bulk storage facility capable of holding a minimum of 18,000 water gallons of liquefied petroleum gas; except where such person, firm or corporation operates on a franchise with a supplier who maintains a total storage in the State of Georgia equivalent to at least 18,000 water gallons storage capacity for each such franchisee who distributes liquefied petroleum gas in bulk; provided further, however, the Fire Marshal, in his discretion and in accordance with the provisions of such rules and regulations as have been or may be duly promulgated and adopted under the provisions of this Act, may waive the minimum bulk storage facility requirement for those dealers who supply or sell to motor vehicles using liquefied petroleum gas as motor fuel; or to portable bottle customers, trailer camp customers, and similar customers whose portable containers comply with the specifications of the Interstate Commerce Commission and have a capacity of not more than one hundred (100) pounds of liquefied petroleum gas. Minimum storage requirements. Section 2. Said Act is further amended by adding a new section thereto, to be known as section 7A, to read as follows: Section 7A. The State Fire Marshal, upon 10 days written notice in the form of a show cause order to the licensee stating his contemplated action and in general the grounds therefor, and after giving the licensee a reasonable opportunity to be heard, subject to the right to review hereinafter provided, may, by order in writing, suspend or revoke any license issued under the provisions of this Act, or in lieu thereof, may assess a penalty against said licensee in an amount not to exceed $1,000, if the Fire Marshal shall find: Revocation of licenses, other penalties. (1) That the licensee has failed to pay the annual license fee, or any fee required under this Act, or any penalty imposed under the Act, or (2) That the licensee knowingly has violated any of the provisions of this Act, or any of the rules and regulations promulgated under this Act; provided, however,

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that any such suspension, or revocation, or imposition of penalty shall not become final, pending and subject to the right of review hereinafter provided, but the court shall have and is hereby granted power to enter such order as justice shall require pending hearing on such appeal; and, provided further, the court upon such appeal may tax the cost, including the cost of the hearing before the State Fire Marshal, against the losing party. Section 3. Said Act is further amended by adding a new section thereto, to be known as section 7B, to read as follows: Section 7B. The decisions of the State Fire Marshal in the granting or refusing to grant a license and in the revocation or suspension of such license and in the imposition of any penalty against a licensee and in any other order or decision authorized herein shall be final and conclusive and binding as to all determinations of fact made by him; but any applicant or licensee who deems himself aggrieved may, within 30 days from entry of such final order, but not thereafter, appeal from the decision of the State Fire Marshal to the superior court of the county wherein such applicant or licensee may reside or conduct his business, in the manner heretofore outlined, and upon the following grounds: Appeals. The applicant or licensee deeming himself to be aggrieved may file an application in writing with the State Fire Marshal asking for an appeal from such decision, stating generally the grounds upon which such appeal is sought. In the event such appeal is filed, the State Fire Marshal shall, within 30 days from the filing of same, cause certified copies of all documents and papers then on file in his office in the matter, and a transcript of all the testimony taken therein, to be transmitted with his findings and order to the clerk of the superior court to which the case is appealable, as heretofore set out. The cause so appealed may thereupon be brought on for a hearing in either term time or vacation before said superior court upon such record by either party on 10 days written notice by the court, and upon such hearing, the

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court shall set aside the order or decision of the State Fire Marshal if it be found that: (1) The State Fire Marshal acted arbitrarily or in excess of his powers; (2) The order or decision was obtained by fraud; (3) There is not sufficient competent evidence in the record to warrant the Fire Marshal in making the order or decision complained of; or that (4) The order or decision is contrary to law. No order or decision of the State Fire Marshal shall be set aside by the court except upon one or more of the grounds hereinbefore set out, and if it is found that none of such grounds for setting aside such order or decision of the Fire Marshal exists, the court shall affirm the order or decision of the Fire Marshal so appealed. Upon the setting aside of any order or decision of the Fire Marshal upon appeal, the court may recommit the controversy to the Fire Marshal for further hearings or proceedings in conformity with the judgment and opinion of the court, or the court may enter such judgment upon the findings, as the nature of the case may demand. Any party in interest who is aggrieved by a judgment entered by the superior court upon an appeal from any order or decision of the State Fire Marshal may have the same reviewed by the Court of Appeals or the Supreme Court within the time and in the manner provided by law in other cases. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 18, 1960.

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NORTHEASTERN JUDICIAL CIRCUITJUDGE'S SALARY SUPPLEMENTED BY HALL COUNTY. No. 503 (House Bill No. 685). An Act to authorize the governing authority of Hall County to supplement the salary of the Judge of the Superior Court for counties within the Northeastern Circuit; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section. 1. The governing authority of Hall County is hereby authorized to supplement the salary of the judge of the superior court for counties within the Northeastern Circuit in an amount not to exceed twenty-five hundred ($2,500.00) dollars per year. Said supplementary salary so set by the governing authority of Hall County shall be in addition to and supplemental to all other compensation received by said judge and shall be payable in equal monthly installments out of Hall County funds. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 19, 1960. TAXATION BY MUNICIPAL CORPORATIONS TO SUPPORT INDEPENDENT SCHOOL SYSTEMS. No. 504 (House Bill No. 714). An Act to amend an Act approved March 10, 1959 (Ga. L. 1959, p. 157) relating to taxation by municipal corporations to support individual school systems, by more clearly defining the purpose for which such taxes may be levied and stating the events in which the power to levy such taxes shall be terminated, and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. That the Act of the General Assembly of Georgia approved March 10, 1959 (Ga. L. 1959, p. 157) entitled An Act to provide for the support of independent school systems which municipal corporations are authorized by the Constitution to maintain; to authorize ad valorem taxation for the support of such school systems; to limit the purposes for which the power of taxation may be exercised in the support of such independent school systems; and for other purposes, be and the same is hereby amended by striking and repealing all of section 2 of said Act, and inserting in lieu thereof a new section 2 as follows: 1959 Act amended. Section 2. The authority hereby conferred upon municipal corporations to levy taxes may be exercised only for the purpose of levying such taxes for the support of separate public schools for the white and colored races. Whenever any public school system operated by any municipal corporation of this State shall admit any member of the colored race to any school maintained by said school system for members of the white race, or shall admit any member of the white race to any school maintained by said school system for members of the colored race, or shall otherwise admit members of the white and colored races to the same school, then all power conferred upon any such municipal corporation by this Act shall immediately terminate and cease to be effective and no such municipal corporation shall thereafter have power or authority to levy any tax, ad valorem or otherwise, for the support and maintenance of public schools; and the Superior Court of the county shall have jurisdiction to enjoin any attempt to exercise any such power at the suit of any taxpayer of the municipality; provided, however, that the closing of any public school within such municipality by authority of State law shall not prevent the exercise of the power of taxation conferred by this Act for the support of public schools thereafter continued in operation as separate public schools for the white and colored races. Notwithstanding anything to the contrary in any section of this Act as amended, each municipal corporation,

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having an independent or public school system as referred to in section 1 hereof, shall have the power to and may levy and collect any tax, the lien of which attached prior to the admission of one or more members of both white and colored races to the same public school maintained by such municipal corporation, and the proceeds of said tax may be used for the support of any public school in said system until one or more members of both the white and colored races are admitted to that public school, or to satisfy indebtedness incurred to provide funds for the support of public schools in said system, which indebtedness was incurred prior to the admission of members of both the colored and white races to any one public school in said system. The certificate of the person or persons authorized to borrow money on behalf of any such municipal corporation shall be conclusive for the purposes of the preceding sentence as to the fact that no members of both the white and colored races have been admitted to any one public school in said system prior to the time of the making of any such loan. Section 2. That all laws and parts of laws in conflict with this Act be and the same are hereby repealed. Approved February 19, 1960. COBB JUDICIAL CIRCUITASSISTANT SOLICITOR-GENERAL. No. 505 (House Bill No. 1138). An Act to amend an Act creating the Cobb Judicial Circuit approved February 19, 1951 (Ga. L. 1951, p. 184), as amended, by an Act approved February 26, 1957 (Ga. L. 1957, p. 163), so as to provide for the appointment of an assistant solicitor-general; to provide for powers and duties; to provide for compensation; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the Cobb Judicial Circuit approved February 19, 1951 (Ga. L. 1951, p. 184), as amended, by an Act approved February 26, 1957 (Ga. L. 1957, p. 163), is hereby amended by adding a new section to be known as section 4(b) to read as follows: Section 4(b). The solicitor-general is hereby authorized to appoint an assistant solicitor-general to serve at the pleasure of the solicitor-general who shall assist the solicitor-general in the performance of his duties. He is hereby authorized to serve in the place of the solicitor-general in the absence or disqualification of the solicitor-general and shall be clothed with all the powers and authority of the solicitor-general. The assistant solicitor-general shall be compensated in an amount not less than $5,000.00 nor more than $9,000.00 per annum, which amount shall be fixed by the governing authority of the county comprising the Cobb Judicial Circuit and shall be paid in equal monthly installments from the funds of said county. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 19, 1960. GEORGIA PORTS AUTHORITYCOMPENSATION OF MEMBERS No. 508 (Senate Bill No. 218). An Act to amend an Act creating the Georgia Ports Authority, approved March 9, 1945 (Ga. L. 1945, p. 464), as amended, particularly by an Act approved February 17, 1949 (Ga. L. 1949, p. 778) and an Act approved February 1, 1955 (Ga. L. 1955, p. 120), so as to change the provisions relating to the compensation of the members of the Authority; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the Georgia Ports Authority, approved March 9, 1945 (Ga. L. 1945, p. 464), as amended, particularly by an Act approved February 17, 1949 (Ga. L. 1949, p. 778) and an Act approved February 1, 1955 (Ga. L. 1955, p. 120), is hereby amended by striking from section 2 the following: The members of the Authority shall not be entitled to compensation for their services, but shall be reimbursed for their actual expenses necessarily incurred in the performance of their duties. and inserting in lieu thereof the following: The members of the Authority shall be compensated in the amount of forty ($40.00) dollars per day, plus actual expenses incurred, for each day's service spent in the performance of the duties of the Authority. Provided however such compensation shall be limited to one hundred (100) days for the chairman and thirty (30) days for each of the other members of the Authority during any one fiscal year. so that when so amended, section 2 shall read as follows: Section 2. Georgia Ports Authority. There is hereby created a body corporate and politic, to be known as the Georgia Ports Authority, which shall be deemed to be an instrumentality of the State of Georgia and a public corporation, and by that name, style, and title the said body may contract and be contracted with, sue and be sued, implead and be impleaded, and complain and defend in all courts of law and equity. The Authority shall consist of five members to be appointed by the Governor, one of whom shall be resident of the First Congressional District as it is now constituted and another from the Eight Congressional District as it is now constituted, and the three other members shall be selected from the State at large. The Governor shall appoint the two members added hereby, and they shall enter upon their duties as soon as possible after their appointment, but no later than April 1, 1955. The Governor

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shall designate one of the additional members to serve for a term which shall expire on June 30, 1957, and one to serve for a term which shall expire on June 30, 1959. Successors to such two members, as well as successors to the present three members, shall be appointed for terms of four years, which terms shall begin on the day following the expiration of the term of office of the member such person is appointed to succeed. Nothing herein shall affect the term of office of the three members presently serving, except that the term of office of each of them shall expire on June 30 of the year in which such term expires rather than July 1 of such year. Any member of the Authority shall be eligible for appointment. Any person appointed to fill a vacancy shall serve only for the unexpired term. The authority shall elect one of its members as chairman and another member as vice-chairman, and shall also elect a secretary and treasurer, who may not necessarily be a member of the Authority. Three members of the Authority shall constitute a quorum. No vacancy in the Authority shall impair the right of a quorum to exercise all the rights and perform all the duties of the Authority. The members of the Authority shall be compensated in the amount of forty ($40.00) dollars per day, plus actual expenses incurred, for each day's service spent in the performance of the duties of the Authority. Provided however such compensation shall be limited to one hundred (100) days for the chairman and thirty (30) days for each of the other members of the Authority during any one fiscal year. The Authority during any one fiscal year. The Authority shall make necessary rules and regulations for its own government. The Authority may delegate to one or more of its members or to its officials, agents, or employees, such powers and duties as it may deem proper. Said Authority shall have perpetual existence. No person shall be eligible for membership on the Georgia Ports Authority who shall also be at the time of appointment or thereafter become a member of any local port Authority of any city, town, county, or districts. Compensation of members.

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Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved February 29, 1960. GEORGIA RETAILERS' AND CONSUMERS' SALES AND USE TAX ACTAMENDED No. 509 (House Bill No. 857). An Act to amend an Act entitled The Georgia Retailers' and Consumers' Sales and Use Tax Act, approved February 20, 1951 (Ga. L. 1951, p. 360), as amended, so as to remove ambiguities which have become apparent with respect to upon whom the tax is levied and imposed, and to clarify the Act so as to make it clear that the legal imposition of the tax is upon the purchaser and thereby express the original intent of the General Assembly; to provide when the retailer shall be liable for the tax; to amend section 2 of said Act relating to the levy and imposition of the taxes imposed thereunder; to amend section 3 (c) 2 (d) of said Act, relating to the exclusion of governmental sales; to amend section 3 (c) 3 (g) of said Act, relating to the definition of the term retailer; to amend section 12 (a) of said Act, relating to the incidence of the taxes imposed thereunder; to amend section 12 (e) of said Act, relating to prohibited advertising; to amend section 15 (a) of said Act, relating to the liability of a successor in business; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That the first paragraph of section 2 of the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, pp. 360, 362), and subparagraphs (a), (b), (c), (d), and (e) thereunder, relating to the levy and imposition of the taxes imposed by said Act, be stricken in their entirety and that the following first

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paragraph and subparagraphs (a), (b), (c), (d), and (e) be enacted in lieu thereof: Section 2. There is hereby levied and imposed, in addition to all other taxes of every kind now imposed by law, a tax on the retail purchase, retail sale, rental, storage, use or consumption of tangible personal property, and the services hereinafter described, to be collected at the rates and in the manner hereinafter set forth: What to be taxed; rates. (a) Every purchaser of tangible personal property at retail in this State shall be liable for a tax thereon at the rate of three percent (3%) of the sales price thereof. Said tax shall be paid by the purchaser to the retailer making such sale, as hereinafter provided, and said retailer shall remit same to the State Revenue Commissioner, as hereinafter provided, and when received by the State Revenue Commissioner it shall be a credit against the tax imposed hereinafter on said retailer. Every person making a sale or sales of tangible personal property at retail in this State shall be a retailer and a dealer as defined in this Act and shall be liable for a tax thereon at the rate of three percent (3%) of such gross sale or gross sales, or the amount of taxes collected by him from his purchaser or purchasers, as hereinabove provided, whichever is greater. Provided, however, that no retail sale shall be taxable to the retailer or dealer which is not taxable hereunder to the purchaser at retail. Sales. (b) Upon the first instance of use, consumption, distribution, or storage within this State of tangible personal property purchased at retail outside this State, the owner or user thereof shall be a dealer hereunder and shall be liable for a tax at the rate of three percent (3%) of the cost price or fair market value thereof, whichever is the lesser; provided there shall be no duplication of the tax and subject to the credit hereinafter authorized for like taxes previously paid in another state. Use tax.

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(c) Every lessee or rentee of tangible personal property in this State shall be liable for a tax thereon at the rate of three percent (3%) of the gross lease or rental charge therefor. Said tax shall be paid by the lessee or rentee to his lessor or rentor, and said lessor or rentor, as a dealer under this Act, shall remit same to the State Revenue Commissioner, as hereinafter provided, and when received by the State Revenue Commissioner it shall be a credit against the tax imposed hereinafter on said lessor or rentor: Every lessor or rentor of tangible personal property in this State shall be a dealer as defined in this Act and shall be liable for a tax thereon at the rate of three percent (3%) of his gross lease or rental proceeds therefrom, or the amount of taxes collected by him from his lessee or rentee, as hereinabove provided, whichever is greater; provided, however, that no lease or rental shall be taxable to the lessor or rentor which is not taxable hereunder to the lessee or rentee; provided further that the rental of motion picture film shall not be subject to the taxes imposed under this subsection or subsection (d). Tax on rental of personal property. (d) Upon the first instance of use within this State of tangible personal property leased or rented outside this State, the lessee or rentee thereof shall be a dealer hereunder and be liable for a tax at the rate of three percent (3%) of the rental charge paid to his lessor or rentor on account of the rental thereof, subject to the credit hereinafter authorized for like taxes previously paid in another state. Same. (e) Every person purchasing any service or services within this State which under the terms of this Act are included within the meaning of the term `retail sale' or `sale at retail' shall be liable for tax thereon at the rate of three percent (3%) of the gross charge or charges made therefor. Said tax shall be paid by the person purchasing such services to the persons furnishing same, as hereinafter provided, and said person furnishing such service or services, as a dealer under this Act, shall remit same to the State Revenue Commissioner, as hereinafter provided, and when received

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by the State Revenue Commissioner it shall be a credit against the tax hereinafter imposed on such person furnishing such service or services. Every person furnishing such service or services shall be a dealer as defined in this Act and shall be liable for a tax thereon at the rate of three percent (3%) of the gross charge or charges made therefor, or the amount of taxes collected by him from the person to whom such service or services were furnished, as hereinabove provided, whichever is greater; provided, however that no sale of services shall be taxable to the person furnishing such service which is not taxable hereunder to the purchaser of such service. Tax on services. Whenever a purchaser of tangible personal property under subsection (a), or a lessee or rentee of such property under subsection (c), or a purchaser of taxable services under subsection (e), does not pay the tax imposed hereunder upon him to the retailer, lessor, or rentor, as the case may be, involved in the taxable transaction, such purchaser, lessee or rentee, shall thereupon himself be a dealer as defined hereunder, and the State Revenue Commissioner whenever he has reason to believe that a purchaser or lessee has not so paid such tax shall have authority to assess and collect the tax imposed thereunder directly against and from such purchaser, lessee or rentee, unless such purchaser, lessee, or rentee can show that the retailer, lessor, or rentor involved in the transaction has nevertheless remitted to the State Revenue Commissioner the tax imposed on the transaction. If payment is received directly from the purchaser it shall not be collected a second time from the retailer, lessor or rentor involved. Purchaser a dealer liable for tax. Section 2. That section 3 (c) 2 (d) of said Act relating to the exclusion of governmental sales, be amended by striking same in its entirety and substituting in lieu thereof the following as section 3 (c) 2 (d): (d) Sales to the United States of America, the State of Georgia, or any county or municipality of said State. Exempt sales. Section 3. That section 3 (c) 3 (g) of said Act, defining

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the term retailer be amended by striking the same in its entirety and enacting in lieu thereof the following: Retailer defined. (g) `Retailer' means and includes every person making sales at retail, or for distribution, or use, or consumption, or storage to be used or consumed in this State Section 4. That section 12 (a) of said Act, interpreting the incidences of the tax imposed thereunder, be amended by striking same in its entirety and enacting in lieu thereof the following section 12 (a): (a) Inasmuch as it is provided herein that the taxes herein levied upon purchasers and consumers shall be collected by the dealer from the purchaser, or consumer, therefore, notwithstanding any exemption from taxes which any dealer may now or hereafter enjoy under the Constitution or laws of this or any other State, or of the United States, such dealer shall collect the tax imposed hereunder from the purchaser or consumer and shall pay the same over to the State Revenue Commissioner as herein provided. Collection of tax. Section 5. That the first sentence of section 12 (e), relating to prohibiting advertising, be amended by striking same in its entirety and enacting in lieu thereof the following first sentence of said subsection: (e) A person engaged in making retail sales as defined in this Act shall not advertise or hold out to the public, in any manner, directly or indirectly, that he will absorb all or any part of the tax, or that he will relieve the purchaser of the payment of all or any part of the tax. Advertising. Section 6. That the last sentence of section 15 (a) of said Act, relating to the liability of a successor in business, be amended so as to read as follows: If the purchaser of a business or stock of goods shall fail to withhold the purchase money as above provided,

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he shall be personally liable for the payment of the taxes, interest, and penalties accruing and unpaid on account of the taxable sales made by any former owner, owners or assignors. Liability of successor in business. Section 7. That the second paragraph of section 16 (b) of said Act, reading as follows: It is hereby declared to be the intention of this Act to impose a tax on the gross proceeds of all leases and rentals of tangible personal property in this State where the lease or rental is a part of the regularly established business, or the same is incidental or germane thereto., be stricken in its entirety and repealed. Prior section repealed. Section 8. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 1, 1960. COURT OF APPEALSADDITIONAL JUDGE. Code 24-3501, 24-3502 Amended. No. 515 (House Bill No. 1075). An Act to amend Code section 24-3501, as amended by an Act approved March 8, 1945 (Ga. L. 1945, p. 232, 234), and Code section 24-3502, so as to increase the number of judges from six to seven; to provide that the court shall sit in two divisions, one composed of three judges and the other composed of four judges; to provide when all members of the court shall sit as one court; to provide for the election of the seventh judge; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 24-3501, as amended by an Act approved March 8, 1945 (Ga. L. 1945, p. 232-234),

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relating to the number of Judges on the Court of Appeals is hereby amended by striking said section in its entirety and inserting in lieu thereof a new section to read: 24-3501. The Court of Appeals shall consist of seven Judges, who shall elect one of their number as Chief Judge, in such manner and for such time as may be prescribed by rule or order of the Court. The Court shall sit in two divisions, one composed of three Judges and the other of four Judges. Two Judges shall constitute a quorum of the three Judge division and three Judges shall constitute a quorum of the four Judge division. The assignment of Judges to each division shall be made by the Chief Judge, and the personnel of the divisions shall from time to time be changed in accordance with rules prescribed by the Court. The Chief Judge shall be the presiding Judge of the first division. He shall designate the Presiding Judge of the second division, and shall under rules prescribed by the Court, distribute the cases between the divisions in such manner as to equalize their work as far as practicable; and all criminal cases shall be assigned to one division. Each division shall hear and determine, independently of the other, the cases assigned to it, except that all members of the Court, sitting as one court, shall pass on and determine each case in which there is a dissent in the division to which the case was originally assigned. In all cases which involve one or more questions which in the opinion of the majority of the Judges of the division to which a case is assigned should be passed upon by all the members of the Court, sitting as one court, the questions may be presented to all the members of the Court, sitting as one court, and if a majority of all the members of the Court, sitting as one court, decide that the question or questions involved should in their judgment and discretion be decided by all the members of the Court, sitting as one court, the case shall be passed upon by all the members of the Court, sitting as one court, provided that a majority of the Judges passing upon the case concur in the judgment. In neither class of cases shall there be oral argument except before the division to which the cases are originally assigned. Code 24-3501 amended.

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It being among the purposes of this section to avoid and reconcile conflicts between the decisions of the two divisions and to secure more authoritative decisions, it is hereby provided that when the two divisions sitting as one court, composed of both divisions, the Court as thus constituted may by the concurrence of as many as five Judges overrule any previous decision by either division alone in the same manner as now prescribed for the Supreme Court; and as precedent, a decision by such entire, Court, with only a majority concurring shall take precedence over a decision by either division not concurred in by all the Judges of such division. A decision concurred in by all the Judges shall not be overruled or materially modified except with the concurrence of all the Judges. Cases previously decided unanimously by the Court composed of six Judges shall not be overruled or materially modified except with the concurrence of seven Judges. When all the members of the Court are sitting together as one court four Judges shall be necessary to constitute a quorum, but in all cases decided by such Court as a whole by less than seven Judges, the concurrence of at least four shall be essential to the rendition of a judgment. The tenue of the Judge first commissioned as the seventh Judge of the Court of Appeals shall continue until December 31, 1960 and until his successor is qualified; that his successor shall be elected at the general State election to be held on the Tuesday after the first Monday in November, 1960 for a term of six years and until his successor is qualified. Section 2. That Code section 24-3502 relating to the election of Judges on the Court of Appeals is hereby amended by striking said section in its entirety and inserting in lieu thereof a new section to read: Code 24-3502 amended. Two Judges of the Court of Appeals shall be elected at each general State election to be held on Tuesday after the first Monday in November of the even numbered

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years, in the manner in which Justices of the Supreme Court are elected; except that three Judges shall be elected at the general State election to be held in 1960 and thereafter at each six year interval. The terms of the Judges so elected shall begin on January 1 following their election and shall continue for six years and until their successors are qualified. They shall be commissioned accordingly by the Governor. Section 3. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 3, 1960. JUDGE OF THE SUPERIOR COURT EMERITUS ACTAMENDED. No. 516 (House Bill No. 233). An Act to amend an Act creating the office of Judge of the Superior Courts Emeritus approved March 9, 1945 (Ga. L. 1945, p. 362), as amended, particularly by an Act approved February 1, 1946 (Ga. L. 1946, p. 228), an Act approved February 16, 1950 (Ga. L. 1950, p. 283), an Act approved February 17, 1950 (Ga. L. 1950, p. 341), an Act approved February 15, 1952 (Ga. L. 1952, p. 293), an Act approved December 11, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 108), an Act approved February 8, 1955 (Ga. L. 1955, p. 152), an Act approved February 28, 1956 (Ga. L. 1956, p. 380), an Act approved February 21, 1957 (Ga. L. 1957, p. 82), an Act approved March 13, 1957 (Ga. L. 1957, p. 486) and an Act approved March 25, 1958 (Ga. L. 1958, p. 318), so as to change the service qualifications for appointment to the office of Judge of the Superior Courts Emeritus; to provide that a Judge of the Superior Courts may be elected or appointed to an office of profit or trust under the Constitution of the United States or the Constitution of

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Georgia without affecting his rights under said Act; to clarify certain provisions relating to the amount of contributions which shall be made to the Superior Court Judges Retirement Fund; to provide that the trustees of the Solicitor General Retirement Fund shall transfer contributions made to said fund by any person qualifying for benefits under the provisions of said Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the office of Judge of the Superior Courts Emeritus approved March 9, 1945 (Ga. L. 1945, p. 362), as amended, particularly by an Act approved February 1, 1946 (Ga. L. 1946, p. 228), an Act approved February 16, 1950 (Ga. L. 1950, p. 283), an Act approved February 17, 1950 (Ga. L. 1950, p. 341), an Act approved February 15, 1952 (Ga. L. 1952, p. 293), an Act approved December 11, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 108), an Act approved February 8, 1955 (Ga. L. 1955, p. 152), an Act approved February 28, 1956 (Ga. L. 1956, p. 380), an Act approved February 21, 1957 (Ga. L. 1957, p. 82), an Act approved March 13, 1958 (Ga. L. 1958, p. 318) is amended by striking therefrom section 2 in its entirety and inserting in lieu thereof a new section which shall read as follows: Section 2. Any Judge of the Superior Court of the State of Georgia who shall be in at least his nineteenth (19th) year of service as Judge of the Superior Court of the State, any service as Solicitor General of a judicial circuit, as Judge of or Solicitor of a city or county court of the State of Georgia, or membership in the General Assembly of Georgia or service in the Armed Forces of the United States occasioned by the national emergencies of World War I, World War II or the Korean conflict, being allowable in computing such nineteen (19) years of service, provided at least one complete term or its equivalent number of years in two or more terms have been served as Judge of the Superior Court of this State, or who has already been in service for nineteen (19) years as a Judge of the Superior Court of this State

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on March 9, 1945, and who is still in service as such officer, shall be eligible for appointment to Judge of the Superior Courts Emeritus: Provided, the General Assembly retirement service credit shall be for the entire term of office to which such person was elected and served. Likewise, any Judge of the Superior Court of the State of Georgia who shall have attained the age of sixty-eight (68) years and shall be in at least his tenth (10th) year of service as a Judge of the Superior Court of this State, or any Judge of the Superior Court of the State of Georgia who shall have been in service as a Judge of the Superior Court for ten (10) years and becomes disabled from continuing his duties as Judge of the Superior Court shall be eligible to appointment to Judge of the Superior Courts Emeritus, satisfactory evidence of such disability having been presented to the board of trustees herein created and a recommendation of appointment having been made by a majority of said board. Qualifications. Any former Judge of the Superior Court, who shall have attained the age of seventy-five (75) years and who shall have served sixteen (16) years as Judge of the Superior Court, and who shall have arrived at the age of sixty-eight (68) years while serving said sixteen (16) years as Judge of the Superior Court, and who shall also have served four (4) years in the General Assembly of Georgia prior to his service as Judge of the Superior Court, shall be eligible to appointment by the Governor to the office of Judge of the Superior Court Emeritus: Provided, further, that such applicant shall be required by the Board of trustees designated in the original Judge of the Superior Court Emeritus Act to pay into the judge emeritus retirement fund, a sum equal to five per cent. (5%) of the salary received by such Judge from the date of the original Act of 1945 to the time he became sixty-eight (68) years of age: Provided, further, that such applicant, when so appointed by the Governor, shall receive a salary equivalent to one-half () of the salary then being paid to the Judge of the Superior Court of the circuit in which he served; also, his actual expense incurred while holding court in a county other

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than that of his residence: Provided, however, the sum to be received shall not exceed the sum of four thousand dollars ($4,000.00) per annum. Provided, however, any other provision of this Chapter to the contrary notwithstanding, any Judge of a Superior Court of any circuit of this State, who, during a term of office to which he was elected, resigned for the purpose of entering a branch of the United States Military Forces during World War II, and who did enter a branch of said forces, and who thereafter resumed duties as a Judge of a Superior Court of his judicial circuit during the said term of office to which he had been elected shall, for all purposes, be considered to have been continuously in service as Judge of the Superior Court during the whole of said term of office. The whole of said term shall be considered in computing his period of service for all purposes hereunder, and for all other purposes. Military service time in the armed forces of the United States of America during time of war shall be computed in addition to all other service under the terms of this Act. It is further enacted that from and after the enactment of this paragraph, any service as an assistant solicitor general of a judicial circuit of this State, which office is provided for by law, or a Solicitor General Pro Tem. appointed by order of a Superior Court Judge, shall be allowable in computing such nineteen (19) years service as a Judge of the Superior Court of this State: Provided that such Judge shall have paid into the Superior Court Judges Retirement Fund of Georgia such sum or sums as now required by law, had such Judge served as a Judge of the Superior Court of this State during the allowable service herein provided. Section 2. Said Act is further amended by inserting following section 5 thereof a new section which shall be known as section 5a which shall read as follows: Section 5a. Notwithstanding any other provisions of this Act, in the event that any Judge of the Superior

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Court shall become eligible for appointment or shall have actually been appointed Judge of the Superior Courts Emeritus, and while so eligible for appointment or holding such an appointment, shall be elected or appointed to, or shall qualify for an office of profit or trust under the Constitution of the United States or the Constitution of Georgia, his right to appointment as Judge of the Superior Courts Emeritus or to continue to hold such an appointment and to draw the salaries fixed therefor under this Act, shall be suspended during the period of time that he shall hold such office; provided, that upon ceasing to hold such office, he shall then be entitled to appointment to the office of Judge of the Superior Courts Emeritus under this Act, or to reappointment to said office with all the obligations, rights and duties herein prescribed, his compensation as Judge of the Superior Courts Emeritus in such event to be the same amount as would be received by him as Judge of the Superior Courts Emeritus if his appointment or reappointment were his initial appointment as Judge of the Superior Court Emeritus. The purpose of this provision is to permit any Judge of the Superior Court who may have been appointed Judge of the Superior Courts Emeritus, or who may be eligible for appointment as Judge of the Superior Courts Emeritus to accept some other office of profit or trust under the Constitutions of the United States or of the State of Georgia, without affecting his then existing rights under this Act, except to suspend the right to hold said office and receive the salary provided therefor while holding such other office. During the time that such Judge of the Superior Court or Judge of the Superior Courts Emeritus is holding another office under the Constitutions of the United States or of the State of Georgia as herein provided, he shall not be required to make any contributions under the provisions of this Act. Right to hold office suspended while holding certain other offices. Section 3. Said Act is further amended by striking from section 11, subsection (a) thereof, and inserting in lieu thereof a new subsection which shall read as follows:

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(a) Any Judge of the Superior Court of the State of Georgia who shall be in at least his nineteenth (19th) year of service as a Judge of the Superior Courts of this State, any service as Solicitor General of a judicial circuit, as a Judge of or Solicitor of a city or county court of the State of Georgia, or membership in the General Assembly or service in the Armed Forces of the United States occasioned by the national emergencies of World War I, World War II or the Korean conflict, or Assistant Solicitor General or Solicitor General Pro Tem. as herein provided, being allowable in computing such nineteen (19) years' service, provided at least one complete term or its equivalent number of years in two or more terms have been served as Judge of the Superior Court of this State or who has already been in service for nineteen (19) years as a Judge of the Superior Court of this State on March 9, 1945, and who is still in service as such officer, shall be eligible for appointment at his pleasure and shall be eligible to receive the benefits now or hereafter offered Judges of the Superior Court: Provided, the General Assembly retirement service credit shall be for the entire term of office to which such person was elected and served. Qualifications. Section 3A. Said Act is further amended by striking from section 11, sub-section (b) (1) thereof, the figure 70 and substituting in lieu thereof the figure 68 and further striking the figure 11 and substituting in lieu thereof the figure 10, so that said sub-section (b) (1) shall read as follows: (1) any Judge of the Superior Court of the State of Georgia who shall have attained the age of 68 years and shall be in at least his 10th year of service as a Judge of the Superior Court of this State; or Qualifications. Section 4. Said Act is further amended by striking from section 10 (a) thereof, subsection 2, and inserting in lieu thereof two new subsections which shall be known as subsections 2 and 3 which shall read as follows: (2) He has for a period of nineteen (19) years made

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payments to said Fund at the rate herein specified. However, all Judges who are over fifty (50) years of age shall be eligible to retire when they have attained the age of sixty-eight (68) years at two-thirds ([frac23]) the salary paid by the State to said Judges, provided said Judges have served for at least nineteen (19) years and shall have made payments to said fund at the rate therein specified until they reached the age of sixty-eight (68) years, said payments to commence from the effective date of this Act: Provided, that any Judge who shall, by virtue of the amendment of this Act approved February 16, 1950, be made eligible for appointment as a Judge of the Superior Court Emeritus, and who shall not have made payments to the Superior Court Judges Retirement Fund of Georgia at the time of the passage of said amendment shall be required to pay into said Fund the amount fixed by this Act for each of the years that said Judge has served as a Superior Court Judge from January 1, 1951, up to and including the year that said Judge may be appointed as Judge of the Superior Court Emeritus: Provided, such Judge has served at least one complete term or its equivalent number of years in two or more terms as Judge of the Superior Court. Any Superior Court Judge in order to qualify under the provisions of this Section, who has previously served as Solicitor-General, shall have contributed to the Solicitor-General's Retirement Fund from the date of the enactment of the Solicitor-General's Retirement Fund, or from the time said Judge became a Solicitor-General, which ever is the later date. In the event that a Judge shall receive credit under the provisions of this Subsection for service as a Solicitor-General, the Trustees of the Solicitor-General's Retirement Fund are hereby authorized and directed to transfer the amounts which said Judge shall have contributed to said Fund to the Superior Court Judges Retirement Fund. Qualifications, contributions. (3) Any other provisions not withstanding any Judge of the Superior Court who had not made payments to the Superior Court Judges Retirement Fund at the time of the passage of the amendment of this Act approved February 16th, 1950 and who shall be in his nineteenth

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year of service as Judge of the Superior Court, Solicitor General, Judge or Solicitor of a County or City Court shall make payments as provided by law to the Superior Court Judges Retirement Fund from January 1st, 1951 to date of appointment as Superior Court Judge Emeritus: Provided, that nothing in this Subsection shall be construed so as to authorize the refund of any amounts previously paid into the Superior Court Judges Retirement Fund of Georgia. Section 4A. Said Act is further amended by striking from section 10, sub-section (b) (1) thereof, the figure 70 and substituting in lieu thereof the figure 68 and further striking the figure 11 and substituting in lieu thereof the figure 10, so that sub-section 10 (b) (1) shall read as follows: (1) he has reached the age of 68 and has for a period of 10 years made payments to said Fund at the rate herein specified and has been appointed Judge of the Superior Court Emeritus as provided in section 24-2602a; or. Same. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 3, 1960. GEORGIA PUBLIC SERVICE COMMISSIONFEES FOR OPERATION. Code 93-210 Amended. No. 517 (House Bill No. 667). An Act to amend Code section 93-210 pertaining to the assessment of public service corporation fees in a sufficient amount to cover the cost of operating and maintaining the Georgia Public Service Commission; to provide for the amount of such fees, the time for

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payment and the method of collection; to repeal conflicting laws; and for other purposes. Now, therefore, be it enacted by the General Assembly of Georgia: Section 1. Code section 93-210 pertaining to the application of the public service corporation fees to payment of salaries, expenses, etc. is amended by striking the same in its entirety and inserting in lieu thereof a new section to be numbered section 93-210 which when so amended will read as follows: Section 93-210. Assessment of public service corporation fees in amount sufficient to cover operating cost of Georgia Public Service Commission. There shall be paid by all public service corporations or utilities, subject to the jurisdiction of the Public Service Commission, a special fee in addition to those now required by law. Such fee shall be fixed by the State Revenue Commissioner upon each of such public service corporations or utilities according to the value of its property, as ascertained by the last preceding State tax assessment, and shall be apportioned among such public service corporations or utilities, upon the basis of such valuation, so as to produce a revenue of $280,000 per annum which shall be paid on or before the 20th day of January in each year. The State Revenue Commissioner shall notify each public service corporation or utility of the State of the amount due by it under the provisions of this law, not later than December 1 of each year, and said fee shall be paid to the State Treasurer on or before the 20th day of January as above provided; such sum of $280,000 is hereby available for appropriation in an amount sufficient to cover the cost of operating the Public Service Commission. In case of default in payment by any public service corporation, company or person the fee provided for in this section, the State Revenue Commissioner shall proceed to collect the same in the same manner as franchise taxes are now collected. Section 2. This Act shall become effective immediately

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upon its approval by the Governor and shall fix the fees due for 1960 and all subsequent years. Provided, however, that in respect to all such fees due for the year 1960 an additional period of 60 days from the date of the notification by the State Revenue Commissioner of the additional fee of $210,000 which is imposed hereby shall be allowed such public service corporations or utilities within which to pay the same. Effective date. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 4, 1960. GUARDIAN AND WARDPUBLICATION OF CITATION AND SERVICE OF PETITION TO SELL, ETC. WARD'S ESTATE. Code 49-204 Amended. No. 519 (House Bill No. 610). An Act to amend Code section 49-204, relating to notice of application for order to sell and reinvest the estate of a ward, as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 673), so as to provide that only the citation shall be published; to provide that service shall not be necessary under certain circumstances; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 49-204, relating to notice of application for order to sell and reinvest the estate of a ward, as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 673), is hereby amended by striking therefrom the following: Citation shall be issued thereon and copy of the petition and citation shall be served personally upon the

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ward, if he is over 14 years of age, and shall be published for four weeks in a newspaper in which the sheriff's advertisements for that county appear. and inserting in lieu thereof the following: Citation shall be issued thereon and copy of the petition and citation shall be served personally upon the ward, if he is over 14 years of age. Provided, however, that it shall not be necessary to serve the ward if such ward is a patient, either at Milledgeville State Hospital or at the Georgia Training School for Defectives at Gracewood or if such ward resides outside of the territorial limits of the State of Georgia. The citation only shall be published once a week for four weeks in the newspaper in which the sheriff's advertisement for that county appear. Code 49-204 amended. so that when so amended, Code section 49-204 shall read as follows: 49-204. When a sale, lease, exchange or encumbrance of the ward's estate, or any part thereof, shall be deemed necessary or in the best interests of the ward, the guardian may file with the ordinary a petition setting forth the facts, terms and reasons for making the proposed sale, lease, exchange or encumbrance. Citation shall be issued thereon and copy of the petition and citation shall be served personally upon the ward, if he is over 14 years of age. Provided, however, that it shall not be necessary to serve the ward if such ward is a patient, either at Milledgeville State Hospital or at the Georgia Training School for Defectives at Gracewood or if such ward resides outside of the territorial limits of the State of Georgia. The citation only shall be published once a week for four weeks in the newspaper in which the sheriff's advertisements for that county appear. On or after the date appointed in the citation the ordinary may consider the petition, hear evidence thereon, and if the proposed transaction is fair and in the best interests of the ward, he shall issue an appropriate order permitting the sale, lease, exchange

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or encumbrance; however, the ordinary, if he deems it advisable, may require any sale of the ward's property, to be held publicly and subject to the confirmation of the court. The provisions hereof are cumulative and not exclusive of other provisions of the law authorizing sales by guardians. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 4, 1960. ACT CREATING GEORGIA FACTORY FOR THE BLIND AMENDED. No. 520 (House Bill No. 275). An Act to amend an Act creating and establishing a factory for the blind, approved March 30, 1937 (Ga. L. 1937, p. 579), as amended, particularly by an Act approved February 14, 1949 (Ga. L. 1949, p. 544), so as to activate the board of managers; to authorize the abolition of said board; to amend section 6 so as to require the board of managers to give preference to the employment of blind persons; to require all departments, subdivisions and institutions of the State of Georgia to give preference in purchases of goods manufactured at said factory; to add a new section 11 to provide for the protection of employees of equal skill and experience in the matter of promotion, demotion or lay off by the application of the seniority rule and to provide for the reemployment of a worker within one (1) year who leaves the factory for other employment; to provide for the repeal of conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating and establishing a factory for the blind, approved March 30, 1937 (Ga. L. 1937, p. 579), as amended, particularly by an Act approved February

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14, 1949 (Ga. L. 1949, p. 544), is amended by striking section 5 thereof in its entirety and inserting in lieu thereof a new section to read as follows: Section 5. Said factory is a State institution under the direction and supervision of the Department of Public Welfare. The management of said factory shall be by a board of managers, appointed by the Governor, of seven citizens of the State, at least four of whom shall be experienced manufacturers interested in the relief of the blind and one blind citizen of Georgia who shall serve at the pleasure of the Governor, and, in addition thereto, the following shall be ex-officio members of said board, namely: the State Treasurer, the State Superintendent of Schools, the Director of Public Welfare, the State Supervisor of Purchases, and the State Supervisor of Vocational Rehabilitation. Provided that the Governor may at any time abolish said board by executive order and transfer its functions to the Department of Public Welfare. Board of managers. Section 2. Said Act is further amended by striking therefrom section 6 in its entirety and inserting in lieu thereof a new section 6, which shall read as follows: Section 6. Said board of managers shall serve without pay except that they shall receive actual traveling expenses when in the performance of their duties. They shall elect a chairman of the board and factory superintendents and foremen for the white and colored sections of such factory. The board of managers shall give preference to blind persons with the skill and experience to perform such jobs. Said board shall have full authority to provide for the equipment, maintenance and management of such factory; to provide for the selection and eligibility of applicants for admission to such factory; to provide for the sale of supplies so manufactured to the departments of the State, its subdivisions and institutions, and to the Federal Government and other states and to individual and corporate dealers in such supplies; and to provide for housing, rationing, hours of labor, scale of pay, or division of profits, subject to the provisions of this Act, and all other rules for the proper management of

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such factory not in conflict with the provisions hereof; to procure necessary machinery, equipment and furnishings for such factory; to make contracts for power, lighting and heating; to arrange for all other things necessary and proper for the conduct of such factory. All departments, subdivisions and institutions of the State of Georgia are hereby directed to give preference in purchases to goods manufactured at said factory provided said goods are of equal quality and competitive in price. Duties, etc. Section 3. Said Act is further amended by inserting at the end thereof a new section which shall be known as section 11, which shall read as follows: Section 11. Whenever the skill and experience of two (2) employees are relatively equal, seniority shall control in all questions of promotion, demotion or lay-off. When skill and merit are relative equal between employees, the employee with the greater seniority shall have the first right to obtain or refuse any transfer. When any worker in the Georgia Factory for the Blind leaves such work to accept other employment outside the factory, he shall have the right to return to the Georgia Factory for the Blind within one (1) year from the date of such leaving and resume his former seniority and employee privileges. Employees. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. PRACTICE AND PROCEDUREARGUMENT AS TO MONETARY VALUE OF PAIN AND SUFFERING. No. 521 (House Bill No. 315). An Act to provide that in the trial of civil suits for personal injuries counsel shall be allowed to argue the worth or monetary value of pain and suffering to the jury; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. In the trial of a civil suit for personal injuries, counsel shall be allowed to argue the worth or monetary value of pain and suffering to the jury. Provided however that any such argument shall conform to the evidence or reasonable deductions from the evidence in said case. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. LICENSING, ETC., OF TRUCK BROKERS IN AGRICULTURAL PRODUCTS. No. 522 (House Bill No. 420). An Act to provide for the licensing and bonding of truck brokers in agricultural products; to define the terms used in this Act; to provide for applications for licenses; to provide for bonding; to provide for enforcement of the contracts entered into by truck brokers; to provide penalties for violations of this Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. For the purposes of this Act, the following words and terms, when used, shall be construed to mean the following unless the context clearly indicates a contrary meaning: (a) Truck broker shall mean any person, firm or corporation who shall, for compensation, offer to procure or attempt to procure for another the use of trucks or other motor vehicles which are not owned by such broker for the purpose of transporting or otherwise moving farm products. Definitions.

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(b) Farm products shall mean the natural products of the farm, orchard, vineyard, garden and apiary, raw and manufactured, and shall include, but not be limited to, livestock, dairy products, tobacco and tobacco products and poultry and poultry products. (c) Commissioner shall mean the Commissioner of Agriculture of the State of Georgia. Section 2. From and after April 1, 1960, it shall be unlawful for any truck broker, as defined by this Act, to engage in such business in this State without a State license issued by the Commissioner. Effective date. Section 3. Every truck broker desiring to transact business within the State of Georgia shall file an application for such license with the Commissioner. The application shall be on a form furnished by the Commissioner, and shall, together with such other information as the Commissioner shall require, state: (a) The full name or title of the applicant; or if the applicant be an association or co-partnership, the name of each member of such association or co-partnership; or if the applicant be a corporation, the name of each officer of the corporation. Applications for licenses. (b) The name and location of any Georgia agent or agents of the applicant, if any. (c) The cities and towns within which places of business of the applicant will be located, together with a street or mailing address of each. (d) The name of any truckers or trucking lines habitually represented by such broker. Section 4. Unless the Commissioner refuses the application on one (1) or more of the grounds hereinafter provided, he shall issue to such applicant, upon the execution of a bond as hereinafter provided, a State license to conduct business as a truck broker. The fee for said license shall be ten ($10.00) dollars annually. Licenses.

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Section 5. Before any license shall be issued, the applicant therefor shall make and deliver to the Commissioner a surety bond in the amount of at least five thousand ($5,000.00) dollars executed by a surety company authorized to transact business in the State of Georgia. Such bond shall be upon a form prescribed or approved by the Commissioner, and shall be conditioned to secure the faithful performance of all contracts entered into by such truck broker. Provided, in lieu of such fund, the Commissioner may accept a cash bond which shall in all respects be subject to the same claims and actions as would exist against a surety bond. Bonds. Section 6. Any person claiming himself to be damaged by any breach of the conditions of a bond given by a licensee as hereinafter provided may enter complaint thereof to the Commissioner, which complaint shall be a written statement of the facts constituting said complaint. Upon filing such complaint in the manner herein provided, the Commissioner shall investigate the charges made, and at his discretion order a hearing before him, giving the party complained of notice of the filing of such complaint and the time and place of such hearing. At the conclusion of said hearing the Commissioner shall report his findings and render his conclusion upon the matter complained of to the complainant and respondent in each case, who shall have fifteen (15) days following in which to make effective and satisfy the Commissioner's conclusions. And if such settlement is not effected within the time aforesaid, the Commissioner or the producer may sue to enforce the said claim. If the complainant is not satisfied with the ruling of the Commissioner, he may, commence and, maintain an action against the principal and surety on the bond of the parties complained of as in any civil action. If the bond or collateral thus posted shall be insufficient to pay in full the valid claims of all complainants, the Commissioner may direct that the proceeds of such bond shall be divided pro rata among such complainants. Complaints, etc.

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Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GEORGIA ECONOMIC POISONS ACT AMENDED. No. 523 (House Bill No. 490). An Act to amend an Act known as the Georgia Economic Poisons Act, approved February 17, 1950 (Ga. L. 1950, p. 390), as amended by an Act approved March 25, 1958 (Ga. L. 1958, p. 389), so as to redefine terms to extend the provisions of said Act to pesticides; to redefine the term Active Ingredient so as to include pesticide plant regulators, defoliants and desiccants; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Economic Poisons Act, approved February 17, 1950 (Ga. L. 1950, p. 390), as amended by an Act approved March 25, 1958 (Ga. L. 1958, p. 389), is hereby amended by adding a new section to be numbered section 2 A, to read: Section 2 A. (1) The term `Plant Regulator' means any substance or mixture of substances, intended through physiological action, for accelerating or retarding the rate of growth, rate of maturation, or for otherwise altering the behavior of crop or ornamental plants or the produce thereof, but shall not include substances intended solely as plant nutrients, trace elements, nutritional chemicals, plant inoculants, soil amendments, defoliants, desiccants and pesticides. Definitions. (2) The term `Defoliant' means any substance or mixture of substances intended for causing the leaves, or foliage, to drop off the plant, with or without causing abscission.

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(3) The term `Desiccant' means any substance or mixture of substances intended for artificially accelerating the drying of plant tissue. (4) The term `Active Ingredient' shall include: (a) In the case of pesticide, an ingredient which will prevent, destroy, repel, or mitigate insects, fungi, rodents, weeds, or other pests. (b) In the case of a plant regulator, an ingredient, which through physiological action, will accelerate or retard the rate of growth or rate of maturation or which will otherwise alter the behavior of crop or ornamental plants or the produce thereof. (c) In the case of a defoliant, an ingredient which will cause the leaves, or foliage, to drop from the plant, with or without causing abscission. (d) In the case of a desiccant, an ingredient which will artificially accelerate the drying of plant tissue. (5) The provisions of this Act relating to economic poisons shall extend and shall be applicable to pesticides. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. MARRIAGE LICENSES. Code 53-201 Amended. No. 524 (House Bill No. 496). An Act to amend section 53-201 of the Code of Georgia 1933 relating to marriage licenses, how granted, returned and recorded, as hereinbefore amended, be further

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amended so as to provide a method for establishing marriage licenses and certificates of marriage when not recorded. Be it enacted by the General Assembly of Georgia: Section 1. Code section 53-201 relating to the granting of marriage licenses; the return and recording of such licenses is hereby amended by striking such section in its entirety and in lieu thereof inserting the following: 53-201. (2936) How granted, returned, and recorded. Marriage licenses shall be granted only by the ordinary, or his clerk at the county court house, or by the ordinary at his legal residence; only between the hours of 8 a.m., and 6 p.m., or by a clerk at such clerk's residence, provided such residence is within the militia district of the county seat. Such license shall be issued in the county where the female to be married resides if she is a resident of this State, and in the county in which the ceremony is to be performed, if the female to be married be a non-resident of this State. The license shall be directed to any judge, justice of the peace, or minister of the gospel, authorizing the marriage of the persons therein named and requiring such judge, justice of the peace, or minister of the gospel to return the said license to the ordinary, with the certificate thereon as to the fact and date of the marriage, within 30 days after the date of said marriage, which license, with the return thereon shall be recorded by the ordinary in a book kept by him for that purpose. The fact of issue of any unrecorded marriage license may be established by affidavit of either party to a ceremonial marriage, which affidavit shall set forth the date, place, name and title of the official issuing such license. Proof of marriage. In the event any marriage license is not returned for recording as provided in this section, either party to a ceremonial marriage may establish such marriage by submitting to the ordinary the affidavits of two witnesses to the marriage ceremony, setting forth the date, place and name of the official or minister performing the ceremony.

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The ordinary shall thereupon reissue the marriage license and enter thereon the certificate of marriage and all dates and names in accordance with the evidence submitted and shall record and cross index same in the proper chronological order in the book kept for that purpose. Any other provisions of this section or any other law to the contrary notwithstanding, the ordinary of any county which has within its boundaries a municipality that has a population according to the 1950, or any future United States census, greater than that of the county seat of such county, is hereby authorized to appoint a clerk for the purpose of granting marriage licenses in such municipality, at an office designated by the ordinary. Such license shall be issued only between the hours prescribed herein. Office away from courthouse. Section 2. All laws or parts of laws in conflict herewith are hereby repealed. Approved March 7, 1960. INSTALLATION, ETC., OF HIGH-VOLTAGE LINES. No. 525 (House Bill No. 501). An Act to provide the precautions to be taken in the proximity of high-voltage electric lines for the prevention of accidents; to make provisions for the administration and enforcement thereof by the Commissioner of Labor; to prescribe penalties and liabilities for violations thereof; to provide the procedure connected with the foregoing; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. For the purposes of this Act, high-voltage lines shall mean an electric line or lines which are installed above ground level, having a voltage in excess of

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750 volts between conductors or from any conductor to ground. High-voltage lines. Section 2. General Provisions. No person, firm or corporation, or agent of same, shall require or permit any employee to perform any act prohibited by section 3 hereof unless and until danger from accidental contact with high-voltage lines has been effectively guarded against in the manner prescribed in section 3. Section 3. Clearance or Safeguard Required. The operation, erection, handling, storage, or transportation of any tools, machinery, equipment, supplies, materials, or apparatus, or moving of any house or other building or structure, or any part thereof, under, over, by or near high-voltage lines is hereby expressly prohibited, if at any time during such operation, erection, storage, transportation, handling, moving, or other manipulation, such equipment, tools, machinery, supplies, materials, apparatus, building or structure, or any part thereof, will be brought within eight feet of any such high-voltage lines, except where such high-voltage lines have been effectively guarded against danger from accidental contact by either: (1) The installation of protective covering on such high-voltage lines. (2) The use of mechanical barriers to prevent physical contact with such high-voltage lines. (3) Relocation of such high-voltage lines, either lateral or vertical. (4) Re-energizing such high-voltage lines and grounding the same. If either of the precautionary measures listed above requires action by the owner or operator of the high-voltage lines, appropriate arrangements therefor shall be made with the owner or operator of such lines for such action.

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Only in the case of compliance with either of such exceptions may the eight-foot clearance requirement be reduced. The eight-foot clearance shall not be provided by movement of the conductors through strains impressed, by attachments or otherwise, upon the structures supporting the high-voltage lines, nor upon any equipment, fixtures or attachments thereon. Section 4. House Movers Under Jurisdiction of Georgia Public Service Commission. In addition to the exceptions set forth in section 8 hereof, this Act shall not be construed as applying to, and shall not apply to the moving or transportation of houses or buildings, or parts thereof, when such moving is under the jurisdiction of, and is pursuant to authority granted by, the Georgia Public Service Commission. Section 5. Notification to the Owner or Operator of High-Voltage Lines and Responsibility for Safeguards. When any such operation, erection, handling, storage, transportation, or moving is to be performed within eight feet of any high-voltage line, the person or persons responsible for the work to be done shall promptly notify the owner or operator of the high-voltage lines of the work to be performed, and such person or persons shall be responsible for the completion of the safety measures which are required by section 3 of this Act before proceeding with any work which would impair the aforesaid clearance. Upon notification and appropriate arrangements being made by such person or persons, and within a reasonable time thereafter under all the circumstances involved, the owner or operator of the high-voltage lines shall perform such acts as are reasonably necessary for the owner or operator to perform, as set forth in section 3 hereof, to guard against danger from accidental contact. Section 5A. Where any temporary precautionary measure is required by this Act pertaining to public highway or roadway construction to guard against accidental contact with high voltage lines, during such construction,

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that are located upon public highways or roads owned by the State of Georgia or a county thereof, outside the corporate limits of any municipality as such corporate limits now or may hereafter exist, by virtue of a permit from the state or county and for which neither the state nor the county received consideration, the expense of such temporary precautionary measure shall be borne by the owner or operator of such lines. Section 6. Enforcement. The Commissioner of Labor shall administer and enforce the provisions of this Act, and he is hereby empowered to prescribe and promulgate rules and regulations consistent herewith. Section 7. Violations Made Misdemeanors; Punishment; Liabilities. Any person, firm, corporation, or agent of the same, who fails to comply with or who violates any of the provisions of this Act shall be guilty of a misdemeanor, and upon conviction thereof, shall be liable to a fine of not less than twenty-five dollars ($25.00) nor more than one thousand dollars ($1,000.00), or imprisonment not exceeding one year, or both, in the discretion of the court. Section 8. Exceptions. This Act shall not be construed as applying to, shall not apply to, and is not intended to apply to, the construction, reconstruction, operations and maintenances of overhead electrical conductors and their supporting structures and associated equipment by authorized and qualified electrical workers, nor to the authorized and qualified employees of any person, firm or public or private corporation engaged in the construction, reconstruction, operation and maintenance of overhead electrical circuits or conductors and their supporting structures and associated equipment of rail transportation systems, or electrical generating, transmission, distribution, and communication systems. This exception when applied to railway systems shall be construed as permitting operation of standard rail equipment which is normally used in the transportation of freight or passengers, or both, and the operation of relief trains, or other equipment in emergencies, or in maintenance of way service,

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at a distance of less than eight feet from any high-voltage conductor of such railway system; but this Act shall be construed as prohibiting normal repair or construction operations at a distance of less than eight feet from any high-voltage conductor by other than properly qualified and authorized persons or employees under the direct supervision of an authorized person who is familiar with the hazards involved, unless there has been compliance with the safety provisions of sections 2, 3, 4 and 5 hereof. Any telephone company who has a joint use contract with an electrical company is specifically exempted from the provisions of this Act. Section 9. In case any provision of this Act shall be adjudged unconstitutional or void for any reason, such adjudication shall not affect any of the other provisions of this Act. Section 10. Nothing in this Act shall be construed or applied as limiting or reducing the duty or degree of care now applicable to owners or operators of such high-voltage lines with respect to damage or loss to person or property. Intent. Section 11. This Act shall become effective six months after its passage and approval by the Governor. Effective date. Section 12. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. STONE MOUNTAIN JUDICIAL CIRCUITSALARY OF SOLICITOR GENERAL. No. 526 (House Bill No. 533). An Act to amend an Act placing the solicitor general of the Stone Mountain Judicial Circuit on a salary basis in lieu of a fee basis, approved August 19, 1918 (Ga. L. 1918, p. 390), as amended, particularly by an Act approved

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February 25, 1949 (Ga. L. 1949, p. 1601), an Act approved February 15, 1952 (Ga. L. 1952, p. 220), and an Act approved March 13, 1957 (Ga. L. 1957, p. 411), so as to change the provisions relative to the compensation of the solicitor general of the Stone Mountain Judicial Circuit; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act placing the solicitor general of the Stone Mountain Judicial Circuit on a salary basis in lieu of a fee basis, approved August 19, 1918 (Ga. L. 1918, p. 390), as amended, particularly by an Act approved February 15, 1952 (Ga. L. 1952, p. 220), and an Act approved March 13, 1957 (Ga. L. 1957, p. 411), is hereby amended by striking section 2 in its entirety and inserting in lieu thereof a new section 2, to read as follows: Section 2. The salary of the solicitor general of the Stone Mountain Judicial Circuit shall be the sum of $10,000.00 per annum, in addition to any salary, compensation or allowances of any kind which he receives from the State of Georgia. Said sum of $10,000.00 shall be paid as follows: $10,000.00 of said sum shall be paid from the funds of the various counties comprising said circuit, upon the basis of population, so that each county in said circuit shall pay such proportion of said $10,000.00 as such county's population bears to the total population of all the counties of said circuit according to the last official United States census. Said proportion shall be changed to comply with each future United States census. It shall be the duty of the governing authority of each of said counties to cause to be paid out of the funds of each county, upon regular warrants, the portion of the compensation provided for herein assessed against each county. Such compensation shall be paid on a quarterly basis, on the first days of April, July, October and January. It is hereby made the duty of the governing authority of each of said counties to make provisions annually, when levying taxes in their respective counties, for the levying and collection of sufficient taxes for the purpose of paying

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the portion of such compensation assessed against such county. The compensation provided herein and the salary, compensation and allowances received by the solicitor general from the state shall be in full payment of all services of the solicitor general. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. BUDGET BUREAUOPERATION AND MEMBERS. Code 40-401 and 40-411 Amended. No. 527 (House Bill No. 583). An Act to amend Code section 40-401 relating to the Budget Bureau by striking the last three words at the end of said section; to amend Code section 40-411 so as to add additional members to the Finance Commission; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 40-401 relating to the Budget Bureau and its establishment is hereby amended by striking the last three words of said section so that said Code section 40-401, as amended, shall read: Section 40-401. There shall be established in the office of the Governor a Budget Bureau, for the purpose of promoting economy and efficiency in the management of the State's finances. The Governor shall be ex-officio Director of the Budget, and the State Auditor shall be assistant Director of the Budget. The necessary legal advice and services shall be rendered by the Attorney General, and the necessary clerical assistance shall be performed by employees of the Executive Department and of the State Auditor's office.

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Section 2. Code section 40-411 relating to the Finance Commission and its membership is hereby amended by adding the following words at the end of the first sentence of said section: President Pro Tem. of the Senate, Speaker Pro Tem. of the House, Chairman of the Senate Banking Finance Committee, Chairman of the House Ways and Means Committee, a member of the Senate appointed by the Lt. Governor, and a member of the House appointed by the Speaker., so that said Code section 40-411, as amended, shall read: Section 40-411. To the end that all agencies of the State shall have a just hearing and an unbiased determination of appropriation needs of the respective agency before the preparation and submission of a budget bill to the General Assembly as required by the budget Act (Sections 40-401 to 40-410) which is now in force and effect, and to the end that all agencies of the State may have an appeal from the action of the Budget officials in the disapproval of a budget, there is hereby established a Finance Commission consisting of the Governor, President of the Senate, Speaker of the House of Representatives, Chairman of the appropriation committee of the Senate, Chairman of the appropriation committee of the House of Representatives, President Pro Tem. of the Senate, Speaker Pro Tem. of the House, Chairman of the Senate Banking Finance Committee, Chairman of House Ways and Means Committee, a member of the Senate appointed by the Lt. Governor, and a member of the House appointed by the Speaker. The members of the General Assembly herein designated shall be compensated each at the same per diem rate while attending a meeting of the Finance Commission as he receives for his services in the General Assembly, and he shall also be paid his actual travel expense, both to be paid from the legislative fund; all other members of the Commission shall serve without extra compensation. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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PHYSICAL EXAMINATION OF STATE EMPLOYEES ACT AMENDED. No. 528 (House Bill No. 584). An Act to be entitled an Act to amend an Act entitled Physical Examination of State Employees, approved March 17, 1956 (Ga. L. 1956, p. 808), so as to authorize and direct the Merit System Director, subject to the approval of the State Personnel Board, to appoint a committee of three physicians to develop standards of medical and physical fitness for persons about to be appointed to positions in the state service; to authorize an employing state agency to compensate private medical examiners for performing required physical examinations; to authorize the establishment of standards of medical and physical fitness for state employees; to provide for the necessary forms to record examination results and for incidental administrative expenses; to require physical examinations for persons about to be appointed to the state service; to provide that physical examinations be completed before disbursement of funds for state services except within prescribed time limits; to define a temporary employee for the purpose of this Act; to provide for the adoption of rules and regulations for the administration of this Act; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted under authority of the same: Section 1. That section 1 of the Act approved March 17, 1956, known as the Physical Examination of State Employees Act (Ga. L. 1956, p. 808), be and the same is hereby repealed in its entirety and a new section 1 enacted in lieu thereof, which shall read as follows: Section 1. No person who is otherwise qualified shall be employed by the State or any department or agency thereof, in any capacity, unless he shall furnish to the department or agency head within a prescribed number of calendar days from the date of appointment evidence of

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having undergone a physical examination by a licensed physician and that such examination results have been approved by the State Employees' Health Service of the State Department of Public Health to the effect that the person meets the standards of medical and physical fitness prescribed for the position to which he is being appointed. Physical examinations of new employees. Section 2. That section 2 of the Act approved March 17, 1956, known as the Physical Examination of State Employees Act (Ga. L. 1956, p. 808), be and the same is hereby repealed in its entirety and a new section 2 be enacted in lieu thereof, which shall read as follows: Section 2. (a) The Merit System Director, subject to the approval of the State Personnel Board, shall appoint a committee of three doctors of medicine licensed by the State of Georgia to develop standards of medical and physical fitness required for state employees and persons about to be appointed to positions in the state service, and such standards shall be related to the duties required of specific positions in the State service, and the committee, in cooperation with the Merit System Director, shall develop the forms to secure the information needed to determine the medical and physical fitness of prospective employees. Standards of physical fitness. (b) A physician in the employ of the State, where feasible, or a licensed physician of the applicant's choice shall make a physical examination of each person about to be appointed to a position in the state's service, and report the findings of fact on the prescribed forms to the State Employees' Health Service of the State Department of Public Health which shall act as the State's Medical Consultant. Examinations. (c) State medical facilities and state physicians shall be used in making these examinations, except in those cases where state medical facilities and state physicians are not available. (d) The State Personnel Board shall, after consultation

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with the committee of physicians appointed by the Merit System Director, establish maximum fees payable by the State for physical examinations of prospective employees conducted by private physicians, and the employing agency is hereby empowered to compensate private medical examiners for performing required physical examinations, but not beyond the maximum fees prescribed by the State Personnel Board. Same, compensation. (e) The State Personnel Board is authorized to establish a fee and make payment of same to the members and/or consultants of the committee of physicians appointed by the Merit System Director for services rendered in the development of Standards of medical and physical fitness for state employees, provided, however, that no state employee shall receive additional compensation for his services as a member or consultant of the committee. (f) The physical examination shall be completed before disbursement of salary to an affected employee, provided, however, that a prescribed number of calendar days from date of appointment shall be allowed for the physical examination and the reporting of the results thereof to the Appointing Authority. Section 3. That section 5 of said Act be and the same is hereby repealed in its entirety and a new section 5 enacted in lieu thereof, which shall read as follows: Section 5. The State Personnel Board, subject to the approval of the Governor, shall adopt and promulgate rules and regulations for the administration of this Act, and the Board, through the Merit System Director, is hereby empowered to expend allocated funds for the necessary forms and other incidental administrative expenses in effectuating this Act. Rules. Section 4. That section 6 of said Act be and the same is hereby amended by adding the following sentence to the end of the section: (A temporary employee is defined as a person whose period of employment does not exceed the prescribed number of calendar days allowed

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for the completion and reporting of the physical examination and who is not reemployed more than once for a similar period in any twelve consecutive months.) so that the amended section shall read as follows: Temporary employees. Section 6. The provisions of this Act shall not apply to department heads or temporary employees of the State, nor shall the provisions hereof apply to any present employee. (A temporary employee is defined as a person whose period of employment does not exceed the prescribed number of calendar days allowed for the completion and reporting of the physical examination and who is not reemployed more than once for a similar period in any twelve consecutive months.) Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. STATE OFFICE BUILDING AUTHORITY ACT AMENDED. No. 529 (House Bill No. 589). An Act to amend an Act known as the State Office Building Authority Act approved February 21, 1951 (Ga. L. 1951, p. 699), as amended by an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 355), and an Act approved March 7, 1955 (Ga. L. 1955, p. 585), so as to eliminate the restriction upon the rate of interest on revenue bonds issued by the State Office Building Authority; to revise section 9 of said Act consistently with section 5; to provide for an Archives Building; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the State Office Building Authority Act approved February 21, 1951 (Ga. L. 1951,

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p. 699), as amended by an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 355), and an Act approved March 7, 1955 (Ga. L. 1955, p. 585), is amended by striking from section 9 thereof the words but no such sale shall be made at a price so low as to require the payment of interest on the money received therefor at more than four and one-half (4%) per centum per annum computed with relation to the absolute maturity of the bonds in accordance with standard tables of bond values excluding, however, from such computation the amount of any bond prior to maturity so that section 9 as amended hereby shall read as follows: Section 9. Same; sale; price. The authority may sell such bonds in such manner and for such price as it may determine to be for the best interests of the authority. Bonds. Section 2. It is further enacted that said Act is amended by adding thereto a new section to be known as section 33 which said section shall read as follows: Section 33. In addition to the powers and authority granted under the provisions of this Act, said authority shall be authorized and empowered to construct, operate and maintain under the provisions of this Act as a project thereunder a State Archives Building on property owned or acquired by the State of Georgia. State Archives Building. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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DISTRIBUTION OF INCOME BY TRUSTEES. No. 533 (House Bill No. 604). An Act to require Trustees to distribute income from Trust property at least annually, on a calendar or fiscal year basis, in all cases where the Trust instrument establishing the Trust does not otherwise provide or direct, to clarify existing law, to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia, and it is hereby enacted by authority of the same: Section 1. Where the Trust instrument is silent as to the time of distribution of income and the frequency thereof, all Trustees of all trusts subject to the laws of this state, whether heretofore or hereafter established, shall distribute all net income derived from the property comprising such trust at least annually, on a calendar or fiscal year basis. Annual distribution. Section 2. In the case of any trust now in existence or hereafter created where the trust instrument expressly directs or permits net income to be distributed less frequently than annually, the express provisions of such instrument shall govern the time and manner of making distributions of income. Proviso. Section 3. Net income as used herein means gross income less expenses, other proper charges, and such reserves as may be necessary under the trust instrument to preserve the trust property. Net income defined. Section 4. All laws and parts of laws in conflict with this act are hereby repealed. Approved March 7, 1960.

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CLAYTON JUDICIAL CIRCUITSALARY OF SOLICITORGENERAL. No. 538 (House Bill No. 615). An Act to amend an Act creating the Clayton Judicial Circuit, approved February 16, 1956 (Ga. L. 1956, p. 95), so as to change the compensation of the solicitor-general of said circuit; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the Clayton Judicial Circuit, approved February 16, 1956 (Ga. L. 1956, p. 95), is hereby amended by striking from section 2 the figure $5,000.00 and inserting in lieu thereof the figure $7,500.00, so that when so amended, section 2 shall read as follows: Section 2. The compensation and allowances of the judge of said circuit shall be as now or hereafter provided by law. The solicitor-general of said circuit shall be compensated on a salary basis, rather than a fee basis, and in addition to the compensation and allowances paid the solicitors-general of the superior courts by the State, the solicitor-general of said circuit shall be compensated in the amount of $7,500.00 per annum, which shall be paid in equal monthly installments from the funds of Clayton County. Section 2. This Act shall become effective April 1, 1960. Effective date. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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USE OF FACSIMILE SIGNATURES BY CLERKS OF SUPERIOR COURTS IN COUNTIES OF MORE THAN 150,000 PERSONS. Code 24-2715 (16) Amended. No. 540 (House Bill No. 618). An Act to amend section 24-2715 (16) of the Code of Georgia so as to provide for the use of facsimile signatures by the clerks of the superior courts of this State. Be it enacted by the General Assembly of Georgia: Section 1. That section 24-2715 (16) which reads as follows: To make a minute on all conveyances or liens of the day left for record, and the day recorded, to be signed officially, which shall be evidence thereof; and to attest deeds and other written instruments for registration. is hereby amended by inserting after the words to be signed officially the following words: by said clerk or his deputy by written signature or by facsimile signature of the clerk so that said section as amended shall read as follows: 16. To make a minute on all conveyances or liens of the day left for record, and the day recorded, to be signed officially by said clerk or his deputy, by written signature or by facsimile signature of the clerk, which shall be evidence thereof; and to attest deeds and other written instruments for registration. Section 2. Provided, that this Act shall be effective only in counties having a population of more than 150,000 persons by the U. S. census of 1950, or any future census. Counties. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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BANKRUPTCY PETITIONSEFFECT OF RECORDING, ETC., CERTIFIED COPIES OF PETITIONS. No. 545 (House Bill No. 626). An Act to amend an Act entitled: An Act to authorize and provide the effect of docketing, indexing and recording certified copies of petitions commencing proceedings under the Bankruptcy Act of the United States, decrees of adjudication in such proceedings, and orders approving bonds of trustees appointed in such proceedings: to make it the duty of clerks of superior courts to docket, index, and record such copies: to provide fees for such docketing, indexing, and recording: and for other purposes, said described Act having been approved March 24, 1939, and appearing in Georgia Laws, 1939, at page 242, et seq., by striking from section 2 of said Act certain language exempting from application of the Act the county in which the record of the original proceedings under the Bankruptcy Act is kept; and for other purposes. Be it enacted by the General Assembly of Georgia, and it is hereby enacted by authority of the same, as follows: Section 1. The Act of the General Assembly of Georgia approved March 24, 1939, and appearing in Georgia Laws for 1939, Page 242, et seq., and entitled: An Act to authorize and provide the effect of docketing, indexing and recording certified copies of petitions commencing proceedings under the Bankruptcy Act of the United States, decrees of adjudication in such proceedings, and orders approving bonds of trustees appointed in such proceedings; to make it the duty of clerks of superior courts to docket, index, and record such copies; to provide fees for such docketing, indexing and recording; and for other purposes. is hereby amended by striking from section 2 the proviso contained in the last sentence of such section reading as follows: Provided, however, that this section shall not apply to the county in which is kept the record of the original proceedings under the Bankruptcy

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Act. so that said section as hereby amended shall read as follows: 1939 Act amended. Section 2. Unless a certified copy of such petition, with schedules omitted, decree, or order has been recorded in any county wherein the bankrupt owns or has an interest in real property, the commencement of a proceeding under the Bankruptcy Act of the United States shall not be constructive notice to or affect the title of any subsequent bona fide purchaser or lienor of real property in such county for a present fair equivalent value and without actual notice of the pendency of such proceeding: Provided, however, that where such purchaser or lienor has given less than such value, he shall nevertheless have a lien upon such property, but only to the extent of the consideration actually given by him. The exercise by any court of the United States or of this State of jurisdiction to authorize or affect a judicial sale of real property of the bankrupt within any county in this State shall not be impaired by the pendency of such proceeding unless such copy be recorded in such county, as aforesaid, prior to the consummation of such judicial sale. Section 2. All laws or parts of laws that conflict herewith are hereby repealed. Approved March 7, 1960. LIBELRETRACTION IN MITIGATION OF DAMAGES. No. 546 (House Bill No. 627). An Act to provide for a method of retraction of libelous statements made by newspapers which shall relieve such newspapers from liability for punitive damages; to provide that such retraction may be pleaded in mitigation of actual damages; to repeal an Act approved February 20, 1958, relating to the same subject matter; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia, and it is hereby enacted by the same, as follows: Section 1. In any civil action for libel, charging the publication of an erroneous statement alleged to be libelous, it shall be relevant and competent evidence for either party to prove that the plaintiff requested retraction or omitted to request retraction. The defendant may allege and give proof that the matter alleged to have been published and to be libelous was published without malice, and that the defendant in a regular issue of the newspaper or other publication did, within three days after receiving written demand (or in the next regular issue of the newspaper or other publication if the next regular issue be not published within three days after receiving such demand), correct and retract the allegedly libelous statement in as conspicuous and public a manner as that in which the alleged libelous statement was published, and that if the plaintiff so requested, such retraction and correction was accompanied by an editorial appearing in the same issue as the retraction in which the allegedly libelous statement was specifically repudiated, or that no request for correction and retraction was made by the plaintiff. Upon proof of such facts, the plaintiff shall not be entitled to any punitive damages, and the defendant shall be liable only to pay actual damages. The defendant may plead the publication of the correction, retraction or explanation (including the editorial, if demanded) in mitigation of damages. Section 2. All laws and parts of laws in conflict herewith are hereby repealed. Section 3. The Act of the General Assembly of Georgia approved February 20, 1958, and appearing in Georgia Laws, 1958, page 54, relating to the same subject matter is expressly hereby repealed. 1958 Act repealed. Approved March 7, 1960.

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JUVENILE COURT ACT AMENDEDJUDGES PRO TEMPORE. No. 547 (House Bill No. 628). An Act to amend an Act known as the Juvenile Court Act, approved February 19, 1951 (Ga. L. 1951, p. 291) as amended, particularly by an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 252), an Act approved December 12, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 87), an Act approved March 7, 1955 (Ga. L. 1955, p. 581), an Act approved March 9, 1955 (Ga. L. 1955, p. 610), an Act approved February 13, 1956 (Ga. L. 1956, p. 69), an Act approved March 6, 1956 (Ga. L. 1956, p. 527), an Act approved March 9, 1956 (Ga. L. 1956, p. 603), an Act approved March 17, 1956 (Ga. L. 1956, p. 799), an Act approved March 7, 1957 (Ga. L. 1957, p. 307), an Act approved March 13, 1957 (Ga. L. 1957, p. 617), an Act approved March 25, 1958 (Ga. L. 1958, p. 395), an Act approved March 10, 1959 (Ga. L. 1959, p. 188), so as to provide for judges pro tempore of the juvenile courts, to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Juvenile Court Act, approved February 19, 1951 (Ga. L. 1951, p. 291) as amended, particularly by an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 252), an Act approved December 12, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 87), an Act approved March 7, 1955 (Ga. L. 1955, p. 581), an Act approved March 9, 1955 (Ga. L. 1955, p. 610), an Act approved February 13, 1956 (Ga. L. 1956, p. 69), an Act approved March 6, 1956 (Ga. L. 1956, p. 527), an Act approved March 9, 1956 (Ga. L. 1956, p. 603), an Act approved March 17, 1956 (Ga. L. 1956, p. 799), an Act approved March 7, 1957 (Ga. L. 1957, p. 307), an Act approved March 13, 1957 (Ga. L. 1957, p. 617), an Act approved March 25, 1958 (Ga. L. 1958, p. 395), an Act approved March 10, 1959 (Ga. L. 1959, p. 188), is amended by adding following section 38 thereof a new

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section which shall be known as section 39, which shall read as follows: Section 39. In the event of the disqualification, illness, or absence of the judge of the juvenile court, upon his request if he is able to make it to the superior court judge, otherwise upon the superior court judge's own motion, the superior court judge may appoint the ordinary of said county, the judge of any city court, any attorney at law resident in said county, to serve as judge pro tempore of said juvenile court and such person shall have the authority to preside in the stead of said disqualified, ill or absent judge. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. TENPINSROLLING BY MINORS PERMITTED. Code 26-6701 Repealed. No. 549 (House Bill No. 633). An Act to repeal Code section 26-6701, relating to the punishment for permitting a minor to roll tenpins; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 26-6701, which reads as follows: 26-6701. Any owner or person controlling a tenpin alley, who shall permit any minor to roll on the same, without the consent of the parent or guardian, shall be punished by a fine not to exceed $100 for each offense, or imprisonment for 20 days, or both, at the discretion of the court. is hereby repealed in its entirety.

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Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. FURNISHING CIGARETTES, ETC., TO MINORS NO LONGER A MISDEMEANOR. Code 26-6801 Repealed. No. 550 (House Bill No. 634). An Act to repeal Code section 26-6801, making it a misdemeanor to furnish cigarettes, cigarette tobacco, cigarette paper, or any substitute therefor to a minor; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code Section 26-6801, which reads as follows: 26-6801. Any person who, by himself, agent or in any other way, shall furnish a minor with cigarettes, cigarette tobacco, cigarette paper, or any substitute therefor, shall be guilty of a misdemeanor. is hereby repealed in its entirety. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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ELECTIONSTABULATION OF ABSENTEE BALLOTS. Code 34-3316 Enacted. No. 551 (House Bill No. 639). An Act to amend Chapter 34-33 of the Code, relating to voting by mail, as amended, so as to provide for a procedure of tabulating absentee ballots in any county in which voting machines are used; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Chapter 34-33 of the Code, relating to voting by mail, as amended, is hereby amended by adding a new section numbered 34-3316, which shall read as follows: 34-3316. Notwithstanding the provisions contained in sections 34-3312 through 34-3314, of this chapter, in any county in which voting machines are used, the Ordinary of said county, or the official in charge of any election or primary which is not held or conducted by the Ordinary, shall have the authority to designate one machine upon which all absentee ballots of said county shall be tabulated. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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PRACTICE AND PROCEDURESERVICE OF PROCESS, ETC., UPON MINORS. Code 81-212 Amended. No. 552 (House Bill No. 641). An Act to amend Code section 81-212, so as to provide for a method of service upon all minors; to provide that a guardian ad litem agree to serve in writing; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 81-212, relating to the method of service upon minors, which read as follows: The mode of service of writs, petitions, citations, and other legal proceedings in the courts on minors shall be as follows: If the minor is under the age of 14 years, service shall be perfected by delivering a copy of said proceeding, of whatever kind or nature it may be, to said minor personally; and in cases where there is a statutory or testamentary guardian or trustee representing the interest of the minor to be affected by a legal proceeding, service as usual on said guardian or trustee shall be sufficient to bind said minor's interest in his control to be affected by said proceedings. If the minor is over 14 years of age, service may be made by delivering to him personally such copy. When the returns of such service are made to the proper court, and order taken to appoint said minor a guardian ad litem, and such guardian ad litem agrees to serve, all of which shall be shown in the proceedings of the court, said minor shall be considered a party to said proceedings. is hereby amended by striking the same in its entirety and substituting in lieu thereof a new Code section 81-212 to read as follows: 81-212. The mode of service of writs, petitions, citations, and other legal proceedings in the courts on minors

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shall be as follows: Service shall be perfected on a minor by delivering a copy of said proceeding, of whatever kind or nature it may be, to said minor personally; and in cases where there is a statutory or testamentary guardian or trustee representing the interest of the minor to be affected by a legal proceeding, service as usual on said guardian or trustee shall be sufficient to bind said minor's interest in his control to be affected by said proceedings. When the returns of such service are made to the proper court, and an order taken to appoint for said minor a guardian ad litem, and such guardian ad litem agrees to serve in writing, all of which shall be shown in proceedings of the court, said minor shall be considered a party to said proceedings. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GEORGIA COMMISSION ON ALCOHOLISM ABOLISHEDFUNCTIONS, ETC., TRANSFERRED. No. 553 (House Bill No. 649). An Act to amend an Act recognizing alcoholism as a disease and creating the Georgia Commission on Alcoholism, approved February 21, 1951 (Ga. L. 1951, p. 806), as amended particularly by an Act approved February 15, 1952 (Ga. L. 1952, p. 403), and an Act approved March 25, 1958 (Ga. L. 1958, p. 366), so as to abolish the Georgia Commission on Alcoholism and transfer the functions, powers and duties heretofore performed and the records and property heretofore utilized by said Commission to the State Department of Public Health; to create an Advisory Committee on Alcoholism; to provide an effective date; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act recognizing alcoholism as a disease and creating the Georgia Commission on Alcoholism, approved February 21, 1951 (Ga. L. 1951, p. 806), as amended particularly by an Act approved February 15, 1952 (Ga. L. 1952, p. 403), and an Act approved March 25, 1958 (Ga. L. 1958, p. 366), is amended by striking from section 2 thereof the words `Executive Director' is the person appointed by the Georgia Commission on Alcoholism to the position of executive director as provided for herein. `Medical director' is the person appointed by the Georgia Commission on Alcoholism to the position of medical director as provided for herein., so that said section as amended hereby shall read as follows: Section 2. As used in this Act, unless the context requires a different meaning, an `alcoholic' means any person who chronically and habitually uses alcoholic beverages to the extent that he has lost the power of self control with respect to the use of such beverages, or while chronically and habitually under the influence of alcoholic beverages endangers public morals, health, safety or welfare. `Alcoholic beverages' include alcoholic spirits, liquors, wines, beer and every liquid or fluid, patented or not, containing alcoholic spirits, wine or beer which is capable of being consumed by human beings and produces intoxication in any form or in any degree. `Hospital' or `clinic' or `institution' is the hospital grounds, farm or facilities used for the treatment of those sick of alcoholism and for the custody of alcoholics. `Alcoholism', as used herein, has reference to any condition of abnormal behaviour or illness resulting directly or indirectly from the chronic and habitual use of alcoholic beverages. Definitions. Section 2. Said Act is further amended by striking therefrom section 3 in its entirety and inserting in lieu thereof a new section which shall be known as section 3 and which shall read as follows: Section 3. The duties and obligations heretofore imposed by this Act upon the Georgia Commission on Alcoholism

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shall be performed by the State Department of Public Health. All property, records and personnel heretofore utilized by the Georgia Commission on Alcoholism are hereby transferred to the State Department of Public Health. The Georgia Commission on Alcoholism is hereby abolished and whenever any other section of this Act shall make reference to `Commission' or `Georgia Commission on Alcoholism', it shall be construed to mean the State Department of Public Health. Duties, etc. transferred. Section 3. Said Act is further amended by striking therefrom sections 4, 5 and 6 in their entirety and inserting in lieu thereof a new section which shall be known as section 4 and which shall read as follows: Section 4. There is hereby created a committee to be known as the `Advisory Committee on Alcoholism', hereafter called the `Committee'. The functions of the Committee shall be to advise the State Department of Public Health upon its operations under the provisions of this Act. The Committee shall be composed of seven (7) members to be appointed by the Governor from citizens of the State who are known to have a knowledge of and an interest in the subject of alcoholism. the Committee shall meet quarterly and at such other times as may be deemed necessary by the director of the State Department of Public Health for the performance of their duties, not to exceed 24 days in all in any one year. Committee meetings may be held at the alcoholism facilities or any other site designated by the director of the State Department of Public Health. The former members of the Georgia Commission on Alcholism are hereby constituted the first members of the Advisory Committee on Alcoholism to serve until such time as their terms as members of the Commission would have expired. Their successors shall be appointed for a term of seven years or until their successors are qualified and appointed. Any vacancy occurring in the membership of the Committee shall be filled by the appointment of the Governor for the unexpired portion of the term. The members of the Committee shall receive $20.00 per diem for each day spent in the actual

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performance of their duties plus their actual and necessary expenses. Advisory Committee created. Section 4. Said Act is further amended by striking from subsection (a) of section 10 the word Commission and inserting in lieu thereof State Department of Public Health and by striking the words executive director and inserting in lieu thereof the words authorized representative of the State Department of Public Health, so that said subsection shall read as follows: (a) The ordinary of the county where an alleged alcoholic resides may certify or remand him or her to the custody of the State Department of Public Health for the treatment and rehabilitation of such alcoholic, upon proper application and proof and with the consent in writing of the authorized representative of the State Department of Public Health. Treatment of alcoholics. Section 5. Said Act is further amended by striking therefrom section 13 thereof in its entirety and inserting in lieu thereof a new section 13 which shall read as follows: Section 13. The State Department of Public Health may transfer alcoholics from one approved institution created or used by the Department for the purposes of this Act to another as it deems necessary and proper for their care and treatment. Provided, however, that this section shall not authorize the transfer of any patient to the Milledgeville State Hospital or any other mental institution operated by the department. Transfer of alcoholics. Section 6. Said Act is further amended by striking from section 14 thereof the words Commission for care and inserting in lieu thereof Department of Public Health for care and by striking therefrom the words executive director of the Commission and inserting in lieu thereof the word Department so that said section as amended hereby shall read as follows: Section 14. The judge of any court of this State having

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jurisdiction of misdemeanor cases may, upon finding a person guilty of any violation of the law, which violation is a misdemeanor resulting from such person's chronic and habitual use of alcohol, remand any such person over eighteen (18) years of age to the State Department of Public Health for care and treatment for a period not to exceed ninety (90) days, in lieu of the imposition of a sentence, provided, however, that the Department will receive such person as a patient. Appeals from such orders of the court may be taken in the same manner as provided for appeals from any other judgment of such court. Treatment in lieu of jail term. Section 7. Said Act is further amended by striking therefrom wherever the same shall appear the word Commission and inserting in lieu thereof the word Department and by striking therefrom the words by the medical director or his authorized agent so that said section as amended hereby shall read as follows: Section 16. Any person committed to the custody of the Department may, notwithstanding the terms of any order of commitment, be permitted to go at large on probation and without custody or restraint for such time and under such condition as the Department shall judge best. The persons committed to the custody of the Department may be discharged by the Department pursuant to its regulations, notwithstanding the terms of any order of commitment. Any person admitted to the custory of the Department for treatment under this section may be charged with the expense incidental to his treatment and detention, if the Department may desire, taking into consideration the result of an investigation into the financial status of such person. Probation Section 8. Said Act is further amended by striking therefrom section 20 in its entirety and inserting in lieu thereof a new section which shall read as follows: Section 20. The State Department of Public Health may bring commitment proceedings in the court of ordinary in the county wherein the person involved is restrained

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for commitment to such institutions as such court may direct of any person who has been committed to the custody and control of the Department under this Act and who is mentally ill. Commitment hearings. Section 9. This Act shall become effective July 1, 1960. Effective date. Section 10. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. PERSONAL LIABILITY OF EMPLOYEES WHO FAIL TO WITHHOLD INCOME TAXES OR FAIL TO COLLECT SALES TAX. No. 555 (House Bill No. 702). An Act to provide that any officer or employee of any corporation who has control or supervision of collecting from purchasers amounts required under the Georgia Retailers' and Consumers' Sales and Use Tax Act, as now or hereafter amended, or collecting from employees the taxes required under the Current Income Tax Payment Act of 1960, as now or hereafter amended, and of accounting for and paying over said amounts and taxes to the State Revenue Commissioner, and who willfully fails to collect such amounts, or truthfully account for and pay over such amounts to the State Revenue Commissioner, or who willfully attempts to evade or defeat any obligation imposed under said Acts, shall be personally liable for an amount equal to the amount evaded, or of the amount not collected, or not accounted for or paid over; to provide for the assessment and collection of such liability; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Any officer or employee of any corporation who has control or supervision of collecting from purchasers

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amounts required under the Georgia Retailers' and Consumers' Sales and Use Tax Act, as now or hereafter amended, or collecting from employees the taxes required under the Current Income Tax Payment Act of 1960, as now or hereafter amended, and of accounting for and paying over said amounts and taxes to the State Revenue Commissioner, and who willfully fails to collect such amounts, or truthfully account for and pay over such amounts to the State Revenue Commissioner, or who willfully attempts to evade or defeat any obligation imposed under said Acts, shall be personally liable for an amount equal to the amount evaded, or of the amount not collected, or not accounted for or paid over. Section 2. The liability herein prescribed shall be paid upon notice and demand by the Commissioner, or his delegate, and shall be assessed and collected in the same manner as the tax in connection with which the act, or failure to act, under this Act occurs or has occurred. Section 3. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 7, 1960. REVENUEMETHOD OF PAYMENT OF TAXES, ETC., TO REVENUE DEPARTMENT. No. 556 (House Bill No. 705). An Act relating to the payment of taxes and other amounts to agents and employees of the Revenue Department; to require official receipts for cash payments; to prescribe criminal penalties; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Payment by Check or Money Order. (a) Authority to Receive. The State Revenue Commissioner

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is authorized to receive in payment of taxes and license fees, personal, company, certified, treasurer's and cashier's checks and bank, postal, and express money orders to the extent and under the conditions which he may prescribe by regulations or instructions. (b) Time of Payment. A check or money order, when authorized, shall be deemed to be payment as of the time it is tendered and received by the Commissioner, provided such check or money order is duly paid upon presentation to the drawee. The time of receipt as shown by the records of the Revenue Department shall be prima facie correct as to the time of actual receipt. (c) Check or Money Order Unpaid. If a check or money order so received is not duly paid, the person on whose account such check or money order was tendered shall remain liable for the payment of the tax or license fee, and for all legal penalties and additions, to the same extent as if such check or money order had not been tendered. Delay in the presentation of such check or money order for payment shall not absolve this liability. (d) Liability of Banks and Others. If any certified, treasurer's, or cashier's check, or money order, so received is not duly paid, the State shall, in addition to its right to exact payment from the party originally obligated therefor, have a lien for the amount of such check or money order upon all assets of the bank or trust company on which drawn, or for the amount of such money order upon all the assets of the issuer thereof; and such amount shall be paid out of such assets in preference to any other claims whatsoever against such banker or issuer. (e) Penalty for Bad Check or Money Order. If any check or money order tendered to the Commissioner in payment of any tax or license fee is not duly paid when presented to the drawee or issuer for payment, in addition to any other penalties provided by law, there shall be paid as a penalty by the person who tendered same, upon notice and demand of the Commissioner or his delegate, in the same manner as tax, an amount equal to 1%

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of the amount of such check or order except that if the amount of such check or order is less than $500, the penalty under this section shall be $5, or the amount of the check or order, whichever is the lesser. This subsection shall not apply if the person who tendered such check or order shall show to the Commissioner's satisfaction that such check was tendered in good faith and with reasonable cause to believe it would be duly paid. Section 2. Receipts for Taxes. (a) In General. The Commissioner, his agents and employees, shall, upon request, give receipts for all sums collected by him, except when the same are in payment for stamps, tags, or license plates sold and delivered; but no receipt shall be issued in lieu of a stamp representing a tax. (b) Receipts Mandatory for Cash Payments. When payment of any tax or license fee (except for stamps, tags, or license plates sold and delivered) is made in cash, it shall be the duty of the person making such payment to demand and receive, and the duty of the person receiving such payment to furnish, a written receipt therefor in the form prescribed by the Commissioner as an official receipt of the Revenue Department. Such written receipt shall be conclusive as to the transaction, and the Commissioner shall not be required to give credit for a cash payment under any other circumstances. For purposes of this subsection, a cash payment includes payment by check, money order, or other instrument payable or endorsed to bearer or to any payee or endorsee except one which is, in substance, the Revenue Department of this State. (c) Duplicate Receipts for Payment of Estate Taxes. The Commissioner shall, upon request, give to the person paying an estate tax duplicate receipts, either of which shall be sufficient evidence of such payment, and shall entitle the executor to be credited and allowed the amount thereof by any court having jurisdiction to audit or settle his accounts.

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(d) Criminal Penalty. Any person who receives such payment without giving an official receipt as required in subsection (b) hereof shall be guilty of a misdemeanor. Section 3. All laws, or parts of laws, in conflict herewith are hereby repealed. Approved March 7, 1960. AGRICULTUREREGULATION OF SALES OF FLUE-CURED TOBACCO. Code Chapter 111-2 Repealed. No. 557 (House Bill No. 717). An Act to regulate the sale of flue-cured leaf tobacco in this State so as to enable producers to have an adequate time to properly cure, prepare, and market flue-cured leaf tobacco; to provide a means of identifying all types of flue-cured leaf tobacco sold in this State and a procedure connected therewith; to provide for the licensing and bonding of operators of flue-cured leaf tobacco and a procedure connected therewith and a license fee; to provide for the bonding of operators of tobacco warehouses, the amount thereof, and the conditions of such bond; to provide the maximum charges and expenses of handling and selling leaf tobacco in this State; to provide that statements of charges shall be submitted by the warehouseman to the seller of tobacco; to provide for records to be kept by licensee to show the origin and amount of tobacco sold by him and a procedure connected therewith; to provide for the duties of the Commissioner of Agriculture in compiling statistics relative to the sale of leaf tobacco; to create an advisory board and to provide its composition, the duties of the members thereof and their compensation; to provide for the setting of the opening date of the tobacco marketing season in this State and to provide a procedure connected therewith; to provide a minimum tobacco marketing season

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in this State and a procedure for the ceasing of operations of a warehouse prior to the expiration of the maximum selling season; to provide the maximum rate of sales of leaf tobacco by warehousemen; to provide a means of identification of flue-cured leaf tobacco as to types sold in this State and a procedure connected therewith; to provide a penalty for violating the provisions of section 13 by a licensee; to provide for identification tags for use in marketing tobacco in this state; to prohibit the mixing of type 14 tobacco with any other type of tobacco and to prescribe a means for the sale of such mixed tobacco; to provide for the registration of purchasers of tobacco for resale and a procedure connected therewith; to provide for the duties of Commissioner of Agriculture in conjunction with the administration and enforcement of this Act; to provide for certification by weighers for the weighing of tobacco at each warehouse and a procedure connected therewith; to provide for the revocation or suspension of any license or registration issued hereunder after notice and hearing and a procedure connected therewith; to provide for injunctions and a procedure connected therewith; to provide for rules and regulations; to provide for judicial review of administrative determinations or decisions and a procedure connected therewith; to provide for appeals and a procedure connected therewith; to provide for the impounding of records and commodities during investigation for violations of this Act and rules and regulations promulgated hereunder; to repeal Code Chapter 111-2 relating to statistics on leaf tobacco; to repeal an Act approved March 28, 1935 (Ga. L. 1935, p. 476), fixing a maximum charge for selling and handling leaf tobacco; to repeal an Act approved March 9, 1955 (Ga. L. 1955, p. 589), relating to the sale of flue-cured leaf tobacco; to define terms; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. It is the intent and purpose of this Act to enable producers to have sufficient time to properly cure,

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prepare and have an adequate time to market their flue-cured tobacco in an orderly manner and to provide a means of identification of types of flue-cured leaf tobacco sold in this State to the end that all purchasers thereof may be assured of the positive identification of tobacco sold in this State. It is found by the General Assembly that it is essential that the provisions provided in this Act are necessary to the proper marketing and identification of flue-cured leaf tobacco. Type 14 flue-cured leaf tobacco as used herein shall mean that flue-cured leaf tobacco grown in the traditional loose-leaf area which consists of the State of Georgia, Florida, and Alabama. Intent. Section 2. No person real or corporate shall operate, hold or conduct an auction sale for the sale of flue-cured leaf tobacco within this State without having first obtained a license for the year in which the sale is made from the Commissioner. The license shall be for the calendar year and the license fee shall be $10.00 per each calendar year and shall expire on December 31 of each year and be subject to renewal under such rules and regulations as the Commissioner shall prescribe. Auction licenses. Section 3. As a prerequisite to the issuance of a license under the provisions of this Act, each applicant shall produce evidence to the Commissioner that he has in force for the calendar year for which license is sought a bond issued by a corporate entity authorized to do business in this State in the penal sum of $10,000.00. Such information shall show that the bond is in full force and effect and shall remain of full force and effect during the calendar year for which the license is sought. The bond shall be conditioned upon the licensee performing all the duties imposed upon him by law and the accounting for the proceeds of all flue-cured leaf tobacco received by him for sale and sold by him. Same, bonds. Section 4. The maximum charges and expenses of handling and selling leaf tobacco by warehousemen licensed under this Act shall not exceed the following schedule, to-wit:

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For auction fees, 15 on all piles or sheets of one hundred (100) pounds or less and twenty-five cents (25) on all piles or sheets over one hundred (100) pounds. For weighing and handling, ten cents (10) per pile or sheet for all piles or sheets of one hundred (100) pounds or less and ten cents (10) for each additional one hundred (100) pounds. For commissions on the gross sales of leaf tobacco in said warehouses not to exceed two and one-half per cent (2%) of said gross sales. Charges by auction warehousemen. Section 5. The licensee of each and every warehouse shall render to each seller of tobacco of his warehouse an itemized statement plainly stating the amount charged for weighing and handling, the amounts charged for auction fees, and the amounts charged for commission on each sale. Same, statements. Section 6. Each licensee shall keep a correct daily account of the number of pounds of leaf tobacco sold upon the floor of his warehouse. On or before Monday of each week, the licensee shall make a statement under oath of all of the tobacco sold upon the floor of his warehouse during the preceding week and shall transmit each report to the Commissioner. The report shall be so arranged and classified as to show the number of pounds of tobacco sold for producers, the number of pounds sold for dealers, and the number of pounds resold by the licensee for his own account or for the account of some other warehouse or licensee. In addition thereto each licensee shall indicate the number of pounds of type 14 flue-cured leaf tobacco sold upon the floor of his warehouse for producers thereof and the number of pounds of type 14 flue-cured leaf tobacco sold by persons other than producers upon the floor of his warehouse. The licensee shall report the total number of pounds of other than type 14 flue-cured leaf tobacco sold for producers and persons other than producers. In addition thereto, each licensee shall make such additional reports as shall be prescribed by the Commissioner. Warehouse records, reports, etc. Section 7. The Commissioner shall cause to be kept and compiled the information submitted to him as to the

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sales of tobacco in this State. He shall cause such records to be kept in a manner so as to show the number of pounds of type 14 tobacco sold by each warehouse as well as the number of pounds of other than type 14 tobacco sold by each warehouse. He shall cause such records to be kept in a manner so as to show separately the number of pounds of type 14 tobacco and other types sold by producers and the number of pounds of each type of tobacco resold. The Commissioner of Agriculture is authorized to cause such information to be published in a manner that he deems most beneficial. Records by Commissioner of Agriculture. Section 8. To aid in the administration of this Act, there is hereby created an Advisory Board to be composed of nine (9) members. Three (3) members are to be members of the House of Representatives to be appointed by the Speaker of the House, and two (2) members are to be members of the Senate to be appointed by the President of the Senate. The members of the General Assembly shall be appointed from those members who are tobacco producers or in the absence of such producers in the General Assembly such members may be appointed from the members of the General Assembly who represent the flue-cured leaf tobacco producing counties and districts of this State. One (1) member shall be the Commissioner of Agriculture, ex officio, or his representative, who shall be Chairman of the Board. One (1) member shall be a flue-cured leaf tobacco producer to be appointed by the Commissioner of Agriculture. One (1) member shall be the President of the Georgia Farm Bureau Federation, or his representative. One (1) member shall be a member of the Georgia Flue-Cured Tobacco Warehousemen's Association to be appointed by the President of that Association. The appointive members shall serve at the pleasure of the appointing officer. The members of the Genera Assembly shall receive the per diem and expense allowance provided for committee work of the General Assembly and such sums shall be paid from the funds appropriated for the operation of the Genera Assembly. The other appointive members of the Board shall be compensated in the amount of $15.00 per day for each day in attendance of the duties

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of the Board and shall be reimbursed for the necessary expenses incurred in the performance of their duties from the funds of the Department of Agriculture. The Commissioner shall be reimbursed for his expenses incurred in the performance of his duties. The members of the Board shall not receive the per diem provided herein for more than seven (7) days per year. Advisory Board. Section 9. The Board shall meet in June of each year, or upon call of the Chairman, to survey the condition of the tobacco crop and recommend an opening date of the marketing season. The Chairman shall determine the time and place of the meeting. The Board shall recommend to the Commissioner a date for the opening of the tobacco marketing season. If the Commissioner approves the opening date or if he deems it necessary for any other reason, he shall cause one or more members of the Board to attend the meeting of the Board of Governors of the Bright Belt Warehouse Association or its successors to make known the recommendation as to the opening of the marketing season in Georgia. If the Board of Governors of the Bright Belt Warehouse Association shall disapprove the recommended date or shall indicate an opening date for the tobacco marketing season in Georgia that is not in accordance with nor agreeable to the Tobacco Advisory Board or the Commissioner, the Commissioner shall determine the opening date of the tobacco marketing season in this State. If any licensee shall hold a sale prior to the date determined by the Commissioner, the license of the licensee shall stand revoked and shall not be reinstated or reissued in the calendar year of the revocation. The revocation provided herein shall be in addition to the other penalties provided for the violation of this Act. It is the intent and purpose of this section to provide a procedure for the fixing of the opening date of the tobacco marketing season and to place the final authority to fix said date in the Commissioner of Agriculture. Same, meetings, etc. Section 10. The flue-cured leaf tobacco marketing season shall continue for a minimum of twenty-seven (27) selling days after the opening date. The operating

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day of each flue-cured leaf tobacco warehouse shall not exceed five (5) actual selling hours and operating week of each such warehouse shall be limited to five (5) actual selling days, provided that no sale shall be held on Saturday or Sunday. Marketing season. Section 11. If any warehouse has two (2) successive selling days during which the actual selling time is not more than one (1) hour each day, then that particular warehouse shall be permitted to cease its operations but not before two (2) days have passed after the days that the actual selling time has not exceeded one (1) hour per day. The Commissioner may authorize a warehouse to cease operations at an earlier date than that provided herein when the Commissioner determines that the ceasing of operations by the warehouse is in the best interest of the marketing of tobacco. Same. Section 12. The maximum rate of sales at any such warehouse shall not exceed four hundred fifty (450) baskets during any one (1) hour nor shall the rate of sales during any one (1) day or week exceed four hundred and fifty (450) baskets per hour. Maximum sales. Section 13. (A) As an aid in providing positive identification of type 14 flue-cured leaf tobacco, it shall be the duty of each licensee to furnish white identification tags to identify type 14 tobacco. It shall be the duty of each licensee to cause such white identification tags to be placed upon each sheet of type 14 tobacco received in his warehouse for sale by requiring that producers, at the time of the receipt of tobacco in the warehouse submit proof of the origin of the tobacco to be sold. No licensee shall receive from any producer any tobacco for sale unless the licensee receives proof in the form of marketing cards, or other identification measures issued by the United States Department of Agriculture so as to definitely establish the origin of the tobacco. The licensee shall cause to be placed upon each sheet of type 14 tobacco a white sheet ticket that shall remain upon the sheet of tobacco at all times after receipt in the warehouse until after the sale of the sheet of tobacco and

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shall cause such ticket to have a carbon copy of the same color that shall remain with the sheet of tobacco at all times subsequent to sale, as well as prior to the sale, that the tobacco remains in this State. Tags for type 14 tobacco. (B) Each licensee shall cause to be placed upon each sheet of other than type 14 tobacco received by him for sale, at the time of the receipt thereof, a colored identification tag of a color prescribed by the Commissioner that shall be attached to and shall remain in a conspicuous place at or near the top of the sheet of tobacco in such manner as to show to any person who desires to ascertain the type of tobacco offered for sale, or held for sale, that the tobacco is other than type 14. It shall be the duty of each licensee to ascertain at the time of the receipt of the tobacco to ascertain from producers or others the origin of the tobacco offered for receipt and to place the appropriate tag upon the tobacco so as to indicate the type. (C) Each licensee receiving tobacco from persons other than producers for sale shall require that the origin of the tobacco be proven to his satisfaction so as to enable the licensee to properly identify the type of tobacco. (D) Any licensee who shall indicate or permit to be indicated upon his premises any tobacco as type 14 when, in fact, such tobacco is not type 14 or any licensee who shall violate the provisions of this section shall be guilty of a felony and upon conviction thereof shall be punished by imprisonment of not less than one year nor more than five years and shall be subject to a fine of not more than $5,000.00 or both such fine and imprisonment. (E) It is the intent and purpose of this section to provide a means to positively identify type 14 tobacco and to require that types other than type 14 be identified and marketed in such manner as to indicate the type to any person seeking to ascertain the type of tobacco offered for sale in this State. Section 14. It shall be the duty of each licensee to

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provide identification tags of the color prescribed by the Commissioner for the use in marketing tobacco in his warehouse. Each licensee shall submit proof to the Commissioner prior to the opening of the marketing season, at a time prescribed by the Commissioner, of each year of an adequate supply of the identification tags required for the operation of his warehouse during the subsequent marketing season. Identification tags shall be of the size, color, number of carbon copies, shape and provide for information as shall be prescribed by the Commissioner. Identification tags. Section 15. Any person who shall purchase tobacco at auction for resale shall cause the tobacco so purchased to retain its identity as to type. Any person who shall mix type 14 tobacco with any other type of tobacco and who shall offer such mixed tobacco for sale shall cause such tobacco to be marketed and identified as other than type 14 tobacco. It shall be the duty of each purchaser for resale to retain the original identification ticket of each sheet of tobacco so purchased or a copy thereof and submit such sheets to the warehouse as a means of identification when the tobacco is offered for resale. Resales of tobacco. Section 16. It shall be unlawful for any person to purchase tobacco for resale without having first registered with the Commissioner of Agriculture. There shall be no fee for such registration and the Commissioner is authorized to revoke, suspend or cancel such registration after notice and hearing for any violation of this Act or any rule or registration promulgated hereunder. Same, licensing. Section 17. The Commissioner, himself or through his agent, is authorized to inspect the premises of each licensee as often as he shall deem necessary. It shall be the duty of each licensee to cause to be kept records that shall be open to inspection by the Commissioner in such manner as to accurately show the origin and disposition of each type of flue-cured leaf tobacco. Inspections. Section 18. It shall be the duty of each licensee to provide a certified public weigher for the weighing of

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tobacco upon his premises and it shall be unlawful for any person to weigh tobacco for sale who is not a certified public weigher. Certified weighers. Section 19. It shall be the duty of the Commissioner to enforce the provisions of this Act and to utilize any employee of the Department of Agriculture in the performance of his duties hereunder. The Commissioner is authorized to revoke or suspend any license or registration issued hereunder after notice and hearing before the Commissioner. Enforcement of Act. Section 20. In addition to the remedies provided herein and notwithstanding the existence of any other remedy of law and notwithstanding the pendency of any criminal prosecution, the Commissioner is authorized to apply to the Superior Court and such Court shall have jurisdiction upon hearing and for cause shown to grant a temporary or permanent injunction or an ex parte restraining order restraining or enjoining any person from violating or continuing to violate any of the provisions of this Act or for the failure or refusal to comply with the provisions of this Act or any rule or regulation promulgated hereunder. Such injunction shall be issued without bond. Injunctions. Section 21. (a) Prior to adoption or change of any rules and regulations, the Commissioner shall promulgate the proposed promulgation or change and afford interested persons an opportunity to be heard and submit data and views orally or in writing. (b) Any person with a real and substantial interest who is affected by a rule and regulation of the Commissioner who believes that the Commissioner in the promulgation or enforcement of such rule or regulation has exceeded the authority vested in him by the General Assembly under the Constitution of Georgia or United States shall have the right to petition the Commissioner for the repeal or rejection of such rule or regulation by pointing out in what respect and for what reasons he contends the rule to be unlawful or unconstitutional. The Commissioner is required to consider every such petition

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and afford the pettiioner an opportunity to be heard within thirty (30) days, and, after argument, the Commissioner shall determine the merits of the petition. If the Commissioner decides in whole or in part in favor of the petitioner, the Commissioner shall take corrective measures within thirty (30) days after the hearing to give the petitioner relief in every respect from any unlawful or unconstitutional rule or regulation. The foregoing is expressly made an administrative remedy and every person affected by any rule or regulation or any Act of the Commissioner is required to exhaust this remedy before taking any other steps. Rules. (c) All hearings before the Commissioner shall be stenographically reported and shall be available to any interested party upon payment of the stenographic cost. Section 22. (a) Procedure. (1) Any person aggrieved by a final decision or determination in any matter in which a hearing is required or authorized by this Act or by the State or Federal Constitution is entitled to judicial review thereof, provided that the judicial review herein afforded shall be exclusive judicial remedy for review of such decision or determination. Review. (2) Proceedings for review shall be instituted by filing a petition in the superior court of the county in which the Commissioner resides, within thirty (30) days after service of the final decision or determination of the Commissioner. Copies of the petition shall be served upon the Commissioner and all other parties of record. The court in its discretion may permit other interested persons to intervene. (3) The filing of the petition shall not stay enforcement of the Commissioner's decision; but the Commission may do so, or the reviewing court may order a stay upon such terms as it deems proper. (4) Within thirty (30) days after service of the petition, or within such further time as the court may allow, the Commissioner shall transmit to the reviewing court

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the original or a certified copy of the entire record of the proceeding under review; but, by stipulation of all parties to the review proceeding; the record may be shortened. Any party unreasonably refusing to stipulate to limit the record may be taxed by the court for the additional costs. The court may require or permit subsequent corrections or additions to the record when deemed desirable. (5) If, before the date set for hearing, application is made to the court for leave to present additional evidence to the issues in the case, and it is shown to the satisfaction of the court that the additional evidence is material and that there were good reasons for failure to present it in the proceeding before the Commissioner, the court may order that the additional evidence be taken before the Commissioner upon such conditions as the court may deem proper. The Commissioner may modify his findings and decision by reason of the additional evidence and shall file with the reviewing court, to become a part of the record, the additional evidence, together with any modification or new findings or decision. (b) Scope of review. (1) The review shall be conducted by the court without a jury and shall be confined to the record, except that in cases of alleged irregularities in procedure before the Commissioner, not shown in the record, testimony thereon may be taken in the court. The court shall, upon request, hear oral argument and receive written briefs. (2) The court may affirm the decision of the Commissioner or remand the case for further proceedings before the Commissioner; or it may reverse or modify the decision or compel action unlawfully withheld, if the substantial rights of the petitioners may have been prejudiced

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because the administrative findings, conclusions or decisions are: (a) in violation of constitutional provisions; or (b) in excess of the statutory authority or jurisdiction of the Commissioner or affected by other error of law; or (c) made upon unlawful procedure; or (d) unsupported by substantial evidence as weighed in view of the entire record as submitted; or (e) arbitrary or capricious. (c) Appeals procedure. An aggrieved party may secure a review of any final judgment of the superior court under this Act by writ of error to the appropriate appellate court. Section 23. At such time as the Commissioner deems there has been a violation of this Act and the rules and regulations promulgated hereunder, he shall have the power and authority to suspend the license or registration pending investigation of such violation and until such time as the violation has been corrected to the satisfaction of the Commissioner. During the period of time of any investigation of a violation, the Commissioner shall have the power and authority to impound all books and records and to preserve and maintain evidence until investigation is completed. Provided, however, that the investigation shall be completed at the earliest practicable time. Suspension of licenses. Section 24. Code Chapter 111-2, relating to statistics on leaf tobacco is hereby repealed in its entirety. Code Chapter 111-2 repealed.

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Section 25. An Act approved March 28, 1935 (Ga. L. 1935, p. 476), fixing a maximum charge for selling and handling leaf tobacco is hereby repealed in its entirety. 1935 Act repealed. Section 26. An Act approved March 9, 1955 (Ga. L. 1955, p. 589), relating to the sale of flue-cured leaf tobacco, is hereby repealed in its entirety. 1955 Act repealed. Section 27. Any person who shall violate any provision of this Act for which no specific punishment is provided herein shall be guilty of a misdemeanor and upon conviction thereof shall be published as provided by law. Crimes. Section 28. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. YEAR'S SUPPORTEFFECT ON OPTIONS OR CONTRACTS, ETC. TO SELL LAND. No. 558 (House Bill No. 718). An Act to provide that if a year's support is set apart for the benefit of any person or persons in or with respect to land on which there is a recorded option to purchase or contract to sell outstanding at the time the same is so set apart, such person or persons, and any purchasers or lessees of said land after the same has been so set apart, shall take said land, or any interest therein, subject to all of the rights and privileges of the grantee of said option or contract to sell, and of any assignees of said option or contract to sell

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if such assignment or assignments are also recorded; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. If a year's support is set apart for the benefit of any person or persons in or with respect to land on which there is a recorded option to purchase or contract to sell outstanding at the time the same is so set apart, such person or persons, and any purchasers or lessees of said land after the same has been so set apart, shall take said land, or any interest therein, subject to all of the rights and privileges of the grantee of said option or contract to sell, and of any assignees of said option or contract to sell, if such assignment or assignments are also recorded. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GAME AND FISH COMMISSIONEXPENSES OF RANGERS. No. 559 (House Bill No. 719). An Act to amend an Act approved March 7, 1955, (Ga. L. 1955, p. 483), comprehensively and exhaustively revising and superseding the laws of this State relating to the Game and Fish Commission, as amended, particularly by an Act approved February 27, 1956 (Ga. L. 1956, p. 349), so as to delete therefrom the provision for the payment to each wildlife ranger a

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subsistence allowance; to authorize the Game and Fish Commission to pay to each wildlife ranger the expenses of the ranger incurred in the performance of his duties; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act approved March 7, 1955 (Ga. L. 1955, p. 483), comprehensively and exhaustively revising and superseding the laws of this State relating to the Game and Fish Commission, as amended, particularly by an Act approved February 27, 1956 (Ga. L. 1956, p. 349), is hereby amended by striking paragraph (c) of section 13 in its entirety and in lieu thereof inserting the following: (c) The Game and Fish Commission is authorized to pay to each wildlife ranger the expenses incurred by the ranger in the performance of his duties. Section 2. All laws and parts of laws in conflict with this law are hereby repealed. Approved March 7, 1960. APPROPRIATIONS ACT AMENDEDSCHOLARSHIPS FOR TEACHERS. No. 561 (House Bill No. 747). An Act to amend an Act making appropriations for the operation of State government approved March 14, 1956 (Ga. L. 1956, p. 753), so as to make provisions for scholarships for teachers as authorized by an

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amendment to Article VII, Section I, Paragraph II of the Constitution proposed by Georgia Laws 1958, page 432; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act making appropriations for the opertion of State government approved March 14, 1956 (Ga. L. 1956, p. 753), as amended, is amended by inserting at the end of the second paragraph of subsection (a) of section 48 thereof the words Provided, however, that not less than one hundred fifty thousand ($150,000.00) dollars of this supplement shall be used to provide scholarships for teachers as provided for in amendment to Article VII, Section I, Paragraph II of the Constitution as proposed by Georgia Laws 1958, page 432, so that the first two paragraphs of said subsection (a) shall read as follows: (a) To supplement and become a part of appropriation provided for the State Board of Education for the educational purposes, including additional capital outlay funds and for all other purposes provided for under section 7 of this Act. Provided, however, that the supplement authorized hereunder shall be subject to all rules, regulations, restrictions and limitations set forth in section 7 of this Act with reference to the regular appropriation for educational purposes, and especially that portion relating to the maintenance and operation of separate schools for the white and colored races. Provided, however, that not less than one hundred fifty thousand ($150,000.00) dollars of this supplement shall be used to provide scholarships for teachers as provided for in an amendment to Article VII, Section I, Paragraph II of the Constitution

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as proposed by Georgia Laws 1958, page 432......$32,400,000.00 Section 2. This Act shall become effective immediately upon its approval by the Governor or otherwise becoming a law, and the appropriation provided hereby shall be made for the fiscal year 1959-1960. Effective date. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. HOUSTON SUPERIOR COURTTERMS, GRAND JURIES. No. 562 (House Bill No. 748). An Act to provide for the holding of four (4) terms of the Superior Court of Houston County; to prescribe the times for holding such terms; to provide for the drawing and serving of grand juries at such terms; to specifically repeal an Act providing for the holding of three (3) terms of the Superior Court of Houston County approved February 17, 1949 (Ga. L. 1949, p. 898) and an amendment thereto approved March 17, 1959 (Ga. L. 1959, p. 254); to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. There shall be held four (4) terms of the Superior Court of Houston County, Georgia, in each year

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and such terms shall be held as follows: The first term shall convene annually on the first Monday in February, the second term shall convene annually on the first Monday in May, the third term shall convene annually on the third Monday in August, and the fourth term shall convene annually on the first Monday in November of each year. Terms. Section 2. The judge of the Superior Court of Houston County shall draw a grand jury only for the February term and the August term and the grand jurors drawn for the February term shall serve as the grand jury for the February and May terms of said Court and the grand jury drawn for the August term shall serve as the grand jury for the August and November terms of said court. Grand juries. Section 3. This Act shall become effective and the first term hereunder shall be convened on the third Monday in August, 1960. Effective date. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GIFTS OF SECURITIES TO MINORS ACTAMENDED. Code Ann. 48-311 (a) Amended. No. 563 (House Bill No. 751). An Act to amend an Act relating to Gifts of Securities to Minors, approved March 9, 1955 (Ga. L. 1955, pp. 592 et seq.), and in particular Sec. 11 (a) of said Act

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(now codified as Ga. Code Ann. sec. 48-311 (a)) so as to provide that the term Security as used in said Act shall include shares, share accounts, and savings accounts in Federal Savings Loan Associations and in State-Chartered Building Loan Associations; to provide that this amendment shall be deemed declaratory of the existing law before the passage hereof; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly; and it is hereby enacted by authority of the same: That an Act of the General Assembly relating to Gifts of Securities to Minors, approved March 9, 1955 (Ga. L. 1955, pp. 592 et seq., and in particular sec. 11 (a) of said Act --- now codified as Ga. Code Ann. sec. 48-311 (a)) be and the same is hereby amended as follows, to-wit: Section 1. By adding to sec. 11 (a) of said Act an additional sentence as follows: Said term shall include any share, share account, or savings account in a Federal Savings and Loan Association or in a State-Chartered Building and Loan Association, so that said section when so amended shall read as follows: The term `security' as used in this Act means any note, stock, bond, debenture, evidence of indebtedness, collateral trust certificate, transferable share, voting trust certificate, certificate of deposit for a security, or, in general, any interest or instrument commonly known as a security, or any certificate of interest or participation in, temporary or interim certificate for, or warrant or right to subscribe to or purchase, any of the foregoing. Said term shall include any share, share account, or savings

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account in a Federal Savings and Loan Association or in a State-Chartered Building and Loan Association. Section 2. This amendment shall be deemed to be declaratory of the existing law and of the law as it has existed since the approval on March 9, 1955 of the aforementioned Act. Intent. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. STATE BOARD OF CORRECTIONSMEDICAL TREATMENT FOR PRISONERS ADDICTED TO ALCOHOL OR DOPE. No. 565 (House Bill No. 761). An Act to amend an Act comprehensively and exhaustingly revising, superseding and consolidating the laws relating to the State Board of Corrections, and to prisons, public work camps and prisoners, approved February 20, 1956 (Ga. L. 1956, p. 161), as amended, particularly by an Act approved March 13, 1957 (Ga. L. 1957, p. 477), so as to provide for the transfer to Milledgeville State Hospital prisoners addicted to dope or alcohol; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act comprehensively and exhaustingly revising, superseding and consolidating the laws relating

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to the State Board of Corrections, and to prisons, public work camps and prisoners, approved February 20, 1956 (Ga. L. 1956, p. 161), as amended, particularly by an Act approved March 13, 1957 (Ga. L. 1957, p. 477), is hereby amended by adding to subsection (d) of section 14 the following paragraph: Provided, however, that upon being presented with a proper certification from the county physician of a county where a person is sentenced to prison, that such person so sentenced is a dope addict or alcoholic to the extent that his health will be impaired or his life endangered without immediate treatment, the Board of Corrections is hereby directed to transfer such prisoner to the criminal ward or facility of the State Hospital at Milledgeville. Said prisoner shall remain there until the hospital authorities determine he is able to serve his sentence elsewhere. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GEORGIA MOTORBOAT NUMBERING ACT. No. 567 (House Bill No. 764). An Act to provide for the regulation of marine traffic; to provide for licensing and numbering of motorboats; to provide the procedure connected therewith and for fees and the disposition thereof; to provide for definition of terms used in the Act; to provide for the formulation

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of rules and regulations for carrying out the purposes of this Act; to provide for the penalties for violation of this Act; to provide for an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The short title of this Act shall be Georgia Motorboat Numbering Act. Short title. Section 2. Definitions. As used in this Act, unless the context clearly implies a different meaning; (1) Motorboat means any watercraft, other than a seaplane on the water, used or capable of being used as a means of transportation on water and propelled by machinery in excess of 10 H.P. whether or not such machinery is the principal source of propulsion: Provided, however, the term motorboat shall include a commercial fishing vessel propelled by machinery regardless of H.P. and regardless of whether or not such machinery is the principal source of propulsion. (2) Owner means any person, other than a lien holder having a property right in; title to; or the right of possession in a motorboat. (3) Waters of this State shall include all fresh and salt waters in this state and the marginal sea adjacent to this State and the high seas when navigated as a part of a journey or ride to or from the shores of this State except privately-owned ponds or lakes not open to the general public. (4) Person means an individual, partnership, firm, corporation, association, or other entity except the United

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States or a State of the United States or political subdivision thereof. (5) Operate means to navigate or otherwise use a motorboat. (6) Commission means the State Game and Fish Commission. (7) Director means the Director of the State Game and Fish Commission. Section 3. The provisions of this Act shall be applicable to all motorboats operating on the Waters of this State as defined in section 2 hereof, except vessels that have a valid marine document issued by the Bureau of Customs. Intent. Section 4. The Commission shall establish a procedure for the registration and licensing of all motorboats including commercial fishing vessels, operated in the waters of this State, except as hereinafter excepted, and shall receive and account for all license fees provided by this Act. Registration. Section 5. Except as hereinafter provided, the operation of motorboats not licensed and so identified by license number as required by this Act is prohibited on the waters of this State. No person shall operate or give permission for the operation of any motorboat on such waters unless the motorboat is licensed and numbered in accordance with this Act, or in accordance with applicable Federal law, or in accordance with federally approved number system of another state, and unless (a) the certificate of number awarded to such motorboat is in full force and effect and (b) the identifying number set forth in the certificate of number is displayed on each

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side of the bow of such motorboat as required by the Commission. Provided further that a motorboat shall not be required to be licensed and numbered under this Act if it is: Use of unlicensed motorboats prohibited, exceptions. (1) Already covered by a number in full force and effect which has been awarded to it pursuant to Federal law or a federally approved numbering system of another state: Provided that such boat shall not have been within this State for a period in excess of ninety (90) consecutive days; (2) A motorboat from a country other than the United States temporarily using the waters of this State; (3) A motorboat owned by the United States, a State of the United States or a subdivision thereof; (4) A ship's lifeboat; (5) A motorboat belonging to a class of boats which has been exempted from numbering by the Commission after said agency has found that the numbering of motorboats of such class will not materially aid in their identification; and, if an agency of the Federal government has a numbering system applicable to the class of motorboats to which the motorboat in question belongs, after the Commission has further found that the motorboat would also be exempt from numbering if it were subject to Federal law. Section 6. (a) Motorboat licenses shall be issued and sold by the Commission upon such forms which shall contain such information as the Commission may prescribe: Provided, the Commission may at its discretion authorize any person in any of the counties of this State to act as agent for the awarding of licenses. In the event that a

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person accepts such authorization, he may be assigned a block of license numbers which upon award, in conformity with this Act and with any rules and regulations of the Commission, shall be valid as if awarded directly by the Commission. All agents so appointed shall be bonded in an amount determined by the Commission to be sufficient to protect the State of Georgia and all licenses delivered to such agent shall be charged to him and he shall account for same and for the cash from resulting sales. The agent shall receive for himself twenty-five cents (25) for each license issued and shall account for or forward the fee for each less their commission along with other information required at regular intervals of not more than 60 days, as established by the Commission. Sale of licenses. (b) The fee required for the issuance of a motorboat license number in this State shall be based on the length of said boat as follows: Class A, less than 16 feet in length $ 5.25 Class I, sixteen feet or over but less than 26 feet in length $ 7.75 Class II, twenty-six feet or over but less than forty feet in length $10.25 Class III, forty feet or over $15.25 Except the owner of a motorboat that is commonly referred to as a livery boat, that is, a boat owned for the purpose of renting to another, shall be entitled to register each such boat as herein provided upon the payment of a fee of $1.25 per boat for the first twenty (20) boats and for those in excess of twenty (20), the owner shall

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pay $.50 per boat. Each certificate of number issued at this livery boat rate shall be plainly marked Livery Boat. Section 7. (a) The owner of a motorboat shall paint on or attach to each side of the bow of the motorboat the identification number in such manner and in such size as may be prescribed by rules and regulations of the Commissioner in order that it may be clearly visible. Provided, however, the Commission is authorized to provide for a means of identification for use on motorboats used by boat dealers as demonstrators that may be easily transferred from one boat to another in the same class range. The number shall be maintained in legible condition. The license indicating the number shall be pocket size and shall be available at all times for inspection upon demand on the motorboat whenever such motorboat is in operation. Marking of motorboats. (b) The owner of any motorboat already covered by a number in full force and effect which has been awarded to it pursuant to then operative federal law or a federally approved numbering system of another state shall record the number with the Commission, or as may be directed by the Commission, prior to operating the motorboat on the waters of this State in excess of the ninety (90) day reciprocity period provided for in this Act. Such recordation shall be in such manner as the Commission may direct, except that no additional or substitute number shall be issued. Reciprocity. (c) Should the ownership of a motorboat change, a new application form with the same fee as for original registration shall be filed with the Commission and a new license shall be awarded in the same manner as provided for in an original award of number. It is specifically

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provided that the motorboat license shall not be transferable. Change of ownership. (d) In the event that an agency of the United States Government shall have in force an over-all system of identification numbering for motorboats within the United States, the license numbering system employed pursuant to this Act by the Commission shall be in conformity therewith. Overall numbering system. (e) All records of the Commission made or kept pursuant to this section shall be public records. Public records. (f) Every license awarded pursuant to this Act shall be for a period of not more than three calendar years and shall become subject to renewal after November 1 of the third calendar year of its use. However, such license shall be valid on through December 31 of the third calendar year of its use, but if not renewed prior to or on the last mentioned date said license shall lapse and expire and be of no further validity. On any renewal, provided the license has not lapsed, the user thereof shall continue to be assigned the same number. Licensing period. (g) The owner shall furnish the Commission notice of the transfer of all or any part of his interest, other than the creation of a security interest, in a motorboat licensed in this State or of the destruction or abandonment of such motorboat licensed in this State or of the destruction or abandonment of such motorboat, within fifteen (15) days, or such other period of time as shall be prescribed by the Commission. Such transfer, destruction, or abandonment shall terminate the license for such motorboat except, that in the case of a transfer of a part interest which does not affect the owner's right to operate such motorboat, such transfer shall not terminate the license. Notice of destruction, etc. of motorboats.

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(h) Any holder of a license shall notify the Commission within fifteen (15) days or such other period of time as shall be prescribed by the Commission if his address no longer conforms to the address appearing on the license and shall, as a part of such notification, furnish the Commission with his new address. The Commission may provide by rules and regulations for the surrender of the license bearing the former address and its replacement with a license bearing the new address or for the alteration of an outstanding license to show the new address of the holder. Change in address. (i) No number other than the license number awarded to a motorboat or granted reciprocity pursuant to this Act shall be painted, attached, or otherwise displayed on either side of the bow of such motorboat. Display of other numbers. Section 8. Collisions, Accidents, and Casualties. (a) It shall be the duty of the operator of a motorboat involved in a collision, accident, or other casualty, so far as he can do so without serious danger to his own motorboat, crew, and passengers, if any, to render to other persons affected by the collision, accident, or other casualty such assistance as may be practicable and as may be necessary in order to save them from or minimize any danger caused by the collision, accident, or other casualty, and also to give his name, address, and identification of his motorboat in writing to any person injured and to the owner of any property damaged in the collision, accident, or other casualty. (b) In the case of collision, accident, or other casualty involving a motorboat, the operator thereof, if the collision, accident, or other casualty results in death or injury to a person or damage to property in excess of $100.00

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or such lower amount as may be set by the rules and regulations adopted by the Commission, shall file with the Commission a full description of the collision, accident, or other casualty, including such information as said agency may, by regulation, require. Section 9. Transmittal of Information. In accordance with any request duly made by an authorized official or agency of the United States, any information complied or otherwise available to the Commission pursuant to section 8 (b) shall be transmitted to said official or agency of the United States. Section 10. The Commission shall have authority to adopt all rules and regulations necessary for the administration and enforcement of the provisions of this Act. Rules and regulations shall be promulgated in compliance with the provisions of section 15 of an Act approved March 7, 1955 (Ga. L. 1955, p. 483), as amended (Ga. Code Ann. 45-115). When so promulgated, the rules and regulations shall have the force and effect of law and the violation thereof shall be a misdemeanor and punished by law. Rules. Section 10 A. The Commission, to promote safety in boating, is hereby authorized to adopt, promulgate and enforce safety rules and regulations relative to boat equipment, operation, lights and navigation rules as the Commission shall deem necessary; provided, however, that such rules and regulations promulgated and adopted by the Commission each year shall remain in force and effect until the next regular session of the General Assembly, at which time the General Assembly shall confirm or reject said rules and regulations. Safety rules. Section 11. During the times when the Commission is not in session, the Director of the State Game and Fish

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Commission shall have authority to take any action that the Commission is herein authorized to take. Authority of Director. Section 12. (a) It shall be the duty of the Commission, through the wildlife rangers of this State, to enforce the provisions of this Act, the rules and regulations promulgated hereunder, and to make arrests for the violations thereof. Enforcement. (b) The several sheriffs, their deputies, law enforcement officers of the Department of Public Safety and other peace officers of this State may make arrests for the violation of the provisions of this Act and the rules and regulations promulgated hereunder. (c) In making arrests for the violation of the provisions of this Act and the rules and regulations promulgated hereunder and making investigations relating to violations, the officers enumerated in subsections (a) and (b) of this section, may go aboard any motorboat for the purpose of performing his duties without liability for trespass. Section 13. Any person who shall violate any of the provisions of this Act or any rules or regulations adopted in accordance herewith shall be guilty of a misdemeanor and upon conviction thereof, punished as provided by law. Crimes. Section 14. A copy of the rules and regulations adopted pursuant to this Act, and any amendments thereto, shall be filed in the office of the Commission and in addition thereto shall be published by the Commission in convenient places. Publication of rules. Section 15. This Act shall become effective upon approval by the Governor. Effective date.

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Section 16. In the event any section, subsection, sentence, clause or phrase of this Act shall be declared or adjudged invalid or unconstitutional, such adjudication shall in no manner affect the other sections, subsections, sentences, clauses or phrases of this Act, which shall remain of full force and effect as if the section, subsection, sentence, clause or phrase so declared or adjudged invalid or unconstitutional was not originally a part thereof. The General Assembly hereby declares that it would have passed the remaining parts of this Act if it had known that such part or parts hereof would be declared or adjudged invalid or unconstitutional. Section 17. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. AGRICULTUREAUTHORITY OF COMMISSIONER TO IMPOSE FINES. Code 5-107 (13) Enacted. No. 571 (House Bill No. 774). An Act to amend Code section 5-107, relating to the duties of the Commissioner of Agriculture, so as to provide that in addition to any authority heretofore granted the Commissioner of Agriculture, he may, in any proceeding before him involving a license, certificate, or registration issued by the Commissioner of Agriculture, or a violation of the Acts administered and enforced by the Commissioner and the rules and

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regulations promulgated thereunder, after notice, hearing, and a determination by him as provided by law that there are sufficient grounds to revoke, suspend, or cancel the license, certificate, or registration involved, or to take any other action authorized by law in regard to a violation of any such Act or the rules and regulations promulgated thereunder, impose a reasonable penalty with the written consent of the affected party or parties, not to exceed $1,000.00 for each offense, in lieu of the revocation, suspension, cancellation, or other action; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 5-107, relating to the duties of the Commissioner of Agriculture, is hereby amended by adding thereto a new paragraph to be numbered paragraph 13., to read: 5-107. 13. In addition to any authority heretofore granted the Commissioner of Agriculture, the Commissioner may, in any proceeding before him involving a license, certificate, or registration issued by the Commissioner of Agriculture, or a violation of the Acts administered and enforced by the Commissioner and the Rules and Regulations promulgated thereunder, after notice, hearing, and a determination by him as provided by law that there are sufficient grounds to revoke, suspend, or cancel the license, certificate, or registration involved, or to take any other action authorized by law in regard to a violation of any such Act or the rules and regulations promulgated thereunder, impose a reasonable penalty with the written consent of the affected party or parties, not to exceed $1,000.00 for each such offense, in lieu of the revocation, suspension, cancellation, or other action.

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Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. CRIMESMISDEMEANOR TO IMPERSONATE AGENT OF BUREAU OF INVESTIGATION. No. 572 (House Bill No. 776). An Act creating the Department of Public Safety, approved March 19, 1937 (Ga. L. 1937, p. 322), as amended, so as to provide that it shall be a misdemeanor to impersonate an agent of the Bureau of Investigation of the Department of Public Safety; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the Department of Public Safety, approved March 19, 1937 (Ga. L. 1937, p. 322), as amended, is hereby amended by striking paragraph 2 of section 1 of Article II in its entirety and inserting in lieu thereof a new paragraph 2 of said section reading as follows: It shall be a misdemeanor, and punishable as such by the courts of this State, as provided by law, for any person, or persons, to wear, sell, or copy the uniform of or to impersonate any officer or member of the uniform division or agent of the Bureau of Investigation of the Department of Public Safety without written approval by the Director of said Department.

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Section 2. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. MOTOR VEHICLESTAX ON NON-RESIDENT VEHICLES HAULING AGRICULTURAL PRODUCTS. No. 575 (House Bill No. 855). An Act to amend an Act relating to motor vehicle licenses, approved December 24, 1937 (Ga. L. 1937-8, Ex. Sess., p. 259), as amended, so as to provide that non-resident vehicles may exceed the maximum trips per month specified, while engaged in the hauling of seasonable agricultural products grown in this State upon the payment of a fee therefor; to provide the amount of such fee; to provide for the identification of vehicles for which such fee is paid; to prohibit the operation of any such vehicle in violation of the provisions of this Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act relating to motor vehicle licenses, approved December 24, 1937 (Ga. L. 1937-8, Ex. Sess., p. 259), as amended, is hereby amended by adding at the end of section 8 a new paragraph to be numbered paragraph (a), to read: Section 8(a). Provided, however, that any such vehicle may exceed the specified trips per month, while

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engaged in the hauling of seasonable agricultural products grown in this State upon the payment of a special tax of $15.00 per vehicle per year or fraction thereof. The Commissioner is authorized to issue a special tag or other means of identification to indicate compliance with the provisions of this Act. No such vehicle shall be operated in violation of the provisions of this Act. Provided, however, that such license tags shall not be valid for a period in excess of sixty (60) days from the date of issue. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. REVENUECORPORATIONS AND ORGANIZATIONS EXEMPT FROM STATE INCOME TAX. Code 92-3105 Amended. No. 580 (House Bill NO. 905). An Act to amend Code section 92-3105 specifying corporations and organizations exempt from State income tax, so as to provide an additional exemption as to regulated investment companies exempt from Federal income tax; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 92-3105 specifying those corporations and organizations exempt from State Income

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Tax is amended by inserting after sub-paragraph (k) and before the final paragraph of said section the following: (1) Any regulated investment company exempt from Federal income taxes under sections 361 ff. of the 1939 Internal Revenue Code, sections 851 ff. of the 1954 Internal Revenue Code, or any amendments thereto, for each year after 1939 in which such company is so exempt, so that said section when so amended shall read as follows: 92-3105. Corporations and organizations exempt from tax. The following organizations shall be exempt from taxation under this law: (a) Fraternal beneficiary societies, orders, or associations (1) operating under the lodge system or for the exclusive benefit of the members of a fraternity itself operating under the lodge system, and (2) providing for the payment of life, sick, accident, or other benefits to the members of such society, order or association or their dependents. (b) Building and loan associations and cooperative banks without capital stock, organized and operated for mutual purposes and without profit. (c) Cemetery corporations, any community chest, funds, or foundations, organized and operated exclusively for religious, charitable, scientific, or educational purposes, or for the prevention of cruelty to children or animals, no part of the net earnngs of which inures to the benefit of any private stockholder or individual. (d) Business leagues, chambers of commerce or boards of trade not organized for profit, and no part of the net

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earnings of which inures to the benefit of any private stockholder or individual. (e) Civic leagues or organizations not organized for profit, but operated exclusively for the promotion of social welfare. (f) Clubs organized and operated exclusively for pleasure, recreation, and other nonprofitable purposes, no part of the net earnings of which inures to the benefit of any private stockholder or member. (g) Farmers or other mutual hail, cyclone, or fire insurance companies, mutual ditch or irrigation companies, mutual or cooperative telephone companies, or like organizations of a purely local character, the income of which consists solely of assessments, dues, and fees collected from members for the sole purpose of meeting expenses. (h) Farmers, fruit-growers, or like organizations organized and operated as sales agents for the purpose of marketing the products of members and turning back to them the proceeds of sales, less the necessary selling expenses and on the basis of the quantity of produce furnished by them, and other nonprofit agricultural associations organized and operated under the provisions of the cooperative marketing law. (i) Banks and trust companies, including savings banks incorporated under the banking laws of this State or of the United States, doing a general banking business. (j) Insurance companies which pay to the State a tax upon premium income.

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(k) Trusts exempt from Federal income taxes under section 165 (a) of the Internal Revenue Code. (l) Any regulated investment company exempt from Federal income taxes under sections 361 ff. of the 1939 Internal Revenue Code, sections 851 ff. of the 1954 Internal Revenue Code, or any amendments thereto, for each year after 1939 in which such company is so exempt. Provided, however, that no such society, order, association, cooperative, fund, chest, foundation, league, chamber, board, club, company, charitable trust or organization which engages directly or indirectly in competitive commerce with private or public corporations, individuals, partnerships or associations not so exempt, in the marketing of either products or services, shall be so exempt from taxation as to that portion of its net income attributable to such competitive commerce. That portion of its net income shall be deemed attributable to such competitive commerce which bears the same ratio to its total net income as its gross income from such competitive commerce bears to its total gross income: Provided, however, cooperatives formed by producers of farm, forest and dairy products for the purpose of selling the products produced by the members of such cooperatives, or obtained from other such farmers cooperatives, shall be exempt from taxation under the law to the extent that its net profits are attributable to the sale of such products. That portion of its net profits shall be deemed attributable to the sale of such products which bears the same ratio to its total net income as the total price of such products paid to its members by such cooperative bears to the gross sales of such cooperative: Provided, further, that incidental or occasional fund raising projects or undertakings by such organizations shall not be deemed to be competitive commerce. Anything in this paragraph to

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the contrary notwithstanding, any such corporations or organizations for which a specific method of taxation is provided by State laws shall continue to be taxed as heretofore. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. STATE HIGHWAY BOARDCOMPENSATION OF MEMBERS. No. 581 (House Bill No. 906). An Act to amend an Act providing for a uniform method of fixing, limiting and restricting the salaries, allowances and travel expenses of certain State officials, approved March 12, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 613), as amended by an Act approved February 9, 1955 (Ga. L. 1955, p. 167), an Act approved February 28, 1955 (Ga. L. 1955, p. 267), an Act approved February 28, 1956 (Ga. L. 1956, p. 324), an Act approved February 28, 1956 (Ga. L. 1956, p. 375), an Act approved February 21, 1957 (Ga. L. 1957, p. 79), and an Act approved March 10, 1959 (Ga. L. 1959, p. 177), so as to change the provisions relating to the members of the State Highway Board; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act providing for a uniform method of

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fixing, limiting and restricting the salaries, allowances and travel expenses of certain State officials, approved March 12, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 613), as amended by an Act approved February 9, 1955 (Ga. L. 1955, p. 167), an Act approved February 28, 1955 (Ga. L. 1955, p. 267), an Act approved February 28, 1956 (Ga. L. 1956, p. 324), an Act approved February 28, 1956 (Ga. L. 1956, p. 375), an Act approved February 21, 1957 (Ga. L. 1957, p. 79), and an Act approved March 10, 1959 (Ga. L. 1959, p. 177), is hereby amended by adding a new paragraph to section 1 to be known as paragraph (d) to read as follows: (d) In addition to the compensation, salary, expenses and allowances provided for elsewhere in this Act, each member of the State Highway Board shall receive an additional amount of three thousand six hundred ($3,600.00) dollars per annum for their services in connection with the administration of authorities relating to the highways, roads and bridges of this State for which services no compensation is now allowed. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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STATE ENTOMOLOGY ACT OF 1937 AMENDED. No. 582 (House Bill No. 907). An Act to amend an Act known as The Entomology Act of 1937 approved March 25, 1937 (Ga. L. 1937, p. 659), as amended particularly by an Act approved March 19, 1943 (Ga. L. 1943, p. 487), and an Act approved March 3, 1955 (Ga. L. 1955, p. 309), so as to provide for injunctive powers, and a procedure connected therewith; to prohibit fraud and false representations in the sale of nursery stock; to provide a penalty for the delivery of nut or fruit trees differing from that purchased; to provide a penalty for violation; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as The Entomology Act of 1937 approved March 25, 1937 (Ga. L. 1937, p. 659), as amended particularly by an Act approved March 19, 1943 (Ga. L. 1943, p. 487), and an Act approved March 3, 1955 (Ga. L. 1955, p. 309) is hereby amended by adding thereto a new section, to be numbered section 22 to read: Section 22. The Commissioner of Agriculture may institute action to enjoin any violation of this Act or any rule or regulation or quarantine promulgated hereunder. A violation of this Act or any rule or regulation promulgated pursuant hereto or any quarantine established pursuant hereto is hereby declared to constitute a public nuisance, and such action for injunction may be maintained notwithstanding the existence of other legal remedy and not withstanding the pendency or successful completion of a criminal prosecution as for a misdemeanor. Injunctions. Section 2. Said Act, as amended, is further amended

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by adding thereto a new section, to be numbered section 23 to read: Section 23. Any person or persons who shall deceive or defraud any person or persons in the sale of nursery stock by substituting stock other than that contracted for or different varieties of seedlings from those represented or contracted for or different varieties of seedlings than those represented, or shall falsely represent the name, class, description or condition of any nursery stock or shall make any false statement or promise for the purpose of making a sale of nursery stock, shall be guilty of a misdemeanor and upon conviction thereof shall be punished as provided by law. Misrepresentation of seedlings. Section 3. Said Act, as amended, is further amended by adding a new section to be numbered section 24, to read: Section 24. Any person, acting either as principal or agent, who shall sell any fruit or nut trees, representing the same to be of a certain kind, variety or description, and thereafter deliver to the purchaser, in filling such order and completing such sale, any fruit or nut trees of a different kind, variety or description shall be guilty of a misdemeanor and upon conviction thereof shall be punished as provided by law. Misrepresenting fruit or nut trees. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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VOTERS' REGISTRATION ACT OF 1958 AMENDEDDETERMINATION OF RESIDENCE OF QUALIFIED VOTERS. No. 585 (House Bill No. 947). An Act to amend an Act effecting a complete revision of the laws of this State relating to the qualification and registration of the voters approved March 25, 1958 (Ga. L. 1958, p. 269), as amended by an Act approved February 17, 1959 (Ga. L. 1959, p. 182), so as to provide for a method relative to a determination as to residence; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act effecting a complete revision of the laws of this State relating to the qualification and registration of the voters approved March 25, 1958 (Ga. L. 1958, p. 269), as amended by an Act approved February 17, 1959 (Ga. L. 1959, p. 182), is hereby amended by adding a new paragraph to section 36 to be known as paragraph (c) to read as follows: (c) In the event that a person obtains employment in a county other than the county of his residence but does not intend to move his legal residence to such county, the registrars are hereby authorized to retain such person's name on the voting list if such person's name would be kept on such list except for the question of residence, provided such person makes an affidavit under oath to the registrar that he does not intend to move his legal residence from the county and desires that his name be retained on the voting list.

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Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. MOUNTAIN JUDICIAL CIRCUITCOURT REPORTER PLACED ON SALARY BASIS FOR REPORTING FELONY TRIALS. No. 586 (House Bill No. 969). An Act to abolish the fee system existing in the superior courts of the Mountain Judicial Circuit as applied to the office of official court reporter in felony cases; to provide compensation and salary for the official court reporter for attendance upon court in felony cases and for reporting and transcribing felony cases; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The fee system existing in the superior courts of the Mountain Judicial Circuit as applied to the office of the official court reporter, for attendance and for reporting felony cases, and all fees now or hereafter accruing to the office of official court reporter in said cases be, and the same are hereby, abolished in so far as the same constitutes compensation for the said official court reporter; and the official court reporter of said judicial circuit shall hereafter be paid a salary as hereinafter provided in lieu of fees as under the present system

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for attendance and for reporting and transcribing felony cases. Section 2. The salary of the official court reporter of said judicial circuit shall be the sum of two thousand five hundred sixty ($2,560.00) dollars per annum, which salary shall be paid out of the general treasury of each one of the various counties composing said circuit upon the following basis: Habersham County, six hundred ($600.00) dollars; Rabun County, six hundred ($600.00) dollars; Stephens County, six hundred ($600.00) dollars; Towns County, four hundred ($400.00) dollars; and Union County, three hundred sixty ($360.00) dollars. It shall be, and is hereby made, the duty of the county commissioners, or other authority having control of county matters in said counties, to cause the part or portion of said salary so assessed each of said counties, to be paid to said official court reporter monthly in each year out of the funds of said counties, and upon the regular county warrants issued therefor; and it is the further duty of said county commissioners, or other county authorities having control of county matters, to make provisions annually when levying and collecting taxes for expenses of courts for the levying and collection of sufficient taxes the portion of said salary chargeable against their respective counties as hereinbefore set forth; and the power to levy taxes for such purposes is hereby delegated to said counties. Said salary of two thousand five hundred sixty ($2,560.00) dollars shall be effective as of February 1st, 1960 and shall be in full payment for all services of said official court reporter in reporting and transcribing felony cases tried in the superior courts of said counties. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed.

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Notice of Intention. At the next session of the General Assembly, meeting, Jan. 11, 1960, I will introduce legislation to put the official court reporter of the Mountain Judicial Circuit, composed of the following counties: Habersham, Rabun, Stephens, Union and Towns, on a permanent salary instead of the fee system as heretofore. Edward Hedden, Rep. Towns County. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Edward Hedden, who, on oath, deposes and says that he is Representative from Towns County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the Towns County Herald, which is the official organ of said County, on the following dates: January 15, 22 and 29, 1960. /s/ Edward Hedden, Representative, Towns County. Sworn to and subscribed before me this 16 day of February, 1960. /s/ Frances Y. Read, Notary Public, Fulton Co. (Seal).
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Georgia, Habersham County. Personally appeared before me, the undersigned officer, duly authorized by law to administer oaths, Amilee Graves, who on oath says that she is the editor and publisher of The Tri-County Advertiser, the official newspaper of Habersham County, Georgia, published in Clarkesville, Georgia, and that above notice of intention to introduce local legislation was published in said newspaper on the following dates: December 17, 24, and 30, 1959, and January 7, 1960. /s/ Amilee C. Graves. Sworn to and subscribed before me, this 23rd day of January, 1960. /s/ Stephen D. Frankum, Notary Public. My Commission Expires May 1, 1961. (Seal). Notice is hereby given that at the 1960 Session of the General Assembly of Georgia, a bill will be introduced to place the Official Court Reporter of the Mountain Judicial Circuit on a salary in lieu of fees in criminal cases, but not to affect his fees in civil cases. Approved by the representatives as follows: /s/ Robert W. Jones, State Representative, Union County, Ga. /s/ Edward Hedden, State Representative, Towns County, Ga.
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/s/ Knox Bynum, State Representative, Rabun County, Ga. /s/ Frank L. Gross, State Representative, Stephens County, Ga. /s/ Thomas Irwin, State Representative, Habersham County, Ga. Notice of Intention to Introduce Local Legislation. Notice is hereby given that at the 1960 Session of the General Assembly of Georgia, a bill will be introduced to place the Official Court Reporter of the Mountain Judicial Circuit on a salary in lieu of fees in criminal cases, but not to affect his fees in civic cases. Approved by the representatives as follows: Robert W. Jones, State Representative, Union County, Ga. Edward Hedden, State Representative, Towns County, Ga. Knox Bynum, State Representative, Rabun County, Ga. Frank L. Gross, State Representative, Stephens County, Ga. Thomas Irwin, State Representative, Habersham County, Ga.

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Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Knox Bynum, who, on oath, deposes and says that he is Representative from Rabun County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the The Clayton Tribune, which is the official organ of said County, on the following dates: December 24, 31, 1959 and January 7, 1960. /s/ Knox Bynum, Representative, Rabun County. Sworn to and subscribed before me this 3 day of February, 1960. /s/ Janette Hirsch, Notary Public, Georgia, State at Large. My Commission Expires October 4, 1960. (Seal). Notice of Intention to Introduce Local Legislation. Notice is hereby given that at the 1960 session of the General Assembly of Georgia, a bill will be introduced to place the official court reporter of the Mountain Judicial Circuit on a salary in lieu of fees in criminal cases, but not to affect his fees in civil cases. Approved by the representatives as follows: /s/ Robert W. Jones, State Representative, Union County, Ga.
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/s/ Edward Hedden, State Representative, Towns County, Ga., /s/ Knox Bynum, State Representative, Rabun County, Ga. /s/ Frank L. Gross, State Representative, Stephens County, Ga. /s/ Thomas Irwin, State Representative, Habersham County, Ga. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Frank L. Gross, who, on oath, deposes and says that he is Representative from Stephens County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the The Toccoa Record, which is the official organ of said county, on the following dates: December 17, 24 and 30, 1959, and January 7, 1960. /s/ Frank L. Gross, Representative, Stephens County. Sworn to and subscribed before me this 4th day of February, 1960. /s/ Florrie Mae Peeples, Notary Public, Georgia, State at Large. (Seal).

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This is to certify that a legal advertisement, to introduce a bill in the 1960 General Assembly of Georgia, To place the official court reporter of the Mountain Judicial Circuit on a salary in lieu of fees in criminal cases, but not to affect his fees in civil cases, was published three (3) times in The North Georgia News, Official Organ of Union County, Georgia in its issues of December 10, December 17, and December 24, 1959. Proof of Publication tear-sheets are attached. This 14th day of January, 1960. /s/ Harold R. West, Editor and Publisher. Notice is hereby given that at the 1960 Session of the General Assembly of Georgia, a bill will be introduced to place the official Court Reporter of the Mountain Judicial Circuit on a salary in lieu of fees in criminal cases, but not to affect his fees in civil cases. Approved by the representatives as follows: Robert W. Jones, State Representative, Union County, Ga. Edward Hedden, State Representative, Towns County, Ga. Knox Bynum, State Representative, Rabun County, Ga. Frank I. Gross, State Representative, Stephens County, Ga.
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Thomas Irwin, State Representative, Habersham County, Ga. Approved March 7, 1960. PUNISHMENT UPON CONVICTION OF RAPE. Code 26-1302 Amended. No. 587 (Senate Bill No. 90). An Act to amend Code section 26-1302, defining the punishment for the crime of rape, so as to provide that the crime of rape shall be punished by death, unless the jury recommends mercy, in which event punishment shall be imprisonment for life. Provided, however, the jury in all cases may fix the punishment by imprisonment and labor in the penitentiary for not less than one (1) year nor more than twenty (20) years; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 26-1302, defining the punishment for the crime of rape, is hereby amended by striking said Code section in its entirety and inserting in lieu thereof a new Code section 26-1302, to read as follows: 26-1302. The crime of rape shall be punished by death, unless the jury recommends mercy, in which event punishment shall be imprisonment for life. Provided, however, the jury in all cases may fix the punishment by imprisonment

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and labor in the penitentiary for not less than one (1) year nor more than twenty (20) years. Punishment for rape. Section 2. The provisions of this Act shall apply only to the offenses of rape committed on or after the date that this Act shall be approved by the Governor or shall otherwise become law. The offenses of rape committed prior to the date that this Act is approved by the Governor or otherwise becomes law shall be punishable as by law provided at the time the offense was committed. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. NORTHEASTERN JUDICIAL CIRCUITCOURT REPORTER PLACED ON SALARY FOR REPORTING FELONY TRIALS. No. 588 (House Bill No. 102). An Act to provide a salary for the official court reporter of the Northeastern Judicial Circuit in lieu of fees for the attendance and reporting of felony cases; to provide how such compensation shall be paid by the counties of said circuit; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The official court reporter of the Northeastern Judicial Circuit shall be compensated in an

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amount of three thousand six hundred dollars ($3,600.00) per annum, to be paid in equal monthly installments by the counties comprising said circuit as hereinafter provided. Salary. Section 2. The salary herein provided shall be paid pro rata from the funds of the various counties comprising said circuit upon the basis of population. Each of said counties shall pay the portion of said salary which its population bears to the total population of all the counties of said circuit, according to the United States Census of 1950. Upon the completion of each future United States census, the portion of the salary paid by each county shall be changed, if necessary, so as to be paid upon the same population basis. How paid. Section 3. The salary provided for herein shall be in lieu of all fees provided for services of the official court reporter in reporting felony cases and attendance upon the sessions of the superior courts in the various counties comprising the Northeastern Judicial Circuit. The provisions of this Act shall not affect any service which might be rendered by such court reporter in civil cases in the superior courts of this circuit, and shall not be applicable to any service performed in any court other than the superior courts of the Northeastern Judicial Circuit. The provisions of this Act shall not affect any fees to which the official court reporter is entitled prior to the effective date of this Act. Duties. Section 4. This Act shall become effective on the first day of the month immediately following the month in which it is approved by the Governor, or in which it otherwise becomes law. Effective date. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed.

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Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be introduced at the January 1959 session of the General Assembly of Georgia a bill to provide a salary for the official court reporter of the Northeastern Judicial Circuit, for the attendance and reporting all felony cases, and for other purposes. This 1st day of December, 1958. Robert E. Andrews, Representative, Hall County, Ga. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Robert E. Andrews, who, on oath, deposes and says that he is Representative from Hall County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the Daily Times, which is the official organ of said county, on the following dates: December 5, December 12 and December 19, 1958. /s/ Robert E. Andrews, Representative, Hall County. Sworn to and subscribed before me this 20 day of January, 1959. /s/ Janette Hirsch, Notary Public, Georgia, State at Large. My Commission Expires October 4, 1960. (Seal).

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Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be introduced at the January 1959 session of the General Assembly of Georgia a bill to provide a salary for the official court reporter of the Northeastern Judicial Circuit, for the attendance and reporting all felony cases, and for other purposes. This 1st day of December, 1958. Robert E. Andrews, Representative, Hall County, Ga. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Robert E. Andrews, who, on oath, deposes and says that he is Representative from Hall County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the Dahlonega Nugget, which is the official organ of Lumpkin County, on the following dates: December 5, December 12 and December 19, 1958. /s/ Robert E. Andrews, Representative, Hall County. Sworn to and subscribed before me this 20 day of January, 1959. /s/ Janette Hirsch, Notary Public, Georgia, State at Large. My Commission Expires October 4, 1960. (Seal).

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Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be introduced at the January 1959 session of the General Assembly of Georgia a bill to provide a salary for the official court reporter of the Northeastern Judicial Circuit, for the attendance and reporting all felony cases, and for other purposes. This 1st day of December, 1958. Robert E. Andrews, Representative, Hall County, Ga. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Robert E. Andrews, who, on oath, deposes and says that he is Representative from Hall County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the Cleveland Courier, which is the official organ of White County, on the following dates: December 5, December 12 and December 19, 1958. /s/ Robert E. Andrews, Representative, Hall County. Sworn to and subscribed befoe me this 20 day of January, 1959. /s/ Janette Hirsch, Notary Public, Georgia, State at Large. My Commission Expires October 4, 1960. (Seal).

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Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be introduced at the January 1959 session of the General Assembly of Georgia a bill to provide a salary for the official court reporter of the Northeastern Judicial Circuit, for the attendance and reporting all felony cases, and for other purposes. This 1st day of December 1958. Robert E. Andrews, Representative, Hall County, Ga. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Robert E. Andrews, who, on oath, deposes and says that he is Representative from Hall County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the Dawson County Advertiser, which is the official organ of Dawson County, on the following dates: December 5, December 12 and December 19, 1958. /s/ Robert E. Andrews, Representative, Hall County. Sworn to and subscribed before me this 20 day of January, 1959. /s/ Janette Hirsch, Notary Public, Georgia, State at Large. My Commission Expires October 4, 1960. (Seal). Approved March 7, 1960.

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HON. WILLIS N. HARDENMEMBER OF STATE HIGHWAY BOARD. No. 105 (House Resolution No. 307J.R. 2). A Resolution. Relative to the election of a member of the State Highway Board from the Northern State Highway District; and for other purposes. Be it resolved by the General Assembly of Georgia in joint session assembled that Honorable Willis N. Harden of Jackson County is hereby elected and declared to be a member of the State Highway Board of Georgia from the Northern State Highway District to serve an unexpired term ending February 8, 1964. Be it further resolved that a copy of this resolution be delivered to His Excellency the Governor and to the Secretary of State, and said Honorable Willis N. Harden be commissioned as a member of the State Highway Board of Georgia from the Northern State Highway District of Georgia for the unexpired term ending February 8, 1964. Approved March 7, 1960.

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HON. ROBERT H. JORDANMEMBER STATE HIGHWAY BOARD. No. 106 (House Resolution No. 308J.R. 3). A Resolution. Relative to the election of a member of the State Highway Board from the Central State Highway District; and for other purposes. Be it resolved by the General Assembly of Georgia in Joint Session assembled that Honorable Robert H. Jordan of Talbot County is hereby elected and declared to be a member of the State Highway Board of Georgia from the Central State Highway District to serve an unexpired term ending February 8, 1960. Be it further resolved that a copy of this resolution be delivered to His Excellency the Governor and to the Secretary of State, and said Honorable Robert H. Jordan be commissioned as a member of the State Highway Board of Georgia from the Central State Highway District of Georgia for the unexpired term ending February 8, 1960. Approved March 7, 1960.

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HON. ROBERT H. JORDANMEMBER STATE HIGHWAY BOARD. No. 107 (House Resolution No. 309J.R. 4). A Resolution. Relative to the election of a member of the State Highway Board from the Central State Highway District; and for other purposes. Be it resolved by the General Assembly of Georgia in Joint Session assembled that Honorable Robert H. Jordan of Talbot County is hereby elected and declared to be a member of the State Highway Board of Georgia from the Central State Highway District to serve a full six-year term ending February 8, 1966. Be it further resolved that a copy of this resolution be delivered to His Excellency the Governor and to the Secretary of State, and said Honorable Robert H. Jordan be commissioned as a member of the State Highway Board of Georgia from the Central State Highway District of Georgia for the full six-year term ending February 8, 1966. Approved March 7, 1960.

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SUSPENSION OF SALES TAX COLLECTION BY SELLERS OF HOLY BIBLES AND TESTAMENTS RATIFIED. No. 114 (House Resolution No. 328-715). A Resolution. To ratify, approve, and confirm the executive order of the Governor, dated March 2, 1959, suspending the collection of the tax imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act on the sale and use of the Holy Bible and Testaments until the next meeting of the General Assembly; to repeal conflicting laws; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. That the executive order of the Governor, dated March 2, 1959, which is as follows: Whereas: By Executive Order of July 31, 1957, the collection of Georgia Sales and Use Taxes on the sale and use of the Holy Bible and Testaments, regardless of by or to whom sold, was suspended by Executive Order until the next meeting of the General Assembly; and Whereas: The matter of ratifying and continuing this exemption by the 1958 General Assembly was overlooked; and Whereas: As a practical matter, dealers in Bibles and Testaments have continued to rely upon the Executive Order of July 31, 1957, and have not collected

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the applicable tax for which legally they are liable, the exemption not having been ratified and continued by the 1958 General Assembly; and Whereas: It would be a hardship upon such dealers to require them to pay the applicable tax when they have not collected it from their customers and, as a practical matter, this hardship is not entirely of their own making; and Whereas: Georgia Code section 40-205 provides that the Governor of the State of Georgia may suspend collection of taxes, or any part thereof, due the State until the next meeting of the General Assembly: It is, therefore, ordered, That the collection of Georgia Sales and Use Taxes on the sale and use of the Holy Bible and Testaments, regardless of by or to whom sold, be suspended until the next meeting of the General Assembly. This 2nd day of March, 1959. /s/ S. Ernest Vandiver, Governor. is hereby ratified, approved, and confirmed. Section 2. All laws, or parts of laws, in conflict with this resolution are hereby repealed. Approved March 7, 1960.

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BRICE STATE PARK IN BROOKS COUNTY PROPOSED. No. 121 (House Resolution No. 382-877). A Resolution. Proposing the acquisition and development of a State Park in Brooks County, and for other purposes. Whereas, Henry Turner Brice, late of Brooks County, as did his father, Mitchell Brice, before him, served Brooks County for many years as a commissioner of roads and revenues, and Whereas, said Henry Turner Brice did similarly serve the entire State of Georgia as a member of and as chairman of the State Board of Corrections, and Whereas, in order to provide a useful and beneficial public memorial to their lives and service, the family and descendants of Henry Turner Brice and Mitchell Brice have offered to enter into an agreement with and provide to the State of Georgia for park purposes a tract of land and body of water containing approximately one thousand acres, being a portion of property known as Tallokas Plantation in Brooks County, and Whereas, it will be to the great advantage of the State of Georgia and the people of Georgia to obtain and develop park facilities in Brooks County, Now, therefore, be it resolved by the General Assembly of Georgia and it is hereby resolved by the authority of the same, that the Director of the Department of State Parks, Historic Sites and Monuments be

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authorized in his discretion to negotiate with the proper members of the Henry Turner Brice family toward entering into an agreement for the acquisition in the name of the State of Georgia for park purposes the property offered for such purposes by said family, all as authorized by the Code of Georgia, section 43-124. Be it further resolved, that upon the acquisition of said land for park purposes by such negotiated gift, lease or agreement, the Director of the Department of State Parks, Historic Sites and Monuments shall be authorized in his discretion to erect, construct and provide for permanent improvements and facilities for a State Park on said lands, as authorized by the Code of Georgia, section 91-117, from appropriations or otherwise. Be it further resolved that the name of the State Park acquired pursuant to and as contemplated by this resolution shall be Brice State Park and the name of lake constituting a part of said State Park shall be Lake Tallokas. Approved March 7, 1960.

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SALE OF TELEPHONE LINES AT REIDSVILLE STATE PRISON AUTHORIZED. No. 128 (House Resolution No. 411-913). A Resolution. Authorizing the sale of telephone lines connected with the State prison in Tattnall County; and for other purposes. Whereas, the State owns certain telephone lines between Reidsville, Georgia, and the State prison in Tattnall County, and the prison has heretofore operated such lines; and Whereas, an agreement has been made with the South Georgia Telephone Company to take over such system and lines and operate it in lieu of the State, and for such purposes the Georgia Public Service Commission has granted said company a certificate of convenience and necessity; and Whereas, consequently, such lines will no longer be of any use to the State and it is desirable that they be sold to the aforesaid company; Now therefore be it resolved by the General Assembly of Georgia that said lines are hereby declared surplus and the Governor is hereby authorized to negotiate with the South Georgia Telephone Company for the sale of the aforesaid lines for a consideration to be agreed upon between the Governor and the company. The Governor is authorized to execute the proper instruments

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for the sale of the aforesaid lines to the company. Approved March 7, 1960. PURCHASE OF NEW GREAT SEAL AUTHORIZED. No. 130 (House Resolution No. 423-974). A Resolution. Authorizing the purchase of a new Seal of the State of Georgia; and for other purposes. Whereas, The Great Seal of the State of Georgia, in custody of the Secretary of State, has become worn to the extent that it no longer makes a clear or legible impression; and Whereas, it has become necessary that a new Seal be cast and engraved; and Whereas, it is necessary for the General Assembly to provide for the making of a new Seal; Now, therefore, be it resolved by the General Assembly of Georgia that the Governor and the Secretary of State are hereby authorized, empowered, and directed to cause a new Great Seal of the State to be made, the new Seal to be in every respect a facsimile of the old one which was authorized by a resolution of the General Assembly and approved by the Governor on August 17, 1914.

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Be it further resolved that when the Great Seal herein provided for shall be completed and received by the Secretary of State, it shall be used in the place of the present Great Seal in all cases requiring the use of the Great Seal of the State; and it shall be the duty of the Secretary of State to turn over to and present to the Department of Archives and History, the present Seal for safekeeping. Any use of the old Seal shall be null and void. Be it further resolved that a committee composed of three (3) members of the House, to be appointed by the Speaker of the House, and two (2) members of the Senate, to be appointed by the President of the Senate, shall assist the Governor and the Secretary of State in arranging to have a new Seal struck and in assuring that the same conforms to law, and to see that the old Seal is appropriately marked without defacing the same. Said committee shall also assist in the arrangement for presentation of the old Seal to the Department of Archives and History. Be it further resolved that when the said new Seal is made and accepted by the Secretary of State, the Governor shall declare said new Seal to be the Great Seal of the State by his Executive Proclamation. Approved March 7, 1960.

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LEASE OF OLD FARMERS MARKET BY GEORGIA STATE AGENCY FOR SURPLUS PROPERTY DIRECTED. No. 136 (House Resolution No. 493). A Resolution. Relative to surplus funds held by the Georgia State Agency for Surplus Property; and for other purposes. Whereas, the Georgia State Agency for Surplus Property is desirous of using for its sole purposes, certain premises at the Old Farmers' Market belonging to the State Board of Education; and Whereas, the Georgia State Agency for Surplus Property has $200,000.00 to spend for the use of said premises; and Whereas, The Georgia State Agency for Surplus Property is desirous of paying in advance, and the State Board of Education is desirous of receiving in advance, an amount equal to $24,000.00 per year for the use of said premises for an eight and one-third (8[frac13]) year period, being a total rental of $200,000.00; and Whereas, the Georgia State Agency for Surplus Property must be assured that it will be entitled to a lease for the full eight and one-third (8[frac13]) year period; Now, therefore, be it resolved by the General Assembly of Georgia that the Georgia State Agency for Surplus

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Property and the State Board of Education are hereby directed to enter into an irrevocable lease agreement for the use of certain premises at the Old Farmers' Market for a period of eight and one-third (8[frac13]) years at a total rental of $200,000.00, payable in advance to the Board of Education. Approved March 7, 1960. COMMITTEE TO STUDY PROPOSED PROJECTS TO COMMEMORATE CENTENNIAL OF WAR BETWEEN THE STATES. No. 137 (House Resolution No. 524). Relative to projects of the Sons of Confederate Veterans; and for other purposes. Whereas, the Sons of Confederate Veterans, a patriotic, non-profit, non-political and non-sectarian organization, is sponsoring certain projects which are most worthwhile and deserving of condonation; and Whereas, these projects relate to the issuance of a medal to commemorate the Centennial of the War Between the States and the dedication of a monument on the Gettysburg Battlefield to honor the last Confederate veteran; and

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Whereas, the State of Georgia should make a study of these two projects; Now, therefore, be it resolved by the General Assembly of Georgia that the Governor is hereby authorized and directed to appoint a committee for the purpose of studying the desirability and feasibility of the issuance by the State of Georgia of a medal to commemorate the Centennial of the War Between the States and to also study methods by which the State of Georgia could assist in the movement to place a monument on the Gettysburg Battlefield in honor of the last Confederate veteran. The committee shall make a report of its findings and recommendations to the Governor and to the members of the General Assembly. The members of the committee shall serve without compensation, but shall be paid their actual expenses incurred as a result of their serving on said committee. The expenses incurred shall be paid from funds appropriated to or available to the legislative branch of the government. Approved March 7, 1960.

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EXCHANGE OF LANDS IN RICHMOND COUNTY AUTHORIZED. No. 138 (Senate Resolution No. 77). A Resolution. Authorizing the conveyance of certain property in Richmond County; and for other purposes. Whereas, the State Department of Public Welfare desires to acquire by purchase certain real property in Richmond County, Georgia, which adjoins the land on which is located the Georgia Training School for Mental Defectives at Gracewood, Georgia, consisting of a tract of 5.4 acres, and an additional tract of one tenth (.10) acres, more or less, for which purpose an option has been obtained from Mr. R. A. Prior dated the 24th day of November 1959, and Whereas, as a part of the transaction described in the option obtained from Mr. R. A. Prior, under which the State of Georgia will acquire 5.5 acres of land by purchase from the said R. A. Prior, it has been stipulated and agreed between the parties that, subject to the approval of the General Assembly of Georgia, an appropriate deed will be made by the State of Georgia conveying to the said R. A. Prior a tract of land described as parcel no. 2 containing 1.276 acres of land, more or less, and lying on the north side of Butler Creek as per a plat of lands surveyed for R. A. Prior

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and the Georgia Training School for Mental Defectives in the 1660th militia district of Richmond County, Georgia, on the 28th day of October 1958, said survey having been made by Edwin S. Epstein, Jr., Registered Surveyor, and Whereas, under the terms of said option the State of Georgia is to pay the said R. A. Prior the sum of $1,600 and is to convey to the said R. A. Prior the tract of land of 1.276 acres, more or less, identified as parcel no. 2, as described above, in return for which the said R. A. Prior is to convey by warranty deed to the State of Georgia the tracts described as parcel no. 1 containing 5.428 acres and parcel no. 3 containing one tenth (.10) acres, more or less, as described in the option and plat herein referred to, and it is determined that it is to the best interest of the State of Georgia that the option obtained from the said R. A. Prior be exercised and the transaction described therein consummated, Now, therefore, be it resolved by the General Assembly of Georgia that the aforesaid property described as parcel no. 2 containing 1.276 acres of land, more or less, lying on the north side of Butler Creek in Richmond County near the Augusta Airport and in the 1660th militia district of said county as described in the plat and survey made by Edwin S. Epstein, Jr., Registered Surveyor, be and the same is hereby declared surplus, and Be it further resolved that the proposed transaction described in the option given by R. A. Prior is in the

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best interest of the State of Georgia, and his Excellency, the Governor, is therefore hereby authorized, acting for and in behalf of the State, to convey said parcel no. 2 containing 1.276 acres to R. A. Prior of Richmond County, Georgia, for the consideration of the sum of $10.00 and other good and valuable considerations consisting of the exchange of the property as described in the said option. Approved March 9, 1960.

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GEORGIA INSURANCE CODE OF 1960. Code Title 56 Amended. No. 589 (House Bill No. 115). An Act to revise, classify, consolidate, and supersede the present laws relating to insurance and to establishing new laws relating thereto; to provide for imposition of licenses, fees and taxes and the disposition thereof; to provide for the supervision and regulation of the insurance business within or relating to this State; to provide a new Insurance Code composed as follows: Chapter 56-1, scope of title and citation of Act, including definitions and the application of the Act to particular types of insurers and for the effective date of the Act; Chapter 56-2, the insurance department, providing for the establishment of the insurance department, the officers thereof, its procedure, etc.; Chapter 56-3, authorization of insurers and general requirements for doing business in this State, providing for definitions, the requirements for transacting insurance business in this State and the authorization of insurers needed for such transactions; Chapter 56-4, kinds of insurance; reinsurance; limits of risk, defining the kinds of insurance, limits of risk and authorized reinsurance; Chapter 56-5A, ratescasualty, surety and vehicle insurance, providing the procedure for making and revising of rates applicable to such insurance, the examination of insurers, and hearings relative thereto; Chapter 56-5B, ratesproperty, marine, and transportation, providing the procedure for making and revising rates applicable to such insurance, the examination of insurers, and hearings relative thereto; Chapter 56-6, unauthorized insurers and unauthorized insurers process Act, forbidding the representation of unauthorized insurers, establishing the manner of service upon unauthorized insurers, establishing a surplus line insurance law, the licensing of brokers, for such, imposing a tax upon them, and providing penalties; Chapter 56-7, unfair trade practices, defining unfair methods of competition,

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unfair and deceptive acts or practices, giving the commissioner authority relative thereto and providing penalties for such unfair trade practices; Chapter 56-8A, agents and counselorslife, accident and sickness, providing for the licensing of such, examination of applicants, the grounds for refusal, suspension or revocation of licenses, and hearing relating thereto; Chapter 56-8B, agents, solicitors, brokers, counselors and adjustersproperty, casualty, surety and allied lines, providing for the licensing of such, examination of applicants, the grounds for refusal, suspension or revocation of licenses, and hearing relating thereto; Chapter 56-9, assets and liabilities, providing for the definition of assets allowable or not allowed, unearned premium reserves for classes of insurance, for the increase of inadequate reserves, a standard valuation law, and the valuation of certain assets; Chapter 56-10, investments, establishing general qualifications for eligible investments, diversification of investments, defining the types of investments and restrictions relative thereto, and procedure for the disposal of ineligible investments; Chapter 56-11, administration of deposits, defining assets eligible for deposit, the procedure as to excess, deficiency, or release of deposits, levy against same, receiverships, notice of claims against deposits and the withdrawal of deposits; Chapter 56-12, actions against insurance companies, establishing the venue of such actions, the method of service of process and liability of insurers for damages and attorney's fees; Chapter 56-13, fees and taxes, establishing license fees, miscellaneous charges, imposing a tax upon gross direct insurance premiums, the time for payment thereof, the reduction of taxes, license fees of insurers, the disposition thereof and the procedure for collecting; Chapter 56-14, rehabilitation and liquidation of insurers, providing for the conduct of delinquency proceedings against insurers, the filing, proving and priority of claims, establishing the uniform insurers act, the grounds for rehabilitation, conservation and liquidation of insurers, and the authority of the commissioner relating thereto, the filing and allowance of claims, assessments and procedure to collect the same; Chapter

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56-15, domestic stock and mutual insurers: organization and corporate procedures, providing for the incorporation of domestic stock and mutual insurers, the method of formation thereof, their corporate procedures, the requirements of doing business, consolidation, the merger or dissolution of domestic insurers and the rights of creditors, members and stockholders; Chapter 56-17, hospital service nonprofit corporations, providing for the establishment of such, the limits of their authority to contract and operate, supervision of their rates by the commissioner, their examination and dissolution; Chapter 56-18, nonprofit medical service corporations, providing for the establishment of such, the limits of their authority to contract and operate, supervision of their rates by the commissioner, their examination and dissolution; Chapter 56-19, fraternal benefit societies, providing for the establishment of such, the limits of their authority to contract and operate, their examination and dissolution, licensing or exemption of their agents, imposing license fees and taxes, requirements for investments, and examination of such societies; Chapter 56-20, farmers' mutual fire insurance companies, providing for the establishment of such, issuance of certificate of authority, the fees for doing business, their corporate procedures, examination by the commissioner, and other provisions of the Georgia insurance code applicable thereto; Chapter 56-21, reciprocal insurers, providing for the definition of reciprocal insurance and insurers, their powers, method of organization and certificate of authority, their regulation by the commissioner, subscribers' liability, assessment, distribution of profits, merger, conversion, and dissolution; Chapter 56-24, the insurance contract in general, defining certain terms, requiring an insurable interest, providing for the filing, approval or disapproval of forms, the issuance, construction and delivery of policies, the renewal thereof, the method for discharge of liability, cancellation of policies, empowering governmental units to enter into agreements for insurance for certain types of insurance, and providing for guaranteed arrest bond certificates; Chapter 56-25, life insurance, defining contracts of life insurance,

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requiring standard provisions therefor, prohibiting certain provisions, exemption of proceeds from creditors and defining the scope of incontestability; Chapter 56-26, annuities and pure endowment contracts, defining the same, establishing standard provisions, exemption of proceeds from creditors, and the scope of the incontestable clause; Chapter 56-27, group life insurance, establishing eligible groups, limiting the amounts of such insurance, providing for dependent coverage, establishing required provisions, providing conversion privileges and exemption of proceeds from creditors; Chapter 56-29, industrial life insurance, defining the same, establishing required and optional policy provisions, regulating disability benefits and exemption of the proceeds from creditors; Chapter 56-30, individual accident and sickness insurance, defining the same, establishing required and optional policy provisions, the renewal of such insurance, regulating the same, exemption of proceeds from creditors, and defining franchise accident and sickness insurance; Chapter 56-31, group and blanket accident and sickness insurance, defining the same, and the groups eligible, establishing required provisions, requiring insurable interest, and exemption of proceeds from creditors; Chapter 56-32, property insurance, requiring a standard fire policy, allowing insurance on changing property, regulating the privilege of rebuilding or reinstating the property, and regulating payments less than the policy amount; Chapter 56-33, credit life insurance and credit accident and sickness insurance, defining the same, regulating the issuance thereof, establishing required provisions, requiring the approval of premiums, etc.; Chapter 56-99, crimes, requiring insurance to be payable in legal tender, prohibiting insurer's contracts as to funerals, or with undertakers, or as to funeral merchandise, or services, forbidding insurer receiving commissions from undertakers, forbidding false representation as to policies sold, providing penalties for policies issued in violation of the law, punishing false statements by officers, agents, etc., providing penalties of violation of Chapter 56-29, for fraudulent insurance claims, for representing unauthorized insurance companies,

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and providing the penalty for violation by attorney of Chapter 56-21; to provide specific repeal of certain code sections and statutes; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of same: Section 1. The following shall constitute the Georgia Insurance Code: CHAPTER 56-1 SCOPE OF TITLE AND CITATION OF ACT. 56-101. Short title. 56-102. Insurance defined. 56-103. Insurer defined. 56-104. Person defined. 56-105. Transacting insurance. 56-106. Insurance Commissioner defined. 56-107. Insurance Department defined. 56-108. Application as to particular types of insurers. 56-109. Compliance. 56-110. Existing forms and filings. 56-111. Existing actions and violations. 56-112. Existing licenses and certificates of authority. 56-113. Particular provisions prevail. 56-114. Severability. 56-115. Effective date. 56-101. Short Title. This Title constitutes the Georgia Insurance Code. 56-102. Insurance defined. Insurance is a contract which is an integral part of a plan for distributing individual losses whereby one undertakes to indemnify another or to pay a specified amount or benefits upon determinable contingencies. 56-103. Insurer defined. Insurer includes every person engaged as indemnitor, surety or contractor who

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issues contracts of insurance. Hospital service nonprofit corporations and/or nonprofit medical service corporations and burial associations are insurers within the meaning of this Title. 56-104. Person defined. Person as used in this Title includes an individual, insurer, company, association, trade association, organization, society, reciprocal or inter-insurance exchange, partnership, syndicate, business trust, corporation, Lloyds association, and association, groups or department of underwriters, and any other legal entity. 56-105. Transacting insurance. Transact with respect to insurance includes any of the following: (1) Solicitation and inducement. (2) Preliminary negotiations. (3) Effectuation of a contract of insurance. (4) Transaction of matters subsequent to effectuation of the contract and arising out of it. 56-106. Insurance Commissioner defined. When used in this Title, Insurance Commissioner or Commissioner means the Insurance Commissioner of the State of Georgia. 56-107. Insurance Department defined. When used in this Title, Insurance Department or Department means the Insurance Department established by section 56-201. 56-108. Application as to particular types of insurers. This Title shall not apply to: (1) Hospital service nonprofit corporations except as provided in Chapter 56-17 and nonprofit medical service corporations except as provided in Chapter 56-18; (2) Fraternal benefit societies except as provided in Chapter 56-19;

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(3) Farmers' mutual fire insurance companies except as provided in Chapter 56-20. 56-109. Compliance. No person shall act as an insurer as defined in section 56-103 in this State without complying with the applicable provisions of this Title. 56-110. Existing forms and filings. Every form of insurance document and every rate or other filing lawfully in use immediately prior to the effective date of this Act, may continue to be so used or be effective until the Commissioner otherwise prescribes in accordance with this Title; except that before the expiration of one year from and after such effective date neither this Title nor the Commissioner shall prohibit the use of any such document, rate or filing because of any power, prohibition or requirement contained in this Title which did not exist under laws in force immediately prior to such effective date. 56-111. Existing actions and violations. Repeal by this Act of any law shall not affect or abate any right accrued, action or proceeding commenced, or any unlawful act committed under such laws and punishment or deprivation of license or authority as a consequence thereof as provided by such laws, but all proceedings hereafter taken with respect thereto shall conform to the applicable provisions of this Title insofar as possible. All such laws shall be deemed to continue in force to the extent made necessary by this provision. 56-112. Existing licenses and certificates of authority. The expiration dates of certificates of authority and licenses in force immediately prior to the effective date of this Act and lawfully existing under any law repealed by this Act, are hereby extended as follows: (1) Licenses or certificates of authority of insurers shall expire on June 30th next succeeding such effective date; Provided, however, that any certificate of authority shall continue in full force and effect until the new certificate

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be issued or specifically refused; however, such continuance shall not exceed a period of six months. (2) Licenses or certificates of authority of agents, brokers, solicitors, counselors, and adjusters shall expire on the dates provided in this Title or in accordance with rules and regulations promulgated by the Commissioner pursuant to the provisions of this Title. Any such license or certificate may be renewed, and shall be subject to suspension or revocation, as though originally issued under this Title. 56-113. Particular provisions prevail. Provisions of this Title relating to a particular kind of insurance or a particular type of insurer or to a particular matter prevail over provisions relating to insurance in general or insurers in general. 56-114. Severability. If any section or provision of this Title or the application of such section or provision to any person or circumstance is held invalid, the remainder of the Title, or the application of the section or provision to other circumstances shall not be affected thereby. 56-115. Effective date. The provisions of this Act, except as otherwise expressly provided herein, shall become effective January 1, 1961. CHAPTER 56-2 THE INSURANCE DEPARTMENT 56-201. The Insurance Department. 56-202. Seal. 56-203. Records. 56-204. Annual report. 56-205. Organization of the department. 56-206. Chief Deputy Insurance Commissioner. 56-207. Appointment of assistants. 56-208. Examinations.

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56-209. Examinations of agents, solicitors, brokers, counselors, adjusters, managers and promoters. 56-210. Access to records; correction of accounts. 56-211. Examination reports. 56-212. Expense of examination. 56-213. Delegation of authority. 56-214. Enforcement. 56-215. Witnesses and evidence. 56-216. Rules and regulations. 56-217. Orders, notices. 56-218. Hearings. 56-219. Place of hearings. 56-220. Notice of hearings. 56-221. Show cause notice. 56-222. Conduct of hearings. 56-223. Adjourned hearings; nonattendance. 56-224. Order on hearing. 56-225. Judicial review; parties. 56-226. Judicial review; pleading and procedure. 56-227. Judicial review; scope of review; trial de novo; exceptions. 56-228. Collection and disposition of fees and taxes. 56-229. Limitation. 56-201. Insurance Department. There shall be in the office of the Comptroller General a department which shall be called the Insurance Department of the State of Georgia. The chief officer of such Department shall be the Comptroller General who shall be styled the Insurance Commissioner. The purpose and function of the Department and the duties and powers of the Commissioner shall be those created and vested by the provisions of this Title. Suitable rooms, located at the State Capitol, which are conveniently accessible to the general public, shall be assigned to the Insurance Department. 56-202. Seal. The Commissioner shall have an official seal of such device as he shall, with the approval of the Governor, select. Every certificate and other document or paper executed by the Commissioner in the pursuance of any authority conferred upon him by law, and sealed with the seal of his office, and all copies or photographic

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copies of papers certified by him and authenticated by said seal, shall in all cases be evidence equally and in like manner as the original thereof and shall in all cases be primary evidence of the contents of the original and shall be admissible in any court in this State. 56-203. Records. (1) The Commissioner shall enter in permanent form records of the official transactions, filings, examinations, investigations and proceedings of his office and shall keep all records, books and papers pertaining thereto in his office. Such records, books and papers shall be deemed public records of the State except as may be provided otherwise herein. (2) Upon the request of any person and the payment of the applicable fee, the Commissioner shall supply a certified copy of any record in his office which is then subject to public inspection. (3) The Commissioner may destroy or otherwise dispose of all records entered in his office in accordance with the rules and procedures provided for in Chapter 40-8 of this Code: Provided, however, that filings may be destroyed by direction of the Commissioner when superceded. 56-204. Annual report. As early in the calendar year as reasonably possible the Commissioner annually shall prepare and deliver a report to the Governor and the members of the General Assembly showing, with respect to the preceding calendar year: (1) Names of the authorized insurers transacting insurance in this State, with such summary of their financial statement as he deems proper; (2) Names of insurers whose business were closed during the year, the cause thereof, and amount of assets and liabilities as ascertainable; (3) Names of insurers against which delinquency or similar proceedings were instituted, and a concise statement of the facts with respect to each proceeding:

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(4) The receipts and expenses of the Department for the year; (5) Recommendations of the Commissioner as to amendments or supplementation of laws affecting insurance, as to matters affecting the Department; and (6) Such other pertinent information and matters as the Commissioner deems proper. 56-205. Organization of the department. The Commissioner shall set up within the Department such divisions or sections as he may deem necessary for the appropriate performance of the duties of the Department and the proper exercise of the powers vested therein. Such organization shall proceed along functional lines, and shall have as its purpose efficiency in operation and service to the public. 56-206. Chief Deputy Insurance Commissioner. (1) The Commissioner shall appoint a Chief Deputy Insurance Commissioner and he may appoint such other deputies as may be necessary to assist him in the performance and discharge of his duties and in the event of a vacancy in the office of the Commissioner, or in his absence or disability for any reason, the Chief Deputy shall perform all the duties of the Commissioner. The Chief Deputy shall execute a bond with proper security in the sum of fifteen thousand ($15,000) dollars, such bond to be approved by the Commissioner and conditioned upon the faithful performance of the duties of the Chief Deputy Commissioner. (2) The Chief Deputy Insurance Commissioner and other deputies shall be removable at the pleasure of the Commissioner. 56-207. Appointment of assistants. (1) The Commissioner may appoint and prescribe the duties of such assistants, examiners, actuaries, clerks and employees as may be necessary to discharge the duties placed upon the Department

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by this Title. The Commissioner shall fix the compensation of all such personnel. (2) The Commissioner, or any deputy, examiner, actuary, clerk or any employee of the Department shall not be financially interested, directly or indirectly, in any insurer, agency or insurance transaction except as a policyholder or claimant under a policy; however, as to such matters wherein a conflict of interests does not exist on the part of any such individual, the Commissioner may employ from time to time insurance actuaries or other technicians who are independently practicing their professions even though similarly employed by insurers and others. (3) The Commissioner or any deputy, examiner, actuary, clerk or employee of the Department, shall not be given or receive any fee, compensation, loan, gift, or other thing of value in addition to the compensation and expense allowance provided by law, for any service or pretended service either rendered or to be rendered, as such Commissioner, deputy, examiner, actuary, clerk or employee. 56-208. Examinations. (1) Whenever the Commissioner shall deem it expedient, he shall examine, either in person or by some examiner duly authorized by him, the affairs, transactions, accounts, records, documents, and assets of each insurer authorized to do business in this State and any other fact relative to its business methods, management and its dealings with policyholders. At least once every five years, he shall so examine each domestic insurer. Examination of an alien insurer shall be limited to its insurance transactions in the United States. (2) Whenever he shall deem it necessary, and at least once in five years, the Commissioner shall fully examine each rating organization which is licensed in this State. As often as he shall deem it necessary, he may examine each advisory organization and each joint underwriting or joint reinsurance group, association or organization.

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(3) The Commissioner shall in like manner examine each insurer or rating organization applying for authority to do business in this State. (4) In lieu of making his own examination, the Commissioner may accept a full report of the last recent examination of a foreign or alien insurer, certified to by the insurance supervisory official of another state, territory, commonwealth, or district of the United States. 56-209. Examination of agents, solicitors, brokers, counselors, adjusters, managers and promoters. For the purpose of ascertaining their compliance with this Title, the Commissioner may when he deems it necessary in the public interest examine the affairs, accounts, records, documents, and transactions of: (1) Any insurance agent, solicitor, broker, counselor or adjuster. (2) Any person having a contract under which he enjoys in fact the exclusive or dominant right to control an insurer. (3) Any person holding the shares of capital stock or policyholder proxies of a domestic insurer for the purpose of control of its management either as voting trustee or otherwise. (4) Any person engaged in the promotion or formation of a domestic insurer, or insurance holding corporation, or corporation to finance a domestic insurer or the production of its business. 56-210. Access to records; correction of accounts. (1) Every person being examined, its officers, employees, and representatives shall produce and make freely accessible to the Commissioner the accounts, records, documents, and files in his possession or control relating to the subject of the examination. Such officers, employees and representatives shall facilitate such examination and aid the examiners as far as it is in their power in making the examination.

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(2) If the Commissioner finds the accounts to be inadequate, or incorrectly kept or posted, he may employ experts to rewrite, post or balance such records at the expense of the person being examined, if such person has failed to correct such accounting within sixty (60) days after the Commissioner has given him notice to do so. 56-211. Examination reports. (1) The Commissioner shall make a full written report of each examination made by him containing only facts ascertained from the accounts, records, and documents examined and from the sworn testimony of witnesses. (2) The report shall be certified by the Commissioner or by the examiner in charge of the examination and when so certified and, after filing as provided in subsection (3) hereof, shall be admissible in evidence in any proceeding brought by the Commissioner aganst the person examined or any officer or agent of such person and shall be prima facie evidence of the facts stated therein. (3) The Commissioner shall furnish a copy of the proposed report to the person examined not less than twenty (20) days prior to filing the report. If such person so requests in writing within such twenty (20) day period, or such longer period as the Commissioner may grant, the Commissioner shall grant a hearing with respect to the report, and shall not so file the report until after the hearing and such modifications have been made therein as the Commissioner may deem proper. (4) The Commissioner may withhold from public inspection the report of any examination or investigation for so long as he deems it to be in the public interest or necessary to protect the person examined from unwarranted injury. (5) After the report has been filed, the Commissioner may publish the report or the results thereof in one or more newspapers published in this State, if he should deem it to be in the public interest.

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56-212. Expense of examination. The insurer or other person so examined shall pay, at the direction of the Commissioner all the actual travel and living expenses of such examination. When the examination is made by an examiner who is not a regular employee of the Department, the person examined shall pay the proper charges for the services of the examiner and his assistants and the actual travel and living expenses incurred by such examiners and assistants in an amount approved by the Commissioner. A consolidated account for the examination shall be filed by the examiner with the Commissioner. No person shall pay and no examiner shall accept any additional emolument on account of any examination. When the examination is conducted in whole or in part by regular salaried employees of the Department, payment for such services and proper expenses shall be made by the person examined to the Commissioner, and such payment shall be deposited in the State Treasury: Provided, however, that when an agent, broker, solicitor, counselor or adjuster is examined because of a complaint filed against such agent, broker, solicitor, counselor or adjuster, and the Commissioner finds that the complaint was not justified, the expenses of the examination shall not be assessed against the agent, broker, solicitor, counselor or adjuster but shall be borne by the Department. 56-213. Delegation of authority. (1) Any authority, power or duty vested in the Commissioner by any provision of this Title may be exercised, discharged or performed by any deputy, assistant, examiner or employee of the Department acting in the Commissioner's name and by his delegated authority. (2) The Commissioner shall be responsible for the official acts of such persons who act in his name and by his authority. 56-214. Enforcement. (1) The Commissioner may institute suits or other legal proceedings as may be required for the enforcement of any provisions of this Title. If the Commissioner has reason to believe that any person has violated any provision of this Title for which criminal

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prosecution is provided, he shall so inform the solicitor general or solicitor in whose circuit or jurisdiction such violation may have occurred. (2) The Commissioner may prosecute an action in any superior court of proper venue to enforce any order made by him pursuant to the provisions of this Title. 56-215. Witnesses and evidence. (1) With respect to the subject of any examination, investigation or hearing conducted by him or his duly authorized representative, the Commissioner may take depositions, subpoena witnesses and administer oaths or affirmations and examine any individual under oath, and compel the production of records, books, papers, and other documents. (2) Witness fees and mileage, if claimed, shall be allowed as for witnesses appearing in superior court. Witness fees, mileage, and the actual expense necessarily incurred in securing attendance of witnesses and their testimony shall be itemized, and shall be paid by the person being examined or investigated if in the proceedings in which the witness is called such person is found to be in violation of the law, or by the person, if other than the Commissioner, at whose request the hearing is held. (3) Subpoenas of witnesses shall be served in the same manner as if issued by a superior court. If any individual fails to obey a subpoena issued and served hereunder with respect to any matter concerning which he may be lawfully interrogated, on application of the Commissioner the superior court of the county in which the proceeding is pending at which such individual was so required to appear may issue an order requiring such individual to comply with the subpoena and to testify. (4) Any person wilfully testifying falsely under oath as to any matter material to any such examination, investigation or hearing, shall upon conviction thereof be guilty of false swearing and shall be punished accordingly.

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(5) In addition to any other liability or punishment prescribed, any person who without just cause fails or refuses to attend and testify, or to answer any lawful inquiry or to produce any books, papers or records in obedience to a lawful subpoena issued by the Commissioner or by his authority, shall be guilty of a misdemeanor. 56-216. Rules and regulations. (1) The Commissioner shall have full power and authority to make rules and regulations for the following purposes: (a) To organize the Insurance Department and to assign duties to members of the staff; (b) To effectuate the provisions of this Title; (c) To issue interpretative rulings or to prescribe forms required to carry out the responsibilities of his office; and to promulgate such other rules and regulations as are reasonably necessary to implement the provisions of this Title; (d) To govern the procedure to be followed in the proceedings before the Insurance Department. (2) Before any rule or regulation shall become effective or before any amendment or repeal of any rule shall become effective, the proposed rule or regulation or amendment or repeal shall be approved as to legality by the Attorney General and shall have been on file as a public record in the office of the Commissioner for at least ten (10) days. (3) Prior to the adoption of any rule or regulation, or the amendment or repeal thereof, the Commissioner shall publish or otherwise circulate notice of his intended action and afford interested persons opportunity to submit data or views either orally or in writing. (4) The Commissioner shall compile and keep on file in his office as a public record a set of such rules and

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regulations which are in effect and shall prepare copies of such rules and regulations which shall be available upon request. The Commissioner shall fix a price covering such compilation which shall cover costs of preparation and mailing. 56-217. Orders, notices. (1) Orders and notices of the Commissioner shall be effective only when in writing signed by him or by his authority. (2) Every such order shall state its effective date and shall state concisely: (a) Its intent or purpose. (b) The grounds on which it is based. (c) The provisions of this Code pursuant to which action is taken or proposed to be taken; but failure to so designate any provision shall not deprive the Commissioner of the right to rely thereon. (3) An order or notice may be given by delivery to the person to be ordered or notified or by mailing it, postage prepaid, addressed to him at his principal place of business as last of record in the Commissioner's office. 56-218. Hearings. (1) The Commissioner may hold hearings for any purpose within the scope of this Title as he may deem necessary. (2) He shall hold a hearing: (a) If required by any provision of this Title, or (b) Upon written demand for a hearing made by any person aggrieved by any act, threatened act, or failure of the Commissioner to act if such failure is deemed an act under any provision of this Title, or by any report, promulgation or order of the Commissioner (other than an order on a hearing of which such person was given actual notice or at which such person appeared as a party, or order pursuant to the order on such hearing).

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Any such demand for a hearing shall specify in what respects such person is aggrieved and the grounds to be relied upon as a basis for the relief to be demanded at the hearing, and unless postponed by mutual consent, the hearing shall be held within thirty (30) days after receipt by the Commissioner of the demand therefor. Such hearing shall be held only if the Commissioner shall find that the demand for a hearing is made in good faith, that the applicant would be aggrieved, and that such grounds otherwise justify holding such hearing. (3) Pending such hearing and decision thereon the Commissioner may suspend or postpone the effective date of his previous action. 56-219. Place of hearing. The hearing shall be held at the place designated by the Commissioner and shall be open to the public. 56-220. Notice of hearing. Not less than ten (10) days in advance the Commissioner shall give notice of the time and place of the hearing, stating the matters to be considered at such hearing. If the persons to be given notice are not specified in the provision pursuant to which the hearing is held, the Commissioner shall give such notice to all persons directly affected by such hearing. In the event all persons directly affected are unknown, notice may be perfected by publication in a newspaper of general circulation in this State at least ten (10) days prior to such hearing. 56-221. Show cause notice. If any person is entitled to a hearing by any provision of this Title before any proposed action is taken, the notice of the proposed action may be in the form of a notice to show cause stating that the proposed action may be taken unless such person shows cause at a hearing to be held as specified in the notice, why the proposed action should not be taken, and stating the basis of the proposed action. 56-222. Conduct of hearing. (1) The hearing shall be presided over by the Commissioner or his designated representative.

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(2) The Commissioner shall allow any party to the hearing to appear in person or by counsel, to be present during the giving of all evidence, to have a reasonable opportunity to inspect all documentary evidence and to examine witnesses, to present evidence in support of his interest, and to have subpoenas issued by the Commissioner to compel attendance of witnesses and production of evidence in his behalf. (3) The Commissioner shall permit to become a party to the hearing by intervention, if timely, only such persons who may be aggrieved by the Commissioner's order made upon the hearing. (4) Formal rules of pleading or evidence need not be observed at any hearing. (5) Upon written request seasonably made by a party to the hearing and at such person's expense, the Commissioner shall cause a full record of the proceedings to be made. If transcribed, a copy of such record shall be furnished to the Commissioner, without cost to the Commissioner or the State, and shall be a part of the Commissioner's record of the hearing. If so transcribed a copy of such record shall be furnished to any other party to such hearing at the request and expense of such other party. If no record is made or transcribed, the Commissioner shall prepare an adequate record of the evidence and of the proceedings. (6) Upon written request of a party to a hearing filed with the Commissioner within thirty (30) days after any order made pursuant to a hearing has been mailed or delivered to the persons entitled to receive the same, the Commissioner may, in his discretion, grant a rehearing or reargument of the matters involved in such hearing, and notice of such rehearing or reargument shall be given as provided in section 56-220. 56-223. Adjourned hearings; nonattendance. (1) The Commissioner may adjourn any hearing from time to time and from place to place without other notice of the

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adjourned hearing than announcement thereof at the hearing. (2) The validity of any hearing held in accordance with the notice thereof shall not be affected by failure of any person to attend such hearing or to remain in attendance. 56-224. Order on hearing. (1) Within thirty (30) days after termination of the hearing or of any rehearing or reargument, the Commissioner shall make his order thereon, covering matters involved in such hearing and in any rehearing or reargument, and shall give a copy of such order to the same persons given notice of the hearing. (2) The order shall contain a concise statement of the facts as found by the Commissioner, a concise statement of his conclusions therefrom, and the effective date of the order. (3) The order may affirm, modify, or nullify action theretofore taken or may constitute the taking of new action within the scope of the notice of hearing. 56-225. Judicial review; parties. An appeal from the Commissioner shall be taken only from an order on hearing, or with respect to a matter as to which the Commissioner has refused or failed to grant or hold a hearing after demand therefor under section 56-218, or as to a matter as to which the Commissioner has refused or failed to make his order on hearing as required by section 56-224. Any person who was a party to such hearing, or whose pecuniary interests are directly and immediately affected by such refusal or failure to grant a hearing, and who is aggrieved by such order, refusal, or failure may appeal from such order on hearing or as to any such matter within thirty (30) days after: (1) The order on hearing has been mailed or delivered to the persons entitled to receive the same; or

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(2) The Commissioner's order denying rehearing or reargument has been so mailed or delivered; or (3) The Commissioner has refused or failed to make his order on hearing as required under section 56-224; or (4) The Commissioner has refused or failed to grant or hold a hearing as required under section 56-218. 56-226. Judicial review; pleading and procedure. (1) The form of proceeding for judicial review shall be by a petition in the Superior Court of Fulton County, a copy of which shall be served upon the Commissioner forthwith. (2) The proceedings shall follow the course which is now or may hereafter be prescribed for civil actions in the Superior Courts; Provided, that the reviewing court may by order extend the time required for filing any pleadings or motions, and Provided further, that such court may by order provide for expeditious hearing or trial of any such proceedings, as justice or the public interest may require. (3) The petition or other pleading in which judicial review shall be sought, shall plainly specify the action complained of, and shall set forth the relief sought, and without excessive detail, the facts and circumstances supporting the petitioner's right to such relief. (4) Pending judicial review pursuant to any proceeding authorized for the purpose, the Commissioner, if the action has not become effective, may postpone the effective date of the action complained of. Upon such conditions as may be required, and to the extent necessary to preserve the status of proceedings, or the rights of the parties, or to prevent irreparable injury, in any proceeding for judicial review, the reviewing court, or any appellate court, is authorized to issue all necessary and appropriate orders to postpone the effective date of any action, or to temporarily grant or extend relief denied or withheld.

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(5) Whether or not prayed for, the court may remand the matter for further proceedings or findings on terms specified by order, or may require the parties to complete any record found to be inaccurate or inadequate for decision. 56-227. Judicial review; scope of review; trial de novo; exceptions. (1) Unless review of the action complained of is required by law to be de novo: (a) Where proceedings have been held before the Commissioner, the Commissioner shall file with his reply to the reviewing court, a certified transcript of all such proceedings, and all evidence before him in such proceedings; Provided, however, that the parties may, by written stipulation, agree to an abbreviated record including so much of the transcript as shall be necessary to determine the questions under review. (b) The reviewing court's decision shall be upon the basis of the pleadings and the record so presented. (c) The findings of the Commissioner as to any fact, if supported by substantial evidence upon consideration of the record as a whole, shall be conclusive. (d) If issues of fact outside the record shall be made by the pleadings they may be determined by the court. (2) Judicial review of any fact determined by the Commissioner shall be de novo unless: (a) Such determination was made after a hearing required or authorized by this Title; or (b) Such determination is one committed by law to the Commissioner's discretion. (3) So far as necessary to decision and where presented the reviewing court shall decide all relevant questions of law, interpret constitutional and statutory provisions, and determine the meaning or applicability of the terms of any Department action. The court shall:

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(a) Compel Department action unlawfully withheld or unreasonably delayed; and (b) Hold unlawful and set aside Department action, findings and conclusions found to be: (i) Arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law; (ii) Contrary to legal or constitutional right, power, privilege, or immunity; (iii) In excess of statutory jurisdiction, authority, or limitations, or short of statutory right; (iv) Without observance of procedure required by law; (v) Unsupported by substantial evidence upon consideration of the record as a whole, in cases determined pursuant to section 56-227 (1) (b) and (c); (vi) Unwarranted by the facts in cases where the facts are subject to trial de novo by the reviewing court. In making the foregoing determinations the court shall review the whole record or such portions thereof as may be cited by any party, and due account shall be taken of the rule of prejudicial error. The reviewing court may also grant such further relief either legal or equitable, or both, as the interest of the public and the aggrieved parties in such proceedings shall require. 56-228. Collection and disposition of fees and taxes. The Commissioner shall collect the charges, fees, dues and taxes which he is authorized by law to collect and shall give proper receipts therefor. At least quarterly, or oftener if he shall deem it expedient, the Commissioner shall pay into the State Treasury all amounts collected by him, less any refunds which are authorized to be made by him under Chapter 56-13.

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56-229. Limitation. Sections 56-218 through and including section 56-227 shall not apply to hearings and appeals arising under Chapters 56-5 A and 5 B. CHAPTER 56-3 AUTHORIZATION OF INSURERS AND GENERAL REQUIREMENTS FOR DOING BUSINESS IN THIS STATE. 56-301. Definitions. 56-302. Authority to transact insurance required. 56-303. General qualifications to transact insurance. 56-304. Kinds of insurance an insurer may transact. 56-305. Classes of insurance. 56-306. Capital funds required. 56-307. Expendable surplus required for new insurers. 56-308. [Reserved]. 56-309. Deposit requirements. 56-310. Deposit by foreign and alien insurers. 56-311. Financial requirements, existing insurers, escalator provisions. 56-312. Application for certificate of authority. 56-313. License fee. 56-314. Issuance or refusal of certificate. 56-315. Expiration, renewal or amendment of certificate. 56-316. Mandatory refusal, revocation or suspension. 56-317. Discretionary refusal, revocation or suspension. 56-318. Name of insurer. 56-319. [Reserved]. 56-320. Resident agent required. 56-321. Retaliation. 56-301. Definitions. A domestic insurer is one formed under the laws of Georgia. A foreign insurer is one formed under the laws of another state or government of the United States. An alien insurer is one formed under the laws of a country other than the United States.

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State means any state, commonwealth, territory, or district of the United States. United States includes the states, territories, districts, and commonwealths thereof. Charter means articles of incorporation, of agreement, of association, or other basic constituent document of a corporation, subscribers' agreement and power of attorney of a reciprocal insurer, or underwriters' agreement and power of attorney of a Lloyds insurer. 56-302. Authority to transact insurance required. (1) No person shall act as an insurer and no insurer shall transact insurance in Georgia except as authorized by a subsisting certificate of authority granted to it by the Commissioner, except as to such transactions as are expressly otherwise provided for in this Title. (2) The mere investigation and adjustment of any claim in this State arising under an insurance contract, and litigation in connection therewith, shall not be deemed to constitute the transacting of insurance in this State. (3) An insurer, not transacting new insurance business in Georgia but continuing collection of premiums on and servicing of policies remaining in force as to residents of or risks located in Georgia, is transacting insurance in Georgia for the purpose of premium tax requirements only and is not required to have a certificate of authority therefor; Provided, however that any requirements as to payment of premium and annuity taxes shall not apply to insurers which have withdrawn from Georgia prior to the effective date of this Title. (4) As to an insurance coverage on a subject of insurance not resident, located, or expressly to be performed in Georgia at time of issuance, and solicited, written, and delivered outside Georgia, no such authority shall be required of an insurer as to subsequent transactions in Georgia on account thereof, and the provisions of this Title shall not apply to such insurance or insurance coverage,

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except for the purpose of premium tax requirements. 56-303. General qualifications to transact insurance. (1) To qualify for and hold authority to transact insurance in Georgia an insurer must be otherwise in compliance with the provisions of this Title and with its charter powers, and must be an incorporated stock insurer, an incorporated mutual insurer, fraternal benefit society, hospital service nonprofit corporation, nonprofit medical service corporation, a farmers' mutual fire insurance company, a Lloyds association or a reciprocal insurer, of the same general type as may be formed as a domestic insurer under this Title; except that no foreign or alien insurer shall be authorized to transact insurance in Georgia which does not maintain reserves as required by Chapter 56-9 applicable to the kind or kinds of insurance transacted in the United States by such insurer. (2) No certificate of authority or license to transact any kind of insurance business in this State shall be issued, renewed or continued in effect, to any domestic, foreign or alien insurance company or other insurance entity which is owned, or financially controlled, in whole or in substantial part by any State of the United States, or by a foreign government, or by any political subdivision, instrumentality or agency of either, or which is an agency of such state or foreign government or any political subdivision, instrumentality or agency of either, unless such company or entity was so owned, controlled or constituted prior to January 1, 1957, and was authorized to do business in this State on or prior to said date. (3) Membership in a mutual insurer or subscribership in a reciprocal insurer, or supervision of an insurer by public insurance supervisory authority shall not be deemed to be an ownership, control, or operation of the insurer for the purposes of subsection (2) above. 56-304. Kinds of insurance an insurer may transact. An insurer which otherwise qualifies therefor may be

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authorized to transact any one kind or combination of kinds of insurance as defined in Chapter 56-4 except: (1) A reciprocal insurer shall not transact life insurance. (2) A Lloyds insurer shall not transact life insurance. (3) A title insurer shall be a stock insurer and shall not be authorized to transact any other class of insurance, except that if immediately prior to the effective date of this Title any title insurer lawfully held a subsisting certificate of authority granting it the right to transact in Georgia additional classes of insurance other than title insurance, so long as the insurer is otherwise in compliance with this Title, the Commissioner shall continue to authorize such insurer to transact the same classes of insurance as those specified in such prior certificate of authority. 56-305. Classes of insurance. For the purpose of this Chapter the kinds of insurance defined in Chapter 56-4 shall be arranged in the following five classes: (1) Life, accident and sickness; (2) Property, marine and transportation; (3) Casualty; (4) Surety; (5) Title. Each of the above numbered groups shall constitute a class of insurance. 56-306. Capital funds required. (1) To qualify for authority to transact insurance an insurer shall possess and thereafter maintain paid in capital stock (if a stock insurer) or surplus (if a foreign or alien mutual or reciprocal insurer) in amount not less than two hundred

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thousand ($200,000) dollars for each class of insurance in which the insurer will engage, but the maximum for any combination of kinds of insurance shall not be required to exceed four hundred thousand ($400,000) dollars. (2) As to surplus required for initial qualification to transact one kind of insurance and thereafter to be maintained, domestic mutual insurers shall be governed by Chapter 56-15, and domestic reciprocal insurers shall be governed by Chapter 56-21. Hospital service nonprofit corporations and nonprofit medical service corporations shall be governed by Chapters 56-17 and 56-18 respectively. Farmers' mutual fire insurance companies shall be governed by Chapter 56-20. 56-307. Expendable surplus required for new insurers. In addition to the minimum paid in capital (of stock insurers) or minimum surplus (of mutual and reciprocal insurers) required by this Title, an insurer shall possess when first authorized in this State, surplus or additional surplus equal to the larger of two hundred thousand ($200,000) dollars (stock, mutual and reciprocal insurers) or fifty (50%) percent of its paid-in capital stock (if a stock insurer) or of its surplus (if a mutual or reciprocal insurer) otherwise required under section 56-306 for the kinds of insurance to be transacted. 56-308. [Reserved]. 56-309. Deposit requirements. (1) The Commissioner shall not issue a certificate of authority to transact insurance to any insurer unless it has deposited in trust with this State securities eligible for the investment of capital funds of domestic insurers under this Title in an amount not less than that required in subsection (2) of this section. This section does not apply to farmers' mutual fire insurance companies. (2) (a) The amount of the deposit required for a certificate to transact any one class of insurance shall be one hundred thousand ($100,000) dollars; to transact

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each additional class of insurance, the amount of deposit shall be twenty-five thousand ($25,000) dollars, subject to the limitation that not more than two hundred thousand ($200,000) dollars total deposit shall be required for any combination of classes. (b) As to foreign insurers, in lieu of such deposit or part thereof in this State, the Commissioner shall accept the current certificate in proper form of the public official having supervision over insurers in any other state to the effect that a like deposit or part thereof by such insurer is being maintained in public custody in such state in trust for the purpose, among other reasonable purposes, of protection of policyholders and/or creditors, or of the protection of all the insurer's policyholders or of all of its policyholders and obligees. (c) As to alien insurers, other than title insurers, in lieu of such deposit or part thereof in this State, the Commissioner shall accept the certificate of the official having supervision over insurance of another state in the United States, given under his hand and seal, that the insurer maintains within the United States by way of deposits with public depositories, or in trust institutions within the United States approved by such official, assets available for discharge of its United States insurance obligations which assets shall be in amount not less than the outstanding liabilities of the insurer arising out of its insurance transactions in the United States, together with the larger of the following sums: (i) The largest deposit required by this Title to be made in this State by any type of domestic insurer transacting like kinds of insurance, or (ii) Three hundred thousand ($300,000) dollars. 56-310. Deposit by foreign and alien insurers. In addition to the deposit required by section 56-309 each foreign and alien insurer shall deposit with the Treasurer of the State of Georgia securities eligible for the investment of capital funds in an amount not less than ten thousand ($10,000) dollars nor more than twenty-five thousand ($25,000) dollars at the discretion of the Commissioner. This deposit and the deposit required by section 56-309

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(2) (a) shall be administered as provided in Chapter 56-11. Deposits under this section shall be held for the protection of the insurer's policyholders in Georgia and others in Georgia entitled to the proceeds of its policies. 56-311. Financial requirements, existing insurers, escalator provisions. (1) If with respect to any insurer lawfully authorized to transact insurance in Georgia immediately prior to the effective date of this Act, this Title requires a greater amount of capital, or surplus, or deposit than required of such insurer immediately prior to such effective date, such insurer shall have the period ending July 1st five years after the enactment of this Title within which to comply with any such increased requirement. (2) If within this five year period, however, an insurer is authorized to write an additional class or additional classes of insurance, it shall be subject immediately to the increased requirements of this Title concerning such class or classes. 56-312. Application for certificate of authority. To apply for an original certificate of authority an insurer shall file with the Commissioner its application therefor showing its name, location of its home office or principal office in the United States (if an alien insurer), kinds of insurance to be transacted, date of organization or incorporation, form of organization, state or country of domicile, the names and addresses of all general officers of the company, with the number of shares of capital stock of the company held by or for each such general officer, or by others for his benefit, and the percentage of the total capital stock of the company held by each such general officer, the date on which the company began to do business, and the states in which it is admitted to do business, and such additional information as the Commissioner may require, together with the following applicable documents: (1) A copy of its corporate charter with all amendments thereto certified by the public officer with whom the originals are on file in the state or country of domicile.

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(2) A copy of its bylaws as amended, certified by its secretary or other officer having custody thereof. (3) A copy of its annual statement as of December 31st last preceding in a form approved for current use by the Commissioner, and certified by two officers of the company. The annual statement of an alien insurer shall relate only to the transactions and affairs in the United States unless the Commissioner requires otherwise. (4) Copy of report of the last examination, if any, made of the insurer, certified by the insurance supervisory official of its state of domicile or of entry into the United States. (5) If a foreign or alien insurer, appointment of the Commissioner as its attorney to receive service of legal process. (6) If a foreign or alien insurer, a certificate of the public official having supervision of insurance in its state or country of domicile showing that it is authorized to transact the kinds of insurance proposed to be transacted in Georgia. (7) If an alien insurer, a copy of the appointment and authority of its United States manager, certified by its officer having custody of its records. (8) If a foreign or alien insurer, certificate as to deposit if to be tendered pursuant to section 56-309. 56-313. License fee. Every original application shall be accompanied by the fee required by law, which shall be returned to the applicant if the application is finally denied. 56-314. Issuance or refusal of Certificate. (1) Upon filing of an application for an original certificate of authority, the Commissioner shall have ninety (90) days in which to approve the application by issuing an appropriate

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certificate of authority, or disapprove the application by issuing an order setting forth the grounds for such disapproval. The Commissioner may extend such ninety (90) day period for an additional ninety (90) days by notifying the applicant in writing of such extension. If the application is not approved or disapproved within the time period as above set forth, but in no event to exceed one hundred eighty (180) days, the application shall be deemed approved and the Commissioner shall thereupon issue the appropriate certificate of authority. (2) The certificate, if issued, shall specify the kind or kinds of insurance the insurer is authorized to transact in Georgia. At the insurer's request, the Commissioner may issue a certificate of authority limited to particular types of insurance included within a kind of insurance as defined in this Title. 56-315. Expiration, Renewal or Amendment of Certificate. (1) All certificates of authority shall expire at midnight on June 30th next following date of issuance or renewal. An insurer desiring renewal shall file on March 1st preceding expiration a copy of its annual statement of December 31st last preceding in a form approved for current use by the Commissioner. On or before March 1 of each year each insurer, at its expense, shall publish in a newpaper of general circulation published in this State, a copy of such statement in short form showing income, assets, expenditures, and liabilities in gross, as of December 31 preceding, to be sworn to by the officer or agent making the same and such statement so published must be filed with the Commissioner with a copy of the statement as published attached thereto. Provided, that the Commissioner may for good cause grant an extension of time for filing such annual statement not to exceed sixty (60) days. If the insurer qualifies therefor its certificate shall be renewed annually; Provided, however, that any certificate of authority shall continue in full force and effect until the new certificate be issued or specifically refused. (2) The Commissioner may amend a certificate of

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authority at any time to accord with changes in the insurer's charter or insuring powers. 56-316. Mandatory refusal, revocation or suspension. The Commissioner shall refuse to issue or to renew or shall revoke or suspend an insurer's certificate of authority: (1) If such action is required by any provision of this Title; or (2) If the insurer no longer meets the requirements for the authority originally granted, on account of deficiency in assets or otherwise. 56-317. Discretionary refusal, revocation or suspension. The Commissioner may refuse to issue or after a hearing refuse to renew, or may revoke or suspend an insurer's certificate of authority, in addition to other grounds therefor in this Title, if the insurer: (1) Violates any provision of this Title other than those as to which refusal, suspension or revocation is mandatory. (2) Knowingly fails to comply with any lawful rule, regulation or order of the Commissioner. (3) Is found by the Commissioner to be in unsound condition or in such condition as to render its further transaction of insurance in Georgia hazardous to its policyholders or to the public. (4) As a general scheme or plot without just cause compels claimants to accept less than the amount due them or to bring suit against it to secure full payment thereof. (5) Refuses to be examined or to produce its accounts, records and files for examination by the Commissioner when required; or refuses to furnish such other additional information as the Commissioner may deem advisable

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to consider the application for renewal of such insurer's certificate of authority. (6) Fails to pay any final judgment rendered against it in Georgia within thirty (30) days after such judgment becomes final. (7) Is affiliated with and under the same general management or interlocking directorate or ownership as another insurer which transacts direct insurance in Georgia without having a certificate of authority therefor, except as permitted to a surplus line insurer under Chapter 56-6. 56-318. Name of insurer. (1) No insurer shall be authorized to transact insurance in Georgia which has or uses a name so similar to that of any insurer already so authorized as to cause uncertainty or confusion; except, that in case of conflict of names between two insurers the Commissioner may permit or require as a condition to the issuance of an original certificate of authority to an insurer making application therefor, that such insurer use in Georgia such supplementation or modification of its name as may reasonably be necessary to avoid such conflict. (2) No insurer shall be authorized to transact business in Georgia which has or uses a name which would deceptively mislead as to the type of organization of the insurer. 56-319. [Reserved]. 56-320. Resident agent required. (1) No authorized insurer shall issue a policy covering a subject of insurance resident, located, or to be performed in Georgia unless the policy, or countersignature endorsement attached thereto is countersigned by its licensed agent, resident in Georgia. A licensed service representative, resident in Georgia, may countersign such policy or endorsement for and on behalf of the licensed agent upon written request of the Georgia agent.

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(2) Subsection (1) shall not apply to: (a) Reinsurance, or to life, or accident and sickness insurance. (b) Insurance of the rolling stock, vessels or aircraft of any common carrier in interstate or foreign commerce, or of any vehicle principally garaged and used in another state, or covering any liability or other risks incident to the ownership, maintenance or operation thereof. (c) Insurance of property in course of transportation interstate or in foreign trade, or any liability or risk incident thereto. (d) Insurance of ocean marine risks. (e) Bid bonds issued by any surety insurer in connection with any public or private building or construction project. (3) Violation of this section shall not invalidate the policy. 56-321. Retaliation. (1) When by or pursuant to the laws of any other state or foreign country any taxes, licenses and other fees, in the aggregate, and any fines, penalties, deposit requirements or other material obligations, prohibitions or restrictions are or would be imposed upon Georgia insurers, or upon the agents or representatives of such insurers, which are in excess of such taxes, licenses and other fees, in the aggregate, or which are in excess of the fines, penalties, deposit requirements or other obligations, prohibitions, or restrictions directly imposed upon similar insurers, or upon the agents or representatives of such insurers, of such other state or country under the statutes of this State, so long as such laws of such other state or country continue in force or are so applied, the same taxes, licenses and other fees, in the aggregate, or fines, penalties or deposit requirements or other material obligations, prohibitions, or

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restrictions of whatever kind shall be imposed by the Commissioner upon the insurers, or upon the agents or representatives of such insurers, of such other state or country doing business or seeking to do business in Georgia. Any tax, license or other fee or other obligation imposed by any city, county, or other political subdivision or agency of such other state or country on Georgia insurers or their agents or representatives shall be deemed to be imposed by such state or country within the meaning of this section. (2) This section shall not apply as to personal income taxes, nor as to ad valorem taxes on real or personal property nor as to special purpose obligations or assessments imposed by another state, in connection with particular kinds of insurance, other than property insurance; except that deductions, from premium taxes or other taxes otherwise payable, allowed on account of real estate or personal property taxes paid shall be taken into consideration by the Commissioner in determining the property and extent of retaliatory action under this section. (3) For the purposes of this section the domicile of an alien insurer, other than insurers formed under the laws of Canada, shall be that state designated by the insurer in writing filed with the Commissioner at the time of admission to this State or within six months after the effective date of this Act, whichever date is the later, and may be any one of the following states: (a) That in which the insurer was first authorized to transact insurance; (b) That in which is located the insurer's principal place of business in the United States; or, (c) That in which is held the larger deposit of trusteed assets of the insurer for the protection of its policy-holders and creditors in the United States. If the insurer makes no such designation its domicile

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shall be deemed to be that state in which is located its principal place of business in the United States. In the case of an insurer formed under the laws of Canada or a province thereof, its domicile shall be deemed to be that province in which its head office is situated. CHAPTER 56-4 KINDS OF INSURANCE; REINSURANCE; LIMITS OF RISKS 56-401. Definitions not mutually exclusive. 56-402. Life insurance defined. 56-403. Persons subject to regulations. 56-404. Accident and sickness insurance defined. 56-405. Property insurance defined. 56-406. Marine and transportation insurance defined. 56-407. Vehicle insurance defined. 56-408. Casualty insurance defined. 56-409. Surety insurance defined. 56-410. Title insurance defined. 56-411. [Reserved.] 56-412. Limit of risk. 56-413. Authorized reinsurance. 56-401. Definitions not mutually exclusive. It is intended that certain coverages may come within the definitions of two or more kinds of insurance as set forth in this Chapter, and the fact that such a coverage is included within one definition shall not exclude such coverage as to any other kind of insurance within the definition of which such coverage likewise reasonably is includable. 56-402. Life insurance defined. Life insurance is insurance on human lives and insurance appertaining thereto or connected therewith. The transacting of life insurance includes the granting of endowment benefits, additional benefits in the event of death or dismemberment by accident or accidental means, additional benefits

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in the event of the disability of the insured, and optional modes of settlement of proceeds of life insurance. An insurer authorized to transact life insurance may also grant annuities. 56-403. Persons subject to regulations. Every person writing or issuing contracts of life insurance as described in section 56-402 or as defined in section 56-2501, shall be deemed to be engaged in the business of life insurance and shall be subject to all of the provisions of the laws of Georgia regulating life insurance companies. 56-404. Accident and sickness insurance defined. Accident and sickness insurance is insurance against bodily injury, disablement, or death by accident or accidental means, or the expense thereof, or against disablement or expense resulting from sickness, and every insurance appertaining thereto. 56-405. Property insurance defined. Property insurance is insurance on real or personal property of every kind and interest therein, against loss or damage from any or all hazard or cause, and against loss consequential upon such loss or damage, other than noncontractual legal liability for any such loss or damage. Property insurance shall also include miscellaneous insurance as defined in subsection (11) of section 56-408 except as to any noncontractual liability coverage includable therein. 56-406. Marine and transportation insurance defined. Marine and transportation insurance includes: (1) Insurance against any and all kinds of loss or damage to vessels, craft, aircraft, cars, automobiles and vehicles of every kind, as well as all goods, freight, cargoes, merchandise, effects, disbursements, profits, monies, bullion, precious stones, securities, choses in action, evidence of debt, valuable papers, bottomry and respondentia interests and all other kinds of property and interests therein, in respect to, appertaining to or in connection with any and all risks or perils of navigation, transit, or transportation, including war risks, on or under any

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seas or other waters, on land or in the air, or while being assembled, packed, crated, baled, compressed or similarly prepared for shipment or while awaiting the same or during any delays, storage, transshipment, or reshipment incident thereto, including marine builders' risks and all personal property floater risks; (2) Insurance against any and all kinds of loss or damage to person or to property in connection with or appertaining to a marine, inland marine, transit or transportation insurance, including liability for loss of or damage to either, arising out of or in connection with the construction, repair, operation, maintenance or use of the subject matter of such insurance (but not including life insurance or surety bonds nor insurance against loss by reason of bodily injury to the person arising out of the ownership, maintenance or use of automobiles); (3) Insurance against any and all kinds of loss or damage to precious stones, jewels, jewelry, gold, silver and other precious metals, whether used in business or trade or otherwise and whether the same be in course of transportation or otherwise; (4) Insurance against any and all kinds of loss or damage to bridges, tunnels and other instrumentalities of transportation and communication (excluding buildings, their furniture and furnishings, fixed contents and supplies held in storage) unless fire, tornado, sprinkler leakage, hail, explosion, earthquake, riot or civil commotion or any or all of them are the only hazards to be covered; (5) Insurance against any and all kinds of loss or damage to piers, wharves, docks and slips, excluding the risks of fire, tornado, sprinkler leakage, hail, explosion, earthquake, riot and civil commotion and each of them; (6) Insurance against any and all kinds of loss or damage to other aids to navigation and transportation, including dry docks and marine railways, dams and appurtenant facilities for the control of waterways; and

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(7) Marine protection and indemnity insurance, which is insurance against, or against legal liability of the insured for, loss, damage or expense arising out of, or incident to, the ownership, operation, chartering, maintenance, use, repair or construction of any vessel, craft or instrumentality in use in ocean or inland waterways, including liability of the insured for personal injury, illness or death or for loss of or damage to the property of another person. 56-407. Vehicle insurance defined. Vehicle insurance is insurance against loss of or damage to any land vehicle or aircraft or any draft or riding animal or to property while contained therein or thereon or being loaded or unloaded therein or therefrom, from any hazard or cause, and against any loss, liability or expense resulting from or incident to ownership, maintenance or use of any such vehicle, aircraft or animal; together with insurance against accidental death or accidental injury to individuals, including the named insured, while in, entering, alighting from, adjusting, repairing, cranking, or caused by being struck by a vehicle, aircraft or draft or riding animal, if such insurance is issued as a part of insurance on the vehicle, aircraft or draft or riding animal; and provisions of medical, hospital, surgical, disability benefits to injured persons, funeral and death benefits to dependents, beneficiaries or personal representatives of persons killed, irrespective of legal liability of the insured, when issued as an incidental coverage with or supplemental to liability insurance. 56-408. Casualty insurance defined. Casualty insurance includes vehicle insurance as defined in section 56-407 and accident and sickness insurance as defined in section 56-404, and in addition includes: (1) Liability insurance, which is insurance against legal liability for the death, injury, or disability of any human being, or for damage to property; and provision of medical, hospital, surgical, disability benefits to injured persons and funeral and death benefits to dependents, beneficiaries or personal representatives of

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persons killed irrespective of legal liability of the insured, when issued as an incidental coverage with or supplemental to liability insurance; (2) Workmen's compensation and employers' liability insurance, which is insurance of the obligations accepted by, imposed upon, or assumed by employers for death, disablement, or injury of employees; (3) Burglary and theft insurance, which is insurance against loss or damage by burglary, theft, larceny, robbery, forgery, fraud, vandalism, malicious mischief, confiscation, wrongful conversion, disposal, concealment, mysterious disappearance, destruction of money or securities or from any attempt at any of the foregoing, including supplemental coverages for medical, hospital, surgical, and funeral expenses incurred by the named insured or other person as a result of bodily injury during the commission of a burglary, robbery or theft by another; also insurance against loss of or damage to monies, coins, bullion, securities, notes, drafts, acceptances or any other valuable papers and documents, resulting from any cause; (4) Personal property floater insurance, which is insurance upon personal effects against loss or damage from any cause; (5) Glass insurance, which is insurance against loss or damage to glass, including its lettering, ornamentation and fittings; (6) Boiler and machinery insurance, which is insurance against any liability and loss or damage to property or interest resulting from accidents to or explosion of boilers, pipes, pressure containers, machinery or apparatus, and to make inspection of and issue certificates of inspection upon boilers, machinery and apparatus of any kind, whether or not insured; (7) Leakage and fire extinguishing equipment insurance, which is insurance against loss or damage to any

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property or interest caused by the breakage or leakage of sprinklers, hoses, pumps and other fire extinguishing equipment or apparatus, water pipes and containers, or by water entering through leaks or openings in buildings, and insurance against loss or damage to such sprinklers, hoses, pumps and other fire extinguishing equipment or apparatus. (8) Credit insurance, which is insurance against loss or damage resulting from failure of debtors to pay their obligations to the insured; (9) Malpractice insurance, which is insurance against legal liability of the insured, and against loss, damage or expense incidental to a claim of such liability, and including medical, hospital, surgical, and funeral benefits to injured persons, irrespective of legal liability of the insured, arising out of the death, injury or disablement of any person, or arising out of damage to the economic interest of any person, as the result of negligence in rendering expert, fiduciary, or professional services; (10) Entertainments insurance, which is insurance indemnifying the producer of any motion picture, television, radio, theatrical, sport, spectacle, entertainment or similar production, event or exhibition against loss from interruption, postponement or cancellation thereof due to death, accidental injury or sickness of performers, participants, directors or other principals; and (11) Miscellaneous insurance, which is insurance against any other kind of loss, damage or liability properly a subject of insurance and not within any other kind of insurance as defined in this Title, if such insurance is not disapproved by the Commissioner as being contrary to law or public policy. 56-409. Surety insurance defined. Surety insurance includes: (1) Fidelity insurance, which is insurance guaranteeing the fidelity of persons holding positions of public or private trust;

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(2) Insurance guaranteeing the performance of contracts, other than insurance policies, and guaranteeing and executing bonds, undertakings and contracts of suretyship; and (3) Insurance indemnifying banks, bankers, brokers, financial or moneyed corporations or associations against loss, resulting from any cause, of bills of exchange, notes, bonds, securities, evidences of debt, deeds, mortgages, warehouse receipts or other valuable papers, documents, money, precious metals and articles made therefrom, jewelry, watches, necklaces, bracelets, gems, precious and semi-precous stones, including any loss while the same are being transported in armored motor vehicles, or by messenger, but not including any other risks of transportation or navigation; also insurance against loss or damage to such an insured's premises or to his furnishings, fixtures, equipment, safes and vaults therein, caused by burglary, robbery, theft, vandalism or malicious mischief, or any attempt thereat. 56-410. Title insurance defined. Title insurance is insurance of owners of real property or others having an interest therein, or liens or encumbrances thereon, against loss by encumbrance, or defective titles, or invalidity, or adverse claim to title, or unmarketability of title by reason of encumbrance or defects not excepted in the insurance contract, which contract shall be written only upon evidence or opinion of title obtained and preserved by the insurer. 56-411. [Reserved]. 56-412. Limit of risk. (1) No insurer shall retain any risk on any one subject of insurance, whether located or to be performed in Georgia or elsewhere, in an amount exceeding ten (10%) percent of its surplus to policyholders. (2) A subject of insurance for the purposes of this section, as to insurance against fire and hazards other than catastrophic hazards, includes all properties insured

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by the same insurer which are customarily considered by underwriters to be subject to loss or damage from the same fire or other such hazard insured against. (3) Reinsurance authorized by section 56-413 shall be deducted in determining risk retained. As to surety risks, deduction shall also be made of the amount assumed by any established incorporated cosurety and the value of any security deposited, pledged, or held subject to the surety's consent and for the surety's protection. (4) Surplus to policyholders for the purpose of this section shall be deemed to include any voluntary reserves which are not required pursuant to law, and shall be determined from the last sworn statement of the insurer on file with the Commissioner or by the last report of examination by the Commissioner, whichever is the more recent at the time of assumption of such risk. (5) As to alien insurers, this section shall relate only to risks and surplus to policyholders of the insurer's United States branch. (6) This section shall not apply to life insurance, accident and sickness insurance, annuities, title insurance, insurance of ocean marine risks or marine protection and indemnity risks, workmen's compensation insurance, employers' liability coverages, nor to any policy or type of coverage as to which the maximum possible loss to the insurer is not readily ascertainable on issuance of the policy. 56-413. Authorized reinsurance. (1) An insurer shall reinsure its risks, or any part thereof, only in solvent insurers having surplus to policyholders or trusteed funds on deposit in the United States for the benefit of their policyholders not less in amount than the paid-in capital required under this Title of a domestic stock insurer authorized to transact like kinds of insurance. (2) An insurer shall so reinsure in such alien insurers only as either (a) are authorized to transact insurance

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in at least one state of the United States, or (b) have in the United States a duly authorized attorney-in-fact to accept service of legal process against the insurer as to any liability which might arise on account of such reinsurance, or (c) may be approved by the Commissioner. In the event reinsurance is placed which is not in compliance with the foregoing provisions, the ceding insurer shall not be allowed credit for such reinsurance either as an asset or deduction from liability, nor may it increase any amounts it is authorized to have at risk because of such reinsurance. (3) No credit shall be allowed, as an asset or as a deduction from liability, to any ceding insurer for reinsurance nor increase the amount it is authorized to have at risk unless the reinsurance is in insurers either authorized to do business in this State, or which have been approved by written order of the Department filed in its office and which order has not been subsequently disapproved; Provided, however, that such credit shall be allowed for reinsurance ceded to unauthorized alien assuming insurers, if such insurers have maintained in the United States for not less than ten (10) years immediately preceding such reinsurance a trust fund of not less than fifty million ($50,000,000) dollars available for the purpose of protecting policyholders in the United States. Nor shall such credit be allowed unless the reinsurance is payable by the assuming insurer on the basis of the liability of the ceding insurer under the contracts reinsured without diminution because of the insolvency of the ceding insurer. (4) This section shall not apply to insurance of ocean marine risks or marine protection and indemnity risks. (5) Notwithstanding the provisions of this Code, full credit shall be allowed a ceding insurer, as an asset or as a deduction from liability, for all reinsurance which may be in effect or which may be hereafter effected under any contract of reinsurance in effect on the 31st day of December 1959, and any continuations or renewals of such contract of reinsurance. Provided, however, that

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no new insurance risk shall be ceded after two years from the effective date of this Title unless such reinsurance contract meets all the standards set forth in this Title. CHAPTER 56-5A RATESCASUALTY, SURETY AND VEHICLE INSURANCE 56-501a. Purpose of Chapter; liberal interpretation. 56-502a. Limitation of applicability to casualty, surety, and vehicle insurance; exceptions. 56-503a. Making of rates. 56-504a. Rate filings. 56-505a. Hearings as to filings; effective date of filings. 56-506a. Rating organizations: licensing; regulation. 56-507a. Deviations from filings; procedure for obtaining. 56-508a. Deviations from filings; appeal to Commissioner by member or subscriber; procedure on appeal. 56-509a. Right of insured to information and to hearing and appeal. 56-510a. Advisory organization; definition; duties; procedure against. 56-511a. Joint underwriting or joint reinsurance; regulation; requiring discontinuance of unfair or unreasonable practices. 56-512a. Examinations by Commissioner; costs, how paid; exhibition of books, documents, etc.; acceptance of report from another state. 56-513a. Rate administration. 56-514a. Withholding information or giving false or misleading information; penalties. 56-515a. Rate modifications; when and how allowed. 56-516a. Rebates prohibited; exclusion of commissions, dividends, etc. 56-517a. Penalties; pecuniary and suspension of license; necessity of written order by Commissioner. 56-518a. Hearings. 56-519a. Appeals from the Commissioner.

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56-501a. Purpose of Chapter; liberal interpretation. The purpose of this Chapter is to promote the public welfare by regulating insurance rates to the end that they shall not be excessive, inadequate or unfairly discriminatory, and to authorize and regulate cooperative action among insurers in rate making and in other matters within the scope of the Chapter. Nothing in this Chapter is intended (1) to prohibit or discourage reasonable competition, or (2) to prohibit, or encourage except to the extent necessary to accomplish the aforementioned purpose, uniformity in insurance rates, rating systems, rating plans or practices. This Chapter shall be liberally interpreted to carry into effect the provisions of this section. 56-502a. Limitation of applicability to casualty, surety, and vehicle insurance; exceptions. This Chapter applies to casualty insurance, including fidelity, surety and guaranty bonds, and to all other forms of vehicle insurance, on risks or operations in this State, except: (1) Reinsurance, other than joint reinsurance to the extent stated in section 56-511a; (2) Accident and sickness insurance; (3) Insurance against loss of or damage to aircraft or against liability, arising out of the ownership, maintenance or use of aircraft; (4) Workmen's compensation insurance: Provided, however, that the filings required by section 114-609, may be made in behalf of any carrier of workmen's compensation insurance by a rating organization licensed in accordance with the provisions of section 56-506a. This Chapter shall apply to all insurers, including stock and mutual companies, Lloyds associations and reciprocal and inter-insurance exchanges which, under any provisions of the laws of this State, write any of the kinds of insurance to which this Chapter applies.

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If any kind of insurance, subdivision or combination thereof, or type of coverage, subject to this Chapter, is also subject to regulation by another rate regulatory law of this State, an insurer to which both laws are otherwise applicable shall file with the Commissioner a designation as to which rate regulatory law shall be applicable to it with respect to such kind of insurance, subdivision or combination thereof, or type of coverage. 56-503a. Making of rates. (1) All rates shall be made in accordance with the following provisions: (a) Due consideration shall be given to past and prospective loss experience within and outside this State, to catastrophe hazards, if any, to a reasonable margin for underwriting profit and contingencies, to dividends, savings or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members or subscribers, to past and prospective expenses both countrywide and those specially applicable to this State, and to all other relevant factors within and outside this State; (b) The systems of expense provisions included in the rates for use by any insurer or group of insurers may differ from those of other insurers or groups of insurers to reflect the requirements of the operating methods of any such insurer or group with respect to any kind of insurance, or with respect to any subdivision or combination thereof for which subdivision or combination separate expense provisions are applicable; (c) Risks may be grouped by classifications for the establishment of rates and minimum premiums. Classification rates may be modified to produce rates for individual risks in accordance with rating plans which establish standards for measuring variations in hazards or expense provisions, or both. Such standards may measure any differences among risks that can be demonstrated to have a probable effect upon losses or expenses; (d) Rates shall not be excessive, inadequate or unfairly discriminatory.

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(2) Except to the extent necessary to meet the provisions of subsection (1) (d) of this section, uniformity among insurers in any matters within the scope of this section is neither required nor prohibited. 56-504a. Rate filings. (1) Every insurer shall file with the Commissioner every manual of classifications, rules and rates, every rating plan and every modification of any of the foregoing which it proposes to use. Every such filing shall state the proposed effective date thereof, and shall indicate the character and extent of the coverage contemplated. When a filing is not accompanied by the information upon which the insurer supports such filing, and the Commissioner does not have sufficient information to determine whether such filing meets the requirements of this Chapter, he shall, within fifteen (15) days after the date of filing, require such insurer to furnish the information upon which it supports such filing and in such event the waiting period shall commence as of the date such information is furnished. The information furnished in support of a filing may include: (a) The experience or judgment of the insurer or rating organization making the filing; (b) Its interpretation of any statistical data it relies upon; (c) The experience of other insurers or rating organizations; or (d) Any other relevant factors. Except as hereinafter provided, a filing and any supporting information shall be open to public inspection after the filing becomes effective. (2) An insurer may satisfy its obligation to make such filings by becoming a member of, or a subscriber to, a licensed rating organization which makes such filings, and by authorizing the Commissioner to accept such filings on its behalf: Provided, that nothing contained in

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this Chapter shall be construed as requiring any insurer to become a member of or a subscriber to any rating organization. (3) The Commissioner shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this Chapter. (4) Within fifteen (15) days after the date the filing, and the additional information, if any, requested by the Commissioner under subsection (1) of this section, has been received by the Commissioner, the Commissioner shall either: (a) Disapprove the filing and give notice of such disapproval to the insurer or rating organization that made the filing stating the respects in which he finds the filing does not meet the requirements of this Chapter; and in which case the filing and its supporting information shall not be open to public inspection while such disapproval is in effect; or (b) Place the filing and its supporting information on file in his office for public inspection. (5) A filing which the Commissioner has placed on file for public inspection as provided in subsection (4) (b), above, shall become effective at 12:01 A.M. on the sixteenth day after the filing was so placed on file for public inspection (counting such filing date as the first day of such public inspection period) unless within such fifteen (15) day period the Commissioner has either: (a) Affirmatively approved the filing and given notice thereof to the insurer or rating organization that made the filing, and in which case the filing shall become effective upon such approval, or upon such subsequent date as may be satisfactory to the Commissioner and the insurer or rating organization that made the filing; or (b) Concluded it to be in the public interest to hold a

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public hearing to determine whether the filing meets the requirements of this Chapter, and given notice of such hearing to the insurer or rating organization that made the filing, and in which case the effectiveness of the filing shall be subject to the further order of the Commissioner made as provided in section 56-505a; Except that any special filing with respect to a surety or guaranty bond required by law or by court or executive order or by order, rule or regulation of a public body and not covered by a previous filing, shall become effective when filed and shall be deemed to meet the requirements of this Chapter until such time as the Commissioner reviews the filing and so long thereafter as the filing remains in effect. (6) Under such rules and regulations as he shall adopt the Commissioner may, be written order, suspend or modify the requirement of filing as to any kind of insurance, subdivision or combination thereof, or as to classes of risks, the rates for which cannot practicably be filed before they are used. Such orders, rules and regulations shall be made known to insurers and rating organizations affected thereby. The Commissioner may make such examination as he may deem advisable to ascertain whether any rates affected by such order meet the standards set forth in subsection (1) (d) of section 56-503a. (7) Upon the written application of the insured, stating his reasons therefor, filed with and approved by the Commissioner, a rate in excess of that provided by a filing otherwise applicable may be used on any specific risk. (8) Beginning ninety (90) days after the effective date of this Chapter no insurer shall make or issue a contract or policy except in accordance with filings which are in effect for said insurer as provided in this Chapter or in accordance with subsections (6) or (7) of this section. (9) After the Commissioner places a filing on file in his office for public inspection as provided in subsection

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(4) (b) above, and pending the taking effect of the filing, whether or not a public hearing is held with respect to the filing, as to coverages proposed to be affected by such filing the following provisions shall apply, if a filing would result in increase of premium or premium rate, or restriction of forms or conditions of coverage: (a) No insurance policy or contract or item of insurance of any insurer by or on whose behalf the filing was made shall be cancelled or reduced in amount on a prorata basis, except at the request of the insurer in accordance with the provisions contained in the policy contract. (b) A policy or contract whose expiration date occurs during the pendency of the filing may be renewed for not exceeding the same amount and term as that of the expiring policy or contract, using the then current applicable premium rate and form of policy or contract. (c) Except as provided in subsection (9) (b), above, no policy or contract shall be written for a period in excess of one year while any such filing is pending and the periods of existing policies shall not be extended; nor shall amounts of insurance be increased under existing policies if the unexpired period thereof is in excess of one year; Provided, however, that policies whose usual standard terms are in excess of one year may be written for a period not exceeding such usual standard terms as filed with and approved by the Commissioner. (d) Upon the Commissioner's approval of the filing, policies written in accordance with subsection (9) (c), above, may be extended as to term, with pro rata adjustment of the premium at the increased rate, if any, for that portion of the term extending beyond the effective date of the filing, if the policy is rewritten (or an endorsement for the purpose is attached thereto) within thirty (30) days after such effective date. If, however, the filing involves restrictions in form or coverage, no such extensions of term shall be made unless new forms consistent with such filing are substituted for such coverages.

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56-505a. Hearings as to filings; effective date of filings. (1) If, pursuant to section 56-504a (5) (b) the Commissioner determines to hold a public hearing as to a filing, he shall give immediate written notice thereof to the rating organization or insurer that made the filing, shall hold such hearing within thirty (30) days after commencement of the public inspection period provided for in section 56-504a, and not less than ten (10) days prior to the date of the hearings he shall give written notice of the hearing to the insurer or rating organization that made the filing. The Commissioner shall give advance public notice of such hearing by publication of notice in one or more daily newspapers of general circulation in this State. (2) The hearing shall be held and be conducted as is provided in section 56-518a. The burden of proof at a hearing held under this subsection shall be on the insurer or rating organization which made the filing. (3) Within twenty (20) days after termination of the hearing the Commissioner shall issue his order either approving or disapproving the filing; and if such order is not so issued the filing shall become effective on expiration of such twenty (20) day period. (4) If the Commissioner's order disapproves the filing, the filing shall not become effective during the effectiveness of such order. If the Commissioner's order approves the filing, the filing shall become effective upon the date of the order, or upon a subsequent date satisfactory to the insurer or rating organization which made the filing. (5) If at any time after a filing has been approved by him or has otherwise become effective the Commissioner finds, after a hearing held on not less than twenty (20) days' written notice specifying the matters to be considered at the hearing and given to every insurer and rating organization which made the filing, that the filing no longer meets the requirements of this Chapter, he shall issue an order specifying in what respects he finds that such filing fails to meet such requirements and stating

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when, within a reasonable period thereafter, such filing shall be deemed no longer effective. The Commissioner shall send a copy of the order to every such insurer and rating organization. The order shall not affect any insurance contract or policy made or issued prior to the expiration of the period set forth in the order. (6) Any person or organization aggrieved with respect to any filing which has been approved or has otherwise become effective may make written application to the Commissioner for a hearing thereon: Provided, however, that the insurer or rating organization that made the filing shall not be authorized to proceed under this subsection. Such application shall specify the grounds to be relied upon by the applicant. If the Commissioner shall find that the application is made in good faith, that the applicant would be so aggrieved if his grounds are established, and that such grounds otherwise justify holding such a hearing, he shall, within thirty (30) days after receipt of such application, hold a hearing upon not less than ten (10) days' written notice to the applicant and to every insurer and rating organization which made such filing. If, after such hearing, the Commissioner finds that the filing does not meet the requirements of this Chapter, he shall issue an order specifying in what respects he finds that such filing fails to meet said requirements, and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. Copies of said order shall be sent to the applicant and to every such insurer and rating organization. Said order shall not affect any contract or policy made or issued prior to the expiration of the period set forth in said order. (7) If within thirty (30) days after a special surety or guaranty bond filing referred to in section 56-504a (5) has become effective, the Commissioner finds that the filing does not meet the requirements of this Chapter, he shall disapprove the filing and shall give notice to the insurer or rating organization which made the filing, specifying in what respects he finds that the filing fails

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to meet such requirements and stating when, within a reasonable period thereafter, the filing shall be deemed no longer effective. Such disapproval shall not affect any contract made or issued prior to the expiration of the period set forth in the notice of disapproval. (8) No manual of classifications, rules, rating plan, or any modification of any of the foregoing which establishes standards for measuring variations in hazards or expense provisions, or both, and which has been filed pursuant to the requirements of section 56-504a shall be disapproved if the rates thereby produced meet the requirements of this Chapter. 56-506a. Rating organization: licensing; regulation. (1) A corporation, an unincorporated association, a partnership or an individual, whether located within or outside this State, may make application to the Commissioner for license as a rating organization for such kinds of insurance or subdivisions thereof as are specified in its application and shall file therewith: (a) copy of its constitution, its articles of agreement or association or its certificate of incorporation, and of its bylaws, rules and regulations governing the conduct of its business; (b) a list of its members and subscribers; (c) the name and address of a resident of this State upon whom notices or orders of the Commissioner or process affecting such rating organization may be served; and (d) a statement of its qualifications as a rating organization. If the Commissioner finds that the applicant is competent, trustworthy and otherwise qualified to act as a rating organization and that its constitution, articles of agreement or association or certificate of incorporation, and its bylaws, rules and regulations governing the conduct of its business conform to the requirements of law, he shall issue a license specifying the kinds of insurance or subdivisions thereof for which the applicant is authorized to act as a rating organization. Every such application shall be granted or denied in whole or in part by the Commissioner within sixty (60) days of the date of its filing with him. Licenses issued pursuant to this section shall remain in effect for three years unless sooner suspended or revoked by the

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Commissioner. The fee for said license shall be one hundred twenty-five ($125.00) dollars and said fee shall be in lieu of all other fees, licenses or taxes to which a rating organization might otherwise be subject. Licenses issued pursuant to this section may be suspended or revoked by the Commissioner, after hearing upon notice, in the event the rating organization ceases to meet the requirements of this subsection. Every rating organization shall notify the Commissioner promptly of every change in: (i) its constitution, its articles of agreement or association or its certificate of incorporation and its bylaws, rules and regulations governing the conduct of its business; (ii) its list of members and subscribers; and (iii) the name and address of the resident of this State designated by it upon whom notices or orders of the Commissioner or process affecting such rating organization may be served. (2) Subject to rules and regulations which have been approved by the Commissioner as reasonable, each rating organization shall permit any insurer, not a member, to be a subscriber to its rating services for any kind of insurance or subdivision thereof for which it is authorized to act as a rating organization. Notice of proposed changes in such rules and regulations shall be given to subscribers. Each rating organization shall furnish its rating services without discrimination to its members and subscribers. The reasonableness of any rule or regulation in its application to subscribers, or the refusal of any rating organization to admit an insurer as a subscriber, shall, at the request of any subscriber or any such insurer, be reviewed by the Commissioner at a hearing held upon at least ten (10) days' written notice to such rating organization and to such subscriber or insurer. If the Commissioner finds that such rule or regulation is unreasonable in its application to subscribers, he shall order that such rule or regulation shall not be applicable to subscribers. If the rating organization fails to grant or reject an insurer's application for subscribership within thirty (30) days after it was made, the insurer may request a review by the Commissioner as if the application had been rejected. If the Commissioner finds that the insurer has been refused admittance to the rating organization as a subscriber without justification,

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he shall order the rating organization to admit the insurer as a subscriber. If he finds that the action of the rating organization was justified, he shall make an order affirming its action. (3) No rating organization shall adopt any rule the effect of which would be to prohibit or regulate the payment of dividends, savings or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members or subscribers. (4) Cooperation among rating organizations or among rating organizations and insurers in rate making or in other matters within the scope of this Chapter is hereby authorized, providing the filings resulting from such cooperation are subjected to all the provisions of this Chapter which are applicable to filings generally. The Commissioner may review such cooperative activities and practices and if, after a hearing, he finds that any such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with such provisions, and requiring the discontinuance of such activity or practice. 56-507a. Deviations from filings; procedure for obtaining. Every member of or subscriber to a rating organization shall adhere to the filings made on its behalf by such organization except that any such insurer may make written application to the Commissioner for permission to file a uniform percentage decrease or increase to be applied to the premiums produced by the rating system so filed for a kind of insurance, or for a class of insurance which is found by the Commissioner to be a proper rating unit for the application of such uniform percentage decrease or increase, or for a subdivision of a kind of insurance (i) comprised of a group of manual classifications which is treated as a separate unit for rate making purposes, or (ii) for which separate expense provisions are included in the filings of the rating organization. Such application shall specify the basis for the modification and shall be

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accompanied by the data upon which the applicant relies. A copy of the application and data shall be sent simultaneously to such rating organization. The Commissioner shall set a time and place for a hearing at which the insurer and such rating organization may be heard and shall give them not less than ten (10) days' written notice thereof. In the event the Commissioner is advised by the rating organization that it does not desire a hearing he may, upon the consent of the applicant, waive such hearing. The Commissioner shall issue an order permitting the modification for such insurer to be filed if he finds it to be justified and it shall thereupon become effective. He shall issue an order denying such application if he finds that the modification is not justified or that the resulting premiums would be excessive, inadequate or unfairly discriminatory. Each deviation permitted to be filed shall be effective for a period of one year from the date of such permission unless terminated sooner with the approval of the Commissioner. 56-508a. Deviations from filings; appeal to Commissioner by member or subscriber; procedure on appeal. Any member of or subscriber to a rating organization may appeal to the Commissioner from the action or decision of such rating organization in approving or rejecting any proposed change in or addition to the filings of such rating organization and the Commissioner shall, after a hearing held upon not less than ten (10) days' written notice to the appellant and to such rating organization, issue an order approving the action or decision of such rating organization or directing it to give further consideration to such proposal, or, if such appeal is from the action or decision of the rating organization in rejecting a proposed addition to its filings, he may, in the event he finds that such action or decision was unreasonable, issue and order directing the rating organization to make an addition to its filings, on behalf of its members and subscribers, in a manner consistent with his findings, within a reasonable time after the issuance of such order. If such appeal is based upon the failure of the rating organization to make a filing on behalf of such member

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or subscriber which is based on a system of expense provisions which differs, in accordance with the right granted in subsection 56-503a (1) (b), from the system of expense provisions included in a filing made by the rating organization, the Commissioner shall, if he grants the appeal, order the rating organization to make the requested filing for use by the appellant. In deciding such appeal the Commissioner shall apply the standards set forth in section 56-503a. 56-509a. Rights of insured to information and to hearing and appeal. Every rating organization and every insurer which makes its own rates shall, within a reasonable time after receiving written request therefor and upon payment of such reasonable charges as it may make, furnish to any insured affected by a rate made by it, or to the authorized representative of such insured, all pertinent information as to such rate. Every rating organization and every insurer which makes its own rates shall provide within this State reasonable means whereby any person aggrieved by the application of its rating system may be heard, in person or by his authorized representative, on his written request to review the manner in which such rating system has been applied in connection with the insurance afforded him. If the rating organization or insurer fails to grant or reject such request within thirty (30) days after it is made, the applicant may proceed in the same manner as if his application had been rejected. Any party affected by the action of such rating organization or such insurer on such request may, within (30) days after written notice of such action, appeal to the Commissioner, who, after a hearing held upon not less than ten (10) days' written notice to the appellant and to such rating organization or insurer, may affirm or reverse such action. 56-510a. Advisory organization; definition; duties, procedure against. (1) Every group, association or other organization of insurers, whether located within or outside this State, which assists insurers which make their own filings or rating organizations in rate making,

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by the collection and furnishing of loss or expense statistics, or by the submission of recommendations, but which does not make filings under this Chapter, shall be known as an advisory organization. (2) Every advisory organization shall file with the Commissioner: (a) a copy of its constitution, its articles of agreement or association or its certificate of incorporation and of its bylaws, rules and regulations governing its activities; (b) a list of its members; (c) the name and address of a resident of this State upon whom notices or orders of the Commissioner or process issued at his direction may be served; and (d) an agreement that the Commissioner may examine such advisory organization in accordance with the provisions of section 56-512a. (3) If, after a hearing, the Commissioner finds that the furnishing of such information or assistance involves any act or practice which is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, he may issue a written order specifying in what respects such act or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, and requiring the discontinuance of such act or practice. (4) No insurer which makes its own filings nor any rating organization shall support its filings by statistics or adopt rate making recommendations, furnished to it by an advisory organization which has not complied with this section or with an order of the Commissioner involving such statistics or recommendations issued under subsection (3) of this section. If the Commissioner finds such insurer or rating organization to be in violation of this subsection he may issue an order requiring the discontinuance of such violation. 56-511a. Joint underwriting or joint reinsurance; regulation; requiring discontinuance of unfair or unreasonable practices. (1) Every group, association or other organization of insurers, which engages in joint underwriting or joint reinsurance, shall be subject to regulation with respect thereto as herein provided, subject,

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however, with respect to joint underwriting, to all other provisions of this Chapter and, with respect to joint reinsurance, to sections 56-512a and 56-516a through 56-519a. (2) If, after a hearing, the Commissioner finds that any activity or practice of any such group, association or other organization is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, and requiring the discontinuance of such activity or practice. 56-512a. Examinations by Commissioner; costs, how paid; exhibition of books, documents, etc.; acceptance of report from another state. The Commissioner shall, at least once in five years, make or cause to be made an examination of each rating organization licensed in this State as provided in section 56-506a and he may, as often as he may deem it expedient, make or cause to be made an examination of each advisory organization referred to in section 56-510a and of each group, association or other organization referred to in section 56-511a. The reasonable costs of any such examination shall be paid by the rating organization, advisory organization, or group, association or other organization examined upon presentation to it of a detailed account of such costs as provided in section 56-212. The officers, managers, agents and employees of such rating organization, advisory organization, or group, association or other organization may be examined at any time under oath and shall exhibit all books, records, accounts, documents, or agreements governing its method of operation. Such examination shall be subject to the provisions of Chapter 56-2. In lieu of any examination the Commissioner may accept the report of an examination made by the insurance supervisory official of another state, pursuant to the laws of such state. 56-513a. Rate administration. (1) Recording and reporting of loss and expense experience. The Commissioner shall promulgate reasonable rules and statistical plans, reasonably adapted to each of the rating systems

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on file with him, which may be modified from time to time and which shall be used thereafter by each insurer in the recording and reporting of its loss and countrywide expense experience, in order that the experience of all insurers may be made available at least annually in such forms and detail as may be necessary to aid him in determining whether rating systems comply with the standards set forth in section 56-503a. Such rules and plans may also provide for the recording and reporting of expense experience items which are specially applicable to this State and are not susceptible of determination of a prorating of countrywide expense experience. In promulgating such rules and plans, the Commissioner shall give due consideration to the rating systems on file with him and, in order that such rules and plans may be as uniform as is practicable among the several states, to the rules and to the form of the plans used for such rating systems in other states. No insurer shall be required to record or report its loss experience on a classification basis that is inconsistent with the rating system filed by it. The Commissioner may designate one or more rating organizations or other agencies to assist him in gathering such experience and making compilations thereof, and such compilations shall be made available, subject to reasonable rules promulgated by the Commissioner to insurers and rating organizations. (2) Interchange of rating plan data. Reasonable rules and plans may be promulgated by the Commissioner for the interchange of data necessary for the application of rating plans. (3) Consultation with other states. In order to further uniform administration of rate regulatory laws, the Commissioner and every insurer and rating organization may exchange information and experience data with insurance supervisory officials, insurers and rating organizations in other states and may consult with them with respect to rate making and the application of rating systems. (4) Rules and regulations. The Commissioner may

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make reasonable rules and regulations necessary to effect the purposes of this Chapter. 56-514a. Withholding information or giving false or misleading information; penalties. No person or organization shall wilfully withhold information from, or knowingly give false or misleading information to, the Commissioner, any statistical agency designated by the Commissioner, any rating organization, or any insurer, which will affect the rates or premiums chargeable under this Chapter. A violation of this section shall subject the one guilty of such violation to the penalties provided in section 56-517a. 56-515a. Rate modifications; when and how allowed. Agreements may be made among insurers with respect to the equitable apportionment among them of insurance which may be afforded applicants who are in good faith entitled to but who are unable to procure such insurance through ordinary methods and such insurers may agree among themselves on the use of reasonable rate modifications for such insurance, such agreement and rate modifications to be subject to the approval of the Commissioner. 56-516a. Rebates prohibited; exclusion of commissions, dividends, etc. No broker or agent shall knowingly charge, demand or receive a premium for any policy of insurance except in accordance with the provisions of this Chapter. No insurer or employee thereof, and no broker or agent shall pay, allow, or give, or offer to pay, allow, or give, directly or indirectly, as an inducement to insurance, or after insurance has been effected, any rebate, discount, abatement, credit or reduction of the premium named in a policy of insurance, or any special favor or advantage in the dividends or other benefits to accrue thereon, or any valuable consideration or inducement whatever, not specified in the policy of insurance, except to the extent provided for in an applicable filing. No insured named in a policy of insurance, nor any employee of such insured shall knowingly receive or accept, directly or indirectly, any such rebate, discount, abatement, credit or reduction of premium, or any such special favor or advantage

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or valuable consideration or inducement. Nothing in this section shall be construed as prohibiting the payment of commissions or other compensation to duly licensed agents and brokers, nor as prohibiting any insurer from allowing or returning to its participating policyholders, members or subscribers, dividends, savings or unabsorbed premium deposits. As used in this section the word insurance includes suretyship and the word policy includes bond. 56-517a. Penalties; pecuniary and suspension of license; necessity of written order by Commissioner. The Commissioner may, if he finds that any person or organization has violated any provision of this Chapter, impose a penalty of not more than fifty ($50.00) dollars for each such violation, but if he finds such violation to be wilful he may impose a penalty of not more than five hundred ($500) dollars for each such violation. Such penalties may be in addition to any other penalty provided by law. The Commissioner may suspend the license of any rating organization or insurer which fails to comply with an order of the Commissioner within the time limited by such order, or any extension thereof which the Commissioner may grant. The Commissioner shall not suspend the license of any rating organization or insurer for failure to comply with an order until the time prescribed for an appeal therefrom has expired or if an appeal has been taken, until such order has been affirmed. The Commissioner may determine when a suspension of license shall become effective and it shall remain in effect for the period fixed by him, unless he modifies or rescinds such suspension, or until the order upon which such suspension is based is modified, rescinded or reversed. No penalty shall be imposed and no license shall be suspended or revoked except upon a written order of the Commissioner, stating his findings, made after a hearing held upon not less than ten (10) days' written notice to such person or organization specifying the alleged violation.

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56-518a. Hearings. (1) Any insurer or rating organization aggrieved by any order or decision of the Commissioner under this Chapter made without a hearing, may within thirty (30) days after notice of the order to the insurer or organization, make written request to the Commissioner for a hearing thereon. The Commissioner shall hear such party or parties within twenty (20) days, after receipt of such request and shall give not less than ten (10) days' written notice of the time and place of the hearing. The hearing shall be concluded within fifteen (15) days from the commencement thereof; Provided, however, that the Commissioner upon application with notice to the interested parties and for good cause shown, may grant additional time, not exceeding fifteen (15) days. Within twenty (20) days after the conclusion of such hearing the Commissioner shall affirm, reverse or modify his previous action, specifying his reason therefor, and shall give a copy of such order or decision to all interested parties. In the event of the Commissioner's failure to hold or complete the hearing or to render his order or decision within the periods specified herein, the filing or application in issue shall be deemed to meet the requirements of this Chapter and shall be deemed approved. The order shall contain specific findings of fact by the Commissioner in relation to the matter before him, such findings to be supported by a preponderance of the evidence on consideration of the record as a whole. Any party may file with the Commissioner proposed findings of fact, to be accepted or rejected by the Commissioner. Pending such hearing and decision thereon the Commissioner may suspend or postpone the effective date of his previous action. (2) Nothing contained in this Chapter shall require the observance at any hearing of formal rules of pleading or evidence. 56-519a. Appeals from the Commissioner. (1) All rulings, orders or decisions of the Commissioner relating to rates or rating organizations shall be subject to review by appeal to the Superior Court of Fulton County. Such

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an appeal shall be commenced by filing a notice of appeal within thirty (30) days after the rendition of such ruling, order or decision with such court and a copy of same similarly filed with the Commissioner, and if not so commenced, the right to appeal shall no longer exist. The Commissioner shall be made a party to every such appeal. (2) Upon the filing of a copy of the notice of appeal with the Commissioner he shall prepare or cause to be prepared an official record, which may be in typewritten form, certified by him which shall contain a copy of all proceedings, the findings and order of the Commissioner, and transcript of any testimony and exhibits or records thereof. If no hearing was held by the Commissioner on the matter which is the subject of appeal, the Commissioner shall in like manner prepare and certify a transcript of the files in his office pertaining to such matters. Within thirty (30) days after the copy of notice of appeal was filed with the Commissioner he shall file the official record with the court in which the appeal is pending. (3) When any ruling, order or decision of the Commissioner relates to an increase or decrease of premium or rate or to a change in any rating system, the filing of the notice of appeal shall, pending the final determination of the issue, act as a stay of any such ruling, order or decision, except where such ruling, order or decision approves or permits a filing of an insurer or rating organization, and except as hereinafter provided. On condition that the difference in premium for any policyholder be retained by the insurer until final determination of the issue and then be either retained by the insurer or distributed to such policyholder in accordance with said final determination, any insurer affected by the ruling, order or decision may, pending the decision on appeal, if authorized by the court so to do: (a) Continue to charge the rate which obtained prior to such order, ruling or decision, where a rate decrease is ordered;

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(b) Charge such proposed increased rate, where a filing for rate increase has been rejected. (4) The Superior Court of Fulton County shall hear and decide said appeal within sixty (60) days after the date of the filing of the notice of appeal, and shall affirm, reverse or modify the Commissioner's ruling, order or decision appealed from. (5) If the Superior Court of Fulton County finds that the Commissioner's ruling, order or decision is not supported by the preponderance of the evidence on consideration of the record as a whole or is not in accordance with law, the Court shall reverse or modify the Commissioner's ruling, order or decision in whole or in part. CHAPTER 56-5B RATESPROPERTY, MARINE AND TRANSPORTATION. 56-501b. Purpose of Chapter; liberal interpretation. 56-502b. Limitation of applicability to property, marine and transportation insurance; exceptions. 56-503b. Making of rates. 56-504b. Rate filings. 56-505b. Hearings as to filings; effective date of filings. 56-506b. Rating organizations: licensing; regulation. 56-507b. Deviations from filings; procedure for obtaining. 56-508b. Deviations from filings; appeal to Commissioner by member or subscriber. 56-509b. Right of insured to information and to hearing and appeal. 56-510b. Advisory organization; definition; duties; procedure against. 56-511b. Joint underwriting or joint reinsurance; regulation; requiring discontinuance of unfair or unreasonable practices.

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56-512b. Examinations by Commissioner; costs, how paid; exhibition of books, documents, etc.; acceptance of report from another state; hearing and review on Commissioner's report. 56-513b. Rate administration. 56-514b. Withholding information or giving false or misleading information; penalties. 56-515b. Penalties; pecuniary and suspension of license; necessity of written order by Commissioner. 56-516b. Rebates prohibited; exclusion of commissions, dividends, etc. 56-517b. Hearings. 56-518b. Appeals from the Commissioner. 56-501b. Purpose of Chapter; liberal interpretation. The purpose of this Chapter is to promote the public welfare by regulating insurance rates to the end that they shall not be excessive, inadequate or unfairly discriminatory, and to authorize and regulate cooperative action among insurers in rate making and in other matters within the scope of this Chapter. Nothing in this Chapter is intended: (1) to prohibit or discourage reasonable competition; or (2) to prohibit, or encourage except to the extent necessary to accomplish the aforementioned purpose, uniformity in insurance rates, rating systems, rating plans or practices. This Chapter shall be liberally interpreted to carry into effect the provisions of this section. 56-502b. Limitation of applicability to property, marine and transportation insurance; exceptions. This Chapter applies to property, marine and transportation insurance, on risks located in this State. Inland marine insurance shall be deemed to include insurance now or hereafter defined by statute, or by intepretation thereof, or if not so defined or interpreted, by ruling of Commissioner, or as established by general custom of the business, as transportation insurance. This Chapter shall not apply:

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(1) To reinsurance, other than joint reinsurance to the extent stated in section 56-511b; (2) To insurance of vessels or craft, their cargoes, marine builders' risks, marine protection and indemnity, or other risks commonly insured under marine as distinguished from transportation insurance policies; (3) To insurance of hulls of aircraft, including their accessories and equipment, or against liability arising out of the ownership, maintenance or use of aircraft; (4) To vehicle insurance, nor to insurance against liability arising out of the ownership, maintenance or use of vehicles. If any kind of insurance, subdivision or combination thereof or type of coverage, subject to this Chapter is also subject to regulation by another rate regulatory law of this State, an insurer to which both laws are otherwise applicable shall file with the Commissioner, a designation as to which rate regulatory law shall be applicable to it with respect to such kind of insurance, subdivision or combination thereof, or type of coverage. 56-503b. Making of rates. (1) Rates shall be made in accordance with the following provisions: (a) Manual, minimum, class rates, rating schedules or rating plans, shall be made and adopted, except in the case of specific transportation rates on risks specifically rated; (b) a Rates shall not be excessive, inadequate or unfairly discriminatory; (c) Due consideration shall be given to past and prospective loss experience within and outside this State, to the conflagration and catastrophe hazards, to a reasonable margin for underwriting profit and contingencies, to dividends savings or unabsorbed premium deposits allowed or returned by insurers to their policyholders,

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members or subscribers, to past and prospective expenses both countrywide and those specially applicable to this State, and to all other relevant factors within and outside this State; and in the case of fire insurance rates consideration shall be given to the experience of the fire and/or property insurance business during a period of not less than the most recent five year period for which such experience is available. (2) Except to the extent necessary to meet the provisions of subsection (1) (b) above, uniformity among insurers in any matters within the scope of this section is neither required nor prohibited. (3) Rates made in accordance with this section may be used subject to the provisions of this Chapter. 56-504b. Rate filings. (1) Every insurer shall file with the Commissioner, except as to transportation risks which by general custom of the business are not written according to manual rates or rating plans, every manual, minimum, class rate, rating schedule or rating plan and every other rating rule, and every modification of any of the foregoing which it proposes to use. Every such filing shall state the proposed effective date thereof, and shall indicate the character and extent of the coverage contemplated. When a filing is not accompanied by the information upon which the insurer supports such filing, and the Commissioner does not have sufficient information to determine whether such filing meets the requirements of this Chapter, he shall, within fifteen (15) days after the date of filing, require such insurer to furnish the information upon which it supports such filing, and in such event the waiting period shall commence as of the date such information is furnished. The information furnished in support of a filing may include: (a) The experience or judgment of the insurer or rating organization making the filing; (b) Its interpretation of any statistical data it relies upon;

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(c) The experience of other insurers or rating organizations; or (d) Any other relevant factors. Except as hereinafter provided, a filing and any supporting information shall be open to public inspection after the filing becomes effective. Specific transportation rates on risks specially rated, made by a rating organization, shall be filed with the Commissioner. (2) An insurer may satisfy its obligation to make such filings by becoming a member of, or a subscriber to, a licensed rating organization which makes such filings, and by authorizing the Commissioner to accept such filings on its behalf: Provided, that nothing contained in this Chapter shall be construed as requiring any insurer to become a member of or a subscriber to any rating organization. (3) The Commissioner shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this Chapter. (4) Within fifteen (15) days after the date the filing, and the additional information, if any, requested by the Commissioner under subsection (1) of this section, has been received by the Commissioner, the Commissioner shall either: (a) Disapprove the filing and give notice of such disapproval to the insurer or rating organization that made the filing stating the respects in which he finds the filing does not meet the requirements of this Chapter; and in which case the filing and its supporting information shall not be open to public inspection while such disapproval is in effect; or (b) Place the filing and its supporting information on file in his office for public inspection. (5) A filing which the Commissioner has placed on

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file for public inspection as provided in subsection (4) (b), above, shall become effective at 12:01 A.M. on the sixteenth day after the filing was so placed on file for public inspection (counting such filing date as the first day of such public inspection period) unless within such fifteen (15) day period the Commissioner has either: (a) Affirmatively approved the filing and given notice thereof to the insurer or rating organization that made the filing, and in which case the filing shall become effective upon such approval, or upon such subsequent date as may be satisfactory to the Commissioner and the insurer or rating organization that made the filing; or (b) Concluded it to be in the public interest to hold a public hearing to determine whether the filing meets the requirements of this Chapter, and given notice of such hearing to the insurer or rating organization that made the filing, and in which case the effectiveness of the filing shall be subject to the further order of the Commissioner made as provided in section 56-505b; Except that specific transportation rates on risks specially rated by a rating organization shall become effective when filed and shall be deemed to meet the requirements of this Chapter until such time as the Commissioner reviews the filing and so long thereafter as the filing remains in effect. (6) Under such rules and regulations as he shall adopt the Commissioner may, by written order, suspend or modify the requirement of filing as to any kind of insurance, subdivision or combination thereof, or as to classes of risks, the rates for which cannot practicably be filed before they are used. Such orders, rules and regulations shall be made known to insurers and rating organizations affected thereby. The Commissioner may make such examination as he may deem advisable to ascertain whether any rates affected by such order meet the standards set forth in subsection (1) (b) of section 56-503b. (7) Upon the written application of the insured, statistics

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his reasons therefor filed with and approved by the Commissioner, a rate in excess of that provided by a filing otherwise applicable may be used on any specific risk. (8) Beginning ninety (90) days after the effective date of this Chapter no insurer shall make or issue a contract or policy except in accordance with the filings which are in effect for said insurer as provided in this Chapter or in accordance with subsections (6) and (7) of this section. This subsection shall not apply to contracts or policies for transportation risks as to which filings are not required. (9) After the Commissioner places a filing on file in his office for public inspection as provided in subsection (4) (b) above, and pending the taking effect of the filing, whether or not a public hearing is held with respect to the filing, as to coverages proposed to be affected by such filing the following provisions shall apply, if a filing would result in increase of premiums or premium rate, or restriction of forms or conditions of coverage: (a) No insurance policy or contract or item of insurance of any insurer by or on whose behalf the filing was made shall be cancelled or reduced in amount on a pro rata basis, except at the request of the insurer in accordance with the provisions contained in the policy contract. (b) A policy or contract whose expiration date occurs during the pendency of the filing may be renewed for not exceeding the same amount and term as that of the expiring policy or contract, using the then current applicable premium rate and form of policy or contract. (c) Except as provided in subsection (9) (b) above, no policy or contract shall be written for a period in excess of one year while any such filing is pending and the periods of existing policies shall not be extended; nor shall amounts of insurance be increased under existing policies if the unexpired period thereof is in excess of one year; Provided, however that policies whose usual standard terms are in excess of one year may be written

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for a period not exceeding such usual standard terms as filed with and approved by the Commissioner. (d) Upon the Commissioner's approval of the filing, policies written in accordance with subsection (9) (c) above, may be extended as to term, with pro rata adjustment of the premium at the increased rate, if any, for that portion of the term extending beyond the effective date of the filing, if the policy is rewritten (or an endorsement for the purpose is attached thereto) within thirty (30) days after such effective date. If, however, the filing involves restrictions in form or coverage, no such extensions of term shall be made unless new forms consistent with such filing are substituted for such coverages. 56-505b. Hearings as to filings; effective date of filings. (1) If, pursuant to section 56-504b (5) (b) the Commissioner determines to hold a public hearing as to a filing, he shall give immediate written notice thereof to the rating organization or insurer that made the filing, shall hold such hearing within thirty (30) days after commencement of the public inspection period provided for in section 56-504b and not less than ten (10) days prior to the date of the hearings he shall give written notice of the hearing to the insurer or rating organization that made the filing. The Commissioner shall give advance public notice of such hearing by publication of notice in one or more daily newspapers of general circulation in this State. (2) The hearing shall be held and be conducted as is provided in section 56-517b. The burden of proof at a hearing held under this subsection shall be on the insurer or rating organization which made the filing. (3) Within twenty (20) days after termination of the hearing the Commissioner shall issue his order either approving or disapproving the filing; and if such order is not so issued the filing shall become effective on expiration of such twenty (20) day period. (4) If the Commissioner's order disapproves the filing,

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the filing shall not become effective during the effectiveness of such order. If the Commissioner's order approves the filing, the filing shall become effective upon the date of the order, or upon a subsequent date satisfactory to the insurer or rating organization which made the filing. (5) If at any time after a filing has been approved by him or has otherwise become effective the Commissioner finds, after a hearing held on not less than twenty (20) days' written notice specifying the matters to be considered at the hearing and given to every insurer and rating organization which made the filing, that the filing no longer meets the requirements of this Chapter, he shall issue an order specifying in what respects he finds that such filing fails to meet such requirements and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. The Commissioner shall send a copy of the order to every such insurer and rating organization. The order shall not affect any insurance contract or policy made or issued prior to the expiration of the period set forth in the order. (6) Any person or organization aggrieved with respect to any filing which has been approved or has otherwise become effective may make written application to the Commissioner for a hearing thereon: Provided, however, that the insurer or rating organization that made the filing shall not be authorized to proceed under this subsection. Such application shall specify the grounds to be relied upon by the applicant. If the Commissioner shall find that the application is made in good faith, that the applicant would be so aggrieved if his grounds are established, and that such grounds otherwise justify holding such a hearing, he shall, within thirty (30) days after receipt of such application, hold a hearing upon not less than ten (10) days' written notice to the applicant and to every insurer and rating organization which made such filing. If, after such hearing, the Commissioner finds that the filing does not meet the requirements of this Chapter, he shall issue an order specifying in what respects he finds

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that such filing fails to meet said requirements, and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. Copies of said order shall be sent to the applicant and to every such insurer and rating organization. Said order shall not affect any contract or policy made or issued prior to the expiration of the period set forth in said order. (7) If within thirty (30) days after a specific transportation rate filing referred to in section 56-504b (5) has become effective, the Commissioner finds that the filing does not meet the requirements of this Chapter, he shall disapprove the filing and shall give notice to the insurer or rating organization which made the filing, specifying in what respects he finds that the filing fails to meet such requirements and stating when, within a reasonable period thereafter, the filing shall be deemed no longer effective. Such disapproval shall not affect any contract made or issued prior to the expiration of the period set forth in the notice of disapproval. (8) No manual, minimum, class rate, rating schedule, rating plan, rating rule, or any modification of any of the foregoing which has been filed pursuant to the requirements of section 56-504b shall be disapproved if the rates thereby produced meet the requirements of this Chapter. 56-506b. Rating organizations: licensing; regulation. (1) A corporation, an unincorporated association, a partnership or an individual, whether located within or outside this State, may make application to the Commissioner for license as a rating organization for such kinds of insurance, or subdivision or class of risk or a part or combination thereof as are specified in its application and shall file therewith: (a) a copy of its constitution, its articles of agreement or association or its certificate of incorporation, and of its bylaws, rules and regulations governing the conduct of its business; (b) a list of its members and subscribers; (c) the name and address of a resident of this State upon whom notices or orders of the Commissioner or process affecting such rating organization may be served; and (d) a statement of its qualification

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as a rating organization. If the Commissioner finds that the applicant is competent, trustworthy and otherwise qualified to act as a rating organization and that its constitution, articles of agreement or association or certificate of incorporation, and its bylaws, rules and regulations governing the conduct of its business conform to the requirements of law, he shall issue a license specifying the kinds of insurance, or subdivision or class of risk or part or combination thereof for which the applicant is authorized to act as a rating organization. Every such application shall be granted or denied in whole or in part by the Commissioner within sixty (60) days of the date of its filing with him. Licenses issued pursuant to this section shall remain in effect for three years unless sooner suspended or revoked by the Commissioner. The fee for said license shall be one hundred twenty-five ($125.00) dollars. Licenses issued pursuant to this section may be suspended or revoked by the Commissioner, after hearing upon notice, in the event the rating organization ceases to meet the requirements of this subsection. Every rating organization shall notify the Commissioner promptly of every change in: (i) its constitution, its articles of agreement or association, or its certificate of incorporation, and its bylaws, rules and regulations governing the conduct of its business; (ii) its list of members and subscribers; and (iii) the name and address of the resident of this State designated by it upon whom notices or orders of the Commissioner or process affecting such rating organization may be served. (2) Subject to rules and regulations which have been approved by the Commissioner as reasonable, each rating organization shall permit any insurer, not a member, to be a subscriber to its rating services for any kind of insurance, subdivision, or class of risk or a part or combination thereof for which it is authorized to act as a rating organization. Notice of proposed changes in such rules and regulations shall be given to subscribers. Each rating organization shall furnish its rating services without discrimination to its members and subscribers. The reasonableness of any rule or regulation in its application to subscribers, or the refusal of any rating organization to

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admit an insurer as a subscriber, shall, at the request of any subscriber or any such insurer, be reviewed by the Commissioner at a hearing held upon at least ten (10) days' written notice to such rating organization and to such subscriber or insurer. If the Commissioner finds that such rule or regulation is unreasonable in its application to subscribers, he shall order that such rule or regulation shall not be applicable to subscribers. If the rating organization fails to grant or reject an insurer's application for subscribership within thirty (30) days after it was made, the insurer may request a review by the Commissioner as if the application had been rejected. If the Commissioner finds that the insurer has been refused admittance to the rating organization as a subscriber without justification, he shall order the rating organization to admit the insurer as a subscriber. If he finds that the action of the rating organization was justified, he shall make an order affirming its action. (3) No rating organization shall adopt any rule the effect of which would be to prohibit or regulate the payment of dividends, savings or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members or subscribers. (4) Cooperation among rating organizations or among rating organizations and insurers in rate making or in other matters within the scope of this Chapter is hereby authorized, provided the filings resulting from such cooperation are subject to all the provisions of this Chapter which are applicable to filings generally. The Commissioner may review such cooperative activities and practices and if, after a hearing, he finds that any such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with such provisions, and requiring the discontinuance of such activity or practice. (5) Any rating organization may provide for the examination of policies, daily reports, binders, renewal certificates,

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endorsements or other evidences of insurance, or the cancellation thereof, and may make reasonable rules governing their submission. Such rules shall contain a provision that in the event any insurer does not within sixty (60) days furnish satisfactory evidence to the rating organization of the correction of any error or omission previously called to its attention by the rating organization, it shall be the duty of the rating organization to notify the Commissioner thereof. All information so submitted for examination shall be confidential. (6) Any rating organization may subscribe for or purchase actuarial, technical or other services, and such devices shall be available to all members and subscribers without discrimination. 56-507b. Deviations from filings; procedure for obtaining. Every member of or subscriber to a rating organization shall adhere to the filings made on its behalf by such organization except that any such insurer may make written application to the Commissioner for permission to file a deviation from the class rates, schedules, rating plans or rules repsecting any kind of insurance, or class of risk within a kind of insurance, or combination thereof. Such application shall specify the basis for the modification and a copy thereof shall also be sent simultaneously to such rating organization. The Commissioner shall set a time and place for a hearing at which the insurer and such rating organization may be heard and shall give them not less than ten (10) days' written notice thereof. In the event the Commissioner is advised by the rating organization that it does not desire a hearing he may, upon the consent of the applicant, waive such hearing. In considering the application for permission to file such deviation the Commissioner shall give consideration to the available statistics and the principles for rate making as provided in section 56-503b. The Commissioner shall issue an order permitting the deviation for such insurer to be filed if he finds it to be justified and it shall thereupon become effective. He shall issue an order denying such application if he finds that the resulting premiums would be excessive, inadequate or unfairy discriminatory.

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Each deviation permitted to be filed shall be effective for a period of one year from the date of such permission unless terminated sooner with the approval of the Commissioner. 56-508b. Deviations from filings; appeal to Commissioner by member or subscriber. Any member of or subscriber to a rating organization may appeal to the Commissioner from the action or decision of such rating organization in approving or rejecting any proposed change in or addition to the filings of such rating organization and the Commission shall, after a hearing held upon not less than ten (10) days' written notice to the appellant and to such rating organization, issue an order approving the action or decision of such rating organization or directing it to give further consideration to such proposal, or, if such appeal is from the action or decision of the rating organization in rejecting a proposed addition to its filings, he may, in the event he finds that such action or decision was unreasonable, issue an order directing the rating organization to make an addition to its filings, on behalf of its members and subscribers, in a manner consistent with his findings, within a reasonable time after the issuance of such order. 56-509b. Right of insured to information and to hearing and appeal. Every rating organization and every insurer which makes its own rates shall, within a reasonable time after receiving written request therefor and upon payment of such reasonable charge as it may make, furnish to any insured affected by a rate made by it, or to the authorized representative of such insured, all pertinent information as to such rate. Every rating organization and every insurer which makes its own rates shall provide within this State reasonable means whereby any person aggrieved by the application of its rating system may be heard, in person or by his authorized representative, on his written request to review the manner in which such rating system has been applied in connection with the insurance afforded him. If the rating organization or insurer fails to grant or reject such request within thirty (30) days after it is made, the applicant may proceed in

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the same manner as if his application had been rejected. Any party affected by the action of such rating organization or such insurer on such request may, within thirty (30) days after written notice of such action, appeal to the Commissioner, who, after a hearing held upon not less than ten (10) days' written notice to the appellant and to such rating organization or insurer, may affirm or reverse such action. 56-510b. Advisory organization; definition; duties; procedure against. (1) Every group, association or other organization of insurers, whether located within or outside this State, which assists insurers which make their own filings or rating organizations in rate making, by the collection and furnishing of loss or expense statistics, or by the submission of recommendations, but which does not make filings under this Chapter, shall be known as an advisory organization. (2) Every advisory organization shall file with the Commissioner: (a) a copy of its constitution, its articles of agreement or association or its certificate of incorporation and of its bylaws, rules and regulations governing its activities; (b) a list of its members; (c) the name and address of a resident of this State upon whom notices or orders of the Commissioner or process issued at his direction may be served; and (d) an agreement that the Commissioner may examine such advisory organization in accordance with the provisions of section 56-512b. (3) If, after a hearing, the Commissioner finds that the furnishing of such information or assistance involves any act or practice which is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, he may issue a written order specifying in what respects such act or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, and requiring the discontinuance of such act or practice. (4) No insurer which makes its own filings nor any rating organization shall support its filings by statistics or adopt rate making recommendations, furnished to it

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by an advisory organization which has not complied with this section or with an order of the Commissioner involving such statistics or recommendations issued under subsection (3) of this section. If the Commissioner finds such insurer or rating organization to be in violation of this subsection he may issue an order requiring the discontinuance of such violation. 56-511b. Joint underwriting or joint reinsurance; regulation; requiring discontinuance of unfair or unreasonable practices. (1) Every group, association or other organization of insurers which engages in joint underwriting or joint reinsurance, shall be subject to regulation with respect thereto as herein provided, subject, however, with respect to joint underwriting, to all other provisions of this Chapter and, with respect to joint reinsurance, to sections 56-512b and 56-515b through 56-518b. (2) If, after a hearing, the Commissioner finds that any activity or practice of any such group, association or other organization is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Chapter, and requiring the discontinuance of such activity or practice. 56-512b. Examinations by Commissioner; costs, how paid; exhibition of books, documents, etc.; acceptance of report from another state; hearing and review on Commissioner's report. The Commissioner shall, at least once in five years, make or cause to be made an examination of each rating organization licensed in this State as provided in section 56-506b and he may, as often as he may deem it expedient, make or cause to be made an examination of each advisory organization referred to in section 56-510b and of each group, association or other organization referred to in section 56-511b. The reasonable costs of any such examination shall be paid by the rating organization, advisory organization, or group, association or other organization examined upon presentation to it of a detailed account of such costs. The officers, manager,

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agents and employees of such rating organization, advisory organization, or group, association or other organization may be examined at any time under oath and shall exhibit all books, records, accounts, documents, or agreements governing its method of operation. In lieu of any such examination the Commissioner may accept the report of an examination made by the insurance supervisory official of another state, pursuant to the laws of such state. No report of any examination shall be made public until the organization examined has an opportunity to review the proposed report and to have a hearing with reference thereto, after which hearing the report shall be filed for public inspection and shall become admissible evidence as a public record. 56-513b. Rate administration. (1) Recording and reporting of loss and expense experience. The Commissioner shall promulgate reasonable rules and statistical plans, reasonably adapted to each of the rating systems on file with him, which may be modified from time to time and which shall be used thereafter by each insurer in the recording and reporting of its loss and countrywide expense experience, in order that the experience of all insurers may be made available at least annually in such form and detail as may be necessary to aid him in determining whether rating systems comply with the standards set forth in section 56-503b. Such rules and plans may also provide for the recording and reporting of expense experience items which are specially applicable to this State and are not susceptible of determination by a prorating of countrywide expense experience. In promulgating such rules and plans, the Commissioner shall give due consideration to the rating systems on file with him and, in order that such rules and plans may be as uniform as is practicable among the several states, to the rules and to the form of the plans used for such rating systems in other states. No insurer shall be required to record or report its loss experience on a classification basis that is inconsistent with the rating system filed by it. The Commissioner may designate one or more rating organizations or other agencies to assist him in gathering such experience and making compilations thereof, and such

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compilations shall be made available, subject to reasonable rules promulgated by the Commissioner to insurers and rating organizations. (2) Interchange of rating plan data. Reasonable rules and plans may be promulgated by the Commissioner for the interchange of data necessary for the application of rating plans. (3) Consultation with other states. In order to further uniform administration of rate regulatory laws, the Commissioner and every insurer and rating organization may exchange information and experience data with insurance supervisory officials, insurers and rating organizations in other states and may consult with them with respect to rate making and the application of rating systems. (4) Rules and regulations. The Commissioner may make reasonable rules and regulations necessary to effect the purposes of this Chapter. 56-514b. Withholding information or giving false or misleading information; penalties. No person or organization shall wilfully withhold information from, or knowingly give false or misleading information to, the Commissioner, any statistical agency designated by the Commissioner, any rating organization, or any insurer, which will affect the rates or premiums chargeable under this Chapter. A violation of this section shall subject the one guilty of such violation to the penalties provided in section 56-515b. 56-515b. Penalties; pecuniary and suspension of license; necessity of written order by Commissioner. The Commissioner may, if he finds that any person or organization has violated any provision of this Chapter, impose a penalty of not more than fifty ($50.00) dollars for each such violation, but if he finds such violation to be wilful he may impose a penalty of not more than five hundred ($500) dollars for each violation. Such penalties may be in addition to any other penalty provided by law.

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The Commissioner may suspend the license of any rating organization or insurer which fails to comply with an order of the Commissioner within the time limited by such order, or any extension thereof which the Commissioner may grant. The Commissioner shall not suspend the license of any rating organization or insurer for failure to comply with an order until the time prescribed for an appeal therefrom has expired or if an appeal has been taken, until such order has been affirmed. The Commissioner may determine when a suspension of license shall become effective and it shall remain in effect for the period fixed by him, unless he modifies or rescinds such suspension, or until the order upon which such suspension is based is modified, rescinded or reversed. No penalty shall be imposed and no license shall be suspended or revoked except upon a written order of the Commissioner, stating his findings, made after a hearing held upon not less than ten (10) days' written notice to such person or organization specifying the alleged violation. 56-516b. Rebates prohibited; exclusion of commissions, dividends, etc. No broker or agent shall knowingly charge, demand or receive a premium for any policy of insurance except in accordance with the provisions of this Chapter. No insurer or employee thereof, and no broker or agent shall pay, allow, or give, or offer to pay, allow, or give, directly or indirectly, as an inducement to insurance, or after insurance has been effected, any rebate, discount, abatement, credit or reduction of the premium named in a policy of insurance, or any special favor or advantage in the dividends or other benefits to accrue thereon, or any valuable consideration or inducement whatever, not specified in the policy of insurance, except to the extent provided for in an applicable filing. No insured named in a policy of insurance, nor any employee of such insured shall knowingly receive or accept, directly or indirectly, any such special favor or advantage or valuable consideration or inducement. Nothing in this section shall be construed as prohibiting the payment of commissions or other compensation to duly licensed agents and

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brokers, nor as prohibiting any insurer from allowing or returning to its participating policyholders, members or subscribers, dividends, savings or unabsorbed premium deposits. As used in this section the word insurance includes suretyship and the word policy includes bond. 56-517b. Hearings. (1) Any insurer or rating organization aggrieved by any order or decision of the Commissioner under this Chapter made without a hearing, may within thirty (30) days after notice of the order to the insurer or organization, make written request to the Commissioner for a hearing thereon. The Commission shall hear such party or parties within twenty (20) days, after receipt of such request and shall give not less than ten (10) days' written notice of the time and place of the hearing. The hearing shall be concluded within fifteen (15) days from the commencement thereof; Provided, however, that the Commissioner upon application with notice to the interested parties and for good cause shown, may grant additional time, not exceeding fifteen (15) days. Within twenty (20) days after the conclusion of such hearing the Commissioner shall affirm, reverse or modify his previous action, specifying his reason therefor, and shall give a copy of such order or decision to all interested parties. In the event of the Commissioner's failure to hold or complete the hearing or to render his order or decision within the periods specified herein, the filing or application in issue shall be deemed to meet the requirements of this Chapter and shall be deemed approved. The order shall contain specific findings of fact by the Commissioner in relation to the matter before him, such findings to be supported by a preponderance of the evidence on consideration of the record as a whole. Any party may file with the Commissioner proposed findings of fact, to be accepted or rejected by the Commissioner. Pending such hearing and decision thereon the Commissioner may suspend or postpone the effective date of his previous action. (2) Nothing contained in this Chapter shall require

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the observance at any hearing of formal rules of pleading or evidence. 56-518b. Appeals from the Commissioner. (1) All rulings, orders or decisions of the Commissioner relating to rates or rating organizations shall be subject to review by appeal to the Superior Court of Fulton County. Such an appeal shall be commenced by filing a notice of appeal within thirty (30) days after the rendition of such ruling, order or decision with such court and a copy of same similarly filed with the Commissioner, and if not so commenced, the right to appeal shall no longer exist. The Commissioner shall be made a party to every such appeal. (2) Upon the filing of a copy of the notice of appeal with the Commissioner he shall prepare or cause to be prepared an official record, which may be in typewritten form, certified by him which shall contain a copy of all proceedings, the findings and order of the Commissioner, and transcript of any testimony and exhibits or records thereof. If no hearing was held by the Commissioner on the matter which is the subject of appeal, the Commissioner shall in like manner prepare and certify a transcript of the files in his office pertaining to such matter. Within thirty (30) days after the copy of notice of appeal was filed with the Commissioner he shall file the official record with the court in which the appeal is pending. (3) When any ruling, order or decision of the Commissioner relates to an increase or decrease of premium or rate or to a change in any rating system, the filing of the notice of appeal shall, pending the final determination of the issue, act as a stay of any such ruling, order or decision, except where such ruling, order or decision approves or permits a filing of an insurer or rating organization, and except as hereinafter provided. On condition that the difference in premium for any policyholder be retained by the insurer until final determination of the issue and then be either retained by the insurer or distributed to such policyholder in accordance with said final determination, any insurer affected by the

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ruling, order or decision may, pending the decision on appeal, if authorized by the court so to do: (a) Continue to charge the rate which obtained prior to such order, ruling or decision, where a rate decrease is ordered; (b) Charge such proposed increased rate, where a filing for rate increase has been rejected. (4) The Superior Court of Fulton County shall hear and decide said appeal within sixty (60) days after the date of the filing of the notice of appeal, and shall affirm, reverse or modify the Commissioner's ruling, order or decision appealed from. (5) If the Superior Court of Fulton County finds that the Commissioner's ruling, order or decision is not supported by the preponderance of the evidence on consideration of the record as a whole, or is not in accordance with law, the court shall reverse or modify the Commissioner's ruling, order or decision in whole or in part. CHAPTER 56-6 UNAUTHORIZED INSURERS AND UNAUTHORIZED INSURERS PROCESS ACT. 56-601. Representation of unauthorized insurers prohibited. 56-602. Validity of contracts illegally effectuated; advertising. 56-603. Unauthorized Insurers Process Act; title; interpretation. 56-604. Purpose of Act. 56-605. Acts by insurer which constitute appointment of Commissioner as agent for service. 56-606. Service upon Commissioner; number of copies; duties of Commissioner; affidavit of compliance by plaintiff. 56-607. Service upon solicitor, collector or other agent of insurer; procedure.

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56-608. Default judgment; necessity for affidavit of compliance. 56-609. Mode of service cumulative. 56-610. Conditions precedent to filing of defenses. 56-611. Recovery of attorney's fees by plaintiff; effect of failure to defend. 56-612. Exemptions from service of process provision. 56-613. Surplus Lines Insurance Law. 56-614. Surplus lines; broker. 56-615. Broker's affidavit. 56-616. Endorsement of contract. 56-617. Validity of surplus line insurance. 56-618. Surplus line brokers; licensing. 56-619. Broker may accept business. 56-620. Solvent insurers required. 56-621. Evidence of the insurance; changes; penalty. 56-622. Record of surplus line brokers; quarterly report. 56-623. Tax on surplus line brokers. 56-624. Penalty for failure to comply. 56-625. Revocation of broker's license. 56-626. Service of process. 56-627. Exemption from Surplus Line Law. 56-628. Report of and tax on independently procured coverages. 56-601. Representation of unauthorized insurers prohibited. (1) No person shall in Georgia: (a) Represent an insurer who is not at the time duly authorized to transact insurance in this State, in the solicitation, negotiation or effectuation of insurance, inspection of risks, fixing of rates, investigation or adjustment of losses, collection of premiums or in any other manner in the transaction of insurance with respect to subjects of insurance, resident, located or to be performed in this State. (b) Represent any person in the procuring of insurance in such an unauthorized insurer upon or with relation to any subject of insurance. (2) This section shall not apply to:

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(a) Surplus line insurance which is authorized by this Chapter and transactions as to which a certificate of authority is not required of an insurer under section 56-302. (b) Reinsurance as authorized by section 56-413. (c) To the services of an adjuster with respect to claims under policies lawfully solicited, issued and delivered outside of Georgia. (d) Acceptance of service by the Commissioner pursuant to the provisions of this Title. (e) To the professional services of an attorney. 56-602. Validity of contracts illegally effectuated; advertising. (1) A contract of insurance effectuated by an unauthorized insurer in violation of this Title shall be voidable except at the instance of the insurer unless during the life of such contract the insurer is authorized to transact the class or classes of insurance involved. (2) No publication published in this State, or radio or television broadcaster, or any other agency or means for the dissemination of information operated or located in this State, shall publish, broadcast, or otherwise disseminate within this State advertising for or on behalf of any insurer not then authorized to transact insurance in this State: Provided, however, that this subsection shall not apply as to publications published in this State principally for circulation in other states, wherein advertising by or in behalf of such unauthorized insurers is not expressly directed toward residents or subjects of insurance in this State. 56-603. Unauthorized Insurers Process Act; title; interpretation. (1) Section 56-603 through 56-611 constitute and may be cited as the Unauthorized Insurers Process Act. (2) Such Act shall be so interpreted as to effectuate its general purpose to make uniform the law of those states which enact it.

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56-604. Purpose of Act. The purpose of this Act is to subject certain insurers to the jurisdiction of courts of this State in suits by or on behalf of insureds or beneficiaries under insurance contracts. The legislature declares that it is a subject of concern that many residents of this State hold policies of insurance issued or delivered in this State by insurers while not authorized to do business in this State, thus presenting to such residents the often insuperable obstacle of resorting to distant forums for the purpose of asserting legal rights under such policies. In furtherance of such State interest, the legislature herein provides a method of substituted service of process upon such insurers and declares that in so doing it exercises its power to protect its residents and to define, for the purpose of this statute, what constitutes doing business in this State, and also exercises power and privileges available to the State by virtue of Public Law 15, 79th Congress of the United States, Chapter 20, 1st Sess., S. 340, as amended, which declares that the business of insurance and every person engaged therein shall be subject to the laws of the several states. 56-605. Acts by insurer which constitute appointment of Commissioner as agent for service. Any of the following acts in this State, effected by mail or otherwise, by an unauthorized foreign or alien insurer: (1) the issuance or delivery of contracts of insurance to residents of this State or to corporations authorized to do business herein; (2) the solicitation of applications for said contracts; (3) the collection of premiums, membership fees, assessments or other considerations for such contracts; or (4) any other transaction of business in equivalent to and shall constitute an appointment by such insurer of the Commissioner and his successors in office as its attorney upon whom may be served all lawful process in any action, suit or proceeding instituted by or on behalf of an insured or beneficiary arising out of such contracts of insurance, and any such act shall be a signification of this agreement that such service of process is of the same legal force and validity as personal service of process in this State upon such insurer.

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56-606. Service upon Commissioner; number of copies; duties of Commissioner; affidavit of compliance by plaintiff. Service shall be made by delivery to and leaving with the Commissioner or some person in apparent charge of his office two copies of the suit and process. At the time of such service, the plaintiff shall pay the Commissioner the sum of two ($2.00) dollars, which shall be taxable as cost. The Commissioner shall forthwith mail by registered mail one of the copies of such suit and process to the defendant at its last known principal place of business, and shall keep a record of all process so served upon him. Such service is sufficient, provided notice of such service and a copy of the suit and process are sent within fifteen (15) days thereafter by registered mail by plaintiff or plaintiff's attorney to the defendant at its last known principal place of business, and the defendant's receipt, or receipt issued by the post office with which the letter is registered, showing the name of the sender of the letter and the name and address of the person to whom the letter is addressed, and the affidavit of the plaintiff or plaintiff's attorney showing a compliance herewith, are filed with the clerk of the court in which such action is pending on or before the date the defendant is required to appear, or within such further time as the court may allow. 56-607. Service upon solicitor, collector or other agent of insurer; procedure. Service of process in any such action, suit or proceeding shall, in addition to the manner provided in section 56-606, be valid if served upon any person within this State who, in this State on behalf of such insurer, is (1) Soliciting insurance, or (2) Making, issuing or delivering any contract of insurance, or (3) Collecting or receiving any premium, membership fee, assessment or other consideration for insurance; and a copy of such process is sent within ten (10) days thereafter

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by registered mail by the plaintiff or plaintiff's attorney to the defendant at the last known principal place of business of the defendant, and the defendant's receipt, or the receipt issued by the post office with which the letter is registered, showing the name of the sender of the letter and the name and address of the person to whom the letter is addressed, and the affidavit of the plaintiff or plaintiff's attorney showing a compliance herewith are filed with the clerk of the court in which such action is pending on or before the date the defendant is required to appear, or within such further time as the court may allow. 56-608. Default judgment; necessity for affidavit of compliance. No plaintiff or complainant shall be entitled to a judgment by default, or a judgment with leave to prove damages under this section until the expiration of thirty (30) days from date of the filing of the affidavit of compliance. 56-609. Mode of service cumulative. Nothing in this Act shall limit or abridge the right to serve any process, notice or demand upon any insurer in any other manner now or hereafter permitted by law. 56-610. Conditions precedent to filing of defenses. (1) Before any unauthorized insurer shall file or cause to be filed any pleading in any action, suit or proceeding instituted against it, such unauthorized insurer shall either: (a) Deposit with the clerk of the court in which such action, suit or proceeding is pending, cash or securities or file with such clerk a bond with good and sufficient sureties, to be approved by the court, in an amount to be fixed by the court sufficient to secure the payment of any final judgment which may be rendered in such action: Provided, however, that the court may in its discretion make an order dispensing with such deposit or bond where the insurer makes a showing satisfactory to such court that it maintains in a state of the United States funds or securities, in trust or otherwise, sufficient and

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available to satisfy any final judgment which may be entered in such action, suit or proceeding; or (b) Procure a certificate of authority to transact the business of insurance in this State. (2) The court in any action, suit or proceeding in which service is made in the manner provided in sections 56-606 or 56-607, in its discretion, may order such postponement as may be necessary to afford the defendant reasonable opportunity to comply with the provisions of subsection (1) of this section and to defend such action. (3) Nothing in subsection (1) of this section is to be construed to prevent an unauthorized insurer from filing a motion to quash a writ or to set aside service thereof made in the manner provided in sections 56-606 or 56-607 on one or more of the following grounds: (a) That such unauthorized insurer has not done any of the acts enumerated in section 56-605, or (b) That the person on whom service was made pursuant to section 56-607 hereof, was not doing any of the acts therein enumerated, or (c) That it is otherwise not properly subject to the jurisdiction of the court pursuant to the provisions of this Chapter. 56-611. Recovery of attorney's fees by plaintiff; effect of failure to defend. In any action against an unauthorized foreign or alien insurer upon a contract of insurance issued or delivered in this State or a resident thereof or to a corporation authorized to do business therein, if the insurer has failed for thirty (30) days after demand prior to the commencement of the action to make payment in accordance with the terms of the contract, and it appears that such refusal was vexatious and without reasonable cause, the said insurer shall be subject to a penalty of not more than twenty-five (25%) percent of the liability of the insurer for the loss and an allowance for reasonable

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attorney's fees. Such attorney's fees shall be determined by the trial court and shall be included in any judgment which is rendered in such action. Failure of an insurer to defend any such action shall be deemed prima facie evidence that its failure to make payment was vexatious and without reasonable cause. The limitations contained in this section in reference to the amount of attorney's fees are not controlling as to the fees which may be agreed upon by the plaintiff and his attorney for the services of such attorney in the action against the unauthorized insurer. 56-612. Exemptions from service of process provisions. The Unauthorized Insurers Process Act, contained in sections 56-603 through 56-611 shall not apply to any action, suit or proceeding against any unauthorized insurer arising out of any contract of: (1) Reinsurance effectuated in accordance with the Laws of Georgia; (2) Surplus line insurance authorized by the provisions of this Chapter; (3) Insurance on property or operations of carriers engaged in interstate commerce; (4) Insurance against legal liability arising out of the ownership, operation or maintenance of any property having a permanent situs outside of this State; or (5) Insurance against loss of or damage to any property having a permanent situs outside of this State where such contract contains a provision designating the Commissioner or a bona fide resident of the State of Georgia to be its true and lawful attorney upon whom may be served all lawful process in any action, suit or proceeding instituted by or on behalf of an insured or beneficiary arising out of any such contract or where the insurer enters a general appearance in any such suit, action or proceeding.

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56-613. Surplus Lines Insurance Law. Sections 56-613 through 56-628 shall constitute and may be referred to as The Surplus Lines Insurance Law. 56-614. Surplus lines; broker. If the full amount of insurance required to protect the interest of the insured cannot be obtained from insurers who are authorized to do business in this State, such surplus amount, hereinafter designated as surplus line, may be procured from unauthorized insurers subject to the following conditions: (1) The insurance must be procured through a licensed surplus line broker. (2) The full amount or kind of insurance required to protect the insured is not procurable, after diligent effort has been made to do so, from among the insurers who are authorized to transact and are actually writing the particular kind and class of insurance in this State, and the amount of insurance placed in an unauthorized insurer is only the excess over the amount procurable from authorized insurers. Submission of the risk to not less than three such authorized insurers shall be deemed to be diligent effort. (3) The insurance must not be procured for the purpose of securing advantages either as to: (a) A lower premium rate than would be accepted by an authorized insurer; or (b) Terms of the insurance contract. 56-615. Broker's affidavit. At the time of procuring any such insurance an affidavit setting forth the facts referred to in section 56-614, and such other information as the Commissioner may require, must be executed by the surplus line broker or by the originating agent or broker. Such affidavit shall be filed with the Commissioner within sixty (60) days after the insurance is procured and such affidavit shall be open to public inspection.

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56-616. Endorsement of contract. Every insurance contract procured and delivered as a surplus line coverage shall be initialed by or bear the name of the surplus line broker who procured it and shall have printed or stamped upon it the following: This contract is registered and delivered as a surplus line coverage under the Surplus Line Insurance Law and this (these) insurer(s) is (are) not authorized to do business in Georgia. 56-617. Validity of surplus line insurance. Insurance contracts procured as surplus line coverage from unauthorized insurers in accordance with this Chapter shall be fully valid and enforceable as to all parties, and shall be given recognition in all matters and respects to the same effect as like contracts issued by authorized insurers. 56-618. Surplus line brokers; licensing. Any person, while licensed as a resident agent or broker as to property, casualty and surety insurances, and who is deemed by the Commissioner to be competent and trustworthy, may be licensed as a surplus line broker as follows: (1) Application to the Commissioner for the license shall be on forms furnished by the Commissioner. (2) The license fee shall be three hundred ($300.00) dollars for each license year during any part of which the license is in force. (3) Each license shall be issued for a term expiring on March 1st next following the date of issuance and may be renewed annually by filing an application and paying the prescribed fee in accordance with this section. (4) Prior to the issuance of the license or any renewal thereof, the applicant shall file with the Commissioner, a bond, to be approved by the Commissioner and made payable to the Commissioner or his successor in office, executed by such applicant as principal and by a corporate surety authorized to do business in this State, in the penal sum of five thousand ($5,000) dollars, conditioned that the broker will conduct the business in accordance with

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the provisions of this Title and that he will remit promptly the taxes provided for in section 56-623. No such bond shall be terminated unless prior to such termination thirty (30) days' written notice is filed with the Commissioner. 56-619. Broker may accept business. A licensed surplus line broker may accept and place surplus line business for any insurance agent or broker licensed in this State for the kind of insurance involved, and may compensate such agent or broker therefor. 56-620. Solvent insurers required. (1) The broker shall ascertain the financial condition of the unauthorized insurer before placing insurance therewith and shall not knowingly place surplus line insurance with insurers who are unsound financially. (2) The broker shall not so insure: (a) With a foreign insurer having capital and/or surplus amounting to less than three hundred fifty thousand ($350,000) dollars. (b) With an alien insurer which has been established for less than ten (10) years and which has less than three million ($3,000,000) dollars in total assets. (3) For any violation of this section, in addition to any other penalty provided by law, the broker's license shall be revoked and the broker shall not again be so licensed within a period of two years thereafter. 56-621. Evidence of the insurance; changes; penalty. (1) Upon placing a surplus line coverage, the broker shall promptly issue and deliver to the insured evidence of the insurance consisting either of the policy as issued by the insurer or, if such policy is not then available, the surplus line broker's certificate. Such a certificate shall be executed by the broker and shall show the description and location of the subject of the insurance, coverage, conditions and term of the insurance, the premium and date charged and taxes collected from the insured, and

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the name and address of the insured and the insurer. If the direct risk is assumed by more than one insurer, the certificate or the policy, when delivered, shall state the name and address and proportion of the entire direct risk assumed by each such insurer. (2) No broker shall issue any such certificate or any cover note, or purport to insure or represent that insurance will be or has been granted by any unauthorized insurer unless he has prior written authority from the insurer for the insurance, or received information from the insurer in the regular course of business that such insurance has been granted, or an insurance policy providing the insurance actually has been issued by the insurer and delivered to the insured. (3) If after the issuance and delivery of any such certificate there is any change as to the identity of the insurers, or the proportion of the direct risk assumed by the insurer as stated in the broker's original certificate, or in any other material respect as to the insurance coverage evidenced by the certificate, the broker shall promptly issue and deliver to the insured a substitute certificate or endorsement accurately showing the current status of the coverage and the insurers responsible thereunder. (4) If a policy issued by the insurer is not available upon placement of the insurance and the broker has issued and delivered his certificate as hereinabove provided, upon request therefor by the insured, the broker shall as soon as reasonably possible procure from the insurer its policy evidencing the insurance and deliver the policy to the insured in replacement of the broker's certificate theretofore issued. (5) Any surplus line broker who knowingly or negligently issues a false certificate of insurance, or who fails promptly to notify the insured of any material change with respect to such insurance by delivery to the insured of a substitute certificate or endorsement as provided in subsection (2) of this section shall, upon conviction, be

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subject to the penalties provided by section 56-624 or to any greater applicable penalty provided by law. 56-622. Record of surplus line brokers; quarterly report. (1) Each licensed surplus line broker shall keep in his office a separate account of each policy written or renewed showing the exact amount of insurance placed, the name and post office address of the insured, the name and home address of the insurer, the location of the insured property, the gross premium charged therefor, the amount of premium tax paid thereon, the nature of the risk, the number, date and term of the policy and such other information as the Commissioner may require. Such record shall at all times be open to examination by the Commissioner. (2) Each such broker shall file with the Commissioner, on a quarterly basis, the certificate or cover note number, name of insured, the amount of the premium and the tax paid thereon for all surplus lines transactions during the previous quarter. 56-623. Tax on surplus line brokers. (1) On or before the 15th day of April, July, October and January the surplus line broker shall remit to the Commissioner, as a tax imposed for the privilege of doing business as a surplus line broker in this State, a tax of four (4%) percent on the direct premiums written, less return premiums and exclusive of sums collected to cover State or Federal taxes, on surplus line insurance subject to tax transacted by him during the preceding quarter as shown by his statement filed with the Commissioner. (2) If a surplus line policy covers risks or exposures only partially in this State, the tax so payable shall be computed on the proportion of the premium which is properly allocable to the risks or exposures located in this State. 56-624. Penalty for failure to comply. If any surplus line broker fails to file his quarterly statement, or fails to remit the tax as provided by law within thirty (30) days

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after the tax is due, he shall be liable for a penalty of twenty-five ($25.00) dollars for each day of delinquency commencing after the expiration of the thirty (30) day period; except that for good cause shown, the Commissioner may grant a reasonable extension of time within which such statement may be filed and the tax may be paid. The tax may be recovered by distraint and the penalty and tax may be recovered by an action instituted by the Commissioner in any court of competent jurisdiction. The Commissioner shall pay to the State Treasurer any penalty so collected. 56-625. Revocation of broker's license. (1) The Commissioner shall revoke any surplus line broker's license: (a) If the broker fails to file his quarterly statement or to remit the tax as required by law; or (b) If the broker fails to maintain an office in this State, or to keep records, or to allow the Commissioner to examine his records as required by law; or (c) For any of the causes for which an agent's license may be revoked. (2) The Commissioner may revoke or suspend any or all such licenses whenever he deems such suspension or revocation to be for the best interests of the people of this State. (3) The procedures provided in Chapter 56-8a or 56-8b for the suspension or revocation of agent's licenses shall be applicable to suspension or revocation of a surplus line broker's license. (4) No broker whose license has been so revoked shall again be so licensed within two years thereafter, nor until any penalties or delinquent taxes owing by him have been paid. 56-626. Service of process. (1) An unauthorized insurer

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shall be sued, upon any cause of action arising in this State under any contract issued by it as a surplus line contract pursuant to this Chapter, in the superior court of the county in which the cause of action arose. (2) Every unauthorized insurer issuing or delivering a surplus line policy through a surplus line broker in this State shall be deemed thereby to have appointed the Commissioner as its attorney for acceptance of service of all legal process issued in this State in any action or proceeding arising out of such policy, and service of such process upon the Commissioner shall be lawful personal service upon such insurer. (3) Each surplus line policy shall contain a provision stating the substance of subsection (2) of this section, and designating the person to whom the Commissioner shall mail process as provided in subsection (4) of this section. (4) Duplicate copies of legal process against such insurers shall be served upon the Commissioner, and at time of service the plaintiff shall pay the Commissioner two ($2.00) dollars, taxable as costs in the action. The Commissioner shall forthwith mail one copy of the process so served to the person designated by the insurer in the policy for the purpose, by registered mail with return receipt requested. The insurer shall have thirty (30) days after such date of mailing within which to plead, answer, or otherwise defend the action. 56-627. Exemptions from Surplus Line Law. The provisions of this Surplus Line Insurance Law controlling the placing of insurance with unauthorized insurers shall not apply to reinsurance or to the following insurances when so placed by licensed agents or brokers of this State: (1) Ocean marine and foreign trade insurances; (2) Insurance on subjects located, resident, or to be performed wholly outside of this State, or on vehicles or aircraft owned and principally garaged outside this State;

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(3) Insurances on property or operation of railroads engaged in interstate commerce; (4) Insurance of aircraft owned or operated by manufacturers of aircraft or operated in scheduled interstate flight, or cargo of such aircraft, or against liability, other than workmen's compensation and employer's liability, arising out of the ownership, maintenance or use of such aircraft. 56-628. Report of and tax on independently procured coverages. (1) Every insurer who in this State procures or causes to be procured or continues or renews insurance in an unauthorized insurer upon a subject of insurance resident, located, or to be performed within this State, other than insurance procured through a surplus line broker pursuant to the Surplus Lines Insurance Law of this State or exempted from such law under section 56-627, shall within thirty (30) days after the date such insurance was so procured, continued, or renewed, file a report of the same with the Commissioner, in writing and upon forms designated by the Commissioner and furnished to such an insured upon request. Such report shall state the name and address of the insured or insureds, name and address of the insurer, the subject of the insurance, a general description of the coverage, the amount of premium currently paid thereon, and such additional information as reasonably requested by the Commissioner. (2) For the general support of the Government of this State, there is levied and there shall be collected from every such insured in this State for the privilege of so insuring his property or interests, a tax at the rate of four (4%) percent of the gross premium paid for any such insurance, after deduction of return premiums, if any. Such tax shall be paid to the Commissioner, coincidentally with the filing of the report provided for in subsection (1) above. (3) The tax imposed hereunder if delinquent shall bear interest at the rate of six (6%) percent per annum, compounded annually.

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(4) Such tax shall be collectible by civil action brought by the Commissioner, or by distraint; and if with respect to insurance of real property, the tax shall constitute a lien upon such real property while owned by the insured, enforceable in the same manner and through the same procedures as govern the collection of other taxes upon such real property under the laws of this State. (5) This section shall not apply as to life or accident and sickness insurances. CHAPTER 56-7 UNFAIR TRADE PRACTICES 56-701. Declaration of purpose of Chapter. 56-702. Definition of person. 56-703. Unfair methods of competition or unfair and deceptive acts or practices prohibited. 56-704. Unfair methods of competition and unfair or deceptive acts or practices defined. 56-705. Power of Commissioner. 56-706. Hearings, witnesses, appearances, production of books and service of process. 56-707. Cease and desist orders and modifications thereof. 56-708. Procedure as to unfair methods of competition and unfair or deceptive acts or practices other than those defined in sections 56-704 and 56-713. 56-709. Judicial review of orders of the Commissioner. 56-710. Judicial review; appeal by intervenor. 56-711. Penalty for violation of cease and desist order. 56-712. Anticompact law. 56-713. Definitions of unfair methods and practices continued. 56-714. Provisions of Chapter additional to existing law. 56-701. Declaration of purpose of Chapter. The purpose of this Chapter is to regulate trade practices in the business of insurance in accordance with the intent of Congress as expressed in the Act of Congress of March 9, 1945 (Public Law 15, 79th Congress), by defining, or providing

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for the determination of, all such practices in this State which constitute unfair methods of competition or unfair or deceptive acts or practices and by prohibiting the trade practices so defined or determined. 56-702. Definition of person. When used in this Chapter, person shall mean an individual, corporation, association, partnership, reciprocal exchange, inter-insurer, Lloyds insurer, fraternal benefit society, and any other legal entity engaged in the business of insurance, including, but not limited to, agents, brokers, counselors and adjusters. 56-703. Unfair methods of competition or unfair and deceptive acts or practices prohibited. No person shall be engaged in this State in any trade practice which is defined in this Chapter as, or determined pursuant to this Chapter to be, an unfair method or competition or an unfair or deceptive act or practice in the business of insurance. 56-704. Unfair methods of competition and unfair or deceptive acts or practices defined. The following are hereby defined as unfair methods of competition and unfair and deceptive acts or practices in the business of insurance: (1) Misrepresentations and false advertising of policy contracts.Making, issuing, circulating, or causing to be made, issued or circulated, any estimate, illustration, circular or statement misrepresenting the terms of any policy issued or to be issued or the benefits or advantages promised thereby or the dividends or share of the surplus to be received thereon, or making any false or misleading statement as to the dividends or share of surplus previously paid on similar policies, or making any misleading representation or any misrepresentation as to the financial condition of any insurer, or as to the legal reserve system upon which any life insurer operates, or using any name or title of any policy or class of policies misrepresenting the true nature thereof, or making any misrepresentation to any policyholder insured in any company for the purpose

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of inducing or tending to induce such policyholder to lapse, forfeit, or surrender his insurance. A dividend estimate prepared on company forms clearly indicating in type equal in size to that used in figures showing amounts of estimated dividends that such dividends are based on estimates made by the company based upon past experience of such company shall not be considered misrepresentation and false advertising within the meaning of this subsection. (2) False information and advertising generally.Making, publishing, disseminating, circulating, or placing before the public, or causing, directly or indirectly, to be made, published, disseminated, circulated, or placed before the public, in a newspaper, magazine, or other publication, or in the form of a notice, circular, pamphlet, letter or poster, or over any radio station, or in any other way, an advertisement, announcement or statement containing any assertion, representation or statement with respect to the business of insurance or with respect to any person in the conduct of his insurance business, which is untrue, deceptive or misleading. (3) Defamation.Making, publishing, disseminating or circulating directly or indirectly, or aiding, abetting or encouraging the making, publishing, disseminating or circulating of any oral or written statement or any pamphlet, circular, article or literature which is false or maliciously critical of or substantially misrepresents the financial condition of an insurer, and which is calculated to injure any person engaged in the business of insurance. (4) Boycott, coercion and intimidation.Entering into any agreement to commit, or by any concerted action committing, any act of boycott, coercion or intimidation resulting in or tending to result in unreasonable restraint of, or monopoly in, the business of insurance. (5) False financial statements.Filing with any supervisory or other public official, or making, publishing, disseminating, circulating or delivering to any person, or placing before the public, or causing directly or indirectly,

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to be made, published, disseminated, circulated, delivered to any person, or placed before the public, any false statement of financial condition of an insurer with the intent to deceive. Making any false entry in any book, report or statement of any insurer with intent to deceive any agent or examiner lawfully appointed to examine into its condition or into any of its affairs, or any public official to whom such insurer is required by law to report, or who has authority by law to examine into its condition or into any of its affairs, or with like intent, wilfully omitting to make a true entry of any material fact pertaining to the business of such insurer in any book, report or statement of such insurer. (6) Stock operations and advisory board contracts.Issuing or delivering or permitting agents, officers, or employees to issue or deliver, agency or company stock or other capital stock, or benefit certificates or shares in any common-law corporation, or securities or any special or advisory board contracts of any kind promising returns and profits as an inducement to insurance. (7) Unfair discrimination.(a) Making or permitting any unfair discrimination between individuals of the same class, same policy amount, and equal expectation of life in the rates charged for any contract of life insurance or of life annuity or in the dividends or other benefits payable thereon, or in any other of the terms and conditions of such contract. (b) Making or permitting any unfair discrimination between individuals of the same class and of essentially the same hazard in the amount of premium, policy fees, or rates charged for any policy or contract of accident or sickness insurance or in the benefits payable thereunder, or in any of the terms or conditions of such contract, or in any other manner whatever. (8) Rebates.(a) Except as otherwise expressly provided by law, knowingly permitting or offering to make

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or making any contract of insurance or agreement as to such contract other than as plainly expressed in the contract issued thereon; or paying or allowing, or giving or offering to pay, allow or give, directly or indirectly, as inducement to any contract of insurance, any rebate of premiums payable on the contract, or any special favor or advantage in the dividends or other benefits thereon, or any valuable consideration or inducement whatever not specified in the contract; except in accordance with an applicable rate filing, rating plan or rating system filed with and approved by the Commissioner; or giving or selling or purchasing or offering to give, sell, or purchase as inducement to such insurance, or in connection therewith, any stocks, bonds or other securities of any company, or any dividends or profits accrued thereon or anything of value whatsoever not specified in the contract or receiving or accepting as inducement to contracts of insurance, any rebate of premium payable on the contract, or any special favor or advantage in the dividends or other benefit to accrue thereon, or any valuable consideration or inducement not specified in the contract. (b) Nothing in subsection (7) or subpart (a) of this subsection shall be construed as including within the definition of discrimination or rebates any of the following practices: (i) In the case of any contract of life insurance or life annuity, paying bonuses to policyholders or otherwise abating their premiums in whole or in part out of surplus accumulated from nonparticipating insurance; Provided, that any such bonuses or abatement of premiums shall be fair and equitable to policyholders and for the best interest of the company and its policyholders. (ii) In the case of life or accident and sickness insurance policies issued on the industrial debit or weekly premium plan, making allowance to policyholders who have continuously for a specified period made premium payments directly to an office of the insurer in an amount which fairly represents the saving in collection expense.

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(iii) Making a readjustment of the rate of premium for a policy based on the loss or expense experience thereunder, at the end of the first or any subsequent policy year of insurance thereunder, which may be made retroactive only for such policy year. (iv) Issuing life or accident and sickness insurance policies covering bona fide employees of the insurer at a rate less than the rate charged other persons in the same class. (v) Issuing life or accident and sickness policies on a salary saving, payroll deduction, pre-authorized, post-dated, automatic check or draft plans at a reduced rate commensurate with the savings made by the use of such plan. (vi) Paying commissioners or other compensation to duly licensed agents or brokers, or allowing or returning to participating policyholders, members or subscribers, dividends, savings or unabsorbed premium deposits. (vii) Paying by an insurance agent of part or all of commissioners on public insurance to a nonprofit association of insurance agents which is affiliated with a recognized state or national insurance agents' association to be used in whole or in part for one or more civic enterprises. (viii) As used in this section, the word policy includes any insuring bond issued by an insurer. (9) Agent's misrepresentation or concealment.(a) Failing to properly instruct and require that agents shall in the solicitation of insurance and the filling out of applications of insurance on behalf of policyholders, incorporate therein all material facts relevant to the risk being written known to the agent, or which could have been known by proper diligence. (b) Encouraging agents to accept applications which contain material misrepresentations or conceal material

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information, which, if stated in the application, would prevent issuance of the policy, or which would void a policy from its inception according to its terms even though premiums had been paid thereon. (10) Requiring coverage through a certain company or a particular agent.Any insurer or agent of same becoming a party to requiring or imposing as a condition to the sale of real or personal property or to the financing of the same, or as a condition to the granting of or an extension of a loan which is to be secured by the title to or a lien of any kind on real or personal property, or to the performance of any other act in connection with such sale, financing, or lending whether such person thus acts for himself or for any one else, whatever, that the insurance or any renewal thereof to be issued on said property as collateral to said sale or loan, shall be written through any particular insurance company or agent: Provided, that this section shall not apply to a policy purchased by the seller, financier, or lender from his or its own funds and not charged to the purchaser or borrower in the sale price of the property or the amount of the loan or required to be paid for out of his personal funds: Provided, further, that such seller, financier, or lender may disapprove for reasons affecting solvency or other sensible and sufficient reasons, the insurance company selected by the buyer or borrower. This subsection shall not apply to title insurance. 56-705. Power of Commissioner. The Commissioner shall have power to examine and investigate into the affairs of every person engaged in the business of insurance in this State in order to determine whether such person has been or is engaged in any unfair method of competition or in any unfair or deceptive act or practice prohibited by this Chapter. 56-706. Hearings, witnesses, appearances, production of books and service of process. (1) Whenever the Commissioner shall have reason to believe that any such person has been engaged or is engaging in this State in any unfair method of competition, or any unfair or

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deceptive act or practice defined in sections 56-704 and 56-713, and that a proceeding by him in respect thereto would be to the interest of the public, he shall issue and serve upon such person a statement of the charges in that respect and a notice of a hearing thereon to be held at a time and place fixed in the notice, which shall not be less than fifteen (15) days after the date of the service thereof. (2) At the time and place fixed for such hearing, such person shall have an opportunity to be heard and to show cause why an order should not be made by the Commissioner requiring such person to cease and desist from the acts, methods or practices so complained of. Upon good cause shown, the Commissioner shall permit any person to intervene, appear and be heard at such hearing by counsel or in person. (3) Nothing contained in this Chapter shall require the observance at any such hearing of formal rules of pleading or evidence. (4) The Commissioner, upon such hearing, may administer oaths, examine and cross-examine witnesses, receive oral and documentary evidence, and shall have the power to subpoena witnesses, compel their attendance, and require the production of books, papers, records, correspondence, or other documents which he deems relevant to the inquiry. The Commissioner, upon such hearing, may, and upon the request of any party shall, cause to be made a record of all the evidence and all the proceedings had at such hearing. In case of a refusal of any person to comply with any subpoena issued hereunder or to testify with respect to any matter concerning which he may be lawfully interrogated, the Superior Court of Fulton County, or the county where such party resides, on application of the Commissioner, may issue an order requiring such person to comply with such subpoena and to testify; and any failure to obey any such order of the court may be punished by the court as a contempt thereof.

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(5) Statements of charges, notices, orders, and other processes of the Commissioner under this Chapter may be served by anyone duly authorized by the Commissioner, either in the manner provided by law for service of process in civil actions, or by registering and mailing a copy thereof to the person affected by such statement, notice, order, or other process at his or its residence or principal office or place of business. The verified return by the person so serving such statement, notice, order, or other process, setting forth the manner of such service, shall be proof of the same, and the return postcard receipt for such statement, notice, order, or other process, registered and mailed as aforesaid, shall be proof of the service of the same. 56-707. Cease and desist orders and modifications thereof. (1) If after such hearing, the Commissioner shall determine that the method of competition or the act or practice in question as defined in sections 56-704 and 56-713, and that the person complained of has engaged in such method of competition, act or practice in violation of this Chapter, he shall reduce his findings to writing and shall issue and cause to be served upon the person charged with the violation, an order requiring such person to cease and desist from engaging in such method of competition, act or practice. (2) The Commissioner may at any time before the serving of notice of appeal upon him (as hereinafter provided for), or after the expiration of the time allowed by law for the serving of such notice, if no such notice has been thus served, amend or set aside in whole or in part any order issued by him under this section, whenever in his opinion the facts and circumstances surrounding the case have so changed as to require such action, or if the public interest shall so require. No change of an order in a manner unfavorable to the person charged, or to the parties at interest, shall be made except after notice and opportunity for hearing. The date of the Commissioner's last order shall be the point of time from which it may be reviewed by appeal.

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56-708. Procedure as to unfair methods of competition and unfair or deceptive acts or practices other than those defined in sections 56-704 and 56-713. (1) Whenever the Commissioner shall have reason to believe that any person engaged in the business of insurance is engaging in this State in any method of competition or in any act or practice in the conduct of such business which is not defined in sections 56-704 or 56-713, that such method of competition is unfair or that such act or practice is unfair or deceptive and that a proceeding by him in respect thereto would be to the interest of the public, he may issue and serve upon such person a statement of the charges in that respect and a notice of a hearing thereon to be held at a time and place fixed in the notice, which shall not be less than fifteen (15) days after the date of the service thereof. Each such hearing shall be conducted in the same manner as the hearings provided for in section 56-706. The Commissioner shall, after such hearing, make a report in writing in which he shall state his findings as to the facts, and he shall serve a copy thereof upon such person. (2) If such report charges a violation of this Chapter and if such method of competition, act or practice has not been discontinued, the Commissioner may, through the Attorney General of this State, at any time after fifteen (15) days after the service of such report, cause a petition to be filed in the superior court of this State within the county wherein the person resides, or has his principal place of business, to enjoin and restrain such person from engaging in such method, act or practice. The court shall have jurisdiction of the proceedings and shall have power to make and enter appropriate orders in connection therewith and to issue such writs as are ancillary to its jurisdiction or are necessary in its judgment to prevent injury to the public pendente lite. (3) A transcript of the proceedings before the Commissioner and of his findings shall be filed with such petition. The court may, in its discretion, order additional evidence to be taken before the Commissioner, and to be adduced upon the hearing, in such manner and

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upon such terms and conditions as to the court may seem proper. The Commissioner may modify his findings of fact or make new findings by reason of the additional evidence so taken, and he shall file such modified or new findings with the return of such additional evidence. (4) If the court finds that the method of competition complained of is unfair or that the act or practice complained of is unfair or deceptive, it shall so rule. Having so found, if it further finds that the findings of the Commissioner are supported by evidence it shall issue its order enjoining and restraining the continuance of such method of competition, act, or practice. 56-709. Judicial review of orders of the Commissioner. (1) Any order, decision, or the imposition of any penalty by the Commissioner shall be subject to review by petition for review as provided in Chapter 56-2. The Commissioner's finding upon questions of fact shall be final if sustained by substantial evidence. (2) To the extent that the order of the Commissioner is affirmed, the court shall thereupon issue its own order commanding obedience to the terms of such order of the Commissioner. (3) Cease and desist orders issued by the Commissioner under section 56-708 shall become final; (a) upon the expiration of the time allowed by law for the filing of a petition for review, if no such petition has been filed within such time, except that the Commissioner may thereafter modify or set aside his order to the extent provided in section 56-707 (2); or (b) upon the final decision of the court, if the court directs that the order of the Commissioner be affirmed or the appeal dismissed. 56-710. Judicial review; appeal by intervenor. If the report of the Commissioner does not charge a violation of this Chapter, then any intervenor in the proceedings may cause a review of such decision by appeal to the Superior Court of Fulton County as hereinbefore provided. Upon such a review, the court shall have

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authority to issue appropriate orders and decrees in connection therewith, including, if the court finds that it is to the interest of the public, orders enjoining and restraining the continuance of any method of competition, act or practice which it finds, notwithstanding such report of the Commissioner, constitutes a violation of this Chapter. 56-711. Penalty for violation of cease and desist order. Any person who violates a cease and desist order of the Commissioner under section 56-707, after it has become final and while such order is in effect, shall, upon proof thereof to the satisfaction of the court, forfeit and pay to the State of Georgia a sum of not less than fifty ($50.00) dollars and not exceeding one thousand ($1,000) dollars, which may be recovered in a civil action. 56-712. Anticompact law. (1) No person shall either within or outside of this State enter into any contract, understanding or combination with any other person to do jointly or severally any act or engage in any practice for the purpose of, or that has a tendency to or the effect of: (a) Controlling the rates to be charged for insuring any risk or any class of risks in this State; or (b) Unfairly discriminating against any person in this State by reason of his plan or method of transacting insurance, or by reason of his affiliation or non affiliation with any insurance organization; or (c) Establishing or perpetuating any condition in this State detrimental to free competition in the business of insurance or injurious to the insuring public. (2) This section shall not apply relative to ocean marine and foreign trade insurance. (3) This section shall not be deemed to prohibit the doings of things permitted to be done in accordance with the provisions of Chapters 56-5a and 56-5b.

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(4) Whenever the Commissioner has knowledge of any violation of this section he shall forthwith order the offending person to discontinue such practice immediately or show cause to the satisfaction of the Commissioner why such order should not be complied with. If the offender is an insurer or a licensee under this Title and fails to comply with such order within thirty (30) days after receipt thereof, the Commissioner may forthwith revoke the offender's certificate of authority or licenses. 56-713. Definitions of unfair methods and practices continued. In addition to section 56-704, violations of the following provisions also are hereby defined as unfair methods of competition and unfair and deceptive acts or practices in the business of insurance: (1) No insurance company shall issue, or cause to be issued, any policy of insurance of any type or description upon life, or property, real or personal, whenever such policy of insurance is to be furnished or delivered to the purchaser or bailee of any property, real or personal, as an inductment to purchase or bail said property, real or personal, and no other person shall advertise, offer or give free insurance, insurance without cost or for less than the approved or customary rate, in connection with the sale or bailment of real or personal property, except as provided in Chapter 56-27. (2) No person that is not an insurer shall assume or use any name which deceptively infers or suggests that it is an insurer. (3) Where the premium or charge for insurance of or involving real or personal property or mechandise is included in the over-all purchase price or financing of the purchase of merchandise or property, the vendor or lender shall separately state and identify the amount charged and to be paid for the insurance, and the classifications, if any, upon which based; and the inclusion or exclusion of the cost of insurance in such purchase price or financing shall not increase, reduce, or otherwise

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affect any other factor involved in the cost of the merchandise or property or financing as to the purchaser or borrower. A vendor or lender shall not be prohibited from charging the purchaser or borrower a finance charge otherwise permitted by law on any premium or charge for insurance included in the cost of the merchandise or property or financing. This subsection does not apply to credit like or credit accident and sickness insurance which is in compliance with section 56-3306. (4) Fictitious groups.(a) No insurer shall make, offer to make, or permit any preference or distinction in property, marine, casualty or surety insurance as to form of policy, certificate, premium, rate, or conditions of insurance, based upon membership, nonmembership, or employment of any person or persons by or in any particular group, association, corporation or organization, and shall not make the foregoing preference or distinction available in any event based upon any fictitious grouping of persons as defined in this Title, such fictitious grouping being hereby defined and declared to be any grouping by way of membership, nonmembership, license, franchise, employment contract, agreement or any other method or means resulting in unfair discrimination. (b) The restrictions and limitations of this subsection shall not extend to life, accident and sickness insurance, nor shall they apply to any bona fide association group composed of members engaged in a common trade, business or profession, and which has had group insurance of the same type continuously in existence for at least five years immediately preceding the effective date of this Act. (5) Illegal dealing in premiums; excess or reduced charges for insurance.(a) No person shall knowingly collect any sum as premium or charge for insurance, which insurance is not then provided or not in due course to be provided (subject to acceptance of the risk by the insurer) by an insurance policy issued by an insurer as permitted by this Title.

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(b) No insurer or agent thereof shall hypothecate, sell, or dispose of a promissory note received in payment of any part of a premium on a policy of insurance applied for prior to acceptance of the risk by the insurer. (c) No person shall knowingly collect as premium or charge for insurance any sum in excess of or less than the premium or charge applicable to such insurance, and as specified in the policy, in accordance with the applicable classifications and rates as filed with and approved by the Commissioner; or, in cases where classifications, premiums, or rates are not required by this Title to be so filed and approved, such premiums and charges shall not be in excess of or less than those specified in the policy and as fixed by the insurer. This provision shall not be deemed to prohibit the charging and collecting, by surplus line brokers licensed under Chapter 56-6, of the amount of applicable state and federal taxes in addition to the premium required by the insurer. Nor shall it be deemed to prohibit the charging and collecting, by a life or accident and sickness insurer, of amounts actually to be expended for medical examination of an applicant for life, accident and sickness insurance or for reinstatement of a life, accident and sickness insurance policy. (6) Interlocking ownership; management.(a) Any insurer may retain, invest in or acquire the whole or any part of the capital stock of any other insurer or insurers, or have a common management with any other insurer or insurers, unless such retention, investment, acquisition or common management is inconsistent with any other provision of this Title, or unless by reason thereof the business of such insurers with the public is conducted in a manner which substantially lessens competition generally in the insurance business or tends to create a monopoly therein. (b) Any person otherwise qualified may be a director of two or more insurers which are competitors, unless the effect thereof is to lessen substantially competition

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between insurers generally or tends materially to create a monopoly. 56-714. Provisions of Chapter additional to existing law. The powers vested in the Commissioner by this Chapter, shall be additional to any other powers to enforce any penalties, fines or forfeitures authorized by law with respect to the methods, acts and practices hereby declared to be unfair or deceptive. Nothing contained in this Chapter shall be construed as repealing or amending the power of the Commissioner to revoke the license of any insurer or agent thereof, when he is commanded or authorized to do so by existing laws, or on account of a violation of this Chapter. CHAPTER 56-8A. AGENTS AND COUNSELORS LIFE, ACCIDENT AND SICKNESS 56-801a. Definitions. 56-802a. Representing unauthorized insurers prohibited; personal liability of agent. 56-803a. Necessity for license; doing business with unlicensed agent prohibited. 56-804a. Application for license; certificate of insurer; examination fee. 56-805a. Examination of applicants. 56-806a. Rules and regulations of Commissioner as to classification of applicants; type and conduct of examinations. 56-807a. Notice as to results of examination; issuance of license; type of licenses. 56-808a. Licenses to nonresidents; reciprocal agreements; requirements. 56-809a. Additional licenses; placement of excess or rejected risks. 56-810a. Expiration and renewal of licenses; requests for renewal. 56-811a. Temporary licenses.

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56-812a. License revoked upon termination of appointment of agent; relative information as privileged communication. 56-813a. Refusal, suspension or revocation of license; notice; hearing; revocation as bar to issuance of new license; appeal. 56-814a. Notice of change of address by licensee. 56-815a. Rules and regulations established by Commissioner. 56-816a. Inquisitorial powers in conduct of hearings; evidence adduced as privileged. 56-817a. License without examination of persons presently acting as agents. 56-801a. Definitions. Whenever used in this Chapter certain terms shall be defined as follows: (1) The term agent shall mean any authorized or acknowledged agent of an insurer and any subagent of such agent who acts as such in the solicitation of, negotiation for, or procurement or making of a contract of life, accident and sickness insurance, or making of an annuity contract; except that the term agent shall not include any regular salaried officer or employee of a licensed insurer or of a licensed insurance agent who does not solicit or accept from the public applications for any such contract. The term agent shall not include any representative of a hospital service nonprofit corporation or of a nonprofit medical service corporation as defined and regulated in Chapters 56-17 and 56-18, or the representative of any fraternal benefit society as defined and regulated in Chapter 56-19. A regular salaried officer or employee of an insurer authorized to do business in this State shall not be deemed to be an agent by reason of rendering assistance to or on behalf of a licensed insurance agent, provided that such salaried officer or employee devotes substantially all of his time to activities other than the solicitation of applications for life, accident and sickness insurance or annuity contracts, and receives no commission or other compensation directly dependent upon the amount of business obtained:

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Provided, however, that under franchise insurance plans a person who makes the salary deductions of premiums for the employees, or under a group insurance plan, a person who serves the master policyholder of group insurance in administering the details of such insurance for the employees or debtors of such person, or of a firm or corporation by which he is employed, and who does not receive insurance commissions for such service, shall not be deemed to be an agent: Provided, further, that an administration fee not exceeding five (5%) percent of the premiums collected, paid by the insurer to the administration office, shall not be construed to be insurance commissions. (2) The term subagent shall mean any person (except as provided in subsection (1) of this section) who acts for or on behalf of a licensed agent in the solicitation of, negotiations for, or procurement or making of a life, accident and sickness insurance contract or annuity contract, whether or not he be designated by such agent as subagent or a solicitor or by any other title including the members of a partnership and the officers, directors, stockholders or employees of a corporation. Each subagent shall be deemed to be an agent as defined in subsection (1) of this section and wherever in succeeding sections of this Chapter the term agent is used, it shall include subagents whether or not they are specifically mentioned. Each such person shall individually file an application for license and submit to a written examination as hereafter provided for applicants for an agent's license. (3) The term counselor shall mean any person who engages, advertises, or holds himself out as engaging in the business of counseling, advising or rendering opinions as to the benefits promised under any contract of insurance issued or offered by any insurer, or as to the terms, value, effect, advantages or disadvantages thereof, in exchange for a fee, commission or other compensation other than (a) as a consulting actuary advising insurers; or (b) as to the counseling and advising of labor unions, associations, trustees, employers or other business

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entities, the subsidiaries and affiliates of each relative to their interests and those of their members or employees under insurance benefit plans. (4) The term insurance contract for the purposes of this Chapter shall mean any contract or policy effecting life insurance, or accident and sickness insurance or any annuity contract on behalf of any company or insurer engaged in the business of writing life, accident and sickness insurance or annuity contracts. (5) The term excess risk shall mean all or any portion of a life, accident and sickness insurance risk or contract of annuity for which application is made to an agent, and which exceeds the amount of insurance or annuity which shall be provided by the insurer for which such agent is licensed. (6) The term rejected risk shall mean a life, accident and sickness insurance risk or annuity contract for which application has been made to an agent and which insurance or annuity contract is declined by the insurer for which such agent is licensed. (7) The term agency shall mean any person, partnership or corporation engaged in business as an agent as defined in subsection (1) of this section: Provided, that if the agency shall be a partnership or corporation, all partners, officers, directors, stockholders and employees who shall act as agents shall be licensed in lieu of the partnership or corporation, and no license shall be issued to or in the name of the partnership or corporation. (8) The term Commissioner shall mean the Insurance Commissioner of the State of Georgia. (9) The terms company and insurer shall mean a corporation, association, order, or society, subject to the insurance laws of this State, writing life, accident and sickness insurance, or annuity contracts, but shall not include fraternal benefit societies as defined and

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regulated by Chapter 56-19, or hospital service nonprofit corporations and nonprofit medical service corporations as defined and regulated by Chapters 56-17 and 56-18. 56-802a. Representing unauthorized insurers prohibited; personal liability of agent. No person shall, within this State, solicit, procure, receive or forward applications for life, accident and sickness insurance or annuities or issue or deliver policies for or in any manner secure, help or aid in the placing of any contract of life, accident and sickness insurance or annuity for any person other than himself, directly or indirectly, with an insurer not authorized to do business in this State. Such person, partnership or corporation shall be liable for the full amount of any loss sustained on any contract of life, accident and sickness insurance or annuity made by or through him or it, directly or indirectly, with any insurer not authorized to do business in this State, and, in addition for any premium taxes which may become due under any law of this State by reason of such contract. 56-803a. Necessity for license; doing business with unlicensed agent prohibited. (1) No person shall act as an agent, or as a counselor within this State until he shall have first procured a license from the Commissioner. (2) No insurer shall issue, make, write, place or cause to be made, written, placed or issued any contract of life, or accident and sickness insurance in this State except through an agent who is licensed, pursuant to the provisions of this Chapter, at the time when the application for the contract of insurance is written. (3) No insurer or agent doing business in this State shall pay, directly or indirectly, any commission or any other valuable consideration to any person for services as an agent within this State, unless such person shall hold a currently valid license to act as an agent as required by the laws of this State; nor shall any person, partnership or corporation, other than a duly licensed agent or any agency as herein defined, accept any such commission or other valuable consideration; Provided,

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however, that the provisions of this section shall not prevent the payment or receipt of renewal or other deferred commissions to or by any person solely because such person has ceased to hold a license to act as an agent; and Provided further, that the provisions of this section shall not prevent the payment or receipt of any commission or any other valuable consideration to or by a person who has applied for a temporary license pursuant to section 56-811a, subsection (3) pending issuance of such temporary license. 56-804a. Application for license; certificate of insurer; examination fee. (1) Each applicant for a license to act as an agent or counselor within this State shall file with the Commissioner his written application on forms furnished by the Commissioner. The application shall be signed and verified by oath of the applicant. The prescribed form shall require the applicant to state his full name, residence, age, occupation and place of business for five years preceding date of the application; whether applicant has ever held a license to solicit or to counsel as to insurance contracts in any state, and if so, what state, whether he has been refused or has had suspended or revoked, a license to solicit or to counsel as to insurance contracts in any state; what insurance experience, if any, he has had; what instruction in insurance and in the insurance laws of this State he has had or expects to have; whether any insurer or general agent claims that the applicant is indebted under an agency contract or otherwise, and if so, the name of the claimant, the nature of the claim, and the applicant's defense thereto; whether applicant has had an agency contract cancelled, if so, when, by what company or general agent and the reason therefor; whether applicant will devote all or part of his efforts to acting as an insurance agent or counselor, and if part only, how much time he expects to devote to such work and in what other business or businesses he is engaged or employed; whether, if applicant is a married person, the husband or wife has ever applied for or held a license to solicit life or any other insurance in any state, and whether such license has been refused, suspended, or revoked; and such other

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information as the Commissioner in his discretion may require. (2) The application for an agent's license shall be accompanied by a certificate on forms furnished by the Commissioner and signed by an officer or properly authorized representative of an insurer stating that the insurer has investigated the character and background of the applicant and is satisfied that he is trustworthy and qualified to act as its agent and to hold himself out in good faith to the general public as an agent and that the insurer desires that the applicant be licensed as an agent to represent it in this State. (3) If an applicant shall be required to take an examination, as hereinafter prescribed, his application shall be accompanied by an examination fee as provided in Chapter 56-13, which shall not be refunded. This fee shall be charged for the privilege of taking only the first examination, or combination thereof, as set forth in section 56-806a, and the fee for the privilege of taking any subsequent examination, or combination thereof, shall be as provided in Chapter 56-13. 56-805a. Examination of applicants. (1) Each applicant for a license to act as an agent within this State shall submit to a personal written examination to determine his competence to act as an agent and his familiarity with the pertinent provisions of the insurance laws of this State, and shall pass the same to the satisfaction of the Commissioner; except that no such written examination shall be required: (a) Of an applicant for a renewal license, unless the Commissioner determines that such an examination is necessary to establish the competency of the applicant; or unless a license had not been effective as to such applicant within two years preceding the date of filing the application; (b) Of an applicant who is a ticket-selling agent of a railroad or steamship company, carrier by air or public

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bus carrier who shall act as agent or solicitor in the sale of accident insurance policies to individuals; (c) In the discretion of the Commissioner, of an applicant who shall be licensed to act only as an agent with respect to life, accident and sickness insurance on borrowers or debtors commonly known as credit life, accident and sickness insurance; and (d) In the discretion of the Commissioner, of an applicant whose license to do business or act as an agent in this State was suspended less than one year prior to the date of application. (2) Each applicant for a license to act as a counselor within this State shall submit to a personal written examination to determine his competence to act as a counselor and his familiarity with the pertinent provisions of the insurance laws of this State, and shall pass the same to the satisfaction of the Commissioner except for an applicant for a renewal license, unless the Commissioner determines that such examination is necessary to establish the competency of the applicant; or unless a license had not been effective as to such applicant within two years preceding the date of filing the application. 56-806a. Rules and regulations of Commissioner as to classification of applicants; type and conduct of examination. (1) The Commissioner may establish rules and regulations with respect to: (a) The classification of applicants according to the type of insurance contracts to be effected by them if licensed as agents; (b) The scope, type and conduct of written examinations to be given pursuant to this section and the time and places within this State for the holding of such examinations; Provided, however, that examinations shall be held at least semimonthly at the principal office of the Commissioner; and Provided further, that an

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examination shall be held at least as often as once in each two months, in each Congressional District. (2) Such rules and regulations, when established, shall classify applicants for purposes of this section as follows: (a) Those desiring to write life insurance; (b) Those desiring to write accident and sickness insurance other than weekly premium accident and sickness insurance; (c) Those desiring to write weekly premium accident and sickness insurance; (d) Those desiring to write any combination of two or more of the above classifications; and (e) Such other classifications as, in the opinion of the Commissioner, are necessary or appropriate. (3) Examinations shall be prepared and given in those subjects only which pertain to the classification or classifications which the applicant desires to write, and no applicant shall be required to take an examination on a subject or subjects pertaining to any other classification. (4) The rules and regulations of the Commissioner, when established, shall designate textbooks, manuals and other materials to be studied by the applicants in preparation for examinations in each classification designated by the Commissioner pursuant to this section. Such textbooks, manuals or other materials may consist of subject matter available to applicants by purchase from the publisher or may consist of subject matter prepared at the direction of the Commissioner and distributed to applicants upon request therefor, and payment of reasonable costs thereof. When textbooks, manuals or other materials shall have been designated or prepared by the Commissioner pursuant to this section, all examination

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questions shall be prepared from the contents of such textbooks, manuals or other materials. (5) No person who shall have taken and failed to pass two examinations given pursuant to this section with respect to a particular class or classes of insurance shall be entitled to take any further examination with respect to such class or classes until after the expiration of six months from the date of the last examination in which he failed. If such person shall thereafter fail to pass two more such examinations, he shall not be eligible to take any further examinations until after the expiration of one year from the date of his last unsuccessful examination. An examination fee shall be paid for each and every examination: Provided, however, that an applicant shall be permitted to take a single examination covering all classes of insurance contracts as defined in subsection (2) above. 56-807a. Notice as to results of examination; issuance of license; types of licenses. (1) If the Commissioner is satisfied that the applicant is trustworthy and competent and the applicant, if required, has passed a written examination and has met the requirements of Chapter 56-13, the Commissioner shall forthwith issue a license limited to the insurer and class or classes of insurance for which the agent is to be appointed. If the applicant has not passed his written examination or for any of the reasons set forth in section 56-813a, the Commissioner shall notify the applicant and the insurer, in writing, that a license will not be issued to him. (2) In any case where a license is applied for to represent an insurer authorized in this State to transact an accident and sickness, as well as a life insurance, business, the Commissioner may, on request of the applicant, issue a single license authorizing the applicant to represent the insurer with respect to both types of business; Provided, that the applicant, in addition to qualifying under this Chapter, has satisfied the Commissioner as required by the laws of this State and the regulations of

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the Commissioner, if any, that he is competent to represent such insurer with respect to life insurance and the types of accident and sickness insurance issued by it. (3) If, as to counselors, the Commissioner is satisfied that the applicant is trustworthy and competent and the applicant, if required, has passed a written examination, and has met the requirements of Chapter 56-13, the Commissioner shall forthwith issue a license. 56-808a. Licenses to nonresidents; reciprocal agreements; requirements. (1) A person not resident in this State may be licensed as an agent upon compliance with the provisions of this Chapter: Provided, that the state in which such person resides accords the same privileges to a citizen of this State. (2) The Commissioner is further authorized to enter into reciprocal agreement with the appropriate official of any other state waiving the written examination of any applicant resident in such other state; Provided: (a) That a written examination is required of applicants for an agent's license in such other state; (b) That the appropriate official of such other state certifies that the applicant holds a currently valid license as an agent in such other state and either passed such written examination or was the holder of an agent's license prior to the time such written examination was required; (c) That the applicant has no place of business within this State nor is an officer, director, stockholder, or partner in any corporation or partnership doing business in this State as an insurance agency; and (d) That in such other state, a resident of this State is privileged to procure an agent's license upon the foregoing conditions and without discrimination as to fees or otherwise in favor of the residents of such other state.

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56-809a. Additional licenses; placement of excess or rejected risks. (1) Additional licenses shall be issued to any agent when requested by an official or duly authorized representative of an insurer: Provided, such additional license shall be limited to the class or classes for which the agent holds a license. (2) Any agent licensed in this State may place excess or rejected risks with any insurer lawfully doing business in this State, other than an insurer that such agent is licensed to represent, and an agent so placing excess or rejected risks shall not be required to hold a license to represent the insurer accepting such excess or rejected risks. 56-810a. Expiration and renewal of licenses; requests for renewal. (1)Each license issued to an agent shall expire at midnight on the last day of February following the date of issue, unless prior thereto it is revoked or suspended by the Commissioner or the authority of the agent to act for the insurer is terminated. (2) In the absence of a contrary ruling by the Commissioner, license renewals may be issued from year to year upon request of the insurer, without further action on the part of the licensee; Provided, the licensee has paid fees and taxes as provided in Chapter 56-13. (3) Each license issued to a counselor shall expire at midnight on the last day of February following the date of issue, unless prior thereto it is revoked or suspended by the Commissioner. (4) Each request for renewal of license shall show whether the licensee devotes all or part of his efforts to acting as an agent or counselor, and, if part only, how much time he devotes to such work and in what other business or businesses he is engaged or employed. (5) Upon the filing of a request for renewal of license, the current license shall continue in force until the renewal license is issued by the Commissioner or until

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the Commissioner has refused for cause to issue such renewal license, as provided in section 56-813a, and has given notice of such refusal in writing to the insurer and the agent or to the counselor. 56-811a. Temporary licenses. Any other provision of this Chapter to the contrary notwithstanding, the Commissioner, if satisfied with the trustworthiness of the applicant for an agent's license, may, without requiring a written examination, issue a temporary license: (1) To the executor or administrator of the estate of a deceased person who at the time of his death was a licensed agent, or to the person or persons assisting an agent who is totally disabled; (2) To a surviving next of kin of such deceased person if no administrator or executor has been appointed or qualified, but any license issued under this subsection shall be revoked upon issuance of a license to an administrator or executor under subsection (1) of this section; (3) To any person who has been appointed or who is being considered for appointment as an agent by an insurer immediately upon receipt by the Commissioner of an application executed by such person in the form required by section 56-804a (1), together with a certificate signed by an officer or properly authorized representative of such insurer stating: (a) That such insurer has investigated the character and background of such person and is satisfied that he is trustworthy; (b) That such person has been appointed or is being considered for appointment by such insurer as its agent; and (c) That such insurer desires that such person be issued a temporary license: Provided, however, that if such temporary license shall not have been received from the Commissioner within seven days from the date on

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which the application and certificate were delivered to or mailed to the Commissioner, the insurer may assume that such temporary license will be issued in due course and may continue such person in its employment; (4) To an applicant for license pending completion of the examination herein provided: Provided, that a temporary license issued under this section shall be effective for ninety (90) days unless sooner terminated for cause pursuant to the provisions of this Chapter. 56-812a. License revoked upon termination of appointment of agent; relative information as privileged communication. (1) Every insurer shall, upon termination of the appointment of any agent, immediately file with the Commissioner a statement of the facts relative to the termination of the appointment and the date and cause thereof. The Commissioner shall thereupon terminate the license of such agent to represent such insurer in this State. (2) Any information, document, record or statement required to be made or disclosed to the Commissioner pursuant to this section shall be deemed a privileged communication and shall not be used as evidence in any court action or proceeding. 56-813a. Refusal, suspension or revocation of license; notice; hearing; revocation as bar to issuance of new license; appeal. (1) A license may be refused, or a license duly issued may be suspended or revoked or the renewal thereof refused by the Commissioner if, after notice and hearing as hereinafter provided, he finds that the applicant for, or holder of such license: (a) Has wilfully violated any provision of the insurance laws of this State; or (b) Has intentionally made any material misstatement in the application for such license; or (c) Has obtained, or attempted to obtain, such license by fraud or misrepresentation; or

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(d) Has misappropriated or converted to his own use or illegally withheld money belonging to an insurer or an insured or beneficiary; or (e) Has otherwise demonstrated lack of trustworthiness or competence to act as an agent or counselor; or (f) Has been guilty of fraudulent or dishonest practice; or (g) Has materially misrepresented the terms and conditions of insurance policies or contracts; or (h) Has made or issued, or caused to be made or issued, any statement misrepresenting or making incomplete comparisons regarding the terms or conditions of any insurance or annuity contract legally issued by any insurer, for the purpose of inducing or attempting to induce the owner of such contract to forfeit or surrender such contract or allow it to lapse for the purpose of replacing such contract with another; or (i) Has obtained, or attempted to obtain such license, not for the purpose of holding himself out to the general public as an agent or counselor, but primarily for the purpose of soliciting, negotiating or procuring insurance or annuity contracts covering himself or members of his family, or the officers, directors, stockholders, partners, employees, of a partnership, association, or corporation of which he or a member of his family is an officer, director, stockholder, partner or employee. (2) Before any agent's or counselor's license shall be suspended or revoked or the renewal thereof refused hereunder, the Commissioner shall give notice of his intention so to do, by registered mail, to the applicant for, or holder of such license and the insurer whom he represents or who desires that he be licensed, and shall set a date not less than twenty (20) days from the date of mailing such notice when the applicant or licensee and a duly authorized representative of the insurer may appear to be heard and produce evidence. In the conduct

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of such hearing, the Commissioner or any deputy Commissioner specially designated by him for such purpose shall have power to administer oaths, to require the appearance of, and examine any person under oath, and to require the production of books, records, or papers relevant to the inquiry upon his own initiative or upon request of the applicant or licensee. Upon termination of such hearing, findings shall be reduced to writing and, upon approval by the Commissioner, shall be filed in his office and notice of the findings sent by registered mail to the applicant or licensee and the insurer concerned. (3) No licensee whose license has been revoked hereunder shall be entitled to file another application for a license within one year from the effective date of such revocation or, if judicial review of such revocation is sought, within one year from the date of final court order or decree affirming such revocation. Such application when filed, may be refused by the Commissioner unless the applicant shows good cause why the revocation of his license shall not be deemed a bar to the issuance of a new license. (4) Any applicant whose application for an agent's or counselor's license has been rejected (except for failure to pass a required written examination) shall, upon request therefor in writing within ten (10) days after notice of such rejection, be entitled to a hearing as provided for by this section and the procedure set forth by this section shall apply to the same. (5) Appeal from any order or decision of the Commissioner made pursuant to this Chapter shall be taken as provided in Chapter 56-2. 56-814a. Notice of change of address by licensee. Every licensed agent or counselor shall inform the Commissioner promptly in writing of a change of his principal business address. 56-815a. Rules and regulations established by Commissioner. The

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Commissioner is hereby authorized to establish such rules and regulations as shall be necessary for the administration of this Chapter. 56-816a. Inquisitorial powers in conduct of hearings; evidence adduced as privileged. For the purpose of making such investigation as he may deem necessary for the proper administration of this Chapter, the Commissioner or his deputy specially designated by him for the purpose of conducting a hearing or an investigation shall have inquisitorial powers and shall be empowered to subpoena witnesses and examine them under oath: Provided that all testimony, documents and other evidence required to be submitted to the Commissioner, pursuant to this Chapter, shall be privileged. 56-817a. License without examination of persons presently acting as agents. Agents holding licenses authorizing them to transact business in this State on the effective date of this Chapter shall continue to be so authorized to the same extent as if such agents had been examined pursuant to this Chapter and duly licensed. CHAPTER 56-8B AGENTS, SOLICITORS, BROKERS, COUNSELORS AND ADJUSTERSPROPERTY, CASUALTY, SURETY AND ALLIED LINES. 56-801b. Definitions. 56-802b. Individuals only to be licensed. 56-803b. License required. 56-804b. Qualifications for license. 56-805b. Application for license. 56-806b. Examination of applicant. 56-807b. Classification of applicants. 56-808b. Examination textbooks and manuals. 56-809b. Effect of failure. 56-810b. Temporary licenses; issuance. 56-811b. Limited licenses; procedure where limited license holder applies for general license. 56-812b. [Reserved].

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56-813b. Issuance of licenses and contents. 56-814b. Expiration and renewal of licenses; fee. 56-815b. Special license of persons selling travel ticket insurance. 56-816b. Licenses; nonresident agents and brokers. 56-817b. When risk deemed to have situs within this State; necessity for signature of resident agent; exceptions; service of process where business transacted by nonresident agent; venue of actions. 56-818b. Expiration of license not to deprive agent of acquired rights; procedure where agency sold on work out basis. 56-819b. Agent prohibited from signing policy in blank; restriction on delegation of authority to sign. 56-820b. Placement of insurance beyond scope of license prohibited; restriction on commission sharing; placement of insurance with nonlicensed insurers prohibited; penalties for violation. 56-821b. Insurers prohibited from putting insurance into force on property located in this State except through licensed agents or brokers. 56-822b. Countersigning by resident agent required; commission for countersigning. 56-823b. Classification of licenses; license to state kinds of insurance covered; notice of appointment and license number of agents. 56-824b. Grounds for refusal; suspension and revocation of license. 56-825b. Inquiry by Commissioner into conduct of agent. 56-826b. Notice of intention to revoke or suspend license; hearings; findings reduced to writing and filed; failure to answer subpoena as misdemeanor; appeals. 56-827b. Waiting period after revocation. 56-828b. Applicant entitled to hearing after rejection. 56-829b. Effect of existing licenses; renewal. 56-830b. Information to be furnished by agent, broker, solicitor, counselor or adjuster to Commissioner. 56-831b. Service representative prohibited from acting as agent; permits for service representatives.

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56-832b. Licenses and permits not to be transferred. 56-833b. When excess insurance may be placed. 56-834b. Penalty for acting or holding self out to act as agent, broker, solicitor, counselor or adjuster for insurer which has not obtained certificate. 56-835b. Contract issued or countersigned by unauthorized person not unenforceable. 56-836b. Scope of broker's license. 56-837b. Broker's bond. 56-838b. Broker's authority; commissions. 56-839b. Agent-broker license combination. 56-840b. Special limitations as to solicitors. 56-841b. [Reserved]. 56-842b. Adjusters; qualifications for license. 56-843b. Separate licenses for adjusters; authority. 56-844b. Agent may adjust; nonresident adjusters. 56-845b. Public adjuster's bond. 56-846b. Place of business. 56-847b. Records of agents, brokers and adjusters. 56-848b. Reporting and accounting for premiums. 56-801b. Definitions. Except where the type of insurance is specifically stated, the word insurance when used in this Chapter, shall include all kinds of insurance other than life, sickness, accident, hospital, medical service and title insurance, and bail bonding by individual sureties. (1) Agent shall mean an individual, appointed or employed by an insurer who solicits insurance or procures applications therefor, or who in any wise, directly or indirectly, makes or causes to be made any contract of insurance for or on account of an insurer, or who as representative of an insurer receives or receipts for money for transmission to the insurer for a contract of insurance, anything in the application or contract to the contrary notwithstanding. The term agent as used in this Chapter shall not include a person acting for or as a collection agency, or an attorney at law admitted to practice in this State, when handling the collection of one or more premiums as a collection matter, nor shall it include a person who shall perform exclusively clerical work, or exclusively

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work of an office of an insurer or representative thereof not involving solicitation of insurance, signing or countersigning of contracts, or the receipts of premiums. The term agent includes subagent. (2) Agency shall mean a person as sole proprietor, or a partnership or corporation, representing one or more insurers and being engaged in the business of soliciting or procuring insurance or applications therefor, or countersigning or issuing or delivering contracts of insurance for one or more insurers. (3) Service representative shall mean an individual other than an officer, manager, general agent or supervising or managing general agent or special agent of the insurer, employed by an insurer, its general agent, or representative to work with and assist agents in servicing, soliciting, negotiating and effectuating insurance in such insurer or in the insurers represented by such general agent or representative. (4) Limited surety agent shall mean an individual appointed by an insurer that is engaged in fidelity insurance business, by power of attorney, to execute and/or countersign only release of attachment bonds and bail bonds in connection with judicial proceedings. (5) A broker is an individual who for compensation as an independent contractor, solicits, procures or negotiates insurance or the renewal or continuance thereof, on behalf of insureds or prospective insureds other than himself and not on behalf of an insurer or agent. (6) A solicitor is an individual appointed and authorized by a licensed agent or broker to solicit applications for insurance as a representative of such agent or broker and to collect premiums in connection therewith. (7) The term counselor shall mean any person who engages or advertises or holds himself out as engaging in the business of counseling, advising or rendering opinions as to the benefits promised under any contract of insurance

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issued or offered by any insurer, or as to the terms, value, effect, advantages or disadvantages thereof, in exchange for a fee, commission or other compensation other than as a consulting actuary advising insurers. (8) Adjuster is defined as follows: (a) Adjuster means any person who, for compensation or for fee or commission, investigates, settles or adjusts and reports to his employer or principal, relative to claims arising under insurance contracts, solely on behalf of the insurer or the insured; (b) Independent adjuster means such an adjuster representing the interest of the insurer; (c) Public adjuster means an adjuster employed by and representing solely the financial interest of the insured named in the policy; (d) Not included within the definition are: (i) Persons who adjust claims arising under contracts of life or marine insurance or annuities; (ii) A licensed attorney at law who is qualified to practice law in this State who from time to time adjusts losses which are incidental to the practice of his profession; (iii) An agent or a salaried employee of an agent who adjusts or assists in adjusting losses under policies issued by such agent or insurer. (iv) A salaried employee of an insurer who undertakes on behalf of such insurer or other insurers under common control or ownership to ascertain and determine the amount of any claim, loss or damage payable under a contract of insurance, and/or undertakes to effect settlement of such claim, loss or damage; provided the name of such employee is filed with the Insurance Commissioner by the insurer or insurers on behalf of which he acts.

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(v) A salaried employee of a credit or character reporting firm or agency not engaged in the insurance business but who may report to an insurer. (9) Controlled business of a person shall mean insurance for himself or his spouse or for any relative by blood or marriage within the second degree of kinship as defined by Code section 112-903(5) or for his employer or the firm of which he is a member, or for any officer, director, stockholder or member of his employer or of any firm of which he is a partner, or for any spouse of such officer, director, employer, stockholder or member of his firm, or for his ward or employee, or for any person or in regard to any property under his control or supervision in any fiduciary capacity. (10) The definitions of agent, broker, solicitor, counselor and adjuster as stated in this Chapter shall not include the following: (a) Any regular salaried officer or employee of an insurer or of an agent or broker who performs clerical or administrative services only in connection with any insurance transaction; (b) An attorney at law admitted to practice in this State in handling the collections of premiums or in advising clients as to insurance as a function incidental to the practice of law; (c) Any representative of title or ocean marine insurers; (d) Representative of farmers' mutual fire insurance companies as defined in Chapter 56-20. 56-802b. Individuals only to be licensed. No license to act as an agent, solicitor, broker, counselor or adjuster shall be issued except to an individual. 56-803b. License Required. (1) No person shall in this State act as or hold himself out to be an agent, broker,

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solicitor, counselor or adjuster unless he shall first procure a license from the Commissioner. (2) No agent, solicitor or broker shall solicit or take applications for, procure, or place for others any kind of insurance for which he is not then licensed. (3) No insurer or agent doing business in this State shall pay, directly or indirectly, any commissions or any other valuable consideration to any person for services as an agent, broker, solicitor or adjuster within this State, unless such person shall be duly licensed in accordance with the provisions of this Chapter; nor shall any person other than a duly licensed agent, solicitor, broker or adjuster accept any such commission or other valuable consideration. The provisions of this section, however, shall not prevent the payment or receipt of renewal or deferred commissions by any person on the ground that he has ceased to be an agent, solicitor or broker, nor prevent the receipt or payment of any commission by a person who has applied for a temporary license pursuant to the provisions of this Chapter. (4) Any person wilfully violating any of the provisions in this Section shall be guilty of a misdemeanor, and shall be liable to a fine not to exceed five hundred ($500.00) dollars, or imprisonment, not to exceed one year for each instance of violation, or both. 56-804b. Qualifications for License. (1) For the protection of the people of this State, the Commissioner shall not issue, continue or permit to exist any license, except in compliance with this Title, and except as provided in sections 56-811b, 56-815b and 56-816b or as to any individual not qualified therefor as follows: (a) Must be a citizen of the United States and a resident of this State who will reside and be present within this State for at least six months of every year: Provided, however, the Commissioner, in his discretion, may issue a resident agent's license to an applicant in cases where the

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Commissioner deems a hardship to be inflicted by reason of a state line dividing a community or area; (b) If for an agent's or broker's license, must not use or intend to use the license for the purpose of obtaining a rebate or commission upon controlled business, and that the applicant must not, in any calendar year, effect controlled business that will aggregate as much as twenty-five (25%) percent of the volume of insurance effected by him during such year, as measured by the comparative amounts of premiums; (c) If for an agent's license, must have been appointed agent by an authorized insurer, subject to issuance of the license; (d) If for a solicitor's license, must have been appointed a solicitor subject to issuance of license; (e) Must be of good character; (f) Must pass any written examination required for the license by the provisions of this Chapter; (g) If for a license as counselor, must show that applicant has had five years experience acting as either an agent, solicitor, broker or adjuster, or in some other phase of the insurance business which in the opinion of the Commissioner has qualified him to act as such counselor, and shall pass such examination as shall be required by the Commissioner; (h) If for a broker's license, applicant must have had experience either as an agent, solicitor, adjuster, or as an employee of insurers or special education or training of sufficient duration and extent reasonably to satisfy the Commissioner that he possesses the competence necessary to fulfill the responsibilities of broker, and shall pass such examination as shall be required by the Commissioner; (i) If for an agent's license except as provided in sub-section (3) below, and sections 56-811b, 56-815b and

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56-816b, no applicant for a license as an agent shall be qualified therefor or be so licensed unless he has: (I) Successfully completed classroom courses in insurance satisfactory to the Commissioner at a school, college, or extension division thereof, or schools operated by an insurance company or an insurance association, approved by the Commissioner; or (II) Completed a correspondence course in insurance satisfactory to the Commissioner and has had at least six months of responsible insurance duties as a substantially full time bona fide employee of an agent, an insurer, their managers, general agents, or representatives, in the kind or kinds of insurance for which he seeks to be licensed; or (III) Had at least one year in responsible insurance duties as a substantially full time bona fide employee of an agent, an insurer, their managers, general agents or representatives, in the kind or kinds of insurance which he seeks to be licensed, without the education requirement mentioned in subparts (I) or (II) above. (2) Where applicant's qualifications as required in subparts (II) or (III) above, are based in part upon the periods of employment at responsible insurance duties prescribed therein, the applicant shall submit with his application for license, on a form prescribed by the Commissioner, an affidavit setting forth the period of such employment, that the same was substantially full time, and giving a brief abstract of the nature of the duties performed by the applicant. (3) An individual who was qualified to sit for an agent's or adjuster's examination at the time he was employed by the Commissioner and who while so employed was employed in responsible insurance duties as a fulltime bona fide employee shall be permitted to take an examination if application for such examination is made within ninety (90) days after the date of termination of his employment with the Commissioner.

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(4) This section does not apply as to any temporary license provided for in section 56-810b. 56-805b. Application for License. (1) An applicant for any license required by the provisions of this Chapter shall file with the Commissioner a written application upon forms prescribed and furnished by the Commissioner. The application shall be signed and verified by the oath of the applicant. As a part of or in connection with such application, the applicant shall furnish information concerning his identity, personal history, experience, business record, purposes and any other pertinent facts which the Commissioner may by regulation require. (2) If the application is for an agent's license, such application shall state the kinds of insurance proposed to be transacted, and shall be accompanied by written appointment of the applicant as agent by an authorized insurer, subject to issuance of the license. (3) If the application is for a solicitor's license, the application shall be accompanied by a written appointment of the applicant as solicitor by an agent or broker, subject to issuance of the license. (4) The application shall also show whether the applicant was ever previously licensed to transact any kind of insurance in this State or elsewhere; whether any such license was ever refused, suspended or revoked; whether any insurer or general agent claims applicant to be indebted to it, and if so, the details thereof; whether applicant ever had an agency contract cancelled, and the facts thereof; whether applicant will devote all or part of his efforts to acting as an insurance agent, and if part time only, how much time he expects to devote to such work and in what other business or businesses he will be engaged; whether, if applicant is a married person, the husband or wife has ever applied for or held a license to solicit insurance in any state, and whether such license has been refused, suspended or revoked; and such other information as the Commissioner in his discretion may require.

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(5) As to any such application for agent's or solicitor's license, the Commissioner shall require as part thereof the certificate of the insurer, agent or broker proposed to be represented, relative to the applicant's identity, residence, experience or instruction as to the kinds of insurance to be transacted and shall state the extent and nature of the investigation of the applicant's character and background conducted by the insurer, and that he is satisfied that applicant is trustworthy and qualified to act as its agent and to hold himself out in good faith to the general public as an agent and that the insurer desires that the applicant be licensed as an agent to represent it in this State. (6) All such applications shall be accompanied by the appropriate fees in the respective amounts stated, when required by the applicable provisions of this Title. 56-806b. Examination of applicant. (1) After completion and filing of the application with the Commissioner, each individual applicant for a license as agent, solicitor, broker, counselor or adjuster shall submit to a personal examination in writing as to his competence to act in such capacity. Such examination shall be prepared and given by the Commissioner and shall be given and graded in a fair and impartial manner and without unfair discrimination as between individuals examined. Any written examination may be supplemented by an oral examination at the discretion of the Commissioner. The Commissioner shall provide by regulation for a reasonable waiting period before giving a re-examination to an applicant who failed to pass a previous similar examination. (2) Scope of such examination shall be limited as follows: (a) Examination of an applicant for an agent's license shall cover only the kinds of insurance or divisions thereof defined in this Title which the insurer desires to appoint the applicant to transact in its behalf; (b) Examination of an applicant for a broker's license

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shall cover all kinds of insurance as to which the applicant is to be licensed or as provided in section 56-836b; (c) Examination for a solicitor's license shall cover all kinds of insurance as to which the appointing agent or broker is licensed; (d) Examination for an adjuster's license shall be in such kind or kinds of insurance as the applicant shall select, and for which, from experience, he is qualified; (e) Examination for an insurance counselor's license shall be in such kind or kinds of insurance as the applicant shall select. (3) This section shall not apply to and no such examination shall be required of the following: (a) An applicant for a renewal license; (b) An applicant who is a ticket-selling agent of a railroad or steamship company, carrier by air or public bus carrier who shall act as agent or solicitor in the sale of trip accident insurance and/or baggage insurance policies or contracts to individuals; (c) Applicant for license as nonresident agent or nonresident broker, but subject to reciprocal arrangements as provided for in section 56-816b; (d) Any applicant for license covering the same kind or kinds of insurance as to which the applicant was licensed in this State within the twelve (12) months next preceding the application; (e) Any applicant for an adjuster's license who has paid the occupation tax for adjusters for the period immediately preceding the effective date of this Act. 56-807b. Classification of applicants. The Commissioner may establish rules and regulations with respect to:

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(1) The classification of applicants according to the kinds of insurance to be effected by them if licensed as agents; (2) The scope, type and conduct of written examinations to be given pursuant to this Chapter, and the times and places within this State for holding such examinations: Provided, however, that applicants shall be afforded the opportunity of examinations in all classifications at least semimonthly in the principal office of the Commissioner and at least once every two months in each Congressional District. (3) All other applicants, except those who apply for a limited license under section 56-811b, shall be classified in one or both of following: (a) Property and allied lines. (b) Casualty, surety and allied lines. 56-808b. Examination textbooks and manuals. The rules and regulations of the Commissioner shall designate textbooks, manuals and other materials to be studied by the applicant in preparation for examinations in each classification designated by the Commissioner. Such textbooks, manuals or other materials may consist of matter available to applicants by purchase from the publisher or may consist of matter prepared at the direction of the Commissioner and distributed to applicants upon request therefor and payment of reasonable costs. When textbooks, manuals or other materials shall have been designated or prepared by the Commissioner, all examination questions shall be prepared from the contents of such textbooks, manuals or other materials. 56-809b. Effect of failure. Any applicant who shall have taken and failed to pass two examinations given pursuant to this Chapter with respect to a particular kind or kinds of insurance shall not be entitled to take any further examination with respect to such kind or kinds until after the expiration of six months from the date of

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the last examination in which he failed. If such person shall thereafter fail to pass another such examination he shall not be eligible to take any further examination until the expiration of one year from the date of his last unsuccessful examination. This rule applies ad infinitum. The examination fee shall be paid for each and every examination. 56-810b. Temporary licenses; issuance. In the event of the death of an agent or broker, including a temporary agent, or the inability to act as an agent or broker by reason of service in the armed services of the United States, or illness or other disability or termination of appointment by insurer, and if there is no other individual connected with the agency who is licensed as an agent in regard to insurance of the classification transacted by the agent deceased or unable to act, the Commissioner may issue a temporary license as agent in regard to insurance of such classification, to an employee of the agency, to a member of the family of said former agent, or to some associate of his, or to his guardian or receiver or executor or administrator, for the purpose of continuing or winding up the business affairs of the agent or agency. A temporary license shall issue only to an applicant who has filed a sworn application upon forms prescribed and furnished by the Commissioner. Such applicant shall not be required to meet the requirements as to examination, residence and education required for licensing of agents other than temporary agents. If the Commissioner deems the applicant to be qualified for a temporary license, he shall issue same. It shall be effective for six months, renewable from time to time for renewal periods of three months in the discretion of the Commissioner, but in no event shall such renewal, or any other temporary license of renewal with reference to the same matter, extend to a time more than fifteen (15) months after the date of the first issuance of a temporary license in such matter. A temporary license shall authorize the negotiation of renewal policies, the receipt and collection of premiums, and such other acts as are necessary to the continuance of the particular insurance business of such agent or broker. Such license shall

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not authorize the holder thereof to solicit, negotiate or procure new insurance accounts. 56-811b. Limited licenses; procedures where limited license holder applies for general license. (1) The Commissioner may issue a limited automobile agent's license to an individual qualifying therefor by taking and passing an examination limited to such subjects as relate to physical damage insurance on motor vehicles. (2) The Commissioner may issue a limited property agent's license to an individual qualifying therefor by taking and passing an examination limited to such subjects as relate to monthly or weekly premium property insurance. Provided, however, that the Commissioner may issue a special temporary license for a period not exceeding ninety (90) days to an individual, otherwise qualified, who will, by the termination of such ninety (90) day period take the aforesaid examination. Such a temporary license shall authorize the negotiation of renewal policies, the receipt and collection of premiums, and such other acts as are necessary to the continuance of the particular insurance business of such agent or broker. Such license shall not authorize the holder thereof to solicit, negotiate, or procure new insurance accounts. Not more than one (1) such temporary license shall be issued to any one (1) person. (3) The Commissioner may issue a limited surety agent's license to an individual qualifying therefor by taking and passing an examination limited to such subjects as relate to limited surety agents. (4) The Commissioner may issue a limited casualty agent's license to an individual qualifying therefor by taking and passing an examination covering all kinds of casualty insurance, excluding workmen's compensation insurance and fidelity and surety bonds. (5) The Commissioner may issue a limited agent's license to an individual qualifying therefor by passing and

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taking an examination covering credit insurance only, as such insurance is defined in Section 56-408(8). (6) The applicant taking and passing an examination limited in scope as hereinabove provided shall be entitled to a license similarly limited in scope, which limitation shall be expressed in said license. (7) Except as otherwise provided, the provisions of this Chapter relating to agents generally, including fees and taxes, shall be applicable to individuals applying for or holding a limited agent's license: Provided, however, that when the holder of a limited license as hereinabove enumerated shall apply for an agent's license as stated in section 56-823b, he shall qualify therefor by taking and passing an examination limited in scope to those subjects of insurance not included in his limited license. The fee for such additional examination shall be as provided in Chapter 56-13. 56-812b.[Reserved]. 56-813b. Issuance of Licenses and Contents. (1) The Commissioner shall promptly issue licenses applied for to persons qualified therefor in accordance with this Chapter. (2) The license shall state the name and address of the licensee, date of issue, general conditions relative to expiration or termination, kind or kinds of insurance covered and the other conditions of license. (3) If the licensee is a solicitor, the license shall state the name and address of the agent or broker to be represented. 56-814b. Expiration and renewal of licenses; fee. At midnight of the last day in February in every year, each license then in effect shall expire unless renewed. A renewal thereof may be issued not more than forty-five (45) days before the yearly period to which it shall apply, or during such period, but shall have no retroactive

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effect. Upon the filing of an application for renewal accompanied by fee as provided for in Chapter 56-13, a renewal for one yearly period ending at the end of February shall be issued by the Commissioner without examination, investigation or inquiry, unless after conforming to procedure for a hearing as set forth in Chapter 56-2 he has previously determined that such renewal should be refused or the license revoked or suspended, or unless the application disclose a disqualification of the applicant. If after the filing of an application for renewal for one year, in proper form and showing sufficient cause, thirty (30) days elapse without the sending to the applicant by the Commissioner of a notification of the disposition thereof, the renewal shall be deemed granted on a temporary basis pending consideration of the application for renewal. 56-815b. Special license of persons selling travel ticket insurance. (1) The Commissioner may issue a special license, without examination, to individuals selling transportation tickets of a common carrier of persons and property, who shall act as agents only as to travel ticket policies of disability insurance or baggage insurance on personal effects. The Commissioner may prescribe and furnish such special forms calling for such information as he deems proper, in connection with application for or renewal of such special license. (2) A licensed resident agent or broker may solicit applications for and issue policies of personal travel accident or baggage insurance by means of mechanical vending machines supervised by him at locations of convenience to the traveling public, if the Commission finds: (a) That the policy to be so sold provides reasonable coverage and benefits, is reasonably suited for sale and issuance through vending machines, and that use of such a machine therefor in a particular proposed location would be of material convenience to the public; (b) That the type of vending machine proposed to be used is reasonably suitable and practical for the purpose;

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(c) That reasonable means are provided for informing the prospective purchaser of any such policy of the coverage and restrictions of the policy; and (d) That reasonable means are provided for refund to the applicant or prospective applicant of money inserted in defective machines and for which no insurance, or a less amount than that paid for, is actually received. (3) As to each machine to be so used, the Commissioner shall issue to the agent a special vending machine license. The license shall specify the name and address of the insurer and agent, the name of the policy to be sold, the serial number of the machine, and the place where the machine is to be in operation. The license shall be subject to annual continuation, to expiration, suspension or revocation coincidentally with that of the agent. The Commissioner shall also revoke the license as to any machine as to which he finds that the conditions upon which the machine was licensed, as referred to in subsection (2), no longer exist. The license fee shall be as provided for in Chapter 56-13 for each license year or part thereof for each respective vending machine. Proof of the existence of a current license shall be displayed on or about each such vending machine in use in such manner as the Commissioner may reasonably require. 56-816b. Licenses; Nonresident agents and brokers. An individual residing in another state, licensed therein as an agent or broker, may be licensed by the Commissioner as a nonresident agent or broker under the following circumstances, in the following manner: (1) Upon written application certifying that the applicant will not negotiate or effect a contract of insurance on property or a risk having situs in this State with any insurer not qualified to do business in this State, and upon payment of the required license fee and without requiring a written examination, the Commissioner shall issue a license to an individual to act as nonresident agent or broker who is otherwise qualified therefor under this Title, but who is not a resident of this State, if by the

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laws of the state of his residence, residents of this State may be licensed in such manner as nonresident agents or brokers of such state. The license by the Commissioner shall be of a classification provided herein and for which the applicant has been licensed in the other state. The required license fee for such license shall be as provided in Chapter 56-13 or the sum which is charged as a license fee for nonresident agents or brokers by the state of the applicant's residence, whichever is larger. (2) No such license, however, shall be issued to a nonresident who maintains an office as an insurance agent or broker in this State, or who is a member or an employee of a firm or association or is an officer, director, stock-holder or employee of a corporation which maintains an office as an insurance agency or broker in this State. Nor shall such license be issued to any individual who does not hold an agent's or broker's license issued by the state of his residence. 56-817b. When risk deemed to have situs within this State; necessity for signature of resident agent; exceptions; service of process where business transacted by nonresident agent; venue of actions. (1) A risk shall be deemed to have a situs in this State if the insurance is upon or in regard to property having a permanent situs in this State or is movable property which is actually in this State or is principally used or kept in this State. (2) All insurance contracts on risks or property located or having a situs in this State shall bear the counter-signature of an agent who resides in the State of Georgia and is licensed pursuant to this Chapter, execpt: (a) Any contract of insurance covering the rolling stock of any railroad or covering any vessel, aircraft or motor vehicle used in interstate or foreign commerce, or covering any liability or other risks incident to the ownership, maintenance or operation thereof;

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(b) Any contract of property insurance upon property of railroad companies and other common carriers; (c) Any contract of insurance covering any property in transit while in the custody of any common carrier, or any liability or risk incident to such carrier; (d) Any contract of reinsurance between insurers; or (e) Bid bonds issued by any surety insurer in connection with any public or private building or construction project. (3) A nonresident who is the holder of a nonresident agent's or broker's license from the State of Georgia shall not directly or indirectly solicit, negotiate or effect insurance contracts in this State unless accompanied by a countersigning agent licensed pursuant to this Title: Provided, however, that a solicitor or service representative of an insurer qualified to do business in this State and which maintains a regional or service office in this State may solicit, negotiate, or effect insurance contracts in this State if accompanied by, or acting for the benefit of, a resident licensed agent and if such insurance contracts are countersigned by a resident licensed agent. (4) Each nonresident agent or broker by obtaining a license in this State or by doing business in this State shall be deemed to have consented that any notice provided in this Title, and any summons, notice or process in connection with any action or proceeding in any State or Federal court in this State growing out of or based upon any business or acts done or omitted to be done in this State may be sufficiently served upon him by serving the same upon the Commissioner. Such service shall be made by leaving a copy of the notice, summons or process with a fee of two ($2.00) dollars in the hands of the Commissioner, and such service shall be sufficient service upon the nonresident agent or broker, provided that notice of such service and a copy of the notice, summons or process are forthwith sent by registered mail by the plaintiff or by the Commissioner to the residence of the nonresident agent

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or broker, addressed to such agent or broker, and the nonresident agent's or broker's return receipt and the affidavit of compliance herewith made by plaintiff or plaintiff's attorney or by the Commissioner are appended to the notice, summons or process and filed with said case in the court where it is pending or filed with the Commissioner if in regard to a proceeding provided under this Title. Venue of such a suit shall be in the county of the residence of a plaintiff in the suit, if plaintiff resides in this State; otherwise in Fulton County. The place of residence of a licensed nonresident agent or broker placed on file by him with the Commissioner shall be deemed to be his place of residence until such agent or broker places on file with the Commissioner a written notice stating another place of residence. The term process shall include a petition attached thereto. 56-818b. Expiration of license not to deprive agent of acquired rights; procedure where agency sold on work out basis. The expiration of the licese of an agent, broker or solicitor shall not deprive him, or his executors or administrators, of any right that he may have acquired by contract made before such expiration to receive all or a portion of commissions upon contracts of insurance written before such expiration, with reference to the periods of time during which such contracts are in effect, including renewal option periods therein provided. In case of a sale of an agency upon a work out basis, the vendor without maintaining or renewing his license, and his executors and administrators, may participate in the proceeds of premiums on insurance written by the purchaser of the agency, when and as authorized to do so by the contract of sale of the agency, and this participation may be without limitation of time after the vendor ceased to hold an agent's licese. An agent whose license has expired may, if authorized by the insurer, countersign certificates and endorsements necessary to continue coverage to the expiration date, including renewal option periods. 56-819b. Agent prohibited from signing policy in

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blank; restriction on delegation of authority to sign. An agent shall not sign nor countersign in blank any policy to be issued outside of his office, nor countersign in blank any endorsement therefor, nor shall he give power of attorney to, or otherwise authorize, anyone to sign or countersign his name to policies unless the person so authorized is directly employed by the agent and no other person, and has no office files, equipment or address in regard to insurance business, other than in the office of such agent. 56-820b. Placement of insurance beyond scope of license prohibited; restriction on commission sharing; placement of insurance with nonlicensed insurers prohibited; penalties for violation. No agent, broker or solicitor shall place any insurance or receive any remuneration in regard to any insurance of a classification outside the scope of his license, nor shall he share a commission except with an agent, broker or solicitor licensed pursuant to this Chapter, or with an agency that has as its proprietor or as a partner in the agency or as an officer or employee of the agency one or more agents licensed in regard to insurance that is within the scope of his agency, or with an agent, agency, solicitor or broker having a residence or situs in another state and a licese from such other state for the transaction of insurace therein. Except as provided in this Title, no person shall solicit or be instrumental in placing insurance upon any risk having a situs in this State except with an insurer admitted to do insurance business in this State. Violation of this section shall authorize, among other penalties, the revocation of the violator's license as an agent, broker or solicitor. Thereupon such violator shall not be issued a new license until at least two years after the time when the revocation becomes effective. 56-821b. Insurers prohibited from putting insurance into force on property located in this State except through licensed agents or brokers. No insurer shall issue, make, write, place or cause to be made, written, placed or issued any contract of insurance, indemnity or suretyship covering risks or property located or having a situs in this State

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or covering any liability created by or arising under the laws of this State, except through an agent or broker or agents or brokers licensed pursuant hereto, except that bid bonds issued by any surety insurer in connection with any public or private building or construction project may be issued without regard to this section. 56-822b. Countersigning by resident agent required; commission for countersigning. Except as provided in section 56-817b, subsection (2), all insurance contracts on risks or property located or having a situs in this State must be countersigned by a resident agent duly licensed hereunder and if a licensed nonresident agent or broker participates in the effectuation of such contract, such resident agent shall be entitled to the same commission as allowed by the state of residence of the licensed nonresident, but in any event not more than fifty (50%) percent of the commission. If effectuated by an unlicensed non-resident agent, solicitor or broker, the licensed Georgia agent countersigning shall retain one hundred (100%) percent of the commission. Nothing contained in this section shall be construed to require a company to make additional compensation in the way of commissions or otherwise to a person who is paid on a salary basis. 56-823b. Classification of licenses; license to state kinds of insurance covered; notice of appointment and license number of agent. Licenses other than limited licenses shall be issued in one or both of the following two classifications: (1) Property and allied lines; (2) Casualty, surety and allied lines. The license shall state under each classification the kind or kinds of insurance thereof for which the applicant has passed the examination required by section 56-806b. An agent shall not be required to have any additional license because of having been appointed as agent by more than one insurer doing business in one of these classifications. An insurer appointing a currently licensed agent

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must furnish notice to the Commissioner on such forms prescribed by the Commissioner, giving notice of the appointment and the current license number issued to the agent, and shall notify the Commissioner of any termination of an appointment. 56-824b. Grounds for refusal; suspension and revocation of license. A license may be refused, or a license duly issued may be suspended or revoked or the renewal thereof refused by the Commissioner if he finds that the applicant for, or holder of such license: (1) Has violated any provision of this Title or of any other law of this State relating to insurance as herein defined, or relating to another type of insurance; or (2) Has intentionally misrepresented or concealed any material fact in the application for such license; or (3) Has obtained, or attempted to obtain, such license by misrepresentation, concealment or other fraud; or (4) Has misappropriated, converted or unlawfully withheld money belonging to an insurer or an insured; or (5) Has materially misrepresented misrepresented the provisions of an insurance policy; or (6) Has committed fraudulent or dishonest practices in the business of insurance; or (7) Has been convicted by final judgment in any State or Federal court of a felony involving moral turpitude; or (8) Has knowingly participated in the writing or issuance of substantial over-insurance of any property insurance risk; or (9) Has failed to pass an examination required pursuant to this Title; or (10) Has wilfully failed to comply with, or has wilfully

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violated, any proper order, rule or regulation issued by the Commissioner; or (11) Has failed or refused, upon demand, to pay over to an insurer that he represents or has represented, any money coming into his hands and belonging to the insurer; or (12) Has otherwise shown lack of trustworthiness or lack of competence to act as an agent; or (13) Is not in good faith carrying on business as an agent but on the contrary is holding his license for the purpose of securing rebates or commissions on controlled business. 56-825b. Inquiry by Commissioner into conduct of agent. The Commissioner may, upon his own motion, and shall upon a written complaint signed by a citizen of this State and filed with the Commissioner, inquire into any alleged illegal or improper conduct of any licensed agent, broker, solicitor, counselor or adjuster or of any nonresident agent or broker licensed in this State, or into the question of whether a licensed agent, broker, solicitor, counselor or adjuster or a nonresident agent or broker licensed in this State, is untrustworthy or not competent or not qualified to act as an agent, broker, solicitor, counselor or adjuster or nonresident agent or broker, as the case may be. No finding or decision adverse to any person in regard to whom such inquiry is conducted shall be made by the Commissioner until after notice and hearing as provided in section 56-826b. 56-826b. Notice of intention to revoke or suspend license; hearings; findings reduced to writing and filed; failure to answer subpoena as misdemeanor; appeals. Before any license shall be suspended or revoked, or the renewal thereof refused hereunder, the Commissioner shall give notice of his intention so to do to the applicant for, or holder of such license and any insurer or agent whom he represents or who desires that he be licensed and shall set a date not less than twenty (20) days from

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the date of service of such notice when the applicant or licensee and a duly authorized representative of the insurer or agent may appear to be heard and produce evidence. Notice to such licensee or applicant shall be deemed to have been perfected upon the agent if (and within three days after) such notice is sent by registered mail to the last address of the licensee or applicant that has been filed by such licensee or applicant with the Commissioner. In the conduct of such hearing, the Commissioner or any deputy commissioner specially designated by him for such purpose shall have power to administer oaths, to require the appearance of, and examine any person under oath, and to require the production of books, records, and papers relevant to the inquiry upon his own initiative or upon request of the applicant or licensee. Upon termination of such hearing, findings shall be reduced to writing and, upon approval by the Commissioner, shall be filed in his office and notice of the findings sent by registered mail to the applicant or licensee and the insurer concerned. Any person wilfully failing or refusing to honor a subpoena issued by the Commissioner or any duly appointed deputy commissioner shall be deemed guilty of a misdemeanor. Appeal from any order or decision of the Commissioner made pursuant to this Chapter shall be taken as provided in Chapter 56-2. 56-827b. Waiting period after revocation. No licensee whose license has been revoked hereunder shall be entitled to file another application for a license as an agent, broker, solicitor, counselor or adjuster within two years from the effective date of such revocation, or if judicial review of such revocation is sought, within two years from the date of final court order or decree affirming such revocation. Such application when filed may be refused by the Commissioner unless the applicant shows good cause why the revocation of his license shall not be deemed a bar to the issuance of a new license.

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56-828b. Applicant entitled to hearing after rejection. Any applicant whose application for a license has been rejected (except for failure to pass a required written examination) shall, upon request therefor in writing within ten (10) days after notice of such rejection, be entitled to a hearing as provided for by section 56-826b and the procedure set forth by said section shall apply to the same. 56-829b. Effects of existing licenses; renewals. Agents holding licenses authorizing them to transact insurance business in this State on the effective date of this Act and adjusters paying the license fee for adjusters for the period immediately preceding the effective date of this Act shall continue to be authorized to the same extent as if such agents or adjusters had been examined pursuant to this Title and duly licensed, but such authorization shall expire at midnight on the last day of February next following the effective date of this Act, unless terminated earlier or renewed as provided herein. 56-830b. Information to be furnished by agent, broker, solicitor, counselor or adjuster to Commissioner. Every agent, broker, solicitor, counselor or adjuster holding a license hereunder shall keep the Commissioner advised of his office address; his residence address; the name and address of each insurer that he represents directly or indirectly; the name and address of each agency of which he is proprietor, partner, officer, director or employee, or which he represents; every trade name of such agency, and the names of all partners and members of any firm or association and the corporate name of any corporation owning or operating such agency. Such information shall be transmitted in writing by the licensee to the Commissioner. 56-831b. Service representative prohibited from acting as agent; permits for service representatives. No person who is a service representative shall act as an agent except when accompanied by or acting for the benefit of a licensed agent, broker or solicitor.

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No person shall act in this State as a service representative unless he shall hold a permit issued by the Commissioner. The application for such permit shall be filed in writing by the insurer concerned, and shall show the name, residence address, name of employer, and the position or title of such representative and type of work to be performed by him in this State, and such additional information as the Commissioner may reasonably require. The annual expiration date of each permit shall be at midnight of the last day of February. 56-832b. Licenses and permits not to be transferred. Permits as above provided and licenses for agents, brokers, solicitors, counselors or adjusters shall not be transferable. 56-833b. When excess insurance may be placed. Nothing in this Chapter shall prevent the placing of surplus lines of property or casualty insurance when authorized and permitted under the provisions of this Title. 56-834b. Penalty for acting or holding self out to act as agent, broker, solicitor, counselor or adjuster for insurer which has not obtained certificate. Any person who in this State shall act or purport to act, or hold himself out as an agent, broker, solicitor, counselor or adjuster (or as an employee of an agent, broker, solicitor, counselor or adjuster), of or for an insurer that has not obtained from the Commissioner a certificate of authority then in effect to do business in this State as required by this Title, and any person who in this State shall collect or forward any premium or portion thereof for or to such insurer shall pay a sum equal to the State, county and municipal taxes and license fees required to be paid by the insurance companies legally doing business in this State (it being the Commissioner's duty to see that violators of this section are prosecuted), and such violator hereof shall also be personally liable, to the same extent as such insurer, upon every contract of insurance made by such insurer with reference to a risk having a situs in this State, if such person participated in the solicitation, negotiation or making of such contract or any endorsement

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thereon or modification thereof or in the collection of forwarding of any premium (or portion thereof) relating to such contract. This section shall have no reference to a contract of insurance entered into in accordance with Chapter 56-6. 56-835b. Contract issued or countersigned by unauthorized person not unenforceable. Any contract of insurance issued or countersigned by a person prohibited by this Charter from so issuing or countersigning it shall not be rendered unenforceable by reason of such violation of this Chapter, but all persons knowingly participating in behalf of the insurer in such violation shall be deemed guilty of a misdemeanor. 56-836b. Scope of broker's license. A broker's license shall only be issued to cover all kinds of insurance. The Commissioner shall not issue a broker's license limited to particular kinds of insurance; except that a broker's license need not include life insurance and a broker may be separately licensed as to life insurance. 56-837b. Broker's bond. (1) Every applicant for a broker's license shall file with the application and shall thereafter maintain in force while so licensed, a bond in favor of the Commissioner executed by an authorized corporate surety insurer. The bond may be continuous in form, and total aggregate liability on the bond may be limited to the payment of twenty-five hundred ($2,500) dollars. The bond shall be contingent on the accounting by the broker to any person requesting the broker to obtain insurance, for monies or premiums collected in connection therewith. (2) Such bond shall remain in force until the surety is released from liability by the Commissioner, or until the bond is cancelled by the surety. Without prejudice to any liability accrued prior to such cancellation, the surety may cancel such bond upon thirty (30) days' advance notice in writing filed with the Commissioner. 56-838b. Broker's authority; commissions. (1) A

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broker, as such, is not an agent or other representative of an insurer, and does not have power by his own acts, to bind the insurer upon any risk or with reference to any insurance contract. (2) An insurer or agent shall have the right to pay to a broker licensed under this Chapter, or under the laws of any other state, and such broker shall have the right to receive from the insurer or agent, the customary commissions upon insurance placed in the insurer by the broker. 56-839b. Agent-broker license combination. A licensed agent may be licensed as a broker and be a broker as to insurers for which he is not then a licensed agent. A licensed broker may be licensed as and be an agent as to insurers appointing him as agent. The sole relationship between a broker and an insurer as to which he is licensed as an agent shall, as to transactions arising during such agency appointment, be that of insurer and agent. 56-840b. Special limitations as to solicitors. (1) A solicitor shall not be appointed or licensed as to more than one agent or broker. (2) A solicitor's license shall not cover any kind of insurance for which the agent or broker is not then licensed. (3) A solicitor shall not have power to bind an insurer or to countersign policies. (4) Any individual while licensed as a solicitor shall not be licensed as an agent or broker. (5) The solicitor shall maintain his office with that of the appointing agent or broker, and record of his transactions under the license shall be maintained as a part of the records of such agent or broker. (6) The solicitor's license shall remain in the custody of the agent or broker by whom appointed. Upon termination

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of the appointment the agent or broker shall give written notice thereof to the Commissioner and deliver the license to the Commissioner for cancellation. (7) All business transacted by a solicitor under his license shall be in the name of the agent or broker by whom he is employed and the agent or broker shall be responsible for all the acts or omissions of the solicitor within the scope of his employment. 56-841b. [Reserved]. 56-842b. Adjusters; qualifications for license. (1) In addition to the other applicable provisions of this Chapter, the Commissioner shall license as an adjuster only an individual who has furnished evidence satisfactory to the Commissioner that he has had experience or special education or training with reference to the handling of loss claims under insurance contracts, of sufficient duration and extent reasonably to make him competent to fulfill the responsibilities of an adjuster. (2) If for a public adjuster's license, the applicant must have filed previously the required bond. 56-843b. Separate licenses for adjusters; authority. (1) The Commissioner may concurrently license an individual as an independent adjuster and as a public adjuster, and separate licenses shall be required for each, and the full license fee shall be paid for each such license. An adjuster licensed as both an independent and a public adjuster shall not represent both the insurer and the insured in the same transaction. (2) An adjuster shall have authority under his license only to investigate, settle or adjust and report to his principal upon claims arising under insurance contracts on behalf only of insurers if licensed as an independent adjuster or on behalf only of insureds if licensed as a public adjuster. 56-844b. Agent may adjust; nonresident adjusters. (1)

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On behalf of and as authorized by an insurer for which he is licensed as agent, an agent may from time to time act as an adjuster and investigate and report upon claims without being required to be licensed as an adjuster. (2) No license by this State shall be required: (a) Of a nonresident independent adjuster for the adjustment in this State of a single loss, or of losses arising out of a catastrophe common to all such losses; or (b) Of a nonresident adjuster who regularly adjusts in another state and who is licensed in such other state (if such state requires a license), to act as adjuster in this State, for emergency insurance adjustment work, for a period of not exceeding sixty (60) days, done for an employer who is an insurance adjuster licensed by the State of Georgia or who is a regular employer of one or more insurance adjusters licensed by the State of Georgia; Provided, that the employer shall furnish to the Commissioner a notice in writing immediately upon the beginning of such emergency insurance adjustment work. 56-845b. Public adjuster's bond. (1) Prior to the issuance of a license as public adjuster, the applicant therefor shall file with the Commissioner and shall thereafter maintain in force while so licensed a surety bond in favor of the Commissioner executed by an authorized corporate surety approved by the Commissioner, in the amount of twenty-five hundred ($2,500) dollars. The bond may be continuous in form and may be limited to a total aggregate liability of twenty-five hundred ($2,500) dollars. The bond shall be contingent on the accounting by the adjuster to any insured whose claim he is handling, for monies or any settlement received in connection therewith. (2) Any such bond shall remain in force until the surety is released from liability by the Commissioner, or until cancelled by the surety. Without prejudice to any liability accrued prior to cancellation, the surety may

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cancel a bond upon thirty (30) days' advance notice in writing filed with the Commissioner. 56-846b. Place of business. Every licensed agent, broker and adjuster, shall have and maintain in this State, or if a nonresident agent or broker, in the state of his domicile, a place of business accessible to the public. Such place of business shall be that wherein he principally conducts transactions under his licenses. The address of his place of business shall appear on all licenses of the licensee and the licensee shall promptly notify the Commissioner of any change thereof. 56-847b. Records of agents, brokers and adjusters. (1) Every agent, broker or adjuster shall keep at his address as shown on his license or at the insurer's regional or home office situated in this State, a record of all transactions consummated under his license. The record shall be in organized form and shall include: (a) If an agent or broker: (i) A record of each insurance contract procured, issued, or countersigned, together with the names of the insurers and insureds, the amount of premium paid or to be paid, and a statement of the subject of the insurance; and (ii) The names of any other licensees from whom business is accepted, and of persons to whom commissions or allowances of any kind are promised or paid; (b) If an adjuster, a record of each investigation or adjustment undertaken or consummated, and a statement of any fee, commission, or other compensation received or to be received by the adjuster on account of such investigation or adjustment; and (c) Such other and additional information as may be customary, or as may be reasonably required by the Commissioner.

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(2) All such records as to any particular transaction shall be kept for a term of three years beginning immediately after the completion of the transaction, or the term of the contract, whichever is longer; Provided, that records of losses adjusted by an independent adjuster may be kept at the office of the insurer for whom the adjuster acted. (3) This section shall not apply to life and accident and sickness insurance. 56-848b. Reporting and Accounting for Premiums. (1) An agent, broker, solicitor, or any other representative of an insurer, or of any other person in the effectuation of an insurance contract shall report to the insurer or its agent the premium for such contract, and such amount shall likewise be shown in the contract. Each wilful violation of this provision shall constitute a misdemeanor. (2) All funds representing premiums received or return premiums due the insured by any agent, broker or solicitor shall be accounted for in his fiduciary capacity and shall not be co-mingled with his personal funds, and shall be promptly accounted for and paid to the insurer, insured or agent as entitled thereto. Nothing herein contained shall be deemed to require any such agent, broker or solicitor to maintain a separate bank deposit for the funds of each such principal, if and as long as the funds so held for each such principal are reasonably ascertainable from the books of accounts and records of such agent, broker or solicitor. (3) Any agent, broker or solicitor who, not being law-fully entitled thereto, diverts or appropriates such funds or any portion thereof to his own use, shall be guilty of larceny after trust and shall be punished as provided in the criminal code of this State.

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CHAPTER 56-9 ASSETS AND LIABILITIES 56-901. Assets defined. 56-902. Assets as deductions from liabilities. 56-903. Assets not allowed. 56-904. Reporting assets not allowed. 56-905. Liabilities. 56-906. Unearned premium reserve. 56-907. Unearned premium reserve for marine insurance. 56-908. Reserves for accident and sickness insurance. 56-909. Loss reserves, liability insurance and workmen's compensation. 56-910. Increase of inadequate reserves. 56-911. Title insurance reserves. 56-912. Standard Valuation Law; life insurance. 56-913. Valuation of bonds. 56-914. Valuation of other securities. 56-915. Valuation of property. 56-916. Valuation of purchase money mortgages. 56-901. Assets defined. In any determination of the financial condition of an insurer, there shall be allowed as assets only such assets as are owned by the insurer and which consist of: (1) Cash in the possession of the insurer, or in transit under its control, and including the true balance of any deposit in a solvent bank or trust company; (2) Investments, securities, properties and loans acquired or held in accordance with this Title, and in connection therewith the following items: (a) Interest due or accrued on any bond or evidence of indebtedness which is not in default and which is not valued on a basis including accrued interest, (b) Declared and unpaid dividends on stock and shares, unless such amount has otherwise been allowed as an asset,

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(c) Interest due or accrued upon a collateral loan in an amount not to exceed one year's interest thereon, (d) Interest due or accrued on deposits in solvent banks and trust companies, and interest due or accrued on other assets, if such interest is in the judgment of the Commissioner a collectible asset, (e) Interest due or accrued on a mortgage loan, in an amount not exceeding in any event the amount, if any, of the excess of the value of the property less delinquent taxes thereon over the unpaid principal; but in no event shall interest accrued for a period in excess of eighteen (18) months be allowed as an asset, (f) Rent due or accrued on real property if such rent is not in arrears for more than three months, and rent more than three months in arrears if the payment of such rent be adequately secured by property held in the name of the tenant and conveyed to the insurer as collateral. (g) The unaccrued portion of taxes paid prior to the due date on real property; (3) Electronic and mechanical machines constituting a data processing and accounting system if the cost of such system is at least twenty-five thousand ($25,000) dollars, which cost shall be amortized in full over a period not to exceed ten (10) calendar years; (4) Premium notes, policy loans, and other policy assets and liens on policies and certificates of life insurance and annuity contracts and accrued interest thereon, in an amount not exceeding the legal reserve and other policy liabilities carried on each individual policy; (5) The net amount of uncollected and deferred premiums and annuity considerations in the case of a life insurer; (6) Premiums in the course of collection, other than for life insurance and annuity considerations, not more

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than three months past due, less commissions payable thereon. The foregoing limitation shall not apply to premiums payable directly or indirectly by the United States Government or by any state of the Union or by any of their instrumentalities; (7) Installment premiums other than life insurance premiums to the extent of the unearned premium reserves carried thereon; (8) Notes and like written obligations not past due, taken for premiums other than life insurance premiums, on policies permitted to be issued on such basis, to the extent of the unearned premium reserves carried thereon; (9) The full amount of reinsurance recoverable by a ceding insurer from a solvent reinsurer and which reinsurance is authorized under section 56-413; (10) Amounts receivable by an assuming insurer representing funds withheld by a solvent ceding insurer under a reinsurance treaty; (11) Deposits or equities recoverable from underwriting associations, syndicates and reinsurance funds, or from any suspended banking institution, to be the extent deemed by the Commissioner available for the payment of losses and claims and at values to be determined by him; (12) All assets, whether or not consistent with the provisions of this section, as may be allowed pursuant to the annual statement form approved by the Commissioner for the kinds of insurance to be reported upon therein; and (13) Other assets, not inconsistent with the provisions of this section, deemed by the Commissioner to be available for the payment of losses and claims, at values to be determined by the Commissioner. 56-902. Assets as deductions from liabilities. Assets

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may be allowable as deductions from corresponding liabilities, and liabilities may be charged as deductions from assets, and deductions from assets may be charged as liabilities, in accordance with the form of annual statement applicable to such insurer as prescribed by the Commissioner, or otherwise in his discretion. 56-903. Assets not allowed. In addition to assets impliedly excluded by the provisions of section 56-901, the following expressly shall not be allowed as assets in any determination of the financial condition of an insurer: (1) Good will, trade names and other like intangible assets; (2) Advances to officers (other than policy loans) whether secured or not, and advances (other than policy loans) to employees, agents and other persons on personal security only; (3) Stock of such insurer, owned by it, or any equity therein or loans secured thereby, or any proportionate interest in such stock acquired or held through the ownership by such insurer of a controlling interest in another firm, corporation or business unit; (4) Furniture, fixtures, furnishings, safes, vehicles, libraries, stationery, literature and supplies (other than data processing and accounting system authorized under section 56-901 (3)), except in the case of title insurers such materials and plants as the insurer is expressly authorized to invest in under section 56-1026 and except, in the case of any insurer, such personal property as the insurer is permitted to hold pursuant to Chapter 56-10, or which is reasonably necessary for the maintenance and operation of real estate lawfully acquired and held by the insurer other than real estate used by it for home office, branch office and similar purposes; and (5) The amount, if any, by which the aggregate book value of investments as carried in the ledger assets of the

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insurer exceeds the aggregate value thereof as determined under this Chapter. 56-904. Reporting assets not allowed. All assets not allowed and all other assets of doubtful value or character included as assets in any statement by an insurer to the Commissioner, or in any examiner's report to said Commissioner, shall also be reported, to the extent of the value disallowed, as deductions from the gross assets of such insurer. 56-905. Liabilities. In any determination of the financial condition of an insurer, capital stock and liabilities to be charged against its assets shall include: (1) The amount of its capital stock outstanding, if any; (2) The amount, estimated consistent with the provisions of this Title, necessary to pay all of its unpaid losses and claims incurred on or prior to the date of statement, whether reported or unreported, together with the expenses of adjustment or settlement thereof; (3) With reference to life and disability insurance and annuity contracts: (a) The amount of reserves on life insurance policies and annuity contracts in force, valued according to the tables of mortality, rates of interest, and methods adopted pursuant to this Title which are applicable thereto, (b) Reserves for disability benefits, for both active and disabled lives, (c) Reserves for accidental death benefits, and (d) Any additional reserves which may be required by the Commissioner consistent with practice formulated or approved by him, on account of such insurance; (4) With reference to insurance other than specified in subsection (3) of this section, and other than title insurance,

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the amount of reserves equal to the unearned portions of the gross premiums charged on policies in force, computed in accordance with this Chapter; and (5) Taxes, expenses and other obligations due or accrued at the date of the statement. 56-906. Unearned premium reserve. (1) With reference to insurance against loss or damage to property (except as provided in section 56-907) and with reference to all general casualty insurance and surety insurance, every insurer shall maintain an unearned premium reserve on all policies in force. (2) The Commissioner may require that such reserves shall be equal to the unearned portions of the gross premiums in force after deducting reinsurance in solvent insurers as computed on each respective risk from the policy's date of issue. If the Commissioner does not so require, the portions of the gross premium in force, less reinsurance in solvent insurers to be held as a premium reserve, shall be computed according to the following table: Term for Which Policy Was Written Reserve for Unearned Premium 1 year or less 1/2 2 years 1st year 3/4 2nd year 1/4 3 years 1st year 5/6 2nd year 1/2 3rd year 1/6 4 years 1st year 7/8 2nd year 5/8 3rd year 3/8 4th year 1/8 5 years 1st year 9/10 2nd year 7/10 3rd year 1/2 4th year 3/10 5th year 1/10 Over 5 years pro rata.

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(3) Unearned premium reserves on policies written for an intermediate period shall be calculated on a monthly pro rata basis. (4) In lieu of computation according to the foregoing table, all of such reserves may be computed, at the option of the insurer, on a monthly or more frequent pro rata basis. (5) After adopting a method for computing such reserve, a domestic insurer shall not change methods without approval of the Commissioner and a foreign or alien insurer shall not change methods without approval of the insurance supervisory official of the state of its domicile. (6) This section does not apply to title insurance. 56-907. Unearned premium reserve for marine insurance. With reference to marine insurance, premiums on trip risks not terminated shall be deemed unearned, and the Commissioner may require the insurer to carry a reserve thereon equal to one hundred (100%) percent on trip risks written during the month ended as of the date of statement. 56-908. Reserves for accident and sickness insurance. For all accident and sickness policies the insurer shall maintain an active life reserve which shall place a sound value on its liabilities under such policies and which shall not be less in the aggregate than the reserve according to the standards set forth in regulations issued by the Commissioner and, in no event, less than the pro rata gross unearned premium reserve for such policies. 56-909. Loss reserves, liability insurance and workmen's compensation. The reserve for outstanding losses under insurance against loss or damage from accident to or injuries suffered by an employee or other person and for which the insured is liable, shall be computed as follows:

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(1) For all liability insurance suits being defended under policies written more than: (a) Ten (10) years prior to the date as of which the statement is made, fifteen hundred ($1,500) dollars for each suit, (b) Five or more and less than ten (10) years prior to the date as of which the statement is made, one thousand ($1,000) dollars for each suit, (c) Three or more and less than five years prior to the date as of which the statement is made, eight hundred fifty ($850) dollars for each suit; (2) For all liability policies written during the three years immediately preceding the date as of which the statement is made, the reserve shall be sixty (60%) percent of the earned liability premiums of each of such three years less all losses and expense payments made under liability policies written in the corresponding years; but in any event, such reserve shall for the first of such three years be not less than seven hundred fifty ($750) dollars for each outstanding liability suit on such year's policies; (3) For all workmen's compensation claims under policies written more than three years prior to the date as of which the statement is made, the reserve shall be the present value at four (4%) percent interest of the determined and the estimated future payments; (4) For all workmen's compensation claims under policies written in the three years immediately preceding the date as of which the statement is made, such reserve shall be sixty-five (65%) percent of the earned compensation premiums of each of such three years, less all loss and loss expense payments made in connection with such claims under policies written in the corresponding years. But in any event in the case of the first year of any such three year period, such reserve shall be not less than the present value at four (4%) percent

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interest of the determined and the estimated unpaid compensation claims under policies written during such year. 56-910. Increase of inadequate reserves. If the loss experience shows that an insurer's loss reserves, however estimated, are inadequate, the Commissioner shall require the insurer to maintain loss reserves in such increased amounts as are needed to make them adequate. This section does not apply to life insurance. 56-911. Title insurance reserves. In addition to an adequate reserve as to outstanding losses as required under section 56-905, a title insurer shall maintain a guaranty fund or unearned premium reserve of not less than an amount computed as follows: (1) Ten (10%) per cent of the total amount of the risk premiums hereafter written in the calendar year for title insurance contracts shall be assigned originally to the reserve. (2) During each of the twenty (20) years next following the year in which the title insurance contract was issued, the reserve applicable to the contract may be reduced by five (5%) percent of the original amount of such reserve. 56-912. Standard Valuation Law; life insurance. (1) This section shall be known as the Standard Valuation Law. (2) Annual Valuation. The Commissioner shall anually value, or cause the insurer to value, the reserve liabilities (hereinafter called reserves) for all outstanding life insurance policies and annuity and pure endowment contracts of every life insurer doing business in this State, and may certify the amount of any such reserves, specifying the mortality table or tables, rate or rates of interest and methods (net level premium method or others) used in the calculation of such reserves. In the case of an alien insurer, such valuation shall be limited

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to its insurance transactions in the United States. In calculating such reserves, the Commissioner may use group methods and approximate averages for fractions of a year or otherwise. In lieu of the valuation of the reserves herein required of any foreign or alien insurer, he may accept any valuation made or caused to be made by the insurance supervisory official of any state or other jurisdiction when such valuation complies with the minimum standard herein provided, and if the official of such state or jurisdiction accepts as sufficient and valid for all legal purposes the certificate of valuation of the Commissioner when such certificate states the valuation to have been made in a specified manner according to which the aggregate reserves would be at least as large as if they had been computed in the manner prescribed by the law of that state or jurisdiction. (3) The minimum standard for the valuation of all such policies and contracts issued prior to the operative date of section 56-2504 shall be as required under laws in effect immediately prior to the effective date of this Act, or the minimum provided in subsection (4) if less. (4) The minimum standard for the valuation of all life insurance policies and annuity or pure endowment contracts issued on or after the operative date of section 56-2504 shall be the Commissioner's Reserve Valuation Method defined in subsection (5) of this section, three-and-one-half (3%) percent interest and the following tables: (a) For all ordinary policies of life insurance issued on the standard basis, excluding any disability and accidental death benefits in such policies, the Commissioners' 1958 Standard Ordinary Mortality Table; except, that for any category of such policies issued on female risks modified net premiums and present values, referred to in subsection (5), may be calculated, at the insurer's option and with the Commissioner's approval, according to an age not more than three years younger than the actual age of the insured;

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(b) For all industrial life insurance policies issued on the standard basis, excluding any disability and accidental death benefits in such policies, the 1941 Standard Industrial Mortality Table; (c) For annuity and pure endowment contracts, excluding any disability and accidental death benefits in such policies, the 1937 Satndard Annuity Mortality Table; (d) For total and permanent disability benefits in or supplementary to ordinary policies or contracts, Class (III) Disability Table (1926) which, for active lives shall be combined with a mortality table permitted for calculating the reserves for life insurance policies; (e) For accidental death benefits in or supplementary to policies, the Intercompany Double Indemnity Mortality Table combined with a mortality table permitted for calculating the reserve for life insurance policies; (f) For group life insurance, life insurance issued on the substandard basis and other special benefits, such tables as may be approved by the Commissioner as being sufficient with relation to the benefits provided by such policies. (5) Commissioners' Reserve Valuation Method. (a) Reserves according to the Commissioners' Reserve Valuation Method, for the life insurance and endowment benefits of policies providing for a uniform amount of insurance and requiring the payment of uniform premiums, shall be the excess, if any, of the present value, at the date of valuation, of such future guaranteed benefits provided for by such policies, over the then present value of any future modified net premiums therefor. The modified net premiums for any such policy shall be such uniform percentage of the respective contract premiums for such benefits (excluding extra premiums on a substandard policy) that the present value at the date of issue of the policy, of all such modified net

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premiums shall be equal to the sum of the then present value of such benefits provided for by the policy and the excess of (i) over (ii) as follows: (i) A net level annual premium equal to the present value, at the date of issue, of such benefits provided for after the first policy year, divided by the present value, at the date of issue, of an annuity of one per annum payable on the first and each subsequent anniversary of such policy on which a premium falls due: Provided, however, that such net level annual premium shall not exceed the net level annual premium on the nineteen (19) year premium whole life plan for insurance of the same amount at an age one year higher than the age at issue of such policy; (ii) At net one year term premium for such benefits provided for in the first policy year. (b) Reserves according to the Commissioners' Reserve Valuation Method for (i) life insurance policies providing for a varying amount of insurance or requiring the payment of varying premiums, (ii) annuity and pure endowment contracts, (iii) disability and accidental death benefits in all policies and contracts, and (iv) all other benefits, except life insurance and endowment benefits in life insurance policies, shall be calculated by a method consistent with the principles of this section. (6) Minimum aggregate Reserves. In no event shall an insurer's aggregate reserve for all life insurance policies, excluding disability and accidental death benefits, issued on or after the operative date of section 56-2504, be less than the aggregate reserves calculated in accordance with the method set forth in subsection (5) of this section and mortality table or tables and rate or rates of interest used in calculating nonforfeiture benefits for such policies. (7) Optional Reserve Basis. (a) Reserves for all policies and contracts issued prior to the operative date of section 56-2504 may be calculated,

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at the option of the insurer, according to any standards which produce greater aggregate reserves for all such policies and contracts than the minimum reserves required by the laws in effect immediately prior to such date; (b) For any category of policies, contracts or benefits specified in subsection (4) of this section, issued on or after the operative date of section 56-2504, reserves may be calculated, at the option of the insurer, according to any standard or standards which produce greater aggregate reserves for such category than those calculated according to the minimum standard herein provided, but the rate or rates of interest used shall not be higher than the corresponding rate or rates of interest used in calculating any nonforfeiture benefits provided for therein; Provided, however, that reserves for participating life insurance policies issued on or after the operative date of section 56-2504 may, with the consent of the Commissioner, be calculated according to a rate of interest lower than the rate of interest used in calculating the nonforfeiture benefits in such policies, with the further proviso that if such lower rate differs from the rate used in the calculation of the nonforfeiture benefits by more than one-half of one (.5%) percent, the insurer issuing such policies shall file with the Commissioner a plan providing for such equitable increases, if any, in the cash surrender values and nonforfeiture benefits in such policies as the Commissioner shall approve. (8) Lower Valuations. An insurer which at any time had adopted any standard of valuation producing greater aggregate reserves than those calculated according to the minimum standard herein provided may, with the approval of the Commissioner, adopt any lower standard of valuation, but not lower than the minimum herein provided. (9) Deficiency Reserves. If the gross premium charged by any life insurer on any policy or contract issued on or after the operate date of section 56-2504 is less

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than the net premium for the policy or contract according to the mortality table, rate of interest and method used in calculating the reserve thereon, there shall be maintained on such policy or contract a deficiency reserve in addition to all other reserves required by law. For each such policy or contract the deficiency reserve shall be the present value, according to such standard, of an annuity of the difference between such net premium and the premium charged for such policy or contract, running for the remainder of the premium-paying period. 56-913. Valuation of bonds. (1) All bonds or other evidence of debt having a fixed term and rate of interest held by an insurer may, if amply secured and not in default as to principal or interest, be valued as follows: (a) If purchased at par, at the par value; (b) If purchased above or below par, on the basis of the purchase price adjusted so as to bring the value to par at maturity and so as to yield in the meantime the effective rate of interest at which the purchase was made, or in lieu of such method, according to such accepted methods of valuation as is approved by the Commissioner; (c) Purchase price shall in no case be taken at a higher figure than the actual market value at the time of purchase, plus actual brokerage, transfer, postage or express charges paid in the acquisition of such securities; (d) Unless otherwise provided by valuation established or approved by the Commissioner, no such security shall be carried at above the call price for the entire issue during any period within which the security may be so called. (2) The Commissioner shall have discretion in determining the method of calculating values according to the rules set forth in this section. 56-914. Valuation of other securities. (1) Securities, other than those referred to in section 56-913, held by

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an insurer shall be valued, in the discretion of the Commissioner, at their market value, or at their appraised value, or at prices determined by him as representing their fair market value. (2) Preferred or guaranteed stocks or shares while paying full dividends may be carried at a fixed value in lieu of market value, at the discretion of the Commissioner and in accordance with such method of valuation as he may approve. 56-915. Valuation of property. (1) Real property acquired under a mortgage loan or under a deed to secure debt or pursuant to a contract of sale, in the absence of a recent appraisal deemed by the Commissioner to be reliable, shall not be valued at an amount greater than the unpaid principal of the defaulted loan or contract at the date of such acquisition, together with any taxes and expenses paid or incurred in connection with such acquisition, and the cost of improvements thereafter made by the insurer and any amounts thereafter paid by the insurer on assessments levied for improvements in connection with the property. (2) Other real property held by an insurer shall not be valued at an amount in excess of fair value as determined by recent appraisal. If valuation is based on an appraisal more than three years old, the Commissioner may at his discretion call for and require a new appraisal in order to determine fair value. (3) Personal property acquired under a chattel mortgage made in accordance with section 56-1025 shall not be valued at an amount greater than the unpaid balance of principal on the defaulted loan at the date of acquisition, together with taxes and expenses incurred in connection with such acquisition, or the fair value of such property, whichever amount is the lesser. 56-916. Valuation of purchase money mortgages. Purchase money mortgages on real property referred to in subsection (1) of section 56-915 shall be valued in

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an amount not exceeding the acquisition cost of the real property covered thereby or ninety (90%) percent of the fair value of such real property, whichever is less. CHAPTER 56-10 INVESTMENTS 56-1001. Scope of Chapter. 56-1002. Eligible investments. 56-1003. General qualifications. 56-1004. Authorization of investment. 56-1005. Diversification of investments. 56-1006. Cash, deposits in banks, savings and loan. 56-1007. Investment trust securities. 56-1008. International bank. 56-1009. United States Government obligations. 56-1010. Loans guaranteed by the United States. 56-1011. State and Canadian public obligations. 56-1012. County, municipal and district obligations. 56-1013. Revenue and public utility obligations. 56-1014. Securities of certain Federal agencies. 56-1015. Public housing obligations. 56-1016. Corporate bonds and debentures. 56-1017. Equipment trust certificates. 56-1018. Policy loans. 56-1019. Collateral loans. 56-1020. Corporate stocks. 56-1021. Foreign securities. 56-1022. Mortgage loans. 56-1023. Investments incidental to agricultural property loans. 56-1024. Authority to sell and buy property or securities in which money has been invested. 56-1025. Chattel mortgages. 56-1026. Special investments by title insurer. 56-1027. Special consent investments. 56-1028. Real estate, in general. 56-1029. Investments in real estate for leasing. 56-1030. Real estate for employee facilities. 56-1031. Real estate; limits of investment.

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56-1032. Time limit for disposal of real estate. 56-1033. Time limit for disposal of other ineligible property and securities. 56-1034. Failure to dispose of real estate property, or securities; effect, penalty. 56-1035. Prohibited investments and investment underwriting. 56-1036. Investments of foreign and alien insurers. 56-1001. Scope of Chapter. With the exception of section 56-1036, this Chapter shall apply to domestic insurers only. 56-1002. Eligible investments. (1) Insurers shall invest in or lend their funds on the security of, and shall hold as invested assets, only eligible investments as prescribed in this Chapter. (2) Any particular investment held by an insurer on the effective date of this Act, and which was a legal investment at the time it was made, and which the insurer was legally entitled to possess immediately prior to such effective date, shall be deemed to be an eligible investment. (3) Eligibility of an investment shall be determined as of the date of its making or acquisition, except as stated in subsection (2) above. (4) Any investment limitation based upon the amount of the insurer's assets or particular fund shall relate to such assets or funds as shown by the insurer's annual statement as of the December 31st next preceding date of acquisition of the investment by the insurer, or as shown by a current financial statement resulting from merger of another insurer, bulk reinsurance, or change in capitalization. 56-1003. General qualifications. (1) No security or investment (other than real and personal property acquired under sections 56-1023, 56-1028, 56-1031 and cash and deposits under section 56-1006) shall be eligible for

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acquisition unless it is interest bearing or interest accruing or dividend or income paying, is not then in default in any respect, and the insurer is entitled to receive for its account and benefit the interest or income accruing thereon. (2) No security or investment shall be eligible for purchase at a price above its market value. (3) No provision of this Chapter shall prohibit the acquisition by an insurer of other or additional securities or property if received as a dividend or as a lawful distribution of assets, or under a lawful and bona fide agreement of bulk reinsurance, merger, or consolidation. Any investment so acquired which is not otherwise eligible under this Chapter shall be disposed of pursuant to section 56-1032 if real property, or pursuant to section 56-1033 if personal property or securities. (4) Nothing in this section shall prohibit an insurer from acquiring control of another insurer subject to the approval of the Commissioner. 56-1004. Authorization of investment. An insurer shall not make any investment or loan (other than policy loans or annuity contract loans of a life insurer) unless the same is authorized or approved by the insurer's board of directors or by a committee authorized by such board and charged with the supervision or making of such investment or loan. The minutes of any such committee shall be recorded and regular reports of such committee shall be submitted to the board of directors. 56-1005. Diversification of investments. An insurer shall invest in or hold as admitted assets categories of investments within applicable limits as follows only: (1) One person. Any insurer shall not, except with the Commissioner's consent, have at any one time any combinations of investments in or loans upon the security of the obligations, property, or securities of any one person, institution, corporation, or municipal corporation,

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aggregating an amount in excess of ten (10%) percent of the insurer's admitted assets. This restriction shall not apply as to general obligations of the United States of America or of the Government of Canada or of any state, or include policy loans under this Chapter. (2) Voting stock. An insurer shall not invest in or hold at any one time more than ten (10%) percent of the outstanding voting stock of any corporation, except with the Commissioner's consent. This provision does not apply as to stock of a substantially wholly-owned insurance subsidiary of the insurer, but the prior written consent of the Commissioner shall be required for investment in a subsidiary. (3) Minimum capital. An insurer shall invest and maintain invested funds not less in amount than the minimum paid-in capital stock required under this Title of a domestic stock insurer transacting like kinds of insurance, only in cash and the securities provided for under the following sections of this Chapter: (a) Section 56-1009. (b) Section 56-1010. (c) Section 56-1011. (d) Section 56-1012. (e) Section 56-1022. (4) Investment of reserves. In addition to the investments in subsection (3), an insurer shall invest and keep invested its funds in amount not less than one hundred (100%) percent of the reserves provided for by this Title, in cash or the securities or investments authorized under this Chapter; Provided, however, that an amount equal to not less than seventy-five (75) percent of such reserves shall be invested in securities other than common stocks.

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(5) Other specific limits. Limits as to investments in the category of real estate shall be as provided in sections 56-1028 through 56-1031; and other specific limits shall apply as stated in sections dealing with other respective kinds of investments. 56-1006. Cash, deposits in banks, savings and loan. (1) An insurer may have as assets cash or deposits in checking or savings accounts, under certificates of deposit or in any other form in banks and trust companies which have qualified for the insurance protection afforded by the Federal Deposit Insurance Corporation. Provided, however, that an insurer may upon approval of the Commissioner, have as assets, cash or deposits in checking or savings accounts, or in any other form in banks, trust companies, or savings and loan associations which are not members of the Federal Deposit Insurance Corporation or Federal Savings and Loan Insurance Corporation. (2) To the extent that such an investment or account is insured by the Federal Savings and Loan Insurance Corporation, an insurer may invest in shares of savings and loan associations or building and loan associations without approval of the Commissioner. 56-1007. Investment trust securities. An insurer may invest in the securities of any open end management type investment company or investment trust registered with the Federal Securities and Exchange Commission under the Investment Company Act of 1940, as from time to time amended, if such investment company or trust has been organized for not less than ten (10) years or has assets of not less than twenty-five million ($25,000,000) dollars at the date of investment by the insurer. 56-1008. International bank. An insurer may invest in obligations issued, assumed or guaranteed by the International Bank for Reconstruction and Development. The investments authorized by this section shall not be counted as an investment of reserves under section

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56-1005(4) at any one time in an amount greater than five (5%) percent of the insurer's admitted assets. 56-1009. United States Government obligations. An insurer may invest in bonds, notes, warrants and other evidences of indebtedness which are direct obligations of the Government of the United States of America or for which the full faith and credit of the Government of the United States of America is pledged for the payment of principal and interest. 56-1010. Loans guaranteed by the United States. An insurer may invest in loans guaranteed as to principal and interest by the Government of the United States of America, or by any agency or instrumentality of the Government of the United States of America, to the extent of such guaranty. 56-1011. State and Canadian public obligations. An insurer may invest in bonds, notes, warrants and other securities not in default which are the direct obligations of any state of the United States or of the District of Columbia, or of the Government of Canada or any province thereof, or for which the full faith and credit of such state, district, government or province has been pledged for the payment of principal and interest. 56-1012. County, municipal and district obligations. An insurer may invest in the obligations of any county, any incorporated city, town, or village, any school district, water district, sewer district, road district, or any special district, or any other political subdivision or public authority of any state, territory, or insular possession of the United States, or the District of Columbia, or of the Canadian cities having a population of over 25,000 according to the most recent official census, which has not defaulted for a period of one hundred and twenty (120) days in the payment of interest upon, or for a period of more than one year in the payment of principal of, any of its bonds, notes, warrants, certificates of indebtedness, securities, or any other interest-bearing

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obligation during the five years immediately preceding the acquisition of the investment. 56-1013. Revenue and public utility obligations. An insurer may invest in the bonds, notes, certificates of indebtedness, warrants or other evidence of indebtedness which are valid obligations issued, assumed or guaranteed by the United States of America or any state thereof, or by any county, municipal corporation, district, or political subdivision, or civil division of public instrumentality of any such government or unit thereof, if by statute or other legal requirements such obligations are payable as to both principal and interest from revenues or earnings from the whole or any part of any utility supplying water, gas, sewage disposal facility or electricity or any other public service, including but not limited to toll roads and toll bridges. 56-1014. Securities of certain Federal agencies. An insurer may invest in bonds, debentures, or other securities issued or insured or guaranteed by any agency, authority, unit or corporate body created by the Government of the United States of America whether or not such obligations are guaranteed by the United States. 56-1015. Public housing obligations. An insurer may invest in the bonds, debentures or other securities of public housing authorities, issued under the provisions of the Act of Congress entitled the Housing Act of 1949 and approved July, 1949; the Municipal Housing Commission Act or the Rural Housing Commission Act, and any additional amendments, or issued by any other public housing authority or agency in the United States, if such bonds, debentures, or other securities are secured by a pledge of annual contributions to be paid by the United States or any agency thereof. 56-1016. Corporate Bonds and Debentures. (1) An insurer may invest in bonds, debentures, notes and other evidences of indebtedness issued, assumed or guaranteed by any solvent institution existing under the laws of the United States of America or of Canada, or any state or

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province thereof, which are not in default as to principal or interest and which are secured by collateral worth at least fifty (50%) percent more than the par value of the entire issue of such obligations, but only if not more than one-third of the total value of such required collateral consists of common stocks. (2) An insurer may invest in secured and unsecured obligations of such institutions (other than obligations described in subsection (1)) bearing interest at a fixed rate, with mandatory principal and interest due at specified times, if the net earnings of the issuing, assuming or guaranteeing institution available for its fixed charges for a period of five fiscal years next preceding date of acquisition by such insurer have averaged per year not less than one-and-one-half (1) times its average annual fixed charges applicable to such period and if during either of the last two years of such period such net earnings have been not less than one-and-one-half (1) times its fixed charges for such year. 56-1017. Equipment trust certificates. An insurer may invest in equipment trust obligations or certificates adequately secured and evidencing an interest in transportation equipment, wholly or in part within the United States of America, and the right to receive determined portions of rental, purchase, or other fixed obligatory payments for the use or purchase of such transportation equipment. 56-1018. Policy loans. A life insurer may lend to its policyholder on the policy as collateral security, any sum not exceeding the reserve on the policy, and such loans shall be eligible investments of the insurer. 56-1019. Collateral loans. An insurer may invest in loans which are secured by pledge of securities eligible for investment under this Chapter, or by the pledge or assignment of life insurance policies issued by other insurers authorized to transact insurance in this State. On the date made, no such loan shall exceed in amount seventy-five (75%) percent of the market value of the

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collateral pledged. The amount so loaned shall be included in the maximum percentage of funds permitted under this Chapter to be invested in the kinds of securities or evidences of debt pledged. 56-1020. Corporate stocks An insurer may invest in nonassessable dividend-paying stocks, common or preferred, of any solvent corporation (other than a corporation engaged solely in the business of operating real estate or a corporation having substantially all of its assets invested in the shares of such corporation) created or existing under the laws of the United States of America or of any state of the Union or of the District of Columbia; Provided cash dividents on such common stocks shall have been paid out of current earnings in at least three of the last five years preceding the purchase. 56-1021. Foreign securities. An insurer authorized to transact insurance in a foreign country may make investments, in aggregate amount not exceeding its deposit and reserve obligations incurred in such country, in securities of or in such country possessing characteristics and of a quality similar to like investments required pursuant to this Chapter for investments in the United States of America. Canadian securities eligible for investment under other provisions of this Chapter are not subject to this section. 56-1022. Mortgage loans. An insurer may invest in: (1) Bonds, notes or other evidences of indebtedness, in addition to those eligible under section 56-1016 (corporate bonds and debentures) which are secured by first mortgage or deed of trust or deed to secure debt upon fee simple, unencumbered improved or income-producing real property located in the United States or Canada, included leasehold estates in such real estate. No such loan or loans when made shall exceed seventy-five (75%) percent of the value of the real property or leasehold securing the same, as determined by competent appraisers, unless guaranteed or insured by the Administrator of Veterans Affairs or insured by the Federal

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Housing Commissioner as provided in subsections (3) and (4) below. Unless the loan is guaranteed or insured by a governmental agency, as above provided, the appraisal must be certified to by two or more company officers, or qualified employees (or by two independent appraisers). (a) No such loan made or acquired by an insurer which is a participation or a part of a series or issue secured by the same mortgage or deed to secure debt or deed of trust shall be a lawful investment under this section unless the entire series or issue which is secured by the same mortgage or deed is held by such insurer, or unless the insurer holds a senior participation in such mortgage or deed giving it substantially the rights of a first mortgagee. (b) All loans secured by leasehold must provide for amortization payments on principal at least once in each year in amounts sufficient to completely amortize the loan within a period of four-fifth (4/5) of the term of the lease hold, inclusive of the term which may be provided by an enforceable option of renewal, but in no event exceeding thirty-five (35) years. (c) For the purposes of this section, real estate shall not be deemed to be encumbered by reason of the existence of taxes or assessments that are not delinquent, instruments creating or reserving mineral, oil or timber rights, rights of way, joint driveways, sewer rights, public utility easements, rights in walls, nor by reason of building restrictions or other restrictive covenants, nor when such real estate is subject to lease in whole or in part whereby rents or profits are reserved to the owner; Provided, that the security created by the mortgage or trust or security deed on the real estate is a first lien upon such real estate and that there is no condition or right of re-entry or forfeiture under which such lien can be cut off, subordinated or otherwise disturbed. (2) Purchase money mortgages or like securities received

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upon the sale or exchange of real property acquired. (3) Bonds, notes, or other evidences of indebtedness which are secured by mortgage or deed of trust or deed to secure debt on real estate or an interest in real estate in the United States, if payment of such indebtedness or part thereof is guaranteed or insured by the Administrator of Veterans' Affairs in accordance with the Servicemen's Readjustment Act of 1944, as amended. (4) (a) Bonds, notes or other evidences of indebtedness which are secured by mortgage or deed of trust or deed to secure debt insured in whole or in part by the Federal Housing Commissioner under the terms of the National Housing Act, as amended, or any other such loan guaranteed by the Federal Government or its instrumentalities. (b) Any portion of a loan referred to in subsections (3) or (4) (a) above, which is not either insured by the Federal Housing Commissioner or guaranteed under the Servicemen's Readjustment Act, as amended, is subject to the same provisions as apply under this Chapter to uninsured mortgage loans. (c) Nothing in this section shall be deemed to prohibit an insurer from renewing or extending a loan for the original or a lesser amount where a shrinkage in value of the real estate securing the loan would cause its value to be less than the amount otherwise required in relation to the amount of the loan. 56-1023. Investment incidental to agricultural property loans. (1) If real property securing any evidence of indebtedness held by an insurer is used for agricultural purposes and a proceeding to foreclose the security instrument or an insolvency proceeding relating to the mortgagor has been commenced, or if the mortgagor has made an assignment for the benefit of creditors, the insurer may, for the purpose of preserving or enhancing the earnings of such property:

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(a) Purchase agricultural livestock or equipment and utilize the same or cause the same to be utilized in the operation of the property by the mortgagor, or a receiver or trustee, or by the insurer-creditor; or (b) Lend up to the value of any agricultural equipment or livestock which may be used in the operation of the property, on the security of a first lien on such equipment and livestock. (2) Nothing in this section shall be deemed to limit any right which the insurer may otherwise have under or with respect to any such loan, mortgage, or investment. 56-1024. Authority to sell and buy property or securities in which money has been invested. Insurance companies organized and doing business by virtue of the laws of this State may sell, assign, transfer, and convey, either with or without warranty, or either with or without recourse upon it, as it may prefer, any real estate, personal property, bond, note, mortgage, deed of trust, deed to secure debt, or other form of property or securities in which it may have invested its money or its assets or on which it may have made loans as allowed by law, and may also buy and sell any realty that may be necessary for the protection of any loan such insurance company may lawfully make. 56-1025. Chattel mortgages. (1) In connection with a loan on the security of real estate designed and used primarily for residential purposes only, which loan was acquired pursuant to section 56-1022, an insurer may lend or invest an amount not exceeding twenty (20%) percent of the amount loaned on or invested in such real estate mortgage or loan deed on the security of a chattel mortgage to be amortized by regular periodic payments within a term of not more than five years, and representing a first and prior lien, except for taxes not then delinquent, on personal property constituting durable equipment owned by the mortgagor or security grantor and kept and used in the mortgaged premises.

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(2) For the purpose of this section, the term durable equipment shall include only mechanical refrigerators, air conditioning equipment, mechanical laundering machines, heating and cooking stoves and ranges, and, in addition, in the case of apartment houses and hotels, room furniture and furnishings. (3) Prior to the acquisition of a chattel mortgage hereunder, items of property to be included therein shall be separately appraised by a qualified appraiser and the fair market value thereof determined. No such chattel mortgage loan shall exceed in amount the same ratio of loan to the value of the property as is applicable to the companion loan on the real property. (4) This section shall not prohibit an insurer from taking liens on personal property as additional security for any investment otherwise eligible under this Chapter. 56-1026. Special investments by title insurer. (1) In addition to other investments eligible under this Chapter, a title insurer may invest and have invested an amount not exceeding fifty (50%) percent of its paid-in capital stock in its abstract plant and equipment, and with the Commissioner's consent, in stocks of abstract companies. (2) Investments authorized by this section shall not be credited against the insurer's required unearned premium or guaranty fund reserve provided for under section 56-911. 56-1027. Special consent investments. After satisfying requirements of this Chapter, any funds of any domestic insurer in excess of its reserve and capital (if a stock insurer), or surplus (if a mutual or reciprocal insurer), required to be maintained, may be invested without limitation in any investments otherwise authorized by this Title, and, in addition, in such other investments as may be approved by the Commissioner; Provided, however, that approval of the Commissioner is not required except to the extent such investments constitute more than five (5%) percent of the total assets of an insurer.

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56-1028. Real estate, in general. (1) An insurer shall not directly or indirectly acquire or hold real estate except as authorized in this section and in sections 56-1029 through 56-1031. An insurer may acquire and hold: (a) Such land and buildings thereon used or acquired for use as its principal home office and branch offices for the convenient transaction of its own business. Portions of such buildings not used for its own business may be rented by the insurer to others. (b) Real property acquired in satisfaction in whole or in part of loans, mortgages, liens, judgments, decrees or debts previously owing to the insurer in the course of its business. (c) Real property acquired in part payment of the consideration on the sale of other real property owned by it, if such transaction effects a net reduction in the insurer's investment in real estate. (d) Real property acquired by gift or devise, or through merger, consolidation, or bulk reinsurance of another insurer under this Title. (e) Additional real property and equipment incident to real property, if necessary or convenient for the enhancement of the marketability or sale value of real property previously acquired or held by it under subsections (b) through (d), above, but subject to the prior written approval of the Commissioner. (2) The amount invested by an insurer in home office and branch office property under subsection (1) (a), above, shall not exceed ten (10%) percent of the insurer's admitted assets, but the Commissioner may grant permission to the insurer to invest in real property for such purpose in an increased amount not to exceed twenty-five (25%) percent of admitted assets. 56-1029. Investments in real estate for leasing. (1) Authority to make; terms and conditions.Every insurance

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company organized and doing business by virtue of the laws of this State shall have authority, in addition to all other investments authorized by law, to invest assets in real estate acquired for the purpose of leasing the same to any person, firm or corporation, or in real estate already leased to any person, firm or corporation, under the following terms and conditions: (a) That the lessee shall at his own cost erect, or that there has already been erected, thereon, free of liens; a building or other improvements costing an amount at least equal to the value of the said real estate exclusive of improvements; but if the lease be entered into simultaneously with the purchase of the real estate, the lessor may agree to erect such improvements on such real estate; (b) That the said improvements shall remain on the said property during the period of the lease, with provisions when such improvements are put upon the said property at the cost of the lessee that at the termination of the lease the ownership of such improvements free of liens shall vest in the owner of the real estate; (c) That the lessee shall during the term of the lease, or the unexpired period of the lease if the property be bought subject to the lease, pay to the owner of the real estate rent in such amount as will enable the owner to amortize completely the improvements thereon according to a standard amortization table then in use at or before the end of the normal termination of the lease or at the end of thirty (30) years should the lease, or the unexpired period of the lease, be for a longer period than thirty (30) years; and (d) That during the term of the lease the tenant shall pay all taxes and assessments levied on or against the said real estate, including improvements, shall keep and maintain the said improvements in good repair and shall provide and maintain for the benefit of the lessor fire and extended coverage insurance on such improvements at least equal to the then current insurable value of the improvements.

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(2) Time when to be treated as investment; effect if lessee a corporation whose securities are legal investments.Real estate acquired pursuant to the provisions of this law shall not be treated as an investment unless and until the improvements herein required shall have been constructed and the lease agreement entered into in accordance with the terms of this section, but if the lessee be a corporation the bonds, debentures, notes or preferred stock of which are eligible as investments under the law of Georgia, the requirements of this section as to the erection of improvements by the lessee, the cost of such improvements and the vesting of ownership of such improvements in the owner of the real estate shall not be applicable. (3) Treatment as admitted asset.Real estate acquired under authority of this section shall not be treated as an admitted asset in an amount in excess of the actual investment reduced each year by decrements out of the income from said property sufficient to write off completely, based on standard amortization tables in general use, the improvements at the normal termination of the lease or at the end of thirty (30) years should the term of the lease, or the unexpired period of the lease, be for a longer period than thirty (30) years. (4) Limitation of amount.The total investment of any company under this section shall not exceed five (5%) percent of its admitted assets. No investment shall be made by any company pursuant to this section which will cause such company's investment in all real property owned by it to exceed twenty-five (25%) percent of its admitted assets or when all real property owned by such company equals or exceeds twenty-five (25%) percent of its admitted assets. 56-1030. Real estate for employee facilities. Subject to prior approval of the Commissioner, an insurer may acquire and hold real property for recreation, hospitalization, convalescence and retirement purposes of its employees. All investments under this section shall not exceed five (5%) percent of the insurer's surplus; or if a

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mutual or reciprocal insurer, all such investments shall not exceed five (5%) percent of the insurer's surplus in excess of the surplus required to be maintained under this Title for its authority to transact insurance. 56-1301. Real estate; limits of investment. No investment in real property shall be made by any insurer pursuant to sections 56-1029 or 56-1030 which will cause the insurer's investment in all real property owned or held by it directly or indirectly to exceed twenty-five (25%) percent of its admitted assets. 56-1032. Time limit for disposal of real estate. (1) Except as provided in subsection (4), below, an insurer shall dispose of real property within time limits as follows: (a) If acquired under section 56-1028 (1) (a) or section 56-1030, the insurer shall sell the property within five years after it ceased to be used or to be necessary for the purposes stated therein. (b) If acquired under subsections (b), (c), or (d) of section 56-1028 (1), the insurer shall sell the property within five years after the insurer acquired title thereto. (c) If acquired under section 56-1028 (1) (e), the insurer shall sell the property within five years after the date of acquisition by the insurer of the real property the marketability or sales price of which was so enhanced. (d) If acquired under section 56-1029, the insurer shall within five years after the termination or expiration of the lease, sell the property or re-lease the property for an additional term under the same conditions provided for in section 56-1029 as for an original leasing. (2) Any real property otherwise subject to disposal under subsections (b) through (d), above, may be retained by the insurer for home office or branch office purposes for so long as so used, and subject to provisions otherwise applicable to such home office and branch office property.

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(3) Any real property otherwise subject to disposal under subsections (a), (b), or (c), above, may be retained by the insurer for leasing under section 56-1029 for so long as so used, and subject to provisions otherwise applicable to such real property for leasing. (4) Upon proof satisfactory to him that the interests of the insurer will suffer materially by the forced sale thereof, the Commissioner may by certificate, grant a reasonable additional period, as specified in the certificate, within which the insurer shall dispose of any particular parcel of real property. (5) Nothing contained in this section shall prevent any insurer from improving or conveying its real property, notwithstanding the lapse of five years without having procured such certificate from the Commissioner. 56-1033. Time limit for disposal of other ineligible property and securities. Any person property or securities lawfully acquired by an insurer which it could not otherwise have invested in or loaned its funds upon at the time of such acquisition, shall be disposed of within three years from date of acquisition unless within such period the security has attained to the standard of eligibility; except, that any security or personal property acquired under any agreement of bulk reinsurance, merger, or consolidation, may be retained for a longer period if so provided in the plan for such reinsurance, merger, or consolidation as approved by the Commissioner under Chapter 56-15. Upon application by the insurer and proof that forced sale of any such property or security would materially injure the interests of the insurer, the Commissioner may extend the disposal period for an additional reasonable time. 56-1034. Failure to dispose of real estate, property, or securities; effect, penalty. (1) Any real estate, personal property, or securities lawfully acquired and held by an insurer after expiration of the period for disposal thereof or any extension of such period granted by the Commissioner,

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as provided in sections 56-1032 or 56-1033, shall not be allowed as an asset of the insurer. (2) The insurer shall forthwith dispose of any ineligible investment unlawfully acquired by it, and the Commissioner may suspend or revoke the insurer's certificate of authority if the insurer fails to dispose of the investment within such reasonable time as the Commissioner may, by his order, specify. 56-1035. Prohibited investments and investment underwriting. (1) In addition to investments excluded pursuant to other provisions of this Title, an insurer shall not directly or indirectly invest in or lend its funds upon the security of: (a) Any investment or security which is found by the Commissioner to be designed to evade any prohibition of this Title. (b) Issued shares of its own capital stock, except for the purpose of mutualization under Chapter 56-15, or in connection with a plan approved by the Commissioner for purchase of such shares by the insurer's employees or agents. (c) Except with the advance consent of the Commissioner, securities issued by any corporation or enterprise the controlling interest of which is, or will after such acquisition by the insurer be, held directly or indirectly by the insurer or any combination of the insurer and the insurer's directors, officers, parent corporation, subsidiaries, or controlling stockholders. Investments in subsidiaries, to the extent otherwise authorized by this Chapter, shall not be subject to this provision. (d) Any note or other evidence of indebtedness of any director, officer, or controlling stockholder of the insurer, except as to policy loans authorized under section 56-1018. (2) No insurer shall underwrite or participate in the

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underwriting of an offering of securities or property by any other person. 56-1036. Investments of foreign and alien insurers. (1) The investments of foreign and alien insurers shall be as permitted by the laws of their domicile but shall be of a quality substantially as high as those required under this Chapter for similar funds of like domestic insurers. (2) For the purposes of this section the domicile of an alien insurer, other than insurers formed under the laws of Canada, shall be that state designated by the insurer in writing filed with the Commissioner at time of admission to this State or within six months after the effective date of this Act, whichever date is the later, and may be any one of the following states: (a) That in which the insurer was first authorized to transact insurance; (b) That in which is located the insurer's principal place of business in the United States; (c) That in which is held the larger deposits of trusteed assets of the insurer for the protection of its policy-holders and creditors in the United States. If the insurer makes no such designation its domicile shall be deemed to be that state in which is located its principal place of business in the United States. In the case of the insurer formed under the laws of Canada or a province thereof, its domicile shall be deemed to be that province in which its head office is situated. CHAPTER 56-11 ADMINSTRATION OF DEPOSITS. 56-1101. Deposits of insurers. 56-1102. Purpose of deposits. 56-1103. Assets eligible for deposit.

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56-1104. Trust companies as depositories. 56-1105. Rights of insurer during solvency. 56-1106. Excess deposits. 56-1107. Deficiency of deposit. 56-1108. Release of deposits. 56-1109. Release only on order. 56-1110. Deposit not subject to levy. 56-1111. Retention of bonds in case of loss by insured; appointment of receiver to take charge. 56-1112. Receiverships; procedure by receiver; sale of securities. 56-1113. Receiverships; multiple claims. 56-1114. Additional deposit when amount reduced below amount required; revocation of license on failure to make. 56-1115. Notice of claim; void after seven years unless renewed; procedure where claim settled. 56-1116. General receivership. 56-1117. Withdrawal of deposit by insurance company. 56-1101. Deposits of Insurers. (1) Deposits required or permitted by law to be made by domestic life insurers shall be made with the State Treasurer as Custodian for the Commissioner or with some strong corporation which may be approved by the Commissioner, but all deposits in this State by other insurers shall be made with the State Treasurer of Georgia or some strong financial institution designated by him. Whenever in this Chapter the expression the State is used, rather than the State of Georgia or this State, it means in relation to deposits by domestic life insurers, the Insurance Commissioner of Georgia, and in relation to deposits of other insurers, the State Treasurer of Georgia. (2) When notice is given to the Commissioner by an insured or other person as provided in section 56-1111, the Commissioner shall take charge as receiver of securities of sufficient market value, if in his custody as Commissioner at the time, to satisfy the judgment. Thereafter the procedure with reference to order, sale, and disposition of the proceeds shall be as provided in section 56-1112.

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(3) Whenever, by means of the provisions of sections 56-1111 through 56-1113, the amount of securities deposited with the State Treasurer shall be reduced, the State Treasurer shall at once notify the Commissioner in writing, who shall give notice to the insurer as provided in section 56-1114. (4) The State shall accept and hold in trust deposits of securities or funds by insurers as follows: (a) Deposits required for authority to transact insurance in Georgia; (b) Deposits of domestic, foreign or alien insurers when made pursuant to the laws of other states, provinces and countries as prerequisite for authority to transact insurance in such state, province or country; (c) Deposits in such additional amounts as are permitted to be made by section 56-1106. 56-1102. Purpose of deposits. Such deposits shall be held as follows: (1) When the deposit is required for authority to transact insurance in Georgia, the deposit shall be held for the protection of all the insurer's policyholders or others entitled to the proceeds of policies within the United States; Provided, this shall not apply to a deposit made under section 56-310; (2) When the deposit is required pursuant to the laws of another state, commonwealth, territory, district of the United States, province or country, the deposit shall be held for such purposes as is required by such laws and as specified by the Commissioner at the time the deposit is made; (3) When the deposit is required pursuant to the retaliatory provision, section 56-321, the deposit shall be held for purposes as specified in the Commissioner's order requiring the deposit.

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56-1103. Assets eligible for deposit. (1) All such deposits required for authority to transact insurance in Georgia shall consist of any combination of the securities in which the insurer may lawfully invest under Chapter 56-10, except real estate, notes secured by real estate, stocks, or investment trust or investment company shares. (2) All such deposits required pursuant to the laws of another state, province or country, or pursuant to the retaliatory provisions, section 56-321, shall consist of such assets as are required or permitted by such laws, or as required pursuant to such retaliatory provision. 56-1104. Trust companies as depositories. (1) The State may designate any regularly constituted State depository having trust powers domiciled in this State as a depository to receive and hold any such deposit. Any such deposit so held shall be at the expense of the insurer. Such depository shall give to the State proper trust and safekeeping receipt upon which the State shall give official receipt to the insurer. (2) The State of Georgia shall be responsible for the safekeeping and return of all securities deposited pursuant to this Title with the State or in any depository so designated. 56-1105. Rights of insurer during solvency. So long as the insurer remains solvent and complies with this Title it may: (1) Demand, receive, sue for and recover the income from the securities deposited; (2) Exchange and substitute for the deposited securities, or any part thereof, with the approval of the Commissioner, eligible securities of equivalent or greater value; and (3) Inspect at reasonable times, any such deposit. 56-1106. Excess deposits. An insurer may deposit

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eligible securities in an amount exceeding its deposit required or otherwise permitted under this Title by not more than one hundred thousand ($100,000) dollars, for the purpose of absorbing fluctuations in the value of securities held in its deposit, and to facilitate the exchange and substitution of securities deposited. During the solvency of the insurer any such excess deposit or part thereof shall be released to the insurer upon its request, subject to the provisions of section 56-1109. During the insolvency of the insurer such excess deposit shall be released only as provided in section 56-1108. 56-1107. Deficiency of deposit. If for any reason the market value of assets and securities of an insurer held on deposit in this State under this Title falls below the amount so required, the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure such deficiency. If the insurer has failed to cure the deficiency within thirty (30) days after receipt of notice thereof by registered mail from the Commissioner, the Commissioner shall revoke the insurer's certificate of authority. 56-1108. Release of deposits. Any deposit made in this State under this Title shall be released: (1) To the insurer upon extinguishment by reinsurance or otherwise of all liability of the insurer for the security of which the deposit is held; (2) To the insurer to the extent such deposit is in excess of the amount required; or (3) Upon proper order of a court of competent jurisdiction, to the receiver, conservator, rehabilitator or liquidator of the insurer, or to any other properly designated official or officials who succeed to the management and control of the insurer's assets. 56-1109. Release only on order. No such release of deposited funds shall be made except upon application to and the written order of the Commissioner. The Commissioner

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shall have no liability for any such release of any such deposit or part thereof so made by him in good faith. 56-1110. Deposit not subject to levy. No judgment creditor or other claimant of an insurer shall levy upon any deposit held pursuant to this Title, or upon any part thereof; except, that such levy may be permitted if so specified in the Commissioner's order requiring the deposit pursuant to the retaliatory provision, section 56-321. 56-1111. Retention of bonds in case of loss by insured; appointment of receiver to take charge. Whenever any loss insured against shall occur, the insured, or other person entitled to the proceeds of the policy, by judgment or otherwise; in order to secure his recovery, may give notice to the State of the occurrence of said loss and of the amount claimed, after which notice the State shall be bound to retain, subject to the order of the Georgia court of competent jurisdiction trying any suit that may be brought for the recovery of such loss, or any suit which may be brought upon any judgment obtained in the courts of another state, or the courts of the United States, on account of such loss, a sufficient amount to pay the judgment in said case in event of recovery; and, if the amount for which the depositing insurer is liable shall not be paid within thirty (30) days, said plaintiff may file an application with the judge of the superior court of the county where the case was tried for appointment of the Commissioner as receiver to take charge of as many securities as shall be necessary to satisfy the aforesaid judgment. 56-1112. Procedure by receiver; sale of securities. The State Treasurer, on application by the receiver, shall deliver to him securities of sufficient market value, if in his custody, to satisfy said judgment. The receiver's receipt shall be a complete discharge to said Treasurer and the State of Georgia. The receiver shall apply to the judge of the superior court for an order of sale, and, in pursuance of said order, shall sell said securities. After deducting such expenses as shall be allowed by the court, he shall pay over to the plaintiff or his attorney a sufficient amount to satisfy the judgment; and, if there shall remain

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any residue in the hands of such receiver, he shall pay over the same to the agent of the depositing company taking his receipt for the same, which shall be filed and recorded with the other papers in the case. 56-1113. Receiverships; multiple claims. If receiverships are ordered for the purpose of holding securities for the future satisfaction of more than one claim, the State shall deliver to the receiver securities to be applied to the judgments in the order of the appointments as receiver. If under this and the preceding sections the receiver applies for securities and learns from the State that the insurer has on deposit insufficient securities to cover the claim and if there is another receivership or there are other receiverships in this State against the same insurer in which distribution has not been completed, the Commissioner shall institute proceedings for a general receivership under Chapter 56-14. 56-1114. Additional deposit when amount reduced below amount required; revocation of license on failure to make. Whenever, by means of the provisions of sections 56-1111 through 56-1113, the amount of securities so deposited shall be reduced, the Commissioner shall give notice to the insurer depositing, and require more securities to be deposited, so as always to maintain the original amount; and if the company so notified by the Commissioner shall fail to comply within thirty (30) days, the certificate of authority to do business in this State shall be revoked, and said Commissioner shall at the same time give notice, by publication of display advertising in bold type in a newspaper of general circulation throughout the State of the fact of such failure and revocation of certificate of authority; the cost of which publication shall be paid by the company failing to comply with the provisions of this law. 56-1115. Notice of claim; void after seven years unless renewed; procedure where claim settled. Whenever a notice of claim is filed with the State as provided by law against the deposit of any insurance company doing business in Georgia, and said claim has not been withdrawn

Page 499

at the expiration of seven years from the date of such notice of claim, the State is hereby authorized to treat such notice as void and not binding unless the notice of claim is renewed within said seven year period. In the event the State determines that a claim on which notice has been filed, and not released by claimant, has been settled or disposed of in any manner, it is authorized to proceed as if such notice of claim had never been filed. 56-1116. General receivership. Whenever a general receivership under Chapter 56-14 is ordered by a Georgia court it shall supersede receiverships created under sections 56-1111 through 56-1113. 56-1117. Withdrawal of deposit by insurance company. When any depositing company shall desire to withdraw any deposit made with the State hereunder, and the Commissioner shall find that such deposit is no longer required, in whole or in part, in order to comply with the laws of this or any other state, he may to such extent release such deposit, and his certificate to that effect shall authorize the State to return the deposit so released to the depositing company. A certificate from the Commissioner (or other official authorized to administer the insurance laws) of any other state or states, that the depositing company has fully satisfied or made provision for the full payment and satisfaction of all policy obligations therein, or that such policy obligations therein have been otherwise adequately provided for, shall be sufficient evidence that the deposit is no longer required by the laws of such other state or states; Provided, however, that any notice of loss theretofore given in conformity with this law shall remain effective, and the State shall nevertheless retain securities in an amount sufficient to meet the requirements of sections 56-1111 and 56-1112. CHAPTER 56-12 ACTIONS AGAINST INSURANCE COMPANIES. 56-1201. Venue. 56-1202. Service of process. 56-1203. Service of process; alien or foreign insurers.

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56-1204. Service of process on Commissioner. 56-1205. Service of process; nonresident cooperative or assessment life insurers. 56-1206. Liability of insurer for damages and attorney's fees. 56-1201. Venue. Except for actions arising against unauthorized insurers or under surplus line contracts which are provided for in Chapter 56-6, whenever any person shall have a claim or demand on any insurer, such person may institute suit in any of the following places: (1) In the county where the principal office of the company is located; or (2) In any county where the company shall have an agent or place of doing business; or (3) In any county where such agent or place of doing business was located at the time the cause of action accrued or the contract was made out of which such cause of action arose. (4) In any county where the property covered by an insurance contract upon which an action is brought is located or where the person entitled to the proceeds of an insurance contract upon which action is brought maintains his legal residence. For the purpose of this subsection personal property shall be deemed to be located in the county of the legal residence of the owner thereof, and for the purpose of bringing suit under this subsection a company which has written a contract of insurance upon persons or property located in a particular county, or which has become surety for the performance of an obligation in a particular county shall be deemed to be transacting business in such county and shall be deemed to be a legal resident of such county; Provided further, that any action or suit on the bond of a sheriff, or other arresting or law enforcement officer, upon which any guaranty or surety company or fidelity insurance company is bound and obligated as surety, shall be instituted in the county of the residence of such officer, and not in any other

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county; and the county of the residence of such officer is hereby fixed as the venue of any action or suit on such bond; and such officer may be made a party defendant or may by intervention become a party defendant. 56-1202. Service of process. Service of process against a domestic insurer may be made upon the insurer corporation in the manner provided by laws applying to corporations generally, or upon the insurer's attorney-infact if a reciprocal insurer or a Lloyd's Association. 56-1203. Service of process; alien or foreign insurers. Each authorized alien or foreign insurer shall make the following appointments for service of process: (1) Each such insurer shall file with the Commissioner a power of attorney appointing a person who is a resident of this State to receive service of legal process issued against it in Georgia upon any cause of action arising from its transactions of business in this State. Such power of attorney shall be irrevocable and may only be terminated by the filing of a new appointment by the insurer. (2) Each such insurer shall appoint the Commissioner as its attorney to receive service of legal process issued against it in Georgia upon any cause of action arising from its transactions of business in this State. Such appointment shall be irrevocable, shall bind any successor and shall remain in effect as long as there is in force in Georgia any contract made by the insurer or obligations arising therefrom. Each such insurer at time of application for a certificate of authority shall file with the Commissioner the designation of the name and address of the person to whom process against it served upon the Commissioner is to be forwarded. The insurer may change such designation by a new filing. Service of process upon the Commissioner, however, shall only be made when service cannot be effected in this State by serving the attorney-in-fact appointed by the insurer as provided under subsection (1) above. 56-1204. Service of process on Commissioner. (1)

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In addition to other methods of service provided by law, a foreign or alien insurer may be served with legal process by service of duplicate copies thereof on the agent for service designated under the preceding section or upon the Commissioner. At the time of service the plaintiff shall pay the Commissioner two ($2.00) dollars, taxable as cost in the action. Upon receiving such service the Commissioner shall promptly forward a copy thereof by registered mail to the person last so designated by the insurer to receive the same. (2) Process served upon the Commissioner and copy thereof forwarded as in this section provided, shall constitute service thereof upon the insurer so long as it shall have any obligations or liabilities outstanding, although such company may have withdrawn, have been excluded from, or have ceased to do business in this State. 56-1205. Service of process; nonresident cooperative or assessment life insurers. In suits upon any certificate or policy issued by a nonresident religious or mutual aid society, cooperative or assessment life insurance company or society, service upon the chief executive officer, or the person acting officially for or as such chief executive officer of a local lodge, shall be sufficient service upon such society or company. For this purpose, officers of local lodges are hereby declared to be agents of such nonresident societies or companies, and such local lodges are hereby declared to be agencies of said companies or societies. 56-1206. Liability of insurer for damages and attorney's fees. In the event of a loss which is covered by a policy of insurance and the refusal of the insurer to pay the same within sixty (60) days after a demand has been made by the holder of the policy and a finding has been made that such refusal was in bad faith, the insurer shall be liable to pay such holder, in addition to the loss, not more than twenty-five (25%) percent of the liability of the insurer for the loss and all reasonable attorney's fees for the prosecution of the case against the insurer. The amount of such reasonable attorney's fees shall be determined

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by the trial court and shall be included in any judgment which is rendered in such action. The limitations contained in this section in reference to the amount of attorneys' fees are not controlling as to the fees which may be agreed upon by the plaintiff and his attorney for the services of such attorney in the action against the insurer. CHAPTER 56-13 FEES AND TAXES. 56-1301. Filing, license and miscellaneous fees. 56-1302. Retaliatory provision. 56-1303. Insurance premiums; inclusion of annuity considerations; exemptions. 56-1304. Time of payment of tax on insurance premiums; returns. 56-1305. Reduction of tax. 56-1306. Deduction of retaliatory tax paid to another state. 56-1307. [Reserved]. 56-1308. [Reserved]. 56-1309. License fees. 56-1310. [Reserved]. 56-1311. Execution to issue against delinquents. 56-1301. Filing, license and miscellaneous fees. (1) The Commissioner shall collect in advance, and persons so served shall pay in advance to the Commissioner, fees, licenses and miscellaneous charges as follows: (a) Certificate of authority: (i) Filing application for original certificate of authority, including the filing with the Commissioner of all documents incidental thereto $ 25.00 (ii) Issuance of original certificate of authority $ 20.00 (iii) Reinstatement fee (not applicable to annual renewals in ordinary course) $ 50.00

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(b) Chapter documents: (i) For filing with the Commissioner of other charter documents not filed in connection with application for certificate of authority $ 10.00 (ii) Filing with the Commissioner amendment to charter documents, or to bylaws $ 5.00 (c) License for the following: Property, casualty, surety, life, accident and sickness agents for any one class or combination of all classes $ 15.00 (d) License for the following: Solicitors, brokers, counselors and adjusters $ 15.00 (e) Examination for the following: Property, casualty, surety and allied lines for any one class or combination of all classes $ 10.00 (f) Examination for the following: Life, accident and sickness for any one class or combination of all classes $ 10.00 (g) Examination for the following: Solicitors, brokers, counselors and adjusters $ 10.00 (h) Re-examination of the above categories, each $ 5.00 (i) Each vending machine licensed each year, under section 56-815b. $ 5.00 (j) Surplus line broker, annual license fee as provided in section 56-618 $300.00 (2) The Commissioner shall promplty pay all fees and licenses and taxes collected under this section into the State Treasury in accordance with section 56-228. The Commissioner, however, is authorized to refund amounts which are illegally or erroneously collected, and such payments to the Treasury shall be less the amount of such refunds.

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56-1302. Retaliatory provision. The same fees or taxes imposed upon Georgia agents, brokers, adjusters or any other representatives of insurers, as listed in this Chapter, for the privilege of doing business in another state shall be imposed upon agents, brokers, adjusters or any other representatives of insurers of such other state doing business in this State, in accordance with the provisions of section 56-321. 56-1303. Insurance premiums: Inclusion of annuity considerations: Exemptions. All foreign, alien, and domestic insurance companies doing business in this State shall pay a tax of two and one-fourth (2%) percent upon the gross direct premiums received by them on and after July 1, 1955, upon persons, property or risks in Georgia, from January 1st to December 31st, both inclusive, of each year without regard to business ceded to or assumed from other companies, nor shall any deductions be allowed for premium abatements of any kind or character or for reinsurance or for cash surrender values paid, or for losses or expenses of any kind, said tax being imposed upon gross premiums received from direct writings without any deductions whatever except for premiums returned on change of rate or cancelled policies; Provided, however, deductions may be made for return premiums or assessments, including all policy dividends, refunds, or other similar returns paid or credited to policy-holders and not re-applied as premium for additional or extended life insurance. The term gross direct premiums shall include annuity considerations. 56-1304. Time of payment of tax on insurance premiums; returns. The annual premium taxes required herein shall be paid to the Commissioner annually on or before March 1st following the close of the preceding calendar year upon all such premiums collected during that calendar year. At the same time each such insurance company shall file with the Commissioner a return on a form prescribed by the Commissioner. 56-1305. Reduction of tax. Whenever any insurance company doing business in this State shall make it appear

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to the Commissioner, by evidence satisfactory to him, that one-fourth () of its total assets, as of December 31st of any taxable year, exclusive of direct obligations of the United States, consists of or is invested in any or all of the following classes of property, to wit: (1) General obligation bonds of the State of Georgia or of any political subdivision of the State of Georgia; (2) Revenue bonds or revenue anticipation certificates of any county, municipality or political subdivision of the State of Georgia; (3) Revenue bonds or revenue anticipation certificates of any authority or public corporation created by or pursuant to the laws of the State of Georgia; (4) Real estate situated in and subject to taxation by the State of Georgia or its political subdivisions; (5) Tangible personal property located in Georgia and subject to taxation by the State of Georgia or its political subdivision; (6) Loans secured by liens on real estate situated in the State of Georgia; (7) Policy loans on insurance policies issued by any such company on lives of persons resident in Georgia; (8) Intangible property having a taxable situs in this State; or (9) Shares in Georgia corporations in which such insurance companies are authorized to invest under the laws of the State of Georgia; then the gross premium tax levied by section 56-1303 shall be abated or reduced to one and one-quarter (1%) percent upon the gross premium of any such company subject to taxation by said section, and if the amount so invested by any such company shall be as much as three-fourths

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([frac34]) of its total assets, exclusive of direct obligations of the United States, then the said premium tax shall be abated or reduced to one-half of one percent (.5%) upon the gross premiums of such company subject to taxation by said section. 56-1306. Deducation of retaliatory tax paid to another state. Any insurance company, corporation or association domiciled in the State of Georgia, and issuing insurance policies on fire, lightning, extended coverage and windstorm covering property within this State, may deduct any retaliatory tax actually paid to another state from their Georgia taxes due for the tax year for which such retaliatory tax was paid and only at the time when such Georgia taxes for that year are paid and upon furnishing proof of payment of such retaliatory tax to the Commissioner. 56-1307. [Reserved]. 56-1308. [Reserved]. 56-1309. License fees. (1) Each and every insurance company, domestic, foreign, or alien, carrying on an insurance business in Georgia shall pay to the Commissioner, annually in advance, on or before July 1st, a license fee in the sum of three hundred ($300.00) dollars which payment shall be in lieu of all other license fees of said companies. Foreign companies entering the State and domestic companies beginning business at any time during the license year as herein fixed, shall pay said license fee in full for the remaining portion of that license year: Provided, that local fire insurance companies known as Farmers' Mutual Fire Insurance Companies as defined in Chapter 56-20, shall pay an annual fee of twenty-five ($25.00) dollars, and Fraternal Benefit Societies shall pay the fees as provided for in Chapter 56-19. (2) The license fees provided for in section 56-1301 are expressly imposed on and shall be the obligation of the licensees. 56-1310. [Reserved].

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56-1311. Execution to issue against delinquents. In addition to other remedies provided for in this Title for the collection of fees and taxes, the Commissioner is authorized to issue executions against delinquents who have failed to pay such fees and taxes when due. CHAPTER 56-14. REHABILITATION AND LIQUIDATION OF INSURERS. 56-1401. Definition of terms used in Chapter. 56-1402. Conduct of delinquency proceedings against insurers domiciled in this State. 56-1403. Conduct of delinquency proceedings against insurers not domiciled in this State. 56-1404. Filing and proving of claims of nonresidents against delinquent insurers domiciled in this State. 56-1405. Filing and proving of claims of residents against delinquent insurers domiciled in reciprocal states. 56-1406. Priority of preferred claims. 56-1407. Priority of special deposit claims. 56-1408. Priority of secured claims. 56-1409. Attachment and garnishment of assets. 56-1410. Right of domiciliary receiver to sue in this State. 56-1411. Uniform Insurers Liquidation Act. 56-1412. Jurisdiction of delinquency proceedings; venue; change of venue; exclusiveness of remedy; appeal. 56-1413. Commencement of delinquency proceedings. 56-1414. Injunctions. 56-1415. Grounds for rehabilitation; domestic insurers. 56-1416. Grounds for liquidation. 56-1417. Grounds for conservation; foreign insurers. 56-1418. Grounds for conservation; alien insurers. 56-1419. Grounds for ancillary liquidation; foreign insurers. 56-1420. Order of rehabilitation; termination. 56-1421. Order of liquidation; domestic insurers. 56-1422. Order of liquidation; alien insurers.

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56-1423. Order of conservation or ancillary liquidation of foreign or alien insurers. 56-1424. Authority of Commissioner as liquidator or conservator. 56-1425. Deposit of monies collected. 56-1426. Date rights fixed on liquidation. 56-1427. Voidable transfers. 56-1428. Priority of claims. 56-1429. Offsets. 56-1430. Allowance of certain claims. 56-1431. Time to file claims. 56-1432. Report and petition for assessment. 56-1433. Order and levy of assessment. 56-1434. Assessment prima facie correct; notice; payment; proceedings to collect. 56-1401. Definitions of terms used in Chapter. For the purpose of this Chapter: (1) Impairment or insolvency. The capital of a stock insurer or the surplus of a mutual or reciprocal insurer, shall be deemed to be impaired and the insurer shall be deemed to be insolvent, when such insurer is not possessed of assets at least equal to all liabilities and required reserve together with its total issued and outstanding capital stock if a stock insurer, or the minimum surplus if a mutual or reciprocal insurer, required by this Title to be maintained for the kind or kinds of insurance it is then authorized to transact; (2) Insurer means any person, firm, corporation, association, or aggregation of persons doing an insurance business and subject to the insurance supervisory authority of, or to liquidation, rehabilitation, reorganization, or conservation by, the Commissioner of this State, or the equivalent insurance supervisory official of another state; (3) Delinquency proceedings means any proceeding commenced against an insurer for the purpose of liquidating, rehabilitating, reorganizing, or conserving such insurer;

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(4) State means any state of the United States, and also the District of Columbia, and Puerto Rico; (5) Foreign country means territory not in any state; (6) Domiciliary state means the state in which an insurer is incorporated or organized, or, in the case of an insurer incorporated or organized in a foreign country, the state in which such insurer, having become authorized to do business in such state, has, at the commencement of delinquency proceedings, the largest amount of its assets held in trust and assets held on deposit for the benefit of its policyholders or policyholders and creditors in the United States; and any such insurer is deemed to be domiciled in such state; (7) Ancillary state means any state other than a domiciliary state; (8) Reciprocal state means any state other than this State in which in substance and effect the provisions of this Chapter are in force, including the provisions requiring that the Commissioner or equivalent insurance supervisory official be the receiver of a delinquent insurer; (9) General assets means all property, real, personal, or otherwise, not specifically mortgaged, pledged, deposited, or otherwise encumbered for the security or benefit of specified persons or a limited class or classes of persons, and as to such specifically encumbered property the term includes all such property or its proceeds in excess of the amount necessary to discharge the sum or sums secured thereby. Assets held in trust and assets held on deposit for the security or benefit of all policyholders, or all policyholders and creditors in the United States, shall be deemed general assets; (10) Preferred claim means any claim with respect to which the law of a state or of the United States accords priority of payment from the general assets of the insurer;

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(11) Special deposit claim means any claim secured by a deposit made pursuant to statute for the security or benefit of a limited class or classes of persons, but not including any general assets; (12) Secured claim means any claim secured by mortgage, trust, deed, pledge, deposit as security, escrow, or otherwise, but not including special deposit claims or claims against general assets. The term also includes claims which more than four months prior to the commencement of delinquency proceedings in the state of the insurer's domicile have become liens upon specific assets by reason of judicial process; (13) Receiver means receiver, liquidator, rehabilitator, or conservator as the context may require. 56-1402. Conduct of delinquency proceedings against insurers domiciled in this State. (1) Whenever under the laws of this State a receiver is to be appointed in delinquency proceedings for an insurer domiciled in this State, the court shall appoint the Commissioner as such receiver. The court shall direct the receiver forthwith to take possession of the assets of the insurer and to administer the same under the orders of the court. (2) The domiciliary receiver and his successors in office shall be vested by operation of law with the title to all the property, contracts, and rights of action, and all of the books and records of the insurer wherever located as of the date of entry of the order directing possession to be taken, and he shall have the right to recover the same and reduce the same to possession; except that ancillary receivers in reciprocal states shall have, as to assets located in their respective states, the rights and powers which are hereinafter prescribed for ancillary receivers appointed in this State as to assets located in this State. The filing or recording of the order directing possession to be taken, or a certified copy thereof, in the office where instruments affecting title to property are required to be filed or recorded shall impart the same notice as would be imparted by a deed, bill of sale, or other evidence of title duly filed

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or recorded. The domiciliary receiver shall be responsible on his official bond for the proper administration of all assets coming into his possession or control. The court may at any time require an additional bond from him or his deputies if deemed desirable for the protection of the assets. (3) Upon taking possession of the assets of a delinquent insurer the domiciliary receiver shall, subject to the direction of the court, immediately proceed to conduct the business of the insurer or to take such steps as are authorized by the laws of this State for the purpose of liquidating, rehabilitating, reorganizing, or conserving the affairs of the insurer. In connection with delinquency proceedings he may appoint one or more special deputy commissioners to act for him, and may employ such counsel, clerks, and assistants as he deems necessary. The compensation of the special deputies, counsel, clerks, or assistants, and all expenses of taking possession of the delinquent insurer and of conducting the delinquency proceedings shall be fixed by the receiver, subject to the approval of the court, and shall be paid out of the funds or assets of the insurer. Within the limits of the duties imposed upon them special deputies shall possess all the powers given to, and, in the exercise of those powers, shall be subject to all of the duties imposed upon the receiver with respect to delinquency proceedings. 56-1403. Conduct of delinquency proceedings against insurers not domiciled in this State. (1) Whenever under the laws of this State an ancillary receiver is to be appointed in delinquency proceedings for an insurer not domiciled in this State, the court shall appoint the Commissioner as ancillary receiver. The Commissioner shall file a petition requesting the appointment (a) if he finds that there are sufficient assets of such insurer located in this State to justify the appointment of an ancillary receiver, or (b) if ten (10) or more persons resident in this State having claims against such insurer file a petition with the Commissioner requesting the appointment of such ancillary receiver.

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(2) If the Commissioner fails to file a petition within thirty (30) days after the appointment of a receiver for such insurer in its domiciliary state, any person having a claim insured against by said insurer may file a petition in the Superior Court of Fulton County for the appointment of the Commissioner as ancillary receiver of the property of such foreign insurer. (3) The domiciliary receiver of an insurer domiciled in a reciprocal state, shall be vested by operation of law with the title to all of the property, contracts, and rights of action, and all of the books and records of the insurer located in this State, and he shall have the immediate right to recover balances due from local agents and to obtain possession of any books and records of the insurer found in this State. He shall also be entitled to recover the other assets of the insurer located in this State except that upon the appointment of an ancillary receiver in this State, the ancillary receiver shall during the ancillary receivership proceedings have the sole right to recover such other assets. The ancillary receiver shall, as soon as practicable, liquidate from their respective securities those special deposit claims and secured claims which are proved and allowed in the ancillary proceedings in this State, and shall pay the necessary expenses of the proceedings. All remaining assets he shall promptly transfer to the domiciliary receiver. Subject to the foregoing provisions the ancillary receiver and his deputies shall have the same powers and be subject to the same duties with respect to the administration of such assets as a receiver of an insurer domiciled in this State. 56-1404. Filing and proving of claims of nonresidents against delinquent insurers domiciled in this State. (1) In a delinquency proceeding begun in this State against an insurer domiciled in this State, claimants residing in reciprocal states may file claims either with the ancillary receivers, if any, in their respective states, or with the domiciliary receiver. All such claims must be filed on or before the last date fixed for the filing of claims in the domiciliary delinquency proceedings.

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(2) Controverted claims belonging to claimants residing in reciprocal states may either be proved in this State as provided by law, or, if ancillary proceedings have been commenced in such reciprocal states, may be proved in those proceedings. In the event a claimant elects to prove his claim in ancillary proceedings, if notice of the claim and opportunity to appear and be heard is afforded the domiciliary receiver of this State as provided in section 56-1405 with respect to ancillary proceedings in this State, the final allowance of such claim by the courts in the ancillary state shall be accepted in this State as conclusive as to its amount, and shall be accepted as conclusive as to its priority, if any, against special deposits or other security located within the ancillary state. 56-1405. Filing and proving of claims of residents against delinquent insurers domiciled in reciprocal states. (1) In a delinquency proceeding in a reciprocal state against an insurer domiciled in that state, claimants against such insurer who reside within this State may file claims either with the ancillary receiver, if any, appointed in this State, or with the domiciliary receiver. All such claims must be filed on or before the last date fixed for the filing of claims in the domiciliary delinquency proceedings. (2) Controverted claims belonging to claimants residing in this State may either be proved in the domiciliary state as provided by the law of that state, or, if ancillary proceedings have been commenced in this State, be proved in those proceedings. In the event that any such claimant elects to prove his claim in this State, he shall file his claim with the ancillary receiver in the manner provided by the law of this State for the proving of claims against insurers domiciled in this State, and he shall give notice in writing to the receiver in the domiciliary state, either by registered mail or by personal service at least forty (40) days prior to the date set for hearing. The notice shall contain a concise statement of the amount of the claim, the facts on which the claim is based, and the priorities asserted, if any. If the domiciliary receiver, within thirty (30) days after the giving of such notice, shall give

Page 515

notice in writing to the ancillary receiver and to the claimant, either by registered mail or by personal service, of his intention to contest such claim, he shall be entitled to appear or to be represented in any proceeding in this State involving the adjudication of the claim. The final allowance of the claim by the courts of this State shall be accepted as conclusive as to its amount, and shall also be accepted as conclusive as to its priority, if any, against special deposits or other security located within this State. 56-1406. Priority of preferred claims. (1) In a delinquency proceeding against an insurer domiciled in this State, claims owing to residents of ancillary states shall be preferred claims if like claims are preferred under the laws of this State. All such claims whether owing to residents or nonresidents shall be given equal priority of payment from general assets regardless of where such assets are located. (2) In a delinquency proceeding against an insurer domiciled in a reciprocal state, claims owing to residents of this State shall be preferred if like claims are preferred by the laws of that state. 56-1407. Priority of special deposit claims. The owners of special deposit claims against an insurer for which a receiver is appointed in this or any other State shall be given priority against their several special deposits in accordance with the provisions of the statutes governing the creation and maintenance of such deposits. If there is a deficiency in any such deposit so that the claims secured thereby are not fully discharged therefrom, the claimant may share in the general assets, but such sharing shall be deferred until general creditors and also claimants against other special deposits who have received smaller percentages from their respective special deposits, have been paid percentages of their claims equal to the percentage paid from the special deposit. 56-1408. Priority of secured claims. The owner of a secured claim against an insurer for which a receiver

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has been appointed in this or any other State may surrender his security and file his claim as a general creditor, or the claim may be discharged by resort to the security, in which case the deficiency, if any, shall be treated as a claim against the general assets of the insurer on the same basis as claims of unsecured creditors. If the amount of the deficiency has been adjudicated in ancillary proceedings as provided in this Chapter, or if it has been adjudicated by a court of competent jurisdiction in proceedings in which the domiciliary receiver has had notice and opportunity to be heard, such amount shall be conclusive; otherwise the amount shall be determined in the delinquency proceeding in the domiciliary state. 56-1409. Attachment and garnishment of assets. During the pendency of deliquency proceedings in this or any reciprocal state no action or proceeding in the nature of an attachment, garnishment, or execution shall be commenced or maintained in the courts of this State against the delinquent insurer or its assets. Any lien obtained by any such action or proceeding within four months prior to the commencement of any such delinquency proceeding or at any time thereafter shall be void as against any rights arising in such delinquency proceeding. 56-1410. Right of domiciliary receiver to sue in this State. The domiciliary receiver of an insurer domiciled in a reciprocal state may sue in this State to recover any assets of such insurer to which he may be entitled under the laws of this State. 56-1411. Uniform Insurers Liquidation Act. (1) Subsections (2) through (13), inclusive, of section 56-1401 through section 56-1410, both inclusive of this Chapter constitute and may be referred to as the Uniform Insurers Liquidation Act. (2) If any provision of this Act or the application thereof to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of the Act which can be given effect without the

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invalid provision or application, and to this end the provisions of this Act are declared to be severable. (3) This Act shall be so interpreted and construed as to effectuate its general purpose to make uniform the law of those states that enact it. To the extent that its provisions, when applicable, conflict with other laws, or other portions of this Chapter, the provisions of this Act shall control. 56-1412. Jurisdiction of delinquency proceedings; venue; change of venue; exclusiveness of remedy; appeal. (1) The superior court shall have original jurisdiction of delinquency proceedings under this Chapter and any court with jurisdiction is authorized to make all necessary or proper orders to carry out the purposes of this Chapter. (2) The venue of delinquency proceedings against a domestic insurer shall be in the county of the insurer's principal place of business. The venue of such proceedings against foreign and alien insurer shall be in the Superior Court of Fulton County. (3) At any time after the commencement of a proceeding under this Chapter the Commissioner may apply to the court for an order changing the venue of, and removing the proceeding to, Fulton County or to any other county of this State in which he deems that such proceeding may be most economically and efficiently conducted. (4) Delinquency proceedings pursuant to this Chapter shall constitute the sole and exclusive method of liquidating, rehabilitating, reorganizing or conserving an insurer, and no court shall entertain a petition for the commencement of such proceedings unless the same has been filed in the name of the State on the relation of the Commissioner. (5) An appeal shall lie to the Supreme Court from an order granting or refusing rehabilitation, liquidation, or conservation, and from every order in delinquency

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proceedings having the character of a final order as to the particular portion of the proceedings embraced therein. 56-1413. Commencement of delinquency proceedings. The Commissioner shall commence any such proceedings by application to the court for an order directing the insurer to show cause why the Commissioner should not have the relief prayed for. On the return of such order to show cause, and after a full hearing, the court shall either deny the application or grant the application, together with such other relief as the nature of the case and the interests of the policyholders, creditors, stockholders, members, subscribers or the public may require. 56-1414. Injunctions. (1) Upon application by the Commissioner for such an order to show cause, or at any time thereafter, the court may without notice issue an injunction restraining the insurer, its officers, directors, stockholders, members, subscribers, agents and all other persons from the transaction of its business or the waste or disposition of its property until the further order of the court. (2) The court may at any time during a proceeding under this Chapter issue such other injunctions or orders as may be deemed necessary to prevent interference with the Commissioner or the proceeding or waste of the assets of the insurer, or the commencement or prosecution of any actions, or the obtaining of preferences, judgments, attachments or other liens, or the making of any levy against the insurer or against its assets or any part thereof. (3) Notwithstanding any other provision of law, no bond shall be required of the Commissioner as a prerequisite for the issuance of any injunction or restraining order pursuant to this section. 56-1415. Grounds for rehabilitation; domestic insurers. The Commissioner may apply to the court for an

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order appointing him in his official capacity and his successors in office as receiver of and directing him to rehabilitate a domestic insurer upon one or more of the following grounds. That the insurer: (1) Is impaired or insolvent; (2) Has refused to submit any of its books, records, accounts or affairs to reasonable examination by the Commissioner; (3) Has concealed or removed records or assets; (4) Has failed to comply with an order of the Commissioner to make good an impairment of capital or surplus or both; (5) Has transferred or attempted to transfer substantially its entire property or business, or has entered into any transaction the effect of which is to merge substantially its entire property or business in that of any other insurer without having first obtained the written approval of the Commissioner; (6) Has wilfully violated its charter or any law of this State; (7) Has an officer, director or manager who has refused to be examined under oath concerning its affairs, for which purposes the Commissioner is hereby authorized to conduct and to enforce by all appropriate and available means any such examination under oath in any other state or territory of the United States, in which any such officer, director or manager may then presently be, to the full extent permitted by the laws of such other state or territory, this special authorization considered; (8) Has been or is the subject of an application for the appointment of a receiver, trustee, custodian or sequestrator of the insurer or its property otherwise than pursuant to the provisions of this Title, but only if such appointment has been made or is imminent and its

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effect is or would be to oust the courts of this State of jurisdiction hereunder; (9) Has consented to such an order through a majority of its directors, stockholders, members or subscribers; (10) Has failed to pay final judgment rendered against it in this State upon any insurance contract issued or assumed by it, within thirty (30) days after the judgment became final or within thirty (30) days after the time for taking an appeal has expired, or within thirty (30) days after dismissal of an appeal before final termination, whichever date is the later; (11) Is found to be in such condition that its further transaction of business would be hazardous to its policyholders, or to its creditors, or to the public. 56-1416. Grounds for liquidation. The Commissioner may apply to the court for an order appointing him as receiver (if his appointment as receiver shall not be then in effect) and directing him to liquidate the business of a domestic insurer or of the United States branch of an alien insurer having trusteed assets in this State, regardless of whether or not there has been a prior order directing him to rehabilitate such insurer, upon any of the grounds specified in section 56-1415, or if such insurer: (1) Has ceased transacting business for a period of one year; or (2) Is an insolvent insurer and has commenced voluntary liquidation or dissolution, or attempts to commence or prosecute any action or proceeding to liquidate its business or affairs, or to dissolve its corporate charter, or to procure the appointment of a receiver, trustee, custodian or sequestrator under any law except this Title. 56-1417. Grounds for conservation; foreign insurers. The Commissioner may apply to the court for an order

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appointing him as receiver or ancillary receiver, and directing him to conserve the assets within this State, of a foreign insurer upon any of the following grounds: (1) Upon any of the grounds specified in sections 56-1415 or 56-1416; or (2) Upon the ground that its property has been sequestrated in its domiciliary sovereignty or in any other sovereignty. 56-1418. Grounds for conservation; alien insurers. The Commissioner may apply to the court for an order appointing him as receiver or ancillary receiver, and directing him to conserve the assets within this State, of any alien insurer upon any of the following grounds: (1) Upon any of the grounds specified in sections 56-1415 or 56-1416; (2) Upon the ground that the insurer has failed to comply, within the time designated by the Commissioner, with an order made by him to make good an impairment of its trusteed funds; or (3) Upon the ground that the property of the insurer has been sequestrated in its domiciliary sovereignty or elsewhere. 56-1419. Grounds for ancillary liquidation; foreign insurers. The Commissioner may apply to the court for an order appointing him as ancillary receiver of any directing him to liquidate the business of a foreign insurer having assets, business or claims in this State upon the appointment in the domiciliary state of such insurer of a receiver, liquidator, conservator, rehabilitator or other officer by whatever name called for the purpose of liquidating the business of such insurer. If the Commissioner shall fail to apply for his appointment as ancillary receiver within thirty (30) days after the appointment in the domiciliary state of such insurer of a receiver, liquidator, conservator, rehabilitator or other officer by

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whatever name called for the purpose of liquidating the business of such insurer, then any person having a claim against such foreign insurer for a loss insured against may apply to the Superior Court of Fulton County for the appointment of the Commissioner as ancillary receiver of the assets of such foreign insurer in this State. 56-1420. Order of rehabilitation; termination. (1) An order to rehabilitate a domestic insurer shall direct the Commissioner forthwith to take possession of the property of the insurer and to conduct the business thereof, and to take such steps toward removal of the causes and conditions which have made rehabilitation necessary as the court may direct. (2) If at any time the Commissioner deems that further efforts to rehabilitate the insurer would be useless, he may apply to the court for an order of liquidation. (3) The Commissioner, or any interested person upon due notice to the Commissioner, at any time may apply to the court for an order terminating the rehabilitation proceedings and permitting the insurer to resume possession of its property and the conduct of its business, but no such order shall be made or entered except when, after a hearing, the court has determined that the purposes of the proceeding have been fully accomplished. 56-1421. Order of liquidation; domestic insurers. (1) An order to liquidate the business of a domestic insurer shall direct the Commissioner forthwith to take possession of the property of the insurer, to liquidate its business, to deal with the insurer's property and business in his own name as Commissioner or in the name of the insurer, as the court may direct, and to give notice to all creditors who may have claims against the insurer to present such claims. (2) The Commissioner may apply for and secure an order dissolving the corporate existence of a domestic insurer upon his application for an order of liquidation

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of such insurer or at any time after such order has been granted. 56-1422. Order of liquidation; alien insurers. An order to liquidate the business of a United States branch of an alien insurer having trusteed assets in this State shall be in the same terms as those prescribed for domestic insurers, save and except only that the assets of the business of such United States branch shall be the only assets included therein. 56-1423. Order of conservation or ancillary liquidation of foreign or alien insurers. (1) An order to conserve the assets of a foreign or alien insurer shall require the Commissioner forthwith to take possession of the property of the insurer within this State and to conserve it, subject to the further direction of the court. (2) An order to liquidate the assets in this State of a foreign insurer shall rquire the Commissioner forthwith to take possession of the property of the insurer within this State and to liquidate it subject to the orders of the court and with due regard to the rights and powers of the domiciliary receiver, as provided in this Chapter. 56-1424. Authority of Commissioner as liquidator or conservator. Upon taking possession of the property and business of any insurer in any proceeding under this Chapter, the Commissioner, exclusively and except as otherwise expressly provided by this Chapter, either as conservator or liquidator: (1) Shall have authority to collect all monies due such insurer, and to do such other acts as are necessary or expedient to collect, conserve or protect its assets, property and business, and to carry on and conduct the business and affairs of any such insurer or so much thereof as to him may seem appropriate; (2) Shall collect all debts due and claims belonging to said insurer, and shall have the authority to sell, compound, compromise or assign, for the purpose of collection

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upon such terms and conditions as he deems best, any bad or doubtful debts; (3) Shall have authority to compound, compromise or in any other manner negotiate settlements of claims against such insurer upon such terms and conditions as he shall deem to be most advantageous to the estate of the insurer being administered or liquidated or otherwise delt with under this Chapter; (4) Shall have authority without notice, to acquire, hypothecate, encumber, lease, improve, sell, transfer, abandon or otherwise dispose of or dela with, any real or personal property of any such insurer at its reasonable market value, or, in case other than acquisition, sale or transfer on the basis of reasonable market value, upon such terms and conditions as he may deem proper; Provided, however, that no transaction involving real or personal property shall be made where the market value of the property involved exceeds the sum of one thousand ($1,000) dollars without first obtaining permission of said court, and then only in accordance with such terms as said court may prescribe; (5) Shall have authority to transfer to a trustee or trustees, under a voting trust agreement, the stock of an insurer heretofore or hereafter issued to him as conservator or as liquidator in connection with a rehabilitation or reinsurance agreement, or any other proceeding under this Chapter. Such voting trust agreement shall confer upon the trustee or trustees the right to vote or otherwise represent such stock, and shall not be irrevocable for a period of more than twenty-one (21) years; (6) May, for the purpose of executing and performing any of the powers and authority conferred upon him under this Chapter, in the name of the insurer affected by the proceeding or in his own name, prosecute and defend any and all suits and other legal proceedings, and execute, acknowledge and deliver any and all deeds, assignments, releases and other instruments necessary and proper to effectuate any sale of any real and personal

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property or other transaction in connection with the administration, liquidation, or other disposition of the assets of the insurer affected by such proceeding; and any deed or other instrument executed pursuant to the authority hereby given shall be valid and effectual for all purposes as though the same had been executed by the insurer affected by any proceeding under this Chapter or by its officers pursuant to the direction of its governing board or authority. In cases where any real property sold by the Commissioner under this Chapter is located in a county other than the county wherein the proceeding is pending, the Commissioner shall cause a certified copy of the order of his appointment, or order authorizing or ratifying the sale, to be filed in the office of the clerk of the superior court of the county in which said property is located; (7) Shall have authority to invest and reinvest, as provided in Chapter 56-10, in such manner as he may deem suitable for the best interests of the creditors of such insurer, such portions of the funds and assets of such insurer in his possession as do not exceed the amount of the reserves required by law to be maintained by such insurer as reserves for life insurance policies, annuity contracts, supplementary agreements incidental to life business and reserves for noncancellable disability policies, and which funds and assets are not immediately distributable to creditors; Provided, however, that no such investment or reinvestment shall be made which exceeds the sum of one thousand ($1,000) dollars without first obtaining permission of said court, and then only in accordance with such terms as said court may prescribe; (8) In order to preserve as far as possible the rights and interests of the policyholders of the company whose contracts were cancelled by the liquidation order and of such other creditors as may be possible, the Commissioner may solicit a contract or contracts whereby a solvent company or companies will agree to assume in whole, or in part, or upon a modified basis, the liabilities owing to said former policyholders or creditors. If, after a full hearing upon a petition filed by the Commissioner,

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the court shall find that the Commissioner endeavored to obtain the best contract for the benefit of said parties in interest, and if the said Commissioner shall report to the court that he is ready and willing to enter into a contract and submit a copy thereof to the court, the court shall examine the procedure and acts of the Commissioner, and if the court shall find that the best possible contract in the interests of said parties has been obtained and that it is best for the interests of said parties that said contract be entered into, the court shall by written order approve the acts of the Commissioner and authorize him to execute said contract. The enumeration, in this section, of the duties, powers and authority of the Commissioner in proceedings under this Chapter shall not be construed as a limitation upon the Commissioner, nor shall it exclude in any manner his right to perform and to do such other acts not herein specifically enumerated, or otherwise provided for, which he may deem necessary or expedient for the accomplishment or in aid of the purpose of such proceedings. 56-1425. Deposit of monies collected. The monies collected by the Commissioner in a proceeding under this Chapter shall be from time to time deposited in one or more State or national banks, savings banks or trust companies, which are authorized under the laws of this State to act as depositories of State funds and which have their deposits insured by the Federal Deposit Insurance Corporation, and in the case of the insolvency or voluntary or involuntary liquidation of any such depository which is an institution organized and supervised under the laws of this State, such deposits shall be entitled to priority of payment on an equality with any other priority given by the banking laws of this State. The Commissioner may in his discretion deposit such monies or any part thereof in a national bank or trust company, which is authorized under the laws of this State to act as a depository of State funds and which has its deposits insured by the Federal Deposit Insurance Corporation, as a trust fund.

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56-1426. Date rights fixed on liquidation. The rights and liabilities of the insurer and of its creditors, policyholders, stockholders, members, subscribers and all other persons interested in its estate shall, unless otherwise directed by the court, be fixed as of the date on which the order directing the liquidation of the insurer is filed in the office of the clerk of the court which made the order, subject to the provisions of this Chapter with respect to the rights of claimants holding contingent claims. 56-1427. Voidable transfers. (1) Any transfer of, or lien upon, the property of an insurer which is made or created within four months prior to the granting of an order to show cause under this Chapter with the intent of giving to any creditor a preference or of enabling him to obtain a greater percentage of his debt than any other creditor of the same class and which is accepted by such creditor having reasonable cause to believe that such preference will occur, shall be voidable. (2) Every director, officer, employee, stockholder, member, subscriber and any other person acting on behalf of such insurer who shall be concerned in any such act or deed and every person receiving thereby any property of such insurer or the benefit thereof shall be personally liable therefor and shall be bound to account to the Commissioner. (3) The Commissioner as receiver in any proceeding under this Chapter may avoid any transfer of or lien upon the property of an insurer which any creditor, stockholder, subscriber or member of such insurer might have avoided and may recover the property so transferred unless such person was a bona fide holder for value prior to the date of the entering of an order to show cause under this Chapter. Such property or its value may be recovered from anyone who has received it except a bona fide holder for value as herein specified. 56-1428. Priority of claims. The following priority of claims in the distribution of assets is hereby established:

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(1) Claims for cost of administration and conservation of assets of the insurer; (2) Claims under policies for losses incurred, including claims of third parties under liability policies; (3) Claims for unearned premiums; (4) Compensation actually owing to employees other than officers of an insurer, for services rendered within three months prior to the commencement of a proceeding against the insurer under this Chapter, but not exceeding five hundred ($500) dollars for each employee, shall be paid, and in the discretion of the Commissioner may be paid as soon as practicable after the proceeding has been commenced. Such priority shall be in lieu of any other similar priority which may be authorized by law as to wages or compensation of such employees; (5) Claims of general creditors. 56-1429. Offsets. (1) In all cases of mutual debts or mutual credits between the insurer and another person in connection with any action or proceeding under this Chapter, such credits and debts shall be set off and the balance only shall be allowed or paid, except as provided in subsection (2) below. (2) No offset shall be allowed in favor of any such person where: (a) The obligation of the insurer to such person would not at the date of the entry of any liquidation order or otherwise, as provided in section 56-1426, entitle him to share as a claimant in the assets of the insurer, or (b) The obligation of the insurer to such person was purchased by or transferred to such person with a view of its being used as an offset, or (c) The obligation of such person is to pay an assessment levied against the members of a mutual insurer, or

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against the subscribers of a reciprocal insurer, or is to pay a balance upon the subscription to the capital stock of a stock insurer. 56-1430. Allowance of certain claims. (1) No contingent and unliquidated claim shall share in a distribution of the assets of an insurer which has been adjudicated to be insolvent by an order made pursuant to this Chapter, except that such claim shall be considered, if properly presented, and may be allowed to share where: (a) Such claim becomes absolute against the insurer on or before the last day for filing claims against the assets of such insurer, or (b) There is a surplus and the liquidation is thereafter conducted upon the basis that such insurer is solvent. (2) Where an insurer has been so adjudicated to be insolvent any person who has a cause of action against an insured of such insurer under a liability insurance policy issued by such insurer shall have the right to file a claim in the liquidation proceeding, regardless of the fact that such claim may be contingent, and such claim may be allowed: (a) If it may be reasonably inferred from the proof presented upon such claim that such person would be able to obtain a judgment upon such cause of action against such insured, and (b) If such person shall furnish suitable proof, unless the court for good cause shown shall otherwise direct, that no further valid claim against such insurer arising out of his cause of action other than those already presented can be made, and (c) If the total liability of such insurer to all claimants arising out of the same act as of its insured shall be no greater than its maximum liability would be were it not in liquidation.

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(3) No judgment against such an insured taken after the date of entry of the liquidation order shall be considered in the liquidation proceedings as evidence of liability, or of the amount of damages, and no judgment against an insured taken by default, or by collusion prior to the entry of the liquidation order, shall be considered as conclusive evidence in the liquidation proceedings, either of the liability of such insured to such person upon such cause of action or of the amount of damages to which such person is therein entitled. (4) No claim of any secured claimant shall be allowed at a sum greater than the difference between the value of the claim without security and the value of the security itself as of the date of the entry of the order of liquidation or such other date set by the court for determining rights and liabilities as provided in section 56-1426 unless the claimant shall surrender his security to the Commissioner, in which event the claim shall be allowed in the full amount for which it is valued. 56-1431. Time to file claims. (1) If upon the entry of an order of liquidation under this Chapter or at any time thereafter during liquidation proceedings the insurer shall not be clearly solvent, the court shall, upon hearing after such notice it deems proper, make and enter an order adjudging the insurer to be insolvent. (2) After the entry of the order of insolvency, regardless of any prior notice that may have been given to creditors, the Commissioner shall notify all persons who may have claims against such insurer to file such claims with him, at a place and within the time specified in the notice, or that such claims shall be forever barred. The time specified in the notice shall be as fixed by the court for filing of claims and which shall be not less than six months after the entry of the order of insolvency. The notice shall be given in such manner and for such reasonable period of time as may be ordered by the court. 56-1432. Report and petition for assessment. Within

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three years after the date of the entry of an order of rehabilitation or liquidation of a domestic mutual insurer or a domestic reciprocal insurer, the Commissioner may make and file his report and petition to the court setting forth: (1) The reasonable value of the assets of the insurer; (2) The liabilities of the insurer to the extent thus far ascertained by the Commissioner; (3) The aggregate amount of the assessment, if any, which the Commissioner deems reasonably necessary to pay all claims, the costs and expenses of the collection of the assessments and the costs and expenses of the delinquency proceedings in full; and (4) Any other information relative to the affairs or property of the insurer that the Commissioner deems material. 56-1433. Order and levy of assessment. (1) Upon the filing and reading of the report and petition provided for in section 56-1432, the court, ex parte, may order the Commissioner to assess all members or subscribers of the insurer who may be subject to such an assessment, in such an aggregate amount as the court finds reasonably necessary to pay all valid claims as may be timely filed and proved in the delinquency proceedings, together with the costs and expenses of levying and collecting assessments and the costs and expenses of the delinquency proceedings in full. Any such order shall require the Commissioner to assess each such member or subscriber his proportion of the aggregate assessment, according to such reasonable classification of such members or subscribers and formula as may be made by the Commissioner and approved by the court. (2) The court may order additional assessments upon the filing and reading of any amendment or supplement to the report and petition referred to in subsection (1) above, if such amendment or supplement is filed within

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three years after the date of the entry of the order of rehabilitation or liquidation. (3) After the entry of the order to levy and assess members or subscribers of an insurer referred to in subsections (1) or (2) above, the Commissioner shall levy and assess members or subscribers in accordance with the order. (4) The total of all assessments against any member or subscriber with respect to any policy, whether levied pursuant to this Chapter or pursuant to any other provision of this Title, shall be for no greater amount than that specified in the policy or policies of the member or subscribers and as limited under this Title, except as to any policy which was issued at a rate of premium below the minimum rate lawfully permitted for the risk insured, in which event the assessment against any such policyholder shall be upon the basis of the minimum rate for such risk. (5) No assessment shall be levied against any member or subscriber with respect to any nonassessable policy issued by the company with the Commissioner's approval as provided in accordance with this Title. 56-1434. Assessment prima facie correct; notice; payment; proceedings to collect. (1) Any assessment of a subscriber or member of an insurer made by the Commissioner pursuant to the order of court fixing the aggregate amount of the assessment against all member or subscribers and approving the classification and formula made by the Commissioner under section 56-1433 (1) shall be prima facie correct. (2) Each member of subscriber shall be notified of the amount of assessment to be paid by him by written notice mailed to the address of the member or subscriber last of record with the insurer. Failure of the member or subscriber to receive the notice so mailed, within the time specified therein or at all, shall be no defense in any proceeding to collect the assessment.

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(3) If any such member or subscriber fails to pay the assessment within the period specified in the notice, which period shall not be less than twenty (20) days after mailing, the Commissioner may obtain an order in the delinquency proceedings requiring the member or subscriber to show cause at a time and place fixed by the court why judgment should not be entered against such member or subscriber for the amount of the assessment together with all costs, and a copy of the order and a copy of the petition therefor shall be served upon the member or subscriber within the time and in the manner designated in the order. (4) If the subscriber or member after due service of a copy of the order and petition referred to in subsection (3), above, is made upon him: (a) Fails to appear at the time and place specified in the order, judgment shall be entered against him as prayed for in the petition; or (b) Appears in the manner and form required by law in response to the order, the court shall hear and determine the matter and enter a judgment in accordance with its decision. (5) The Commissioner may collect any such assessment through any other lawful means. CHAPTER 56-15 DOMESTIC STOCK AND MUTUAL INSURERS: ORGANIZATION AND CORPORATE PROCEDURES 56-1501. Scope of Chapter. 56-1502. Definitions. 56-1503. Applicability of general corporation statutes. 56-1504. Application for charter. 56-1505. Filing of application for charter; fee; publication, approval of Commissioner. 56-1506. Issuance of certificate of incorporation; right to do business.

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56-1507. Name of corporation. 56-1508. Corporate powers. 56-1509. Amendment or renewal of charter. 56-1510. Initial qualification; domestic mutual. 56-1511. Bond for solicitation; mutual application. 56-1512. Applications for insurance in formation of mutual insurers. 56-1513. Formation of mutuals; premium deposit and policy issuance. 56-1514. Formation of mutuals; failure to qualify. 56-1515. Bylaws of mutual insurers. 56-1516. Membership in mutuals. 56-1517. Additional kinds of insurance; mutuals. 56-1518. Contributions authorized. 56-1519. Directors; number, election, meetings. 56-1520. Borrowed surplus. 56-1521. Participating policies. 56-1522. Principal office and records; penalty for unlawful removal of records. 56-1523. Dividend to stokholders. 56-1524. Dividend to mutual members. 56-1525. Illegal dividends; stock insurers; penalty. 56-1526. Illegal dividends; mutual insurers; penalty. 56-1527. Contingent liability of mutual members. 56-1528. Enforcement of contingent liability. 56-1529. Payment of contingent liability assessment. 56-1530. Mutual nonassessable policies. 56-1531. Impairment of capital or assets. 56-1532. Management and exclusive agency contracts. 56-1533. Prohibited pecuniary interest of officials. 56-1534. Mergers and consolidations; stock insurers. 56-1535. Mergers and consolidations; mutual insurers. 56-1536. Mutualization of stock insurers. 56-1537. Converting mutual insurer. 56-1538. Bulk reinsurance by stock insurers. 56-1539. Bulk reinsurance by mutual insurers. 56-1540. Extinguishment of unused corporate charters. 56-1541. Mutual members' share of assets on liquidation. 56-1542. Commissions and limitations on organizational expenses.

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56-1543. Approval of issuance of stock of holding companies; denial of certificate of authority to insurers. 56-1544. Voluntary dissolution; procedure. 56-1545. Surrender of charter. 56-1546. Surrender of charter; directors to act as trustees. 56-1547. Continuation for suit and winding up affairs. 56-1501. Scope of Chapter. (1) This Chapter shall govern domestic mutual and stock insurers hereafter formed and shall govern existing domestic mutuals and stock insurers to the extent applicable. (2) Any domestic stock or mutual insurer which as of the effective date of this Act, had duly filed its application for charter and was lawfully in process of completing its organization, shall complete its organization according to such procedures as were provided by laws in force immediately prior to the effective date of this Act. (3) Existing domestic stock and mutual insurers are governed by the applicable provisions of this Chapter. 56-1502. Definitions. (1) Stock insurer definedA Stock insurer is an incorporated insurer with capital divided into shares and owned by its shareholders. (2) Mutual insurer definedA Mutual insurer is an incorporated insurer without capital stock or shares, and is owned and governed by its policyholders. 56-1503. Applicability of general corporation statutes. The applicable statutes of this State relating to the powers and procedures of domestic private corporations formed for profit shall apply to domestic stock insurers and to domestic mutual insurers, except where in conflict with the express provisions of this Title and the reasonable implications of such provisions. 56-1504. Application for charter. (1) This section

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applies to stock and mutual insurers hereinafter incorporated in this State. (2) Five or more individuals of the age of twenty-one (21) years or more of good moral character and who have not been convicted of any crime involving moral turpitude, may incorporate a stock insurer; ten (10) or more such individuals may incorporate a mutual insurer. Not less than two thirds ([frac23]) of the incorporators shall be citizens of the United States and residents of Georgia. (3) The application for charter shall be signed by the persons applying for the charter and shall state: (a) The name of the corporation; (b) The duration of its existence, which shall be for thirty (30) years and shall be renewable; (c) The names and addresses of the incorporators; (d) The kinds of insurance the corporation is formed to transact, according to the definitions thereof set forth in Chapter 56-4; (e) If a stock corporation, the authorized capital and the par value of each share, which par value shall be at least one ($1.00) dollars per share; Provided, however, that after the corporation has operated for three consecutive years the par value may be reduced below one ($1.00) dollar per share but shall be at least fifty ($0.50) cents par value. Shares without par value shall not be authorized. The capitalization shall not be less than that required of the insurer under the provisions of Chapter 56-3; (f) If a mutual corporation, the maximum contingent liability of its members (other than as to non-assessable policies) for payment of losses and expenses incurred, which liability shall be not less than one nor more than six times the premium for the member's policy at the annual premium rate for a term of one year;

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(g) The number of directors, not less than three, who shall conduct the affairs of the corporation, and the names and addresses of the corporation's first directors and the officers for stated terms of office of not more than one year; (h) The name of the city or town, and county in this State in which is to be located its home office and principal place of business; (i) If a stock corporation, the extent, if any, to which shares of its stock shall be subject to assessment; (j) If a stock corporation, the number of shares subscribed, if any, by each incorporator; (k) The limitations, if any, on the corporation's indebtedness; (l) Such other provisions, not inconsistent with law, deemed appropriate by the incorporators. 56-1505. Filing of application for charter; fee; publication; approval of Commissioner. (1) The application for charter, with any and all exhibits that may be included with the application, shall be filed, in triplicate, in the office of the Secretary of State, and a fee of one hundred ($100.00) dollars shall be paid to the Secretary of State to be covered by him into the Treasury, and the Secretary of State shall not receive said application until said fee shall be paid. (2) Immediately upon receipt of the triplicate copies of the application, with any and all exhibits included therewith, the Secretary of State shall certify one of the copies thereof and deliver the same to the applicants and the same shall be published by the applicants, once a week for four weeks, in the newspaper in which is published the legal advertisements of the county where the principal office of said company is to be located. When said application, with any and all exhibits thereto attached, shall have been published once a week for four

Page 538

weeks, the applicants may apply to the ordinary of said county to certify the fact of such publication, which certificate shall be filed by the applicants in the office of the Secretary of State. (3) Immediately upon their receipt, the Secretary of State shall transmit one of the copies of the application for charter, and of any and all exhibits attached thereto, to the Commissioner for his approval or disapproval. The Commissioner shall approve or disapprove the application submitted to him within forty-five (45) days of the date same is received by him. (4) The Commissioner shall examine said application to determine whether the charter, if granted, will enable the insurer to comply with the applicable insurance laws of this State and if he finds that the charter, if granted, will enable the insurer to comply with the applicable provisions of law for carrying on the business for which incorporation is sought, he shall issue, under his hand and official seal a certificate approving the granting of the charter for such insurer and shall transmit a copy of such certificate of approval to the Secretary of State. (5) If the Commissioner finds that the proposed application for a charter does not comply with the law, or that the corporation, if organized, could not meet the requirements for a certificate of authority as set forth in this Title, or any other provision of this Title, he shall refuse to approve the application for charter, and shall notify the incorporators, in writing, as to his reasons for such failure to approve and he shall issue, under his hand and official seal a certificate disapproving the granting of the charter for such insurer and shall transmit a copy of such certificate of disapproval to the Secretary of State. 56-1506. Issuance of certificate of incorporation; right to do business. (1) All corporate powers and privileges to insurance companies shall be issued and granted by the Secretary of State, upon the terms, liabilities, restrictions, and subject to all the provisions of this Title and

Page 539

the laws and Constitution of this State. If from any cause the Secretary of State should be disqualified from issuing and granting said powers, the duties required by this Title to be performed by the Secretary of State shall be performed by the Comptroller General. (2) When the certificate of the ordinary as to the fact of publication of the application for charter and the certificate of the Commissioner as to his approval of the application for charter shall have been received in the office of the Secretary of State, the Secretary of State shall issue to the corporation, under the great seal of the State, a certificate of incorporation. Such corporation shall not transact business as an insurer until it has applied for and received from the Commissioner a certificate of authority as provided by this Title. (3) The Secretary of State shall record the application for charter, the certificate of approval of the Commissioner, the certificate of the ordinary as to publication and the certificate of incorporation, in a book to be kept by him for that purpose. (4) No corporation shall directly or indirectly take risks or transact any business of insurance in this State, by any agent or agents in this State, until it shall have appointed an attorney in this State on whom process of law can be served, and file in the office of the Commissioner a written instrument, duly signed and sealed, certifying such appointment, which shall continue until another attorney shall be substituted, and any process issued by any court of record in this State, and served upon such attorney by the proper officer of the county in which such attorney may reside or may be found, shall be deemed a sufficient service of process upon such company, but service of process upon such company may also be made in any other manner provided by law. Any violation of this subsection shall subject the party violating the same to a penalty of not less than one hundred ($100.00) dollars nor more than five hundred ($500) dollars.

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56-1507. Name of corporation. (1) No such name shall be adopted by a domestic mutual or stock insurance corporation which is so similar to any name already in use by any such existing corporation, company or association, organized or doing business in this State, as to be confusing or misleading and the Commissioner shall not approve an application from such an applicant nor shall the Secretary of State issue a Charter to such an applicant. The name of any such corporation shall include the word company or corporation, or have such word or words, abbreviation, suffix or prefix therein or thereto as will clearly indicate that it is a corporation. (2) If a mutual insurer, the word mutual shall also be a part of the name. 56-1508. Corporate powers. Every corporation organized under the provisions of this Title shall have the same corporate powers as are conferred upon private corporations, except where inconsistent with the provisions of this Chapter. 56-1509. Amendment or renewal of charter. (1) A domestic insurer may amend its charter for any lawful purpose by written authorization of the holders of a majority of the voting power of its outstanding capital stock, or members if a mutual insurer, or by affirmative vote of such a majority voting at a lawful meeting of stockholders or members of which the notice given to stockholders or members included prior notice of not less than ten (10) days of the proposal to amend. (2) Upon authorization of such an amendment, the insurer shall file in the office of the Secretary of State an application asking that its charter be so amended, and a fee of twenty-five ($25.00) dollars shall be paid to the Secretary of State to be covered by him into the Treasury, and the Secretary of State shall not receive said application until said fee shall be paid. The application, with any and all exhibits that may be included, shall be filed in triplicate, signed with the corporate name and under the corporate seal, and shall state:

Page 541

(a) The name and character of the corporation, and the city or town, and county in this State in which is located its principal place of business; (b) The date of its original charter and any and all amendments thereto, and the date(s) of renewal of charter; (c) That it desires an amendment to its charter and the purpose of said amendment; There shall be annexed to the application a certificate, in triplicate, under the corporate seal of the insurer and executed by the insurer's president or vice president and attested to by the secretary or assistant secretary under the seal of the corporation, setting forth that amendment has been authorized in writing by the holders of a majority of the voting power of the outstanding capital stock, or members if a mutual insurer, or by affirmative vote of such a majority voting at a lawful meeting of stockholders or members of which the notice given to stockholders or members included prior notice of not less than ten (10) days of the proposal to amend. (3) Immediately upon receipt of the triplicate copies of the application, with any and all exhibits included therewith, the Secretary of State shall certify one of the copies thereof and deliver the same to the applicants and the same shall be published by the applicants, once a week for four weeks, in the newspaper in which is published the legal advertisements of the county where the principal office of said company is to be located. When said application, with any and all exhibits thereto attached, shall have been published once a week for four weeks, the applicants may apply to the ordinary of said county to certify the fact of such publication, which certificate shall be filed by the applicants in the office of the Secretary of State. Immediately upon their receipt, the Secretary of State shall transmit one of the copies of the application for amendment of charter, and of any and all exhibits attached thereto, to the Commissioner for his approval or disapproval. The Commissioner

Page 542

shall approve or disapprove the application submitted to him within forty-five (45) days of the date same is received by him. (4) No such amendment shall be granted which will reduce authorized capital of a stock insurer below the amount required by this Title for the kinds of insurance thereafter to be transacted, and no such amendment shall reduce the surplus of a mutual insurer below the amount required by this Title for the kinds of insurance thereafter to be transacted. (5) If an amendment of the charter would reduce the authorized capital stock of a stock insurer below the amount thereof then outstanding, the Commissioner shall not approve the amendment if he has reason to believe that the interest of policyholders or creditors of the insurer would be materially prejudiced by such reduction. If any such reduction of capital stock is effectuated, the insurer may require return of the original certificates of stock held by each stockholder in exchange for new certificates for such number of shares as such stockholder is then entitled in the proportion that the reduced capital bears to the amount of capital stock outstanding as of immediately prior to the effective date of such reduction. (6) When the certificate of the ordinary as to the fact of publication of the application for amendment to charter and the certificate of the Commissioner as to his approval of such application for amendment shall have been received in the office of the Secretary of State, the Secretary of State shall issue to the corporation, under the great seal of the State, a certificate of amendment. The Secretary of State shall record the application for amendment to charter, the certificate of approval of the Commissioner, the certificate of the ordinary as to publication and the certificate of amendment, in a book to be kept by him for that purpose. (7) A petition for renewal of the charter shall follow the procedure set forth in subsection (2) thru (6) above.

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56-1510. Initial qualifications; domestic mutual. (1) When newly organized, a domestic mutual insurer may be authorized to transact any one of the kinds of insurance listed in the schedule contained in subsection (2) of this section, and as limited in section 56-305. (2) When applying for an original certificate of authority, the insurer must be otherwise qualified therefor under this Title, and must have received and accepted bona fide applications as to substantial insurable subjects for insurance coverage of a substantial character of the kind of insurance proposed to be transacted, must have collected in cash and full premium therefor at rates meeting the requirements of Chapters 56-5a and 56-5b, must have surplus funds on hand as of the date such insurance coverages are to become effective, or, in lieu of such applications, premiums and surplus, may deposit surplus, all in accordance with that part of the following schedule which applies to the kind of insurance the insurer proposes to transact: (A) Kind of Insurance (B) Min. No. of Applicants Accepted (C) Min. No. of Subjects Covered (D) Minimum Premiums Coll. (E) Min. Amt. Ins. Each Subject (F) Max. Amt. Ins. Each Subject (G) Minimum Surplus Funds (H) Deposit of Surplus (V) (VI) (VI) (I) Life 500 500 Ann. $1,000 $ 2,500 $200,000 $200,000 (II) Accident Sickness 500 500 Quar. $10 $25 $200,000 $200,000 (Weekly Indem.) (Weekly Indem.) (III) Property 100 250 Ann. $1,000 $ 3,000 $200,000 $200,000 (IV) Casualty 250 500 Ann. $1,000 $10,000 $200,000 $200,000 Casualty with Workmen's Compensation 250 1,500 Quar. $1,000 Statutory $300,000 $300,000 The following provisos are respectively applicable to the foregoing schedule and provisions as indicated by like Roman numerals appears in such schedule: (I) All applicants must be bona fide residents of this State, and no group insurance or term policies for terms of less than ten (10) years shall be included; (II) All applicants must be bona fide resident of this State. No group, blanket or family plans of insurance

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shall be included. In lieu of weekly indemnity a like premium value in medical, surgical, and hospital benefits may be provided. Any accidental death or dismemberment benefit provided shall not exceed twenty-five hundred ($2,500) dollars; (III) Only insurance of the owner's interest in real property situated in this State may be included; (IV) Must include insurance of legal liability for bodily injury and property damage, to which the maximum and minimum insured amounts apply. All applicants must be bona fide residents of this State; (V) The maximums provided for in this column (F) are net after deducting applicable reinsurance; (VI) The deposit of surplus in the amount specified in columns (G) and (H) must thereafter be maintained unimpaired. The deposit is subject to the provisions of Chapter 56-11. 56-1511. Bond for solicitation; mutual applications. (1) Prior to the solicitation of any applications for insurance pursuant to the requirements for a certificate of authority of a mutual insurer, the incorporators of the proposed insurer shall file with the Commissioner a corporate surety bond in the penalty of fifteen thousand ($15,000) dollars, in favor of the State and for the use and benefit of the State and of applicant members and creditors of the corporation. The bond shall be conditioned as follows: (a) For the prompt return to applicant members of all premiums collected in advance; and (b) For payment of all indebtedness of the corporation; and (c) For payment of costs incurred by the State in event of any legal proceedings for liquidation or dissolution of the corporations; all in the event the corporation

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fails to complete its organization and secure a certificate of authority within two years from and after the date of the certificate of incorporation. (2) In lieu of such bond, the incorporators may deposit with the Commissioner fifteen thousand ($15,000) dollars in cash or United States government bonds, negotiable and payable to the bearer, with a market value at all times of not less than fifteen thousand ($15,000) dollars, to be held in trust upon the same conditions as required for the bond. (3) Any such bond filed or deposited or remaining portion thereof held under this section shall be released and discharged upon settlement and termination of all liabilities against it. 56-1512. Applications for insurance in formation of mutual insurers. (1) Upon receipt of the Commissioner's approval of the bond or deposit as required by section 56-1511, the directors and officers of the proposed domestic mutual insurer may commence solicitation of such requisite applications for insurance policies as they may accept, and may receive deposits of premiums thereon. (2) All such applications shall be in writing signed by the applicant. (3) All applications shall provide that: (a) Issuance of the policy is contingent upon the insurer qualifying for and receiving a certificate of authority; and (b) No insurance is in effect unless and until the certificate of authority has been issued; and (c) The prepaid premium or deposit, and membership or policy fee, if any, shall be refunded in full to the applicant if organization is not completed and the certificate

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of authority is not issued and received by the insurer before a specified reasonable date which date shall not be later than two years after the date of the certificate of incorporation. (4) All qualifying premiums collected shall be in cash. 56-1513. Formation of mutuals; premium deposit and policy issuance. (1) All sums collected by a domestic mutual corporation as premiums or fees on qualifying applications for insurance therein shall be deposited in trust in a bank or trust company in this State, which is authorized under the laws of this State to act as a depository of State funds and which has its deposits insured by the Federal Deposit Insurance Corporation, under a written trust agreement consistent with this section and with subsection (3) (c) of section 56-1512. The corporation shall file an executed copy of such trust agreement with the Commissioner. (2) Upon issuance to the corporation of a certificate of authority as an insurer for the kind of insurance for which such applications were solicited, all funds so held in trust shall become the funds of the insurer, and the insurer shall issue and deliver its policies for which premiums have been paid and accepted. The insurance provided by such policies shall be effective as of the date of the certificate of authority. 56-1514. Formation of mutuals; failure to qualify. If the proposed domestic mutual insurer fails to complete its organization and to secure its original certificate of authority within two years from and after the date of its incorporation, the corporation shall be dissolved by the Commissioner and the Commissioner shall return or cause to be returned to the persons entitled thereto all advance deposits or payments of premiums held in trust under section 56-1513. 56-1515. Bylaws of mutual insurers. (1) The initial board of directors of a domestic mutual insurer shall adopt original bylaws, subject to the approval of the insurer's

Page 547

members at the next succeeding meeting. The members shall have power to make, modify and revoke bylaws. (2) The bylaws shall provide: (a) That each member is entitled to one vote upon each matter coming to a vote at meetings of members, or to more votes in accordance with a reasonable classification of members as set forth in the bylaws and based upon the amount of insurance in force, numbers of policies held or upon the amount of the premiums paid by such members, or upon other reasonable factors. A member shall have the right to vote in person or by his written proxy. No such proxy shall be made irrevocable; (b) For election of directors by the members, and the number, qualifications, terms of office, and powers of directors; (c) The time, notice, quorum, and conduct of annual and special meetings of members and voting thereat. The bylaws may provide that the annual meeting shall be held at a place, date and time to be set forth in the policy and without giving other notice of such meeting; (d) The number, designation, election, terms and powers and duties of the respective corporate officers; (e) For deposit, custody, disbursement and accounting for corporate funds; (f) For any other reasonable provisions customary, necessary or convenient for the management or regulation of its corporate affairs and not inconsistent with law. (3) The insurer shall promptly file with the Commissioner a copy, certified by the insurer's secretary or assistant secretary, of its bylaws and of every modification thereof or addition thereto. The Commissioner shall disapprove any bylaw provision deemed by him to be

Page 548

unlawful, unreasonable, inadequate, unfair or detrimental to the proper interests or protection of the insurer's members or any class thereof. The insurer shall not, after receiving written notice of such disapproval and during the existence, thereof, effectuate any bylaw provision so disapproved. 56-1516. Membership in mutuals. (1) Each policyholder of a domestic mutual insurer, other than of a reinsurance contract, is a member of the insurer with all rights and obligations of such membership, and the policy shall so specify. (2) Any person, government or governmental agency, state or political subdivision thereof, public or private corporation, board, association, firm, estate, trustee or fiduciary may be a member of a domestic, foreign or alien mutual insurer. Any officer, stockholder, trustee or legal representative of any such corporation, board, association or estate may be recognized as acting for or on its behalf for the purpose of such membership, and shall not be personally liable upon any contract of insurance for acting in such representative capacity. (3) Any domestic corporation may participate as a member of a mutual insurer as an incidental purpose for which such corporation is organized, and as such granted as the rights and powers expressly conferred. 56-1517. Additional kinds of insurance; mutuals. A domestic mutual insurer, formed after the effective date of this Act, after being authorized to transact one kind of insurance, shall be authorized by the Commissioner to transact such additional kinds of insurance as are permitted under section 56-305, while otherwise in compliance with this Title and while maintaining unimpaired surplus funds in an amount not less than the amount of paid-in capital stock required of a domestic stock insurer transacting like kinds of insurance, subject further to the additional expendable surplus requirements of this Title applicable to such a stock insurer.

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56-1518. Contributions authorized. An insurer shall have power to make donations for the public welfare or for charitable, scientific or educational purposes, subject to such limitations, if any, as may be contained in its charter or any amendment thereto. 56-1519. Directors; number; election; meetings. (1) The affairs of every domestic insurer shall be managed by not less than three directors. (2) Directors must be elected by the members or stockholders of a domestic insurer at the annual meeting of stockholders or members. Directors may be elected for terms of not more than three years each and until their successors are elected and have qualified, and if to be elected for terms of more than one year the insurer's bylaws shall provide for a staggered term system under which the terms of a proportionate part of the members of the board of directors will expire on the date of each annual meeting of stockholders or members. (3) At least one-fourth () of the directors of such insurer must be residents of this State. A majority of the directors must be citizens of the United States. 56-1520. Borrowed surplus. (1) A domestic stock or mutual insurer may borrow money to defray the expenses of its organization, provide it with surplus funds, or for any purpose required by its business, upon a written agreement that such money is required to be repaid only out of the insurer's surplus in excess of that stipulated in such agreement. The agreement may provide for interest not exceeding a reasonable rate per annum which interest shall or shall not constitute a liability as to its funds other than such extra surplus as stipulated in the agreement. (2) Money so borrowed, together with the interest thereon, if so stipulated in the agreement shall not form a part of the insurer's legal liabilities except as to its surplus in excess of the amount thereof stipulated in the agreement, or be the basis of any set-off; but until repaid,

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financial statements filed or published by the insurer shall show as a footnote thereto the amount thereof then unpaid together with any interest thereon accrued but unpaid. (3) Such insurer in advance of any such loan shall file with the Commissioner a statement of the purposes of the loan and a copy of the proposed loan agreement, which shall be subject to the Commissioner's approval. The loan and agreement shall be deemed approved unless within forty-five (45) days after date of such filing with the Commissioner, the insurer is notified in writing of the Commissioner's disapproval and the reasons therefor. The Commissioner shall so disapprove any such proposed loan or agreement if he finds that the loan is reasonably unnecessary or excessive for the purpose intended, or that the terms of the loan agreement are not fair and equitable to the parties, and to other similar lenders, if any, to the insurer, or is not fair to policyholders, or that the information so filed by the insurer is inadequate. (4) Any such loan to a mutual insurer or substantial portion thereof shall be repaid by the insurer when no longer reasonably necessary for the purpose originally intended. No repayment of such a loan shall be made by a mutual insurer unless approved in advance by the Commissioner. (5) This section shall not apply to loans obtained by the insurer in ordinary course of business from banks and other financial institutions, nor to loans secured by pledge of assets. 56-1521. Participating policies. (1) If so provided in its charter, a domestic stock or domestic mutual insurer may issue any or all of its policies with or without participation in profits, savings, or unabsorbed protions of premiums, may classify policies issued on a participating or nonparticipating basis, and may determine the right to participate and the extent of participation of any class or classes of policies. Any such classification or

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determination shall be reasonable, and shall not unfairly discriminate as between policyholders within the same such classification. A life insurer may issue both participating and nonparticipating policies only if the right or absence of right to participate is reasonably related to the premium charged. (2) No dividend, otherwise earned, shall be made contingent upon the payment of renewal premium on any policy. 56-1522. Principal office and records; penalty for unlawful removal of records. (1) Every domestic insurer shall have and maintain its principal place of business in this State, and shall keep therein complete records of the assets, transactions, and affairs in accordance with such methods and systems as are customary or suitable as to the kind or kinds of insurance transacted. (2) Every domestic insurer shall have and maintain its assets in this State, except as to: (a) Real property and personal property appurtenant thereto lawfully owned by the insurer and located outside of this State; and (b) Such property of the insurer as may be customary, necessary and convenient to enable and facilitate the operation of its branch offices and regional home offices located outside of this State as referred to in subsection (4) below. (3) Removal of all or a material part of the records or assets of a domestic insurer from this State except pursuant to a plan of merger or consolidation approved by the Commissioner under this Title, or for such reasonable purposes and periods of time as may be approved by the Commissioner in writing in advance of such removal, or concealment of such records or assets or material part thereof from the Commissioner is prohibited. Any insurer or representative of an insurer who removes or attempts to remove such records or assets or such

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material part thereof from the home office or other place of business or of safekeeping of the insurer in this State with the intent to remove the same from this State or conceals or attempts to conceal the same from the Commissioner in violation of this subsection shall have its corporate charter forfeited, and its certificate of authority to do business shall be revoked. Upon any removal or attempted removal of such records or assets or upon retention of such records or assets or material part thereof outside this State, beyond the period thereof specified in the Commissioner's consent under which the records removed thereat, or upon concealment of or attempts to conceal records or assets in violation of this subsection, the Commissioner may institute proceedings against the insurer pursuant to the provisions of Chapter 56-14. (4) This section shall not be deemed to prohibit or prevent an insurer from: (a) Establishing and maintaining branch offices or regional home offices in other states where necessary or convenient to the transaction of its business and keeping therein the detailed records and assets customary and necessary for the servicing of the insurance in force in the territory served by such an office, as long as such records and assets are made readily available at such office for examination by the Commissioner at his request; (b) Having, depositing or transmitting funds and assets of the insurer in or to jurisdictions outside of this State as reasonably and customarily required in the regular course of its business. 56-1523. Dividends to stockholders. A domestic stock insurer shall not pay any dividend to stockholders except out of that part of its available surplus funds which is derived from realized profits on its business. 56-1524. Dividends to mutual members. (1) The directors of a domestic mutual insurer may from time to time apportion and pay or credit to its members dividends

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only out of that part of its surplus funds which represent net realized savings and net realized earnings from its business. (2) A dividend otherwise proper may be payable out of such savings and earnings even though the insurer's total surplus is then less than the aggregate of its contributed surplus. 56-1525. Illegal dividends; stock insurers; penalty. (1) Any director of a domestic stock insurer who votes for or concurs in declaration or payment of an illegal dividend to stockholders shall upon conviction thereof be guilty of a misdemeanor, and shall be jointly and severally liable, together with other such directors, for any loss thereby sustained by the insurer. (2) The stockholders receiving such an illegal dividend shall be liable in the amount thereof to the insurer. (3) The Commissioner may revoke or suspend the certificate of authority of an insurer which has declared or paid an illegal dividend. 56-1526. Illegal dividends; mutual insurers; penalty. Any director of a domestic mutual insurer who wilfully and with knowledge votes for or concurs in a declaration or payment of a dividend which reduces surplus below the minimum required surplus, shall upon conviction thereof be guilty of a misdemeanor and shall be jointly and severally liable, together with other such directors likewise voting for or concurring in wilfully and with knowledge, for any loss thereby sustained by the insurer. 56-1527. Contingent liability of mutual members. (1) Each member of a domestic mutual insurer shall, except as otherwise hereinafter provided with respect to nonassessable policies, have a contingent liability, pro rata and not one for another, for the discharge of its obligations, which contingent liability shall be in such maximum amount as is stated in the insurer's charter.

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(2) Each policy issued by the insurer shall contain a statement of the contingent liability, if any, of its members. (3) Termination of the policy of any such member shall not relieve the member of contingent liability for his proportion, if any, of the obligations of the insurer which accrued while the policy was in force. (4) Unrealized contingent liability of members does not constitute an asset of the insurer in any determination of its financial condition. 56-1528. Enforcement of contingent liability. (1) If at any time the assets of a domestic mutual insurer are less than its liabilities and the minimum amount of surplus required of it by this Title for authority to transact the kinds of insurance being transacted, and the deficiency is not cured from other sources, its directors shall levy an assessment only upon its members who at any time within the twelve (12) months immediately preceding the date notice of such assessment was mailed to them held policies providing for contingent liability, and such members shall be liable to the insurer for the amount so assessed. (2) The assessment shall be for such an amount as is required to cure such deficiency and to provide a reasonable amount of working funds above such minimum amount of surplus, but such working funds so provided shall not exceed five (5%) percent of the insurer's liabilities as of the date as of which the amount of such deficiency was determined. (3) In levying an assessment on policies providing for contingent liability, the assessment shall be computed on a basis of premium earned on such policy. (4) No member shall have an offset against any assessment for which he is liable, on account of any claim for unearned premium or loss payable. 56-1529. Payment of contingent liability assessment. (1)

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Any assessment made by an insurer under sections 56-1527 and 56-1528 is prima facie correct. The amount of such assessment to be paid by each member as determined by the insurer is likewise prima facie correct. (2) The insurer shall notify each member of the amount of the assessment to be paid by written notice mailed to the address of the member last of record with the insurer. Failure of the member to receive the notice so mailed, within the time specified therein for the payment of the assessment or at all, shall be no defense in any action to collect the assessment. (3) If a member fails to pay the assessment within the period specified in the notice, which period shall not be less than twenty (20) days after mailing, the insurer may institute suit to collect same. (4) As to life insurance, any part of such an assessment upon a member which remains unpaid following notice of assessment, demand for payment, and lapse of a reasonable waiting period as specified in such notice, may, if approved by the Commissioner as being in the best interests of the insurer and its members, be secured by placing a lien upon the cash surrender values and accumulated dividends held by the insurer to the credit of such member. 56-1530. Mutual nonassessable policies. (1) While a domestic mutual insurer maintains the deposits and surplus funds necessary for the kinds of insurance it is transacting, and is otherwise in compliance with this Title and is in a sound condition, it may extinguish the contingent liability of its members as to all its policies in force and may omit provisions imposing contingent liability in all its policies currently issued upon receiving written approval by the Commissioner. The Commissioner shall revoke the authority of a domestic mutual insurer to issue policies without contingent liability at any time the insurer's assets are less than the sum of its liabilities and the surplus required for such authority, or if the insurer, by resolution of the board of directors approved by a majority of its

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members present and voting in person or by proxy at a meeting called for that purpose, requests that such authority be revoked. (2) A foreign or alien mutual insurer may issue non-assessable policies to its members in this State pursuant to its articles of incorporation and the laws of its domicile. (3) The financial requirements for deposits and surplus funds for existing insurers shall be subject to the provisions of section 56-311. 56-1531. Impairment of capital or assets. (1) If the capital of a domestic stock insurer becomes impaired, or the assets of a domestic mutual insurer are less than its liabilities and the minimum amount of surplus required of it by this Chapter for authority to transact the kinds of insurance being transacted, the Commissioner shall at once determine the amount of the deficiency and serve notice upon the insurer to make good the deficiency within sixty (60) days after service of such notice. (2) The deficiency may be made good in cash or in assets eligible under this Title for the investment of the insurer's funds; or if a stock insurer by reduction of the insurer's capital to an amount not below the minimum required for the kinds of insurance thereafter to be transacted; or if a mutual insurer, by amendment of its certificate of authority to cover only such kinds of insurance for which the insurer has on deposit sufficient surplus. (3) If the deficiency is not made good and proof thereof filed with the Commissioner within such sixty (60) day period, the insurer shall be deemed insolvent, and the Commissioner shall institute delinquency proceedings against it as authorized by this Title. If such deficiency exists because of increased loss reserves required by the Commissioner, or because of disallowance by the Commissioner of certain assets or reduction of the value at which carried in the insurer's accounts, the Commissioner may in his discretion and upon application and good cause shown, extend for not more than an additional sixty (60)

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days the period within which such deficiency may be so made good and such proof thereof so filed. 56-1532. Management and exclusive agency contracts. (1) No domestic insurer shall make any contract whereby any person is granted or is to enjoy in fact the management of the insurer to the substantial exclusion of its board of directors or to have the controlling or preemptive right to produce substantially all insurance business for the insurer, unless the contract is filed with and approved by the Commissioner. The contract shall be deemed approved unless disapproved by the Commissioner within forty-five (45) days after date of filing, subject to such reasonable extension of time as the Commissioner may require by notice given within such forty-five (45) days. Any disapproval shall be delivered to the insurer in writing, stating the grounds therefor. (2) Any such contract shall provide that any such manager or producer of its business shall within ninety (90) days after expiration of each calendar year furnish the insurer's board of directors a written statement of amounts received under or on account of the contract and amounts expended thereunder during such calendar year, including the emoluments received therefrom by the respective directors, officers, and other principal management personnel of the manager or producer, with such classification of items and further detail as the insurer's board of directors may reasonably require. (3) The Commissioner shall disapprove any such contract if he finds that it: (a) Subjects the insurer to excessive charges; or (b) It is to extend for an unreasonable length of time; or (c) Does not contain fair and adequate standards of performance; or (d) Contains other inequitable provision or provisions

Page 558

which impair the proper interest of stockholders or members of the insurer. 56-1533. Prohibited pecuniary interest of officials. (1) Any officer or director, or any member of any committee or an employee of a domestic insurer who is charged with the duty of investing or handling the insurer's funds shall not deposit or invest such funds except in the insurer's corporate name; shall not borrow the funds of such insurer; shall not be pecuniarily interested in any loan, pledge of deposit, security, investment, sale, purchase, exchange, reinsurance, or other similar transaction or property of such insurer except as a stockholder or member; shall not take or receive to his own use any fee, brokerage, commission, gift, or other consideration for or on account of any such transaction made by or on behalf of such insurer. (2) No insurer shall guarantee any financial obligation of any of its officers or directors. (3) This section shall not prohibit such a director or officer, or member of a committee or employee from becoming a policyholder of the insurer and enjoying the usual rights so provided for its policyholders. (4) The Commissioner may, by regulation from time to time, define and permit additional exceptions to the prohibition contained in subsection (1) of this section solely to enable payment of reasonable compensation to a director who is not otherwise an officer or employee of the insurer, or to a corporation or firm in which a director is interested, for necessary services performed or sales or purchases made to or for the insurer in the ordinary course of the insurer's business and in the usual private professional or business capacity of such director or such corporation or firm. 56-1534. Mergers and consolidations; stock insurers. (1) A domestic stock insurer may merge or consolidate with one or more domestic, alien or foreign stock corporations, by complying with the applicable provisions of

Page 559

the statutes of this State governing the merger or consolidation of stock corporations formed for profit, and the provisions of sections 56-1505 and 56-1506. (2) No director, officer, agent, or employee of any insurer party to such merger or consolidation shall receive any fee, commission, compensation or other valuable consideration whatsoever for or in any manner aiding, promoting or assisting therein except as set forth in such plan or agreement. 56-1535. Mergers and consolidations; mutual insurers. (1) Upon complying with the applicable procedures prescribed by the statutes of this State applying to corporations formed for profit, except as hereinafter provided, any domestic mutual insurer is authorized and empowered to merge or consolidate with any domestic company or with any foreign or alien company if such merger or consolidation is authorized by the laws of the state or country under which such foreign or alien company is incorporated or organized. (2) The plan and agreement for merger or consolidation shall be submitted to and approved by at least two-thirds ([frac23]) of the members of each mutual insurer involved voting thereon in person or by proxy at meetings called for the purpose pursuant to ten (10) days' notice and such procedure as has been approved by the Commissioner. If a life insurer, right to vote may be limited to members whose policies are other than term or group policies and have been in effect for more than one year, as the bylaws may provide. (3) No such merger or consolidation shall be effectuated unless in advance thereof the plan and agreement therefor have been filed with the Commissioner and approved by him in writing. The Commissioner shall give such approval within sixty (60) days after such filing unless he finds such plan or agreement: (a) Inequitable to the policyholders or any domestic insurer involved; or

Page 560

(b) Would substantially reduce the security of and service to be rendered to policyholders of the domestic insurer in this State and elsewhere. (4) If the Commissioner does not approve such plan or agreement he shall so notify the insurers in writing specifying his reasons therefor. 56-1536. Mutualization of stock insurers. (1) A domestic stock insurer certified to issue only those kinds of insurance which domestic mutual insurers are authorized to issue under this Title may become a domestic mutual insurer pursuant to such plan and procedure as may be approved in advance by the Commissioner. (2) The Commissioner shall not approve any such plan or procedure unless: (a) It is equitable to stockholders and policyholders; (b) It is subject to approval by the holders of not less than three-fourths ([frac34]) of the insurer's outstanding capital stock having voting rights and by not less than two-thirds ([frac23]) of the insurer's policyholders who vote on such plan in person, by proxy, or by mail pursuant to such notice and procedure as may be approved by the Commissioner; (c) If a life insurer, the right to vote thereon is limited as provided in the bylaws; (d) Mutualization will result in retirement of shares of the insurer's capital stock at a price not in excess of the fair market value thereof as determined by competent disinterested appraisers; (e) The plan provides for the purchase of the shares of any nonconsenting stockholder in the same manner and subject to the same applicable conditions as provided by the general corporation laws of this State, as to rights of nonconsenting stockholders, with respect to consolidation or merger of private corporations;

Page 561

(f) The plan provides for definite conditions to be fulfilled by a designated early date upon which such mutualization will be deemed effective; and (g) The mutualization leaves the insurer with surplus funds reasonably adequate for the security of its policyholders and to enable it to continue successfully in business in the states in which it is then authorized to transact insurance, and for the kinds of insurance included in its certificate of authority in such states. (3) This section shall not apply to mutualization under order of court pursuant to rehabilitation of an insurer under Chapter 56-14. 56-1537. Converting mutual insurer. (1) A mutual insurer may become a stock insurer under such plan and procedure as may be approved by the Commissioner. (2) The Commissioner shall not approve any such plan or procedure unless: (a) It is equitable to the insurer's members; (b) It is subject to approval by vote of not less than three-fourths ([frac34]) of the insurer's current members voting thereon in person, by proxy, or by mail at a meeting of members called for the purpose pursuant to ten (10) days' notice and procedure as may be approved by the Commissioner; (c) If a life insurer, the right to vote may be limited as the bylaws shall provide, to members whose policies are other than term or group policies, and have been in effect for more than one year; (d) The equity of each policyholder in the insurer is determinable under a fair formula approved by the Commissioner, which such equity shall be based upon not less than the insurer's entire surplus (after deducting contributed or borrowed surplus funds) plus a reasonable

Page 562

present equity in its reserves and in all nonadmitted assets; (e) The policyholder entitled to participate in the purchase of stock or distributing of assets shall include all current policyholders and all existing persons who had been a policyholder of the insurer within three years prior to the date such plan was submitted to the Commissioner; (f) The plan gives to each policyholder of the insurer as specified in subsection (e) above, a preemptive right to acquire his proportionate part of all of the proposed capital stock of the insurer, within a designated reasonable period, and to apply upon the purchase price thereof the amount of his equity in the insurer as determined in subsection (d) above; (g) Shares are so offered to policyholders at a price not greater than to be thereafter offered to others, but at not more than double the par value of such shares; (h) The plan provides for payment to each policyholder not electing to apply his equity in the insurer for or upon the purchase price of stock to which preemptively entitled, of cash in the amount of not less than fifty (50%) percent of the amount of his equity not so used for the purchase of stock, and which cash payment together with stock so purchased, if any, shall constitute full payment and discharge of the policyholder's equity as an owner of such mutual insurer; and (i) The plan, when completed, would provide for the converted insurer paid-in capital stock in an amount not less than the minimum paid-in capital required of a domestic stock insurer transacting like kinds of insurance, together with surplus funds in amount required for such insurer under this Title. 56-1538. Bulk reinsurance by stock insurers. (1) A domestic stock insurer may accept reinsurance for the same kinds of insurance and within the same limits as it is

Page 563

authorized to transact direct insurance, unless such reinsurance is prohibited by its charter. (2) A domestic stock insurer may reinsure all or substantially all of its business in force, or substantially all of a major class thereof, with another insurer by an agreement of bulk insurance; but no such agreement shall become effective unless filed with and approved in writing by the Commissioner. (3) The Commissioner shall approve such agreements within sixty (60) days after such filing unless he finds that it is inequitable to the stockholders of the domestic insurer or would substantially reduce the protection or service to its policyholders. If the Commissioner does not approve the agreement, he shall so notify the insurer in writing specifying his reasons therefor. 56-1539. Bulk reinsurance by mutual insurers. A domestic mutual company transacting insurance business under the laws of this State, with the approval of the Commissioner may reinsure all risks undertaken by it in any company authorized to transact a similar class of insurance business in this State and transfer to the company assuming such risks all or such of its assets, reserves, liabilities and obligations of every character as the agreement approved by the Commissioner shall provide. This section shall not prevent such a company from reinsuring any risks or fractional parts thereof, not situated in this State, in any company licensed by the state in which such risks are located. 56-1540. Extinguishment of unused corporate charters. (1) The corporate charter of any corporation formed under the laws of this State more than three years prior to the effective date of this Act for the purpose of becoming an insurer, and which corporation within such three year period has not actively engaged in business as a domestic insurer, is hereby extinguished and nullified. (2) The corporate charter of any other corporation

Page 564

formed under the laws of this State for the purpose of becoming an insurer, and which corporation during any period of thirty-six (36) consecutive months after the effective date of this Act is not actively engaged in business as a domestic insurer under a certificate of authority issued to it by the Commissioner under laws currently in force, is automatically hereby extinguished and nullified at the expiration of such thirty-six (36) month period. Upon certification by the Commissioner of such facts under subsections (1) or (2) above to the Secretary of State, the Secretary of State shall enter an order extinguishing and nullifying such corporate charter. (3) The period during which any such corporation referred to in subsection (2) above is the subject of delinquency proceedings under Chapter 56-14 shall not be counted as part of any such thirty-six (36) month period. (4) Upon merger or consolidation of a domestic insurer with another insurer under this Chapter, the corporate charter of such merged or consolidated domestic insurer shall thereby automatically be extinguished and nullified. 56-1541. Mutual members' share of assets on liquidation. (1) Upon any liquidation of a domestic mutual insurer, its assets remaining after discharge of its indebtedness, policy obligations, repayment of contributed or borrowed surplus, if any, and expenses of administration, shall be distributed to existing persons who were its members at any time within twelve (12) months next preceding the date such liquidation was authorized or ordered, or date of last termination of the insurer's certificate of authority, whichever date is the earlier; except that if the Commissioner has reason to believe that those in charge of the management of the insurer have caused or encouraged the reduction of the members of the insurer in anticipation of liquidation and for the purpose of reducing thereby the number of persons who may be entitled to share in distribution of the insurer's assets, he may enlarge the twelve (12) month qualification period

Page 565

above provided for by such additional period as he may deem to be reasonable. (2) The distributive share of each such member shall be in the proportion that the aggregate premiums earned by the insurer on the policies of the member during the combined periods of his membership bear to the aggregate of all premium so earned on the policies of all such members. The insurer may, and if a life insurer shall, make reasonable classifications of its policies so held by such members, and a formula based upon such classification, for determining the equitable distributive shares of each such member. Such classification and formula shall be subject to the approval of the Commissioner. 56-1542. Commissions and limitation on organizational expenses. No officer, agent or other person selling or negotiating stock in any domestic insurance company shall receive either directly or indirectly more than ten (10%) percent of the sales price of any of said stock. No president, vice president, secretary, treasurer, or director or any other executive officer of any insurance company shall participate in the commission received by any person selling or negotiating the sale of any stock of any insurance company either directly or indirectly, nor shall any salaried officer of any insurance company participate in the commissions deriving from the sale of life insurance policies or agency contracts of such companies. The total expenses of organization of any insurer organized under this Chapter, including commissions for the sale of stock, shall not exceed twelve and a half (12%) percent of the amount for which the stock is sold in the case of a stock insurer and twelve and a half (12%) percent of the paid-in surplus in the case of a mutual insurer. 56-1543. Approval of issuance of stock of holding companies; denial of certificate of authority to insurers. Any corporation or other form of business entity, which is organized for the purpose of organizing or holding the stock of a domestic insurer, shall first obtain the written approval of the Commissioner prior to offering its stock for sale to the public. Prior to any such offer of stock for

Page 566

sale to the public a registration statement shall be filed with the Commissioner which shall contain the following information: (1) Name and address of the main office of the issuer of the securities; (2) Title of the securities and the total amount of the securities to be offered; (3) Price at which the securities are to be offered for sale to the public and the amount of such securities to be offered in this State; (4) Maximum amount of commission or other form of remuneration to be paid in cash or otherwise, directly or indirectly, for or in connection with the sale or offering for sale of such securities; (5) Date and place of organization of the issuer; form of organization of the issuer; and the general character and location of its business; (6) A copy of any offering circular or prospectus to be used in connection with the offering; (7) Any other information which the Commissioner may deem pertinent. The Commissioner may make such investigation of any securities described in the registration statement filed with him as he may deem advisable to enable him to determine whether the sale of such securities would work or tend to work a fraud on the purchasers thereof. If the Commissioner finds from the information disclosed or in his possession that the sale of such securities would work or tend to work a fraud on purchasers thereof, he shall not approve such issue and sale of such securities in this State. The Commissioner shall not grant any domestic insurer, whose stock is held by such holding company which has not obtained approval of the issuance of its stock under this section, a certificate of authority to

Page 567

transact insurance in this State. Compliance with this section shall not dispense with the necessity of approval of such stock issue also by the Secretary of State, ex officio as Securities Commissioner, as now or hereafter may be required by law. 56-1544. Voluntary dissolution; procedure. (1) If while a domestic stock or mutual insurer is fully solvent and it is deemed by its board of directors to be in the best interests of the insurer and its stockholders or members that the insurer should be dissolved, the board of directors shall adopt a resolution to that effect and call a special meeting of its stockholders or members to consider and take action upon the proposal to dissolve the insurer corporation. Such meeting shall be held upon not less than thirty (30) days' written notice to the stockholders or members in advance of the meeting, which notice shall contain a statement of the dissolution proposal. The notice shall be so given in the manner provided in the insurer's bylaws as for a special meeting of stockholders or members. (2) If at such special meeting or any adjournment thereof the holders of record of stock entitled to exercise two-thirds of all the voting power on such proposal, or if a mutual insurer two-thirds of the insurer's members present or represented by proxy at such meeting, shall by resolution consent that the dissolution shall take place, a copy of such resolution together with a list of the names and residences of the directors and officers, certified by the president or a vice president and the secretary or an assistant secretary or the treasurer or an assistant treasurer of the insurer, shall be filed in triplicate with the application to surrender the charter required in section 56-1545, below, and one copy shall be filed for record in the office of the clerk of the superior court of the county in which the office or principal place of business of the insurer is located in this State. (3) The effective date of the dissolution shall be the date of the issuance of the order by the Secretary of State

Page 568

accepting the surrender of the charter under section 56-1545. (4) Whenever all the stockholders of record of a domestic stock insurer, having power to vote on a proposal to dissolve, consent in writing to such dissolution, no meeting of the stockholders shall be necessary. (5) No such dissolution shall be effected, however, until after the insurer has reinsured in another authorized insurer or has otherwise terminated all its insurance then in force; nor, in the case of a domestic mutual insurer, until after the proposed plan of dissolution together with the proposed plan for distribution of assets among the insurer's members has been filed with and approved by the Commissioner after having been found by him to be fair and equitable to the members thereof. 56-1545. Surrender of charter. (1) Any insurance corporation chartered by the Secretary of State, including fraternal benefit societies, may surrender its charter upon the company filing in the office of the Secretary of State an application in triplicate, signed with its corporate name and under its corporate seal, stating: (a) The name of the company and the location of its principal place of business in this State; (b) The date of its charter and all amendments thereto, and the date(s) of renewal or renewals thereof; (c) That it desires to surrender its charter and franchise to the State; (d) A certificate, attested to by two officers of the company, that the procedure required by section 56-1544 has been carried out; and (e) Any other information deemed necessary by the Secretary of State. (2) Upon receipt thereof, the Secretary of State shall

Page 569

forward one copy thereof to the Commissioner, who shall take such action to investigate the proposed surrender to determine if the rights of policyholders, creditors, stockholders or members and third party claimants under liability policies of the insurer, have been paid, or properly provided for, in a fair and equitable manner. He shall, after making his determination, issue under his hand and official seal a certificate approving or disapproving the application for surrender of the charter and shall transmit a copy of such certificate of approval to the Secretary of State. If he does not approve, the Commissioner shall notify the insurer, in writing, his reasons therefor. (3) The fee and publication requirements as set out in section 56-1505 (1), (2) and (3) shall be applicable to a surrender of charter under this section. (4) Upon receipt of the certificate of the ordinary as to the publication of the application and the certificate of approval of the surrender from the Commissioner, the Secretary of State shall issue, under the great seal of the State, an order accepting the surrender of the charter and franchises and dissolving the insurer, and the Secretary of State shall record the application, the certificate of the ordinary, the certificate of approval of the Commissioner and the order of surrender in a book to be kept by him for that purpose. 56-1546. Surrender of charter; directors to act as trustees. Upon the dissolution of a domestic stock or mutual insurer under section 56-1545, or upon the expiration of the period of its corporate existence in any other manner, except under Chapter 56-14, the directors of the corporation shall be trustees thereof with the full power to settle the affairs, collect the outstanding debts, sell and convey the property, real and personal, of the corporation, and divide its assets among its stockholders or members entitled thereto, after paying or adequately providing for the payment of its liabilities and obligations. Vacancies in the number of such directors may be filled by the remaining directors, but any director may be replaced on

Page 570

the vote of a majority of the stockholders, or members thereof, if a mutual insurer. 56-1547. Continuation for suit and winding up affairs. All domestic stock and mutual insurance corporations, whether they expire by their own limitation or are otherwise dissolved, shall nevertheless be continued for a term of three years from such expiration or dissolution, except in any dissolution under Chapter 56-14, as bodies corporate for the purpose of prosecuting and defending suits by or against them and of enabling them to settle and close their business, to dispose of and convey their property, and to divide their assets among those entitled thereto, but not for the purpose of continuing business as insurers; Provided, however, that as to any action, suit or proceeding commenced by or against the corporation prior to such expiration or dissolution and with respect to any action, suit or proceeding commenced by or against the corporation within three years after the date of such expiration or dissolution, such corporation shall only for the purpose of such actions, suits or proceedings so commenced be continued as bodies corporate beyond such three year period and until any judgments, orders, or decrees therein be fully executed. CHAPTER 56-16 RESERVED. CHAPTER 56-17 HOSPITAL SERVICE NONPROFIT CORPORATIONS. 56-1701. Incorporation. 56-1702. Application for membership. 56-1703. Corporations insurance companies; no bond or deposit required. 56-1704. Corporations to be nonprofit organizations. 56-1705. Authority of corporations to contract. 56-1706. Extension of service. 56-1707. Limitation upon authority to contract and operate.

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56-1708. Provision against attempting to control relations between patient and physician. 56-1709. Personnel of directors. 56-1710. Supervision of rates by Commissioner. 56-1711. Approval of rates. 56-1712. Membership certificates. 56-1713. Bond of treasurer; deposit of funds. 56-1714. Finance procedure. 56-1715. Investments. 56-1716. Reports to Commissioner. 56-1717. Examination of books and records. 56-1718. Definition as charitable and benevolent institutions. 56-1719. Expense of examination and supervision. 56-1720. Dissolution. 56-1721. Chapter to govern pre-existing nonprofit hospital service corporations. 56-1701. Incorporation. Any five or more persons upon petition to the Secretary of State for a corporate charter, as provided in sections 56-1504 (2) (3) (a) (b) (c) (g) (h) (k) (l), 56-1505 and 56-1506, may be incorporated for the purpose of establishing, maintaining and operating a nonprofit hospital service plan whereby hospital care may be provided by said corporation through an established licensed hospital or licensed hospitals with which it has contracted for such care, as is hereinafter defined. 56-1702. Application for membership. Such corporations when organized shall be authorized to accept applicants, who may become members of said corporations furnishing group hospital service under a contract, which shall entitle each member to such hospital care for such period of time as is provided therein. 56-1703. Corporations insurance companies; no bond or deposit required. Such corporations shall be governed by this Chapter. Such corporations organized and operated under the provisions of this Chapter shall not be required by any department of this State to post bond, or put up deposits with any department of this State to begin

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and/or operate under this Chapter, and the deposit provisions of Chapters 56-3 and 56-11 and the fee and tax provisions of Chapter 56-13 are hereby declared inapplicable to corporations organized and/or operated under this Chapter. 56-1704. Corporations to be nonprofit organizations. Such corporations shall be governed and conducted as nonprofit organizations, for the purpose of offering and furnishing hospital service to their members in consideration of the payment by such members of a definite sum for the hospital care so contracted to be furnished. In order to implement the distribution of voluntary health care to the people of this State, such corporations may, at their discretion, act as agent for surgical and/or medical service plans operating in this State, providing that contractual arrangements for such service be first approved by the Commissioner. The necessary expenses of administering the affairs of said corporations may be paid from the dues or payments collected. 56-1705. Authority of corporations to contract. Such corporations shall have the authority to contract with hospitals charging for services rendering, in such manner as to assure to each person holding a contract of said corporation the furnishing of such hospital care as may be agreed upon in the contract between said hospital and said member, with the right of said corporation to limit in said contract the type of diseases for which it shall furnish or pay for hospital care in any hospital. Hospitals so contracted with shall be known as participating hospitals. 56-1706. Extension of service. All membership contracts issued by such corporations shall contain a provision, to be first approved by the Commissioner, which shall permit the person with whom made, and all persons entitled to hospital service thereunder, the right to receive hospitalization either in ordinary or in emergency cases, at any nonparticipating licensed general medical hospital selected by such person which has been approved according to this Chapter; and such hospital shall be paid by said corporation a charge or rate for hospital service, not

Page 573

to exceed the rate provided for in contracts of said hospital service corporation for nonparticipating hospitals. This section shall not restrict the right of such corporations, in their discretion, to extend this same rate to persons entitled to hospital service in nonparticipating hospitals other than general medical hospitals. 56-1707. Limitation upon authority to contract and operate. Said corporations shall have authority to contract with only hospitals licensed by the State Board of Health of Georgia. 56-1708. Provision against attempting to control relations between patient and physician. Such corporations shall not control or attempt to control the relationship existing between the member and his physician and shall not restrict the right of the patient to obtain the service of any licensed doctor of medicine; and any hospital which shall contract with such corporation for the furnishing of hospital care, shall accept a member or subscriber of such corporation with the physician of his choice in charge of his treatment at such hospital, provided such acceptance is inconformity with the hospital's regular rules of admission, and further provided that such physician is otherwise acceptable for practice in said hospital. 56-1709. Personnel of directors. At least a majority of the directors of such corporation must be at all times directors, superintendents, or trustees of hospitals, as herein defined, which have contracted or may contract with such corporation to render its subscribers hospital service. 56-1710. Supervision of rates by Commissioner. Such corporations shall before accepting applications for membership in said nonprofit hospital service plan, submit to the Commissioner a plan of operation and overhead expenses, operation cost, salaries paid or to be paid during any current year, together with a schedule of its rates or dues to be charged and the amount of hospital service contracted to be rendered; which plan, rates and amounts of service shall first be approved by the Commissioner as

Page 574

fair and reasonable before said corporation shall engage in business. 56-1711. Approval of rates. The Commissioner shall likewise first approve the rates of payment to be made by said corporations to hospitals for the rendering of hospital care to the members of said corporation as being fair and reasonable. Said hospitals shall guarantee the benefits of the certificates of membership issued by the corporation in such a way as will be satisfactory to the Commissioner. 56-1712. Membership certificates. Every such corporation shall issue to its members certificates of membership which shall set forth the contract between the corporation and the member, and give the name or names and location of hospital or hospitals with which the corporation has contracted for service to its members, and the period of such service; and the rate per day or week payable by said corporation for hospital service rendered to said member at any hospital other than the hospitals with which said corporation shall be contracted. 56-1713. Bond of treasurer; deposit of funds. The treasurer of such corporation and other officers and employees who handle its funds shall be required to give a fidelity bond with corporate surety in such sum as may be determined by the officers of said corporation for the faithful handling of the funds of said corporation; and all funds collected from members or subscribers of said corporation shall be deposited to the account of said corporation in a bank which is a State depository. 56-1714. Finance procedure. Said corporations shall not pay any of the funds collected from members or subscribers to any hospital until after said hospital shall have rendered hospital care to a subscriber or member. 56-1715. Investments. The funds of any corporations subject to the provisions of this Chapter shall be invested only in securities permitted by the laws of the State of Georgia for the investment of assets of life insurance companies.

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56-1716. Reports to Commissioner. Every such corporation shall annually, on or before March 1st, file in the office of the Commissioner a statement verified by at least two of the principal officers of said corporations, showing its condition on December 31st, next preceding, which statement shall be in such form and shall contain such matters as the Commissioner shall prescribe. 56-1717. Examination of books and records. Every such corporation shall keep complete books and records, showing all funds collected and disbursed, and all books and records shall be subject to examination by the Commissioner annually, the expense of such examination to be borne by said corporation. 56-1718. Definition as charitable and benevolent institutions. Every corporation subject to the provisions of this Chapter is hereby declared to be a charitable and benevolent institution and shall be exempt from all taxes as such charitable and benevolent institutions are now or may hereafter be exempt from taxes. 56-1719. Expense of examination and supervision. Any and all supervision, liquidation or examination of the affairs of any such corporation by the Commissioner shall be at the expense of such corporation. 56-1720. Dissolution. Any dissolution or liquidation of any such corporation subject to the provisions of this Chapter shall be under the supervision of the Commissioner. In case of dissolution of any corporation formed under the provisions of this Chapter, the claims of membership certificate holders of such corporation shall be given priority over all other claims except cost of liquidation. Next priority shall be given to claims of contracting hospitals for losses or write-offs shown by the corporation's records to have been incurred by said contracting hospitals in furnishing service to membership certificate holders. Any remaining funds may be distributed only in a manner consistent with the purposes of the charter and bylaws of such corporation.

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56-1721. Chapter to govern pre-existing nonprofit hospital service corporations. All corporations organized and operating as nonprofit hospital service corporations in the State of Georgia at the time of the enactment of this Chapter shall be deemed nonprofit hospital service corporations existing and operating under and subject to the provisions of this Chapter. CHAPTER 56-18 NONPROFIT MEDICAL SERVICE CORPORATIONS. 56-1801. Declaration of public policy; liberal construction of Chapter. 56-1802. Definitions. 56-1803. Corporations to provide medical service. 56-1804. Corporations to be nonprofit organizations; administration expenses. 56-1805. Incorporation. 56-1806. Organization; board of directors; qualifications, number, compensation. 56-1807. Persons authorized to write medical service plan contracts. 56-1808. Membership in corporation; applications. 56-1809. Membership in corporation; limitation of service. 56-1810. Authority of corporation to contract. 56-1811. Limitation upon authority. 56-1812. Membership certificates; contents, form, substance. 56-1813. Prohibition against corporate practice of medicine. 56-1814. All licensed doctors may participate in corporation. 56-1815. Acquisition and administrative expenses. 56-1816. Bond of treasurer. 56-1817. Investments. 56-1818. Reserves to be maintained for unearned subscription fees, etc.; rate annually. 56-1819. Funds collected not payable to physicians until services performed.

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56-1820. Corporations regulated by Commissioner; bond or deposit not required. 56-1821. Supervision of rates. 56-1822. Approval of rates. 56-1823. Certificate of authorization; application, contents. 56-1824. Certificate of authorization; when issued. 56-1825. Examination of books and records; expense of examination. 56-1826. Annual report to Commissioner. 56-1827. Certificate of authorization; annual renewal, revocation; notice of hearing. 56-1828. Soliciting agents; improperly solicited subscription certificates. 56-1829. Review of disputes. 56-1830. Definition as charitable and benevolent institutions. 56-1831. Dissolution. 56-1801. Declaration of public policy; liberal construction of Chapter. (1) It is declared to be the public policy of this State to conserve its human resources by making available to all its citizens medical and surgical care in keeping with modern scientific practices in the field of medicine, and to this end this law is enacted. (2) This Chapter shall be construed liberally to promote its humanitarian purposes. 56-1802. Definitions. As used in this Chapter, the following terms have the meanings respectively assigned to them unless the context otherwise plainly requires: (1) Medical service corporation means a corporation organized without capital stock and not for profit, and incorporated in accordance with section 56-1805, specifically for the purpose of establishing, maintaining and operating a nonprofit medical service plan. (2) Medical service plan means a plan or arrangement under which medical services are or may be renbere

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to a subscriber, a covered dependent or other beneficiary by a licensed physician and surgeon and under which additional services and supplies are or may be rendered to a subscriber, a covered dependent or other beneficiary by another person or persons at the expense of a medical service corporation, as defined herein, in consideration of periodical payments made by the subscriber or another in his behalf prior to the occurrence of the condition calling for the rendition of medical or surgical services or additional services and supplies. (3) Medical services means the general and usual services and care rendered and administered by doctors of medicine and doctors of dental surgery. It shall not include hospital service. (4) Additional services and supplies means private duty nursing care and licensed practical nursing care; physiotherapy; local ambulance service; drugs and medications outside of the hospital; therapeutic services and equipment, including oxygen, the rental of oxygen equipment, hospital beds and iron lungs; orthopedic services and appliances, including wheelchairs, trusses, braces, crutches, and prosthetic devices, including artificial limbs and eyes. Nonprofit medical service corporations are authorized to purchase, rent, contract for, or otherwise compensate for such additional services and supplies, and reimbursement may be made either directly to those furnishing such additional services and supplies or to the subscriber or member. Such additional services and supplies shall not include hospital services. (5) Subscriber and member means a person to whom a subscription certificate is issued by a medical service corporation which sets forth the kinds and extent of the medical services for which the corporation is liable to make payment. (6) Beneficiary and covered dependent means a person designated in the subscription contract, or application therefor, as entitled to the medical services referred to in subsection (5) of this section, with respect to whom

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appropriate dues are specified in writing between the corporation and the member holding such certificate. (7) Participating physician means a doctor of medicine licensed to practice medicine and surgery in this State, and a dental surgeon licensed to practice dental surgery in this State, who agrees in writing, with a medical service corporation to perform the medical services specified in the subscription certificates issued by the corporation, and at such rates of compensation as shall be determined by the board of directors of the corporation, and who agrees to abide by the bylaws, rules and regulations of the corporation applicable to participating physicians. (8) Commissioner means the Insurance Commissioner of the State of Georgia. (9) Person includes a natural person, a copartnership, an association, a common law trust or a corporation. (10) The personal pronoun as used in this Chapter, except where otherwise clearly indicated, shall import masculine, feminine or neuter gender. 56-1803. Corporations to provide medical service. Corporations contemplated by this Chapter may be incorporated for the purpose of establishing, maintaining, and operating a nonprofit medical service plan under which medical or surgical care, or both, may be rendered by licensed doctors of medicine with whom any such corporation has contracted for such medical or surgical care, as herein defined. 56-1804. Corporations to be nonprofit organizations; administration expenses. Such corporations shall be governed and conducted as nonprofit organizations for the sole purpose of offering and furnishing a medical service plan or plans to its members, beneficiaries and covered dependents in consideration of the payment by such members or other persons of a definite sum for the medical or surgical care, or both, so contracted to be furnished:

Page 580

Provided, however, the necessary expense of administering the affairs of said corporation may be paid from the dues or payments collected. 56-1805. Incorporation. Corporations contemplated by this Chapter shall be chartered and organized as nonprofit corporations in the manner prescribed by sections 56-1504 (2) (3) (a) (b) (c) (g) (h) (k) (l), 56-1505 and 56-1506, with such modifications only as are set forth in this Chapter. 56-1806. Organization; board of directors; qualifications, number, compensation. The business of such corporations shall be managed by a board of directors of three or more persons, the majority of whom, at all times, shall be licensed doctors of medicine, and elected by the members and for such terms as may be provided by the bylaws: Provided, however, if such corporations shall operate in as many as six counties of this State, its board of directors shall consist of not less than five persons, and, if such corporations shall operate in as many as fifteen (15) or more counties of this State, its board of directors shall consist of not less than seven persons. The medical members of the board shall be nominated by the medical societies in the county or counties in which the corporation shall operate and the other members of the board shall be representatives of the subscribers of the areas involved and shall be nominated by the members of the corporation, and all members of the board shall be elected by the members of the corporation as herein provided. Directors shall serve without pay for their work in this capacity; however, they may receive pay for particular services actually rendered, such as legal counsel, medical or surgical service, accounting or other required services, upon specific approval of the board of directors, such approval being made a part of the minutes of the board of directors, except a director shall have no vote on any matter in which he has a financial interest. 56-1807. Persons authorized to write medical service plan contracts. It shall be unlawful for any person except a medical service corporation (incorporated in accordance

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with the provisions of this Chapter and operating in accordance with authority from the Commissioner) to establish, maintain, or operate a medical service plan, or to solicit subscribers to or enter into contracts with respect to a medical service plan: Provided, such corporations, with the approval of the Commissioner, may enter into an agency contract with any licensed nonprofit hospital service corporation: and, Provided further, nothing in this Chapter shall be construed as preventing a person from furnishing medical services for the prevention of disease among his employees or from furnishing such medical services as are required under the workmen's compensation or other laws of this State, or as preventing any duly licensed insurance company from writing medical indemnity insurance. 56-1808. Membership in corporation; applications. Corporations when organized shall be authorized to accept applicants individually or in groups who may become members of said corporation furnishing medical or surgical care, or both, under a contract which shall entitle each member, beneficiary, and covered dependent to such medical or surgical care, or both, for such period of time as is provided therein; and such corporations shall be governed by this Chapter. 56-1809. Membership in corporation; limitation of service. Each corporation shall be authorized to accept applications for membership and to issue contracts only to persons residing in counties in which the medical service plan of such corporation shall have been approved by the couty medical society of such county. In the event there is no medical society in the particular county concerned, approval by the medical society in an adjoining county will be considered sufficient. 56-1810. Authority of corporations to contract. Corporations shall have the authority to contract with physicians, for payment of services rendered, in such manner as to assure to each person holding a contract of said corporation the furnishing of such medical or surgical care, or both, as may be agreed upon in the contract of said

Page 582

corporation, with the right of said corporation to limit in said contract the types of diseases and conditions for which it shall furnish medical or surgical care, or both. 56-1811. Limitation upon authority. Corporations shall have authority to contract with only licensed doctors of medicine: Provided, however, that all contracts issued by such corporations to members shall contain a provision, to be first approved by the Commissioner, which shall permit the persons with whom made, and all persons entitled to medical service thereunder, the right to receive such service, either in ordinary or emergency cases, from any licensed doctor of medicine selected by such person, and that such doctor of medicine will be paid by such corporation an amount provided for in the contract of such corporation for nonparticipating licensed doctors of medicine. 56-1812. Membership certificates; contents, form, substance. Every such corporation shall issue to its members certificates of membership, which shall set forth the contract between the corporation and the member, and specify how the holder of such contract may obtain the name or names and addresses of the physicians upon whom the member shall have the right to call for medical or surgical care, or both, and the nature of such services. Such certificate shall be consistent with this Chapter and the purposes thereof. It shall contain no unnecessary or rigid restriction, limitation or exclusion. It shall be prepared with the greatest possible degree of clearness, and in such a way as not to mislead the holder. Its form, size of type, general arrangement, and contents shall be subject to the approval of the Commissioner and shall be filed with and approved by him, before being issued in this State. 56-1813. Prohibition against corporate practice of medicine. Such corporations shall have the right to sell contracts providing for the payment of specified charges made by physicians furnishing medical or surgical care, or both, to the holders of such contracts, their beneficiaries and covered dependents as herein provided for. Such

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contracts shall not in any manner restrict the right of the holder to obtain the services of any licensed doctor of medicine nor shall such contracts attempt to control the relation existing between any holder or beneficiary of any such contract and his physician. Such corporations shall impose no restriction on the doctors of medicine who treat its subscribers as to the methods of diagnosis or treatment. The private physician-patient relationship shall be maintained, and a subscriber shall at all times have free choice of any doctor of medicine who is a participating physician in the corporation and who agrees to accept a particular beneficiary as a patient. It is the purpose of this section to make it clear that the creation of the relationship of patient and physician depends upon the mutual assent of both parties. Contracts issued by the corporation to the subscribers shall not constitute individually or jointly obligations of the participating physician or physicians servicing the plan. No provision of this Chapter shall be construed as authorizing the corporate practice of medicine; and such corporations shall not practice medicine. No physician rendering service or called on to render service to a member, beneficiary, or covered dependent shall be construed to be an agent or employee of such corporation and such corporation shall not be liable for the negligence, misfeasance, malfeasance, nonfeasance or malpractice of any physician rendering medical or surgical services to any such member, beneficiary or covered dependent. 56-1814. All licensed doctors may participate in corporations. Every doctor of medicine licensed to practice in this State and who is reputable and in good standing, shall have the right to become a participating physician in the corporation operating in the county in which he resides or practices, for medical or surgical care, or both, as the case may be, under such terms and conditions as are imposed on other participating physicians under similar circumstances, or as prescribed in this Chapter and approved by the Commissioner.

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56-1815. Acquisition and administrative expenses. All acquisition and administrative expenses incurred in connection with such corporations shall at all times be subject to the approval of the Commissioner. The term administrative expenses as used in this section shall include all expenditures except payment for subscribers' claims. Claim service expense shall be separately classified and included in administrative expense, unless otherwise ordered by the Commissioner. 56-1816. Bond of treasurer. The treasurer of such corporation shall be required to give a fidelity bond with corporate surety in such sum as may be determined by the officers of said corporation and all funds collected from the members or subscribers of said corporation shall be deposited to the account of said corporation in a bank which is a State depository. 56-1817. Investments. The funds of such corporation shall be invested only in securities permitted by the laws of the State of Georgia for the investment of assets of insurance companies. 56-1818. Reserves to be maintained for unearned subscription fees, etc.; rate annually. Every such corporation shall maintain at all times proper reserves, subject to the approval of the Commissioner, for unearned subscription fees and unearned premiums, and for unpaid medical service bills, including provision for unreported and undischarged medical cases and other known liabilities. In addition, a contingency or epidemic reserve shall be accumulated annually at the rate of not less than two and one-half (2%) percent of net premium income. When such contingency or epidemic reserve equal seventy-five thousand ($75,000) dollars or fifty-five (55%) percent of the annual premium income (whichever is higher), further accumulations may be discontinued for any length of time that they are not required to meet the above requirements. 56-1819. Funds collected not payable to physicians or other persons until services performed. Said corporations

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shall not pay any of the funds collected from the members or subscribers to any physicians for medical or dental services or to any other person or persons for additional services and supplies until after said physician or such other person or persons shall have rendered the necessary medical or surgical care or furnished the necessary additional services and supplies, any or all, as the case may be, to such subscriber or member. 56-1820. Corporations regulated by Commissioner; bond, deposit, fees or taxes not required. Such corporations shall be subject to regulation and supervision by the Commissioner: Provided, any such corporation shall not be required by any department of this State to post bond or place deposits with any department of this State to begin business or to operate under this Chapter, nor shall any such corporation be required to pay the fees or taxes provided by Chapter 56-13. 56-1821. Supervision of rates. Such corporations shall, before accepting applications for membership in said nonprofit medical service plan, submit to the Commissioner a plan of operating and overhead expenses, operation cost, salaries, paid or to be paid during any current year, together with a schedule of its rates or dues to be charged and the amount of medical and surgical service contracted to be rendered; which plan, rates and amount of service shall first be approved by the Commissioner as fair and reasonable before said corporation shall engage in business. 56-1822. Approval of rates. The Commissioner shall likewise first approve the rates of payment to be made by said corporations to physicians for the rendering of medical or surgical care, or both, on behalf of said corporation, its members, beneficiaries, and covered dependents, as being fair and reasonable. 56-1823. Certificate of authorization; application, contents. A corporation subject to the provisions of this Chapter may issue contracts when the Commissioner has authorized it to do so. Every application for such certificate

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of authorization shall be accompanied by copies of the following documents: (1) A certified copy of its charter or certificate of incorporation. (2) A copy of its bylaws, certified by the lawful custodian of the original. (3) Proposed contracts between the corporation and the participating physicians showing terms under which medical service is to be furnished to subscribers. (4) Subscription contracts to be issued to subscribers showing a table of the rates to be charged and the benefits to which they are entitled, showing benefits expressed in service and in dollars. Such contracts shall make clear that the responsibility for service to the subscribers rests with the corporation, and not with the participating physicians. (5) A statement of the county or counties in which it proposes to operate medical service plans. (6) A statement of its financial condition and business in such form and detail as the Commissioner may require, including the amounts of contributions paid for working capital and the name or names of each contributor, and the terms of such contributions, signed and sworn to by its president and secretary, or other proper officers. Contributions not paid, but agreed to be paid, may be reported as a separate item, but shall not be admitted as assets of the corporation. 56-1824. Certificate of authorization; when issued. The Commissioner shall issue a certificate of authorization upon compliance with this Chapter, and other proper requirements of the Commissioner, and upon being satisfied upon the following points: (1) That all items required to be filed are in proper form and meet the approval of the Commissioner.

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(2) That the applicant is established as a bona fide medical service corporation, that the services rendered by such corporation are not an unnecessary duplication of similar services in the community served, are desirable for public necessity and convenience, and that a fair opportunity has been given to all practicing physicians of standing in the area to be served to become participating physicians. (3) That the solicitation of contracts by the corporation and its conditions or methods of operation are fair and reasonable. (4) That the rates charged are fair, reasonable, adequate and not unfairly discriminatory, that benefits to be provided are fair, reasonable and not unfairly discriminatory. The rates may differ between subscribers in recognized groups and individual subscribers not in groups, all subject to the approval of the Commissioner. (5) That the amount of money actually available for working capital is sufficient to carry all acquisition costs and operating expenses for a period of at least six months from the date of the issuance of the certificates. (6) That the amount provided as working capital shall only be provided by individuals or groups who have no financial interest in the activities of such medical service corporation, or by the participating physicians. Interest charged therefor, if any, shall not exceed six (6%) percent per annum and payment of interest, if any, and repayment of such working capital shall be permitted only after provision has been adequately made for operating expenses, payments to participating physicians for medical and surgical services, and the establishment of legal reserves and such other reserves as may be required by the Commissioner. (7) That a provision has been made in the subscription contract authorizing medical and surgical services by other than participating physicians, in which case money benefits shall be provided, as specified in the subscription

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contract and approved as fair by the Commissioner. Such certificate of authority issued by the Commissioner to operate a medical service plan or plans will be limited by the Commissioner to the contracts and practices approved by him. 56-1825. Examination of books and records; expense of examination. Every such corporation shall keep complete books and records, showing all funds collected and disbursed, and all books and records shall be subject to examination by the Commissioner annually, the expense of such examination to be borne by said corporation. 56-1826. Annual report to Commissioner. Every such corporation shall annually on or before March 1st file in the office of the Commissioner a statement verified by at least two of the principal officers of said corporation, showing its condition on December 31st, then next preceding, which statement shall be in such form and shall contain such information as the Commissioner shall prescribe. 56-1827. Certificate of authorization; annual renewal, revocation; notice of hearing. The certificate of authorization referred to in section 56-1823 shall be applied for and renewed annually by the Commissioner, except on such application such corporation shall not be required to furnish documents set forth in section 56-1823. He shall not renew such certificate, and shall be authorized to revoke an existing one, upon the failure of the corporation to comply with the provisions of this law. Due notice and opportunity to be heard on the question of refusing to renew a certificate of authorization or the revocation of an existing one shall first be given by the Commissioner. 56-1828. Soliciting agents; improperly solicited subscription certificates. Whenever the Commissioner finds, after investigation, that an organizer, solicitor, or agent of such corporation has unfairly or improperly solicited subscription certificates by misrepresenting the terms thereof or has engaged in any other unfair or deceptive practice, or for any reason is incompetent to serve as such organizer, agent, or solicitor, or that his services are

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not, in fact, needed, he shall order such corporation to dispense with such services. 56-1829. Review of disputes. Any dispute arising within the purview of this Chapter with reference to the regulation and supervision, or either of them, of any such corporation shall, within thirty (30) days after such dispute arises, be submitted by the aggrieved person to the Commissioner for his decision with reference thereto: Provided, nothing herein shall authorize or require the Commissioner to determine the contractual rights between the parties interested in any such corporations. After proper notice and hearing, any decision and order of the Commissioner made pursuant to the provisions of this Chapter, shall be binding on the persons involved, unless set aside on review as herein provided. A review of any such decision or order made by the Commissioner may be had in the Superior Court of Fulton County, Georgia, upon a writ of certiorari. Application for such writ shall be made within thirty (30) days of such decision or order. 56-1830. Definition as charitable and benevolent institutions. Every corporation subject to the provisions of this Chapter is hereby declared to be a charitable and benevolent institution and shall be exempt from all taxes as such charitable and benevolent institutions are now or may hereafter be exempt from taxes. Any and all supervision, liquidation or examination of the affairs of any such corporation by the Commissioner shall be at the expense of such corporation. 56-1831. Dissolution. Any dissolution or liquidation of any such corporation subject to the provisions of this Chapter shall be under the supervision of the Commissioner. In case of dissolution of any such corporation formed under the provisions of this Chapter, claims of certificate holders of such corporation shall be given priority over all other claims except cost of liquidation. Any assets remaining after satisfaction of all claims of certificate holders and payments of all costs of liquidation, may be used only to carry out the original purposes for which such corporation was chartered.

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CHAPTER 56-19 FRATERNAL BENEFIT SOCIETIES. 56-1901. Fraternal benefit societies defined. 56-1902. Lodge system defined. 56-1903. Representative form of government defined. 56-1904. Organization. 56-1905. Corporate powers retained. 56-1906. Existing voluntary associations; may incorporate. 56-1907. Location of office; place of meeting. 56-1908. Consolidations and mergers. 56-1909. Conversion of fraternal benefit society into mutual life insurance company. 56-1910. Qualifications for membership. 56-1911. Charter, constitution and laws; amendments. 56-1912. Institutions. 56-1913. Payments of benefits other than insurance benefits. 56-1914. No personal liability. 56-1915. Benefits. 56-1916. Benefits on lives of children. 56-1917. Nonforfeiture benefits, cash surrender values, certificate loans and other options. 56-1918. Beneficiaries. 56-1919. Benefits not attachable. 56-1920. The contract. 56-1921. Provisions; standard and prohibited. 56-1922. Accident and sickness insurance and total and permanent disability insurance certificates; filing and approval. 56-1923. Waiver. 56-1924. Reinsurance. 56-1925. Annual license. 56-1926. Foreign or alien society; admission. 56-1927. Injunction; liquidation; receivership of domestic society. 56-1928. Suspension, revocation or refusal of license of foreign or alien society. 56-1929. Licensing of agents. 56-1930. Service of process.

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56-1931. Injunction. 56-1932. Review. 56-1933. Funds. 56-1934. Investments. 56-1935. Reports and valuation. 56-1936. Examinations of domestic societies. 56-1937. Examinations of foreign and alien societies. 56-1938. No adverse publications. 56-1939. Misrepresentation. 56-1940. Discrimination and rebates. 56-1941. Taxation. 56-1942. Exemptions. 56-1943. Exemption of certain societies. 56-1944. Penalties. 56-1945. Severability. 56-1901. Fraternal benefits societies defined. Any incorporated society, order or supreme lodge, without capital stock, including one exempted under the provisions of section 56-1943(b) whether incorporated or not, conducted solely for the benefit of its members and their beneficiaries and not for profit, operated on a lodge system with ritualistic form of work, having a representative form of government, and which makes provision for the payment of benefits in accordance with this Chapter, is hereby declared to be a fraternal benefit society. When used in this Chapter the word society, unless otherwise indicated, shall mean fraternal benefit society. 56-1902. Lodge system defined. A society having a supreme legislative or governing body and subordinate lodges or branches by whatever name known, into which members are elected, initiated or admitted in accordance with its constitution, laws, ritual and rules, which subordinate lodges or branches shall be required by the laws of the society to hold regular meetings at least once in each month, shall be deemed to be operating on the lodge system. 56-1903. Representative form of government defined.

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A society shall be deemed to have a representative form of government when: (1) It provides in its constitution or laws for a supreme legislative or governing body, composed of representatives elected either by the members or by delegates elected directly by the members, together with such other members of such body as may be prescribed by the society's constitution and laws; (2) The elected representatives are constituted by a majority in number of the members who have not less than two-thirds ([frac23]) of the votes nor less than the votes required to amend its constitution and laws; (3) The meetings of the supreme legislative or governing body and the election of officers, representatives or delegates are held as often as once in four calendar years; (4) Each insured member shall be eligible for election to act or serve as a delegate to such meeting; (5) The society has a board of directors charged with the responsibility of managing its affairs in the interim between meetings of its supreme legislative or governing body, subject to control by such body and having powers and duties delegated to it in the constitution or laws of the society; (6) Such board of directors is elected by the supreme legislative or governing body, except in case of filling a vacancy in the interim between meetings of such body; (7) The officers are elected either by the supreme legislature or governing body or by the board of directors; and (8) The members, officers, representatives or delegates shall not vote by proxy. 56-1904. Organization. The organization of a society shall be governed as follows:

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(1) Seven or more citizens of the United States, a majority of whom are citizens of this State, who desire to form a fraternal benefit society, may make, sign and acknowledge before some officer, competent to take acknowledgement of deeds, a petition for a charter, in which shall be stated: (a) The proposed corporate name of the society, which shall not so closely resemble the name of any society or insurance company as to be misleading or confusion; (b) The purposes for which it is being formed and the mode in which its corporate powers are to be exercised. Such purposes shall not include more liberal powers than are granted by this Chapter; Provided, that any lawful social, intellectual, educational, charitable, benevolent, moral, fraternal or religious advantages may be set forth among the purposes of the society; and (c) The names and residences of the incorporators and the names, residences and official titles of all the officers, trustees, directors, or other persons who are to have and exercise the general control of the management of the affairs and funds of the society for the first year or until the ensuing election at which all such officers shall be elected by the supreme legislative or governing body, which election shall be held not later than one year from the date of the issuance of the permanent certificate. (2) Such petition for a charter, duly certified copies of the constitution, laws and rules, copies of all proposed forms of certificates, applications therefor, and circulars to be issued by the society and a bond conditioned upon the return to applicants of the advanced payments if the organization is not completed within one year, such bond to be in an amount to be determined by the Commissioner not to exceed the sum of twenty-five thousand ($25,000) dollars with sureties approved by the Commissioner, shall be filed with the Secretary of State, who may require such further information as he deems necessary. All documents filed are to be in the English language. The Secretary of State shall transmit immediately one copy of said petition

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to the Commissioner and shall return one copy to the petitioner. If the purposes of the society conform to the requirements of this Chapter and all provisions of the law have been complied with, the Commissioner shall so certify, in writing, to the Secretary of State and shall furnish the incorporators a preliminary certificate authorizing the society to solicit members as hereinafter provided, but only after the granting of the certificate of the incorporation by the Secretary of State. A fraternal benefit society shall be incorporated by the Secretary of State upon compliance with the applicable provisions of law. The publication requirements of section 56-1505 (2) and (3) shall also be applicable to charters granted under this Chapter. (3) No preliminary certificate granted under the provisions of this section shall be valid after one year from its date or after such further period, not exceeding one year, as may be authorized by the Commissioner upon cause shown, unless the five hundred (500) applicants hereinafter required have been secured and the organization has been completed as herein provided. The charter and all other proceedings thereunder shall become null and void in one year from the date of the preliminary certificate, or at the expiration of the extended period, unless the society shall have completed its organization and received a certificate of authority to do business as hereinafter provided. (4) Upon receipt of a preliminary certificate from the Commissioner, the society may solicit members for the purpose of completing its organization, shall collect from each applicant the amount of not less than one regular monthly premium in accordance with its table of rates as provided by its constitution and laws, and shall issue to each such applicant a receipt for the amount so collected. No society shall incur any liability other than for the return of such advance premium, nor issue any certificate, nor pay, allow, or offer or promise to pay or allow, any death or disability benefit to any person until: (a) Actual bona fide applications for death benefits have been secured aggregating at least five hundred

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thousand ($500,000) dollars on not less than five hundred (500) lives; (b) All such applicants for death benefits shall have furnished evidence of insurability satisfactory to the society; (c) Certificates of examinations or acceptable declarations of insurability have been duly filed and approved by the chief medical examiner of the society; (d) Ten (10) subordinate lodges or branches have been established into which the five hundred (500) applicants have been admitted; (e) There has been submitted to the Commissioner, under oath of the president or secretary, or corresponding officer of the society, a list of such applicants, giving their names, addresses, date each was admitted, name and number of the subordinate branch of which each applicant is a member, amount of benefits to be granted and premiums therefor; and (f) It shall have been shown to the Commissioner, by sworn statement of the treasurer, or corresponding officer of such society, that at least five hundred (500) applicants have each paid in cash at least one regular monthly premium as herein provided, which premiums in the aggregate shall amount to at least twenty-five hundred ($2,500) dollars, all of which shall be credited to the fund or funds from which benefits are to be paid and no part of which may be used for expenses. Said advance premiums shall be held in trust during the period of organization and if the society has not qualified for a certificate of authority within one year, as herein provided, such premiums shall be returned to said applicants. (5) The Commissioner may make such examination and require such further information as he deems advisable. Upon presentation of satisfactory evidence that the society has complied with all the provisions of law, he shall issue to the society a certificate to that effect and

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that the society is authorized to transact business pursuant to the provisions of this Chapter. The certificate shall be prima facie evidence of the existence of the society at the date of such certificate. The Commissioner shall cause a record of such certificate to be made. A certified copy of such record may be given in evidence with like effect as the original certificate. (6) Every society shall have the power to adopt a constitution and laws for the government of the society, the admission of its members, the management of its affairs and the fixing and readjusting of the rates of its members from time to time. It shall have the power to change, alter, add to or amend such constitution and laws and shall have such other powers as are necessary and incidental to carrying into effect the objects and purposes of the society. 56-1905. Corporate powers retained. Any incorporated society authorized to transact business in this State at the time this Chapter becomes effective may thereafter exercise all the rights, powers and privileges prescribed in this Chapter and in its charter as far as consistent with this Chapter. A domestic society shall not be required to reincorporate. 56-1906. Existing voluntary association; may incorporate. After one year from the effective date of this Chapter, no unincorporated or voluntary association shall be permitted to transact business in this State. Any domestic voluntary association now authorized to transact business in this State may incorporate and shall receive from the Secretary of State a permanent certificate of incorporation as a fraternal benefit society when: (1) It shall have completed its conversion to an incorporated society not later than one year from the effective date of this Chapter; (2) It has filed its petition for a chapter, and has satisfied the other requirements described in section 56-1904.

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Every voluntary association so incorporated shall incur the obligations and enjoy the benefits thereof the same as though originally incorporated, and such corporation shall be deemed a continuation of the original voluntary association. The officers thereof shall serve through their respective terms as provided in its original charter, but their successors shall be elected and serve as provided in its charter. Incorporation of a voluntary association shall not affect existing suits, claims or contracts. 56-1907. Location of office; place of meeting. The principal office of any domestic society shall be located in this State. The meetings of its supreme legislative or governing body may be held in any state, district, province or territory wherein such society has at least five subordinate branches and all business transacted at such meetings shall be as valid in all respects as if such meetings were held in this State. 56-1908. Consolidations and mergers. (1) A domestic society may consolidate or merge with any other society by complying with the provisions of this section. The filing of application, fee and publication requirements of section 56-1505 (1), (2) and (3) shall be applicable to merger under this Chapter. (2) The application shall state the names and respective locations of the merged or consolidated societies, with the dates of their original charters and all amendments thereto, and the name and location of the consolidated or merged society. The application shall be signed with the corporate names and under the corporate seals of the societies. There shall be filed with the application: (a) A certified copy of the written contract containing in full the terms and conditions of the consolidation or merger; (b) A sworn statement by the president and secretary or corresponding officers of each society showing the financial condition thereof on a date fixed by the Commissioner

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but not earlier than December 31st, next preceding the date of the contract; (c) A certificate of such officers, duly verified by their respective oaths, that the consolidation or merger has been approved by a two-thirds ([frac23]) vote of the supreme legislative or governing body of each society; and (d) Evidence that at least sixty (60) days prior to the action of the supreme legislative or governing body of each society, the text of the contract has been furnished to all members of each society either by mail or by publication in full in the official organ of each society. (e) In the event any society which is a party to the contract is incorporated under the laws of any other state or territory, a certificate of approval as provided by the laws of such state or territory; if the laws of such state or territory contain no such provision, then the consolidation or merger must be approved by the supervising insurance official of such state or territory, and a certificate of such approval. (3) If the Commissioner finds that the contract is in conformity with the provisions of this section, that the financial statements are correct and that the consolidation or merger is just and equitable to the members of each society, he shall approve the contract and issue his certificate to such effect, transmitting a copy of such certificate of approval to the Secretary of State. If the Commissioner does not approve the contract, he shall notify the society and shall transmit a copy of his certificate of disapproval to the Secretary of State. (4) Upon receipt of the certificate of the ordinary as to the publication of the application and the certificate of approval of the Commissioner, the Secretary of State shall issue, under the great seal of the State, a certificate of merger, which certificate shall be the charter of the consolidated or merged society. The Secretary of State shall record the application, the contract of merger and the other documents required to be filed, the certificate of

Page 599

the ordinary, the certificate of the Commissioner and the certificate of merger in a book to be kept by him for that purpose. (5) Upon the consolidation or merger becoming effective as herein provided, all the rights, franchises and interests of the consolidated or merged societies in and to every species of property, real, personal, or mixed, and things in action thereunto belonging shall be vested in the society resulting from or remaining after the consolidation or merger without any other instrument, except that conveyances of real property may be evidenced by proper deeds, and the title to any real estate or interest therein, vested under the laws of this State in any of the societies consolidated or merged, shall not revert or be in any way impaired by reason of the consolidation or merger, but shall vest absolutely in the society resulting from or remaining after such consolidation or merger. (6) The affidavit of any officer of the society or of anyone authorized by it to mail any notice or document, stating that such notice or document has been duly addressed and mailed, shall be prima facie evidence that such notice or document has been furnished the addresses. 56-1909. Conversion of fraternal benefit society into mutual life insurance company. Any domestic fraternal benefit society may be converted and licensed as a mutual life insurance company by compliance with all the applicable requirements of Chapter 56-15 if such plan of conversion has been approved by the Commissioner. Such plan shall be prepared in writing setting forth in full the terms and conditions thereof. The board of directors shall submit such plan to the supreme legislative or governing body of such society at any regular or special meeting thereof, by giving a full, true and complete copy of such plan with the notice of such meeting. Such notice shall be given as provided in the laws of the society for the convocation of a regular or special meeting of such body, as the case may be. The affirmative vote of two-thirds ([frac23]) of all members of such body shall be necessary for the approval

Page 600

of such agreement. No such conversion shall take effect unless and until approved by the Commissioner who may give such approval if he finds that the proposed change is in conformity with the requirements of laws and not prejudicial to the certificate holders of the society. 56-1910. Qualifications for membership. A society may admit to benefit membership any person not less than fifteen (15) years of age, nearest birthday, who has furnished evidence of insurability acceptable to the society. Any such member who shall apply for additional benefits more than six months after becoming a benefit member shall pass an additional medical examination, or make an additional declaration of insurability, as required by the society. Any person admitted prior to attaining the full age of twenty-one (21) years shall be bound by the terms of the application and certificate and by all the laws and rules of the society and shall be entitled to all the rights and privileges of membership therein to the same extent as though the age of majority had been attained at the time of application. A society may also admit general or social members who shall have no voice or vote in the management of its insurance affairs. 56-1911. Charter, constitution and laws; amendments. A domestic society may amend its charter, constitution or laws in accordance with the provisions thereof by action of its supreme legislative or governing body at any regular or special meeting thereof or, if its charter, constitution or laws so provide, by referendum. Such referendum may be held in accordance with the provisions of its charter, constitution or laws by the vote of the voting members of the society, by the vote of delegates or representatives of voting members or by the vote of local lodges or branches. No amendment submitted for adoption by referendum shall be adopted unless, within six months from the date of submission thereof, a majority of all of the voting members of the society shall have signified their consent to such amendment by one of the methods herein specified. Charter amendments shall be filed in

Page 601

triplicate with the Secretary of State, published and approved only under the procedure established in section 56-1509. No amendment to the charter, constitution or laws of any domestic society shall take effect unless approved by the Commissioner and granted by the Secretary of State as provided in section 56-1509 who shall approve and grant respectively, such amendment if they find that it has been duly adopted and is not inconsistent with any requirement of the laws of this State or with the character, objects and purposes of the society. The approval or disapproval of the Commissioner shall be in writing forwarded to the Secretary of State and also mailed to the secretary or corresponding officer of the society at its principal office. In case he disapproves such amendment, the reason therefor shall be stated in such written notice. Amendments to charters shall not be effective until granted by the Secretary of State. Within ninety (90) days from the approval thereof by the Commissioner, all such amendments, or a synopsis thereof, shall be furnished to all members of the society either by mail or by publication in full in the official organ of the society. The affidavit of any officer of the society or of anyone authorized by it to mail any amendments or synopsis thereof, stating facts which show that same have been duly addressed and mailed, shall be prima facie evidence that such amendments or synopsis thereof, have been furnished the addressee. Every foreign or alien society authorized to do business in this State shall file with the Commissioner a duly certified copy of all amendments of, or additions to, its charter, constitution or laws within ninety (90) days after the enactment of same. Printed copies of the constitution or laws as amended, certified by the secretary or corresponding officer of the society shall be prima facie evidence of the legal adoption thereof.

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56-1912. Institutions. It shall be lawful for a society to create, maintain and operate charitable, benevolent or educational institutions for the benefit of its members and their families and dependents and for the benefit of children insured by the society. For such purpose it may own, hold or lease personal property or real property located within or without this State, with necessary buildings thereon. Such property shall be reported in every annual statement but shall not be allowed as an admitted asset of such society. Maintenance, treatment and proper attendance in any such institution may be furnished free or a reasonable charge may be made therefor, but no such institution shall be operated for profit. The society shall maintain a separate accounting of any income and disbursements under this section and report them in its annual statement. No society shall own or operate funeral homes or undertaking establishments. 56-1913. Payment of benefits other than insurance benefits. A society may pay benefits, other than insurance benefits, to its members from any special account or fund maintained for such purpose; Provided, that if such benefits are of such a nature that they could constitute benefits within the classes of insurance set forth in Section 56-1915, a society making such payments may not: (1) Make any separate charge therefor; (2) Issue any certificate, policy or other document promising such payments; (3) Provide in its constitution, laws or any other document that such payments may be received by the member as a matter of right; or (4) Advertise such payments as insurance or as payments to which the member has any right. The society shall maintain a separate accounting of all

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disbursements made under this section and report them in its annual statement. 56-1914. No personal liability. The officers and members of the supreme, grand or any subordinate body of a society shall not be personally liable for payment of any benefits provided by a society. 56-1915. Benefits. A society authorized to do business in this State may provide for the payment of: (1) Death benefits in any form; (2) Endowment benefits; (3) Annuity benefits; (4) Temporary or permanent disability benefits as a result of disease or accident; (5) Hospital, medical or nursing benefits due to sickness or bodily infirmity or accident; and (6) Monument or tombstone benefits to the memory of deceased members not exceeding any case the sum of three hundred ($300.00) dollars. Any such benefits may be provided for a member, or upon application of a member, for the member's family, including the member, the member's spouse and minor children, in one or more certificates. 56-1916. Benefits on lives of children. A society may provide for benefits on the lives of children under the minimum age for adult membership but not greater than twenty-one (21) years of age at time of application therefor, upon the application of some adult person, as its laws or rules may provide, which benefits shall be in accordance with the provisions of section 56-1915. A society may, at its option, organize and operate branches for such children. Membership and initiation in local lodges shall not be required of such children, nor shall they have a voice in the management of the society.

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Children insured under certificate issued pursuant to this section may be transferred to and become members of the adult branch of the society upon attaining the minimum age for adult membership under the laws of the society. A society shall have power to provide for the designation and changing of designation of beneficiaries in the certificates providing for such benefits and to provide in all other respects for the regulation, government and control of such certificates and all rights, obligations and liabilities incident thereto and connected therewith. 56-1917. Nonforfeiture benefits, cash surrender values, certificate loans and other options. A society may grant paid-up nonforfeiture benefits, cash surrender values, certificate loans and such other options as its laws may permit. As to certificates issued on and after the effective date of this Chapter, a society shall grant at least one paid-up nonforfeiture benefit. In the case of certificates other than those for which reserves are computed on the Commissioners' 1941 Standard Ordinary Mortality Table or the 1941 Standard Industrial Table, the value of every paid-up nonforfeiture benefit and the amount of any cash surrender value, loan or other option granted shall not be less than the excess, if any, of (1) over (2) as follows: (1) The reserve under the certificate determined on the basis specified in the certificate; and (2) The sum of any indebtedness to the society on the certificate, including interest due and accrued, and a surrender charge equal to two and one-half (2%) percent of the face amount of the certificate, which, in the case of insurance on the lives of children, shall be the ultimate face amount of the certificate, if death benefits provided therein are graded. However, in the cases of certificates issued on a substandard basis or in the case of certificates, the reserves

Page 605

for which are computed upon the American Men Ultimate Table of Mortality, the term of any extended insurance benefit granted including accompanying pure endowment, if any, may be computed upon the rates of mortality not greater than one hundred thirty (130%) percent of those shown by the mortality table specified in the certificate for the computation of the reserve. In the case of certificates for which reserves are computed on the Commissioners' 1941 Standard Ordinary Mortality Table or the 1941 Standard Industrial Table, every paid-up nonforfeiture benefit and the amount of any cash surrender value, loan or other option granted shall not be less than the corresponding amount ascertained in accordance with the provisions of the laws of this State applicable to life insurance companies issuing policies containing like insurance benefits based upon such tables. 56-1918. Beneficiaries. The member shall have the right at all times to change the beneficiary or beneficiary in accordance with the constitution, laws or rules of the society. Every society by its constitution, laws or rules may limit the scope of beneficiaries and shall provide that no beneficiary shall have or obtain any vested interest in the proceeds of any certificate until the certificate has become due and payable in conformity with the provisions of the insurance contract. A society may make provision for the payment of funeral benefits to the extent of such portion of any payment under a certificate as might reasonably appear to be due to any person equitably entitled thereto by reason of having incurred expense occasioned by the burial of the member, provided the portion so paid shall not exceed the sum of five hundred ($500) dollars. If, at the death of any member, there is no lawful beneficiary to whom the insurance benefits shall be payable, the amount of such benefits, except to the extent that funeral benefits may be paid as hereinbefore provided,

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shall be payable to the personal representative of the deceased member. 56-1919. Benefits not attachable. No money or other benefit, charity, relief or aid to be paid, provided or rendered by any society, shall be liable to attachment, garnishment or other process, or to be seized, taken, appropriated or applied by any legal or equitable process or operation of law to pay any debt or liability of a member or beneficiary, or any other person who may have a right thereunder, either before or after payment by the society. 56-1920. The contract. Every society authorized to do business in this State shall issue to each benefit member a certificate specifying the amount of benefits provided thereby. The certificate, together with any riders or endorsements attached thereto, the charter, the constitution and laws of the society, the application for membership, and declaration of insurability, if any, signed by the applicant, and all amendments to each thereof, shall constitute the agreement, as of the date of issuance, between the society and the member, and the certificate shall so state. A copy of the application for membership and of the declaration of insurability, if any, shall be endorsed upon or attached to the certificate. All statements purporting to be made by the member shall be representations and not warranties. Any waiver of this provision shall be void. Any changes, additions or amendments to the charter, or constitution or laws duly made or enacted subsequent to the issuance of the certificate, shall bind the member and the beneficiaries, and shall govern and control the agreement in all respects the same as though such changes, additions or amendments had been made prior to and were in force at the time of the application for membership, except that no change, addition, or amendment shall destroy or diminish benefits which the society contracted to given the member as of the date of issuance. Copies of any of the documents mentioned in this section,

Page 607

certified by the secretary or corresponding officer of the society, shall be received in evidence of the terms and conditions thereof. A society shall provide in its constitution or laws and in its certificates that if its reserves as to all or any class of certificates become impaired its board of directors or corresponding body may require that there shall be paid by the member to the society the amount of the member's equitable proportion of such deficiency as ascertained by its board, and that if the payment be not made it shall stand as an indebtedness against the certificate and draw interest not to exceed five (5%) percent per annum compounded annually. 56-1921. Provisions; standard and prohibited. After one year from the effective date of this Chapter, no life benefit certificate shall be delivered or issued for delivery in this State unless a copy of the form shall have been filed with the Commissioner and approved by him as conforming to the requirements of this section and not inconsistent with any other provisions of law applicable thereto. A certificate shall be deemed approved unless disapproved by the Commissioner within sixty (60) days of the date of such filing. (1) The certificate shall contain in substance the following standard provisions or, in lieu thereof, provisions which are more favorable to the member: (a) Title on the face and filing page of the certificate clearly and correctly describing its form; (b) A provision stating the amount of rates, premiums or other required contributions, by whatever name known, which are payable by the insured under the certificate; (c) A provision that the member is entitled to a grace period of not less than a full month (or thirty (30) days at the option of the society) in which the payment of any premium after the first, may be made. During such grace

Page 608

period the certificate shall continue in full force, but in case the certificate becomes a claim during the grace period before the overdue payment is made, the amount of such overdue payment or payments may be deducted in any settlement under the certificate; (d) A provision that the member shall be entitled to have the certificate reinstated at any time within three years from the due date of the premium in default, unless the certificate has been completely terminated through the application of a nonforfeiture benefit, cash surrender value or certificate loan, upon the production of evidence of insurability satisfactory to the society and the payment of all overdue premiums and any other indebtedness to the society upon the certificate, together with interest on such premiums and such indebtedness, if any, at a rate not exceeding six (6%) percent per annum compounded annually; (e) Except in the case of pure endowment, annuity or reversionary annuity contracts, reducing term insurance contracts, or contracts of term insurance of uniform amount of fifteen (15) years or less expiring before age sixty-six (66), a provision that, in the event of default in payment of any premium after three full years' premiums have been paid or after premiums for a lesser period have been paid if the contract so provides, the society will grant, upon proper request not later than sixty (60) days after the due date of the premium in default, a paid-up nonforfeiture benefit on the plan stipulated in the certificate, effective as of such due date, of such value as specified in this Chapter. The certificate may provide, if the society's laws so specify or if the member shall so elect prior to the expiration of the grace period of any overdue premium, that default shall not occur so long as premiums can be paid under the provisions of an arrangement for automatic premium loan as may be set forth in the certificate; (f) A provision that one paid-up nonforfeiture benefit as specified in the certificate shall become effective automatically unless the member elects another available

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paid-up nonforfeiture benefit, not later than (60) days after the due date of the premium in default; (g) A statement of the mortality table and rate of interest used in determining all paid-up nonforfeiture benefits and cash surrender options available under the certificate, and a brief general statement of the method used in calculating such benefits; (h) A table showing in figures the value of every paid-up nonforfeiture benefit and cash surrender option available under the certificate for each certificate anniversary either during the first twenty (20) certificate years or during the term of the certificate whichever is shorter; (i) A provision that the certificate shall be incontestable after it has been in force during the lifetime of the member for a period of two years from its date of issue except for nonpayment of premiums, violations of the provisions of the certificate relating to military, aviation, or naval service and violation of the provisions relating to suspension or expulsion as substantially set forth in the certificate. At the option of the society, supplemental provisions relating to benefits in the event of temporary or permanent disability or hospitalization and provisions which grant additional insurance specifically against death by accident or accidental means, may also be excepted. The certificate shall be incontestable on the ground of suicide after it has been in force during the lifetime of the member for a period of two years from date of issue. The certificate may provide, as to statements made to procure reinstatement, that the society shall have the right to contest a reinstated certificate within a period of two years from date of reinstatement with the same exceptions as herein provided; (j) A provision that in case the age of the member or of the beneficiary is considered in determining the premium and it is found at any time before final settlement under the certificate that the age has been misstated, and the discrepancy and premium involved have

Page 610

not been adjusted, the amount payable shall be such as the premium would have purchased at the correct age; but if the correct age was not an insurable age under the society's charter or laws, only the premiums paid to the society, less any payments previously made to the member, shall be returned or, at the option of the society, the amount payable under the certificate shall be such as the premium would have purchased at the correct age according to the society's promulgated rates and any extension thereof based on actuarial principles; (k) A provision or provisions which recite fully, or which set forth the substance of, all sections of the charter, constitution, laws, rules or regulations of the society, in force at the time of issuance of the certificate, the violation of which will result in the termination of, or in the reduction of, the benefit or benefits payable under the certificate; (l) If the constitution or laws of the society provide for expulsion or suspension of a member, any member so expelled or suspended, except for nonpayment of a premium or within the contestable period for material misrepresentations in such member's application for membership shall have the privilege of maintaining his insurance in force by continuing payment of the required premiums; and (m) In the case of a certificate issued by a foreign or alien society, a provision that the rights or obligations of the member or of any person rightfully claiming under the certificate shall be governed by the laws of this State. Any of the foregoing provisions or portions thereof not applicable by reason of the plan of insurance or because the certificate is an annuity certificate may, to the extent inapplicable, be omitted from the certificate. (2) After one year from the effective date of this Chapter, no life benefit certificate shall be delivered or

Page 611

issued for delivery in this State containing in substance any of the following provisions: (a) Any provision limiting the time within which any action at law or in equity may be commenced to less than two years after the cause of action shall accrue; (b) Any provision by which the certificate shall purport to be issued or to take effect more than six months before the original application for the certificate was made, except in case of transfer from one form of certificate to another in conection with which the member is to receive credit for any reserve accumulation under the form of certificate from which the transfer is made; or (c) Any provision for forfeiture of the certificate for failure to repay any loan thereon or to pay interest on such loan while the total indebtedness, including interest, is less than the loan value of the certificate. (3) The word premiums as used in this Chapter means premiums, rates, or other required contributions by whatever name known. 56-1922. Accident and sickness insurance and total and permanent disability insurance certificate; filing and approval. No domestic, foreign or alien society authorized to do business in this State shall issue or deliver in this State any certificate or other evidence of any contract of accident insurance or sickness insurance or of any total and permanent disability insurance contract unless and until the form thereof, together with the form of application and all riders or endorsements for use in connection therewith, shall have been filed with the Commissioner and approved by him as conforming to reasonable rules and regulations from time to time made by him and as not inconsistent with any other provisions of law applicable thereto. The Commissioner shall, within a reasonable time after the filing of any such form, notify the society filing the same either of his approval or of his disapproval of such form. The Commissioner

Page 612

may approve any such form which in his opinion contains provisions on any one or more of the several requirements made by him which are more favorable to the members than the one or ones so required. Pursuant to the foregoing provision the Commissioner shall have power, from time to time, to make, alter and supercede reasonable regulations prescribing the required optional and prohibited provisions in such contracts, and such regulations shall conform, as far as practicable, to the provisions of Chapter 56-30 establishing accident and sickness policy provisions. Where the Commissioner deems inapplicable, either in part or in their entirety, the provisions of the foregoing sections, he may prescribe the portions of summary thereof of the contract to be printed on the certificate issued to the member. Any filing made hereunder shall be deemed approved undess disapproved within sixty (60) days from the date of such filing. 56-1923. Waiver. The constitution and laws of the society may provide that no subordinate body, nor any of its subordinate officers or members shall have the power or authority to waive any of the provisions of the laws and constitution of the society. Such provision shall be binding on the society and every member and beneficiary of a member. 56-1924. Reinsurance. A domestic society may, by a reinsurance agreement, cede any individual risk or risks in whole or in part to an insurer (other than another fraternal benefit society) having the power to make such reinsurance and authorized to do business in this State, or if not so authorized, one which is approved by the Commissioner; but no such society may reinsure substantially all of its insurance in force without the written permission of the Commissioner. It may take credit for the reserves on such ceded risks to the extent reinsured, but no credit shall be allowed as an admitted asset or as a deduction from liability, to a ceding society for reinsurance made, ceded, renewed, or otherwise becoming effective after the effective date of this Chapter, unless the reinsurance is payable by the assuming insurer

Page 613

on the basis of the liability of the ceding society under the contract or contracts reinsured without diminution because of the insolvency of the ceding society. 56-1925. Annual license. Societies which are now authorized to transact business in this State may continue such business until June 30th next succeeding the effective date of this Chapter. The authority of such societies and all societies hereafter licensed, may thereafter be renewed annually, but in all cases to terminate on June 30th in the succeeding year. However, a license so issued shall continue in full force and effect until the new license to be issued or specifically refused. For each such license or renewal the society shall pay the Commissioner the sum of fifty ($50.00) dollars if it has three thousand (3000) or less policies outstanding in this State, or the sum of three hundred ($300.00) dollars if it has more than three thousand (3000) policies outstanding in this State. A duly certified copy or duplicate of such license shall be prima facie evidence that the licensee is a fraternal benefit society within the meaning of this Chapter. 56-1926. Foreign or alien society; admission. No foreign or alien society shall transact business in this State without a license issued by the Commissioner. Any such society may be licensed to transact business in this State upon filing with the Commissioner: (1) A duly certified copy of its charter; (2) A copy of its constitution and laws, certified by its secretary or corresponding officer; (3) A power of attorney to the Commissioner as prescribed in Section 56-1930; (4) A statement of its business under oath of its president and secretary or corresponding officers in a form prescribed by the Commissioner, duly verified by an examination made by the supervising insurance official of its home state or other state, territory, province or country, satisfactory to the Commissioner of this State;

Page 614

(5) A certificate from the proper official of its home state, territory, province or country that the society is legally incorporated and licensed to transact business therein; (6) Copies of its certificate forms; and (7) Such other information as he may deem necessary; and upon a showing that its assets are invested in accordance with the provisions of this Chapter. Any foreign or alien society desiring admission to this State shall have the qualifications required of domestic societies organized under this Chapter. 56-1927. Injunction; liquidation; receivership of domestic society. When the Commissioner upon investigation finds that a domestic society: (1) Has exceeded its powers; (2) Has failed to comply with any provision of this Chapter; (3) Is not fulfilling its contracts in good faith; (4) Has a membership of less than four hundred (400) after an existence of one year or more; or (5) Is conducting business fraudulently or in a manner hazardous to its members, creditors, the public or the business; he shall notify the society of his findings, state in writing the reasons for his dissatisfaction, and require the society to show cause on a date named why it should not be enjoined from carrying on any business until the violation complained of shall have been corrected, or why an action in quo warranto should not be commenced against the society. If on such date the society does not present good

Page 615

and sufficient reasons why it should not be so enjoined or why such action should not be commenced, the Commissioner may present the facts relating thereto to the Attorney general who shall, if he deems the circumstances warrant, commence an action to enjoin the society from transacting business or in quo warranto. The court shall thereupon notify the officers of the society of a hearing. If after a full hearing it appears that the society should be so enjoined or liquidated or a receiver appointed, the court shall enter the necessary order. No society so enjoined shall have the authority to do business until: (a) The Commissioner finds that the violation complained of has been corrected; (b) The costs of such action shall have been paid by the society if the court finds that the society was in default as charged; (c) The court has dissolved its injunction; and (d) The Commissioner has reinstated the certificate of authority. If the court orders the society liquidated, it shall be enjoined from carrying on any further business, whereupon the receiver of the society shall proceed at once to take possession of the books, papers, money and other assets of the society and, under the direction of the court, proceed forthwith to close the affairs of the society and to distribute its funds to those entitled thereto. No action under this section shall be recognized in any court of this State unless brought by the Attorney General upon request of the Commissioner. Whenever a receiver is to be appointed for a domestic society, the court shall appoint, the Commissioner as such receiver.

Page 616

The provisions of this section relating to hearing by the Commissioner, action by the Attorney General at the request of the Commissioner, hearing by the court, injunction and receivership shall be applicable to a society which shall voluntarily determine to discontinue business. 56-1928. Suspension, revocation or refusal of license of foreign or alien society. When the Commissioner upon investigation finds that a foreign or alien society transacting or applying to transact business in this State: (1) Has exceeded its powers; (2) Has failed to comply with any of the provisions of this Chapter; (3) Is not fulfilling its contracts in good faith; or (4) Is conducting its business fraudulently or in a manner hazardous to its members or creditors or the public; he shall notify the society of his findings, state in writing the reasons for his dissatisfaction and require the society to show cause on a date named why its license should not be suspended, revoked or refused. If on such date the society does not present good and sufficient reason why its authority to do business in this State should not be suspended, revoked or refused, he may suspend or refuse the license of the society to do business in this State until satisfactory evidence is furnished to him that such suspension or refusal should be withdrawn or he may revoke the authority of the society to do business in this State. Nothing contained in this section shall be taken or construed as preventing any such society from continuing in good faith all contracts made in this State during the time such society was legally authorized to transact business herein. 56-1929. Licensing of agents. Agents of societies

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shall be licensed in accordance with the provisions of this section. (1) Insurance agent definedThe term insurance agent as used in this section means any authorized or acknowledged agent of a society who acts as such in the solicitation, negotiation or procurement or making of a life insurance, accident and sickness insurance or annuity contracts, except that the term insurance agent shall not include: (a) Any regular salaried officer or employee of a licensed society who devotes substantially all of his services to activities other than the solicitation of fraternal insurance contracts from the public, and who receives for the solicitation of such contracts no commission or other compensation directly dependent upon the amount of business obtained; or (b) Any agent or representative of a society who devotes, or intends to devote, less than fifty (50%) percent of his time to the solicitation and procurement of insurance contracts for such society. Any person who in the preceding calendar year has solicited and procured life insurance contracts on behalf of any society in an amount of insurance in excess of fifty thousand ($50,000) dollars, or, in the case of any other kind or kinds of insurance, which the society might write, on the persons of more than twenty-five (25) individuals and who has received or will receive a commission or other compensation therefor, shall be presumed to be devoting, or intending to devote, fifty (50%) percent of his time to the solicitation or procurement of insurance contracts for such society. (2) License requiredAny person, who in this State acts as insurance agent for a society without having authority so to do by virtue of a license issued and in force pursuant to the provisions of this section shall, except as provided in subsection (1), be guilty of a misdemeanor.

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(3) Payment of commissions forbiddenNo society doing business in this State shall pay any commission or other compensation to any person for any services in obtaining in this State any new contract of life, accident or sickness insurance, or any new annuity contract, except to a licensed insurance agent of such society and except an agent exempted under subsection (1) (b) of this section. (4) Prerequisites, issuance and renewal of insurance agents' licenses: (a) The Commissioner may issue a license to any person who has paid an annual license fee of fifteen ($15.00) dollars and who has complied with the requirements of this section, authorizing such licensee to act as an insurance agent on behalf of any society named in such license which is authorized to do business in this State. (b) Before any insurance agent's license shall be issued there shall be on file in the office of the Commissioner the following documents: (i) A written application by the prospective licensee in such form or forms and supplements thereto, and containing such information, as the Commissioner may prescribe; and (ii) A certificate by the society which is to be named in such license, stating that such society has satisfied itself that the named applicant is trustworthy and competent to act as such insurance agent and that the society will appoint such applicant to act as its agent if the license applied for is issued by the Commissioner. Such certificates shall be executed and acknowledged by an officer or managing agent of such society. (c) No written or other examination shall be required of any individual seeking to be named as a licensee to represent a fraternal benefit society as its agent.

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(d) The Commissioner may refuse to issue or renew any insurance agent's license if in his judgment the proposed licensee is not trustworthy and competent to act as such agent, or has given cause for revocation or suspension of such license, or has failed to comply with any prerequisite for the issuance or renewal, as the case may be, of such license. (e) Every license issued pursuant to this section, and every renewal thereof, shall expire at midnight on the last day of February following the date of issue. (f) If the application for a renewal license shall have been filed with the Commissioner on or before March 1st of the year in which the existing license is to expire, such applicant named in such existing license may continue to act as insurance agent under such existing license, unless same shall be revoked or suspended, until the issuance by the Commissioner of the renewal license or until the expiration of five days after he shall have refused to renew such license and shall have served written notice of such refusal on the applicant. If the applicant shall, within thirty (30) days after such notice is given, notify the Commissioner in writing of his request for a hearing on such refusal, the Commissioner shall, within a reasonable time after receipt of such notice, grant such hearing, and he may, in his discretion, reinstate such license. (g) Any such renewal license of an insurance agent may be issued upon the application of the society named in the existing license. Such application shall be in the form or forms prescribed by the Commissioner and shall contain such information as he may require. Such application shall contain a certificate executed by the president, or by a vice president, a secretary or assistant secretary, or corresponding officer by whatever name known, or by an employee expressly designated and authorized to execute such certificate of a domestic or foreign society or by the United States manager of an alien society, stating that the addresses therein given of the agents of such society for whom renewal licenses

Page 620

are requested therein have been verified in each instance immediately preceding the preparation of the application. Notwithstanding the filing of such application, the Commissioner may, after reasonable notice to any such society, require that any or all agents of such society to be named as licensees in renewal licenses shall execute and file separate applications for the renewal of such licenses, as hereinbefore specified, and he may also require that each such application shall be accompanied by the certificate specified in subsection (4) (b) (ii) above. (5) Notice of termination of appointment of insurance agentEvery society doing business in this State shall upon the termination of the appointment of any insurance agent licensed to represent it in this State, forthwith file with the Commissioner a statement, in such form as he may prescribe, of the facts relative to such termination and the cause thereof. Every statement made pursuant to this section shall be deemed a privileged communication. (6) Revocation or suspension of insurance agent's license: (a) The Commissioner may revoked, or may suspend for such period as he may determine, any insurance agent's license if, after notice and hearing as specified in this section, he determines that the licensee has: (i) Violated any provision of, or any obligation imposed by, this section, or has violated any law in the course of his dealings as agent; (ii) Made a material misstatement in the application for such license; (iii) Been guilty of fraudulent or dishonest practices; (iv) Demonstrated his incompetence or untrustworthiness to act as an insurance agent; or (v) Been guilty of rebating as defined by the laws of this State applicable to life insurance companies.

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(b) The revocation or suspension of any insurance agent's license shall terminate forthwith the license of such agent. No individual whose license has been revoked shall be entitled to obtain any insurance agent's license under the provisions of this section for a period of one year after such revocation or, if such revocation be judicially reviewed, for one year after the final determination thereof affirming the action of the Commissioner in revoking such license. 56-1930. Service of process. Every society authorized to do business in this State shall appoint in writing the Commissioner and each successor in office to be its true and lawful attorney upon whom all lawful process in any action or proceeding against it shall be served, and shall agree in such writing that any lawful process against it which is served on said attorney shall be of the same legal force and validity as if served upon the society, and that the authority shall continue in force so long as any liability remains outstanding in this State. Copies of such appointment, certified by said Commissioner, shall be deemed sufficient evidence thereof and shall be admitted in evidence with the same force and effect as the original thereof might be admitted. Service shall only be made upon the Commissioner, or if absent, upon the person in charge of his office. It shall be made in duplicate and shall constitute sufficient service upon the society. When legal process against a society is served upon the Commissioner, he shall forthwith forward one of the duplicate copies by registered mail, prepaid, directed to the secretary or corresponding officer. No such service shall require a society to file its answer, pleading or defense in less than thirty (30) days from the date of mailing the copy of the service to a society. Legal process shall not be served upon a society except in the manner herein provided. At the time of serving any process upon the Commissioner, the plaintiff or complainant in the action shall pay to the Commissioner a fee of two ($2.00) dollars. 56-1931. Injunction. No application or petition for

Page 622

injunction against any domestic, foreign or alien society, or branch thereof, shall be recognized in any court of this State unless made by the Attorney General upon request of the Commissioner. 56-1932. Review. All decisions and findings of the Commissioner made under the provisions of this Chapter shall be subject to review as provided in Chapter 56-2. 56-1933. Funds. All assets shall be held, invested and disbursed for the use and benefit of the society and no member or beneficiary shall have or acquire individual rights therein or become entitled to any apportionment or the surrender of any part thereof, except as provided in the contract. A society may create, maintain, invest, disburse and apply any special fund or funds necessary to carry out any purpose permitted by the laws of such society. Every society, the admitted assets of which are less than the sum of its accrued liabilities and reserves under all of its certificates when valued according to standards required for certificates issued after one year from the effective date of this Chapter, shall, in every provision of the laws of the society for payments by members of such society, in whatever form made, distinctly state the purpose of the same and the proportion thereof which may be used for expenses, and no part of the money collected for mortuary or disability purposes or the net accretions thereto shall be used for expenses. 56-1934. Investments. A society shall invest its funds only in such investments as are authorized by the laws of this State for the investment of assets of life insurance companies and subject to the limitations thereon. Any foreign or alien society permitted or seeking to do business in this State which invests its funds in accordance with the laws of the state, district, territory, country or province in which it is incorporated, shall be held to meet the requirements of this section for the investment of funds.

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56-1935. Reports and valuations. Reports shall be filed and synopses of annual statements shall be published in accordance with the provisions of this section. (1) Every society transacting business in this State shall annually, on or before March 1st, unless for cause shown such time has been extended by the Commissioner, file with the Commissioner a true statement of its financial condition, transactions and affairs for the preceding calendar year. The statement shall be in general form and context as approved and required by the Commissioner. (2) A synopsis of its annual statement providing an explanation of the facts concerning the condition of the society thereby disclosed shall be printed and mailed to each benefit member of the society not later than June 1st of each year, or, in lieu thereof, such synopsis may be published in the society's official publication. (3) As a part of the annual statement herein required, each society shall, on or before March 1st, file with the Commissioner a valuation of its certificates in force on December 31st last preceding provided, the Commissioner may, in his discretion for cause shown, extend the time for filing such valuation for not more than two calendar months. Such report of valuation shall show, as reserve liabilities, the difference between the present mid-year value of the promised benefits provided in the certificates of such society in force and the present mid-year value of the future net premiums as the same are in practice actually collected, not including therein any value for the right to make extra assessments and not including any amount by which the present mid-year value of future net premiums exceeds the present mid-year value of promised benefits on individual certificates. At the option of any society, in lieu of the above, the valuation may show the net tabular value. Such net tabular value as to certificates issued prior to one year after the effective date of this Chapter shall be determined in accordance with the provisions of law applicable prior to the effective date of this Chapter and as

Page 624

to certificates issued on or after one year from the effective date of this Chapter shall not be less than the reserves determined according to the Commissioners' Reserve Valuation method as hereinafter defined. If the premium charged is less than the tabular net premium according to the basis of valuation used, an additional reserve equal to the present value of the deficiency in such premiums shall be set up and maintained as a liability. The reserve liabilities shall be properly adjusted in the event that the mid-year or tabular values are not appropriate. (4) Reserves according to the Commissioners' Reserve Valuation method, for the life insurance and endowment benefits of certificates providing for a uniform amount of insurance and requiring the payment of uniform premiums shall be the excess, if any, of the present value, at the date of valuation, of such future guaranteed benefits provided for by such certificates, over the then present value of any future modified net premiums therefor. The modified net premiums for any such certificate shall be such uniform percentage of the respective contract premiums for such benefits that the present value, at the date of issue of the certificate, of all such modified net premiums shall be equal to the sum of the then present value of such benefits provided for by the certificate and the excess of (a) over (b), as follows: (a) A net level premium equal to the present value, at the date of issue, of such benefits provided for after the first certificate year, divided by the present value, at the date of issue, of an annuity of one per annum payable on the first and each subsequent anniversary of such certificate on which a premium falls due; Provided, however, that such net level annual premium shall not exceed the net level annual premium on the nineteen (19) year premium whole life plan for insurance of the same amount at an age one year higher than the age at issue of such certificate; and (b) A net one year term premium for such benefits provided for in the first certificate year.

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Reserves according to the Commissioners' Reserve Valuation method for: (i) life insurance benefits for varying amounts of benefits or requiring the payment of varying premiums; (ii) annuity and pure endowment benefits; (iii) disability and accidental death benefits in all certificates and contracts; and (iv) all other benefits except life insurance and endowment benefits, shall be calculated by a method consistent with the principles of this subsection. (5) The present value of deferred payments due under incurred claims or matured certificates shall be deemed a liability of the society and shall be computed upon mortality and interest standards prescribed in the following subsection. (6) Such valuation and underlying data shall be certified by a competent actuary or, at the expense of the society, verified by the actuary of the Department of Insurance of the state of domicile of the society. The minimum standards of valuation for certificates issued prior to one year from the effective date of this Chapter shall be those provided by the law applicable immediately prior to the effective date of this Chapter but not lower than the standards used in the calculating of rates for such certificates. The minimum standards of valuation for certificates issued after one year from the effective date of this Chapter shall be three and one-half (3%) percent interest and the following tables: (a) For certificates of life insuranceAmerican Men Ultimate Table of Mortality, with Bowerman's or Davis' Extension thereof or with the consent of the Commissioner, the Commissioners' 1941 Standard Ordinary Mortality Table or the Commissioners' 1941 Standard Industrial Table of Mortality; (b) For annuity certificates, including life annuities provided or available under optional modes of settlement in such certificatesthe 1937 Standard Annuity Table;

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(c) For disability benefits issued in connection with life benefit certificatesHunter's Disability Table, which, for active lives, shall be combined with a mortality table permitted for calculating the reserves on life insurance certificates, except that the table known as Class III Disability Table (1926) modified to conform to the contractual waiting period, shall be used in computing reserves for disability benefits under a contract which presumes that total disability shall be considered to be permanent after a specified period; (d) For accidental death benefits issued in connection with life benefit certificates the Inter-Company Double Indemnity Mortality Table combined with a mortality table permitted for calculating the reserves for life insurance certificates; and (e) For noncancellable accident and sickness benefitsthe Class III Disability Table (1926) with conference modifications or, with the consent of the Commissioner, tables based upon the society's own experience. The Commissioner may, in his discretion, accept other standards for valuation if he finds that the reserves produced thereby will not be less in the aggregate than reserves computed in accordance with the minimum valuation standards herein prescribed. The Commissioner may, in his discretion, vary the standards of mortality applicable to all certificates of insurance on substandard lives or other extra hazardous lives by any society authorized to do business in this State. Whenever the mortality experience under all certificates valued on the same mortality table is in excess of the expected mortality according to such table for a period of three consecutive years, the Commissioner may require additional reserves when deemed necessary in his judgment on account of such certificates. Any society, with the consent of the Commissioner of the state of domicile of the society and under such conditions, if any, which he may impose, may establish and maintain reserves on its certificates in excess of

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the reserves required thereunder, but the contractual rights of any insured member shall not be affected thereby. (7) A society neglecting to file the annual statement in the form and within the time provided by this section shall forfeit one hundred ($100.00) dollars for each day during which such neglect continues, and, upon notice by the Commissioner to that effect, its authority to do business in this State shall cease while such default continues. 56-1936. Examination of domestic societies. The Commissioner, or any person he may appoint, shall have the power of visitation and examination into the affairs of any domestic society and he shall make such examination at least once in every three years. He may employ assistants for the purpose of such examination, and he, or any person he may appoint, shall have free access to all books, papers and documents that relate to the business of the society. The minutes of the proceedings of the supreme legislative or governing body and of the board of directors or corresponding body of a society shall be in the English language. In making any such examination the Commissioner may summon and qualify as witnesses under oath and examine its officers, agents and employees or other persons in relation to the affairs, transactions and condition of the society. A summary of the report of the Commissioner and such recommendations or statements of the Commissioner as may accompany such report, shall be read at the first meeting of the board of directors or corresponding body of the society following the receipt thereof, and if directed so to do by the Commissioner, shall also be read at the first meeting of the supreme legislative or governing body of the society following the receipt thereof. A copy of the report, recommendations and statements of the Commissioner shall be furnished by the society to each member of such board of directors or other governing body. The expense of each examination and of each valuation, including compensation and actual expenses of examiners, shall be paid by the society examined or whose certificates

Page 628

are valued, upon statements furnished by the Commissioner. 56-1937. Examination of foreign and alien societies. The Commissioner, or any person whom he may appoint, may examine any foreign or alien society transacting or applying for admission to transact business in this State. He may employ assistants and he, or any person he may appoint, shall have free access to all books, papers and documents that relate to the business of the society. He may in his discretion accept, in lieu of such examination, the examination of the Insurance Department of the state, territory, district, province or country where such society is organized. The compensation and actual expenses of the examiners making any examination or general or special valuation shall be paid by the society examined or by the society whose certificate obligations have been valued, upon statements furnished by the Commissioner. 56-1938. No adverse publications. Pending, during or after an examination or investigation of a society, either domestic, foreign or alien, the Commissioner shall make public no financial statement, report or finding, nor shall he permit to become public any financial statement, report or finding affecting the status, standing or rights of any society, until a copy thereof shall have been served upon the society at its principal office and the society shall have been afforded a reasonable opportunity to answer any such financial statement, report or finding and to make such showing in connection therewith as it may desire. 56-1939. Misrepresentation. No person shall cause or permit to be made, issued or circulated in any form: (1) Any miscrepresentation or false or misleading statement concerning the terms, benefits or advantages of any fraternal insurance contract now issued or to be issued in this State, or the financial conditions of any society; (2) Any false or misleading estimate or statement

Page 629

concerning the dividends or shares of surplus paid or to be paid by any society on any insurance contract; or (3) Any incomplete comparison of an insurance contract of one society with an insurance contract of another society or insurer for the purpose of inducing the lapse, forfeiture or surrender of any insurance contract. A comparison of insurance contracts is incomplete if it does not compare in detail: (a) The gross rates, and the gross rates less any dividend or other reduction allowed at the date of the comparison; and (b) Any increase in cash values, and all the benefits provided by each contract for the possible duration thereof as determined by the life expectancy of the insured; or if it omits from consideration: (c) Any benefit or value provided in the contract; (d) Any differences as to amount or period of rates; or (e) Any differences in limitations or conditions or provisions which directly or indirectly affect the benefits. In any determination of the incompleteness or misleading character of any comparison or statement, it shall be presumed that the insured had no knowledge of any of the contents of the contract involved. Any person who violates any provision of this section or knowingly receives any compensation or commission by or in consequence of such violation, shall upon conviction be punished by a fine not less than one hundred ($100.00) dollars nor more than five hundred ($500) dollars or by imprisonment in the county jail not less than thirty (30) days nor more than one year, or both fine and imprisonment and shall in addition, be liable for a civil penalty in the amount of three times the sum received by such violator as compensation or commission, which penalty may be sued for and recovered by any

Page 630

person or society aggrieved for his or its own use and benefit in accordance with the provisions of civil practice. 56-1940. Discrimination and rebates. No society doing business in this State shall make or permit any unfair discrimination between insured members of the same class and equal expectation of life in the premiums charged for certificates of insurance, in the dividends or other benefits payable thereon or in any other of the terms and conditions of the contracts it makes. No society, by itself, or any other party, and no agent or solicitor, personally, or by any other party, shall offer, promise, allow, give, set-off, or pay, directly or indirectly, any valuable consideration or inductment to, or for insurance, on any risk authorized to be taken by such society, which is not specified in the certificate. No member shall receive or accept, directly or indirectly, any rebate of premium, or part thereof, or agent's or solicitor's commission thereon, payable on any certificate or receive or accept any favor or advantage or share in the dividends or other benefits to accrue on, or any valuable consideration or inducement not specified in the contract of insurance. 59-1941. Taxation. Every society organized or licensed under this Chapter is hereby declared to be a charitable and benevolent institution, and all of its funds shall be exempt from all and every State, county, district, municipal and school tax other than taxes on real estate and office equipment. 56-1942. Exemptions. Except as herein provided, societies shall be governed by this Chapter and shall be exempt from all other provisions of the insurance laws of this State, not only in governmental relations with the State, but for every other purpose. No law hereafter enacted shall apply to them, unless they be expressly designated therein. 56-1943. Exemption of certain societies. Nothing

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contained in this Chapter shall be so construed as to affect or apply to: (1) Grand or subordinate lodges of societies, orders or associations now doing business in this State which provide benefits exclusively through local or subordinate lodges; (2) Orders, societies or associations which admit to membership only persons engaged in one or more crafts or hazardous occupations, in the same or similar lines of business, insuring only their own members, their families and descendants of members, and the ladies' societies of ladies' auxiliaries to such orders, societies or associations. (3) Domestic societies which limit their membership to employees of a particularly city or town, designated firm, business house or corporation which provide for a death benefit of not more than four hundred ($400.00) dollars or disability benefits of not more than three hundred fifty ($350.00) dollars to any person in any one year, or both; or (4) Domestic societies or associations of a purely religious, charitable or benevolent description, which provide for a death benefit of not more than four hundred ($400.00) dollars or for disability benefits of not more than three hundred fifty ($350.00) dollars to any one person in any one year, or both. Any such society or association described in subsections (3) or (4) supra which provides for death or disability benefits for which benefit certificates are issued, and any such society or association included in subsection (4) which has more than one thousand (1,000) members, shall not be exempted from the provisions of this Chapter but shall comply with all requirements thereof. No society which, by the provisions of this section, is exempt from the requirements of this Chapter, except any society described in subsection (2), supra, shall give

Page 632

or allow, or promise to give or allow to any person any compensation for procuring new members. Every society which provides for benefits in case of death or disability resulting solely from accident, and which does not obligate itself to pay natural death or sick benefits shall have all the privileges and the subject to all the applicable provisions and regulations of this Chapter except that the provisions thereof relating to medical examination, valuations of benefit certificates, and incontestability, shall not apply to such society. The Commissioner may require from any society or association, by examination or otherwise, such information as will enable him to determine whether such society or association is exempt from the provisions of this Chapter. Societies, exempted under the provisions of this section, shall also be exempt from all other provisions of the insurance laws of this State. 56-1944. Penalties. Any person who wilfully makes a false or fraudulent statement in or relating to an application for membership or for the purpose of obtaining money from or a benefit in any society, shall upon conviction be fined not less than one hundred ($100.00) dollars nor more than five hundred ($500) dollars or imprisonment in the county jail not less than thirty (30) days nor more than one year, or both. Any person who wilfully makes a false or fraudulent statement in any verified report or declaration under oath required or authorized by this Chapter, or of any material fact or thing contained in a sworn statement concerning the death or disability of a member for the purpose of procuring payment of a benefit named in the certificate, shall be guilty of perjury and shall be subject to the penalties therefor prescribed by law. Any person who solicits membership for, or in any manner assists in procuring membership in, any society

Page 633

not licensed to do business in this State shall upon conviction be fined not less than fifty ($50.00) dollars nor more than two hundred ($200.00) dollars. Any person guilty of a wilful violation of, or neglect or refusal to comply with, the provisions of this Chapter for which a penalty is not otherwise prescribed, shall upon conviction be subject to a fine not exceeding five hundred ($500) dollars. 56-1945. Severability. If any provision of this Chapter or the application of such provision to any circumstance is held invalid, the remainder of this Chapter or the application of the provision to other circumstances, shall not be affected thereby. FARMERS' MUTUAL FIRE INSURANCE COMPANIES CHAPTER 56-20 56-2001. Scope of Chapter. 56-2002. Domestic farmers' mutual fire insurance company; definition. 56-2003. Organization; insurance; membership. 56-2004. Certificate of authority; qualifications. 56-2005. Fees. 56-2006. Voting by policyholders. 56-2007. Reinsurance. 56-2008. Bylaws. 56-2009. Bylaws as part of contracts. 56-2010. Provision against waiver of bylaws. 56-2011. Limit of operations of companies. 56-2012. Limit of single risk. 56-2013. Directors. 56-2014. Directors' power to borrow. 56-2015. Annual meeting of members; notice. 56-2016. Annual statement; filing. 56-2017. Taxation of farmers' mutual fire insurance companies. 56-2018. Examination by the Commissioner. 56-2019. Scope of members' liability. 56-2020. Suits.

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56-2021. Conversion to a mutual insurer. 56-2022. Other provisions applicable. 56-2001. Scope of Chapter. This Chapter applies only to domestic farmers' mutual fire insurance companies. 56-2002. Domestic farmers' mutual fire insurance companies; definition. Domestic farmers' mutual fire insurance companies are companies organized for the purpose of insurance on the assessment or co-operative plan against loss, or damage by fire, lightning, windstorm, extended coverage, and hail, and for all, or either of such purposes. Such insurers may write insurance against said hazards on such risks as their charter and bylaws may provide. 56-2003. Organization; insurance; membership. Twenty (20) or more persons, a majority of whom are citizens of this State, may become a body corporate for the purpose of transacting insurance upon the farmers' mutual fire insurance plan as defined above, by making an application for a charter signed by the persons applying for the charter or their counsel in triplicate specifying: (1) The name of the proposed corporation. The name shall contain the words Farmers' Mutual and shall not be so similar to any name already used by any other corporation authorized to transact business in this State as to be confusing or misleading; (2) The purpose for which the corporation is formed; (3) The name of the county in this State in which the corporation will have its principal office, and the names of not more than three other contiguous counties in which it proposes to operate; (4) The name and address of each incorporator;

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(5) The names and addresses of those composing the board of directors of the corporation in which the management shall be vested until the first meeting of the members; (6) Such other provisions, not inconsistent with the provisions of this Chapter or other applicable laws, as are deemed desirable by the incorporators, or as may be required by the Commissioner. The corporate charter shall be granted by the Secretary of State as provided in Chapter 56-15. 56-2004. Certificate of authority; qualifications. (1) No person shall transact or attempt to transact business as a farmers' mutual fire insurance company unless so authorized by a currently effective certificate of authority issued by the Commissioner. (2) The Commissioner shall not issue or permit to exist any certificate of authority as to any corporation or insurer not currently qualified therefor unless it is shown to the satisfaction of the Commissioner that: (a) It has received bona fide applications from not less than twenty-five (25) citizens of this State for not less than one hundred thousand ($100,000) dollars of insurance covering farm property located in the county or counties in which it is organized to transact business, which shall not be more than four contiguous counties, and with not more than the maximum amount of insurance permitted on a single risk under section 56-2012 below; (b) It has collected in cash the first payment or premium or assessment required to be paid in advance by each such applicant for its insurance, according to the company's bylaws or has received from each such applicant such form of obligation, if any, as may be provided for in the bylaws to cover liability for payment of initial assessments and such future assessments as may be levied;

Page 636

(c) There is no deposit to its credit, in a bank located in the county of its domicile, funds representing a surplus of its assets over its liabilities in the amount of not less than ten thousand ($10,000) dollars; (d) At the time of filing the petition for a charter as required under section 56-2003, the organizers of the proposed company have filed with the Commissioner a qualified bond in the sum of five thousand ($5,000) dollars with good and sufficient security, subject to the Commissioner's approval. The bond shall be conditioned for the prompt return to members of all money collected from them in advance and for payment of all indebtedness of the company if the organization of the company is not completed within two years after the date of the granting of the charter. (e) It must otherwise be in compliance with the requirements of this Chapter. 56-2005. Fees. Farmers' mutual fire insurance companies shall pay no annual fees or charges other than an annual license fee of twenty-five ($25.00) dollars. 56-2006. Voting by policyholders. Each policyholder in a farmers' mutual fire insurance company shall be entitled to only one vote in all policyholders' meetings. No voting by proxy shall be permitted unless it is specially authorized in the bylaws. 56-2007. Reinsurance. A farmers' mutual fire insurance company shall not accept reinsurance of the risk of any other insurer. 56-2008. Bylaws. The bylaws shall state in time and manner of the levy and payment of all premiums or assessments for all insurance written by the company. They shall also fix the liability of the policyholders for all losses accrued while the policies are in force, in addition to the regular premium or assessment of the

Page 637

same; and the time and manner of payment of such liability. The bylaws may be amended, and any such amendment shall be filed with the Commissioner within thirty (30) days after its adoption. The bylaws may contain also provisions for the exclusion of any member of the company who refuses or neglects to pay his assessment or for any other reasons satisfactory to the directors to be excluded from the insurer. 56-2009. Bylaws as part of contracts. The portion of the bylaws which affect the insuring agreement shall be contained in the policy. Each policy issued by the insurer shall contain a statement of the contingent liability, if any, of its members. 56-2010. Provision against waiver of bylaws. Such companies may provide in the policy that officers and agents elected by them do not have the power to waive any provision of the bylaws. 56-2011. Limit of operations of companies. A farmers' mutual fire insurance company shall not issue policies of insurance or otherwise insure property located in any county in this State other than the county in which it has its home office as specified in its original charter and in not more than three other contiguous counties in this State. 56-2012. Limit of single risk. The maximum amount of insurance that a farmers' mutual fire insurance company may retain on any subject or subjects of insurance reasonably exposed to loss from the same fire, shall not exceed the amount prescribed in the following schedule: Amount of Insurance in Force Maximum Risk $ 100,000 but less than $ 250,000 $ 2,000 $ 250,000 but less than $ 400,000 $ 2,500 $ 400,000 but less than $ 600,000 $ 3,000

Page 638

$ 600,000 but less than $ 900,000 $ 4,000 $ 900,000 but less than $1,200,000 $ 5,000 $1,200,000 but less than $1,500,000 $ 5,500 $1,500,000 but less than $2,000,000 $ 6,000 $2,000,000 but less than $2,500,000 $ 7,000 $2,500,000 but less than $3,000,000 $ 8,000 $3,000,000 but less than $3,500,000 $ 9,000 $3,500,000 and over $10,000 The classification of all risks in the above schedule and the percentage given in each shall be uniformly fixed and governed by the bylaws of the insurer. In determining the amount at risk and retained by the insurer, any valid and applicable reinsurance authorized shall be deducted from the gross amount of risk directly assumed by the insurer. 56-2013. Directors. In companies organized under the provisions of this Chapter, the number of directors shall be not less than three. A majority of the board of directors shall be a quorum for the transaction of business. No person shall be or act as a director of the insurer who does not have currently effective insurance in force in the insurer. 56-2014. Director's power to borrow. The board of directors of a farmers' mutual fire insurance company may, at any time, borrow such sum or sums of money as they may deem necessary to pay its losses, accrued or unaccrued, and may pledge the assets of the company including the contingent liability of policyholders for such losses as security for such loan. 56-2015. Annual meeting of members; notice. An annual meeting of such company shall be held at such a time as is fixed in the bylaws of the company. Special meetings may be held for such purposes and in such manner as may be specified in the insurer's bylaws, consistent with this Chapter. All such meetings shall be held in the insurer's county of domicile. Notice of such meeting shall be mailed or otherwise given to each member

Page 639

not less than twenty (20) days in advance of the meeting, and notice of any special meeting called by the board of directors shall be given in writing, not less than ten (10) days in advance, stating the purpose of the meeting so called. 56-2016. Annual statement; filing. Every farmers' mutual fire insurance company shall, on or before March 1st of each year, make and file with the Commissioner an annual statement of its business as of the December 31st next preceding, on such form as the Commissioner may prescribe. 56-2017. Taxation of farmers' mutual fire insurance company. Any company organized under this Chapter shall be exempt from all taxes, costs and fees, including those listed in Chapter 56-13, except as herein expressly provided and except taxes payable upon real and personal property owned by the company. 56-2018. Examination by the Commission. The Commissioner shall at least once in five years, or oftener if he deems necessary, examine farmers' mutual fire insurance companies. The costs of such examination shall be paid by the company. 56-2019. Scope of members' liability. No member of such insurer shall be liable to assessment to pay losses and expenses accruing prior to the time his policy became effective nor for losses and expenses accruing after termination or expiration of the policy. 56-2020. Suits. Such companies as are organized under this Chapter may sue and be sued in the name under which they are doing business. 56-2021. Conversion to a mutual insurer. Any company organized under the provisions of this Chapter may be converted into a mutual insurance company by complying with the applicable provisions of Chapter 56-15.

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56-2022. Other provisions applicable. In addition to the provisions of this Chapter, farmers' mutual fire insurance companies shall be subject to the following Chapters of this Title to the extent so applicable: Chapter 56-1; Chapter 56-2; Chapter 56-6; Chapter 56-7 and Chapter 56-14. CHAPTER 56-21 RECIPROCAL INSURERS 56-2101. Reciprocal insurance defined. 56-2102. Reciprocal insurer defined; authorized. 56-2103. Scope of Chapter; existing insurers. 56-2104. Insuring powers of reciprocals. 56-2105. Name; suits. 56-2106. Attorney. 56-2107. Surplus funds required. 56-2108. Organization of reciprocal insurer. 56-2109. Certificate of authority 56-2110. Power of attorney. 56-2111. Modifications. 56-2112. Attorney's bond. 56-2113. Deposit in lieu of bond. 56-2114. Action of bond. 56-2115. Designation of attorney; service of process; judgment. 56-2116. Advances to insurer. 56-2117. Annual statement. 56-2118. Financial condition; method of determining. 56-2119. Who may be subscribers. 56-2120. Subscribers' advisory committee. 56-2121. Subscribers' liability. 56-2122. Subscribers' liability on judgment. 56-2123. Assessments. 56-2124. Time limit for assessments. 56-2125. Aggregate liability. 56-2126. Nonassessable policies. 56-2127. Distribution of profits. 56-2128. Subscribers' share in assets. 56-2129. Merger or conversion. 56-2130. Impaired reciprocals.

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56-2101. Reciprocal insurance defined. Reciprocal insurance is that resulting from an interexchange among persons, known as subscribers, of reciprocal agreements of indemnity, the interexchange being effectuated through an attorney-in-fact common to all such persons. 56-2102. Reciprocal insurer defined; authorized. (1) A reciprocal insurer means an unincorporated aggregation of subscribers operating individually and collectively through an attorney-in-fact to provide reciprocal insurance among themselves. (2) A reciprocal insurer may be authorized to transact insurance in this State subject to the applicable provisions of this Title. 56-2103. Scope of chapter; existing insurer. (1) All authorized reciprocal insurers shall be governed by those sections of this Chapter not expressly made applicable to domestic reciprocal insurers. (2) Existing authorized reciprocal insurers shall after the effective date of this Act comply with the provisions of this Chapter, and shall make such amendments to their subscribers' agreement, power of attorney, policies and other documents and accounts and perform such other acts as may be required for such compliance. 56-2104. Insuring powers of reciprocals. (1) A reciprocal insurer may, upon qualifying therefor as provided for by this Title, transact any kind or kinds of insurance defined by this Title, other than life or title insurance. (2) Such an insurer may purchase reinsurance upon the risk of any subscriber, and may grant reinsurance as to any kind of insurance it is authorized to transact direct. 56-2105. Name; suits. A reciprocal insurer shall:

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(1) Have and use a business name. The name shall include the word reciprocal, or interinsurer, or interinsurance, or exchange, or underwriters, or underwriting; (2) Sue and be sued in its own name. 56-2106. Attorney. (1) Attorney, as used in this Chapter, refers to the attorney-in-fact of a reciprocal insurer. The attorney may be an individual, firm or corporation. (2) The attorney of a foreign or alien reciprocal insurer, which insurer is duly authorized to transact insurance in this State, shall not, by virtue of discharge of his duties as such attorney with respect to the insurer's transactions in this State, be thereby deemed to be doing business in this State within the meaning of any laws of this State applying to foreign firms or corporations. (3) The office of the attorney shall be maintained at such place as is designated by the subscribers in the power of attorney. 56-2107. Surplus funds required. (1) A domestic reciprocal insurer hereunder formed, if it has otherwise complied with the applicable provisions of this Title, may be authorized to transact insurance if it has and thereafter maintains surplus funds as follows: (a) To transact property insurance, surplus funds of not less than two hundred thousand ($200,000) dollars; (b) To transact casualty insurance, surplus funds of not less than two hundred thousand ($200,000) dollars. (2) In addition to surplus required to be maintained under subsection (1) above, the insurer shall have, when first so authorized, expendable surplus in such amount as is required of a like foreign reciprocal insurer under section 56-307.

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(3) A domestic reciprocal insurer may be authorized to transact additional kinds of insurance if it has otherwise complied with the provisions of this Title therefor and possesses and so maintains surplus funds in amount equal to the minimum paid-in capital stock required of a stock insurer for authority to transact a like combination of kinds of insurance. (4) There shall be maintained at all times assets in cash, premium balances or securities, authorized by the laws of this State for the investment of assets of insurance companies doing a similar business in an amount equivalent to the pro rata unearned premiums or deposits of subscribers and reserves for losses outstanding and unpaid or any other liabilities of the reciprocal insurer. 56-2108. Organization of reciprocal insurer. (1) Twenty-five (25) or more persons domiciled in this State may organize a domestic reciprocal insurer and make application to the Commissioner for a certificate of authority to transact insurance. (2) The proposed attorney shall fulfill the requirements of and shall execute and file with the Commissioner when applying for a certificate of authority, a declaration setting forth: (a) The name of the insurer; (b) The location of the insurer's principal office, which shall be the same as that of the attorney and shall be maintained within this State; (c) The kinds of insurance proposed to be transacted; (d) The names and addresses of the original subscribers; (e) The designation and appointment of the proposed attorney and a copy of the power of attorney; (f) The names and addresses of the officers and directors

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of the attorney, if a corporation, or its members if a firm; (g) The powers of the subscribers' advisory committee, and the names and terms of office of the members thereof; (h) That all monies paid to the reciprocal shall, after deducting therefrom any sum payable to the attorney, be held in the name of the insurer and for the purposes specified in the subscribers' agreement; (i) A copy of the subscribers' agreement; (j) A statement that each of the original subscribers has in good faith applied for insurance of a kind proposed to be transacted, and that the insurer has received from each such subscriber the full premium or premium deposit required for the policy applied for, for a term of not less than six months at an adequate rate theretofore filed with and approved by the Commissioner. (k) A statement of the financial condition of the insurer, a schedule of its assets, and a statement that the surplus as required by section 56-2107 is on hand; and (l) A copy of each policy, endorsement and application form it then proposes to issue or use. Such declaration shall be acknowledged by the attorney before an officer authorized to take acknowledgments. 56-2109. Certificate of authority. (1) The certificate of authority to transact business of a reciprocal insurer shall be issued to its attorney in the name of the insurer. (2) The Commissioner may refuse, suspend or revoke the certificate of authority to transact business in addition to other grounds therefor, for failure of the attorney to comply with any provision of this Title.

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(3) Said certificate shall be renewed annually and shall be issued and renewed by complying with the provisions of fees required of insurers under this Title. (4) Each holder of such certificate of authority to transact business of a reciprocal insurer shall pay all fees required elsewhere by this Title and shall pay all of the taxes provided by law on companies doing a like business in this State. 56-2110. Power of attorney. (1) The rights and powers of the attorney of a reciprocal insurer shall be as provided in the power of attorney given it by the subscribers. (2) The power of attorney must set forth: (a) The powers of the attorney; (b) That the attorney is empowered to accept service of process on behalf of the insurer in actions against the insurer upon contracts exchanged; (c) The general services to be performed by the attorney; (d) The maximum amounts to be deducted from advance premiums or deposits to be paid to the attorney and the general items of expense in addition to losses, to be paid by the insurer; and (e) Except as to nonassessable policies, a provision for a contingent several liability of each subscriber in a specified amount, which amount shall be not less than one nor more than ten (10) times the premium or premium deposit stated in the policy. (3) The power of attorney may: (a) Provide for the right of substitution of the attorney and revocation of the power of attorney and rights thereunder;

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(b) Impose such restrictions upon the exercise of the power as are agreed upon by the subscribers; (c) Provide for the exercise of any right reserved to the subscribers directly or through their advisory committee; and (d) Contain other lawful provisions deemed advisable. (4) The terms of any power of attorney or agreement collateral thereto shall be reasonable and equitable, and shall be subject to review and approval by the Commissioner. (5) A copy of the power of attorney shall be furnished each subscriber. 56-2111. Modifications. Modifications of the terms of the subscribers' agreement or of the power of attorney of a domestic reciprocal insurer shall be made jointly by the attorney and the subscribers' advisory committee. No such modification shall be effective until has been filed with and approved by the Commissioner and no such modification shall be effective retroactively, nor as to any insurance contract issued prior thereto. 56-2112. Attorney's bond. (1) Concurrently with the filing of the declaration provided for in section 56-2108, the attorney of a domestic reciprocal insurer shall file with the Commissioner a bond in favor of the Commissioner for the benefit of all persons damaged as a result of breach by the attorney of the conditions of his bond as set forth in subsection (2) hereof. The bond shall be executed by the attorney and by an authorized corporate surety, and shall be subject to the Commissioner's approval. (2) The bond shall be in the penal sum of twenty-five thousand ($25,000) dollars, aggregate in form, conditioned that the attorney will faithfully account for all monies and other property of the insurer coming into his hands, and that he will not withdraw or appropriate to

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his own use from the funds of the insurer, any monies or property to which he is not entitled under the power of attorney. (3) The bond shall provide that it is not subject to cancellation unless thirty (30) days' advance notice in writing of cancellation is given both the attorney and the Commissioner. 56-2113. Deposit in lieu of bond. In lieu of the bond required under section 56-2112, the attorney may maintain on deposit with the State through the office of the Commissioner, a like amount in cash or in value of securities qualified for deposit under Chapter 56-10, and subject to the same conditions as the bond. 56-2114. Action on bond. Action on the attorney's bond or to recover against any such deposit made in lieu thereof may be brought at any time by one or more subscribers suffering loss through a violation of its conditions, or by the Commissioner as liquidator of the insurer. Amounts recovered on the bond shall be deposited in and become part of the insurer's funds. The total aggregate liability of the surety shall be limited to the amount of the penalty of such bond. 56-2115. Designation of attorney; service of process; judgment. (1) Every reciprocal insurer authorized to transact business in this State shall file with the Commissioner a written statement or power of attorney duly signed and sealed, appointing and authorizing some person, who shall be a resident of this State, to acknowledge or accept service of process for and in behalf of such reciprocal insurer, and upon whom all process may be served against said reciprocal insurer, in all proceedings that may be instituted against such reciprocal insurer in any of the courts of this State or of the United States, and consenting that service of process upon any such agent or attorney appointed under the provisions of this section shall be as valid as if served on such reciprocal insurer.

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(2) Legal process shall be served upon such reciprocal insurer by serving the insurer's attorney at his principal office in this State or by serving the Commissioner as the insurer's agent. (3) Any judgment based upon legal process so served shall be binding upon each of the insurer's subscribers as their respective interests may appear, but in an amount not exceeding their respective contingent liabilities if any, the same as though personal service of process was had upon each such subscriber. 56-2116. Advance to insurer. The attorney or other parties may advance to a domestic reciprocal insurer upon reasonable terms such funds as it may require from time to time in its operations. Sums so advanced shall not be treated as a liability of the insurer, and, except upon liquidation of the insurer, shall not be withdrawn or repaid except out of the insurer's realized earned surplus in excess of its minimum required surplus. No such withdrawal or repayment shall be made without the advance approval of the Commissioner. 56-2117. Annual statement. (1) The annual financial statement of a reciprocal insurer shall be made and filed with the Commissioner by its attorney, on or before March 1st of each year. (2) The information required by this Title of other insurers doing a like insurance business in this State shall be included in the annual financial statement. (3) The statement shall be supplemented by such information as may be required by the Commissioner relative to the affairs and transactions of the attorney, insofar as they relate to the reciprocal insurer. 56-2118. Financial condition; method of determining. In determining the financial condition of a reciprocal insurer the Commissioner shall apply the following rules: (1) He shall charge as liabilities the same reserves

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as are required of incorporated insurers issuing non-assessable policies on a reserve basis; (2) The surplus deposits of subscribers shall be allowed as assets, except that any premium deposits delinquent for ninety (90) days shall first be charged against such surplus deposit; (3) The surplus deposits of subscribers shall not be charged as a liability. (4) All premium deposits delinquent less than ninety (90) days shall be allowed as assets; (5) An assessment levied upon subscribers, and not collected, shall not be allowed as an asset; (6) The contingent liability of subscribers shall not be allowed as an asset; and (7) The computation of reserves shall be based upon premium deposits other than membership fees and without any deduction for expenses and the compensation of the attorney. 56-2119. Who may be subscribers. Individuals, partnerships, and corporations of this State may make application, enter into agreement for and hold policies or contracts in or with and be a subscriber of any domestic, foreign, or alien reciprocal insurer. Any corporation now or hereafter organized under the laws of this State shall, in addition to the rights, powers, and franchises specified in its charter, have full power and authority as a subscriber to exchange insurance contracts through such reciprocal insurer. The right to exchange such contracts is hereby declared to be incidental to the purposes for which such corporations are organized and to be as fully granted as the rights and powers expressly conferred upon such corporations. Government or governmental agencies, state or political subdivisions thereof, boards, associations, estates, trustees or fiduciaries are authorized to exchange nonassessable reciprocal interinsurance

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contracts with each other and with individuals, partnerships and corporations to the same extent that individuals, partnerships and corporations are herein authorized to exchange reciprocal interinsurance contracts. Any officer, representative, trustee, receiver, or legal representative of any such subscriber shall be recognized as acting for or on its behalf for the purpose of such contract but shall not be personally liable upon such contract by reason of acting in such representative capacity. 56-2120. Subscribers' advisory committee. (1) The advisory committee of a domestic reciprocal insurer exercising the subscribers' rights shall be selected under such rules as the subscribers adopt. (2) The committee shall: (a) Supervise the finances of the insurer; (b) Supervise the insurer's operations to such extent as to assure conformity with the subscribers' agreement and power of attorney; (c) Procure the audit of the accounts and records of the insurer and of the attorney at the expense of the insurer; and (d) Have such additional powers and functions as may be conferred by the subscribers' agreement. 56-2121. Subscribers' liability. (1) The liability of each subscriber, other than as to a nonassessable policy, for the obligations of the reciprocal insurer shall be an individual, several and proportionate liability, and not joint. (2) Except as to a nonassessable policy, each subscriber shall have a contingent assessment liability, in the amount provided for in the power of attorney or in the subscribers' agreement, for payment of actual losses and expenses incurred while his policy was in force. Such

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contingent liability may be at the rate of not less than one nor more than ten (10) times the premium or premium deposit stated in the policy, and the maximum aggregate thereof shall be computed in the manner set forth in section 56-2125. (3) Each assessable policy issued by the insurer shall contain a statement of the contingent liability. 56-2122. Subscribers' liability on judgment. (1) No action shall lie against any subscriber upon any obligation claimed against the insurer until a final judgment has been obtained against the insurer and remains unsatisfied for thirty (30) days. (2) Any such judgment shall be binding upon each subscriber only in such proportion as his interests may appear and in amount not exceeding his contingent liability, if any. 56-2123. Assessments. (1) Assessments may from time to time be levied upon subscribers of a domestic reciprocal insurer liable therefore under the terms of their policies by the attorney upon approval in advance by the subscribers' advisory committee and the Commissioner; or by the Commissioner in liquidation of the insurer. (2) Each subscriber's share of a deficiency for which an assessment is made, but not exceeding in any event his aggregate contingent liability as computed in accordance with section 56-2125, shall be computed by applying to the premium earned on the subscriber's policy or policies during the period to be covered by the assessment, the ratio of the total deficiency to the total premiums earned during such period upon all policies subject to the assessment. (3) In computing the earned premiums for the purposes of this section, the gross premium received by the insurer for the policy shall be used as a base, deducting therefrom solely charges not recurring upon the renewal or extension of the policy.

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(4) No subscriber shall have an offset against any assessment for which he is liable, on account of any claim for unearned premium or losses payable. 56-2124. Time limit for assessments. Every subscriber of a domestic reciprocal insurer having contingent liability shall be liable for, and shall pay his share of any assessment, as computed and limited in accordance with this Chapter, if: (1) While his policy is in force or within one year after its termination, he is notified by either the attorney or the Commissioner of his intentions to levy such assessment; or (2) If an order to show cause why the receiver, conservator, rehabilitator or liquidator of the insurer should not be appointed is issued while his policy is in force or within one year after its termination. 56-2125. Aggregate liability. No one policy or subscriber as to such policy, shall be assessed or charged with an aggregate of contingent liability as to obligations incurred by a domestic reciprocal insurer in any one calendar year, in excess of the amount provided for in the power of attorney or in the subscriber's agreement, computed solely upon premium earned on such policy during that year. 56-2126. Nonassessable policies. (1) If a reciprocal insurer has a surplus of assets over all liabilities at least equal to the minimum paid-in capital stock required of a domestic stock insurer authorized to transact like kinds of insurance, upon application of the attorney and as approved by the subscribers' advisory committee the Commissioner shall issue this certificate authorizing the insurer to extinguish the contingent liability of subscribers under its policies then in force in this State, and to omit provisions imposing contingent liability in all policies delivered or issued for delivery in this State for so long as all such surplus remains unimpaired.

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(2) Upon impairment of such surplus, the Commissioner shall forthwith revoke the certificate. Such revocation shall not render subject to contingent liability any policy then in force and for the remainder of the period for which the premium has theretofore been paid; but after such revocation no policy shall be issued or renewed without providing for contingent assessment liability of the subscriber. (3) The Commissioner shall not authorize a domestic reciprocal insurer so to extinguish the contingent liability of any of its subscribers or in any of its policies to be issued, unless it qualifies to and does extinguish such liability of all its subscribers and in all such policies for all kinds of insurance transacted by it. Except, that if required by the laws of another state in which the insurer is transacting insurance as an authorized insurer, the insurer may issue policies providing for the contingent liability of such of its subscribers as may acquire such policies in such state, and need not extinguish the contingent liability applicable to policies theretofore in force in such state. 56-2127. Distribution of profits. A reciprocal insurer may from time to time return to its subscribers any unused premiums, savings, credits, or profits accruing to their accounts. Any such distribution shall not unfairly discriminate between classes of risks, or policies, or between subscribers, but such distribution may vary as to classes of subscribers, based upon the experience of such subscribers. In no event shall there be any such distribution whatsoever, by a domestic reciprocal insurer, while notes or advances to the minimum surplus as hereinbefore required are outstanding, unless the Commissioner shall first approve such distribution. 56-2128. Subscribers' share in assets. Upon the liquidation of a domestic reciprocal insurer, its assets remaining after discharges of its indebtedness and policy obligations, the return of any contributions of the attorney or other persons to its surplus made as provided in section 56-2116, and the return of any unused premiums,

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savings, or credit then standing on subscribers' accounts, shall be distributed to its subscribers who were such within the twelve (12) months prior to the last termination of its certificate of authority, according to such reasonable formula as the Commissioner may approve. 56-2129. Merger or conversion. (1) A domestic reciprocal insurer upon affirmative vote of not less than two-thirds ([frac23]) of its subscribers who vote on such merger pursuant to due notice and the approval of the Commissioner of the terms therefor, may merge with another reciprocal insurer or be converted to a stock or mutual insurer. (2) Such a stock or mutual insurer shall be subject to the same capital or surplus requirements and shall have the same rights as a like domestic insurer transacting like kinds of insurance. (3) The Commissioner shall not approve any plan for such merger or conversion which is in equitable to subscribers, or which, if for conversion to a stock insurer, does not give each subscriber preferential right to acquire stock of the proposed insurer proportionate to his interest in the reciprocal insurer as determined in accordance with section 56-2128 and a reasonable length of time within which to exercise such right. (4) Reinsurance of all or substantially all of the insurance in force of a domestic reciprocal insurer in another insurer shall be deemed to be a merger for the purposes of this section. 56-2130. Impaired reciprocals. (1) If the assets of a domestic reciprocal insurer are at any time insufficient to discharge its liabilities, other than any liability on account of funds contributed by the attorney or others, and to maintain the required surplus, its attorney shall forthwith make up the deficiency or levy an assessment upon the subscribers for the amount needed to make up the deficiency; but subject to the limitation set forth in the power of attorney or policy.

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(2) If the attorney fails to make up such deficiency or to make the assessment within thirty (30) days after the Commissioner orders him to do so, or if the deficiency is not fully made up within sixty (60) days after the date the assessment was made, the insurer shall be deemed insolvent and shall be proceeded against as authorized by this Title. (3) If liquidation of such an insurer is ordered, an assessment shall be levied upon the subscribers for such an amount, subject to limits as provided by this Chapter, as the Commissioner determines to be necessary to discharge all liabilities of the insurer, exclusive of any funds contributed by the attorney or other persons, but including the reasonable cost of the liquidation. CHAPTER 56-22 RESERVED CHAPTER 56-23 RESERVED CHAPTER 56-24 THE INSURANCE CONTRACT IN GENERAL 56-2401. Scope of Chapter. 56-2402. Policy defined. 56-2403. Premium defined. 56-2404. Insurable interest; personal insurance. 56-2405. Insurable interest; property insurance. 56-2406. Capacity to contract for insurance; minors. 56-2407. Consent of insured required. 56-2408. Applications as evidence. 56-2409. Representations in applications. 56-2410. Filing and approval of forms. 56-2411. Grounds for disapproval of forms. 56-2412. Waiver of standard or uniform provisions. 56-2413. Contents of policies in general. 56-2414. Additional; contents of policies. 56-2415. Charter or bylaw provisions; incorporation into policy.

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56-2416. Execution of policies. 56-2417. Underwriters' and combination policies. 26-2418. Validity of noncomplying forms. 26-2419. Construction of policies. 56-2420. Binders. 56-2421. Delivery of policy. 56-2422. Renewal by certificate or endorsements. 56-2423. Assignment of policies. 56-2424. Payment discharges insurer. 56-2425. Minor may give acquittance. 56-2426. Simultaneous deaths. 56-2427. Forms for proof of loss to be furnished. 56-2428. Claims administration not waiver. 56-2429. Time policy or contract effective; how calculated. 56-2430. Cancellation. 56-2431. Governmental units empowered to make deductions and enter into agreements. 56-2432. Participation by employees to be voluntary. 56-2433. Insurance not to affect rights under Workmen's Compensation Act. 56-2434. Local and special laws unaffected. 56-2435. Authorizing corporate surety in lieu of personal surety. 56-2436. Deposit and withdrawal of funds covered by bond. 56-2437. Governmental motor vehicles; insurance to cover injuries. 56-2438. Guaranteed arrest bond certificates. 56-2401. Scope of Chapter. This Chapter applies to all insurance policies and to annuities and pure endowment contracts as defined in section 56-2601 except: (1) Reinsurance; (2) Policies or contracts not issued for delivery in this State nor delivered in this State, except as provided in section 56-2410(5); (3) Ocean marine and foreign trade insurances;

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(4) Title insurance, except as to the following provisions: (a) Section 56-2406; (b) Section 56-2410; (c) Section 56-2411; (d) Section 56-2415; (e) Section 56-2416; (f) Section 56-2419. 56-2402. Policy defined. Policy means the written contract of or written agreement for or effecting insurance, and includes all clauses, riders, endorsements and papers attached or issued and delivered for attachment thereto and a part thereof. 56-2403. Premium defined. Premium is the consideration for insurance, by whatever name called. Any assessment, or any membership, policy, survey, inspection, service or similar fee or charge in consideration for an insurance contract is deemed part of the premium. 56-2404. Insurable interest; personal insurance. (1) Insurable interest with reference to personal insurance is an interest based upon a reasonable expectation of pecuniary advantage through the continued life, health or bodily safety of another person and consequent loss by reason of his death or disability, or a substantial interest engendered by love and affection in the case of individuals closely related by blood or by law. (2) An individual has an unlimited insurable interest in his own life, health and bodily safety and may lawfully take out a policy of insurance on his own life, health or bodily safety and have the same made payable to whomsoever he pleases, regardless of whether the beneficiary so designated has an insurable interest.

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(3) An insurable interest must exist at the time the contract of personal insurance becomes effective, but this requirement need not exist at the time the loss occurs. (4) Any personal insurance contract procured or caused to be procured upon another individual is void unless the benefits under such contract are payable to the individual insured or his personal representative, or to a person having, at the time when such contract was made, an insurable interest in the individual insured. In the case of such void contract, the insurer shall not be liable on the contract, but shall be liable to repay to such person or persons who have paid the premiums, all premium payments without interest. 56-2405. Insurable interest; property insurance. (1) No insurance contract on property or of any interest therein or arising therefrom shall be enforceable except for the benefit of persons having, at the time of the loss, and insurable interest in the things insured. (2) Insurable interest as used in this section means any actual, lawful, and substantial economic interest in the safety or preservation of the subject of the insurance free from loss, destruction, or pecuniary damage or impairment. (3) The measure of an insurable interest in property is the extent to which the insured might be damnified by loss, injury, or impairment thereof. 56-2406. Capacity to contract for insurance; minors. (1) Any person of competent legal capacity may contract for insurance. (2) A minor not less than fifteen (15) years of age as determined at nearest birthday may, notwithstanding such minority, contract for annuities, endowments, life insurance and accident and sickness insurance on his own life or body or the life or body of any person in whom he has an insurable interest. Such a minor shall, notwithstanding such minority, be deemed competent to exercise

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all rights and powers with respect to or under any contract or policy for annuities, endowments, life insurance and accident and sickness insurance on his own life or body or on the person of another, as though of full legal age, and may surrender his interest therein and give a valid discharge for any benefit accruing or money payable thereunder. The minor shall not, by reason of his minority, be entitled to rescind, avoid or repudiate the contract, nor to rescind, avoid or repudiate any exercise of a right or privilege thereunder, except that such minor, not otherwise emancipated, shall not be bound by any unperformed agreement to pay, by promissory note or otherwise, any consideration or premium on any such contract or policy. Any such contract or policy for annuities, endowments, life insurance and accident and sickness insurance procured by or for a minor under this subsection shall be made payable either to the minor or his estate or to a person having an insurable interest in the life of such minor. (3) A minor not less than fifteen (15) years of age as determined at nearest birthday may, notwithstanding such minority, contract for insurance on other subjects of insurance in which he has an insurable interest. A minor shall be bound by any settlement made in connection with any insurance contract so issued. The minor shall not, by reason of his minority, be entitled to rescind, avoid or repudiate the contract, nor to rescind, avoid or repudiate any exercise of a right or privilege thereunder, except that such minor, not otherwise emancipated, shall not be bound by any unperformed agreement to pay, by promissory note or otherwise, any premium on any such insurance contract. 56-2407. Consent of insured required. No life or accident and sickness insurance contract upon an individual, except a contract of group life insurance or of group or blanket accident and sickness insurance, shall be made or effectuated unless at the time of the making of the contract the individual insured, being of competent legal capacity to contract, applies therefor or consents in writing thereto, except in the following cases:

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(1) A spouse may effectuate such insurance upon the other spouse. (2) Any person having an insurable interest in the life of a minor, or any person upon whom a minor is dependent for support and maintenance, may effectuate insurance upon the life of or pertaining to such minor. (3) An application for a family policy may be signed by either parent, stepparent or by husband or wife. (4) An insurer shall be entitled to rely upon all statements, declarations and representations made by an applicant for insurance relative to the insurable interest which such applicant has in the insured; and no insurer shall incur any legal liability except as set forth in the policy, by virtue of any untrue statements, declarations or representations so relied upon in good faith by the insurer. 56-2408. Applications as evidence. As to kinds of insurance other than life insurance, no application for insurance signed by or on behalf of the insured shall be admissible in evidence in any action between the insured and the insurer arising out of the policy so applied for, if the insurer has failed, at expiration of thirty (30) days after receipt by the insurer of written demand therefor by or on behalf of the insured, to furnish to the insured a copy of such application reproduced by any legible means. 56-2409. Representations in applications. All statements and descriptions in any application for an insurance policy or annuity contract, or in negotiations therefor, by or in behalf of the insured or annuitant shall be deemed to be representations and not warranties. Misrepresentations, omissions, concealment of facts, and incorrect statements shall not prevent a recovery under the policy or contract unless: (1) Fraudulent; or (2) Material either to the acceptance of the risk, or to the hazard assumed by the insurer; or

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(3) The insurer in good faith would either not have issued the policy or contract, or would not have issued a policy or contract in as large an amount, or at the premium rate as applied for, or would not have provided coverage with respect to the hazard resulting in the loss, if the true facts had been known to the insurer as required either by the application for the policy or contract or otherwise. 56-2410. Filing and approval of forms. (1) No basic insurance policy or annuity contract form, or application form where written application is required and is to be made a part of the policy or contract, or printed rider or endorsement form or form of renewal certificate, shall be delivered or issued for delivery in this State, unless the form has been filed with and approved by the Commissioner. This provision shall not apply to surety bonds, or to specially rated inland marine risks, nor to policies, riders, endorsements, or forms of unique character designed for and used with relation to insurance upon a particular subject, or which relate to the manner of distribution of benefits or to the reservation of rights and benefits under life or accident and sickness insurance policies and are used at the request of the individual policyholder, contract holder, or certificate holder. (2) Every such filing shall be made not less than thirty (30) days in advance of any such delivery. At the expiration of such thirty (30) days the form so filed shall be deemed approved unless prior thereto it has been approved or disapproved by the Commissioner. Approval of any such form by the Commissioner shall constitute a waiver of any unexpired portion of such waiting period. The Commissioner may extend by not more than an additional thirty (30) days the period within which he may so approve or disapprove any such form, by giving notice of such extension before expiration of the initial thirty (30) day period. At the expiration of any such period as so extended, and in the absence of such prior approval or disapproval, any such form shall be deemed approved. The Commissioner may at any time, after notice and for cause shown, withdraw any such approval after notice

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and hearing as provided in sections 56-218 through 56-227. (3) Any order of the Commissioner disapproving any such form or withdrawing a previous approval shall state in reasonable detail the grounds therefor. (4) The Commissioner may by order, in exceptional cases, exempt from the requirements of this section for so long as he deems proper any insurance document or form or type thereof as specified in such order, to which, in his discretion, this section may not practicably be applied, or the filing and approval of which are, in his discretion not desirable or necessary for the protection of the public. (5) This section shall apply also to any such form used by domestic insurers for delivery in a jurisdiction outside this State, if the insurance supervisory official of such jurisdiction informs the Commissioner that such form is not subject to approval or disapproval by such official, and upon the Commissioner's order requiring the form to be submitted to him for the purpose. The applicable standards shall apply to such forms as apply to forms for domestic use. 56-2411. Grounds for disapproval of forms. The Commissioner shall disapprove any such form filed under section 56-2410, or withdraw any previous approval thereof only: (1) If it is in any respect in violation of or does not comply with this Title; (2) If it contains or incorporates by reference any inconsistent, ambiguous, or misleading clauses, or exceptions and conditions which deceptively affect the risk purported to be assumed in the general coverage of the contract; (3) If it has any title, heading, or other indication of its provisions which is misleading;

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(4) If it is printed or otherwise reproduced in such manner as to render any provision of the form substantially illegible or not easily legible to persons of normal vision; or (5) If it contains provisions which are unfair or inequitable or contrary to the public policy of this State, or would, because such provisions are unclear or deceptively worded, encourage misrepresentation. 56-2412. Waiver of standard or uniform provisions. (1) The Commissioner may waive the required use of a particular provision in a particular insurance policy form or annuity or endowment contract form if he finds such provision unnecessary for the protection of the insured or inconsistent with the purposes of the policy, and the policy is otherwise approved by him. (2) Unless otherwise provided in this Title, no policy shall contain any provision inconsistent with or contradictory to any standard provision used or required to be used, but the Commissioner may approve any substitute provision which is not less favorable in any particular to the insured or beneficiary than the standard provisions or optional standard provisions otherwise required. (3) In lieu of the standard provisions required by the provisions of this Title for contracts for particular kinds of insurance, substantially similar standard provisions required by the law of the domicile of a foreign or alien insurer may be used when approved by the Commissioner. 56-2413. Contents of policies in general. (1) The written instrument in which a contract of insurance is set forth is the policy. (2) Every policy shall specify: (a) The names of the parties to the contract; (b) The subject of the insurance; (c) The risks insured against;

Page 664

(d) The time when the insurance thereunder takes effect and the period during which the insurance is to continue; (e) The premium; and (f) The conditions pertaining to the insurance. (3) If under the policy the exact amount of premium is determinable only at stated intervals or termination of the contract, a statement of the basis and rates upon which the premium is to be determined and pair shall be included. (4) Subsections (2) and (3) of this section shall not apply as to surety contracts, or to group insurance policies. (5) All policies and annuity contracts issued by domestim insurers, and the forms thereof filed with the Commissioner, shall have printed thereon an appropriate designating letter or figure, or combination of letters or figures or terms identifying the respective forms of policies or contracts. Whenever any change is made in any such form, the designating letters, figures or terms thereon shall be correspondingly changed. (6) All policies and annuity contracts shall contain such standard or uniform provisions as are required by the applicable provisions of this Title pertaining to contracts of particular kinds of insurance. 56-2414. Additional contents of policies. A policy may contain additional provisions not inconsistent with this Title and which are: (1) Required to be inserted by the laws of the insurer's domicile; (2) Necessary, on account of the manner in which the insurer is constituted or operated, in order to state the rights and obligations of the parties to the contract; or

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(3) Desired by the insurer and neither prohibited by law nor in conflict with any provisions required to be included therein. 56-2415. Charter or bylaw provisions; incorporation into policy. No policy shall contain any provisions purporting to make any portion of the charter, bylaws or other constituent document of the insurer a part of the contract unless such portion is set forth in full in the policy. Any policy provision in violation of this section shall be invalid. This section shall not apply to the subscriber's agreement or power of attorney of a reciprocal insurer. 56-2416. Execution of policies. Every insurance policy shall be executed in the name of and on behalf of the insurer by its officer, attorney-in-fact, employee, or representative duly authorized by the insurer. A facsimile signature of any such executing individual may be used in lieu of an original signature. No insurance contract heretofore or hereafter issued and which is otherwise valid shall be rendered invalid by reason of the apparent execution thereof on behalf of the insurer by the imprinted facsimile signature of an individual not authorized so to execute as of the date of the policy, if the policy is countersigned with the original signature of an individual then so authorized. 56-2417. Underwriters' and combination policies. (1) Two or more authorized insurers may jointly issue, and shall be jointly and severally liable on, an underwriters' policy bearing their names. Any one insurer may issue policies in the name of an underwriter's department and such policy shall plainly show the true name of the insurer. (2) Two or more insurers may issue a combination policy which shall contain provisions substantially as follows: (a) That the insurers executing the policy shall be

Page 666

severally liable for the full amount of any loss or damage, according to the terms of the policy, or for specified percentages or amounts thereof, aggregating the full amount of insurance under the policy; and (b) That service of process, or of any notice or proof of loss required by such policy, upon any of the insurers executing the policy, shall constitute service upon all such insurers. (3) Notwithstanding the provisions of section 56-320 where an authorized insurer issues a single policy of insurance together with one or more other insurers, a licensed resident agent of such insurer may countersign such policy on behalf of all insurers appearing thereon. (4) This section shall not apply to co-surety obligations. 56-2418. Validity of noncomplying forms. Any insurance policy, rider, or endorsement hereafter issued and otherwise valid which contains any condition or provision not in compliance with the requirements of this Title, shall not be thereby rendered invalid but shall be construed and applied in accordance with such conditions and provisions as would have applied had such policy, rider, or endorsement been in full compliance with this Title. Any insurance contract delivered or issued for delivery in this State covering a subject or subjects of insurance resident, located or to be performed in this State and which, pursuant to the provisions of this Title, the insurer may not lawfully insure under such a contract, shall be cancellable at any time by the insurer, any provisions of the contract to the contrary notwithstanding; and the insurer shall promptly cancel the contract in accordance with the Commissioner's request therefor. No such illegality or cancellation shall be deemed to relieve the insurer of any liability incurred by it under the contract while in force, or to prohibit the insurer from retaining the pro rata earned premium thereon. This provision does

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not relieve the insurer from any penalty otherwise incurred by the insurer under this Title on account of any such violation. 56-2419. Construction of policies. Every insurance contract shall be construed according to the entirety of its terms and conditions as set forth in the policy and as amplified, extended, or modified by any rider, endorsement, or application made a part of the policy. 56-2420. Binders. (1) binders or other contracts for temporary insurance may be made orally or in writing, and shall be deemed to include all the usual terms of the policy as to which the binder was given together with such applicable endorsements as are designated in the binder, except as superseded by the clear and express terms of the binder. (2) No binder shall be valid beyond the issuance of the policy with respect to which it was given, or beyond ninety (90) days from its effective date, whichever period is the shorter, provided this shall not apply to excess or surplus line insurance. (3) If the policy has not been issued a binder may be extended or renewed beyond such ninety (90) days with the written approval of the Commissioner, or in accordance with such rules and regulations relative thereto as the Commissioner may promulgate. (4) This section shall not apply to life or accident and sickness insurance. 56-2421. Delivery of policy. (1) Subject to the insurer's requirement as to payment of premium, every policy shall be mailed or delivered to the insured or to the person entitled thereto within a reasonable period of time after its issuance, except where a condition required by the insurer has not been met by the insured. (2) In event the original policy is delivered or is required to be delivered to or for deposit with any vendor,

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mortgagee, or pledgee of any motor vehicle or aircraft, and in which policy any interest of the vendee, mortgagor, or pledgor in or with reference to such vehicle or aircraft is insured, a duplicate of such policy setting forth the name and address of the insurer, insurance classification of vehicle or aircraft, type of coverage, limits of liability, premiums for the respective coverages, and duration of the policy or memorandum thereof containing the same such information, shall be delivered by the vendor, mortgagee, or pledgee to each such vendee, mortgagor, or pledgor named in the policy or coming within the group of persons designated in the policy to be so included. If the policy does not provide coverage of legal liability for injury to persons or damage to the property of third parties, a statement of such fact shall be printed, written, or stamped conspicuously on the face of such duplicate policy or memorandum. 56-2422. Renewal by certificate or endorsements. Any insurance policy terminating by its terms at a specified expiration date and not otherwise renewable, may be renewed or extended at the option of the insurer and upon a currently authorized policy form and at the premium rate then required therefor for a specific additional period or periods by certificate or by endorsement of the policy, and without requiring the issuance of a new policy. 56-2423. Assignment of policies. A policy may be assignable or not assignable, as provided by its terms. Subject to its terms relating to assignability, any life or accident and sickness policy, whether heretofore or hereafter issued, under the terms of which the beneficiary may be changed upon the sole request of the policy owner, may be assigned either by pledge or transfer of title, by an assignment executed by the policy owner alone and delivered to the insurer, whether or not the pledgee or assignee is the insurer. Any such assignment shall entitle the insurer to deal with the assignee as the owner or pledgee of the policy in accordance with the terms of the assignment, until the insurer has received at its home office written notice of termination of the assignment or pledge, or written notice by or on behalf of some other

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person claiming some interest in the policy in conflict with the assignment. 56-2424. Payment discharge insurer. Whenever the proceeds of or payments under a life or accident and sickness insurance policy or annuity contract heretofore or hereafter issued become payable in accordance with the terms of such policy or contract, or the exercise of any right or privilege thereunder, and the insurer makes payment thereof in accordance with the terms of the policy or contract or in accordance with any written assignment thereof, the person then designated in the policy or contract or by such assignment as being entitled thereto, if legally competent, shall be entitled to receive such proceeds or payments and to give full acquittance therefor, and such payments shall fully discharge the insurer from all claims under the policy or contract unless, before payment is made, the insurer has received at its home office written notice by or on behalf of some other person that such other person claims to be entitled to such payment or some interest in the policy or contract. 56-2425. Minor may give acquittance. Any minor not less than eighteen (18) years of age as determined at nearest birthday shall be deemed competent to receive and to give full acquittance and discharge for a payment or payments in aggregate amount not exceeding three thousand ($3,000) dollars in any one year made by any one insurer under the maturity, death or settlement provisions in effect or elected by such minor under a life insurance policy or annuity contract, provided such policy, contract or agreement shall provide for the payment or payments to such minor. No such minor shall be deemed competent to alienate the right to or to anticipate such payments. If a guardian of the property of any such minor is duly appointed and written notice thereof is given to the insurer at its home office, any such payment thereafter falling due shall be paid to the guardian for the account of the minor, unless the policy or contract under which the payment is made expressly provides otherwise. This section shall not be

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deemed to restrict the rights of minors set forth in section 56-2406 (2). 56-2426. Simultaneous deaths. Where the individual insured or the annuitant and the beneficiary designated in a life insurance policy or policy insuring against accidental death or in an annuity contract have died and there is not sufficient evidence that they have died otherwise than simultaneously, the proceeds of the policy or contract shall be distributed as if the insured or annuitant had survived the beneficiary, unless otherwise specifically provided in the policy or contract. Payment made in accordance with the provision of this section shall fully discharge the insurer from all claims under the policy or contract unless before payment is made, the insurer has received at its home office written notice by or on behalf of some other person that such person claims to be entitled to such payment or some interest in the policy or contract. 56-2427. Forms for proof of loss to be furnished. An insurer shall furnish, upon written request of any person claiming to have a loss under an insurance contract issued by such insurer, forms for proof of loss for completion by such person, but such insurer shall not, by reason of the requirement so to furnish forms, have any responsibility for or with reference to the completion of such proof or the manner of any such completion or attempted completion. Failure or refusal to furnish such form upon written request or written notice of a loss shall constitute waiver of the right of the insurer to require proof of loss. 56-2428. Claims administration not waiver. Without limitation of any right or defense of an insurer otherwise, none of the following acts by or on behalf of an insurer shall be deemed to constitute a waiver of any provision of a policy or of any defense of the insurer thereunder: (1) Acknowledgement of the receipt of notice of loss or claim under the policy. (2) Furnishing forms for reporting a loss or claim, for

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giving information relative thereto, or for making proof of loss, or receiving or acknowledging receipt of any such forms or proofs completed or uncompleted. (3) Investigating any loss or claim under any policy or engaging in negotiations looking toward a possible settlement of any such loss or claim. 56-2429. Time policy or contract effective; how calculated. A policy of insurance or an annuity or endowment contract shall run from midday of the date of the policy or contract, and the time shall be calculated accordingly, if the policy or contract is to be in force for a specified period of time unless the hour and minute of attachment of liability is specified. 56-2430. Cancellation. Cancellation of a policy, which by its terms and conditions, may be cancelled by the insurer shall be accomplished as prescribed herein: Written notice, stating the time when the cancellation will be effective, but not less than five days from date of notice, or such other specific longer period as may be provided in the contract or by statute; may be delivered in person, or by depositing such notice in the United States mails to be dispatched by at least first class mail to the last address of record of the insured and receiving therefor the receipt provided by the United State Post Office Department. Such notice may or may not be accompanied by a tender of the unearned premium paid by the insured calculated on a pro rata basis. If such tender is not made simultaneously with such notice, it shall be made within fifteen (15) days of notice of cancellation, unless an audit or rate investigation is required, in which case such tender shall be made as soon as practicable. Notices of cancellation of policies protecting the interest of the insured and any lienholder shall be delivered or mailed to the last addresses of record as provided herein to the insured and to the lienholders shown in the policy and shall specify when, not less than ten (10) days or such longer period as may be provided in the contract or by the statute, the cancellation shall become effective.

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56-2431. Governmental units empowered to make deductions and enter into agreements. Each and every county, county board of public instruction, city, town, governmental unit, department, board, or bureau of the State of Georgia, or of the cities and towns thereof, is hereby authorized and empowered to make deductions periodically from the wages or salaries of its employees with which to pay the premium for life, sickness, accident, hospitalization, or annuity insurance, or all or any kind of insurance, for the benefit of such employees, upon a group insurance plan, and to that end to enter into agreements with insurance companies whereby the kind of group insurance desired by the employees may be furnished to them, and the premiums therefor remitted periodically by said counties, boards, cities, towns, bureaus or departments thereof. 56-2432. Participation by employees to be voluntary. Participation in such group insurance by such employees shall be entirely voluntary on the part of each employee at all times. Any employee, upon any pay day, may withdraw or retire from such group plan upon giving his employer written notice thereof and directing the discontinuance of deductions from his wages or salary in payment of such plan. 56-2433. Insurance not to affect rights under Workmen's Compensation Act. The insurance permitted under sections 56-2431 and 56-2432 shall be in addition to and in no manner in lieu of the provisions of the Georgia Workmen's Compensation Act. 56-2434. Local and special laws unaffected. Nothing in sections 56-2431 and 56-2432 is intended to restrict or repeal the operation of any special or local law heretofore enacted authorizing the participation in group insurance by employees of the State, counties, cities, or towns thereof. 56-2435. Authorizing corporate surety in lieu of personal surety. Any surety insurance company or such other corporation or company that may do a surety insurance

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business, incorporated and organized under the laws of this State, or of any other state or a foreign country, for the purpose of transacting business of surety insurance, which has complied with all requirements of law for license to transact business in this State, may, upon proper proof thereof and upon production of evidence of solvency and credit, satisfactory to the judge, head of the department, or other officer or officers authorized to approve and accept bonds, be accepted as surety upon the bond of any person, company or corporation required by law to execute bonds, in lieu of any surety or sureties now required by law. Any such surety insurance company, or other company doing a surety insurance business, may be released from its liability on such bond on the same terms and conditions as are prescribed by law for the release of individuals; it being the true intent and meaning of the provisions of this section to enable the companies and corporations doing a surety insurance business to become sureties on all bonds required by law to be taken, with all the rights and subject to all the liabilities of individual sureties. 56-2436. Deposit and withdrawal of funds covered by bond. It shall be lawful for any party of whom a bond, undertaking or other obligation is required, to agree with his surety or sureties for the deposit of any or all monies and assets for which he and his surety or sureties are or may be held responsible, with a bank, savings bank, safe-deposit or trust company, authorized by law to do business as such, or with other depository approved by the court or a judge thereof, if such deposit is otherwise proper, for the safekeeping thereof, and in such manner as to prevent the withdrawal of such monies or assets or any part thereof, without the written consent of such surety or sureties, or an order of court, or a judge thereof made on such notice to such surety or sureties as such court or judge may direct; Provided, however, that such agreement shall not in any manner release from or change the liability of the principal or sureties as established by the terms of the said bond. 56-2437. Governmental motor vehicles; insurance to

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cover injuries by. (1) A municipal corporation, a county or any other political subdivision of this State is authorized in its discretion to secure and provide insurance to cover liability for damages on account of bodily injury or death resulting therefrom to any person, or for damage to property of any person, or both, arising by reason of ownership, maintenance, operation, or use of any motor vehicle by the municipal corporation, county, or any other political subdivision of this State, under its management, control or supervision, whether in a governmental undertaking or not, and to pay premiums therefor. (2) Whenever a municipal corporation, a county, or any other political subdivision of this State shall purchase such insurance the negligence of any duly authorized officer, agent, servant, attorney, or employee in the performance of his official duties, its governmental immunity shall be waived to the extent of the amount of insurance so purchased. Neither the municipal corporation, county or political subdivision of this State, as the case may be, nor the insuring company shall plead such governmental immunity as a defense and may make only such defenses as could be made if the insured were a private person. The municipal corporation, county or any other political subdivision of this State shall be liable for negligence as herein provided only for damages suffered while said insurance is in force, but in no case in an amount exceeding the limits or the coverage of any such insurance policy. No attempt shall be made in the trial of any action brought against a municipal corporation, county or any other political subdivision of this State to suggest the existence of any insurance which covers in whole or in part any judgment or award which may be rendered in favor of the plaintiff, and if the verdict rendered by the jury exceeds the limits of the applicable insurance, the court shall reduce the amount of said judgment or award to a sum equal to the applicable limits stated in the insurance policy. (3) Premiums on the insurance authorized by subsection (1) above shall be paid from the general funds of the municipal corporation, county or political subdivision.

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56-2438. Guaranteed arrest bond certificates. (1) Any domestic or foreign insurance company, fidelity insurance company, or surety company which has qualified to transact such business within this State may contract to become surety, in an amount not to exceed two hundred ($200.00) dollars each, for any guaranteed arrest bond certificates issued by an automobile club or association, by filing with the Commissioner a certificate thus to become surety. (2) Such certificate shall be in a form which shall be prescribed by the Commissioner and shall state the following: (a) The name and address of the automobile club or clubs or automobile association or associations issuing the guaranteed arrest bond certificates of which the said company undertakes to be surety. (b) The unqualified obligations of the company undertaking to become surety to pay the fine or forfeiture in an amount not to exceed two hundred ($200.00) dollars of any person who fails to make an appearance to answer to the charges for which said guaranteed arrest bond certificate is posted. (3) Any guaranteed arrest bond certificate to which an insurance, fidelity insurance or surety company has become surety, as herein provided, shall when posted by the person whose signature appears thereon, be accepted in lieu of cash bail or other bond in an amount not to exceed two hundred ($200.00) dollars, as a bail bond, to guarantee the appearance of such person in any court in this State, including all municipal courts in this State, at such time as may be required by the court, when the person is arrested for violation of any motor vehicle law of this State or any motor vehicle ordinance of any municipality in this State, except for the offense of driving under the influence of intoxicating liquors or drugs, or for any felony. Any such guaranteed arrest bond certificates so posted as bail bond in any court in this State shall be subject to the forfeiture and enforcement provisions

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with respect to bail bonds in criminal cases as provided by law or as may hereafter be provided by law. Any such guaranteed arrest bond certificate posted as a bail bond in any municipal court of this State shall be subject to the forfeiture and enforcement provisions of the charter or ordinance of the particular municipality pertaining to bail bonds. CHAPTER 56-25 LIFE INSURANCE. 56-2501. Contract of life insurance defined. 56-2502. Policies to contain the entire contract. 56-2503. Life insurance policies; standard provisions required. 56-2504. Nonforfeiture provision; life. 56-2505. Exemption of life insurance proceeds from creditors. 56-2506. Killer of insured not to receive policy benefits. 56-2507. Life insurance policies; prohibited provisions. 56-2508. Policy plans prohibited. 56-2509. Scope of incontestable clause. 56-2510. Incontestability after reinstatement. 56-2501. Contract of life insurance defined. A contract of life insurance is one whereby the insurer, for a consideration, assumes an obligation to be performed upon the death of the insured, or upon the death of another in the continuance of whose life the insured has an insurable interest, whether such obligation be one to pay a sum of money, or to perform services, or to furnish goods, wares or merchandise or other things of value, and whether the cost or value of the undertaking on the part of the insurer be more or less than the consideration flowing to him. 56-2502. Policies to contain the entire contract. Except for group life insurance policies and industrial life insurance policies, all life insurance policies which contain any reference to the application for insurance, or to the constitution, bylaws, or other rules of the insurer as

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forming part of or as affecting the contract between the parties shall include or have attached to said policy a correct copy of the application signed by the applicant and of the constitution, bylaws, and rules referred to. Unless included in or attached to the policy, no such application, constitution, bylaws or rules shall be considered a part of the contract or as an independent contract, nor shall it be received in evidence either as part of or as affecting the contract or as an independent contract in any controversy between the parties to or interested in the policy. This section shall not apply to applications for reinstatement. 56-2503. Life insurance policies; standard provisions required. (1) No policy of life insurance, except as stated in subsection (2), shall be delivered or issued for delivery in this State unless it contains in substance the following provisions: (a) Grace period. A provision that the insured is entitled to a grace period of not less than thirty (30) days within which the payment of any premium after the first may be made, during which period of grace the policy shall continue in force, but if a claim arises under the policy during such period of grace, the amount of any premium due or overdue may be deducted from any amount payable under the policy in settlement; (b) Incontestability. A provision that the policy (exclusive of provisions relating to disability benefits or to additional benefits in the event of death by accident or accidental means) shall be incontestable, except for nonpayment of premiums, after it has been in force during the life time of the insured for a period of two years from its date of issue; (c) Misstatement of age. A provision that if the age of the person insured or of any other person whose age is considered in determining the premium or benefit has been misstated, any amount payable or benefit accruing under the policy shall be such as the premium would have purchased at the correct age or ages;

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(d) Dividends. A provision in participating policies that, beginning not later than the end of the third policy year, the insurer shall annually ascertain and apportion the divisible surplus, if any, that will accrue on the policy anniversary or other dividend date specified in the policy. Except as hereinafter provided, any divident becoming payable shall at the option of the party entitled to elect such option be either (i) payable in cash or (ii) applied to any one of such other dividend options as may be provided by the policy. If any such other dividend options are provided, the policy shall further state which option shall be automatically effective if such party shall not have elected some other option. If a policy specifies a period within which such other option may be elected, such period shall be not less than thirty (30) days following the date on which such dividend is due and payable. The annually apportioned dividend shall be deemed to be payable in cash within the meaning of (i) above even though the policy provides that payment of such dividend is to be deferred for a specified period, provided such period does not exceed six years from the date of apportionment and that interest will be added to such dividend at a specified rate. If a participating policy provides that the benefit under any paid-up nonforfeiture provision is to be participating, it may provide that any divisible surplus becoming payable or apportioned while the insurance is in force under such nonforfeiture provision shall be applied in the manner set forth in the policy; (e) Policy loan. A provision that after three full years' premiums have been paid and after the policy has a cash surrender value and while no premium is in default beyond the grace period for payment, the insurer will loan on the execution of a proper note or loan agreement by the owner of the policy, and on proper assignment of the policy and on the sole security thereof, at a specified rate of interest, a sum equal to or, at the option of the owner of the policy, less than the cash value of the policy at the end of the current policy year and of any dividend additions thereto; and that the company may deduct from such loan value or from the proceeds of the loan any existing indebtedness on or secured by the policy not already

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deducted in determining such cash value including interest due or accrued, and any unpaid balance of the premium for the current policy year, and may collect interest in advance of the loan to the end of the current policy year; Provided, that the policy shall reserve to the insurer the right to defer the granting of a loan, other than for the payment of any premium to the insurer, for six months after the application therefor. The policy may also provide that if interest on any indebtedness is not paid when due it shall then be added to the existing indebtedness and shall bear interest at the same rate, and that if and when the total indebtedness on the policy, including interest due on accrued, equals or exceeds the amount of the loan value thereof, then the policy shall terminate and become void, but not until at least thirty (30) days' notice shall have been mailed by the insurer to the last known address of the insured or policy owner and of any assignee of record at the home office of the insurer. The policy, at the insurer's option, may provide for an automatic premium loan, subject to an election of the party entitled to elect. No condition other than as herein provided shall be exacted as a prerequisite to any such loan. This provision shall not apply to term insurance or to term insurance benefits provided by rider or supplemental policy provisions; (f) Tables of installments. In case the policy provides that the proceeds may be payable in installments which are determinable at issue of the policy, there shall be a table showing the amounts of the guaranteed installments; (g) Tables of options and values. A statement of the mortality table and interest rate used in calculating the cash surrender values and the paid-up nonforfeiture benefits available under the policy, together with a table showing the cash surrender value, if any, and paid-up nonforfeiture benefits, if any, available under the policy on each policy anniversary, either during the first twenty (20) policy years or during the term of the policy, whichever is shorter, such values and benefits to be calculated upon the assumption that there are no dividends or paid-up

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additions credited to the policy and that there is no indebtedness to the insurer on the policy; (h) Reinstatement. A provision that unless the policy has been surrendered for its cash surrender value or its cash surrender value has been exhausted, or unless the paid-up term insurance, if any, has expired, the policy will be reinstated at any time within three years from the date of premium default upon written application therefor, the production of evidence of insurability satisfactory to the insurer, the payment of all premiums in arrears, and the payment or reinstatement of any other indebtedness to the insurer upon the policy all with interest not exceeding six (6%) percent per annum compounded annually; (i) Title. On each such policy there shall be placed a title which shall briefly and accurately describe the nature and form of the policy; (j) Payment of premiums. A provision relative to the payment of premiums; (k) Payment of claims. A provision that when a policy shall become a claim by the death of the insured settlement shall be made upon receipt of due proof of death and, at the insurer's option surrender of the policy and/or proof of the interest of the claimant. If an insurer shall specify a particular period prior to the expiration of which settlement shall be made, such period shall not exceed two months from the receipt of such proofs; (l) Entire contract. A provision that if any reference is made to the application for insurance or to the constitution, bylaws or rules of the insurer as forming part of or as affecting the policy between the parties there shall be included in or attached to said policy when issued a correct copy of the application signed by the applicant and of the constitution, bylaws and rules referred to. (2) Any of the foregoing provisions or portions thereof not applicable to single premium or term policies shall to

Page 681

that extent not be incorporated therein. This section shall not apply to industrial (except as provided in section 56-2902 (6)), credit or group insurance or to any provision of a life insurance policy, or contract supplemental thereto, relating to disability benefits or to additional benefits in event of death by accident or accidental means. 56-2504. Nonforfeiture provision; life. (1) In the case of policies issued on or after the operative date of this section as defined in subsection (7) no policy of life insurance, except as stated in subsection (6), shall be delivered or issued for delivery in this State unless it shall contain in substance the following provisions, or corresponding provisions which in the opinion of the Commissioner are at least as favorable to the defaulting or surrendering policyholder: (a) That, in the event of default in any premium payment, the insurer will grant, upon proper request not later than sixty (60) days after the due date of the premium in default, a paid-up nonforfeiture benefit on a plan stipulated in the policy, effective as of such due date, of such value as may be hereinafter specified; (b) That, upon surrender of the policy within sixty (60) days after the due date of any premium payment in default after premiums have been paid for at least three full years in the case of ordinary insurance or five full years in the case of industrial insurance, the insurer will pay, in lieu of any paid-up nonforfeiture benefit, a cash surrender value of such amount as may be hereinafter specified; (c) That a specified paid-up nonforfeiture benefit shall become effective as specified in the policy unless the person entitled to make such election elects another available option not later than sixty (60) days after the due date of the premium in default; (d) That, if the policy shall have become paid-up by completion of all premium payments or if it is continued under any paid-up nonforfeiture benefit which became

Page 682

effective on or after the third policy anniversary in the case of ordinary insurance or the fifth policy anniversary in the case of industrial insurance, the insurer will pay, upon surrender of the policy within thirty (30) days after any policy anniversary, a cash surrender value of such amount as may be hereinafter specified; (e) An explanation of the manner in which the cash surrender values and the paid-up nonforfeiture benefits are altered by the existence of any paid-up additions, credited to the policy or any indebtedness to the insurer on the policy; if a detailed statement of the method of computation of the values and benefits shown in the policy is not stated therein, a statement that such method of computation has been filed with the insurance supervisory official of the state in which the policy is delivered; and a statement of the method to be used in calculating the cash surrender value and paid-up nonforfeiture benefit available under the policy on any policy anniversary beyond the last anniversary for which such values and benefits are consecutively shown in the policy. Any of the foregoing provisions or portions thereof not applicable by reason of the plan of insurance may, to the extent inapplicable, be omitted from the policy. The insurer shall reserve the right to defer the payment of any cash surrender value for a period of six months after demand therefor with surrender of the policy. (2) Cash surrender value. Any cash surrender value available under the policy in the event of default in a premium payment due on any policy anniversary, whether or not required by subsection (1) of this section, shall be an amount not less than the excess, if any, of the present value, on such anniversary, of the future guaranteed benefits which would have been provided for by the policy including any existing paid-up additions, if there had been no default, over the sum of; (a) the then present value of the adjusted premiums as defined in subsection (4) of this section, corresponding to premiums which

Page 683

would have fallen due on and after such anniversary; and (b) the amount of any indebtedness to the insurer on account of or secured by the policy. Any cash surrender value available within thirty (30) days after any policy anniversary under any policy paid-up by completion of all premium payments or any policy continued under any paid-up nonforfeiture benefit, whether or not required by such subsection (1), shall be an amount not less than the present value, on such anniversary, of the future guaranteed benefits provided for by the policy including any existing paid-up additions, decreased by any indebtedness to the insurer on account of or secured by the policy. (3) Paid-up nonforfeiture benefit. Any paid-up nonforfeiture benefit available under the policy in the event of default in a premium payment due on any policy anniversary shall be such that its present value as of such anniversary shall be at least equal to the cash surrender value then provided for by the policy or, if none is provided for, that cash surrender value which would have been required by this section in the absence of the condition that premiums shall have been paid for at least a specified period. (4) The adjusted premium. The adjusted premiums for any policy shall be calculated on an annual basis and shall be such uniform percentage of the respective premiums specified in the policy for each policy year, excluding extra premiums on a substandard policy, that the present value, at the date of issue of the policy, of all such adjusted premiums shall be equal to the sum of; (a) the then present value of the future guaranteed benefits provided for by the policy; (b) two (2%) percent of the amount of the insurance if the insurance be uniform in amount, or of the equivalent uniform amount, as hereinafter defined, if the amount of insurance varies with the duration of the policy; (c) forty (40%) percent of the adjusted premium for the first policy year; (d) twenty-five (25%) percent of either the adjusted premium for the first policy year or the adjusted premium for a whole life policy of the same uniform or equivalent uniform amount with uniform premiums for the whole of life issued

Page 684

at the same age for the same amount of insurance, whichever is less; Provided, however, that in applying the percentages specified in subparts (c) and (d) above, no adjusted premium shall be deemed to exceed four (4%) percent of the amount of insurance or uniform amount equivalent thereto. The date of issue of a policy for the purpose of this section shall be the date as of which the rated age of the insured is determined. In the case of a policy providing an amount of insurance varying with the duration of the policy, the equivalent uniform amount thereof for the purpose of this subsection shall be deemed to be the uniform amount of insurance provided by an otherwise similar policy, containing the same endowment benefit or benefits, if any, issued at the same age and for the same term, the amount of which does not vary with duration and the benefits under which have the same present value at the date of issue as the benefits under the policy; Provided, however, that in the case of a policy providing a varying amount of insurance issued on the life of a child under age ten (10), the equivalent uniform amount may be computed as though the amount of insurance provided by the policy prior to the attainment of age ten (10) was the amount provided by such policy at age (10). In the case of a policy which provides pure endowment benefits which are payable without reducing the amount of insurance provided by the policy and which may be applied to provide additional amounts of paid-up life insurance, the equivalent uniform amount thereof shall be determined based on the amounts of insurance which would be effective if all such pure endowment benefits were applied to provide such additional amounts of paid-up life insurance. All adjusted premiums and present values referred to in this section shall for all policies of ordinary insurance be calculated on the basis of the Commissioners' 1958 Standard Ordinary Mortality Table, provided that for any category of ordinary insurance issued on female risks, adjusted premiums and present values may be calculated according to an age not more than three years younger

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than the actual age of the insured. Such calculations for all policies of industrial insurance shall be made on the basis of the 1941 Standard Industrial Mortality Table. All calculations shall be made on the basis of the rate of interest not exceeding three and one-half (3%) percent per annum, specified in the policy for calculating cash surrender values and paid-up nonforfeiture benefits: Provided, however, that in calculating the present value of any paid-up term insurance with accompanying pure endowment, if any, offered as a nonforfeiture benefit, the rates of mortality assumed, in the case of ordinary policies, may not be more than those shown in the Commissioners' 1958 Extended Term Insurance Table, and, in the case of industrial policies, may not be more than one hundred thirty (130%) percent of the rates of mortality according to the 1941 Standard Industrial Mortality Table. Provided, further, that for insurance issued on a substandard basis, the calculation of any such adjusted premiums and present values may be based on such other table of mortality as may be specified by the insurer and approved by the Commissioner. (5) Calculation of values. Any cash surrender value and any paid-up nonforfeiture benefit available under the policy in the event of default in a premium payment due at any time other than on the policy anniversary shall be calculated with allowance for the lapse of time and the payment of fractional premiums beyond the last preceding policy anniversary, except in the case of industrial insurance proportionate increases in value may be calculated on the basis of quarter-year payment. All values referred to in subsections (2), (3), and (4) of this section may be calculated upon the assumption that any death benefit is payable at the end of the policy year of death. The net value of any paid-up additions, other than paid-up term additions, shall be not less than the dividends or coupons used to provide such additions. Notwithstanding the provisions of subsection (2) of this section, additional benefits payable; (a) in the event of death or dismemberment by accident or accidental means; (b) in the event of total and permanent disability; (c) as reversionary annuity or deferred reversionary annuity benefits; (d) as term

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insurance benefits provided by a rider or supplemental policy provision to which, if issued as a separate policy, this section would not apply; and (e) as other policy benefits additional to life insurance and endowment benefits, and premiums for all such additional benefits, shall be disregarded in ascertaining cash surrender values and nonforfeiture benefits required by this section, and no such additional benefits shall be required to be included in any paid-up nonforfeiture benefits. (6) Exceptions. This section shall not apply to any reinsurance, group insurance, pure endowment, annuity or reversionary annuity contract, nor to any term policy of uniform amount, or renewal thereof, of fifteen (15) years or less expiring before age sixty-six (66), for which uniform premiums are payable during the entire term of the policy, nor to any term policy of decreasing amount on which each adjusted premium, calculated as specified in subsection (4) of this section, is less than the adjusted premium so calculated on a term policy of uniform amount issued at the same age and for the same initial amount of insurance for a term which is fifteen (15) years for ages at issue fifty (50) and under and which decreases one year for each year of age at issue beyond fifty (50). (7) After the effective date of this Act any insurer may file with the Commissioner a written notice of its election to comply with the provisions of this section after a specified date before January 1st, 1966 with reference to specified policy forms. After the filing of such notice, then upon such specified date this section shall become operative with respect to such policies and contracts thereafter issued by such insurer. The operative date of this section on all other policies and contracts shall be January 1st, 1966. 56-2505. Exemption of life insurance proceeds from creditors. If a policy of life insurance, whether heretofore or hereafter issued, is effected by any person on his own life, or on another life, in favor of a person other than himself, or except, in cases of transfer with intent to defraud creditors, if a policy of life insurance is assigned

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or in any way made payable to any such person, the lawful beneficiary or assignee thereof, other than the insured or the person so effecting such insurance or executors or administrators of such insured or the person so effecting such insurance, shall be entitled to its proceeds and avails as against the creditors and representatives of the insured and of the person effecting the same, whether or not the right to change the beneficiary shall be reserved or permitted, and whether or not the policy shall be made payable to the person whose life is insured if the beneficiary or assignee shall predecease such person. Subject to the statute of limitations, the amount of any premiums for said insurance paid with intent to defraud creditors, with interest thereon, shall inure to the benefit of creditors from the proceeds of the policy; but the insurer shall be discharged of all liability thereon by payment of its proceeds in accordance with its terms, unless before such payment the insurer shall have received written notice, by or in behalf of a creditor, of a claim to recover for transfer made or premiums paid with intent to defraud creditors, with specifications of the amount claimed. 56-2506. Killer of insured not to receive policy benefits. No person who commits murder or voluntary manslaughter, and no person who conspires with another to commit murder shall receive any benefits from any insurance policy on the life of the deceased even though the person so killing or conspiring be named beneficiary in such an insurance policy. A plea of guilty or a judicial finding of guilt, not reversed or otherwise set aside as to any of such crimes shall be prima facie evidence of guilt in determining rights under this section. All right, interest, estate and proceeds in such an insurance policy shall go to such other heirs of the deceased as may be entitled thereto by the laws of descent and distribution of this State, unless secondary beneficiaries be named in the policy, in which event such secondary beneficiaries shall take. 56-2507. Life insurance policies; prohibited provisions. (1) No policy of life insurance, except as stated in subsection (3), shall be delivered or issued for delivery in

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this State if it contains a provision which excludes or restricts liability for death caused in a certain specified manner or occurring while the insured has a specified status, except that the policy may contain provisions excluding or restricting coverage as specified therein in event of death under any one or more of the following circumstances: (a) Death as a result directly or indirectly of war, declared or undeclared, or of any act or hazard of such war; (b) Death as the result of aviation or any air travel or flight; (c) Death as a result of a specified hazardous occupation or occupations; (d) Death while the insured is a resident outside continental United States and Canada; or (e) Death within two years from the date of issue of the policy as a result of suicide, while sane or insane. (2) A policy which contains any exclusion or restriction pursuant to subsection (1) shall also provide that in the event of death under circumstances to which any such exclusion or restriction is applicable the insurer will pay an amount not less than a reserve determined according to the Commissioners' Reserve Valuation Method upon the basis of the mortality table and interest rate specified in the policy for the calculation of nonforfeiture benefits (or if the policy provides no such benefits, computed according to a mortality table and interest rate determined by the insurer and specified in the policy) with adjustment for indebtedness or dividend credit. (3) This section shall not apply to group life insurance, reinsurance, annuities, or to any provision of a life insurance policy, or contract supplemental thereto, relating to disability benefits or to additional benefits in the event of death by accident or accidental means.

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(4) Nothing contained in this section shall prohibit any provision which in the opinion of the Commissioner is more favorable to the policyholder than a provision permitted by this section. 56-2508. Policy plans prohibited. Except as expressly provided in this section, no life insurance policy shall be issued or delivered in this State, as a part of or in combination with any insurance, endowment or annuity contract, any agreement or plan, additional to the rights, dividends, and benefits arising out of any such insurance, endowment or annuity contract: (1) Which provides for the accumulation of profits over a period of years and for payment of all or any part of such accumulated profits only to members or policyholders of a designated group or class who continue as members or policyholders until the end of a specified period of years; or (2) Which provides that on the death of anyone, other than a beneficiary or a person insured thereunder, the owner or beneficiary of the policy shall receive the payment or granting of anything of value; or (3) Which provides that the whole or any part of the premiums or consideration for the policy, dividends, coupons, reserves, special reserves, lapses or the excess interest therefrom or any funds or money in excess of the normal reserve required to meet the contractual guarantees of the policy, are to be placed or invested in special funds or segregated accounts, and the funds or earnings therefrom divided among those taking the policy, their beneficiaries or assignees; or (4) Which provides for the sale, solicitation, or delivery of any stock or shares of stock in any company, or provides for a benefit certificate, securities or any special advisory board contract, or other contracts or resolutions of similar nature, or provides for policy dividends bearing a stated relationship to dividends on the stock of any

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company, as an inducement to or in connection with the sale or acceptance of such policy. 56-2509. Scope of incontestable clause. A clause in any policy of life insurance providing that such policy shall be incontestable after a specified period shall preclude only a contest of the validity of the policy, and shall not preclude the assertion at any time of defenses based upon provisions in the policy which exclude or restrict coverage, whether or not such restrictions or exclusions are excepted in such clause. 56-2510. Incontestability after reinstatement. A reinstated policy of life insurance or annuity contract may be contested on account of fraud or misrepresentation of facts material to the reinstatement only for the same period following reinstatement and with the same conditions and exceptions as the policy provides with respect to contestability after original issuance. CHAPTER 56-26 ANNUITIES AND PURE ENDOWMENT CONTRACTS. 56-2601. Definitions. 56-2602. Annuity contracts; standard provisions. 56-2603. Exemption of annuity and endowment proceeds from creditors. 56-2604. Scope of incontestable clause. 56-2601. Definitions. As used in this Chapter, the following definitions shall apply: (1) Annuity. An annuity contract is one by which one party in return for a stipulated payment or payments promises to pay periodic installments for a stated certain period of time or for the life or lives of the person or persons specified in the contract, but does not cover the proceeds of life insurance no matter how payable. (2) Reversionary Annuity. A reversionary annuity is an annuity contract under which the person otherwise

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entitled to the proceeds is not to receive any payments unless that person survives another person or persons specified in the contract. (3) Pure Endowment. A pure endowment is a contract under which one party in return for stipulated payment is obligated to pay a fixed sum if and only if the person designated in the contract survives a certain period specified in the contract. 56-2602. Annuity contract; standard provisions. No annuity, reversionary annuity or pure endowment contract, other than group annuities and except as stated in this section, shall be delivered or issued for delivery in this State unless it contains in substance each of the provisions specified in this section or contains provisions which in the opinion of the Commissioner are more favorable to contract holders. Any of such provisions not applicable to single premium annuities or single premium pure endowment contracts shall not, to that extent, be incorporated therein. This section shall not apply to contracts for deferred annuities included in, or upon the lives of beneficiaries under, life insurance policies. (1) Grace period. A provision that there shall be a grace period of not less than thirty (30) days within which any stipulated payment to the insurer falling due after the first may be made during which grace period the contract shall continue in force, but if a claim arises under the contract during the period of grace the amount of such payments may be deducted from any amount payable under the contract in settlement, except that in the case of reversionary annuities, the insurer may at its option provide for an equitable reduction of the amount of the annuity payments in settlement of an overdue or deferred payment in lieu of providing for deduction of such payments from an amount payable upon settlement under the contract. (2) Incontestability. A provision that the contract shall be incontestable after it has been in force for a period of two years from its date of issue during the life of the

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person or of each of the persons upon whose life or lives the contract is made except for nonpayment of stipulated payments to the insurer. Provisions relating to benefits in the event of total and permanent disability and provisions which grant additional insurance specifically against death by accident or accidental means may also be excepted. (3) Entire contract. A provision that if any reference is made to the application for the contract or to the constitution, bylaws or the rules of the insurer as forming part of or as affecting the contract between the parties there shall be included in or attached to said contract when issued a correct copy of the application signed by the applicant and of the constitution, bylaws and rules referred to. (4) Misstatement of age or sex. A provision that if the age or sex of the person or persons upon whose life or lives the contract is made, or of any of them, has been misstated, the amount payable or benefits accruing under the contract shall be such as the stipulated payment or payments to the insurer would have purchased according to the correct age or sex; and that if the insurer shall make or has made any overpayment or overpayments on account of any such misstatement, the amount thereof with interest at the rate to be specified in the contract but not exceeding six (6%) percent per annum, may be charged against the current or next succeeding payment or payments to be made by the insurer under the contract. (5) Dividends. If the contract is participating, there shall be a provision that, beginning not later than the end of the third contract year, the insurer shall annually ascertain and apportion any divisible surplus accruing on the contract. (6) Reinstatement. A provision that the contract may be reinstated at any time within one year from the default in making stipulated payments to the insurer, unless the cash surrender value has been paid, but all overdue stipulated payments and any indebtedness to the insurer on the

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contract shall be paid or reinstated with interest thereon at a rate to be specified in the contract but not exceeding six (6%) percent per annum compounded annually, and in cases where applicable the insurer may also include a requirement of evidence of insurability satisfactory to the insurer. This subsection shall not apply to reversionary annuities. (7) Reversionary annuities; reinstatement. In reversionary annuity contracts there shall be a provision that the contract may be reinstated at any time within three years from the date of default in making stipulated payments to the insurer, upon production of evidence of insurability satisfactory to the insurer, and upon condition that all overdue payments and any indebtedness to the insurer on account of the contract be paid, or, within the limits permitted by the then cash values of the contract, reinstated, with interest as to both payments and indebtedness at a rate to be specified in the contract but not exceeding six (6%) percent per annum compounded annually. 56-2603. Exemption of annuity and endowment proceeds from creditors. If an annuity, reversionary annuity or pure endowment contract, whether heretofore or hereafter issued, shall be effected by any person, based on his own life or on another life, payable to a person other than himself, the lawful beneficiary or assignee thereof, other than the person so effecting such contract or his executors or administrators, shall be entitled to its proceeds and avails against the creditors and representatives of the person effecting such contract, to the same extent and under the same conditions hereinbefore provided with reference to the proceeds and avails of insurance policies in section 56-2505. 56-2604. Scope of incontestable clause. A clause in any annuity contract providing that such contract shall be incontestable after a specified period shall preclude only a contest of the validity of the contract, and shall not preclude the assertion at any time of defenses based upon provisions in the contract which exclude or restrict coverage,

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whether or not such restrictions or exclusions are excepted in such clause. CHAPTER 56-27 GROUP LIFE INSURANCE. 56-2701. Policies must meet group requirements. 56-2702. Limit as to amount. 56-2703. Dependent coverage. 56-2704. Required provisions. 56-2705. Notice of conversion privileges. 56-2706. Exemption of group life insurance proceeds from creditors. 56-2701. Policies must meet group requirements. No policy of group life insurance shall be delivered in this State unless it conforms to one of the following descriptions: (1) Employee groups. A policy issued to an employer, or to the trustees of a fund established by an employer, which employer or trustee shall be deemed the policyholder, to insure employees of the employer for the benefit of persons other than the employer, subject to the following requirements: (a) The employees eligible for insurance under the policy shall be all of the employees of the employer, or all of any class or classes thereof determined by conditions pertaining to their employment. The policy may provide that the term employees shall include the employees of one or more subsidiary corporations, and the employees, individual proprietors, and partners of one or more affiliated corporations, proprietors or partnerships if the business of the employer and of such affiliated corporations, proprietors or partnerships is under common control through stock ownership or contract or otherwise. The policy may provide that the term employees shall include the individual proprietor or partners if the employer is an individual proprietor or a partnership. The policy may provide that the term employees shall include

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retired employees. No individual proprietor or partner shall be eligible for insurance under the policy unless he is actively engaged in and devotes a substantial part of his time to the conduct of the business of the proprietor or partnership. A policy issued to insure the employees of a public body may provide that the term employees shall include elected or appointed officials; (b) The premium for the policy shall be paid by the policyholder either wholly from the employer's funds or funds contributed by him, or partly from such funds and partly from funds contributed by the insured employees, except as provided in section 56-2431. No policy may be issued on which the entire premium is to be derived from funds contributed by the insured employees, except as provided in section 56-2431. A policy on which part of the premium is to be derived from funds contributed by the insured employees may be placed in force only if at least seventy-five (75%) percent of the then eligible employees, excluding any as to whom evidence of individual insurability is not satisfactory to the insurer, elect to make the required contributions. A policy on which no part of the premium is to be derived from funds contributed by the insured employees must insure all eligible employees, or all except any as to whom evidence of individual insurability is not satisfactory to the insurer; (c) The policy must cover at least five employees at date of issue; (d) The amounts of insurance under the policy must be based upon some plan precluding individual selection either by the employees or by the employer or trustee. (2) Debtor groups. A policy issued to a creditor, or to a trustee or agent appointed by two or more creditors, which creditor, trustee or agent, shall be deemed the policyholder, to insure debtors of the creditor, subject to the following requirements: (a) The debtors eligible for insurance under the policy shall be all of the debtors of the creditor whose indebtedness

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is repayable either: (i) in stallments or (ii) in one sum at the end of a period not in excess of eighteen (18) months from the initial date of debt, or all of any class or classes thereof determined by conditions pertaining to the indebtedness or to the purchase giving rise to the indebtedness. The policy may provide that the term debtors shall include the debtors of one or more subsidiary corporations, and the debtors of one or more affiliated corporations, proprietors or partnerships if the business of the policyholder and of such affiliated corporations, proprietors or partnerships is under common control through stock ownership, contract, or otherwise. No debtor shall be eligible unless the indebtedness constitutes an irrevocable obligation to repay which is binding upon him during his lifetime at the time the insurance becomes effective upon his life; (b) The premium for the policy shall be paid by the policyholder, either from the creditor's funds, or from charges collected from the insured debtors, or from both. A policy on which part or all of the premium is to be derived from the collection from the insured debtors of identifiable charges not required of uninsured debtors shall not include, in the class or classes of debtors eligible for insurance, debtors under obligations outstanding at its date of issue without evidence of individual insurability unless at least seventy-five (75%) percent of the then eligible debtors elect to pay the required charges. A policy on which no part of the premium is to be derived from the collection of such identifiable charges must insure all eligible debtors, or all except any as to whom evidence of individual insurability is not satisfactory to the insurer; (c) The policy may be issued only if the policy reserves to the insurer the right to require evidence of individual insurability if less than seventy-five (75%) percent of the new entrants become insured. The policy may exclude from the classes eligible for insurance classes of debtors determined by age; (d) The amount of insurance on the life of any debtor shall at no time exceed the amount owed by him which is

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repayable in installments, or the amount of the unpaid indebtedness, or twenty thousand ($20,000) dollars, whichever is less. Where the indebtedness is repayable in one sum to the creditor, the insurance on the life of any debtor shall in no instance be in effect for a period in excess of eighteen (18) months except that such insurance may be continued for an additional period not exceeding six months in the case of default, extension or recasting of the loan; (e) The insurance shall be payable to the policyholder. Such payment shall reduce or extinguish the unpaid indebtedness of the debtor to the extent of such payment. (f) Agricultural Loans. Notwithstanding the provision of this section, group life insurance in connection with agricultural loans may be written up to the amount of the loan or loan commitment on the nondecreasing or level term plan; however, the amount of insurance on the life of any such debtor shall not on any anniversary date of the insurance exceed the amount then owed by him which is repayable in installments, or the amount of the then unpaid indebtedness, or twenty thousand ($20,000) dollars, whichever is less. (3) Labor union groups. A policy issued to a labor union, which shall be deemed the policyholder, to insure members of such union for the benefit of persons other than the union or any of its officials, representatives or agents, subject to the following requirements: (a) The members eligible for insurance under the policy shall be all of the members of the union, or all of any class or classes thereof determined by conditions pertaining to their employment, or to membership in the union, or both; (b) The premium for the policy shall be paid by the policyholder, either wholly from the union's funds, or partly from such funds and partly from funds contributed by the insured members specifically for their insurance. No policy may be issued on which the entire premium is

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to be derived from funds contributed by the insured members specifically for their insurance. A policy on which part of the premium is to be derived from funds contributed by the insured members specifically for their insurance may be placed in force only if at least seventy-five (75%) percent of the then eligible members, excluding any as to whom evidence of individual insurability is not satisfactory to the insurer, elect to make the required contributions. A policy on which no part of the premium is to be derived from funds contributed by the insured members specifically for their insurance must insure all eligible members, or all except any as to whom evidence of individual insurability is not satisfactory to the insurer; (c) The policy must cover at least twenty-five (25) members at date of issue; (d) The amounts of insurance under the policy must be based upon some plan precluding individual selection either by the members or by the union. (4) Trustee groups. A policy issued to the trustees of a fund established by two or more employers or by one or more labor unions, or by one or more employers and one or more labor unions, which trustees shall be deemed the policyholder, to insure employees of the employers or members of the unions for the benefit of persons other than the employers or the unions, subject to the following requirements: (a) The persons eligible for insurance shall be all of the employees of the employers or all of the members of the unions, or all of any class or classes thereof determined by conditions pertaining to their employment, or to membership in the unions, or to both. The policy may provide that the term employees shall include retired employees, and the individual proprietor or partners if an employer is an individual proprietor or a partnership. No director of a corporate employer shall be eligible for insurance under the policy unless such person is otherwise eligible as a bona fide employee of the corporation by performing services other than the usual duties of a director.

Page 699

No individual proprietor or partner shall be eligible for insurance under the policy unless he is actively engaged in and devotes a substantial part of his time to the conduct of the business of the proprietor or partnership. The policy may provide that the term employees shall include the trustees or their employees, or both, if their duties are principally connected with such trusteeship; (b) The premium for the policy shall be paid by the trustees wholly from funds contributed by the employer or employers of the insured persons, or by the union or unions, or by both, or partly from such funds and partly from funds contributed by the insured persons. No policy may be issued on which the entire premium is to be derived from funds contributed by the insured persons specifically for their insurance. A policy on which part of the premium is to be derived from funds contributed by the insured persons specifically for their insurance may be placed in force only if at least seventy-five (75%) percent of the then eligible persons, excluding any as to whom evidence of insurability is not satisfactory to the insurer, elect to make the required contributions. A policy on which no part of the premium is to be derived from funds contributed by the insured persons specifically for their insurance must insure all eligible persons, or all except any as to whom evidence of individual insurability is not satisfactory to the insurer; (c) The policy must cover at date of issue at least one hundred (100) persons; and if the fund is established by the members of an association of employers the policy may be issued only if: (i) either the participating employers constitute at date of issue at least sixty (60%) percent of those employer members whose employees are not already covered for group life insurance or the total number of persons covered at date of issue exceeds six hundred (600); and (ii) the policy shall not require that, if a participating employer discontinues membership in the association, the insurance of his employees shall cease solely by reason of such discontinuance;

Page 700

(d) The amounts of insurance under the policy must be based upon some plan precluding individual selection either by the insured persons or by the policyholder, employers, or unions. (5) Association groups. The lives of a group of individuals may be insured under a policy issued to an association, which shall be deemed the policyholder, to insure members of such association for the benefit of persons other than the association. The term association as used herein shall mean; (i) an association of governmental or public employees, or (ii) an association of employees of a common employer, or (iii) an organization formed and operated in good faith for purposes other than that of procuring insurance, and composed of members engaged in a common trade, business, or profession. Such a policy shall be subject to the following requirements: (a) The members eligible for insurance under the policy shall be all of the members of the association, or all of any class or classes thereof determined by conditions pertaining to their employment, or to their trade, business or profession, or to their membership in the association, or to any two or more of such conditions. The policy may provide that officers and employees of the association who are bona fide members may be insured under the policy; (b) The policy must cover at least twenty-five (25) members at date of issue or seventy-five (75%) percent of the members eligible for insurance, whichever is the greater; (c) The amounts of insurance under the policy must be based upon some plan precluding individual selection either by the association or by the members; (d) The premium for the policy shall be paid by the policyholder either from the association's own funds, or from charges collected from the insured members specifically for the insurance, or from both.

Page 701

(6) Bank and credit union groups. A bank authorized to do business in the State of Georgia may carry insurance upon its depositors for amounts not to exceed the savings deposit balances of each depositor or two thousand ($2,000) dollars whichever is less, and a credit union organized pursuant to the laws of Georgia or the Federal Credit Union Act may carry insurance upon its members for amounts not to exceed the share and deposit balances of each member or two thousand ($2,000) dollars, whichever is less. Such insurance shall be subject to the requirements of subparts (a), (b), (c) and (d) of subsection (5) above. 56-2702. Limit as to amount. No such policy of group life insurance may be issued to or for an employer or labor union or to or for the trustees of a fund established in whole or in part by an employer or a labor union, or to or for an association which provides term insurance on any person which, together with any other term insurance under any group life insurance policy or policies issued to the employer or employers of such person or to a labor union or labor unions of which such person is a member or to the trustees of a fund or funds established in whole or in part by such employer or employers or such labor union or labor unions, or to an association of which such a person is a member exceeds twenty thousand ($20,000) dollars, unless one hundred fifty (150%) percent of the annual compensation of such person from his employer or employers exceeds twenty thousand ($20,000) dollars, in which event all such term insurance shall not exceed forty thousand ($40,000) dollars or one hundred fifty (150%) percent of such annual compensation, whichever is the lesser, except that a group policy which is issued by the same or another carrier to replace another group policy may provide term insurance not to exceed the amounts provided by the policy which it replaces, or the amounts provided above, whichever are greater. 56-2703. Dependent coverage. Any policy issued pursuant to sections 56-2701 (1), 56-2701 (3) and 56-2701 (4) may be extended to insure the employees or members against loss due to the death of their spouses

Page 702

and minor children, or any class or classes thereof, subject to the following requirements: (1) The premium for the insurance shall be paid by the policyholder, either from the employer's or union's funds or funds contributed by the insured employees or members, or from both. If any part of the premium is to be derived from funds contributed by the insured employees or members, the insurance with respect to spouses and children may be placed in force only if at least seventy-five (75%) percent of the then eligible employees or members, excluding any as to whose family members evidence of insurability is not satisfactory to the insurer, elect to make the required contribution. If no part of the premium is to be derived from funds contributed by the employees or members, all eligible employees or members, excluding any as to whose family members evidence of insurability is not satisfactory to the insurer, must be insured with respect to their spouses and children; (2) The insurance must be based upon some plan precluding individual selection either by the employees or members or by the policyholder, employer or union, and the amount shall not exceed one thousand ($1,000) dollars with respect to any spouse or child; (3) Upon termination of the insurance with respect to the members of the family of any employee or member by reason of the employee's or member's termination of employment, termination of membership in the class or classes eligible for coverage under the policy, or death, the spouse shall be entitled to have issued by the insurer, without evidence of insurability, an individual policy of life insurance without disability or other supplementary benefits, providing application for the individual policy shall be made, and the first premium paid to the insurer, within thirty-one (31) days after such termination, subject to the requirements of subsections (a), (b) and (c) of section 56-2704 (8). If the group policy terminates or is amended so as to terminate the insurance of any class of employees or members and the employee or member is entitled to have issued an individual policy under section

Page 703

56-2704 (9), the spouse shall also be entitled to have issued by the insurer an individual policy, subject to the conditions and limitations provided above. If the spouse dies within the period during which he would have been entitled to have an individual policy issued in accordance with this provision, the amount of life insurance which he would have been entitled to have issued under such individual policy shall be payable as a claim under the group policy, whether or not application for the individual policy or the payment of the first premium therefor has been made; (4) Notwithstanding section 56-2704 (7) only one certificate need be issued for delivery to an insured person if a statement concerning any dependent's coverage is included in such certificate. 56-2704. Required Provisions. No policy or group insurance shall be delivered in this State, unless it contains in substance the following provisions, or provisions which in the opinion of the Commissioner are more favorable to the persons insured, or at least as favorable to the persons insured and more favorable to the policyholder; Provided, however, (i) that provisions (6) to (10) inclusive shall not apply to policies issued to a creditor to insure debtors of such creditor; (ii) that the standard provisions required for individual life insurance policies shall not apply to group insurance policies; and (iii) that if the group life insurance policy is on a plan of insurance other than the term plan, it shall contain a nonforfeiture provision or provisions which in the opinion of the Commissioner is or are equitable to the insured persons and to the policyholder, but nothing herein shall be construed to require that group life insurance policies contain the same nonforfeiture provisions as are required for individual life insurance policies: (1) A provision that the policyholder is entitled to a grace period of not less than thirty-one (31) days for the payment of any premium due except the first, during which grace period the death benefit coverage shall continue in force, unless the policyholder shall have given

Page 704

the insurer written notice of discontinuance in advance of the date of discontinuance and in accordance with the terms of the policy. The policy may provide that the policyholder shall be liable to the insurer for the payment of a pro rata premium for the time the policy was in force during such grace period; (2) A provision that the validity of the policy shall not be contested, except for nonpayment of premiums, after it has been in force for two years from its date of issue; and that no statement made by any person insured under the policy relating to his insurability shall be used in contesting the validity of the insurance with respect to which such statement was made after such insurance has been in force prior to the contest for a period of two years during such person's lifetime nor unless it is contained in a written instrument signed by him; (3) A provision that a copy of the aplication, if any, of the policyholder shall be attached to the policy when issued, that all statements made by the policyholder or by the persons insured shall be deemed representations and not warranties, and that no statement made by any person insured shall be used in any contest unless a copy of the instrument containing the statement is or has been furnished to such person or to his beneficiary; (4) A provision setting forth the conditions, if any, under which the insurer reserves the right to require a person eligible for insurance to furnish evidence of individual insurability satisfactory to the insurer as a condition to part or all of his coverage; (5) A provision specifying an equitable adjustment of premiums or of benefits or of both to be made in the event the age of a person insured has been misstated, such provision to contain a clear statement of the method of adjustment to be used; (6) A provision that any sum becoming due by reason of the death of the person insured shall be payable to the beneficiary designated by the person insured, subject to

Page 705

the provisions of the policy in the event there is no designated beneficiary, living at the death of the person insured, as to all or any part of such sum, and subject to any right reserved by the insurer in the policy and set forth in the certificate to pay at its option a part of such sum not exceeding five hundred ($500) dollars to any person appearing to the insurer to be equitably entitled thereto by reason of having incurred funeral or other expenses incident to the last illness or death of the person insured; (7) A provision that the insurer will issue to the policy-holder for delivery to each person insured an individual certificate setting forth a statement as to the insurance protection to which he is entitled, to whom the insurance benefits are payable, and the rights and conditions set forth in subsections (8), (9) and (10) following; (8) A provision that if the insurance, or any portion of it, on a person covered under the policy other than the child of an employee insured pursuant to section 56-2703 ceases because of termination of employment or of membership in the class or classes eligible for coverage under the policy, such person shall be entitled to have issued to him by the insurer, without evidence of insurability, an individual policy of life insurance without disability or other supplementary benefits; Provided application for the individual policy shall be made, and the first premium paid to the insurer, within thirty-one (31) days after such termination, and; Provided further that: (a) The individual policy shall, at the option of such person be on any one of the forms, except term insurance, then customarily issued by the insurer at the age and for the amount applied for; (b) The individual policy shall be in an amount not in excess of the amount of life insurance which ceases because of such termination, less the amount of any life insurance for which such person is or becomes eligible within thirty-one (31) days after such termination under

Page 706

the same or any other group policy; Provided, that any amount of insurance which shall have matured on or before the date of such termination as an endowment payable to the person insured, whether in one sum or in installments or in the form of an annuity, shall not, for the purposes of this provision, be included in the amount which is considered to cease because of such termination; and (c) The premium on the individual policy shall be at the insurer's then customary rate applicable to the form and amount of the individual policy, to the class of risk to which such person then belongs, and to his age attained on the effective date of the individual policy. (9) A provision that if the group policy terminates or is amended so as to terminate the insurance of any class of insured persons, every person insured thereunder at the date of such termination, other than a child of an employee insured pursuant to section 56-2703, whose insurance terminates and who has been so insured for at least five years prior to such termination date shall be entitled to have issued to him by the insurer an individual policy of life insurance, subject to the same conditions and limitations as are provided by subsection (8) above, except that the group policy may provide that the amount of such individual policy shall not exceed the smaller of (i) the amount of the person's life insurance protection ceasing because of the termination or amendment of the group policy, less the amount of any life insurance for which he is or becomes eligible under any group policy issued or reinstated by the same or antoher insurer within thirty-one (31) days after such termination, and (ii) two thousand ($2,000) dollars; and (10) A provision that if a person insured under the group policy dies during the period within which he would have been entitled to have an individual policy issued to him in accordance with subsections (8) or (9) above and before such an individual policy shall have become effective, the amount of life insurance which he would have been entitled to have issued to him under such individual

Page 707

policy shall be payable as a claim under the group policy, whether or not application for the individual policy or the payment of the first premium therefor has been made. 56-2705. Notice of conversion privileges. If any individual insured under a group insurance policy hereafter delivered in this State becomes entitled under the terms of such policy to have an individual policy of life insurance issued to him without evidence of insurability, subject to making of application and payment of the first premium within the period specified in such policy, and if such individual is not given notice of the existence of such right at least fifteen (15) days prior to the expiration date of such period, then in such event the individual shall have an additional period within which to exercise such right, but nothing herein contained shall be construed to continue any insurance beyond the period provided in such policy. This additional period shall expire fifteen (15) days next after the individual is given such notice but in no event shall such additional period extend beyond sixty (60) days next after the expiration date of the period provided in such policy. Written notice presented to the individual or mailed by the policyholders to the last known address of the individual or mailed by the insurer to the last known address of the individual as furnished by the policyholder shall constitute notice for the purpose of this section. Nothing in this section shall have the effect of extending the time within which a death claim shall be paid under the policy as provided in section 56-2704 (10). Inclusion of a statement of this conversion privilege in the insurance certificate issued to the individual insured shall constitute a notice of conversion privileges to such individual insured as required by this section. 56-2706. Exemption of group life insurance proceeds from creditors. The proceeds and avails of any group life insurance policy shall be free from the claims of creditors and representatives of the insured and of the person effecting the same to the same extent and under the same conditions as provided for in the case of other life insurance policies under section 56-2505. This section

Page 708

shall not apply to group life insurance issued to a creditor covering his debtors to the extent that such proceeds are applied to payment of the obligation for the purpose of which the insurance was issued. CHAPTER 56-28 RESERVED. CHAPTER 56-29 INDUSTRIAL LIFE INSURANCE. 56-2901. Industrial life insurance defined. 56-2902. Required provisions. 56-2903. Provisions of life insurance chapter applicable. 56-2904. Disability benefits permitted. 56-2905. Exemption of industrial life insurance proceeds from creditors. 56-2901. Industrial life insurance defined. Industrial life insurance is that from of insurance under which not more than two thousand ($2,000) dollars on a single life, exclusive of additional benefits in the event of death from accidental means, is payable on any such policy for which the premiums are payable monthly or more frequently, and which bears the words industrial policy or weekly premium policy or words of similar import imprinted on the face of the policy as a part of the descriptive matter. 56-2902. Required provisions. No policy of industrial life insurance shall be delivered or issued for delivery in this State unless it contains in substance the following provisions or contains provisions which in the opinion of the Commissioner are more favorable to policyholders: (1) Grace period. A provision that the insured is entitled to a grace period of four weeks within which the payment of any premiums after the first may be made, except that in policies the premiums for which are payable monthly, the period of grace shall be one month, but not less than thirty (30) days; and that during the period of grace the policy shall continue in full force, but if during

Page 709

the grace period the policy becomes a claim, then any overdue and unpaid premiums may be deducted from any settlement under the policy; (2) Entire contract; statements in application. A provision that the policy shall constitute the entire contract between the parties, or, if a copy of the application is endorsed upon or attached to the policy when issued, a provision that the policy and the application therefor shall constitute the entire contract. If the application is so made a part of the contract, the policy shall also provide that all statements made by the applicant in such application shall, in the absence of fraud, be deemed to be representations and not warranties; (3) Incontestability. A provision that the policy shall be incontestable after it has been in force during the lifetime of the insured for a period of two years from its date of issue except for nonpayment of premiums, and except, at the option of the insurer, as to provisions providing benefits for disability or specifically for death by accident or accidental means; (4) Misstatement of age. (a) A provision that if it is found that the age of the individual insured, or the age of any other individual considered in determining the premium, has been misstated, any amount payable or benefit accruing under the policy shall be such as the premium would have purchased at the correct age or ages; (b) As to overstatement of age the policy may provide, in lieu of the provision required under subsection (a), above, that the insurer will refund any excess of premium collected for the amount of insurance or benefit stated in the policy, as based upon the correct age or ages; (5) Dividends. If a participating policy, a provision that the insurer shall annually ascertain and apportion any divisible surplus accruing on the policy, except that at the option of the insurer such participation may be deferred to the end of the fifth policy year. This provision shall not prohibit the payment of additional dividends on

Page 710

default of payment of premiums or termination of the policy; (6) Nonforfeiture benefits. Provisions for nonforfeiture benefits and cash surrender values as required by section 56-2503 (1) (g) and section 56-2504; (7) Reinstatement. A provision that unless the policy has been surrendered for its cash surrender value or unless the paid-up term insurance, if any, has expired, the policy will be reinstated at any time within two years from the date of premium default upon written application therefor, upon production of evidence of insurability satisfactory to the insurer, the payment of all premiums in arrears, and the payment or reinstatement of any other indebtedness to the insurer upon the policy, all with interest at a rate not exceeding six (6%) percent per annum compounded annually; (8) Payment of claims. A provision that when a policy shall become a claim by the death of the insured, settlement shall be made upon receipt of due proof of death and, at the insurer's option, surrender of the policy and/or proof of the interest of the claimant. If an insurer shall specify a particular period prior to the expiration of which settlement shall be made, such period shall not exceed two months from the receipt of such proofs; (9) Alteration of contract. A provision that no agent shall have the power or authority to waive, change or alter any of the terms or conditions of any policy, except that at the option of the insurer the terms or conditions may be changed by an endorsement or rider signed by a duly authorized officer of the insurer; (10) Beneficiary; facility of payment. (a) Each such policy shall have a space for the name of the beneficiary designated with a reservation of the right to designate or change the beneficiary after the issuance of the policy; (b) The policy may also provide that no designation or change of beneficiary shall be binding on the insurer

Page 711

unless endorsed on the policy by the insurer, and that the insurer may refuse to endorse the name of any proposed beneficiary who does not appear to the insurer to have an insurable interest in the life of the insured. Such a policy may also provide that if the beneficiary designated in the policy does not furnish due proof of death within the period stated in the policy, which shall be not less than thirty (30) days after the death of the insured, or if the beneficiary is the estate of the insured or is a minor, or dies before the insured, or is not legally competent to give a valid release, then the insurer may make payment to any of the insured's relatives by blood or legal adoption or connection by marriage, or to any person appearing to the insurer to be equitably entitled thereto by reason of having been named beneficiary, or by reason of having incurred expense for the maintenance, medical attention or burial of the insured. Such policy may also include a similar provision applicable to any other payment due under the policy; (11) Direct payment of premiums. In the case of weekly premium policies, there may be a provision that upon proper notice to the insurer, while premiums on the policy are not in default beyond the grace period, of the intention to pay future premiums directly to the insurer at its home office or any office designated by the insurer for the purpose, the insurer will, at the end of each period of a year from the due date of the first premium so paid, for which period such premiums are so paid continuously without default beyond the grace period, refund a stated percentage of the premiums in an amount which fairly represents the savings in collection expense; (12) Conversion. There may be a provision in the case of industrial policies granting to the insured, upon proper written request and upon presentation of evidence of insurability satisfactory to the insurer, the privilege of converting any industrial insurance policy to any form of life insurance with less frequent premium payments regularly issued by the insurer, in accordance with terms and conditions agreed upon with the insurer. The privilege of making such conversion need be granted only if

Page 712

the insurer's industrial policies on the life insured, in force as premium paying insurance and on which conversion is requested, grant benefits in event of death, exclusive of additional accidental death benefits and exclusive of any dividend additions, in an amount not less than the minimum amount of such insurance with less frequent premium payments issued by the insurer at the age of the insured on the plan of industrial or ordinary insurance desired; and (13) Title. There shall be a title on the face of each such policy briefly describing its form. (14) Prohibited provisions. No policy of industrial life insurance shall contain any of the following provisions: (a) A provision by which the insurer may deny liability under the policy for the reason that the insured has previously obtained other insurance from the same insurer. (b) A provision giving the insurer the right to declare the policy void because the insured has had any disease, or ailment, whether specified or not, or because the insured has received institutional, hospital, medical or surgical treatment or attention, except a provision which gives the insurer the right to declare the policy void if the insured has, within two years prior to the issuance of the policy, received institutional, hospital, medical or surgical treatment or attention and if the insured or claimant under the policy fails to show that the condition occasioning such treatment or attention was not of a serious nature or was not material to the risk, and except a provision that the policy shall not become effective if on the date of the application for the policy the insured had knowledge that he was afflicted with any serious disease tending to shorten life, which fact was not shown on the application for the policy. (c) A provision giving the insurer the right to declare the policy void because the insured has been rejected for insurance, unless such right be conditioned upon a showing

Page 713

by the insurer that knowledge of such rejection would have led to a refusal by the insurer to make such contract. (15) Any of such required provisions or portions thereof not applicable to single premium or term policies or to provisions relating to disability benefits or to additional benefits in the event of death or dismemberment by accidental means shall to that extent not be incorporated therein. 56-2903. Provisions of life insurance Chapter applicable. In addition to the requirements specifically set forth in this Chapter, no policy of industrial life insurance shall be delivered or issued for delivery in this State unless it complies with sections 56-2507, 56-2508, 56-2509, and 56-2510. 56-2904. Disability benefits permitted. Any policy of industrial life insurance may provide a weekly benefit for disability, caused by sickness or accident, not greater than forty ($40.00) dollars per week. 56-2905. Exemption of industrial life insurance proceeds from creditors. The proceeds and avails of any industrial life insurance policy shall be free from the claims of creditors and representatives of the insured and of the person effecting the same to the same extent and under the same conditions as provided for in the case of other life insurance policies under section 56-2505. CHAPTER 56-30 INDIVIDUAL ACCIDENT AND SICKNESS INSURANCE. 56-3001. Definition of accident and sickness insurance policy. 56-3002. Scope and format of policy. 56-3003. Age limit. 56-3004. Required policy provisions. 56-3005. Optional policy provisions. 56-3006. Renewability.

Page 714

56-3007. Refund upon examination. 56-3008. Outline of coverage. 56-3009. Renewal premiums. 56-3010. Reference to noncancellable nature or renewability option. 56-3011. Order of certain provisions. 56-3012. Third party ownership. 56-3013. Requirements of other jurisdictions. 56-3014. Conforming to statute. 56-3015. Exemption of individual accident and sickness insurance proceeds from creditors. 56-3016. Medical or surgical policies. 56-3017. Compliance by rider or endorsement. 56-3018. Franchise accident and sickness insurance. 56-3001. Definition of accident and sickness insurance policy. The term accident and sickness policy as used in this Chapter includes any policy insuring against loss resulting from sickness, or from bodily injury or death by accident, or both, or any contract to furnish ambulance service in the future. Nothing in this Chapter shall apply to or affect: (1) Any policy of workmen's compensation insurance or any policy of workmen's insurance or any policy of liability insurance with or without supplementary expense coverage thereon; or (2) Any policy or contract of reinsurance; or (3) Any policy, the renewal of which is subject to continuation of employment with a specified employer, or any blanket or group policy of insurance, or any policy issued pursuant to the exercise of conversion privileges provided for in group insurance policies; or (4) Life insurance, endowment or annuity contracts, or contracts supplemental thereto which contain only such provisions relating to accident and sickness insurance as: (a) provide additional benefits in case of death or dismemberment or loss of sight by accident; or as (b) operate to safeguard such contracts against lapse, or to

Page 715

give a special surrender value or special benefit or an annuity in the event that the insured or annuitant shall become totally and permanently disabled, as defined by the contract or supplemental contract; or (5) Companies, organizations or associations provided for in Chapters 56-17 and 56-18; or to any policy of accident, sickness or hospitalization insurance issued prior to the effective date of this Act. 56-3002. Scope and format of policy. No policy of accident and sickness insurance shall be delivered or issued for delivery in this State unless it meets the following requirements: (1) The entire money and other considerations therefor are expressed therein; (2) The time at which the insurance takes effect and terminates is expressed therein; (3) It purports to insure only one person, except that a policy may insure, originally or by subsequent amendment upon the application of an adult member of a family who shall be deemed the policyholder, any two or more eligible members of that family, including husband, wife, dependent children or any children under a specified age which shall not exceed nineteen (19) years and any other person dependent upon the policyholder; (4) The style, arrangement and over-all appearance of the policy given no undue prominence to any portion of the text, and every printed portion of the text of the policy and of any endorsements or attached papers is plainly printed in light-faced type of a style in general use, the size of which shall be uniform and not less than ten-point with a lower case unspaced alphabet length not less than one hundred and twenty point (the text shall include all printed matter except the name and address of the insurer, name or title of the policy, the brief description, if any, and captions and subcaptions), when a policy is renewable only at the option of the insurer, such

Page 716

fact shall be made known in prominent lettering on the face of the policy; (5) The exceptions and reductions of indemnity are set forth in the policy and, except those which are set forth in sections 56-3004 and 56-3005, are printed, at the insurer's option, either included with the benefit provisions to which they apply, or under an appropriate caption such as exceptions, or exceptions and reductions: Provided, that if an exception or reduction specifically applies only to a particular benefit of the policy, a statement of such exception or reduction shall be included with the benefit provision to which it applies; (6) Each such form, including riders and endorsements, shall be identified by a form number in the lower lefthand corner of the first page thereof; and (7) It contains no provision purporting to make any portion of the charter, rules, constitution, or bylaws of the insurer a part of the policy unless such portion is set forth in full in the policy, except in the case of the incorporation of, or reference to, a statement of rates or classification of risks, or short-rate table filed with the Commissioner. 56-3003. Age limit. If any accident and sickness policy delivered or issued for delivery in this State contains a provision establishing as an age limit or otherwise, a date after which the coverage provided by the policy will not be effective, and if such date falls within a period for which premium is accepted by the insurer or if the insurer accepts a premium after such date, the coverage provided by the policy will continue in force until the end of the period for which premium has been accepted. In the event the age of the insured has been misstated and if, according to the correct age of the insured, the coverage provided by the policy would not have become effective, or would have ceased prior to the acceptance of such premium or premiums, then the liability of the insurer shall be limited to the refund, upon request, of all premiums paid for the period not covered by the policy.

Page 717

56-3004. Required policy provisions. Each accident and sickness policy delivered or issued for delivery in this State shall contain the provisions specified in this section in the words in which the same appear in this section, except that the insurer may, at its option, substitute for one or more of such provisions corresponding provisions of different wording approved by the Commissioner which are in each instance not less favorable in any respect to the insured or the beneficiary. Such provisions shall be preceded individually by the caption appearing in this section, or, at the option of the insurer, by such appropriate individual or group captions or subcaptions as the Commissioner may approve. If any such provision is in whole or in part inapplicable to or inconsistent with the coverage provided by a particular form of policy, the insurer, with the approval of the Commissioner, shall omit from such policy any inapplicable provision or part of a provision, and shall modify any inconsistent provision or part of a provision in such manner as to make the provision as contained in the policy consistent with the coverage provided by the policy. (1) Entire contract; changes. This policy including the endorsements and the attached papers, if any, constitutes the entire contract of insurance. No change in this policy shall be valid until approved by an executive officer of the insurer and unless such approval be endorsed hereon or attached hereto. No agent has authority to change this policy or to waive any of its provisions. (2) Time limit on certain defenses. (a) After two years from the date of issue of this policy no misstatements made by the applicant in the application for such policy shall be used to void the policy or to deny a claim for loss incurred or disability (as defined in the policy) commencing after the expiration of such two year period. (The foregoing policy provision shall not be so construed as to affect any legal requirements for avoidance of a policy or denial of a claim during such initial two year period, nor to limit the application of subsections (1), (2), (3), (4) and (5) of section 56-3005 in the event

Page 718

of misstatement with respect to age or occupation or other insurance.) (A policy which the insurer has the right to continue in force subject to its terms by the timely payment of premium: (i) until at least sixty (60); or (ii) in the case of a policy issued after age fifty-four (54), for at least five years from its date of issue, may contain in lieu of the foregoing the following provision (from which the clause in brackets may be omitted at the insurer's option) under the caption incontestable: After this policy has been in force for a period of two years during the lifetime of the insured [excluding any period during which the insured is disabled] it shall become incontestable as to the statements contained in the application.) (b) No claim for loss incurred or disability (as defined in the policy) commencing after two years from the date of issue of this policy shall be reduced or denied on the ground that a disease or physical condition not excluded from coverage by name or specific description effective on the date of loss had existed prior to the effective date of coverage of this policy. (3) Grace period. A grace period of.....days will be granted for the payment of each premium falling due after the first premium, during which grace period the policy shall continue in force. The insurer shall insert in the blank space a number not less than 7 for weekly premium policies, 10 for monthly premium policies and 30 for all other policies. A policy in which the insurer reserves the right to refuse renewal shall have at the beginning of the above provision: unless not less than thirty (30) days prior to the premium due date the insurer has delivered to the insured or has mailed to his last address as shown by the records of the insurer written notice of its intention not to renew this policy beyond the period for which the premium has been accepted... (4) Reinstatement. If any renewal premium be not

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paid within the time granted the insured for payment, a subsequent acceptance of any premium by the insurer or by any agent duly authorized by the insurer to accept such premium, without requiring in connection therewith an application for reinstatement, shall reinstate the policy: Provided, however, that if the insurer or such agent requires an application for reinstatement and issues a conditional receipt for the premium tendered, the policy will be reinstated upon approval of such application by the insurer, or lacking such approval, upon the forty-fifth (45) day following the date of such conditional receipt unless the insurer has previously notified the insured in writing of its disapproval of such application. The reinstated policy shall cover only loss resulting from such accidental injury as may be sustained after the date of reinstatement and loss due to such sickness as may begin more than ten (10) days after such date. In all other respects the insured and insurer shall have the same rights thereunder as they had under the policy immediately before the due date of the defaulted premium, subject to any provisions endorsed hereon or attached hereto in connection with the reinstatement. Any premium accepted in connection with a reinstatement shall be applied to a period for which premium has not been previously paid, but not to any period more than sixty (60) days prior to the date of reinstatement. The last sentence of the above provision may be omitted from any policy which the insured has the right to continue in force subject to its terms by the timely payment of premiums (i) until at least age sixty (60), or (ii) in the case of a policy issued after age fifty-four (54), for at least five years from its date of issue. (5) Notice of claim. Written notice of claim must be given to the insurer within twenty (20) days after the occurrence or commencement of any loss covered by the policy, or as soon thereafter as is reasonably possible. Notice given by or on behalf of the insured or the beneficiary to the insurer at.....(insert the location of such office as the insurer may designate for the purpose), or to any authorized agent of the

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insurer, with information sufficient to identify the insured, shall be deemed notice to the insurer. In a policy providing a loss-of-time benefit which may be payable for at least two years, an insurer may at its option insert the following between the first and second sentences of the above provision: Subject to the qualifications set forth below, if the insured suffers loss of time on account of disability for which indemnity may be payable for at least two years, he shall at least once in every six months after having given notice of claim give to the insurer notice of continuance of said disability, except in the event of legal incapacity. The period of six months following any filing of proof by the insured or any payment by the insurer on account of such claim or any denial of liability in whole or in part by the insurer shall be excluded in applying this provision. Delay in the giving of such notice shall not impair the insured's right to any indemnity which would otherwise have accured during the period of six months preceding the date on which such notice is actually given. (6) Claim forms. The insurer, upon receipt of a notice of claim, will furnish to the claimant such forms as are usually furnished by it for filing proofs of loss. If such forms are not furnished within fifteen (15) days after the giving of such notice the claimant shall be deemed to have complied with the requirements of this policy as to proof of loss upon submitting, within the time fixed in the policy for filing proofs of loss, written proof covering the occurrence, the character and the extent of the loss for which claim is made. (7) Proofs of loss. Written proof of loss must be furnished to the insurer at its said office in case of claim for loss for which this policy provides any periodic payment contingent upon continuing loss within ninety (90) days after the termination of the period for which the insurer is liable and in case of claim for any other loss within ninety (90) days after the date of such loss. Failure to furnish such proof within the time required shall not invalidate

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nor reduce any claim if it was not reasonably possible to give proof within such time, provided such proof is furnished as soon as reasonably possible and in no event, except in the absence of legal capacity, later than one year from the time proof is otherwise required. (8) Time of payment of claims. Indemnities payable under this policy for any loss other than loss for which this policy provides any periodic payment will be paid immediately upon receipt of due written proof of such loss. Subject to due written proof of loss, all accured indemnities for loss for which this policy provides periodic payment will be paid.....(insert period for payment which must not be less frequently than monthly) and any balance remaining unpaid upon the termination of liability will be paid immediately upon receipt of due written proof. (9) Payment of claims. Indemnity for loss of life will be payable in accordance with the beneficiary designation and the provisions respecting such payment which may be prescribed herein and effective at the time of payment. If no such designation or provision is then effective, such indemnity shall be payable to the estate of the insured. Any other accured indemnities unpaid at the insured's death may, at the option of the insurer, be paid either to such beneficiary or to such estate. All other indemnities will be payable to the insured. The following provisions, or either of them, may be included with the foregoing provisions at the option of the insurer: If any indemnity of this policy shall be payable to the estate of the insured, or to an insured or beneficiary who is a minor or otherwise not competent to give a valid release, the insurer may pay such indemnity, up to an amount not exceeding $.....(insert an amount which shall not exceed one thousand ($1,000) dollars), to any relative by blood or connection by marriage of the insured or beneficiary who is deemed by the insurer to be equitably entitled thereto. Any payment made by the

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insurer in good faith pursuant to this provision shall fully discharge the insurer to the extent of such payment. Subject to any written direction of the insured in the application or otherwise all or a portion of any indemnities provided by this policy on account of hospital, nursing, medical services, may at the insurer's option and unless the insured requests otherwise in writing not later than the time of filing proofs of such loss, be paid directly to the hospital or person rendering such services; but it is not required that the service be rendered by a particular hospital or person. (10) Physical examinations and autopsy. The insurer at its own expense shall have the right and opportunity to examine the person of the insured when and as often as it may reasonably require during the pendency of a claim hereunder and to make an autopsy in case of death where it is not forbidden by law. (11) Legal action. No action at law or in equity shall be brought to recover on this policy prior to the expiration of sixty (60) days after written proof of loss has been furnished in accordance with the requirements of this policy. No such action shall be brought after the expiration of three years after the time written proof of loss is required to be furnished. (12) Change of beneficiary. Unless the insured makes an irrevocable designation of beneficiary, the right to change of beneficiary is reserved to the insured and the consent of the beneficiary or beneficiaries shall not be requisite to surrender or assignment of this policy or to any change of beneficiary or beneficiaries, or to any other changes in this policy. The first clause of this provision, relating to the irrevocable designation of beneficiary, may be omitted at the insurer's option. 56-3005. Optional policy provisions. No accident and sickness policy delivered or issued for delivery in this

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State shall contain provisions respecting the matters set forth in this section unless such provisions are in the words in which the same appear in this section, except that the insurer may, at its option, use in lieu of any such provision a corresponding provision of different wording approved by the Commissioner which is not less favorable in any respect to the insured or the beneficiary. Any such provision contained in the policy shall be preceded individually by the appropriate caption appearing in this section or, at the option of the insurer, by such appropriate individual or group captions or subcaptions as the Commissioner may approve. If any such provision is in whole or in part inapplicable to or inconsistent with the coverage provided by a particular form of policy, the insurer, with the approval of the Commissioner, shall omit from such policy any inapplicable provision or part of a provision, and shall modify any inconsistent provision or part of a provision in such a manner as to make the provision as contained in the policy consistent with the coverage provided by the policy. (1) Change of occupation. If the insured be injured or contract sickness after having changed his occupation to one classified by the insurer as more hazardous than that stated in this policy or while doing for compensation anything pertaining to an occupation so classified, the insurer will pay only such portion of the indemnities provided in this policy as the premium paid would have purchased at the rates and within the limits fixed by the insurer for such more hazardous occupation. If the insured changes his occupation to one classified by the insurer as less hazardous than that stated in this policy, the insurer, upon receipt of proof of such change of occupation, will reduce the premium rate accordingly, and will return the excess pro rata unearned premium from the date of change of occupation or from the policy anniversary date immediately preceding receipt of such proof, whichever is the more recent. In applying this provision, the classification of occupational risk and the premium rates shall be such as have been last filed by the insurer prior to the occurrence of the loss for which the insurer is liable or prior to

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date of proof of change in occupation with the State official having supervision of insurance in the state where the insured resided at the time this policy was issued; but if such filing was not required, then the classification of occupational risk and the premium rates shall be those last made effective by the insurer in such state prior to the occurrence of the loss or prior to the date of proof of change in occupation. (2) Misstatement of age. If the age of the insured has been misstated, all amounts payable under this policy shall be such as the premium paid would have purchased at the correct age. (3) Other insurance in this insurer. If an accident or sickness or accident and sickness policy or policies previously issued by the insurer to the insured be in force concurrently herewith, making the aggregate indemnity for.....(insert type of coverage or coverages) in excess of $.....(insert maximum limit of indemnity or indemnities) the excess insurance shall be void and all premiums paid for such excess shall be returned to the insured or to his estate. or, in lieu thereof: Insurance effective at any one time on the insured under a like policy or policies in this insurer is limited to the one such policy elected by the insured, his beneficiary or his estate, as the case may be, and the insurer will return all premiums paid for all other such policies. (4) Insurance with other insurers. If there be other valid coverage, not with this insurer, providing benefits for the same loss on a provision of service basis or on an expense incurred basis and of which this insurer has not been given written notice prior to the occurrence or commencement of loss, the only liability under any expense incurred coverage of this policy shall be for such proportion of the loss as the amount which would otherwise have been payable hereunder plus the total of the like amounts under all such other valid coverages for the same loss of which this insurer had notice bears to the total

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like amounts under all valid coverages for such loss, and for the return of such portion of the premiums paid as shall exceed the pro rata portion for the amount so determined. For the purpose of applying this provision when other coverage is on a provision of service basis, the like amount of such other coverage shall be taken as the amount which the services rendered would have cost in the absence of such coverage. If the foregoing policy provision is included in a policy which also contains the policy provision set out in subsection (5) of this section there shall be added to the caption of the foregoing provision the phrase expense incurred benefits. The insurer may, at its option, include in this provision a definition of other valid coverage, approved as to form by the Commissioner, which definition shall be limited in subject matter to coverage provided by organizations subject to regulation by insurance law or by insurance authorities of this or any other State of the United States or any province of Canada, and by hospital or medical service organizations, and to any other coverage the inclusion of which may be approved by the Commissioner. In the absence of such definition such term shall not include group insurance, automobile medical payments insurance, or coverage provided by hospital or medical service organizations or by union welfare plans or employer or employee benefit organizations. For the purpose of applying the foregoing policy provision with respect to any insured, any amount of benefit provided for such insured pursuant to any compulsory benefit statute (including any workmen's compensation or employer's liability statute) whether provided by a governmental agency or otherwise shall in all cases be deemed to be other valid coverage of which the insurer has had notice. In applying the foregoing policy provision no third party liability coverage shall be included as other valid coverage. (5) Insurance with other insurers. If there be other valid coverage, not with this insurer, providing benefits for the same loss on other than an expense incurred basis and of which this insurer has not been given written

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notice prior to the occurrence or commencement of loss, the only liability for such benefits under this policy shall be for such proportion of the indemnities otherwise provided hereunder for such loss as the like indemnities of which the insurer had notice (including the indemnities under this policy) bear to the total amount of all like indemnities for such loss, and for the return of such portion of the premium paid as shall exceed the pro rata portion for the indemnities thus determined. If the foregoing policy provision is included in a policy which also contains the policy provision set out in subsection (4) of this section, there shall be added to the caption of the foregoing provision the phrase other benefits. The insurer may, at its option, include in this provision a definition of other valid coverage, approved as to form by the Commissioner, which definition shall be limited in subject matter to coverage provided by organizations subject to regulation by insurance authorities of this or any other State of the United States or any province of Canada, and to any other coverage the inclusion of which may be approved by the Commissioner. In the absence of such definition such term shall not include group insurance, or benefits provided by union welfare plans or by employer or employee benefit organizations. For the purpose of applying the foregoing policy provision with respect to any insured, any amount of benefit provided for such insured pursuant to any compulsory benefit statute (including any workmen's compensation or employer's liability statute) whether provided by a governmental agency or otherwise shall in all cases be deemed to be other valid coverage of which the insurer has had notice. In applying the foregoing policy provision no third party liability coverage shall be included as other valid coverage. (6) Relation of earnings to insurance. If the total monthly amount of loss of time benefits promised for the same loss under all valid loss of time coverage upon the insured, whether payable on a weekly or monthly basis, shall exceed the monthly earnings of the insured at the time disability commenced or his average monthly earnings

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for the period of two years immediately preceding a disability for which claim is made, whichever is the greater, the insurer will be liable only for such proportionate amount of such benefits under this policy as the amount of such monthly earnings or such average monthly earnings of the insured bears to the total amount of monthly benefits for the same loss under all such coverage upon the insured at the time such disability commences and for the return of such part of the premiums paid during such two years as shall exceed the pro rata amount of the premiums for the benefits actually paid hereunder; but this shall not operate to reduce the total monthly amount of benefits payable under all such coverage upon the insured below the sum of two hundred ($200.00) dollars or the sum of the monthly benefits specified in such coverages, whichever is the lesser, nor shall it operate to reduce benefits other than those payable for loss of time. The foregoing policy provision may be inserted only in a policy which the insured has the right to continue in force subject to its terms by the timely payment of premiums; (i) until at least age sixty (60) or; (ii) in the case of a policy issued after age fifty-four (54), for at least five years from its date of issue. The insurer may, at its option, include in this provision a definition of valid loss of time coverage, approved as to form by the Commissioner, which definition shall be limited in subject matter to coverage provided by governmental agencies or by organizations subject to regulation by insurance law or by insurance authorities of this or any other State of the United States or any province of Canada, or to any other coverage the inclusion of which may be approved by the Commissioner or any combination of such coverages. In the absence of such definition such term shall not include any coverage provided for such insured pursuant to any compulsory benefit statute (including any workmen's compensation or employer's liability statute), or benefits provided by union welfare plans or by employer or employee benefit organizations. (7) Unpaid premium. Upon the payment of a claim

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under this policy, any premiums then due and unpaid or covered by any note or written order may be deducted therefrom. (8) Return of premium on cancellation. If the insured cancels this policy, the earned premium shall be computed by the use of the short-rate table last filed with the state official having supervision of insurance in the state where the insured resided when the policy was issued. Cancellation shall be without prejudice to any claim originating prior to the effective date of cancellation. (9) Conformity with state statutes. Any provision of this policy which, on its effective date, is in conflict with the statutes of the state, District of Columbia or territory in which the insured resides on such date is hereby amended to conform to the minimum requirements of such statutes. (10) Illegal occupation. The insurer shall not be liable for any loss to which a contributing cause was the insured's commission of or attempt to commit a felony or to which a contributing cause was the insured's being engaged in an illegal occupation. (11) Intoxicants and narcotics. The insurer shall not be liable for any loss sustained or contracted in consequence of the insured being intoxicated or under the influence of any narcotic unless administered on the advice of a physician. (12) Cancellation of travel accident policies. As respects only travel accident insurance policies the following optional provisions may be inserted in the policy: The insurer reserves the right to cancel this policy under the provisions set forth in section 56-2430 of the Georgia Insurance Code. 56-3006. Renewability. Each policy, covered by this Chapter, except accident insurance only policies, in which the insurer reserves the right to refuse renewal on an individual basis shall provide, in substance, in a provision

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thereof (entitled renewability), that subject to the right to terminate the policy upon nonpayment of premiums when due, such right to refuse renewal shall not be exercised before the renewal date occurring on, or after and nearest, each anniversary or in the case of lapse and reinstatement at the renewal date occurring on, or after and nearest, each anniversary of the last reinstatement and that any refusal or renewal shall be without prejudice to any claim originating while the policy is in force. The insurer shall not amend or endorse the policy prior to the anniversary date in a manner tending to restrict or lower the benefits, add exclusions, or increase the premium. 56-3007. Refund upon examination. Every individual accident and sickness policy or contract, except single premium nonrenewable policies or contracts, issued for delivery in this State on or after the effective date of this Act by an insurer shall have printed thereon or attached thereto a notice stating in substance that the person to whom the policy or contract is issued shall be permitted to return the policy or contract within ten (10) days of its delivery to said purchaser and to have the premium paid refunded if, after examination of the policy or contract, the purchaser is not satisfied with it for any reason. If the insured or purchaser pursuant to such notice, returns the policy or contract to the insurer at its home or branch office or to the agent through whom it was purchased, it shall be void from the beginning and the parties shall be in the same position as if no policy or contract had been issued. 56-3008. Outline of coverage. Every insurer shall furnish to any applicant for accident and sickness insurance in this State a written outline showing the major coverage of the policy applied for, the major exclusions of the policy applied for, the renewal provisions of the policy applied for, and a reference to the policy as respects further provisions. Such written outline shall be given to the applicant at the time of signing the application for such policy and the forms of such outlines shall be subject to the same requirements for filing and approval as are set

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forth for the filing and approval of policy forms as required in sections 56-2410 and 56-2411. 56-3009. Renewal premiums. Every insurer delivering or issuing for delivery in this State policies of accident and sickness insurance which are renewable at the option of the insurer or cancellable at the option of the insurer shall not decline to accept timely payments of renewal premiums thereon or exercise their optional right to cancel unless such insurer shall tender to the premium payor seventy-five (75%) percent of the difference between the monies paid and the payments received in cases where the amount of premiums exceed the amount of payments received. The requirements of this section shall not apply to cancellation of such policies or refusal to accept renewal premiums for such policies when the insured reaches the age limit set forth in the policy or in the insurer's schedule of premium rates which shall be filed with the Commissioner, such age limit in any event to be not less than age sixty (60); nor, in the case of accident and sickness policies only, shall this section apply to cancellation or refusal to accept renewal premiums because of change in occupation of the insured to an occupation generally classified by the insurer as to all applicants as uninsurable. 56-3010. Reference to noncancellable nature or renewability option. No policy of accident or sickness insurance shall refer to its noncancellable nature without at the same time disclosing all options the insurer may have in regard to renewability, and the guaranteed renewable nature of any such policy shall not be referred to unless the reference at the same time discloses the qualifications on the guarantee of renewability (including any age limits, any right to change premium rates by class, any aggregate provisions, and any other limitations on the right to renewal) in a manner which shall not minimize or render obscure the qualifying conditions. 56-3011. Order of certain provisions. The provisions which are the subject of sections 56-3004 and 56-3005 or any corresponding provisions which are used in lieu

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thereof in accordance with such sections, shall be printed in consecutive order of the provisions in such sections or, at the option of the insurer, any such provisions may appear as a unit in any part of the policy, with other provisions to which it may be logically related, provided the resulting policy shall not be in whole or in part unintelligible, uncertain, ambiguous, abstruse, or likely to mislead a person to whom the policy is offered, delivered or issued. 56-3012. Third party ownership. The word insured as used in this Chapter, shall not be construed as preventing a person other than the insured with a proper insurable interest from making application for and owning a policy covering the insured or from being entitled under such policy to any indemnities, benefits and rights provided therein. 56-3013. Requirements of other jurisdictions. (1) Any policy of a foreign or alien insurer, when delivered or issued for delivery to any person in this State, may contain any provision which is not less favorable to the insured or the beneficiary than the provisions of this Chapter and which is prescribed or required by the law of the state under which the insurer is organized. (2) Any policy of a domestic insurer may, when issued for delivery in any other state or country, contain any provision permitted or required by the laws of such other state or country. 56-3014. Conforming to statute.(1) No policy provision which is not subject to this Chapter shall make a policy, or any portion thereof, less favorable in any respect to the insured or the beneficiary than the provisions thereof which are subject to this Chapter. (2) A policy delivered or issued for delivery to any person in this State in violation of this Chapter shall be held valid but shall be construed as provided in this Chapter. When any provision in a policy subject to this Chapter is in conflict with any provision of this Chapter, the

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rights, duties, and obligations of the insurer, the insured and the beneficiary shall be governed by the provisions of this Chapter. 56-3015. Exemption of individual accident and sickness insurance proceeds from creditors. The proceeds or avails of all accident and sickness policies and of provisions providing benefits on account of the insured's disability which are supplemental to life insurance or annuity contract, except credit accident and sickness and credit life policies, shall be exempt from all liability for any debt of the insured, and from any debt of the beneficiary existing at the time the proceeds are made available for his use. The exemption of income benefits payable as the result of disability shall not exceed an average of two hundred and fifty ($250.00) dollars of such benefits per month of the period of disability. 56-3016. Medical or surgical policies. The benefits on account of medical or surgical services provided by an individual policy of accident and sickness insurance issued after the effective date of this Act may be limited by its terms to services performed by specifically defined professions; Provided, that in the absence of such definitions the term physician or surgeon, as used in such a policy shall not be deemed limited solely to medical practitioners licensed under Code Chapter 84-9. 56-3017. Compliance by rider or endorsement. The requirements of this Chapter may be complied with by the insurer, by attaching to the policy such rider or endorsement as may be necessary for the purpose. 56-3018. Franchise accident and sickness insurance. Accident and sickness insurance on a franchise plan is hereby declared to be that for of accident and sickness insurance issued to: (1) Four or more employees of any corporation, co-partnership, or individual employer or any governmental corporation, agency or department thereof; or

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(2) Ten (10) or more members, employees or employees of members of any trade or professional association or of a labor union or of any other association having had an active existence for at least two years where such association or union has a constitution or bylaws and is formed in good faith for purposes other than that of obtaining insurance; where such persons, with or without their dependents, are issued the same form of an individual policy varying only as to amounts and kinds of coverage applied for by such persons under an arrangement whereby the premiums on such policies may be paid to the insurer periodically by the employer, with or without payroll deductions, or by the association or union for its members, or by some designated person acting on behalf of such employee or association or union. The term employees as used herein shall be deemed to include the officers, managers and employees and retired employees of the employer and the individual proprietor or partners if the employer is an individual proprietor or partnership. CHAPTER 56-31 GROUP AND BLANKET ACCIDENT AND SICKNESS INSURANCE. 56-3101. Definition; eligible groups. 56-3102. Required provisions of group accident and sickness policies. 56-3103. Direct payment of hospital; medical services. 56-3104. Blanket accident and sickness insurance defined. 56-3105. Required provisions. 56-3106. Application and certificates not required. 56-3107. Insurable interest; facility of payment. 56-3108. Group and blanket accident and sickness policy provisions. 56-3109. Exemption of group and blanket accident and sickness proceeds from creditors. 56-3110. Medical or surgical policies.

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56-3101. Definition; eligible groups. Group accident and sickness insurance is that form of accident and sickness insurance covering groups of persons as defined below, with or without one or more members of their families or one or more of their dependents, or covering one or more members of the families or one or more dependents of persons in such groups, and issued upon the following basis. (1) Under a policy issued to an employer or trustees of a fund established by an employer, who shall be deemed the policyholder, insuring at least five employees of such employer, for the benefit of persons other than the employer. The term employees as used herein shall be deemed to include the officers, managers, and employees of the employer, the individual proprietor or partners if the employer is an individual proprietor or partnership, the officers, managers, and employees of subsidiary or affiliated corporations, the individual proprietors, partners and employees of individuals and firms, if the business of the employer and such individual or firm is under common control through stock ownership, contract or otherwise. The term employees as used herein may include retired employees. A policy issued to insure employees of a public body may provide that the term employees shall include elected or appointed officials; (2) Under a policy issued to an association, including a labor union, which shall have a constitution and bylaws and which has been organized and is maintained in good faith for purposes other than that of obtaining insurance, insuring at least twenty-five (25) members, employees, or employees of members of the association for the benefit of persons other than the association or its officers or trustees. The term employees as used herein may include retired employees; (3) Under a policy issued to the trustees of a fund established by two or more employers in the same industry or by one or more labor unions or by one or more employers and one or more labor unions, or by an association as defined in subsection (2) above, which trustees

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shall be deemed the policyholder, to insure not less than twenty-five (25) employees of the employers or members of the union or of such association or of members of such association for the benefit of persons other than the employers or other unions, or such associations. The term employees as used herein shall be deemed to include the officers, managers and employees of the employer, and the individual proprietor or partners if the employer is an individual proprietor or partnership. The term employees as used herein may include retired employees. The policy may provide that the term employees shall include the trustees or their employees, or both, if their duties are principally connected with such trusteeship; (4) Under a policy issued to any person or organization to which a policy of group life insurance may be delivered in this State, to insure any class or classes of individuals that could be insured under such group life policy; or (5) Under a policy issued to cover any other substantially similar group which, in the discretion of the Commissioner, may be subject to the issuance of a group accident and sickness policy or contract. (6) Nothing in this Charter validates any charge or practice illegal under any rule of law or regulation governing usury, small loans, retail installment sales, or the like, or extends the application of any such rule of law or regulation to any transaction not otherwise subject thereto. 56-3102. Required provisions of group accident and sickness policies. Each group accident and sickness policy shall contain in substance the following provisions: (1) A provision that, in the absence of fraud, all statements made by the policyholder or by any insured person shall be deemed representations and not warranties, and that no statement made for the purpose of effecting insurance shall avoid such insurance or reduce benefits unless contained in a written instrument signed by the policyholder

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or the insured person, a copy of which has been furnished to such policyholder or to such person or his beneficiary; (2) A provision that the insurer will furnish to the policyholder, for delivery to each employee or member of the insured group, an individual certificate setting forth in summary form a statement of the essential features of the insurance coverage of such employee or member and to whom benefits are payable. If dependents or family members are included in the coverage additional certificates need not be issued for delivery to such dependents or family members; and (3) A provision that to the group originally insured may be added from time to time eligible new employees or members or dependents, as the case may be, in accordance with the terms of the policy. 56-3103. Direct payment of hospital; medical services. Any group accident and sickness policy may provide that all or any portion of any indemnities provided by any such policy on account of hospital, nursing, or medical or surgical services may, at the insurer's option, be paid directly to the hospital or person rendering such services; but the policy shall not require that the service be rendered by a particular hospital or person. Payments so made shall discharge the insurer's obligation with respect to the amount of insurance so paid. 56-3104. Blanket accident and sickness insurance defined. Blanket accident and sickness insurance is hereby declared to be that form of accident and sickness insurance covering groups of persons as enumerated in one of the following subsections (1) to (6) inclusive: (1) Under a policy or contract issued to any common carrier or to any operator, owner or lessee of a means of transportation, who or which shall be deemed the policyholder covering a group defined as all persons or all persons of a class who may become passengers on such common carrier or such means of transportation;

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(2) Under a policy or contract issued to an employer, who shall be deemed the policyholder, covering all employees, dependents or guests, defined by reference to specified hazards incident to the activities or operations of the employer or any class of employees, dependents or guests similarly defined; (3) Under a policy or contract issued to a school, or other institution of learning, camp or sponsor thereof; or to the head or principal thereof, who or which shall be deemed the policyholder, covering students or campers. Supervisors and employees may be included; (4) Under a policy or contract issued in the name of any religious, charitable, recreational, educational, or civic organization, which shall be deemed the policyholder, covering participants in activities sponsored by the organization. (5) Under a policy or contract issued to a sports team or sponsors thereof which shall be deemed the policyholder, covering members, officials and supervisors; or (6) Under a policy or contract issued to cover any other risk or class of risks which, in the discretion of the Commissioner, may be properly eligible for blanket accident and sickness insurance. The discretion of the Commissioner may be exercised on an individual risk basis or class of risks, or both. 56-3105. Required provisions. Any insurance company authorized to write accident and sickness insurance in this State shall have the power to issue blanket accident and sickness insurance. No such blanket policy may be issued or delivered in this State unless a copy of the form thereof shall have been filed in accordance with section 56-2410. Every such blanket policy shall contain provisions which in the opinion of the Commissioner are at least as favorable to the policyholder and the individual insured as the following: (1) A provision that the policy and the application

Page 738

shall constitute the entire contract between the parties, and that all statements made by the policyholder shall, in absence of fraud, be deemed representations and not warranties, and that no such statements shall be used in defense to a claim under the policy, unless it is contained in a written application; (2) A provision that written notice of sickness or of injury must be given to the insurer within twenty (20) days after the date when such sickness or injury occurred. Failure to give notice within such time shall not invalidate nor reduce any claim if it shall be shown not to have been reasonably possible to give such notice and that notice was given as soon as was reasonably possible; (3) A provision that the insurer will furnish to the policyholder such forms as are usually furnished by it for filing proof of loss. If such forms are not furnished before the expiration of fifteen (15) days after the giving of such notice, the claimant shall be deemed to have complied with the requirements of the policy as to proof of loss upon submitting within the time fixed in the policy for filing proof of loss, written proof covering the occurrence, character and extent of the loss for which claim is made; (4) A provision that in the case of claim for loss-of-time for disability, written proof of such loss must be furnished to the insurer within thirty (30) days after the commencement of the period for which the insurer is liable, and that subsequent written proofs of the continuance of such disability must be furnished to the insurer at such intervals as the insurer may reasonably require, and that in the case of claim for any other loss, written proof of such loss must be furnished to the insurer within ninety (90) days after the date of such loss. Failure to furnish such proof within such time shall not invalidate nor reduce any claim if it shall be shown not to have been reasonably possible to furnish such proof and that such proof was furnished as soon as was reasonably possible; (5) A provision that all benefits payable under the

Page 739

policy other than benefits for loss of time will be payable immediately upon receipt of due written proof of such loss, and that, subject to due proof of loss, all accrued benefits payable under the policy for loss of time will be paid not later than at the expiration of each period of thirty (30) days during the continuance of the period for which the insurer is liable, and that any balance remaining unpaid at the termination of such period will be paid immediately upon receipt of such proof; (6) A provision that the insurer at its own expense, shall have the right and opportunity to examine the person of the insured when and so often as it may reasonably require during the pendency of claim under the policy and also the right and opportunity to make an autopsy in case of death where it is not prohibited by law; and (7) A provision that no action at law or in equity shall be brought to recover under the policy prior to the expiration of sixty (60) days after written proof of loss has been furnished in accordance with the requirements of the policy and that no such action shall be brought after the expiration of three years after the time written proof of loss is required to be furnished. 56-3106. Application and certificates not required. An individual application shall not be required from a person covered under a blanket accident or sickness policy or contract, nor shall it be necessary for the insurer to furnish each person a certificate. 56-3107. Insurable interest; facility of payment. All benefits under any blanket accident and sickness policy shall be payable to the person insured, or to his designated beneficiary or beneficiaries, or to his estate, except: that if the person insured to be a minor or mental incompetent, such benefits may be made payable to his parent, guardian, or other person actually supporting him; or if the entire cost of the insurance has been borne by the employer such benefits may be made payable to the employer. Provided; further, however, that the policy may provide that all or any portion of any indemnities provided

Page 740

by any such policy on account of hospital, nursing, medical or surgical services may, at the insurer's option, be paid directly to the hospital or person rendering such services; but the policy may not require that the service be rendered by a particular hospital or person. Payment so made shall discharge the insurer's obligation with respect to the amount of insurance so paid. 56-3108. Group and blanket accident and sickness policy provisions. The provisions of Chapter 56-30 shall not apply to group accident and sickness or blanket accident and sickness insurance policies, but, except as otherwise provided in this Chapter, no such policy of group or blanket accident and sickness insurance shall contain any provision relative to notice or proof of loss, or to the time for paying benefits, or to the time within which suit may be brought on the policy, which is less favorable to the individuals insured than would be permitted by the comparable provisions required for individual accident and sickness insurance policies. 56-3109. Exemption of group and blanket accident and sickness proceeds from creditors. The proceeds or avails of all group and blanket accident and sickness policies shall be exempt from all liability for debt to the same extent and under the same conditions as provided for in the case of individual accident and sickness insurance by section 56-3015. 56-3110. Medical or surgical policies. The benefits on account of medical or surgical services provided by a group or blanket policy of accident and sickness insurance issued after the effective date of this Act may be limited by its terms to services performed by specifically defined professions; Provided, that in the absence of such definitions the term physician or surgeon, as used in such a policy, shall not be deemed limited solely to medical practitioners licensed under Code Chapter 84-9.

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CHAPTER 56-32 PROPERTY INSURANCE. 56-3201. Standard fire policy. 56-3202. Insurance on changing property. 56-3203. [Reserved]. 56-3204. Privilege of rebuilding or reinstating property. 56-3205. Total loss less than policy amount; partial refund of premiums. 56-3201. Standard fire policy. No policy of fire insurance covering property located in Georgia shall be made, issued or delivered unless it conforms as to all provisions and the sequence thereof with a standard or uniform form prescribed by the Commissioner, except that with regard to multiple line coverage providing other kinds of insurance combined with fire insurance this section shall not apply if the policy contains, with respect to the fire portion thereof, language at least as favorable to the insured as the applicable portions of the standard fire policy and such multiple line policy has been approved by the Commissioner. As of the effective date of this Act, the Commissioner shall file in his office and thereafter maintain on file in his office, a true copy of such Georgia standard fire policy, designated as such and bearing the Commissioner's authenticating certificate and signature and the date of filing. The standard fire insurance policy shall not be required for casualty insurance, marine and transportation insurance or insurance on growing crops. Insurers issuing the standard fire insurance policy are authorized to affix thereto or include therein a written statement that the policy does not cover loss or damage caused by nuclear reaction or nuclear radiation or radioactive contamination, all whether directly or indirectly resulting from an insured peril under said policy. Provided, however, that nothing contained in this section shall be construed to prohibit the attachment to any such policy of an endorsement or endorsements specifically assuming loss or damage caused by nuclear reaction or nuclear radiation or radioactive contamination.

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56-3202. Insurance on changing property. A policy of insurance may be made to cover personal property changing in its specifics. 56-3203. [Reserved]. 56-3204. Privilege of rebuilding or reinstating property. The privilege of rebuilding or reinstating property sustaining loss or damage shall not exist unless it is reserved in the policy. 56-3205. Total loss less than policy amount; partial refund of premiums. In the event of a total loss of property if an insurer shall pay to the insured an amount less than the maximum amount authorized to be paid under an insurance policy covering such property, the insurer shall refund to the insured the difference between the amount of premiums actually paid for the insurance policy and the amount of premiums which would have been charged for a property insurance policy having a maximum amount payable equal to the amount actually paid by the insurer to the insured. CHAPTER 56-33 CREDIT LIFE INSURANCE AND CREDIT ACCIDENT AND SICKNESS INSURANCE. 56-3301. Scope of Chapter. 56-3302. Definitions. 56-3303. Forms of credit life insurance and credit accident and sickness insurance. 56-3304. Amount of credit life insurance and credit accident and sickness insurance. 56-3305. Term of credit life insurance and credit accident and sickness insurance. 56-3306. Provisions of policies and certificates of insurance; disclosure to debtors. 56-3307. Filing, approval and withdrawal of forms. 56-3308. Premiums; refunds and maximum charges. 56-3309. Authorized insurers and agents. 56-3310. Claims.

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56-3311. Existing insurance; choice of insurer. 56-3312. Power to regulate; violations. 56-3301. Scope of Chapter. All life insurance and all accident and sickness insurance sold in connection with loans or other credit transactions pursuant to a plan covering all debtors of a creditor or a class or classes of such debtors shall be subject to the provisions of this Chapter except such insurance sold in connection with a loan or other credit transaction of five years' duration or more. Nothing in this Chapter is intended to prohibit or discourage reasonable competetion. 56-3302. Definitions. As used in this Chapter the following definitions shall apply: (1) Credit life insurance means insurance on the life of a debtor pursuant to or in connection with a specific loan or other credit transaction. (2) Credit accident and sickness insurance means insurance on a debtor to provide indemnity for payments becoming due on a specific loan or other credit transaction while the debtor is disabled as defined in the policy. (3) Creditor means the lender of money or vendor or lessor of goods, services, property, rights or privileges, for which payment is arranged through a credit transaction or any successor to the right, title or interest of any such lender, vendor or lessor, and an affiliate, associate or subsidiary of any of them or any director, officer or employee of any of them or any other person in any way associated with any of them. (4) Debtor means a borrower of money or a purchaser or lessee of goods, services, property, rights or privileges for which payment is arranged through a credit transaction. (5) Indebtedness means the total amount payable by a debtor to a creditor in connection with a loan or other credit transaction.

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56-3303. Forms of credit life insurance and credit accident and sickness insurance. Credit life insurance and credit accident and sickness insurance shall be issued only in the following forms: (1) Individual policies of life insurance issued to debtors on the term plan; (2) Individual policies of accident and sickness insurance issued to debtors on a term plan or disability provisions in individual policies of credit life insurance; (3) Group policies of life insurance issued to creditors providing insurance upon the lives of debtors on the term plan; (4) Group policies of accident and sickness insurance issued to creditors on a term plan insuring debtors or disability provisions in group life policies to provide such coverage. 56-3304. Amount of credit life insurance and credit accident and sickness insurance. (1) Credit life insurance. The amount of credit life insurance shall not exceed the indebtedness. Where indebtedness repayable in substantially equal installments is secured by an individual policy of credit life insurance the amount of insurance shall not exceed the approximate unpaid indebtedness on the date of death and, where secured by a group policy of credit life insurance, shall not exceed the exact amount of unpaid indebtedness on such date. (2) Credit accident and sickness insurance. The amount of indemnity payable by credit accident and sickness insurance in the event of disability, as defined in the policy, shall not exceed the aggregate of the periodic scheduled unpaid installments of indebtedness; and the amount of each periodic indemnity payment shall not exceed the original indebtedness divided by the number of periodic installments. (3) Licensees under Industrial Loan Act. The limitations

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set forth in subsections (1) and (2) of this section shall not apply to insurance regulated under the Georgia Industrial Loan Act as to loans made under that Act. (4) Agricultural Loans. Notwithstanding the provisions of this section, credit life insurance in connection with agricultural loans not exceeding five years may be written up to the amount of the loan or loan commitment on the nondecreasing or level term plan. 56-3305. Term of credit life insurance and credit accident and sickness insurance. The term of any credit life insurance or credit accident and sickness insurance shall, subject to acceptance by the insurer, commence on the date when the debtor becomes obligated to the creditor, except that, where a group policy provides coverage with respect to existing obligations, the insurance on a debtor with respect to such indebtedness shall commence on the effective date of the policy. In no event, however, in the case of a contract obligation involving future delivery or performance, must the insurance become effective before the date of such delivery or completion of such performance, nor before the date when all of the terms of the indebtedness are set forth in the contract or instrument creating the indebtedness. The term of such insurance shall not extend more than fifteen (15) days beyond the scheduled maturity date of the indebtedness except when extended without additional cost to the debtor. If the indebtedness is discharged due to renewal or refinancing prior to the scheduled maturity date, the insurance in force shall be terminated before any new insurance may be issued in connection with the renewed or refinanced indebtedness. In all cases of termination prior to scheduled maturity, a refund shall be paid or credited as provided in section 56-3308. 56-3306. Provisions of policies and certificates of insurance; disclosure to debtors. (1) All credit life insurance and credit accident and sickness insurance sold shall be evidenced by an individual policy, or in the case of group insurance by a certificate of insurance, which individual

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policy or group certificate of insurance shall be delivered to the debtor. (2) Each individual policy or group certificate of credit life insurance, and credit accident and sickness insurance shall, in addition to other requirements of law, set forth the name and home office address of the insurer, the identity by name or otherwise of the person or persons insured, the rate or amount of premium separately in connection with credit life insurance and credit accident and sickness insurance if an identifiable charge is made to the debtor, a description of the coverage including any exceptions, limitations or restrictions, and shall state that the benefits shall be paid to the creditor to reduce or extinguish the unpaid indebtedness and, wherever the amount of insurance may exceed the unpaid indebtedness shall state that any such excess shall be payable to a beneficiary, other than the creditor, named by the debtor or to his estate. (3) Said individual policy or group certificate of insurance shall be delivered to the insured debtor at the time the indebtedness is incurred except as hereinafter provided. (4) If said individual policy or group certificate of insurance is not delivered to the debtor at the time the indebtedness is incurred and if an identifiable charge is made to him for credit life insurance or credit accident and sickness insurance, a copy of the application for such policy signed by the debtor, or a notice of proposed insurance setting forth the name and home office address of the insurer, the name or names of the debtor, the rate or amount of premium separately in connection with credit life insurance and credit accident and sickness insurance coverage and a brief description of the coverage provided shall be delivered to the debtor at the time such indebtedness is incurred. The copy of such application, or such notice of proposed insurance, shall refer exclusively to insurance coverage, and shall be separate and apart from the loan, sale or other credit statement of account, instrument or agreement unless the information required by

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this subsection is prominently set forth therein. Upon acceptance of the insurance and within thirty (30) days of the date upon which the indebtedness is incurred, the insurer shall cause the individual policy or group certificate of insurance to be delivered to the debtor. Said application or notice of proposed insurance shall state when the insurance shall become effective which shall be determined as provided in section 56-3305. (5) Unless an individual policy is incontestable from date of issue, it shall provide: (i) That the validity of the policy shall not be contested, except for nonpayment of premiums, after it has been in force for two years from its date of issue; and that no statement made by any person insured under the policy relating to his insurability shall be used in contesting the validity of the insurance with respect to which such statement was made after such insurance has been in force prior to the contest for a period of two years during such person's lifetime nor unless it is contained in a written instrument signed by him; (ii) A provision that a copy of the application, if any, of the policyholder shall be attached to the policy when issued, that all statements made by the policyholder or by the persons insured shall be deemed representations and not warranties, and that no statement made by any person insured shall be used in any contest unless a copy of the instrument containing the statement is or has been furnished to such person or to his beneficiary. (6) A provision specifying an equitable adjustment of premiums or of benefits or of both to be made in the event the age of a person insured has been misstated, such provision to contain a clear statement of the method of adjustment to be used. 56-3307. Filing, approval and withdrawal of forms. All forms, including policies, certificates of insurance, notices of proposed insurance, applications for insurance, binders, endorsements and riders, together with the schedule of premiums therefor and the applicable maximum identifiable charges to debtors, shall be filed with the Commissioner. The procedure for filing and approval

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of forms shall be in accordance with section 56-2410. The Commissioner shall disapprove any such form filed or withdraw any previous approval thereof if: (i) the benefits provided therein are not reasonable in relation to the premium charges; or (ii) it contains provisions which are unjust, unfair, inequitable, misleading, deceptive or which encourage misrepresentation of the policy. 56-3308. Premiums; refunds and maximum charges. (1) Any insurer may, subject to the power of the Commissioner to disapprove the form as provided in section 56-3307, revise its schedules of premium rates from time to time and shall file such revised schedules with the Commissioner. No insurer shall charge premiums for credit life insurance or credit accident and sickness insurance which exceed the premium rate then on file with the Commissioner, except that it may for the second and subsequent years of insurance provided for the debtors of a creditor charge a premium in excess of such maximum if such increase is approved by the Commissioner because of unfavorable claim experience. Nothing herein shall be deemed to prohibit an insurer from decreasing the premium rate on the insurance provided for the debtors of a creditor for the second and subsequent years of insurance. (2) The amount collected by the creditor from the debtor for any credit life insurance or any credit accident and sickness insurance shall be consistent with the premium rate charged by the insurer. Nothing in this Chapter shall be construed to legalize any charge now illegal under any statute or rule of law governing credit transactions. (3) Each individual policy, notice of proposed insurance or group certificate of credit life insurance and credit accident and sickness insurance shall provide that in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of premium due shall be paid or credited promptly to the person entitled thereto; Provided, however, that the Commissioner shall prescribe a minimum refund and no

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refund which would be less than such minimum need be made. The formula to be used in computing such refund shall be filed with and approved by the Commissioner. (4) If a creditor requires a debtor to make a payment in connection with credit life insurance or credit accident and sickness insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to such debtor and shall promptly make an appropriate credit to the account. 56-3309. Authorized insurers and agents. All policies of credit life insurance and credit accident and sickness insurance, shall be delivered or issued for delivery in this State only by an insurer authorized to do an insurance business herein, and shall be issued only through holders of licenses issued by the Commissioner. 56-3310. Claims. (1) All claims shall be promptly reported to the insurer or its designated claim representative, and the insurer shall maintain adequate claim files. All claims shall be settled as soon as possible and in accordance with the terms of the insurance contract. (2) All claims shall be paid either by draft drawn upon the insurer or by check of the insurer to the order of the claimant to whom payment of the claim is due pursuant to the policy provisions, or upon direction of such claimant to one specified. (3) No plan or arrangement shall be used whereby any person, firm or corporation other than the insurer or its designated claim representative shall be authorized to settle or adjust claims. The creditor shall not be designated as claim representative for the insurer in adjusting claims; Provided, that a group policyholder may, by arrangement with the group insurer, draw drafts or checks in payment of claims due to the group policyholder subject to audit and review by the insurer. 56-3311. Existing insurance; choice of insurer. When credit life insurance or credit accident and sickness insurance

Page 750

is required as additional security for any indebtedness, the debtor shall, upon written request to the creditor, have the option of furnishing the required amount of insurance through existing policies of insurance owned or controlled by him or of procuring and furnishing the required coverage through any insurer authorized to transact an insurance business within this State. 56-3312. Power to regulate; violations. (1) The Commissioner may, after notice and hearing, issue such rules and regulations as he deems appropriate for the supervision of this Chapter, including regulation of maximum premiums or maximum charges to debtors for all credit life or credit accident and sickness insurance. Whenever the Commissioner finds that there has been a violation of this Chapter or any rules or regulations issued pursuant thereto, and after written notice thereof and hearing given to the insurer or other person authorized or licensed by the Commissioner, he shall set forth the details of his findings together with an order for compliance by a specified date. Such order shall be binding on the insurer and other person authorized or licensed by the Commissioner on the date specified unless previously withdrawn by the Commissioner. (2) In addition to any other penalty provided by law, any person who violates an order of the Commissioner after it has become final, and while such order is in effect, shall, upon proof thereof to the satisfaction of the court, forfeit and pay to the State of Georgia a sum not to exceed two hundred and fifty ($250.00) dollars which may be recovered in a civil action, except that if such violation is found to be wilful, the amount of such penalty shall be a sum not to exceed one thousand ($1,000) dollars. The Commissioner, in his discretion, may revoke or suspend the license or certificate of authority of the person guilty of such violation. Such order for suspension or revocation shall be subject to judicial review as provided in Chapter 56-2.

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CHAPTER 56-99 CRIMES 56-9901. Insurance to be payable only in legal tender. 56-9902. Insurer's contract as to funeral; prohibition of. 56-9903. Receiving commissions from undertakers on account of employment. 56-9904. Insurer's contract with undertaker unlawful. 56-9905. Insurer's contracts as to funeral merchandise or services. 56-9906. False representation as to policy sold. 56-9907. Policies issued in violation of Title; penalty. 56-9908. False statements by officers, agents, etc., of insurance companies. 56-9909. Violation of Chapter 56-29. 56-9910. Fraudulent insurance claims. 56-9911. Penalty on agents of unauthorized insurance companies. 56-9912. [Reserved]. 56-9913. [Reserved]. 56-9914. Violation by attorney of Chapter 56-21. 56-9915. Violation of this Chapter a misdemeanor. 56-9901. Insurance to be payable only in legal tender. It shall be unlawful for any insurer to provide in a policy or contract of insurance that the face amount thereof, or any loss or indemnity which may accrue thereunder, shall be payable in anything other than legal tender of the United States and of this State to the beneficiary named therein or the legal representative of such insured; and any provision to the contrary shall be null and void; Provided: this shall not prevent property insurance policies from including an option to the insurer authorizing it to repair the damage incurred or paying the debtor the dollar amount thereof. 56-9902. Insurer's contract as to funeral; prohibition of. It shall be unlawful for any insurer to designate in said policy, contract, or certificate, or otherwise, the person, firm, or corporation to conduct the funeral of the insured or to organize, promote or operate any enterprise

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or plan, or to enter into any contract with such insured or with any other person, which plan or contract tends to limit or restrict the freedom of choice in the open market of the person or persons having the legal right of such choice regarding contracts, purchases and arrangements with reference to any part of a funeral service for such insured. 56-9903. Receiving commissions from undertakers on account of employment. No person, firm, or corporation engaged in the life insurance business or the industrial life insurance business shall contract for or receive any compensation or gratuity, directly or indirectly, on account of the employment of any undertaker in connection with a burial or preparation for burial of any person whose life is insured by said company; and no undertaker shall give or agree to give any such `compensation or commission to such person, firm, or corporation engaged in the insurance business. 56-9904. Insurer's contract with undertaker unlawful. It shall be unlawful for any insurer writing any type of life insurance, by whatever term described, upon the lives of citizens of this State, to enter into any contract with any funeral director, or undertaker, providing that such funeral director, or undertaker shall conduct the funeral of members insured by such insurer. 56-9905. Insurer's contracts as to funeral mechandise or services. It shall be unlawful for any insurer writing any type of life insurance upon the lives of citizens of this State, to enter into any contract with any citizen of this State, contracting and agreeing to furnish funeral merchandise or services upon the death of any person insured. 56-9906. False representation as to policy sold. Any person violating section 56-704 by making unlawful false representations as to the policy sold, shall be deemed guilty of a misdemeanor. 56-9907. Policies issued in violation of Title; penalty. Any

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insurer, or any officer or agent thereof, issuing or delivering to any person in this State any policy in violation of any provision of this Title shall be guilty of a misdemeanor. 56-9908. False statements by officers, agents, etc., of insurance companies Any director, officer, agent or employee of any insurance company who wilfully and knowingly subscribes, makes or concurs in making any annual or other statement required by law containing any material statement which is false shall be guilty of a misdemeanor. It shall be the duty of the Commissioner to report all such misrepresentations and false statements to the solicitor general or solicitor of the circuit or county in which they shall occur. 56-9909. Violation of Chapter 56-29. Any company, agent, representative, or solicitor therefor who shall write, offer to the public, or deliver to any insured any policy or contract of insurance, which in form or legal effect is contrary to or in violation of the terms of Chapter 56-29 with respect to cash surrender value, extended insurance or other benefits in case of lapsed industrial life insurance policies, shall be guilty of a misdemeanor. 56-9910. Fraudulent insurance claims. Any person who shall knowingly or wilfully make, or aid in the making of, any false or fraudulent statement or representation of any material fact or thing in any written statement or certificate, for the purpose of procuring or attempting to procure the payment of any false or fraudulent claim against any insurer and any person who shall make any false or fraudulent statement in any application for insurance, or as to the death or disability of a policy or certificate holder in any insurer for the purpose of fraudulently obtaining any money or benefit from any insurer shall be guilty of a misdemeanor. 56-9911. Penalty on agents of unauthorized insurance companies. Any person who shall do or perform any of the acts or things specified in Chapter 56-8a and 8b for any insurance company, or agent of said company,

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without such company's having first received a certificate of authority from the Commissioner as required by law, shall be published as for a misdemeanor, and shall also pay a sum equal to the State, county, and municipal taxes and licenses required to be paid by insurance companies legally doing business in this State. It shall be the duty of the Commissioner to report any violation of this section to the solicitor general or solicitor of the circuit or county which has jurisdiction. 56-9912. [Reserved]. 56-9913. [Reserved]. 56-9914. Violation by attorney of Chapter 56-21. Any attorney who shall exchange any contract or indemnity of the kind and character specified in Chapter 56-21 or shall directly or indirectly solicitor or negotiate any application for such contracts without first complying with all the provisions of said Chapter shall be guilty of a misdemeanor, but the Commissioner may in his discretion and upon such terms and conditions as he may prescribe, issue a permit for organizational purposes to continue in force and effect until cancelled at the pleasure of the Commissioner. 56-9915. Violation of this Chapter a misdemeanor. Any person, firm or corporation violating any of the provisions of this Chapter shall be guilty of a misdemeanor. Section 2. Repealer. Title 56 of the Code of Georgia of 1933, as amended, relating to the Insurance Department Chapter 56-1, Insurance Department; Chapter 56-2, Incorporation, Powers, Duties, etc., of Insurance Companies in General; Chapter 56-3, Deposits by Companies Doing Business in State; Chapter 56-4, License to Do Business; Chapter 56-4A, Unfair Trade Practices; Chapter 56-5, Agents and Solicitors; Chapter 56-5A, Excess Fire or Casualty Insurance Agents; Chapter 56-5B, Licensing of Life, Health, and Accident Insurance Agents; Chapter 56-6, Actions Against Insurance Companies; Chapter 56-6A, Unauthorized Insurers Process Act;

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Chapter 56-7, Amount of Recovery and Damages; Chapter 56-8, Fire Insurance; Chapter 56-9, Life Insurance; Chapter 56-10, Accident Liability and Casualty Insurance; Chapter 56-11, Fidelity Insurance; Chapter 56-12, Marine Insurance; Chapter 56-13, Industrial Life Accident, and Health Insurance; Chapter 56-14, Mutual or Cooperative Insurance; Burglary and Robbery Insurance; Chapter 56-15, Assessment Insurance Companies; Chapter 56-16, Fraternal Benefit Societies; Chapter 56-16A, Conversion of Fraternal Benefit Societies into Stock or Mutual Companies; Chapter 56-18, Cooperative Insurance Exchanges; Chapter 56-19, Title Insurance; Chapter 56-20, Regulation of Rate Making for Casualty, Fidelity, and Motor Vehicle Insurance; Chapter 56-21, Regulation of Rate making for Fire, Marine, and Inland Marine Insurance; Chapter 56-22, Uniform Insurers Liquidation Act; Chapter 56-23, Group Insurance of Public Employees; Chapter 56-24, Accident, Sickness and Hospitalization Insurance; Chapter 56-25, Reciprocal Insurance; Chapter 56-99, Crimes; An Act providing for Voluntary Deposits by Insurance companies and for the handling and disposition of such deposits, approved March 27, 1941, (Ga. L. 1941, p. 456 et seq.); An Act Authorizing and regulating investments by insurance companies in real estate for leasing, approved March 28, 1947, (Ga. L. 1947, p. 1496), as amended by an Act approved February 27, 1956, (Ga. L. 1956, p. 306 et seq.); An Act on the Regulation of rate making for casualty, fidelity, and motor vehicle insurance, approved March 28, 1947, (Ga. L. 1947, p. 1506 et seq.); An Act on the Regulation of rate making for fire, marine, and inland marine insurance, approved March 28, 1947, (Ga. L. 1947, p. 1523 et seq.); The Unfair Trade Practices in the Business of Insurance

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Act, approved February 17, 1950, (Ga. L. 1950, p. 326 et seq.); The Act of 1952 providing for licensing insurance companies to do business in Georgia, approved February 15, 1952. (Ga. L. 1952, p. 144 et seq.); An Act providing that certain claims filed with the State Treasurer against the bond deposit of an insurance company shall be void, approved March 4, 1955, (Ga. L. 1955, p. 738 et. seq.); An Act requiring each and every insurance company to pay an annual license fee of $300 or if a farmers' county mutual $25, approved February 9, 1950, (Ga. L. 1950, pp. 122, 123), as amended by an Act approved February 21, 1951, (Ga. L. 1951, pp. 664, 666 et seq.); An Act relating to Insurance policiesassignment, approved March 30, 1937, (Ga. L. 1937, p. 705 et seq.); An Act relating to Insurancepreference on liquidation, approved March 11, 1937, (Ga. L. 1937, p. 705 et seq.); An Act relating to Insurance agents' licenses, approved March 28, 1935, (Ga. L. 1935, p. 139 et seq.); An Act relating to Insurance Commissioner's investigators, approved March 31, 1937, (Ga. L. 1937, p. 702); An Act relating to Insurancelifepolicy contracts approved March 31, 1937, (Ga. L. 1937, p. 702 et seq.); An Act relating to Insurance of plate glass, approved March 31, 1937, (Ga. L. 1937, p. 704 et seq.); An Act to Regulate industrial life insurance, approved February 7, 1938, (Ga. L. 1937-38, Ex. Sess., p. 338 et seq.); An Act to amend section 56-905, relating to rights of

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creditors, etc. in proceeds of life, etc., insurance, approved March 27, 1947, (Ga. L. 1947, p. 1153 et seq.); An Act relating to Insurance companiesinvestment, approved February 15, 1952 (Ga. L. 1952, p. 287 et seq.); An Act relating to Group life insurancelimit on term insurance, approved December 17, 1953, (Ga. L. 1953, November Sess., p. 205 et seq.); An Act relating to Accident, sickness and hospitalization insurance, approved March 7, 1956, (Ga. L. 1956, p. 532 et seq.); An Act relating to insurancerefund of premiums in certain cases, approved March 21, 1958, (Ga. L. 1958, p. 236 et seq.); An Act to regulate the sale of funeral merchandise, etc., approved March 16, 1955, (Ga. L. 1955, p. 739 et seq.); An Act relating to insurance agentslicensing, approved March 7, 1956, (Ga. L. 1956, p. 505 et seq.); An Act relating to licenses to do business, approved March 26, 1958, (Ga. L. 1958, p. 614, et seq.); An Act relating to insurance corporation capital stock, approved March 1, 1937, (Ga. L. 1937, p. 459 et seq.); An Act relating to Board of directors of insurance companies, approved March 9, 1945, (Ga. L. 1945, p. 459 et seq.); An Act relating to Insurance companiesboard of directors, approved March 28, 1947, (Ga. L. 1947, p. 1498 et seq.); An Act relating to Insuranceparticipation by policy-holders in net profits, approved February 8, 1950, (Ga. L. 1950, p. 121 et seq.);

Page 758

An Act relating to Insurance companiesparticipation by policyholders in net profits, approved February 23, 1949, Ga. L. 1949, p. 959 et seq.); An Act relating to Mutual or cooperative fire insurance companies, approved February 17, 1950, (Ga. L. 1950, p. 426 et seq.); An Act relating to fraternal benefit societies, approved March 20, 1943, (Ga. L. 1943, p. 495 et seq.); An Act relating to fraternal benefit societies converted, approved January 31, 1946, (Ga. L. 1946, p. 690 et seq.); An Act relating to cooperative insurance exchanges, approved March 14, 1939, (Ga. L. 1939, p. 265 et seq.); An Act relating to Title insurancesuperceding Act, approved March 6, 1943, (Ga. L. 1943, p. 602 et seq.); An Act relating to Uniform Insurers Liquidation Act, approved February 25, 1949, (Ga. L. 1949, p. 1145 et seq.); An Act relating to Group insurance of public employees, February 17, 1950, (Ga. L. 1950, p. 355 et seq.); An Act relating to Insurersundertaker commission unlawful, approved March 24, 1933, (Ga. L. 1933, p. 186 et seq.); An Act relating to Insurerspenal regulations, approved February 11, 1935, (Ga. L. 1935, p. 392 et seq.); An Act relating to Non-profit hospital service corporations, approved February 17, 1950, (Ga. L. 1950, p. 335 et seq.); An Act relating to Non-profit medical service corporations, approved February 16, 1950, (Ga. L. 1950, p. 266 et seq.);

Page 759

An Act relating to Insurance companiescapital stock, approved March 3, 1955, (Ga. L. 1955, p. 338 et seq.); An Act relating to Non-profit medical service act amended, approved March 3, 1955, (Ga. L. 1955, p. 345 et seq.); An Act relating to Insurance companiesparticipation by policyholders in profits, approved February 27, 1956, (Ga. L. 1956, p. 278 et seq.); An Act relating to Insurance companies, approved March 5, 1957, (Ga. L. 1957, p. 195 et seq.); An Act relating to Insurancereciprocal insurers, approved March 25, 1958, (Ga. L. 1958, p. 623 et seq.); An Act relating to Regulation of reciprocal insurance transactions, approved March 25, 1958, (Ga. L. 1958, p. 644 et seq.); An Act to amend an Act to fix salary of Deputy Insurance Commissioner, etc., approved February 25, 1949, (Ga. L. 1949, p. 999 et seq.); An Act relating to Excess insurance agents' law, approved February 25, 1949, (Ga. L. 1949, p. 1201 et seq.); An Act relating to Insurance policiesapproval of forms, approved February 27, 1956, (Ga. L. 1956, p. 279 et seq.); An Act relating to Licensing of insurance agents, approved March 4, 1953, (Ga. L. 1953, p. 497, et seq.); An Act to amend Chapter 56-5 of the 1933 Code of Ga. and dealing with insurance agents' licenses, approved March 28, 1935, (Ga. L. 1935, p. 139, et seq.); An Act fixing License fee of insurance companies doing business in Ga. at $300 per year and agents' occupation tax at $10 per year, approved February 9, 1950, (Ga. L. 1950, p. 122 et seq.);

Page 760

An Act dealing with the Licensing of insurance agents other than those transacting life, health, accident, hospital, medical service and title insurance, approved March 7, 1956, (Ga. L. 1956, p. 505 et seq.); as amended by an Act approved March 7, 1957, (Ga. L. 1957, p. 269 et seq.); as amended by an Act approved March 25, 1958, (Ga. L. 1958, p. 332 et seq.); An Act requiring Foreign title insurers desiring to transact business in this State to appoint resident agent to accept service of process, approved March 6, 1943, (Ga. L. 1943, p. 602 et seq.); An Act relating to the levy of a tax on insurance premiums and annuity considerations, etc., approved March 9, 1945, (Ga. L. 1945, pp. 419, 420); as amended by an Act approved June 24, 1955, (Ga. L. 1955 Extra Sess., pp. 45-46); An Act relating to the time of payment of tax on insurance premiums, approved March 9, 1945, (Ga. L. 1945, pp. 419, 421); as amended by an Act approved June 24, 1955, (Ga. L. 1955, Extra Sess., pp. 45, 47); Section 7 of an Act relating to the Reduction of the premium tax levied upon insurance companies, approved March 28, 1935, (Ga. L. 1935, pp. 11, 60); as amended by an Act approved March 8, 1945, (Ga. L. 1945, pp. 267, 268); as amended by an Act approved January 31, 1946, (Ga. L. 1946, p. 15); as amended by an Act approved June 24, 1955, (Ga. L. 1955, Extra Sess., pp. 45, 47); as amended by an Act approved February 28, 1956, (Ga. L. 1956, p. 391); An Act relating to the Payment of a tax upon title insurance companies premiums, approved March 21, 1939, (Ga. L. 1939, pp. 376, 379, Sec. 9); as amended by an Act approved March 6, 1943, (Ga. L. 1943, pp. 602, 603); An Act relating to the Deduction of retaliatory tax paid

Page 761

to another state, approved March 14, 1956, (Ga. L. 1956, pp. 790, 791); An Act to amend Code Section 56-601, pertaining to venue of suits against insurance companies, etc., approved March 13, 1957, (Ga. L. 1957, p. 645 et seq.); as amended by an Act approved March 4, 1958, (Ga. L. 1958, p. 114 et seq.); An Act relating to the Examination of insurance companies, approved March 9, 1945, (Ga. L. 1945, p. 443 et seq.); An Act to amend an Act relating to the regulation of rates for casualty insurance, approved March 17, 1959 (Ga. L. 1959, p. 274 et seq.); An Act to amend an Act regulating the making and applying of rates for fire, marine, and inland marine insurance, approved March 17, 1959, (Ga. L. 1959, p. 255 et seq.); Section 2 of the Act to amend an Act providing for the denial of the right of inheritance and the right to receive benefits of insurance contracts or policies under certain circumstances, approved March 17, 1959, (Ga. L. 1959, p. 299 et seq.); An Act in relation to the right of creditors and beneficiaries under policies of life, endowment, and accident insurance, and under annuity contracts, approved March 24, 1933, (Ga. L. 1933, p. 181 et seq.); An Act to authorize nonresidents to be licensed to solicit life insurance in this State, etc., approved March 24, 1933, (Ga. L. 1933, p. 181-1); An Act to amend section 56-301 of the Code of 1933, by changing the amount of bonds required to be deposited with the State Treasurer by fire, marine, and inland marine insurance companies, approved March 28, 1935, (Ga. L. 1935, p. 149-50);

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Paragraph 58 of the General Tax Act of 1935, approved March 28, 1935, (Ga. L. 1935, p. 36-9); An Act to authorize the Insurance Commissioner to appoint such investigators for the activities and business of insurance companies doing business in the State of Georgia, etc., approved March 31, 1937, (Ga. L. 1937, p. 702); An Act to define contracts of life insurance, etc., approved March 31, 1937, (Ga. L. 1937, p. 702-3); An Act relating to policies of incorporated mutual or cooperative fire insurance companies in certain cases, approved March 30, 1937, (Ga. L. 1937, p. 705); An Act to amend Section 56-224, Ga. Code of 1933, relating to investments of insurance companies, approved March 31, 1937, (Ga. L. 1937, p. 462-3); An Act to amend Section 56-309 of the Ga. Code of 1933, which relates to the deposit of securities by insurance companies, etc., approved March 25, 1937, (Ga. L. 1937, p. 461-2); Section 2 of an Act to authorize all fiduciaries, including insurance companies to invest in bonds issued by school districts, etc., approved February 23, 1939, (Ga. L. 1939, p. 366-7); An Act to provide for the joint control with any surety of money or securities, etc., approved March 19, 1943, (Ga. L. 1943, p. 296-7); An Act to amend section 56-224 sub-section (c) of the Code of the State of Georgia, said section being entitled Authorized investments by insurance companies, etc., approved March 6, 1945, (Ga. L. 1945, p. 211-2); An Act to amend section 56-804 of the Code of Georgia, 1933, whereby the Secretary of State is empowered to grant to fire insurance companies... authority, etc., approved March 9, 1945, (Ga. L. 1945, p. 357-60);

Page 763

An Act to amend Code Section 56-907 relating to the Board of Directors of Life Insurance Companies, etc., approved March 9, 1945, (Ga. L. 1945, p. 458-9); An Act to amend Code Section 56-224 (e) of the Code of Georgia, etc., designated as Authorized Investments by Insurance Companies, etc., approved February 25, 1949, (Ga. L. 1949, p. 1127-8); So much of the Act to provide that deposits of funds at interest in a chartered state or national bank or trust company shall be legal investments for fiduciaries, etc., as refers to insurance companies, and so much of said Act as amends Code Section 56-224 of the Ga. Code of 1933, approved February 17, 1953, (Ga. L. 1953, p. 108 et seq.); An Act to provide for qualified insurance, fidelity insurance, or surety companies to become surety to the extent of $200.00 with respect to guaranteed arrest bond certificates, etc., approved February 27, 1956, (Ga. L. 1956, p. 338-9); An Act authorizing a municipal corporation, a county or any other political subdivision to procure insurance, etc., approved March 4, 1955, (Ga. L. 1955, p. 448-50); An Act to further amend Code Section 56-601, relating to the venue of suits against insurance companies, approved March 4, 1958, (Ga. L. 1958, p. 114-6); An Act to amend Code Section 56-403 of the Code of Georgia of 1933, relating to annual statements of insurance companies, approved March 28, 1947, (Ga. L. 1947, p. 1622 et seq.); An Act relating to insurers not authorized to transact business in this State, approved February 17, 1950, (Ga. L. 1950, p. 347-51); An Act to regulate trade practices in the business of insurance by defining, etc., unfair methods of competition,

Page 764

etc., approved February 17, 1950 (Ga. L. 1950, p. 326 et seq.); An Act to amend Section 56-226 of the Code of Georgia, regarding investments by insurance companies, approved February 19, 1951, (Ga. L. 1951, p. 278-9); An Act to amend Section 56-224 of the Code of Georgia, relating to authorized investments by insurance companies, approved March 3, 1955, (Ga. L. 1955, p. 393-5); An Act providing that all contracts agreeing for a consideration to furnish ambulance service, etc., shall be construed as health and accident insurance contracts, etc., approved February 27, 1956, (Ga. L. 1956, p. 297 et seq.); are hereby repealed in their entirety and the foregoing provisions of the new Georgia Insurance Code, constituting a new Title 56 are substituted therefor. All other laws or parts of laws in conflict with this Act are hereby repealed. Approved March 8, 1960. GEORGIA DEVELOPMENT AUTHORITY ACTAMENDED. No. 590 (House Bill No. 349). An Act to amend an Act approved March 2, 1953 creating the Livestock Development Authority; to amend an Act approved January 5, 1954 merging the Livestock Development Authority with the Georgia Rehabilitation Corporation; to amend an Act approved March 7, 1957 providing additional powers for the Georgia Agricultural Development Authority so as to provide for industrial development as well as agricultural development within the State of Georgia, by providing, securing and guaranteeing credit; to provide

Page 765

additional corporate powers; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That an Act approved March 7, 1957 (Ga. L. 1957, p. 210) providing additional powers to the Georgia Agricultural Development Authority be amended by striking section I of said Act and substituting in lieu thereof a new section to be numbered section 1, which, when inserted, will read as follows: Section 1. Legislative Intent. (a) It is the purpose and intent of this Act to provide an instrumentality to assist agricultural and industrial interests in their effort to commence, expand, or diversify their operations by providing credit and servicing functions to better enable the farmers and business men within Georgia to obtain needed capital funds, and to encourage and secure financial institutions in the lending of money for such purposes. (b) It is the purpose and intent of this Act to repeal certain provisions of an Act approved March 2, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 337) known as the `Livestock Development Authority Act,' which was made obsolete by an Act approved January 5, 1954 (Ga. L. 1953, Nov.-Dec. Sess., p. 471) merging the Livestock Development Authority with the Georgia Rural Rehabilitation Corporation. It is also the purpose of this Act to amend an Act approved January 5, 1954 (Ga. L. 1953, Nov.-Dec. Sess., p. 471) so as to clearly make this Authority the successor to all the powers of the Georgia Rural Rehabilitation Corporation so that this Authority may qualify in every respect to receive and administer the assets of the Georgia Rural Rehabilitation Corporation held for it in trust, or transferred to it, by the Government of the United States of America. (c) It is the purpose of the Act to clothe the Authority with corporate power to operate and to administer the funds held and received by it and to possess and operate under licenses or permit granted it by the United States of America or the State of Georgia.

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(d) Finally, it is the purpose of this Act to change the name of this Authority so that it may more clearly describe the purpose for which it is, and was, created. Section 2. That an Act approved January 5, 1954 (Ga. L. 1953, Nov.-Dec. Sess., p. 471), as amended by an Act approved March 7, 1957 (Ga. L. 1957, p. 210), dealing with the merger of the Livestock Development Authority and the Georgia Rural Rehabilitation Corporation, be amended by striking section 4 (a) of said Act, and substituting in lieu thereof a new section to be numbered section 4 (a), which, when inserted, will read as follows: Section 4 (a). The corporate purpose and the general nature of the business of this Authority created by this merger shall be (1) rural rehabilitation permissible under the charter of the Georgia Rural Rehabilitation Corporation and contained in paragraph 3 thereof and within the meaning of Public Law 499, 81st Congress, 2nd Sess., (2) the development of agriculture and industry generally within the State of Georgia by providing or securing or guaranteeing loans for such purposes, and (3) possession of and operation under any franchise, license or permit granted to it by the United States of America or the State of Georgia for a business purpose. The corporate powers of this Authority shall be those provided herein by reason of this merger and those additional powers provided in subsections (b), (c), (d), (e), and (f) of section 22-1827 of the Georgia Code Annotated, as codified from section 9 of an Act approved January 28, 1938 (Ga. L. 1937-38, Ex. Sess., p. 214) and known as the `Corporation Act of 1938,' and those powers provided in subsections (a), (b), (c), (e), (f), (g) and (h) of section 22-1828 of the Georgia Code Annotated, as codified from section 10 of an Act approved January 28, 1938 (Ga. L. 1937-38, Ex. Sess., p. 214) and known as the `Corporation Act of 1938,' and also those powers provided in section 22-1867 of the Georgia Code Annotated, as codified from section 29 of an Act approved January 28, 1938 (Ga. L. 1937-38, Ex. Sess., p. 214) and known as the `Corporation Act of 1938.' In addition to,

Page 767

and not in limitation of, the powers heretofore granted, this Authority shall have, and may exercise, the power and authority to guarantee and/or insure loans made for rural rehabilitation purposes or for agricultural and industrial development, provided, however, this Authority shall maintain a reserve, or insurance, fund in an amount not less than fifteen per centum (15%) of the contingent liability existing by reason of any such contracts of insurance or guaranty. Said reserve, or insurance, fund of the Authority shall be invested in securities and investments permitted to insurance companies under the laws of Georgia as they now or may hereafter provide. Corporate purpose and authority. Section 3. That an Act approved March 2, 1953 (Ga. L. 1953, p. 337), dealing with the creation of the Livestock Development Authority, be amended by striking section 1 of said Act and substituting in lieu thereof a new section to be numbered section 1, which, when inserted, will read as follows: Section 1. Short Title. This may be cited as the `Georgia Development Authority Act.' Section 4. That an Act approved March 2, 1953 (Ga. L. 1953, p. 337), dealing with the creation of the Livestock Development Authority, be amended by striking section 2 of said Act, and substituting in lieu thereof a new section, to be numbered section 2, which, when inserted, will read as follows: Section 2. Georgia Development Authority. There is hereby created a body corporate and politic to be known as the Georgia Development Authority which shall be deemed to be an instrumentality of the State of Georgia and a public corporation and by that name, style and title said body may contract and be contracted with, sue and be sued, implead and be impleaded, and complain and defend in all courts of law and equity. The Authority shall consist of eleven (11) members, or directors, one of whom shall be the Commissioner of Agriculture (ex officio), one of whom shall be the Director of the Department of Commerce (ex officio), one of whom shall be an

Page 768

economist from the staff of the University of Georgia, appointed by the Governor, whose term shall expire July 1, 1967, and one of whom shall at the time of appointment by the Governor be a member of the General Assembly, whose term shall expire July 1, 1968. Six (6) other members of the Authority shall be appointed by the Governor in such manner that the term of one member shall expire July 1, 1961, the term of another member shall expire July 1, 1962, the term of another member shall expire July 1, 1963, the term of another member shall expire July 1, 1964, the term of another member shall expire July 1, 1965, and the term of another member shall expire July 1, 1966. The successors to other than ex officio members shall be appointed for terms of eight (8) years from the date of expiration of their respective terms of office, except that any person appointed to fill a vacancy shall serve only for the unexpired term. Immediately after such appointments the members of the Authority shall enter upon their duties. Those members now serving will continue to serve until the expiration of their respective terms. The Authority shall elect one of its members as chairman and another as vice chairman, and a president and general manager, who shall also be a member of the Authority (ex officio) to serve at the pleasure of the other members of the Authority. Six members of the Authority shall constitute a quorum. No vacancy on the Authority shall impair the right of the quorum to exercise all the rights and perform all the duties of the Authority. The members of the Authority, with the exception of the General Manager, whose compensation shall be fixed by the Authority, shall be entitled to receive as compensation a director's fee, or per diem, of fifty dollars ($50), for attendance at all properly constituted meetings, and shall be entitled to, and shall be reimbursed for, their actual expenses necessarily incurred in the performance of their duties. The Authority shall make rules and regulations for its own government. It shall have a perpetual existence. The members or directors of the Authority shall be accountable in all respects as trustees; the Authority

Page 769

shall keep suitable books and records of all actions and transactions, and shall submit such books, together with a statement of the Authority's financial position, to the State Auditor for such audit and inspection as the State Auditor may deem wise, one time a year, on or about the close of the State's fiscal year, but it may cause to be made such additional independent audits as it may deem necessary. Section 5. That the name and term Georgia Development Authority shall embrace and encompass the preceding names and terms Livestock Development Authority, Georgia Rural Rehabilitation Corporation, Georgia Livestock Development Authority, and Georgia Agricultural Development Authority. Section 6. All laws and parts of laws in conflict with the provisions of this Act are hereby repealed. Approved March 7, 1960. CARE OF PRISONERS AFFLICTED WITH TUBERCULOSIS. No. 591 (House Bill No. 572). An Act to provide for persons afflicted with tuberculosis who shall be confined in jail; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That when any person confined in the common jail awaiting trial for any offense against the penal laws of this State, or there confined after conviction for any such offense, or serving therein any jail sentence imposed upon him by authority, or there committed for any civil or criminal contempt, shall be afflicted with tuberculosis, the judge of the superior court may order his delivery by the sheriff to the superintendent of the

Page 770

Battey State Hospital or such other institution as may be approved and supported by the State Board of Health for the care of tubercular patients, and thereupon he shall be so delivered and received, and he shall be there securely confined, kept and cared for. Section 2. That the period of time such person is thus kept and confined in such hospital or institution shall be credited upon any jail sentence being served by him in the same manner as though he had remained in such jail. That any such person committed for any civil or criminal contempt while in such hospital or other institution shall remain for all purposes under the orders, jurisdiction and authority of the court committing him for contempt in the same manner as though he had remained in such common jail. Section 3. All laws and parts of laws in conflict herewith are hereby repealed. Approved March 7, 1960. MINIMUM FOUNDATION PROGRAM OF EDUCATION ACT AMENDEDCOMPENSATION OF SCHOOL BUS DRIVERS. No. 592 (House Bill No. 579). An Act to amend an Act known as the Minimum Foundation Program of Education Act, approved February 25, 1949 (Ga. L. 1949, p. 1404), as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 329), so as to provide that drivers of school busses shall be compensated on a twelve months' basis; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Minimum Foundation Program of Education Act, approved February 25,

Page 771

1949 (Ga. L. 1949, p. 1404), as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 329), is hereby amended by striking from the fifth unnumbered paragraph of section 9 wherever they appear the words and figures ten (10) and inserting in lieu thereof the words and figures twelve (12), and by striking the word tenth and inserting in lieu thereof the words, tenth, eleventh and twelfth, so that the fifth unnumbered paragraph of section 9 as so amended shall read: The State Board of Education shall annually fix a schedule of minimum salaries which shall be paid to the drivers of school busses in all counties of the State. Said schedule of minimum salaries shall apply to drivers of all types of ownership, joint, private or county. This schedule of minimum salaries shall be determined annually and shall not be less than $100.00 per month for twelve (12) months. This salary schedule shall be uniform for all bus drivers of a 24 passenger bus and over, and shall be considered separate and apart from the expenses in purchasing, maintaining and operating the vehicle itself. The said minimum salary schedule shall not apply to the drivers of cars and other vehicles of less capacity than a 24 passenger bus. County school authorities shall not pay to any bus operator in its employment operating a 24 passenger bus or over, a salary less than the minimum salary prescribed by the State Board of Education as provided above. County school authorities may supplement the salaries of any of its bus operators. Notwithstanding any of the provisions of this Act to the contrary, that upon the passage and approval of this Act, all school bus drivers employed by County boards of education to drive school busses shall continue to receive as a minimum, the salary paid during the 1956-57 school year or a salary of $100.00 per month for twelve (12) months, whichever is greater; and all contract school bus drivers, joint ownership or otherwise, shall continue to receive as a minimum salary the amount paid during the 1956-57 school year. Provided further, however, that no driver of either joint, private or county owned school busses shall receive less than $100.00 for the tenth, eleventh and twelfth months.

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Section 2. The intent of this Act is to increase the pay of all school bus drivers (county owned, joint-owned or private owned) $200.00 (two-hundred) dollars or more per year. Intent. Section 3. All funds alloted for transportation must be used for transportation purposes only. Same. Section 3-A. This Act to become effective when and if funds are available. Effective date. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. RESTORATION TO SANITYPROCEDURE. No. 593 (House Bill No. 581). An Act to amend an Act relating to the restoration to sanity of insane persons, approved March 27, 1947 (Ga. L. 1947, p. 1174), as amended, particularly by an Act approved March 9, 1956 (Ga. L. 1956, p. 585), so as to provide that under certain conditions, a person released from any hospital, sanitarium, institution, or any agency or instrumentality operated by the United States Veterans Administration, or to any other agency or instrumentality of the United States Government, as being sane under order of the chief administrative officer or administrator of such hospital, sanitarium, institution, agency or instrumentality, and in the event such officer or administrator transmits a copy of such order to the ordinary of the county from which such person was originally committed within ten (10) days, the ordinary of such county shall legally restore such person to sanity; to define the procedure connected therewith; to repeal conflicting laws; and for other purposes.

Page 773

Be it enacted by the General Assembly of Georgia: Section 1. An Act relating to the restoration to sanity of insane persons, approved March 27, 1947 (Ga. L. 1947, p. 1174), as amended, particularly by an Act approved March 9, 1956 (Ga. L. 1956, p. 585), is hereby amended by adding a new paragraph to section 1B, to read as follows: In the event a person who has been committed, transferred, or admitted to a hospital, sanitarium, institution, or any agency or instrumentality operated by the United States Veterans Administration, or to any other agency or instrumentality of the United States Government, is released therefrom as being sane under order of the chief administrative officer or administrator of such hospital, sanitarium, institution, agency or instrumentality, and in the event such chief administrative officer or administrator transmits a copy of such order to the ordinary of the county from which such person was originally committed within ten (10) days after such person is released, the ordinary of such county shall, by order, legally restore such person to sanity thirty (30) days from the date of the receipt of such order, and it shall be the duty of the ordinary to issue an order to that effect and enter such order on his minutes, along with a copy of the order of the chief administrative officer or the administrator, and such person shall not be required to follow the procedure provided for in this Act or any other law in order to be legally restored to sanity. so that when so amended, section 1B shall read as follows: Section 1B. In the event a person who has been committed to Milledgeville State Hospital is released therefrom as being sane, under order of the superintendent, a copy of such order shall be transmitted by the superintendent, within five (5) days of the date of such order, to the ordinary of the county from which such person was committed, and thirty (30) days from the date of the receipt of such copy by the ordinary, such person shall be deemed to have been legally restored to sanity, and it shall be the duty of the ordinary to issue an order to that

Page 774

effect and enter such order on his minutes along with a copy of the order of the superintendent, and such person shall not be required to follow the procedure provided for in this Act or any other law in order to be legally restored to sanity. In the event a person is released from Milledgeville State Hospital as being improved, under order of the superintendent, a copy of such order shall be transmitted by the superintendent, within five (5) days of the date of such order, to the ordinary of the county from which such person was committed, and shall be filed with the commitment papers of such person. In the event a person who has been committed, transferred, or admitted to a hospital, sanitarium, institution, or any agency or instrumentality operated by the United States Veterans Administration, or to any other agency or instrumentality of the United States Government, is released therefrom as being sane under order of the chief administrative officer or administrator of such hospital, sanitarium, institution, agency or instrumentality, and in the event such chief administrative officer or administrator transmits a copy of such order to the ordinary of the county from which such person was originally committed within ten (10) days after such person is released, the ordinary of such county shall, by order, legally restore such person to sanity thirty (30) days from the date of the receipt of such order, and it shall be the duty of the ordinary to issue an order to that effect and enter such order on his minutes, along with a copy of the order of the chief administration officer or the administrator, and such person shall not be required to follow the procedure provided for in this Act or any other law in order to be legally restored to sanity. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

Page 775

STATE SCHOOL BUILDING AUTHORITY ACT AMENDEDINTEREST RATE ON BONDS. No. 594 (House Bill No. 582). An Act to amend an Act known as the State School Building Authority Act approved February 19, 1951 (Ga. L. 1951, p. 241), as amended by an Act approved February 6, 1956 (Ga. L. 1956, p. 11), an Act approved March 17, 1956 (Ga. L. 1956, p. 806), an Act approved February 6, 1959 (Ga. L. 1959, p. 28), and an Act approved March 17, 1959 (Ga. L. 1959, p. 363), so as to eliminate the restriction upon the rate of interest on revenue bonds issued by the State School Building Authority; to correct punctuation; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the State School Building Authority Act approved February 19, 1951 (Ga. L. 1951, p. 241), as amended by an Act approved February 6, 1956 (Ga. L. 1956, p. 11), an Act approved March 17, 1956 (Ga. L. 1956, p. 806), an Act approved February 6, 1959 (Ga. L. 1959, p. 28), and an Act approved March 17, 1959 (Ga. L. 1959, p. 363), is amended by striking from section 5 thereof the words not exceeding four and one-half (4%) per centum per annum, and the comma following the words shall be payable in such medium of payment so that section 5 as amended shall read as follows: Section 5. Revenue Bonds. The authority, or any authority or body which has or which may in the future succeed to the powers, duties and liabilities vested in the authority created hereby, shall have power and is hereby authorized at one time, or from time to time, to provide by resolution for the issuance of negotiable revenue bonds, in an unlimited amount, for the purpose of paying all or any part of the cost as herein defined of any one or combination of projects. The principal and interest of such revenue bonds shall be payable solely from the special

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fund herein provided for such payment. The bonds of each issue shall be dated, shall bear interest at such rate or rates, payable semi-annually, shall mature at such time or times not exceeding 30 years from their date or dates, shall be payable in such medium of payment as to both principal and interest as may be determined by the authority and may be made redeemable before maturity, at the option of the authority, at such price or prices and under such terms and conditions as may be fixed by the authority in the resolution provided for the issuance of the bonds. Section 2. An Act known as the State School Building Authority Act approved February 19, 1951 (Ga. L. 1951, p. 241), as amended by an Act approved February 6, 1956 (Ga. L. 1956, p. 11), an Act approved March 17, 1956 (Ga. L. 1956, p. 806), an Act approved February 6, 1959 (Ga. L. 1959, p. 28), and an Act approved March 17, 1959 (Ga. L. 1959, p. 363), is amended by striking from section 9 thereof the words but no such sale shall be made at a price so low as to require the payment of interest on the money received therefor at more than four and one-half (4%) per centum per annum computed with relation to the absolute maturity of the bonds in accordance with standard tables of bond values excluding, however, from such computation the amount of any premium to be paid on redemption of any bond prior to maturity so that section 9 as amended hereby shall read as follows: Section 9. Same; sale; price. The authority may sell such bonds in such manner and for such price as it may determine to be for the best interests of the authority. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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MOTOR VEHICLESREGISTRATION OF VEHICLES USED FOR GOVERNMENTAL FUNCTIONS. Code 68-201 Amended. Code 92-2902 Repealed. No. 595 (House Bill No. 585). An Act to amend section 68-201 of the Code of Georgia, as amended, and to amend an Act approved December 24, 1937 (Ga. L. 1937-38, Ex. Sess., p. 259), as amended, and codified as section 92-2902 of the Code of Georgia, both of which relate to the registration and the licensing of motor vehicles, so as to provide that said sections shall not apply to motor vehicles owned by the State or any municipality or other policitical subdivision of this State and used exclusively for governmental functions; to provide for registration of and issuance of permanent license plates to motor vehicles owned by the State or any municipality or other political subdivision of this State and used exclusively for governmental functions; to prescribe the charge therefor; to prescribe procedures for same; to provide criminal penalties for violation of the provisions of this Act; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 68-201 of the Code of Georgia of 1933, as amended, particularly by an Act approved March 2, 1953 (Ga. L. 1953, Jan. Sess., p. 392) and by an Act approved March 15, 1957 (Ga. L. 1957, p. 590) is hereby amended by adding at the end thereof the following proviso: Provided further, that the provisions of this section shall not apply to motor vehicles, trailers, tractors or motorcycles owned by the State of Georgia or any municipality or other political subdivision of this State and used exclusively for governmental functions. Code 68-201 amended.

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Section 2. Section four of the Act approved December 24, 1937 (Ga. L. 1937-38 Ex. Sess., p. 259) as amended, particularly by an Act approved June 24, 1955 (Ga. L. 1955, Ex. Sess., p. 38), and codified as section 92-2902 of the Code of Georgia which reads as follows: State or municipal motor vehicles. For each motor vehicle owned by the State, any municipality, or other political subdivision of the State, used exclusively for governmental functions, the sum of one dollar. Code 92-2902 repealed. is hereby repealed in its entirety. Section 3. All motor vehicles owned by the State of Georgia or any municipality or other political subdivision of this State and used exclusively for governmental functions (except those employed in secret investigatory police functions to which regular Georgia license plates are issued) shall be registered with the State Revenue Commissioner by the fiscal officers or other proper officials of the respective departments and agencies of the State, municipality or political subdivision, to which such vehicles belong, prior to operation and use thereof. Such registration shall be made upon forms prescribed and prepared by the State Revenue Commissioner for such purpose, and shall contain a brief description of the vehicle to be registered; its name, model, the name of the manufacturer; the manufacturer's vehicle identification number; the department, agency, political subdivision or branch thereof to which such vehicle is to be registered; and such other information as to use and identity as the State Revenue Commissioner may require. Upon the filing with the State Revenue Department of such properly executed application for registration, the State Revenue Commissioner, upon such proof satisfactory to him that such vehicle is bona fide owned by the State or such municipality or subdivision and used exclusively for governmental functions, shall issue, upon payment by such applicant of a license fee of $1, permanent license plates to be displayed upon such vehicle in the same manner as provided for private motor vehicles. Such permanent license plates shall be of a distinguishing character so as to make the same readily identifiable and

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distinguishable from all other Georgia license plates, and the same shall remain displayed and affixed upon such vehicle so long as such vehicle continues to be owned by the State or such municipality or political subdivision and used exclusively for governmental functions, and upon cessation of either such ownership or use, the same shall be removed from such vehicle and returned to the State Revenue Commissioner for destruction or reassignment of registration to another vehicle subject to registration under this section. In the event of a transfer of a vehicle to a department or agency, or branch thereof, other than the one to which such vehicle is registered, the State Revenue Commissioner shall be notified in writing by the department or agency from which the same is being transferred upon a form prepared for such purpose by the State Revenue Commissioner and such transfer shall be recorded on the registration lists maintained by the Revenue Department. On due proof of loss of any such license plate, or of mutilation due to accidental or natural causes, another permanent license plate may be issued upon application of the fiscal officer or other proper official of the department, agency, or political subdivision to which any such lost plate is registered. Registration. Section 4. No person, firm or corporation owning or operating any motor vehicle shall display upon such motor vehicle any permanent license plate provided for in the preceding sections of this Act unless at the time of such ownership or operation said vehicle is properly registered under the foregoing section and is owned by the State, municipality, or a political subdivision of this State and is being used exclusively for governmental purposes. Any person violating the provisions of this section shall be guilty of a misdemeanor and upon conviction thereof shall be punished as provided by law. Crimes. Section 5. This Act shall become effective immediately upon approval of the Governor, but the State Revenue Commissioner and the governmental agencies and departments affected hereby shall be allowed until not later than January 1, 1961 in which to fulfill the requirements of registration and license plate issuance provided herein,

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and until said date such motor vehicles may be registered and licensed either in accordance with this Act or in accordance with laws existing at the time of adoption hereof. Effective date. Section 6. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. DESTRUCTION OF OBSOLETE STATE RECORDSPROCEDURE. No. 596 (House Bill No. 586). An Act to amend an Act relating to the destruction of records of the various State departments approved March 18, 1943 (Ga. L. 1943, p. 468), as amended by an Act approved March 8, 1945 (Ga. L. 1945, p. 331), an Act approved January 26, 1950 (Ga. L. 1950, p. 29), an Act approved February 3, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 4), an Act approved March 13, 1957 (Ga. L. 1957, p. 374), an Act approved March 13, 1957 (Ga. L. 1957, p. 504), and an Act approved February 4, 1959 (Ga. L. 1959, p. 26), so as to provide for the destruction of records of the various departments of the State upon a finding by the Secretary of State and the Director of the Department of Archives and History, approved by the Governor, that such records have no historic value, are obsolete, and will serve no other useful purpose; to make photostat copies of certain public records primary evidence; to repeal the provisions of the aforesaid Acts permitting any head of any department of State to destroy records in his custody upon his own responsibility and without the approval of the Secretary of State, Director of the Department of Archives and History, and the Governor; to repeal paragraph 8 of section I of the Act approved March 8, 1945 (Ga. L. 1945, p. 331), authorizing the Commissioner of Labor to provide for the destruction of obsolete

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records of the Division of Employment Security; to repeal the Act approved January 26, 1950 (Ga. L. 1950, p. 29) authorizing the Revenue Commissioner to destroy obsolete records; to repeal the Act approved March 13, 1957 (Ga. L. 1957, p. 374) authorizing the State Board of Workmen's Compensation to destroy obsolete records; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Act approved March 18, 1943 (Ga. L. 1943, p. 468), as amended by an Act approved March 13, 1957 (Ga. L. 1957, p. 504), and an Act approved February 4, 1959 (Ga. L. 1959, p. 26), relating to the destruction of records of the various State departments is hereby amended by striking sections 1 and 2 thereof in their entirety and by substituting in lieu thereof new sections to read as follows: Section 1. Be it enacted by the authority of the General Assembly of Georgia, and it is enacted by authority of the same, that the Governor be, and he is, authorized to order the destruction of records of any department of State, but before any such records shall be destroyed under this authority, the officer charged by law with the custody of the same shall list and describe the said record and shall certify to the Secretary of State that the records sought to be destroyed are without historic value, are obsolete, are expensive to store and will serve no further useful purpose. Should the Secretary of State and the Director of the Department of Archives and History, after examining into the matter, concur with such custodian of such records, then they may jointly certify to the Governor that said records ought to be destroyed. Should the Governor concur in the findings of such official custodian of such records and in the findings of the Secretary of State and the Director of the Department of Archives and History he may, in his discretion, order the same destroyed: Section 2. The Secretary of State and the Director of

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the Department of Archives and History may, in their discretion, condition their certification that said records ought to be destroyed with the requirement that such officer charged by law with custody of same shall first cause microfilms of the same to be made, capable of development into photostatic copies, and the Governor may, in his discretion, with or without such requirement being imposed by such certification, require or dispense with the requirement that such photostatic copies to be made prior to the destruction of such records. Photostatic copies of any such records produced from such microfilms shall be received in any court of this State as primary evidence of the recitals contained therein. Section 2. The Act approved March 8, 1945 (Ga. L. 1945, p. 331) amending the Georgia Unemployment Compensation Law approved March 29, 1937 (Ga. L. 1937, p. 806) is hereby amended by striking paragraph 8 of section 1 of said amendatory Act in its entirety so as to delete from said Georgia Unemployment Compensation Law the following words: The Commissioner is expressly authorized by regulation to provide for the destruction of obsolete records of the Division of Employment Security which are expensive to store, and without practical or historic value, notwithstanding any provisions of section 40-809 of the Code to the contrary. Prior Act repealed. Section 3. The Act approved January 26, 1950 (Ga. L. 1950, p. 29), providing that the Revenue Commissioner in his discretion may destroy all obsolete records which have no historical or legal value provided that such records are at least three years old is hereby repealed in its entirety. Act of 1950 repealed. Section 4. The Act approved March 13, 1957 (Ga. L. 1957, p. 374) providing that the State Board of Workmen's Compensation in its discretion may destroy all obsolete records which have no historic or legal value if such records are at least four years old is hereby repealed in its entirety. Act of 1957 repealed.

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Section 5. Should any section or part of a section of this Act be declared to be unconstitutional or invalid for any reason, the same shall not affect the remainder of this Act or any part thereof other than the part so held to be invalid. Section 6. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. AGRICULTUREADVISOR, AND ADVISORY COMMITTEE TO STATE INSTITUTIONAL FARMS. No. 597 (House Bill No. 587). An Act to create within the Department of Agriculture the office of Advisor to State Institutional Farms under the supervision and control of the Commissioner of Agriculture; to provide for the duties, compensation, powers and authority of the advisor; to provide an advisory committee, its composition, powers, duties, and compensation; to provide the duties of the Commissioner of Agriculture in conjunction herewith; to enumerate the duties of the advisor and the procedure connected with the exercise of the performance of such duties; to provide for reports of activities of the advisor; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. There is hereby created within the Department of Agriculture the office of Advisor to State Institutional Farms under the supervision and control of the Commissioner of Agriculture. Office of Advisor created. Section 2. There is hereby created an Advisory Committee on Institutional Farms to aid in the selection of the advisor and in the performance of his duties. The advisory committee shall be composed of the following ex officio

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members, to-wit: Commissioner of Agriculture, Chairman; Dean of the College of Agriculture, University of Georgia; Dean of the School of Veterinary Medicine, University of Georgia; Director of the Agricultural Extension Service, University of Georgia; Director of the Agricultural Experiment Stations, University of Georgia; and the President of the Abraham Baldwin Agricultural College, Tifton, Georgia. The committee shall meet upon the call of the Chairman or a majority of the members thereof as shall be necessary to perform the duties of the committee. The members of the committee shall serve without additional compensation for their services as members, but shall be reimbursed for actual expenses incurred in the performance of their duties and such funds shall be paid from the funds of the Department of Agriculture. The ex officio members provided herein shall be authorized to designate persons to serve for them as members of the committee. The committee shall serve in an advisory capacity and shall recommend persons for appointment by the Commissioner of Agriculture that they deem qualified to perform the duties of advisor. The committee shall recommend only those persons that they deem qualified in farm management on a professional basis. Advisory Committee created. Section 3. It shall be the duty of the Commissioner of Agriculture to appoint an advisor to State Institutional Farms from the persons recommended by the advisory committee. No person shall be appointed advisor unless he shall have been recommended by the committee. Upon appointment, the advisor shall serve at the pleasure of the Commissioner of Agriculture. The advisor shall be compensated in an amount to be determined by the Commissioner of Agriculture. The Commissioner shall have authority to reject nominations. In such an event, it shall be the duty of the advisory committee to make additional recommendations satisfactory to the Commissioner. Appointment of advisor. Section 4. It shall be the duty of the advisor to cooperate with all agencies of the State operating institutional farms in advising such agencies of ways and means to improve the operations of the farms. To this end, the

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advisor is authorized upon request of the agency to evaluate existing operations of the farms and to recommend methods of improvement. The advisor shall serve in an advisory capacity to the governing authorities of the agencies operating institutional farms and shall have no authority to govern or interfere with the operation thereof except upon the request of the governing authority. Duties. In addition thereto, it shall be the duty of the advisor to: (a) Work closely and continuously with each of the State agencies having institutional farms to bring about more efficient and economical farm practices: (1) through utilizing to the maximum extent feasible the potentialities of the farms; (2) through processing the products of the farms in the most advantageous manner; and (3) through securing the best distribution of the products of the farms to institutions of the State and to other State agencies requiring these products. (b) To arrange for assistance to the institutional farms by specialists from the staff of the University of Georgia's College of Agriculture and from other agricultural schools and agencies, including consultation visits, demonstrations, analyses, and experimentation projects. (c) To promote the use of institutional farms for experimentation purposes, where it is mutually agreeable between the agencies and the College of Agriculture of the University of Georgia. (d) To work closely with the agencies and the State Supervisor of Purchases to insure that products of an institution's farm which are surplus to the needs of that institution or agency are utilized by other institutions and agencies of the State, with inter-agency payments or credits for goods receivedspecial care to be exercised that processed foods measure up to required specifications. (e) To promote inter-farm and inter-agency use of equipment, machinery, and facilities.

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The advisor shall also furnish information to all agencies of this State operating institutional farms relative to ways, means, methods and recommendations of improving the operation of such farms so as to enable the State to realize the maximum benefit from the operation of such farms. Section 5. The advisory committee shall, in addition to the other duties hereinbefore enumerated, perform the following functions: (a) To nominate persons to the Commissioner of Agriculture for appointment as advisor. Duties of Advisory Committee. (b) To render a report to the General Assembly and the Governor annually on the operations of all the institutional farms of the State and on improvements which might be made in these operations. (c) To render reports to the agencies from time to time on the status of their farm operations and on improvements which might be made in these operations. (d) To confer with and give counsel to the advisor on how he can most effectively carry on his functions. (e) To facilitate the obtaining of specialists by the advisor. (f) To promote close, cooperative working relationships between the advisor and the State agencies operating institutional farms and between the advisor and the State Supervisor of Purchases. (g) To recommend personnel to be employed in farm management positions, but only upon request of an agency for such recommendations. Section 6. Budget authorities of this State are authorized to make available to the Department of Agriculture additional funds to cover the costs incurred by virtue of performing the provisions of this Act. Expenses.

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Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GENERAL APPROPRIATIONS ACT AMENDEDREPAIRS, ETC. TO OFFICES USED BY GENERAL ASSEMBLY. No. 598 (House Bill No. 591). An Act to amend an Act known as the General Appropriations Act, approved March 14, 1956 (Ga. L. 1956, p. 753), as amended by an Act approved February 19, 1957 (Ga. L. 1957, p. 68), and an Act approved March 13, 1957 (Ga. L. 1957, p. 498), so as to change the provision relating to the appropriation for committee rooms and offices of the legislative branch of the government; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the General Appropriations Act, approved March 14, 1956 (Ga. L. 1956, p. 753), as amended by an Act approved February 19, 1957 (Ga. L. 1957, p. 68), and an Act approved March 13, 1957 (Ga. L. 1957, p. 498), is hereby amended by striking subsection (A) of section 1, which reads as follows: (A) For exclusive use for repairs, refurbishing, painting and equipping committee rooms and offices on the third floor of the State Capitol Building, including House and Senate Chambers$150,000.00 and substituting in lieu thereof the following: (A) For exclusive use for repairs, refurbishing, painting and equipping committee rooms, the House and Senate

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Chambers and other offices for use by the legislative branch of the State government$150,000.00 Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. CONVEYANCE OF LAND TO GEORGIA PORTS AUTHORITY AUTHORIZED. No. 599 (House Bill No. 593). An Act to amend an Act known as the Georgia Ports Authority Act, approved March 9, 1945 (Ga. L. 1945, p. 464), as amended, so as to authorize the Governor on behalf of the State, to convey certain property to the Georgia Ports Authority; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Ports Authority Act, approved March 1945, as amended, is hereby amended by adding a new section, to be known as section 5-A to read as follows: Section 5-A. The Governor is hereby authorized, on behalf of the State, to convey to the Georgia Ports Authority for the sum of one dollar, property located in Chatham County and Glynn County, Georgia, which has been deeded to the State. The Authority shall have the same power and authority relative to such property as it has relative to any other property of the Authority. Tract 1. The property located in Chatham County is described as follows: All those two certain lots, tracts or parcels of land, situate lying and being in the 8th district, G.M., Chatham County, Georgia, and described as follows:

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Parcel No. 1. A strip of land one hundred (100) feet in width situated along the northern bank of Pipemaker Canal; extending in an easterly direction from the easterly boundary line of Port Wentworth Road, also known as U.S. Highway No. 17, along the said Pipemaker Canal, to the low water mark of the Savannah River; and being bounded on the north by the southern boundary line of a certain tract of land conveyed by Mrs. Anna M. Hopkins and the Liberty National Bank Trust Company of Savannah as executors of the will and trustees of the estate of W. Lathrop Hopkins, deceased, to Midland Properties Company by deed dated May 22, 1952, and recorded May 24, 1952, in record book 55V, folio 203, of the Chatham County records; on the east by the low water mark of the Savannah River; on the south by Pipemaker Canal; and on the west by the easterly boundary of Port Wentworth Road, also known as U. S. Highway No. 17; and shown outlined in yellow on map No. A-17-Z3 prepared by office of Chief Engineer Company, dated January 1958, a copy of which is hereto attached and made a part hereof and containing 10.00 acres, more or less. Subject, nevertheless, to those certain easements granted to Savannah Electric and Power Company by deed recorded as aforesaid in record book 28-W's, folio 302, and to the mayor and aldermen of the City of Savannah by deed recorded as aforesaid in record book 45-O's, folio 372, and to the Southern Natural Gas Company by easement dated September 4, 1953. Parcel No. 2. All that certain lot, tract or parcel of land being bounded as follows: On the north by southern boundary line of lands of Southern Nitrogen Company; on the east by the low water mark of the Savannah River; on the south by the northern boundary line of aforesaid Parcel No. 1; and on the west by the easterly boundary line of Port Wentworth Road, also known as U. S. Highway No. 17; and being a portion of that property now and formerly known as Whitehall Plantation, and, also, of that property conveyed by Mrs. Anna M. Hopkins and the Liberty National Bank Trust

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Company of Savannah, as executors of the will and trustee of the estate of W. Lathrop Hopkins, deceased, to Midland Properties Company by deed dated May 22, 1952, and recorded May 24, 1952, in record book 55-V, folio 203, of the Chatham County records; and shown outlined in yellow on map No. A-17-Z-3, prepared by the office of Chief Engineer, Savannah Atlanta Railway Company for Midland Properties, dated January 1958, a copy of which is hereto attached and made a part hereof, and containing 378.00 acres, more or less. Subject, nevertheless, to those certain easements granted to Savannah Electric and Power Company by deed recorded as aforesaid in record book 28-W's, folio 302, and to the mayor and aldermen of the City of Savannah by deed recorded as aforesaid in record book 45-O's, folio 372, and to any railroad rights of way and roads, if any, running in, through and across the abovedescribed property, or any portion thereof. Tract 2. The following described property lying and being in the City of Brunswick in Glynn County, Georgia. Tract 2. All that certain tract, lot and parcel of land situate, lying and being in the City of Brunswick, in Glynn County, Georgia, identified and described as follows, to-wit: A rectangular parcel of land four hundred and five (405) feet by eleven hundred and forty-five (1,145) feet in size lying within the corporate limits of said City of Brunswick and in the southern part of said city below what is called the Old Town, said parcel of land being described as beginning at a point on the extreme southwest corner of that lot of land identified on the plat of said city known as Baldwin's map of Brunswick, as Old Town Bay lot no. fifty (50); thence running eastwardly four hundred and five (405) feet to the extreme southeast corner of that other lot of land shown on said map as Old Town lot no. one hundred (100); thence southwardly at right angles from the preceding course eleven hundred forty-five (1,145) feet; thence westwardly at right angles from the preceding course and parallel with the first described course four hundred and

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five (405) feet to a point on a southerly prolongation of the east line of Bay Street in said city; thence northwardly along said prolongation of the east line of Bay Street eleven hundred forty-five (1,145) feet to the point of beginning; containing ten and sixty-five one hundredths (10.65) acres; more or less, and being shown outlined in yellow on the blue print attached to that certain deed, dated June 1, 1959, from the Atlantic Coast Line Railroad Company to the City of Brunswick and Glynn County, of record in the office of the clerk of Superior Court of Glynn County, Georgia, in deed book 9-C, folio 580-583, reference to said map and plat and the record thereof being hereby had for all purposes of description; subject, however, to the rights of way for streets or public utilities as may exist on or across said parcel of land. The Governor is hereby authorized to execute for and on behalf of the State, the necessary instruments relative to the conveyance of the aforesaid property to the Georgia Ports Authority. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. ADOPTION LAWS AMENDEDCONSENT GIVEN TO ADOPTION BY NATURAL PARENT UNDER 21 YEARS OF AGE BINDING. No. 600 (House Bill No. 642). An Act to amend an Act and revise the adoption laws approved March 27, 1941 (Ga. L. 1941, p. 300), as amended, so as to provide that consent for adoption given by parents shall be binding, irrespective of the age of such parents; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act to amend and revise the adoption laws approved March 27, 1941 (Ga. L. 1941, p. 300), as amended, is hereby amended by adding to section 3 thereof a new paragraph, which shall be known as paragraph 5, and which shall read as follows: 5. The parental consent, when required by this Act, may be given by the natural parents or parent of the child sought to be adopted irrespective of whether such natural parent, or either or both of them, have arrived at the age of 21 years. The parental consent given by minor natural parents shall be as binding upon them as if such parents were in all respects sui juris. Section 2. All laws or parts of laws in conflict herewith are hereby repealed. Approved March 7, 1960. STATE BOARD OF HEALTHMEMBERS. Code 88-102, 88-104 Amended. No. 601 (House Bill No. 647). An Act to amend Code section 88-102 relating to the members of the State Board of Health so as to increase the number of members of said board from 14 to 15; to provide qualifications and procedure for the appointment of the additional member; to provide for appointments by the Governor under enumerated conditions; to amend Code section 88-104, relating to the terms of office of members of the State Board of Health, so as to provide a term of office for the additional member provided by this Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 88-102, relating to the members

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of the State Board of Health is hereby amended by striking said section in its entirety and in lieu thereof inserting the following: 88-102. The Board of Health shall be composed of fifteen (15) members appointed by the Governor and confirmed by the Senate, one from each congressional district and the remainder from the State at large; Provided, that all appointments shall be made from lists of nominees submitted to the Governor by the governing bodies of the Medical Association of Georgia, the Georgia Dental Association, and the Georgia Pharmaceutical Association. The nominees submitted by the governing body of the Georgia Pharmaceutical Association shall be from the State at large, and shall be at least four in number, from which two appointments shall be made by the Governor. The nominees submitted by the governing body of the Georgia Dental Association shall be from the State at large, and shall be at least four in number, from which two appointments shall be made by the Governor. The nominees submitted by the Medical Association of Georgia shall be at least 20 in number, including not less than two nominees from each congressional district, from which the Governor shall make 10 appointments, including at least one appointee from each congressional district. The Medical Association of Georgia shall also submit at least two nominees who are physicians and who have been certified by the American Board of Psychiatry and Neurology, from which the Governor shall appoint one of the nominees. At all times there shall be at least one member of the Board of Health who is certified by the American Board of Psychiatry and Neurology. A majority of all the members of the Board shall, at all times, be practicing physicians in the State. The Governor shall be ex officio a member of said Board of Health. In the event of a failure of any group to submit nominees as specified herein, or in the event of a vacancy for any reason not herein specified, the Governor shall be authorized to make appointments from those persons eligible for recommendation by the group failing to make the nomination or who is otherwise qualified.

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Section 2. Code section 88-104, relating to the terms of office of members of the State Board of Health, is hereby amended by striking therefrom the figure 14 and by adding at the end thereof the following: The member of the Board who is a psychiatrist shall be appointed to serve for a term ending September 1, 1966 and successors to such member shall be appointed for terms of six years each., Terms. so that section 88-104 as so amended shall read: 88-104. The terms of office of the members first appointed shall be as follows: Two shall be appointed for a term ending September 1, 1934; two for a term ending September 1, 1935; two for a term ending September 1, 1936; two for a term ending September 1, 1937; three for a term ending September 1, 1938; three for a term ending September 1, 1939; and their successors shall be appointed for full terms of six years each. The member of the board who is a psychiatrist shall be appointed to serve for a term ending September 1, 1966, and successors to such member shall be appointed for terms of six years each. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. MILLEDGEVILLE STATE HOSPITAL PLACED UNDER CONTROL OF STATE BOARD OF HEALTH. No. 602 (House Bill No. 648). An Act to transfer to the State Board of Health of Georgia all of the authority, duties, functions and responsibilities with respect to the Milledgeville State Hospital, its administration, control, conduct and operation which, prior to April 24, 1959, were vested in any other

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department, agency, instrumentality or official of the State of Georgia; to transfer from the same to the State Board of Health all of the property, equipment, facilities, appropriations, allocations and other funds (available or to be made available) of such other department, agency, instrumentality or official in connection with the exercise of such authority or the performance of such duties, functions, or responsibilities or the administration, control, conduct and operation of said Hospital; to transfer to said State Board of Health or the Department of Public Health such of the personnel of said Hospital as may be determined by said State Board of Health or the Director of the Department of Public Health of Georgia; to provide that the Director of the Department of Public Health, with the approval of the State Board of Health, may exercise in his capacity as such Director any of the authority and perform any of the functions, duties and responsibilities herein vested in the State Board of Health and may delegate the same or any part thereof to others; to provide that in his capacity as such Director, he may issue and make effective any and all regulations and orders that may be necessary or appropriate to the exercise of such authority or the performance of such functions, duties, and responsibilities; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. There is hereby transferred to the State Board of Health of Georgia all of the authority, duties, functions and responsibilities with respect to the Milledgeville State Hospital in Baldwin County, Georgia, its administration, control conduct and operation which, prior to April 24, 1959, were vested in any other department, agency, instrumentality, or official of the State of Georgia. Whenever such other department, agency, instrumentality or official is referred to in any act of the General Assembly in connection with the administration, control, conduct or operation of Milledgeville State Hospital, it shall be deemed to refer to the State Board of Health. The Director of the Department of Public Health

Page 796

of Georgia, with the approval of the State Board of Health, may exercise in his capacity as such Director any of the authority and perform any of the duties, functions, and responsibilities herein vested in the State Board of Health and may delegate the same or any part thereof to one or more individuals. In his capacity as such Director he may issue and make effective any and all regulations and orders that may be necessary or appropriate to the exercise of such authority or the performance of such functions, duties, and responsibilities. There is likewise transferred from such department, agency, instrumentality or official to said State Board of Health all of the property, equipment, and facilities, and all appropriations, allocations and other funds (available and to be made available) provided under any statute or constitutional provision or continuation thereof, in connection with the exercise of such authority or the performance of such duties, functions or responsibilities or the administration, control, conduct or operation of said hospital. There is also transferred to said State Board of Health or the Department of Public Health of Georgia such employees and personnel engaged in work in connection with said hospital as said Board or the Director of said Department shall determine. Section 2. No legal proceeding shall be abated because of the transfers herein made but the appropriate party exercising like authority or performing like duties, functions or responsibilities shall be substituted in said proceeding. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960.

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AGRICULTUREMILK CONTROL ACT AMENDED. No. 603 (House Bill No. 854). An Act to amend an Act creating the Georgia Milk Commission (formerly the Milk Control Board), defining the membership, duties, and powers thereof, and regulating the sale of milk, known as the Milk Control Act, and approved March 30, 1937 (Ga. L. 1937, p. 247), as amended, so as to authorize the commission to assess and collect costs and penalties in connection with revocation and reinstatement of licenses; to repeal the provisions of said Act that license fees shall not be applicable to surplus milk as defined therein, so as to provide that all milk shall be subject to the license fees provided in said Act; to further define the terms and conditions applicable to contracts for the purchase of milk from producers; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the Georgia Milk Commission (formerly the Milk Control Board), defining the membership, duties, and powers thereof, and regulating the sale of milk, known as the Milk Control Act, and approved March 30, 1937 (Ga. L. 1937, p. 247), as amended, is hereby amended by adding the following paragraph to section 13 thereof: Whenever the commission revokes a license because of any violation of this Act or any order, rule, or regulation of the commission thereunder, the commission may authorize the reinstatement of the license upon the payment by the licensee of such reasonable penalty, not in excess of one thousand dollars with respect to each offense, as shall be determined by the commission. Whenever, after hearing, a license shall be denied, suspended, or revoked by the commission because the applicant or licensee has violated this Act or any order, rule or regulation of the commission thereunder, the reasonable costs and expenses of the proceedings as determined under

Page 798

authority of the commission, may be assessed against, and shall be paid by, such applicant or licensee. Fines, costs. Section 2. Said Act as amended is further amended by striking from section 2 the words: The license fees herein provided shall not be applicable to surplus milk; `surplus milk' being that milk that is not used by a distributor or producer-distributor for processing or bottling into fluid whole, skimmed, chocolate or flavored milk or drink, buttermilk, fluid cream, ice cream, ice milk, egg nog or other dessert, ice cream or ice milk mixes., License fees. and inserting in lieu thereof the words: The license fees provided herein shall be applicable to all milk. Section 3. Said Act as amended is further amended by adding the following sentence to paragraph (a) of section 19 thereof: Any contract for the purchase of milk to be produced by any producer which is made within thirty (30) days from the date of the initial offer to purchase shall be voidable at the option of the selling producer at any time within such thirty (30) day period. Voidable contracts. Section 4. Said Act as amended is further amended by adding the following sentence to sub-paragraph (xii) of paragraph (a) of section 19 thereof: Except when terminable at any time at the option of the producer upon notice not exceeding sixty (60) days, the term of a contract with a producer for the purchase of milk to be produced by him shall not exceed twelve (12) months. Terms of contracts. Section 5. Said Act as amended is further amended by adding the following paragraph to sub-paragraph (ii) of paragraph (d) of section 19 thereof:

Page 799

Irrespective of the foregoing provisions, any order of the commission issued hereunder may authorize exceptions from the producer payment plan established thereunder in conformity herewith with respect to the price to be paid by a distributor or producer-distributor for milk required which is not supplied by the licensed producers and others regularly delivering milk to him. Exceptions to producer payment plan. Section 6. Said Act as amended is further amended by adding the following sentence to paragraph (f) of section 19 thereof: Further, when a distributor or producer-distributor shall have accepted and purchased milk regularly delivered by a licensed producer over a period of six (6) months or more, shall have entered into an agreement with a new producer to establish a base as herein authorized, or shall have entered into an agreement with a producer to transfer his base from another milk shed as herein authorized, any contract between them hereunder established by a course of dealing shall be terminable by the purchasing distributor or producer-distributor only upon twelve (12) months written notice to the producer; provided that this provision shall not prohibit termination of such contract by the purchaser if the producer shall not comply with his obligation to continue delivering substantially the same quantity of wholesome and acceptable milk as previously delivered, shall practice or participate in any fraud or deception with respect to his milk being delivered to the purchaser or with respect to the records pertaining thereto, shall violate any Georgia Department of Agriculture or health requirement lawfully applicable to his milk or the production and handling thereof, or shall violate any provision of this Act including any delivery of milk while not holding license required therefor hereunder, but any controversy between the parties as to the existence of any of the foregoing causes for termination without the required twelve (12) months advance notice may be resolved by the commission in accordance with such reasonable procedure, including opportunity of hearing to each

Page 800

party, as may be established therefor by the commission. Termination of contracts. Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. GEORGIA PUBLIC SERVICE COMMISSIONACT TO ENLARGE JURISDICTION REPEALED. No. 605 (House Bill No. 1065). An Act to repeal an Act to enlarge the jurisdiction and power of the Georgia Public Service Commission so as to authorize said Commission to prescribe rates, supervise and regulate the furnishing or selling of water by certain persons, firms or private corporations; to approve the issuance of stocks, bonds, notes or other evidence of debt as now provided by law for utilities under the jurisdiction of the Commissioner; to prescribe and fix penalties and punishments for failure or refusal to observe any order, rule or regulations of said Commission, and to prescribe the form of procedure for enforcing same; to repeal conflicting laws; approved March 27, 1941 (Ga. L. 1941, p. 283); and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That an Act entitled An Act to enlarge the jurisdiction and power of the Georgia Public Service Commission so as to authorize said Commission to prescribe rates, supervise and regulate the furnishing and selling of water by certain persons, firms or private corporations; to approve the issuance of stocks, bonds, notes or other evidence of debt as now provided by law for utilities under the jurisdiction of the Commission; to prescribe and fix penalties and punishments for failure or refusal to observe any order, rule or regulations of said

Page 801

Commission, and to prescribe the form of procedure for enforcing same; to repeal conflicting laws; approved March 27, 1941 (Ga. L. 1941, p. 283); be and the same is hereby repealed in its entirety. 1941 Act repealed. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 7, 1960. USED CAR DEALERS' REGISTRATION ACT AMENDED. No. 608 (House Bill No. 798). An Act to amend an Act known as the Used Car Dealers' Registration Act, approved February 20, 1958 Ga. L. 1958, p. 55), so as to provide for the expiration of licenses and renewal thereof; to provide for the fees for licenses; to provide for the collection of additional fees for licenses; to authorize the State Board of Registration of Used Car Dealers to investigate the actions of any used car dealer, or anyone who shall assume to act in such capacity, upon motion of the board or upon the verified complaint in writing of any person; to provide that the board shall have power, in addition to other powers authorized by said Act, to suspend or revoke any license issued, or refuse to renew a license issued by virtue of the provisions of said Act; to provide the grounds for said suspension or revocation and refusal to renew the license; to provide for appeals from decisions of said board; to provide that appeals from said board shall not operate as a supersedeas; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Used Car Dealers' Registration Act, approved February 20, 1958 (Ga. L.

Page 802

1958, p. 55), is hereby amended by striking subsection (c) of section 8 in its entirety and inserting in lieu thereof a new subsection (c) of section 8 to read as follows: Section 8 (c). The license fee for each calendar year or portion thereof shall be twenty-five ($25.00) dollars for each principal place of business if paid prior to the date the used car dealer begins to do business and five ($5.00) dollars for each supplemental license for each car lot not immediately adjacent to the principal place of business, if paid prior to the time the applicant begins to do business. If the applicant begins to do business as a used car dealer prior to the issuance of the license provided for in this Act, the license fee shall be seventy-five ($75.00) dollars for each principal place of business and fifty-five ($55.00) dollars for each supplemental license for each car lot not immediately adjacent to the principal place of business. License fes. All licenses issued under the provisions of this Act shall expire on December 31st of the calendar year in which issued and shall become invalid on that date, but renewal of such license may be made between January 1st and March 31st following the date of expiration by the payment of twenty-five ($25.00) dollars for each principal place of business and five ($5.00) dollars for each supplemental license for each car lot not immediately adjacent to the principal place of business. Failure to apply for renewal of a license as a used car dealer and to remit the renewal fee by March 31st following the date of expiration shall not withdraw the right of renewal, but the renewal fee, if submitted after March 31st following the date of expiration, shall be seventy-five ($75.00) dollars for each principal place of business and fifty-five ($55.00) dollars for each supplemental license for each car lot not immediately adjacent to the principal place of business. The State Board of Registration of Used Car Dealers shall also require any applicant for a license, who has been in business as a used car dealer and, who has not previously obtained a license as required by this Act, to

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pay an additional sum of seventy-five ($75.00) dollars for each principal place of business and fifty-five ($55.00) dollars for each supplemental license for each car lot not immediately adjacent to the principal place of business for each year or fraction thereof, during which the applicant has been in business since April 1, 1958. Section 2. Said Act is further amended by striking section 9 in its entirety. Section 9 repealed. Section 3. Said Act is further amended by striking section 11 in its entirety and inserting in lieu thereof a new section 11 to read as follows: Section 11. The State Board of Registration of Used Car Dealers may, upon its own motion, and shall, upon the verified complaint in writing of any person, investigate the actions of any used car dealer, or anyone who shall assume to act in such capacity, and said board shall have power, in addition to the other powers authorized by this Act, to suspend for a specified time, to be determined in its discretion, or revoke, any license issued by virtue of the provisions of this Act, where the used car dealer is found guilty, by a majority of the members of the State Board of Registration of Used Car Dealers, of any one or more of the following: Investigations. (a) Material misstatement in an application for a license; or (b) Wilful and intentional failure to comply with any provisions of this Act or any lawful rule or regulation issued by the Board under the provisions of this Act; or (c) Making any substantial misrepresentation; or (d) Making any false promises of a character likely to influence, persuade, or induce; or (e) Pursuing a continued and flagrant course of misrepresentation or the making of false promises through agents, salesmen, advertising, or otherwise; or

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(f) Failure to account for or to remit any moneys coming into his possession which belong to others; or (g) Paying a commission to or sharing or participating in a commission, sale or other transaction to or with any person operating in any county under the jurisdiction of the State Board of Registration of Used Car Dealers, not licensed under the provisions of this Act; or (h) Having demonstrated unworthiness or incompetency to act as a used car dealer in such manner as to safeguard the interest of the public; or (i) Fraud or fraudulent practice or untrustworthiness or incompetency to act as a used car dealer; or (j) The intentional use of any false, fraudulent or forged statement or document, or the use of any fraudulent, deceitful, dishonest or immoral practice in connection with any of the licensing requirements as provided for in this Act; or (k) The commission of any crime involving violence or moral turpitude; the conviction, plea of guilty or plea of nolo contendere of a crime involving violence or moral turpitude shall be conclusive evidence of the commission of such crime. A fine or sentence based on a conviction, a plea of guilty or plea of nolo contendere to a charge or indictment by either the Federal or State governments for tax evasion or failure to pay taxes shall be considered a crime involving moral turpitude; or (l) Use of untruthful or improbable statements, or flamboyant or extravagant claims concerning such licensee's excellence or abilities; or (m) The performance of any dishonorable or unethical conduct likely to deceive, defraud, or harm the public; or (n) The use of any false or fraudulent statement in any document in connection with the business as a used car dealer; or

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(o) Violating or attempting to violate, directly or indirectly, or assisting in or abetting the violation of or conspiring to violate any of the provisions of this Act; or (p) Any other conduct, whether of the same or a different character than heretofore specified, which constitutes dishonest dealing. Section 4. Said Act is further amended by re-numbering section 18 of said Act, so that when so amended, section 18 shall be section 19, to read as follows: Section 19. All laws and parts of laws in conflict with this Act are hereby repealed. Section 5. Said Act is further amended by adding a new section to said Act, to be known as section 18 and to read as follows: Section 18. Any act of the State Board of Registration of Used Car Dealers in granting, refusing to grant or to renew a license provided in this Act, or in revoking or suspending, or refusing to revoke or suspend such a license, shall be subject to appeal to the superior court by a writ of certiorari, as provided by law as in other cases, in the county in which the office of the Joint-Secretary is maintained, and service upon such Joint-Secretary shall be service upon the board. When the board shall have made and filed its decision, any person desiring to appeal from the decision shall give ten (10) days written notice to the Board of his intention to appeal such decision. An appeal shall lie from a decision on the writ of certiorari, as herein provided, as in other cases. The appeal provided herein shall not operate as a supersedeas to the decisions of the State Board of Registration of Used Car Dealers. Appeals. Section 6. Said Act is further amended by striking the figures 30,000 from section 16 of said act and inserting in lieu thereof the figures 50,000. Counties where applicable.

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Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 9, 1960. REVENUEEXPORT TAXES PROHIBITED. No. 609 (House Bill No. 1019). An Act to prohibit the imposition of any export tax upon any item manufactured or produced in the State of Georgia and shipped by the manufacturer or producer for sale outside the State of Georgia. Be it enacted by the General Assembly of Georgia: Section 1. No export tax shall be imposed upon any item manufactured or produced in Georgia and shipped by the manufacturer or producer for sale outside the State of Georgia. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 9, 1960. ACT CREATING BOARD OF FUNERAL SERVICE AMENDED. No. 610 (Senate Bill No. 232). An Act to amend an Act creating and establishing a Board of Funeral Service, approved February 13, 1950 (Ga. L. 1950, p. 238), to change the residence requirements for applicants; to change the requirements for the apprentice fee; to eliminate the reciprocal practice provisions; to change the examination requirements; to provide for a licensed funeral director for each establishment;

Page 807

to change the notice and service of charges provision; to change the provisions relating to the reissuance of revoked licenses; to provide for injunctions; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating and establishing a Board of Funeral Service, approved February 13, 1950 (Ga. L. 1950, p. 238), is hereby amended by inserting after the first sentence in section 8 the following sentence: Such application shall have attached thereto such proof as the Board shall prescribe to show that the applicant has been for one (1) year immediately preceding the date thereof a domiciliary actually residing in the State of Georgia. so that as amended, section 8 shall read as follows: Section 8. Application for license. Any person desiring to engage in the practice of embalming or in the business or practice of funeral directing and who has not heretofore been licensed so to do shall make written application to the board through the Joint-Secretary, State Examining Boards, for such license. Such application shall have attached thereto such proof as the Board shall prescribe to show that the applicant has been for one (1) year immediately preceding the date thereof a domiciliary actually residing in the State of Georgia. Such application shall be upon such form and shall be submitted in such manner as shall be prescribed by the Board and the applicant shall pay such fee as may be fixed by the Board. Before issuing a license to practice funeral directing or embalming in this State the Board shall examine the applicant as to his qualifications and skill in either funeral directing or embalming, or both, as the case may be, and such examination shall be made in the manner hereinafter provided. Section 2. Said Act is hereby further amended by striking subsection (d) of paragraph (1) of section 9 in

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its entirety and inserting in lieu thereof the following new subsection (d) of paragraph (1) of section 9: (d) of good moral character, which fact shall be evidenced by affidavit from funeral director or embalmer who are duly licensed by this board, actively practicing in Georgia and in the same establishment where the applicant served his apprenticeship, or by a certificate of good moral character by any constitutional officer. Evidence of good moral character. Section 3. Said Act is hereby further amended by striking subsection (b) of paragraph (2) of section 9 in its entirety and inserting in lieu thereof the following new subsections (b) and (c) of paragraph (2) of section 9: (b) have completed either before or after such scholastic training a minimum of 24 months of service as an apprentice embalmer, under the direct supervision of a licensed embalmer actively engaged in the practice of embalming in this State and in the same funeral establishment with the apprentice. Apprenticeship. (c) Applicants for embalmer's license must furnish an affidavit from such licensed embalmer that they have assisted in embalming at least 50 bodies giving full name of the deceased. Section 4. Said Act is hereby further amended by striking subsection (a) of paragraph (3) of section 9 in its entirety and inserting in lieu thereof the following new subsection (a) of paragraph (3) of section 9: (a) have completed thirty-six months as an apprentice funeral director under the direct supervision of a licensed funeral director actively engaged in the practice of funeral directing in this State and in the same funeral establishment with the apprentice. Apprenticeship for funeral directors. Section 5. Said Act is hereby further amended by inserting the word annually after the words five dollars in paragraph (4) of said section 9, so that as amended, paragraph (4) of section 9 shall read:

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(4) Each apprentice, upon commencing his apprenticeship, shall register as an apprentice with the Joint-Secretary and pay such fee as may be fixed by the Board. He shall notify the Board immediately upon completion of his apprenticeship and as evidence thereof, submit to the Board a sworn affidavit signed by the licensed embalmer or funeral director under whom such apprenticeship was served. The fee for registration of an apprentice shall at no time exceed the sum of five dollars annually, and shall be paid and dispersed as other fees provided for under the terms of this Act. Registration of apprentices. Section 6. Said Act is hereby further amended by striking paragraph (5) of section 9 in its entirety. Section repealed. Section 7. Said Act is hereby further amended by striking the last sentence of paragraph (2) of section 10 in its entirety and inserting in lieu thereof the following two sentences: There shall be a practical examination with a cadaver consisting of whatever questions or demonstrations the Board deems appropriate. The written examination shall count 50%, while the oral and practical parts shall each count for 25% of the examination. Practical examination. so that said paragraph (2) of section 10, as amended, shall read as follows: (2) The examination for an embalmer's license shall consist of the propounding to such applicant in writing of not more than one hundred and fifty questions on such subjects, a knowledge of which the Board deems necessary in the practice of embalming, including the following: anatomy, pathology, bacteriology, hygiene and sanitary science, mortuary law, chemistry and restorative art, and not more than one hundred oral questions upon the same subjects. There shall be a practical examination with a cadaver consisting of whatever questions or demonstrations the Board deems appropriate. The written examination shall count 50%, while the oral and practical parts shall each count for 25% of the examination.

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Section 8. Said Act is further amended by striking the second and third sentences from section 20 of said Act and inserting in lieu thereof the following: Said Board shall prepare two copies of said written notice, and attached to each of said notices a copy of the charge preferred, and cause one of said copies to be mailed to the last known address of said licentiate or applicant for license against whom a charge has been preferred, and the second copy shall be mailed to the establishment where said person is known to have been last working as an apprentice, embalmer or director. so that said section 20, as amended, shall read as follows: Section 20. Institution of revocation proceedings, notice. Upon the presentation before the Board of any of the grounds enumerated in the preceding section or elsewhere in this Act for revoking or refusing a license, it shall be the duty of the Board to cause written notices of the time and place of hearing upon the charge preferred, together with a copy of the charge, to be served upon the licentiate or applicant for license, as the case may be, twenty (20) days before the hearing. Said Board shall prepare two copies of said written notice, and attach to each of said notices a copy of the charge preferred, and cause one of said copies to be mailed to the last known address of said licentiate or applicant for license against whom a charge has been preferred, and the second copy shall be mailed to the establishment where said person is known to have been last working as an apprentice, embalmer or director. Section 9. Said Act is further amended by striking the last sentence of section 25 and inserting in lieu thereof the following sentence: Any person desiring restoration of such rights and privileges shall be held to the same requirements as are persons who have not previously been licensed as such in this State. so that said section 25, as amended, shall read as follows:

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Section 25. Reinstatement of revoked license. At any time after the final termination of the proceeding refusing or revoking a license, the Board may, by a majority vote, issue a new license or grant a license to a person affected, restoring and conferring all the rights and privileges of and pertaining to the practice of embalming or funeral directing as defined and regulated by this Act. Any person desiring restoration of such rights and privileges shall be held to the same requirements as are persons who have not previously been licensed as such in this State. Section 10. Said Act is hereby further amended by striking the last sentence of section 27 in its entirety and inserting in lieu thereof the following: On satisfactory proof to the judge of said superior court that such illegal practice or business of funeral directing or embalming is being carried on, he shall issue a temporary injunction against the party or parties operating such practice or business until they have qualified and been licensed under the terms of this Act. so that Section 27, as amended, shall read as follows: Section 27. Affecting public interest. Illegal practice. Nuisance. Abatement. The practice of embalming or funeral directing, as in this Act defined, is hereby declared to be a business or profession affecting the public interest and involving the health and safety of the public. Such practice by a person who is not licensed so to do in this State is declared to be a public nuisance, and any citizen of this State, or the Board, or the solicitor general of the circuit where such practice is carried on by such unlicensed person, on behalf of the public, may bring a petition in the superior court of the county where such nuisance exists or is carried on to restrain and abate the same. On satisfactory proof to the judge of said superior court that such illegal practice or business of funeral directing or embalming is being carried on, he shall issue a temporary injunction against the party or parties operating such practice or business until they

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have qualified and been licensed under the terms of this Act. Section 11. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 10, 1960. WORKMEN'S COMPENSATION BOARDCOMPENSATION OF CHAIRMAN, MEMBERS, DEPUTY DIRECTORS AND SECRETARY-TREASURER. No. 611 (Senate Bill No. 175). An Act to amend an Act creating the State Board of Workmen's Compensation, approved February 8, 1943 (Ga. L. 1943, p. 167), as amended, particularly by an Act approved February 28, 1956 (Ga. L. 1956, p. 367), so as to change the compensation of the chairman of the board, the other two members of the board, the deputy directors and the secretary-treasurer; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the State Board of Workmen's Compensation, approved February 8, 1943 (Ga. L. 1943, p. 167), as amended, particularly by an Act approved February 28, 1956 (Ga. L. 1956, p. 367), is hereby amended by striking the last sentence of section 3 and inserting in lieu thereof the following: The chairman of the Workmen's Compensation Board shall receive as compensation for his services the sum of $12,500.00 per year payable in semi-monthly installments and each of the two remaining members of said board shall receive as compensation for their services the sum of $12,000.00 payable in semi-monthly installments. The annual salary of the deputy directors, duly appointed by

Page 813

the board, shall be $9,000.00 payable in semi-monthly installments, and the annual salary of the secretary-treasurer, duly appointed and qualified shall be $10,000.00 payable in semi-monthly installments. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 16, 1960. STRUCTURAL PEST CONTROL ACTAMENDED. No. 612 (Senate Bill No. 223). An Act to amend an Act known as the Structural Pest Control Act approved March 7, 1955 (Ga. L. 1955, p. 564), as amended by an Act approved March 7, 1957 (Ga. L. 1957, p. 299), so as to redefine terms; to abolish the present Pest Control Commission and to create a new Commission and to provide for the members, compensation, qualification and appointment of the members thereof; to provide for the terms of the members; to redefine the authority of the Commission and to provide that the Commission shall serve in an advisory capacity to the Commissioner of Agriculture in the enforcement of this Act; to provide the suspension, cancellation and revocation of licenses issued hereunder and a procedure connected therewith; to provide for the enforcement of the provisions of this Act and a procedure connected therewith; to authorize the inspection of records by the enforcing agency; to provide for proceedings under this Act and a procedure connected therewith; to provide for the reporting of hearings under this Act and a procedure connected therewith; to change the fees relative to licenses, certifications, and registration under this Act; to provide that the licenses provided hereunder shall be valid throughout the State and to enumerate exceptions thereto; to provide for the certification of operators hereunder, the licensing of business entities, and the

Page 814

registration of employees hereto, and a procedure connected therewith; to provide qualification for licensing, certification and registration; to change the examination fee; to provide for the holding of hearings and the enforcement of this Act and a procedure connected therewith; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Structural Pest Control Act approved March 7, 1955 (Ga. L. 1955, p. 564), as amended by an Act approved March 7, 1957 (Ga. L. 1957, p. 299), is hereby amended by striking section 2 in its entirety and inserting in lieu thereof the following: Section 2. (a) `Structural Pest Control' control of wood destroying organisms or fumigation, the identification of infestations or infections, the making of inspections, the use of pesticides including insecticides, repellants, rodenticides and fumigants, as well as all other substances, mechanical devices of structural modifications under whatever name known, for the purpose of preventing, controlling and eradicating insects, vermin, rodents and other pests in household structures, commerical buildings and other structures, including adjacent outside areas, as well as all phases of fumigation, including treatments of products by vacuum fumigation, and the fumigation of railroad cars, trucks, ships and airplanes. Terms defined. (b) `Commission' means the Structural Pest Control Commission created under the provisions of this Act. (c) `Commissioner' shall mean the Commissioner of Agriculture of the State of Georgia. (d) `Licensee' shall mean a business entity engaged in the business of Structural Pest Control who holds a valid license issued under the provisions of this Act. (e) `Certified Operator' means an operator holding a current valid Structural Pest Control operators certificate

Page 815

issued under the provisions of this Act to engage in the business of Structural Pest Control. (f) `Employee' any person employed by a licensee with the exceptions of clerical, janitorial, or office maintenance employees, or those employees performing work completely disassociated with the control of insects, pests, rodents, and the control of wood destroying organisms. (g) `Registered Employee' an employee registered as provided by this Act. (h) `Branch Office' any place of doing business which has two or more employees engaged in the control of insect pests, rodents or wood destroying organisms. (i) `Applicant' any persons or any person in charge of any individuals, firm, partnership, corporation, association, or any other organization or any combination thereof, making application for a license to engage in operations coming under the provisions of this Act, or any other person making application for certification or registration under this Act. (j) `Fumigants' any substance which by itself or in combination with any other substance emits or liberates a gas or gases, fumes or vapors, and which gas or gases, fumes or vapors when liberated and used will destroy vermon, rodents, insects, and other pests, but are usually lethal, poisonous, noxious, or dangerous to human life. (k) `Insecticides' substances, not fumigants, under whatever name known, used for the destruction or control of insects and similar pests. (l) `Rodenticides' substances, not fumigants, under whatever name known, whether poisonous or otherwise, used for the destruction or control of rodents. (m) `Repellants' substances, not fumigants, under whatever name known, which may be toxic to insects and

Page 816

related pests, but generally employed because of their capacity for preventing the entrance or attack of pests. (n) `Bond' a written instrument issued or executed by a bonding, surety or insurance company, licensed to do business in this State, or otherwise approved by the Commission, guaranteeing the fulfillment of the agreement between the licensee or business entity and his customer. Section 2. Said Act, as amended, is further amended by striking section 3 in its entirety and in lieu thereof inserting the following: Section 3. The Structural Pest Control Commission in existence at the time of the adoption of this amendment is hereby abolished and in lieu thereof, there is hereby created a Structural Pest Control Commission to consist of six (6) members, three (3) of whom shall be residents of this State who are engaged in the pest control industry and who are certified operators under this Act. Such members shall be appointed by the Commissioner. One (1) member shall be the head of the Department of Entomology of the University of Georgia, ex officio, or some qualified person of said department designated by him. One (1) member shall be the Director of Entomology of the Division of Entomology of the Department of Agriculture of the State of Georgia, ex officio; and one (1) member shall be the Director of the Department of Public Health, ex officio, or some qualified person designated by him. The Commissioner shall fill any vacancies that may occur in the appointive membership of the Commission. No business entity shall be represented by more than one (1) member on the Commission at any time. New Commission created, members. Section 3. Said Act, as amended, is further amended by striking section 4 in its entirety and inserting in lieu thereof the following: Section 4. The appointive members of the Commission shall be appointed originally for a term of one (1),

Page 817

two (2), and three (3) years. Thereafter successors shall be appointed for a term of three (3) years. All such members shall serve for the specified term and until their successors are appointed and qualified. There shall be no disqualification of any such member to be appointed to succeed himself. Terms. Section 4. Said Act, as amended, is further amended by striking section 6 in its entirety and in lieu thereof inserting the following: Section 6. The Commission is hereby authorized and required to: Authority of Commission. (a) Make such reasonable rules and regulations as may be necessary to protect the interest, health and safety of the public and to insure the efficiency of licensees, operators, and registered employees to carry out the provisions of this Act. Such rules and regulations shall not be effective until a public hearing shall have been granted and notification of such hearings have been made to all licensees and certified operators. (b) Provide for either an oral or written examination for applicants. The frequency of such examination to be at the discretion of the Commission, based upon the number of applications received, but not less than two such examinations shall be held annually. The examination shall cover those phases of structural pest control and/or the control of wood destroying organisms and/or fumigations for which application is made. The Commission shall give one examination for one fee covering structural pest control if the applicant seems so to qualify and one certification shall so issue. The Commission shall collect from each applicant who makes application to take the examination to become a certified structural pest control, wood-destroying-organism operator or fumigator, the sum of ten dollars ($10.00) for each field as an examination fee. An examination may be taken for the payment of one fee and in case the applicant shall not be certified, he or she shall have the right to take the examination again at the next scheduled

Page 818

examination, upon the payment of an additional fee which shall be the same as the original fee. Examinations of applicants. (c) Make an annual report to the Governor of the activities, expenditures, receipts and other matter pertinent to the operation of the Commission, a copy of which shall be filed by the Secretary of State and the Commission. Annual report. (d) Issue licenses to business entities qualifying under the provisions of this Act. The license fee shall be $25.00 per annum and the fee for the renewal thereof shall be $25.00. The license shall expire on June 30 of each year. The Commission is authorized to require for the renewal of licenses for which applications therefor are received after June 30 of each year, a late renewal fee of an additional $25.00. Each place of business of each business entity is hereby required to obtain a license. Licenses. (e) Issue certificates certifying the qualification of operators to those persons qualifying under the provisions of this Act. The certification fee shall be $25.00 per annum and such certification shall expire on June 30 of each year and shall be renewable each year unless revoked or cancelled for cause. The Commission is authorized to require for applications for the renewal of such certification received after June 30 of each year a late renewal fee of an additional $25.00. The Commission is authorized to require for the renewal of an expired, revoked or suspended certification the correct answers to not less than seventy (70) percent of the questions of an oral or written examination. The Commission is authorized to require of any person whose certification has been revoked the correct answers to not less than seventy (70) percent of the questions of an oral or written examination before such person may be certified under the provisions of this Act. Certifications of operators. (f) To issue certificates of registration to employees under the provisions of this Act and to collect for such registration a fee of not more than $2.00 per annum for each such registration. The Commission is authorized

Page 819

to require a fee, not to exceed $2.00 for each change, cancellation, renewal, or issuance of a duplicate registration card. Registration of employees. (g) To adopt a seal and alter the same at the pleasure of the Commission. Seal. (h) To hold hearings, subpoena witnesses, and compel the production of documents and papers as shall be necessary in the performance of the duties of the Commission. Hearings. (i) To enter into reciprocal agreements with comparable agencies of other States that have requirements substantially equivalent as this State, whereby persons licensed or certified by such other States may be issued a license or certified by the Commission without an examination; provided, that such other States issue licenses or certifications without examination to persons licensed or certified by the Commission. Reciprocal agreements. (j) The Commission shall aid and assist the Commissioner in the enforcement of this Act in an advisory capacity as to matters pertaining to the enforcement of this Act. Enforcement. Section 5. Said Act, as amended is further amended by striking from section 9, paragraph (b) and in lieu thereof inserting the following: Section 9. (b) Any certified operator, registered employee, employee or agent of a licensee who shall engage in field work, or solicit accounts covered by the provisions of this Act and the rules and regulations promulgated hereto, without having first registered or obtained certification as provided by this Act, shall be guilty of a misdemeanor and upon conviction thereof shall be punished as provided by law. Crimes. Section 6. Said Act, as amended, is further amended by striking section 10 in its entirety and in lieu thereof inserting the following:

Page 820

Section 10. Qualifications. (a) Operators. All applicants for examination for certification as an operator must have a knowledge of the practical and scientific facts underlying the practice of structural pest control, control of wood destroying organism and fumigation and the necessary knowledge and ability to recognize and control those hazardous conditions which may affect human life and health. (b) Present satisfactory evidence to the Commission concerning his or her qualifications and must include at least one of the following: (1) One year as an employee, employer, or owner-operator in the field of structural pest control, control of wood destroying organisms or fumigation, for which license is applied, or; (2) One or more years training in specialized pest control, control of wood destroying organisms and/or fumigation under University or College supervision may be substituted for practical experience at the ratio of one year of schooling for one-fourth year practical experience, or; (3) A degree from a recognized college or university with advanced training or major in entomology, sanitary or public health engineering, or related subjects, including sufficient practical experience of structural pest control work under proper supervision. (c) Licensee. Each applicant for a license shall present evidence satisfactory to the Commission that the business entity desiring the license has in its employ one or more qualified operators to engage in the business of Structural Pest Control as provided in this Act. Section 7. Said Act, as amended, is further amended by striking section 11 in its entirety and inserting in lieu thereof the following: Section 11. (a). A license, certification or registration

Page 821

may be suspended, cancelled, or revoked by the Commissioner, after notice and hearing, for any violation of this Act or any rule or regulation promulgated hereunder. (b) Any licensee, certified operator, or registered employee who shall make representations for the purpose of defrauding; deceive or defraud another; make a false statement with knowledge of its falsity for the purpose of inducing another to act thereon to his detriment; use methods or materials that are not suitable for the purpose contracted for; fail to give the Commission or its authorized representative, or the enforcing agency, upon demand or request, true information regarding methods and materials used, work performed or other information essential to administration of this Act; make any intentional misrepresentation to a material fact in an application for a license, certification or registration shall be guilty of a misdemeanor and upon conviction thereof shall be punished as provided by law. Revocation of licenses. Section 8. Said Act, as amended, is further amended by striking section 12 in its entirety and in lieu thereof inserting the following: Section 12. A license, certification, or registration shall not be transferable. When there is a change in the status of a licensee, the licensee shall notify the Commission forthwith and the licensee shall have not more than ninety (90) days or until the next meeting of the Commission following the expiration of the ninety-day (90) period, to comply with the provisions of this Act as to the employment of a certified operator. Licenses not transferable. Section 9. Said Act, as amended, is further amended by striking section 13 in its entirety and in lieu thereof inserting the following: Section 13. (a) No municipal corporation nor other political subdivision of the State may issue a business license to any person to engage in the business of Structural Pest Control unless the applicant therefor shall

Page 822

submit proof of his compliance with the provisions of this Act. Licenses by political subdivisions of State. (b) The license fees provided herein shall authorize the licensee to engage in the business of Structural Pest Control in this State and no municipal corporation shall be authorized to impose any business license fee or occupation tax upon any person who has qualified under the provisions of this Act; provided, however, that the exemption provided herein shall not be applicable to those municipal corporations in which is located an established business office of a person or persons engaged in the business of Structural Pest Control. It is the intent and purpose of this section to provide that no business license or occupation tax shall be assessed or collected from any person qualifying under the provisions of this Act in those municipal corporations other than those municipal corporations in which is located an established business office of a person or persons engaged in the business of Structural Pest Control. Section 10. Said Act, as amended, is further amended by striking section 14 in its entirety and in lieu thereof inserting the following: Section 14. The license holder shall register with the secretary the names of all employees and agents and shall pay to the Commission a registration fee of $2.00 at the time each name is registered, which shall be within thirty (30) days after employment. All registrations expire when the license expires. Each employee for whom application is made and a fee is paid, shall be issued a registration certificate, which shall be carried on his or her person at all times when performing work. The registration certificate shall be displayed upon request to the person or persons for whom such work is being performed. The licensee shall be responsible for making application for an employee's registration certificate for each employee, and training the serviceman in the kind of work which he shall perform. The provisions above applying to an employee's registration certificate shall also apply to all regularly employed salesmen or

Page 823

estimators. The licensee shall be responsible for making application for an employee's registration certificate for salesmen or estimators and training the salesmen or estimators in the kind of work they shall perform. It shall be unlawful for a serviceman, salesman, or estimator to actually engage in the performance of work covered by this Act without having such registration card in his possession, provided that the licensee shall have thirty (30) days after employing a serviceman, salesman or estimator within which to apply for an employee's registration certificate. The employee's registration certificate provided for hereunder shall be effective only while the serviceman, salesman or estimator shall remain in the employ of the licensee making the original application. Registration of employees. Section 11. Said Act, as amended, is further amended by striking section 16 in its entirety and in lieu thereof inserting the following: Section 16. The Commissioner is authorized and directed to enforce the provisions of this Act and rules and regulations promulgated thereunder and is authorized to utilize any employee of the Department of Agriculture. The Commissioner shall make periodical and unannounced inspections of any materials used or work performed by persons engaged in the business of Structural Pest Control, wood destroying organism control, or fumigation in this State. The Commissioner shall be authorized, after notice and hearing, to revoke, suspend, or cancel any license, certification or registration issued hereunder for a violation of this Act or the rules and regulations promulgated hereunder. It is the intent and purpose thereof of this Act to provide for the enforcement of this Act by the Commissioner of Agriculture and to provide for the licensing, certification, and registration of those persons engaged in the business of Structural Pest Control by the Structural Pest Control Commission. It is the further intent of this Act to provide that the Structural Pest Control Commission shall advise the Commissioner of Agriculture of the enforcement of this Act. In connection therewith, the Commissioner is authorized to

Page 824

exercise the authority granted the Commission to hold hearings, subpoena witnesses, and compel the production of documents and papers as provided herein. Inspections, etc. Section 12. Said Act, as amended, is further amended by striking section 16-A in its entirety and in lieu thereof inserting the following: Section 16A. The Commissioner or his agents shall have during regular business hours the right to see, examine and inspect any and all records of any licensee pertaining to the operations of the licensee within the provisions of this Act. Same. Section 13. Said Act, as amended, is further amended by striking section 18 in its entirety and in lieu thereof inserting the following: Section 18. Proceedings under this Act shall be taken by the Commissioner upon matters within his knowledge or upon accusation based on the information of another. The accusation must be in writing and under oath and verified by the person making the same. An accusation may be made by a member of the Commission or Commission as a whole. Upon receiving an accusation, the Commissioner shall serve notice by registered mail of the time and place of the hearing and shall include in such notice a copy of the charges at least 30 days before the hearing. Where the Commissioner proceeds from matters within his knowledge, he shall serve notice, including a copy of charges, by registered mail at least 10 days before the hearing. The Commissioner may postpone or continue the hearing from time to time in his discretion. If after proper notice no appearance is made by the accused, the Commissioner for cause shown may enter judgment at the time of hearing as prescribed herein by suspending, cancelling or revoking the license involved. At any time after hearing, the Commissioner is authorized to make his decision on the merits of the issue before him involving the license. Both the Commissioner and the accused may have the benefit of counsel and the right to examine and cross examine witnesses,

Page 825

take deposition and compel attendance of witnesses as in civil cases by subpoena issued by the Commissioner. The testimony of all witnesses at the hearing shall be under oath. Any person dissatisfied with any decision of the Commissioner may have such decision reviewed by writ of certiorari to the appropriate court of Fulton County. Proceedings under Act. Section 14. Said Act, as amended, is further amended by striking section 19 in its entirety and inserting in lieu thereof the following: Section 19. All hearings under this Act shall be reported and copies of the report may be obtained by an interested party upon the payment of the cost of reproducing the record. The Commission shall furnish the Commission a copy of all hearings and decisions under this Act. The Commissioner is authorized to hold informal hearings and to hold proceedings relative to the violation of this Act in abeyance pending determination thereof. Hearings. Section 15. Said Act, as amended, is further amended by striking from section 25 the word Commission and inserting in lieu thereof the word Commissioner so that section 25, as so amended, shall read: Section 25. The Commissioner may institute action to enjoin any violation of this Act or any rule or regulation promulgated hereunder. A violation of this Act or any rule or regulation promulgated pursuant hereto is hereby declared to constitute a public nuisance, and such action for injunction may be maintained notwithstanding the existence of other legal remedies and notwithstanding the pendency or successful completion of a criminal prosecution, as for a misdemeanor. Injunctions. Section 16. Those persons licensed under the provisions of this Act whose licenses expire June 30, 1960, may be issued certificates as certified operators for the license year beginning July 1, 1960, without examination upon the payment of the required fee. Business entities

Page 826

desiring to obtain licenses hereunder shall make application for and upon approval thereof and upon payment of the required fee, obtain licenses for the license year beginning July 1, 1960, prior to June 30, 1960. Any such application for license or registration received subsequent to June 30, 1960, shall be subject to the late fees herein provided. Present licenses. Section 17. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 16, 1960. SIGNS ADVERTISING PRICES OF MOTOR FUEL. No. 613 (House Bill No. 1070). An Act to amend an Act providing for the regulation of signs advertising the price of motor fuel which are displayed by retailers of motor fuel, approved March 10, 1959 (Ga. L. 1959, p. 135), so as to change the restrictions placed upon such signs; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act providing for the regulations of signs advertising the price of motor fuel which are displayed by retailers of motor fuel, approved March 10, 1959 (Ga. L. 1959, p. 135), is hereby amended by striking section 1 in its entirety and inserting in lieu thereof a new section 1, to read as follows: Section 1. Any sign or placard or other means used to advertise the price of motor fuel for sale at retail for use in motor vehicles may contain a separate listing of the price and a separate listing of each tax thereon, but must contain a total of such price and taxes which shall be at least as large as the listing of the price or any tax thereon. Numbers used to advertise the total

Page 827

price of such motor fuel shall be of uniform size, and where fractions are used, the numerator and denominator thereof combined shall be of the same size as any whole numbers used. It shall not be necessary that a denominator be used to indicate fractions, but if one is not used, the numerator must be at least half the size of the whole number used. Provided, however, nothing in this Act shall preclude posting on any pumps dispensing motor fuel a separate statement of taxes included in the total purchase price for the purpose of complying with the Georgia Sales Tax Act. Signs. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 16, 1960. UNIFORM ACT FOR SIMPLIFICATION OF FIDUCIARY SECURITY TRANSFERS. No. 615 (House Bill No. 502). An Act to provide for the simplification of fiduciary security transfers; to provide for dividends; to provide for registration; to provide for assignment; to provide for evidence of appointment or incumbency; to provide for adverse claims; to provide for non-liability; to provide for territorial application; to provide for tax obligations; to provide for uniformity of interpretation; to provide for a short title; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Definitions. In this Act, unless the context otherwise requires: (a) Assignment includes any written stock power, bond power, bill of sale, deed, declaration of trust or other instrument of transfer.

Page 828

(b) Claim of beneficial interest includes a claim of any interest by a decedent's legatee, distributee, heir or creditor, a beneficiary under a trust, a ward, a beneficial owner of a security registered in the name of a nominee, or a minor owner of a security registered in the name of a custodian, or a claim of any similar interest, whether the claim is asserted by the claimant or by a fiduciary or by any other authorized person on his behalf, and includes a claim that the transfer would be in breach of fiduciary duties. (c) Corporation means a private or public corporation, association or trust issuing a security. (d) Fiduciary means an executor, administrator, trustee, guardian, committee, conservator, curator, tutor, custodian or nominee. (e) Person includes an individual, a corporation, government or governmental subdivision or agency, business trust, estate, trust, partnership or association, two or more persons having a joint or common interest, or any other legal or commercial entity. (f) Security includes any share of stock, bond, debenture, note or other security issued by a corporation which is registered as to ownership on the books of the corporation. (g) Transfer means a change on the books of a corporation in the registered ownership of a security. (h) Transfer agent means a person employed or authorized by a corporation to transfer securities issued by the corporation. Section 2. Registration in the Name of a Fiduciary. A corporation or transfer agent registering a security in the name of a person who is a fiduciary or who is described as a fiduciary is not bound to inquire into the existence, extent, or correct description of the fiduciary relationship, and thereafter the corporation and its transfer

Page 829

agent may assume without inquiry that the newly registered owner continues to be the fiduciary until the corporation or transfer agent receives written notice that the fiduciary is no longer acting as such with respect to the particular security. Section 3. Assignment by a Fiduciary. Except as otherwise provided in this Act, a corporation or transfer agent making a transfer of a security pursuant to an assignment by a fiduciary: (a) May assume without inquiry that the assignment, even though to the fiduciary himself or to his nominee, is within his authority and capacity and is not in breach of his fiduciary duties; (b) May assume without inquiry that the fiduciary has complied with any controlling instrument and with the law of the jurisdiction governing the fiduciary relationship, including any law requiring the fiduciary to obtain court approval of the transfer; and (c) Is not charged with notice of land and is not bound to obtain or examine any court record or any recorded or unrecorded document relating to the fiduciary relationship or the assignment, even though the record or document is in its possession. Section 4. Evidence of Appointment or Incumbency. A corporation or transfer agent making a transfer pursuant to an assignment by a fiduciary who is not the registered owner shall obtain the following evidence of appointment or incumbency: (a) In the case of a fiduciary appointed or qualified by a court, a certificate issued by or under the direction or supervision of that court or an officer thereof and dated within sixty days before the transfer; or (b) In any other case, a copy of a document showing the appointment or a certificate issued by or on behalf of a person reasonably believed by the corporation or

Page 830

transfer agent to be responsible or, in the absence of such a document or certificate, other evidence reasonably deemed by the corporation or transfer agent to be appropriate. Corporations and transfer agents may adopt standards with respect to evidence of appointment or incumbency under this subsection (b) provided such standards are not manifestly unreasonable. Neither the corporation nor transfer agent is charged with notice of the contents of any document obtained pursuant to this subsection (b) except to the extent that the contents relate directly to the appointment or incumbency. Section 5. Adverse Claims. (a) A person asserting a claim of beneficial interest adverse to the transfer of a security pursuant to an assignment by a fiduciary may give the corporation or transfer agent written notice of the claim. The corporation or transfer agent is not put on notice unless the written notice identifies the claimant, the registered owner and the issue of which the security is a part, provides an address for communications directed to the claimant and is received before the transfer. Nothing in this Act relieves the corporation or transfer agent of any liability for making or refusing to make the transfer after it is so put on notice, unless it proceeds in the manner authorized in subsection (b). (b) As soon as practicable after the presentation of a security for transfer pursuant to an assignment by a fiduciary, a corporation or transfer agent which has received notice of a claim of beneficial interest adverse to the transfer may send notice of the presentation by registered or certified mail to the claimant at the address given by him. If the corporation or transfer agent so mails such a notice it shall withhold the transfer for thirty days after the mailing and shall then make the transfer unless restrained by a court order. Section 6. Non-Liability of Corporation and Transfer Agent. A corporation or transfer agent incurs no liability to any person by making a transfer or otherwise acting in a manner authorized by this Act.

Page 831

Section 7. Non-Liability of Third Persons. (a) No person who participates in the acquisition, disposition, assignment or transfer of a security by or to a fiduciary including a person who guarantees the signature of the fiduciary is liable for participation in any breach of fiduciary duty by reason of failure to inquire whether the transaction involves such a breach unless it is shown that he acted with actual knowledge that the proceeds of the transaction were being or were to be used wrongfully for the individual benefit of the fiduciary or that the transaction was otherwise in breach of duty. (b) If a corporation or transfer agent makes a transfer pursuant to an assignment by a fiduciary, a person who guaranteed the signature of the fiduciary is not liable on the guarantee to any person to whom the corporation or transfer agent by reason of this Act incurs no liability. (c) This section does not impose any liability upon the corporation or its transfer agent. Section 8. Territorial Application. (a) The rights and duties of a corporation and its transfer agents in registering a security in the name of a fiduciary or in making a transfer of a security pursuant to an assignment by a fiduciary are governed by the law of the jurisdiction under whose laws the corporation is organized. (b) This Act applies to the rights and duties of a person other than the corporation and its transfer agents with regard to acts and omissions in this State in connection with the acquisition, disposition, assignment or transfer of a security by or to a fiduciary and of a person who guarantees in this State the signature of a fiduciary in connection with such a transaction. Section 9. Tax Obligations. This Act does not affect any obligation of a corporation or transfer agent with respect to estate, inheritance, succession or other taxes imposed by the laws of this State.

Page 832

Section 10. Uniformity of Interpretation. This Act shall be so construed as to effectuate its general purpose to make uniform the law of those states which enact it. Section 11. Short Title. This Act may be cited as the Uniform Act for Simplification of Fiduciary Security Transfers. Section 12. Time of Taking Effect. This Act shall take effect on July 1, 1960. Section 13. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STONE MOUNTAIN JUDICIAL CIRCUITASSISTANTS TO THE SOLICITOR-GENERAL, OFFICE OF SPECIAL CRIMINAL BAILIFF ABOLISHED. No. 616 (House Bill No. 530). An Act to abolish an Act of the General Assembly of Georgia of 1890-91, page 223, providing for the appointment of special criminal bailiffs in counties having a population of more than twenty thousand and to abolish amendments to said Act as set forth in an Act of the General Assembly of Georgia of 1929, page 177, and in an Act of the General Assembly of Georgia of 1937, page 790, insofar as said acts relate to the office of assistant solicitor-general or special criminal bailiff in counties of this State having a population of not less than seventy thousand (70,000) nor more than eighty thousand (80,000) according to the United States census of 1930; to provide for the appointment of assistants to the solicitor-general of the Stone Mountain Circuit; to provide for the powers and duties of said assistants; to provide for the payment of salaries to the said assistants; and for other purposes.

Page 833

Be it enacted by the General Assembly of Georgia, and it is hereby enacted by the authority of same as follows: Section 1. That the Act of the General Assembly of Georgia of 1890-91, page 223, providing for the appointment of special criminal bailiffs in counties having a population of more than twenty thousand; and the amendments to said Act as set forth in an Act of the General Assembly of Georgia of 1929, page 177, and in an Act of the General Assembly of Georgia of 1937, page 790, insofar as said Acts relate to the office of assistant solicitor-general or special criminal bailiff in counties of this State having a population of not less than seventy thousand (70,000) nor more than eighty thousand (80,000) according to the United States census of 1930, be and are hereby abolished. Prior Acts repealed. Section 2. The solicitor-general of the Stone Mountain Circuit shall have the power with the approval of the senior judge of said Circuit to appoint two (2) assistant solicitors-general, their powers and duties when acting for the solicitor-general shall extend throughout the Stone Mountain Circuit and shall be the same as those of the solicitor-general. They shall not serve beyond the term of their principal and shall be subject to removal at any time by the said principal. Each said assistant solicitor-general, when appointed, and before assuming office shall take the same oath of office, in substance, as is prescribed for solicitor-general in this State. Section 3. The salary of said assistants shall be at least eight thousand two hundred and fifty dollars ($8,250.00) and seven thousand seven hundred and fifty dollars ($7,750.00) each. Said salary to be assigned by the solicitor-general payable in at least monthly installments out of the treasury of DeKalb County as a part of the operating expenses of the DeKalb Superior Court, the funds therefor to be provided in the same manner as the other operating expenses of said court, and to be effective as of January 1st, 1960. Salaries, paid by DeKalb County.

Page 834

Section 4. To be eligible for appointment any such assistant must be at least 21 years of age and shall have been engaged in the practice of law for a period of at least three (3) years prior to his appointment. Qualifications. Section 5. All laws and parts of laws in conflict with this Act shall be and the same are hereby repealed. Notice of Intention to Apply for Local Legislation. Pursuant to the provisions of Article III, Section VII, Paragraph XV of the Constitution of Georgia of 1945, notice is hereby given of intention to apply at the January, 1959, session of the General Assembly of the State of Georgia, for the enactment of local legislation to amend the Act creating special criminal bailiffs in certain counties according to Georgia Laws 1890-91, as said Act has heretofore been amended; so as to provide for the appointment of two assistant solicitors-general of the DeKalb Superior Court; to provide for the powers and duties of said assistants; to provide for the payment of salaries to the said assistants; and for other purposes. This the 13th day of January, 1959. James A. Mackay, Representative W. Hugh McWhorter, Representative Guy W. Rutland, Jr., Representative DeKalb County, Georgia. Georgia, DeKalb County Personally appeared before me a notary public, the undersigned W. H. McWhorter, who on oath says that he is managing-editor of the DeKalb New Era, a newspaper published in the city of Decatur, being of general circulation and being the legal organ for the county of DeKalb who certifies that legal notice, a true copy of which is hereto attached, being Notice of Intention To Apply For Local Legislation was duly published once a week for three weeks as required by law; said dates of

Page 835

publication being January 15, January 22, January 29, 1959. The DeKalb New Era W. H. McWhorter W. H. McWhorter, Managing-Editor Sworn to and subscribed before me this 10 day of February, 1959. /s/ Joseph H. Baird, Notary Public, DeKalb County, Georgia. My Commission Expires Dec. 18, 1962. (Seal). Approved March 17, 1960. ASSESSMENT AND COLLECTION OF STATE ESTATE TAXES. Code 92-3401 Amended. Code 92-3402 Repealed. No. 617 (House Bill No. 532). An Act to amend section 92-3401 of the Code of Georgia of 1933 relating to the imposition, assessment and collection of estate taxes; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 92-3401 of the Code of Georgia of 1933, relating to the imposition, assessment and collecting of estate taxes, is hereby amended by striking said section in its entirety and by substituting in lieu thereof the following: 92-3401. Assessment and collection of State estate tax; returns. It shall be the duty of the legal representative

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of the estate of any person who may die a resident of this State, and whose estate is subject to the payment of a Federal estate tax, to file with the State Revenue Commissioner a duplicate of the estate tax return which he is required to make to the Federal authorities, and to pay to the State of Georgia a tax in an amount equal to the amount allowable as a credit for State death taxes under section 2011 of the Internal Revenue Code of 1954; provided, however, that if the decedent owned at the time of his death either real property in another state or personal property having a business situs in another state which state requires the payment of a tax for which credit is received against Federal estate taxes, any tax due hereunder shall be reduced by an amount which bears the same ratio to the total state tax credit allowable for Federal estate tax purposes as the value of such property taxable in such other state bears to the value of the entire gross estate for Federal estate tax purposes. If, after the filing of a duplicate return and the assessment of the State taxes the Federal authorities shall increase or decrease the amount of the Federal estate tax, an amended return shall be filed with the State Revenue Commissioner showing all changes made in the original return and the amount of increase or decrease in the Federal estate tax, and the State Revenue Commissioner shall assess against said estate the additional amount found to be due hereunder, or in the event of a decrease in the Federal estate tax shall refund to said estate any overpayment of the tax imposed by this section. Section 2. Section 92-3402 of the Code of Georgia of 1933 relating to certification by the State Revenue Commissioner to the ordinary of the county where an estate is being administered of the amount of estate tax determined to be due and the entry thereof on the ordinary's minutes, is hereby repealed in its entirety. Code 92-3402, repealed. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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OBSERVATION, TREATMENT, ETC. OF MENTALLY ILL PERSONS. Code 35-202, 35-203, 35-205, 35-223, 35-224, 35-227, 35-228, 35-229, 35-232, 35-239, 35-241, 35-242, 35-243, 35-247, 99-9909, and 99-9910 Repealed. Code Chapter 99-24 Repealed. No. 618 (House Bill No. 598). An Act to provide for the observation, diagnosis, care and treatment of mentally ill persons and their hospitalization, both voluntarily and involuntarily upon court order; to provide for the procedure in connection therewith; to provide for furloughing and discharge of such persons, their rehospitalization and the procedure connected therewith; to provide the time at which such court orders become final, for appeal from such court orders, the procedure and scope of review upon such appeal; to provide for the hospitalization of such persons by an agency of the United States and the procedure connected therewith; to provide for the transfer of patients to other hospitals or facilities; to provide for the detention and transportation of mentally ill persons and the procedure therefor; to provide for the payment of expenses and costs in connection with court proceedings and the detention and transportation of mentally ill persons; to provide compensation for services; to prohibit the use of mechanical restraints upon mentally ill persons unless required by the needs of the patient; to provide for the exercise of the right to the writ of habeas corpus; to provide procedure upon discovery that the individual is not a resident of Georgia; to define certain terms used in this Act; to provide the time when this Act becomes effective; to provide for the specific retention and repeal of the whole or a part of certain prior acts; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. Unless the context in which they are used clearly indicates a different meaning, the terms herein defined shall have the meanings given them in this section. (1) Mentally ill person shall mean a person who is afflicted with a psychiatric disorder which substantially impairs his mental health; and because of such psychiatric disorder requires care, treatment, training or detention in the interest of the welfare of such person or the welfare of others of the community in which such person resides and shall include, but not be limited to, any mental deficiency, alcoholism, or drug addiction when due to or accompanied by mental illness or mental disease. Definitions. (2) Division shall mean the Division of Mental Health of the State Department of Public Health; (3) Director shall mean the Director of the Division of Mental Health, or a person authorized by him to perform any or all of the duties delegated to the Director by this Act and shall include his successor or successors in office; (4) Psychiatric Hospital shall mean any State owned or State operated hospital or school for the care, treatment, training, or detention of persons who are mentally ill, any facility operated or utilized by the United States Veterans Administration or other Federal agency, and any other hospital approved for the purposes of this Act by the State Board of Health; (5) Patient shall mean any mentally ill person, or any person who is in or under the supervision and control of any psychiatric hospital, or who, because of his mental illness, is under the supervision and control of any court of ordinary of this State; (6) Superintendent shall mean the chief administrative officer of any psychiatric hospital, or a physician

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designated and appointed as a deputy, agent or representative of such superintendent and shall include his successor or successors; (7) Psychiatrist shall mean any person who is licensed to practice medicine in this State under the provisions of the Medical Practice Act of Georgia (Code Chapter 84-9), and who is certified by the Georgia State Board of Medical Examiners as eligible to practice psychiatry. (8) Physician shall mean a doctor of medicine who is allowed to practice in this State under the provisions of the Medical Practice Act of Georgia (Code Chapter 84-9); or who qualifies for such by meeting the requirements of a reciprocal agreement between the State of Georgia and another state; or who is employed as a physician by the United States Veterans Administration or other Federal agency; (9) Resident shall mean a person who is a legal resident of the State of Georgia; (10) Chief Officer shall mean any person who is the chief administrative officer or administrator of any hospital, sanitarium, institution, agency or instrumentality maintained or provided by the United States Veterans Administration or by the State of Georgia for war veterans, or any agency or instrumentality thereof, wherein mental illnesses are treated: Provided, that wherever the term chief officer is used in this Act, or is used in any court order, it shall include his successor or successors. Section 2. Authority to receive voluntary patients. The superintendent of any psychiatric hospital may receive for observation and diagnosis any individual eighteen (18) years of age, or more, making application therefor, and any individual under eighteen (18) years of age for whom such application is made by his parent or guardian. If found to be a mentally ill person, such person may be given care and treatment at such hospital

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and such mentally ill person may be detained by such hospital for such period and under such conditions as may be authorized by law. Section 3. Discharge of voluntary patients. The superintendent of the psychiatric hospital shall discharge any voluntary patient who has recovered from his or her mental illness or whose hospitalization he determines to be no longer advisable. He may also discharge any voluntary patient, if to do so would, in his judgment, contribute to the most effective use of the hospital in the care and treatment of mentally ill persons; provided, however, that in no event shall any such patient be discharged if, in the judgment of the superintendent of such hospital, such discharge would be unsafe for the patient or others. Section 4. Right of voluntary patients to release on application. (a) A voluntary patient who requests his or her release in writing, or whose release is requested in writing by his or her legal guardian, parent, spouse, attorney, or adult next of kin shall be released forthwith upon receipt of such written request by the superintendent of the psychiatric hospital, except that (1) if the patient was admitted on his own application and the request for release is made by a person other than the patient, the release may be conditioned upon the agreement of the patient thereto; and (2) if the patient, by reason of being less than the required age, was admitted on the application of another person, his or her release prior to becoming eighteen (18) years of age may be conditioned upon the consent thereto of his parent or guardian; and (3) If in his opinion the release of the patient would be unsafe for the patient or others the superintendent shall not approve the request for release and shall within three (3) days, Saturdays, Sundays and holidays excepted, after the receipt of the request for release file with the court of ordinary of the county of the patient's

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residence a certificate that in his opinion the release of the patient would be unsafe for the patient and others and states in the certification the facts upon which such opinion is based, a copy of such certification being given to the patient in person, and a copy being sent by registered mail to the patient's legal guardian or his attorney, parent, spouse, or adult next of kin, and the ordinary of the county of the patient's residence if the patient be a resident of the State of Georgia. Such certification shall be deemed to be a certificate of a physician and application for the involuntary hospitalization of the patient as provided for in subsection (a) of section 6 of this Act, and proceedings shall be had thereon as provided in the remaining subsections of section 6. The patient shall be confined at the same hospital or other psychiatric hospital as designated by the ordinary pending disposition of the proceedings as provided in section 6 hereof. (b) Notwithstanding any other provisions of this Act, proceedings for the involuntary hospitalization of an individual received by a psychiatric hospital as a voluntary patient shall not be commenced unless the release of the voluntary patient is requested as provided in subsection (a) hereof. Section 5. Reception of involuntary patients. (a) Every psychiatric hospital owned or operated by the State of Georgia shall receive any resident whose hospitalization is ordered pursuant to the provisions of section 6 hereof. (b) Any other hospital approved by the State Board of Health for the purposes of this Act may receive any individual whose hospitalization on account of mental illness is ordered pursuant to the provisions of section 6 hereof; provided, however, that neither the State of Georgia nor any department, agency or instrumentality thereof, nor any county, nor any court of ordinary shall be obligated by this Act for the payment, in whole or in part, of any cost or expense in connection with the

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care and treatment of such individual by such other hospital. Section 6. Hospitalization upon court order; judicial procedure. (a) Upon the written application of any person, on oath, stating that he believes another person is mentally ill and in need of hospitalization, such application being accompanied by a certificate of a physician stating that he has examined the alleged patient in person and is of the opinion that he is mentally ill and should be hospitalized, the court of ordinary of the county in which the alleged patient is found shall take jurisdiction. (b) Ten (10) days written notice of the hearing on the application shall be given by the court of ordinary to the alleged patient or his attorney or guardian ad litem and to the three nearest adult relatives of such person residing within the State, one of such adult relatives being the spouse of the patient, if any, if such spouse resides in the State. Such notice may be waived in writing by such persons but may be waived in writing on behalf of the alleged patient only by his attorney or guardian ad litem. (c) The court of ordinary may at any time during the proceedings take the alleged patient into custody if deemed necessary for the protection of the alleged patient or others. (d) The court of ordinary shall appoint an examining committee of two physicians who with the county attorney, or an attorney appointed by the county attorney shall be sworn to examine the allegedly mentally ill person according to the best of their ability and report to the court their findings as to the mental condition of said person and as to his need for hospitalization. The ordinary may issue subpoenas for witnesses to appear before the examining committee and on their failure to appear, the ordinary may take the same steps to compel attendance as if the proceeding were before his court.

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(e) Such examination may be held at the home of the alleged patient, or at any other suitable place which, in the opinion of the examining committee, is not likely to have a harmful effect on his health. (f) Said examining committee shall file its written report with the court on or before the date set for the hearing. If said examining committee's report is not unanimous to the effect that it finds the alleged patient to be mentally ill and in need of hospitalization, the court of ordinary shall, without taking further action, terminate the proceedings and dismiss the application. (g) If the said examining committee's unanimous report is to the effect that it finds the alleged patient mentally ill and in need of hospitalization, the court of ordinary shall enter an order requiring said patient to be hospitalized. (h) If a patient ordered to be hospitalized pursuant to the provisions of this section is eligible for hospital care or treatment by a hospital approved by the State Board of Health for the purposes of this Act, the ordinary, upon receipt of a certificate from such hospital, stating that facilities are available and that the patient is eligible for care and treatment therein, may order him to be placed in the custody of such approved hospital for hospitalization. Provided, however, that nothing therein contained shall be construed so as to prohibit the ordinary from ordering a person hospitalized such approved hospital where such person, his guardian, his attorney, his estate or his adult relatives agree to assume all costs of care incident to his hospitalization. (i) If the proceedings are held in a county other than the county of the patient's residence, a certified copy of the proceedings shall be sent to the court of ordinary of the county of the patient's residence who shall file the same of record. (j) The patient or his attorney or guardian ad litem or any of his three adult relatives above described or the

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applicant under subsection (a) hereof, if dissatisfied with the order of the court of ordinary, may, within four (4) days, Saturdays, Sundays and holidays excepted, after the order, upon paying all costs, and giving bond and security for all future costs and damages, or making pauper affidavit that he or she is unable to pay costs or furnish bond due to financial condition, enter an appeal, in the same manner as other appeals from the court of ordinary are made, to the superior court of the county in which the proceedings have been held where the issue shall be submitted to a jury, selected as in other cases, with further rights of appeal from the decision of the superior court as provided by law. Section 7. Hospitalization by an agency of the United States. (a) If a patient ordered to be hospitalized pursuant to the previous Section is eligible for hospital care or treatment by the United States Veterans Administration, or any hospital maintained by the State of Georgia for war veterans, the ordinary, upon receipt of a certificate from such hospital showing that facilities are available and that the patient is eligible for care or treatment therein, may order him to be placed in the custody of such agency for hospitalization. When any such patient is admitted pursuant to the order of such ordinary to any such hospital or institution within or without the State, he shall be subject to the rules and regulations of such agency. The chief officer of any hospital or institution operated by such agency and in which the individual is so hospitalized, shall with respect to such individual be vested with the same powers as the superintendents of psychiatric hospitals or the division within this State with respect to detention, custody, transfer, furlough, or discharge of such patient. Jurisdiction is retained in the appropriate courts of this State at any time to inquire into the mental condition of an individual so hospitalized, and to determine the necessity for continuance of his hospitalization, and every order of hospitalization issued pursuant to this section is so conditioned. (b) An order of a court of competent jurisdiction of another State, or of the District of Columbia, authorizing

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hospitalization of a patient by any agency of the United States shall have the same force and effect as to the patient while in this State as in the jurisdication in which is situated the court entering the order; and the courts of the State or District issuing the order shall be deemed to have retained jurisdiction of the patient so hospitalized for the purpose of inquiring into his mental condition and of determining the necessity for continuance of his hospitalization, as is provided in subsection (a) of this section with respect to patients ordered hospitalized by the courts of this State. Consent is hereby given to the application of the law of the State or District in which is located the court issuing the order for hospitalization with respect to the authority of the chief officer of any hospital or institution operated in this State by the United States Veterans Administration or other Federal agency to retain custody, transfer, furlough, or discharge the patient hospitalized; provided, however, that the provisions of this subsection shall apply only to hospitalization in any hospital or institution operated in this State by the United States Veterans Administration or other Federal agency. Section 8. Transportation; temporary detention. (a) Whenever a patient is about to be hospitalized pursuant to an order of court entered under section 6(g) of this Act the Ordinary shall arrange for the patient's transportation to the hospital with suitable attendants and by such means as may be suitable for his medical condition. Whenever practicable, the patient to be hospitalized shall be permitted to be accompanied by one or more of his friends or relatives; provided, however, that in no event shall a patient be sent beyond the borders of this State without his consent unless such commital is to a facility maintained by the United States Veterans Administration. (b) A patient taken into custody under section 6(c) of this Act or ordered to be hospitalized pursuant to section 6(g) of this Act may be detained in his home or any other suitable facility under such reasonable conditions, including the use of mechanical restraints if necessary, as the ordinary may prescribe, but he shall not, except

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because of and during an emergency, be detained in a nonmedical facility used for the detention of individuals charged with or convicted of penal offenses. The ordinary may take such reasonable measures, including provisions for medical care, as may be necessary to assure proper care of a patient temporarily detained pursuant to this subsection. (c) The patient shall be under the jurisdiction of the court of ordinary from the commencement of the judicial commitment until the patient is accepted by a psychiatric hospital. The sheriff of the county shall have no duty, responsibility or liability in the procedure except those duties, responsibilities and liabilities resulting as a matter of course upon the execution of those functions specifically designated by the court of ordinary to the sheriff and his deputies. Section 9. Medical examination of newly admitted patients. Every patient admitted pursuant to the provisions of this Act shall be examined by the staff of the hospital as soon as practicable after his admission. Section 10. Transfer of patients. (a) The division may transfer, or authorize the transfer of a patient from one psychiatric hospital to another if the division determines that it would be consistent with the medical needs of the patient to do so. Whenever a patient is transferred written notice thereof shall be given to the ordinary of the county from which the patient was committed and to his legal guardian, attorney, parents, or spouse, or, if none be known, his nearest known relative or friend, if they reside in this State. In all such transfers, due consideration shall be given to the relationship of the patient to his family, legal guardian or friends, so as to maintain relationships and encourage visits beneficial to the patient. (b) Upon receipt of a certificate of an agency of the United States Veterans Administration or the State of Georgia that facilities are available for the care or treatment of any individual ordered hospitalized pursuant to

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law in any hospital for care or treatment of the mentally ill and that such individual is eligible for care or treatment in a hospital or institution of such agency, the division may cause his transfer to such agency of the United States or the State of Georgia for hospitalization. Upon effecting any such transfer, the court ordering hospitalization, the legal guardian, attorney, spouse, or parents, or if none be known, his nearest known relative or friend shall be notified thereof immediately by the division. No person shall be transferred to an agency of the United States Veterans Administration if he be confined pursuant to conviction of any felony or misdemeanor, or if he has been acquitted of the charge solely on the basis of non compos mentis, unless prior to transfer, the court originally ordering confinement of such person shall enter an order for such transfer after appropriate motion and hearing. Any person transferred as provided in this section to an agency of the United States Veterans Administration or the State of Georgia shall be deemed to be hospitalized by such agency pursuant to the original order of hospitalization. Section 11. Discharge. The superintendent of a hospital shall as frequently as practicable, but not less often than every six months, examine or cause to be examined every patient and, whenever he determines that the conditions justifying hospitalization no longer exist, discharge the patient and immediately make a report thereof to the division and to the ordinary who committed the patient. Section 12. Convalescent status; rehospitalization. (a) The superintendent of a psychiatric hospital may furlough an improved patient on convalescent status when he believes that such furlough is in the best interest of the patient. Furlough on convalescent status shall include provisions for continuing responsibility to and by the hospital, including a plan of treatment on an out-patient or non-hospital basis. Prior to the end of a year on convalescent status, and not less frequently than annually thereafter, the superintendent of the hospital shall re-examine the facts relating to the hospitalization of the

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patient on convalescent status and, if he determines that in view of the condition of the patient hospitalization is no longer necessary, he shall discharge the patient and make a report thereof to the division and to the ordinary committing the patient. (b) Prior to such discharge, the superintendent of the hospital from which the patient is given convalescent status may at any time rehospitalize the patient. If there is reason to believe that it is to the best interests of the patient to be rehospitalized, the division or the superintendent of the hospital may so recommend, and the ordinary shall issue an order for the immediate rehospitalization of the patient. (c) Prior to such discharge, upon recommendation of the person having custody of the furloughed patient, the sheriff of the county in which such patient is located shall have the authority to take such patient into custody and return such patient to the psychiatric hospital from which such patient is furloughed without any order of any court. The cost of such transportation shall be paid by the county. Section 13. Current examination of involuntary patient; procedure to obtain release. (a) After the lapse of three(3) months following the date on which a patient enters a psychiatric hospital as required by court order and not more frequently than every six (6) months thereafter, the patient or his legal guardian, attorney, parent, spouse or adult next of kin may request the superintendent in writing to cause a current examination by one or more physicians to be made as to the patient's mental condition and the results of such examination reported to such superintendent. If the request is timely, the superintendent shall cause such current examination and report to be made. The patient or his legal guardian, attorney, parent, spouse, or adult next of kin shall have the right to have present and taking part in such examination any duly qualified physician or physicians provided and paid by such patient, but such physicians shall furnish the superintendent a written report of their findings and conclusions.

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If the superintendent finds upon examining such reports that the patient is no longer mentally ill, he shall discharge the patient and notify immediately the court of ordinary which ordered his involuntary hospitalization, and the court shall thereupon enter its order, discharging such patient from the provisions of this Act. If the superintendent finds that the patient continues to be mentally ill, he shall not discharge the patient upon such request. (b) If the patient is dissatisfied with the findings of the superintendent that he continues to be mentally ill, and at least one of the physicians (including a physician provided and paid by such patient) making the current examination of the patient's mental condition reports that the patient is no longer mentally ill, the patient may, through himself, his attorney, guardian, spouse, or next of kin, petition in writing the court of ordinary of the county of his confinement or the court of ordinary which ordered the patient hospitalized for an order directing the superintendent to release him, and he shall attach thereto a copy of the report of such physician. The court of ordinary shall cause a copy of such petition and report to be served upon the superintendent and an entry of such service made upon the original thereof. Thereafter, upon notice to the parties a hearing shall be set according to procedures in section 6, and the court of ordinary shall enter its order either denying or granting such petition, with further rights of appeal from the order of the court of ordinary as provided in section 6 (i) of this Act. Section 14. Right to humane care and treatment. Every patient shall be entitled to humane care and treatment and, to the extent that facilities, equipment, and personnel are available, to medical care and treatment in accordance with the highest standards accepted in medical practice. Section 15. Mechanical restraints. Mechanical restraints shall not be applied to a patient unless it is determined by the superintendent of the hospital or his designee to be required by the medical needs of the patient.

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Every use of a mechanical restraint and the reasons therefor shall be made a part of the clinical record of the patient and under the signature of the superintendent of the hospital or his designee. Section 16. Right to communication and visitation; exercise of civil rights. (a) Subject to the general rules and regulations of the hospital and except to the extent that the superintendent determines that it is necessary for the medical welfare of the patient to impose restrictions, every patient shall be entitled (1) to communicate by sealed mail or otherwise with persons, including official agencies, inside or outside the hospital; (2) to receive visitors; and (3) to exercise all civil rights, including the right to dispose of property, execute instruments, make purchases, enter contractual relationships, and vote, unless he has been adjudicated incompetent and has not been restored to legal capacity. (b) Notwithstanding any limitations authorized under this Section on the right of communication, every patient shall be entitled to communicate by sealed mail with the division, the superintendent, and with the court, if any, which ordered his hospitalization. (c) Any limitations imposed by the superintendent on the exercise of these rights by the patient and the reasons for such limitations shall be made a part of the clinical record of the patient. Section 17. Writ of habeas corpus. Any individual detained pursuant to this Act shall be entitled to the writ of habeas corpus upon proper petition by himself or a friend to any court generally empowered to issue the writ of habeas corpus in the county in which he is detained. Section 18. Disclosure of information and records.

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Records, documents, and information in the possession of a psychiatric hospital concerning any individual prior to the time he is admitted to such hospital, whether voluntarily or by court order, and concerning any patient during the period of his care and treatment, and which are not made a part of any court record, shall not be disclosed except to a court with contempt powers on its order or in response to its subpoena duces tecum, to an officer, physician, or employee of the hospital requiring the same for the performance of his duties or a physician or licensed registered nurse in the employ of the State Department of Public Health or a county department of public health who requires such information in follow-up work and after-care for the benefit of the patient and the patient's family, unless a written request therefor is made to the superintendent of the hospital and the superintendent finds that adequate reason has been shown for the disclosure of such records, documents or information. Section 19. Additional powers of Division. In addition to the other powers provided by this Act, the Division of Mental Health, subject to the approval of the Director of the State Department of Public Health, shall have the authority to prescribe the forms of applications, records, reports, medical certificates, and any other forms required or used under the provisions of this Act and the information required to be contained therein, to require such reports from the superintendent of any psychiatric hospital as it may find necessary to the performance of its duties or functions, to visit each hospital regularly to review the commitment procedures of all patients, to determine the care and treatment being given any and all patients, to investigate complaints and make reports and recommendations relative to same, and with the approval of the Director of the Department of Public Health to adopt and make effective such procedures and orders as may be appropriate to carry out the provisions of this Act. Provided, however, that the requirements of this section as to determination of treatment and care of patients and the investigation of complaints shall not apply to patients hospitalized in an institution operated by or under the

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control of the United States Veterans Administration or other Federal agency. Section 20. Expenses of hearing; how paid. The ordinary shall draw his warrant upon the treasurer of his county for such sum or sums as shall be actually necessary or requisite to defray the expenses of the hearing provided for in section 6 hereof and for conveying such patient from such county to the hospital. The sum to be paid to the members of the examining committee shall not exceed ten dollars ($10.00) and actual expenses to each member. The total costs to be paid to the ordinary for such hearing shall be the sum of twenty-five dollars ($25.00). In the event the application is dismissed as provided in section 6(f), the cost of the ordinary shall be ten dollars ($10.00). Provided, however, that no money shall be drawn from the county treasury for the purposes herein set forth when the patient, his estate, or person or persons legally obligated or responsible for the support of such person, shall be able or sufficient to defray such expenses. The cost on appeal to the superior court shall be the same as provided for in other appeals from the court of ordinary. Section 21. Procedure upon discovery that individual is a non-resident. If, at any time after an individual is ordered to be taken into custody pursuant to the provisions of section 6 hereof, or application is made thereunder for his or her involuntary hospitalization, or during the period such individual is receiving care or training pursuant to such order, it is discovered that the individual involved is not then a resident as defined in section 1 hereof, the court before which the matter is pending or the superintendent of the hospital having charge of such patient, shall seek his or her transfer to the custody of authorities of the state of his or her prior residence or to a publicly owned or publicly operated psychiatric hospital in the state of his or her prior residence; provided, that nothing contained in this section shall prevent the voluntary hospitalization of such individual under this Act for which due payment is made by such individual or others on his or her behalf, or prevent the transfer, custody,

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care, or treatment of such individual in accordance with the terms of a reciprocal agreement between the State of Georgia and any other state, the District of Columbia, or territory or possession of the United States. This section shall not apply to person confined to any facility operated by or under the control of the United States Veterans Administration or other Federal agency. Section 22. Effective date. This Act shall become effective July 1, 1960. Section 23. Severability Section. In the event any section, subsection, sentence, clause or phrase of this Act shall be declared or adjudged invalid or unconstitutional, such adjudication shall in no manner affect the other sections, subsections, sentences, clauses or phrases of this Act, which shall remain of full force and effect, as if the section, subsection, sentence, clause or phrase so declared or adjudged invalid or unconstitutional was not originally a part hereof. The General Assembly hereby declares that it would have passed the remaining parts of this Act if it had known that such part or parts hereof would be declared or adjudged invalid or unconstitutional. Section 24. Georgia Code Title 49 expressly retained. Title 49 of the Code of Georgia as amended, relating to guardians and wards, the powers, duties, and liabilities of guardians, settlement, resignation, and letters dismissory, foreign guardians, county guardians, guardians of insane or deaf and dumb persons and persons non compos mentis, ordinaries as custodians of minors' or insane persons' moneys, and guardians of incompetent world war veterans is hereby expressly retained and shall not be construed as being repealed by the provisions of this Act. Section 25. Georgia Code Section 35-225, 35-236, 35-237, 49-604 and 49-605 expressly retained. The following provisions of law are expressly retained and shall not be construed as being repealed by the provisions of this Act: That part of Georgia Laws 1953, Nov. Sess., pages 321 and 322, as amended by Georgia Laws 1955, pages 347

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and 348, and by Georgia Laws 1956, pages 585 and 588 and codified as Georgia Code section 35-236, which provides that patients may demand a lunacy trial following their admission to Milledgeville State Hospital, and the procedure in connection therewith; That part of Georgia Laws 1953, Nov. Sess., pages 321 and 323, as amended by Georgia Laws 1955, pages 347 and 349, and by Georgia Laws 1956, pages 585 and 589, codified as Georgia Code section 35-237, and providing how such lunacy trial may be demanded by such patients, for service of such petition upon the superintendent, and a trial thereon. Georgia Code section 35-225, which reads as follows: 35-225. (1598) Hospital to be divided into apartments. The Board of Control shall see that proper and distinct apartments are arranged for said patients, so that in no case shall Negroes and white persons be together, nor the penitentiary convicts with inmates of any other class; and males and females shall be kept separate. Georgia Code section 49-604, as amended, and Georgia Code section 49-605, as amended. Section 26. Specific repeal of certain laws and parts of laws. There is specifically repealed upon the effective date of this Act the following laws and parts of laws: That part of Georgia Laws 1877, page 113, as amended by Georgia Laws 1929, page 324, and which are now codified as Georgia Code section 35-202, which provides how patients shall be admitted and discharged from the Milledgeville State Hospital; That part of Georgia Laws 1877, page 113, as amended by Georgia Laws 1929, page 324, Georgia Laws 1931, pages 7, 19 and Georgia Laws 1937, pages 355, 368, which provides that the State Department of Public Welfare shall prescribe rules and regulations for the admission of patients to the Milledgeville State Hospital and may alter and change the same from time to time, now codified as Georgia Code section 35-203;

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That part of Georgia Laws 1877, page 113, as amended by Georgia Laws 1931, pages 7, 19 and Georgia Laws 1937, pages 355, 368, which provides that as soon as such regulations shall have been made, copies thereof shall be furnished to the different ordinaries, now codified as Georgia Code section 35-205; That part of Georgia Laws 1850, pages 733, 734 and Georgia Laws 1842, Cobb, page 731 and codified as Georgia Code section 35-223, which provides for the classification of inmates of the Milledgeville State Hospital according to whether they are pauper patients, residents of Georgia, pay patients who are non-residents, and insane penitentiary convicts; That part of Georgia Laws 1878-9, page 424 as amended by Georgia Laws 1929, page 324, codified as Georgia Code section 35-224, which provides when harmless idiots shall be rejected by the Milledgeville State Hospital; That part of Georgia Laws 1874, page 91, as amended by Georgia Laws 1929, page 324, which is codified as Georgia Code section 35-227 and provides that applicants for admission to the Milledgeville State Hospital must be citizens of Georgia; That part of Georgia Laws 1857, page 123, which is codified as Georgia Code section 35-228 and provides how resident pay patients shall be admitted to Milledgeville State Hospital; That part of Georgia Laws 1874, page 92, which is codified as Georgia Code section 35-229, and provides that exemplification of the proceedings before the court of ordinary for the commitment of insane persons shall be certified as true from the ordinary's book of record kept for that purpose; That part of Georgia Laws 1929, page 324, which is codified as Georgia Code section 35-232 and provides how

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pauper patients shall be admitted to Milledgeville State Hospital; That part of Georgia Laws 1850, Cobb, pages 732, 734, as amended by Georgia Laws 1920, page 74, and Georgia Laws 1929, page 324, and codified as Georgia Code section 35-239, which provides that patients absent from Milledgeville State Hospital for as long as twelve months shall not be received at the Hospital without completing the procedure provided by this Chapter of the Code for readmission or re-commitment; That part of Georgia Laws 1952, pages 94 and 95, which is codified as Georgia Code section 35-241, and provides for the voluntary admission to Milledgeville State Hospital of individuals who are mentally ill or have the symptoms of mental illness upon certain conditions; That part of Georgia Laws 1952, pages 94 and 95, which is codified as Georgia Code section 35-242, and provides when voluntary mental patients shall be discharged from the Milledgeville State Hospital; That part of Georgia Laws 1952, pages 94 and 95, which is codified as Georgia Code section 35-243, and which provides the conditions upon which voluntary mental patients shall be released from the Milledgeville State Hospital; That part of Georgia Laws 1953, Nov. Sess., pages 308 and 309, codified as Georgia Code section 35-247, and which provides the right of a patient to decline his release from Milledgeville State Hospital; All of Act No. 485, approved March 26, 1958, and appearing in Georgia Laws 1958, pages 697-711, and which is codified as Chapter 99-24 and sections 99-9909 and 99-9910 of the Georgia Code. Section 27. Repeal of conflicting laws. Upon the effective date of this Act, all laws and parts of laws in conflict therewith are hereby repealed. Approved March 17, 1960.

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STATEWIDE PROBATION ACT AMENDEDEFFECT OF VIOLATION OF PROBATION. No. 619 (House Bill No. 608). An Act to amend an Act known as the Statewide Probation Act, approved February 8, 1956 (Ga. L. 1956, p. 27), as amended, so as to provide that if a probation is revoked, and if the court orders the execution of the sentence originally imposed, or any portion thereof, that the time which the defendant has served under probation shall be deducted from and considered a part of the time he was originally sentenced to serve; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Statewide Probation Act, approved February 8, 1956 (Ga. L. 1956, p. 27), as amended, is hereby amended by striking from section 12 the last sentence which reads as follows: If such probation is revoked, the court may order the execution of the sentence which was originally imposed, or any portion thereof, and no part of the time that the defendant has been on probation need be considered as any part of the time that he shall have been sentenced to serve. and substituting in lieu thereof the following language: If such probation is revoked, the court may order the execution of the sentence originally imposed, or any portion thereof. Provided, however, that in such event, the time that the defendant has served under probation shall be considered as time served and shall be deducted from and considered a part of the time he was originally sentenced to serve. so that section 12, when so amended, shall read as follows: Section 12. Whenever within the period of probation any probation officer believes that a probationer has violated

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his probation in a material respect, he may arrest such probationer without warrant, whenever found, and return him to the court granting such probation. Any officer authorized by law to issue warrants may issue a warrant upon the fact being made known to the court by affidavit of one having knowledge of such fact, for the arrest of the probationer, returnable forthwith before the court granting such probation. The court, upon the probationer being brought before it, may commit him or release him with or without bail to wait further hearing or it may dismiss the charge. If such charge is not at said time dismissed, the court as soon as may be practicable, shall give the probationer an opportunity to be fully heard on his own behalf, in person and by counsel, after such hearing the court may revoke, modify or continue the probation. If such probation is revoked, the court may order the execution of the sentence originally imposed, or any portion thereof. Provided, however, that in such event, the time that the defendant has served under probation shall be considered as time served and shall be deducted from and considered a part of the time he was originally sentenced to serve. Violation of probation. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. RECORDING OF OPTIONS TO PURCHASE LAND. No. 620 (House Bill No. 611). An Act to provide for the recording of options to purchase land and of assignments thereof; to provide the effect of such recording; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of the same:

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Section 1. Options to purchase land or any interest in land shall, when executed with the formality now prescribed for the execution of deeds to land, and assignments of such options to purchase, shall be admissible to record in the county in which the property therein described is located. Such record shall, from the date of filing, be notice of the interest and rights of the parties to such option to purchase in and with respect to the property therein described and of the interest and rights of any person holding an assignment of such option to purchase. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. CODE 92-4101 THROUGH 92-4104 NOT APPLICABLE TO CITY OF CONCORD. Code 92-4101 Amended. No. 621 (House Bill No. 631). An Act to amend Code section 92-4101, as amended, relating to the limitation of ad valorem taxation by municipal corporations, so as to provide that the City of Concord shall not be affected by the provisions of Code section 92-4101 through 92-4104; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 92-4101, as amended, relating to the limitation of ad valorem taxation by municipal corporations, is hereby amended by adding the words, nor the City of Concord, so that when so amended, section 92-4101 shall read as follows: No municipal corporation shall levy or collect for the

Page 860

ordinary current expenses of said corporation, except as hereinafter provided, any ad valorem tax upon the property within said corporation, exceeding one-half of one percent upon the value of said property, any charter of said corporation to the contrary notwithstanding: Provided that the provisions of section 92-4101 through 92-4104 shall not apply to the City of Savannah and the City of Augusta or the City Council of Augusta and the Town of Bartow, Cities of Millen, Patterson, Blackshear, Warrenton, Cedartown, and the Town of Bowden, nor the City of Albany, nor the City of East Point, nor the City of Blue Ridge, nor the Town of Flowery Branch, nor the City of Concord. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be introduced at the January 1960 session of the General Assembly of Georgia a bill to exempt the City of Concord from the provisions of sections 92-4101 through 92-4104, which relate to the levying and collecting for ordinary current expenses of municipal corporations an ad valorem tax not exceeding one-half of one percent and for other purposes. This 15th day of December, 1959. Lamar E. Dunn, Representative, Pike County. Georgia, Fulton County. Personally appeared before me, the undersigned authority, duly authorized to administer oaths, Lamar E. Dunn, who, on oath, deposes and says that he is Representative from Pike County, and that the attached copy of Notice of Intention to Introduce Local Legislation was published in the The Pike County Journal, which is the

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official organ of said county, on the following dates: December 17, 24 and 31, 1959. /s/ Lamar E. Dunn, Representative, Pike County. Sworn to and subscribed before me this 12 day of January, 1960. /s/ Frances Y. Read, Notary Public, Fulton Co. Approved March 17, 1960. EMPLOYMENT SECURITY LAW AMENDED. Code Ann. 54-603, 604, 605, 606, 607, 608, 609, 609(b), 609(c), 609(d)(1), 620(1), 622(2), 622(6), 622(7)(iv), 622(8), 623(b), 627.1, 632.1, 634, 641, 645, 646, 646.1, 648, 649, 650.1, 657(h)(7)(F), 657(h)(7)(G), 657(h)(7)(J) (a, b and c), 657(n)(1) and 657(n)(4) Amended. Code Ann. 54-622(12), 657(n)(3) Repealed. No. 622 (House Bill No. 636). An Act to amend an Act approved March 29, 1937, known as the Unemployment Compensation Law (Ga. L. 1937, pp. 806 et seq.), as amended, (now Employment Security Law), by modifying and liberalizing the benefit tables and other benefit provisions so as to change the weekly benefit amount, qualifications and eligibility for benefits; by providing for the duration of benefits; by providing for non-eligibility for benefits in cases of pregnancy and retirement under certain conditions; by providing for a definition and application of vacation weeks; by providing for the non-charging of employers' experience rating accounts with benefits paid under certain conditions; by providing for contribution

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rate adjustments and the ratio of reserves for experience rating purposes; by re-defining computation date; by repealing the provisions relating to war risk, employer's entrance in the armed services, and freezing of benefits for veterans; by providing for the termination of liability under certain conditions; by providing for group insurance of employees; by modifying the definition of wages; by providing for contribution due dates; by providing that the contributions due under the Law shall be a lien on property; by modifying provisions relating to the collection of contributions; by re-defining unemployment; by clarifying responsibility for the Employment Security Administration Fund; to reflect transitory provisions in and designations under Federal laws cited in the Act; to provide for effective dates, and for other purposes. Be it enacted by the General Assembly of the State of Georgia and it is hereby enacted by authority of the same that: Section 1. The Act approved March 29, 1937, known as the Unemployment Compensation Law (Ga. L. 1937, pp. 806 et seq.), as amended (now the Employment Security Law), be, and the same is hereby amended in the following respects, namely: Section 2. By striking section 3 of said Act, as amended, and each subsection therein (Sections 54-603, 604, 605, 606, 607 and 608, Ga. Ann. Code), and inserting in lieu thereof the following: Section 3Benefits: (a) Payment of Benefits. All benefits payable from and out of the Unemployment Compensation Fund shall be paid as herein provided and through employment offices in accordance with such regulations as the Commissioner may prescribe. (b) Weekly Benefit.

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(1) Amount An individual's `weekly benefit amount' shall be the amount appearing in Column B in the table of this section on the same horizontal line on which appears in Column A of said table the total insured wages paid such individual in that quarter of his base period in which such total wages were highest, provided insured wages were paid such individual during two or more quarters of his base period and the total of such wages equals or exceeds the amount shown in Column C of the table on the same line. Column Column Column A B C Wages Paid in Highest Quarter of Base Period Weekly Benefit Amount Qualifying Wages in Base Period $175.00 to 199.99 $ 8 $ 288 200.00 224.99 9 324 225.00 249.99 10 360 250.00 274.99 11 396 275.00 299.99 12 432 300.00 324.99 13 468 325.00 349.99 14 504 350.00 374.99 15 540 375.00 399.99 16 576 400.00 424.99 17 612 425.00 449.99 18 648 450.00 474.99 19 684 475.00 499.99 20 720 500.00 524.99 21 756 525.00 549.99 22 792 550.00 574.99 23 828 575.00 599.99 24 864 600.00 624.99 25 900 625.00 649.99 26 936 650.00 674.99 27 972 675.00 699.99 28 1,008 700.00 724.99 29 1,044 725.00 749.99 30 1,080 750.00 774.99 31 1,116

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775.00 799.99 32 1,152 800.00 824.99 33 1,188 825.00 849.99 34 1,224 850 and over 35 1,260 The foregoing Benefit Table shall be effective with benefit years beginning July 1, 1960, and thereafter: Provided, however, that benefits shall not be paid for any week during which the employee is engaging in picketing or is a participant in a picket line at the factory, establishment, or other premises at which he is, or was last, employed, even though the stoppage of work shall have ceased and operations have been resumed. (2) Duration Any otherwise eligible individual shall be entitled during any benefit year to a total amount of benefits equal to twenty-six (26) times his weekly benefit amount or one-fourth () of his wages for insured work paid during the base period, whichever is the lesser; provided that such total amount of benefits, if not a multiple of the weekly benefit amount, shall be adjusted to the nearest multiple of the weekly benefit amount. (c) Weekly Benefit for Unemployment. Each eligible individual who is unemployed in any week shall be paid with respect to such week a benefit in an amount equal to his weekly benefit amount less that part of the wages (if any) payable to him with respect to such week which is in excess of $8.00. Such benefit, if not a multiple of $1.00, shall be computed to the nearest multiple of $1.00. (d) Seasonal Employment. (1) As used in this section the term `seasonal industry' means an occupation or industry in which, because of the seasonal nature thereof, it is customary to operate only during a regularly recurring period or periods of less than forty weeks in a calendar year. The Commissioner

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shall, after investigation and hearing, determine, and may thereafter from time to time redetermine, the longest seasonal period or periods during which by the best practice of the occupation or industry in question, operations are conducted. Until such determination by the Commissioner, no occupation or industry shall be deemed seasonal. (2) The term `seasonal worker' means an individual who is ordinarily engaged in a seasonal industry and who, during the portions of the year when such industry is not in operation, is ordinarily not engaged in any other work. (3) The Commissioner shall prescribe fair and reasonable general rules applicable to seasonal workers for determining the period for earning and the amount of the total wages required to qualify such workers for benefits and the period during which benefits shall be payable to them. The provisions of section 2 of this amendatory Act shall be effective July 1, 1960 except no claim then within a benefit year shall be recomputed. Section 3. Said Act is further amended by striking subsection (b) of section 4 (Section 54-609 (b), Ga. Ann. Code), and inserting in lieu thereof the following: (b) He has, while unemployed or while employed less than full time during a regular work week if his deductible earnings (any amount over $8) do not equal or exceed his weekly benefit amount, made a claim for benefits in accordance with the provisions of section 6 (a) of this Act. Benefits. The provisions of section 3 of this amendatory Act shall be effective July 1, 1960. Section 4. Said Act is further amended by striking subsection (c) of section 4 (Section 54-609 (c), Ga. Ann. Code), and substituting in lieu thereof the following:

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(c) He is able to work, and is available for work, and has actively and in good faith sought employment, and is actively and in good faith seeking employment, and is bona fide in the labor market: Provided, however, that no individual shall be considered available for work or receive benefits for any period that: (1) He is away from work on vacation or leave of absence at his own request; or (2) He is away from work for a vacation period as provided for in an employment contract; or Available for work. (3) He is away from work for a vacation period, in the absence of an employment contract covering the subject, by reason of an established employer custom, practice, or policy, as evidenced by custom or practice for the prior year or years, provided, however, that in the absence of custom or practice for the prior year or years, a vacation policy and practice may be established by the employer by an announcement, at least 90 days prior to the beginning of the scheduled vacation period, of a paid vacation plan applicable generally to his employees who meet the eligibility requirements of the plan. In no event shall an employee be held unavailable for work or ineligible for benefits under paragraph (2) or (3) of this subsection for a period in excess of two weeks in any calendar year when such employee is not paid for such period directly or indirectly by the employer or from a fund contributed to by the employer, and provided that the usual eligibility requirements shall apply to individuals or groups laid off due to lack of work or for a purported vacation not meeting the conditions set forth in paragraph (2) and (3) above. Section 5. Said Act is further amended by striking paragraph (1) of subsection (d) of section 4 (Section 54-609 (d) (1), Ga. Ann. Code), and inserting in lieu thereof the following:

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(1) Unless it occurs within the benefit year which includes the week with respect to which he claims payment of benefits. Week of unemployment. so that subsection (d), when so amended, will read as follows: (d) He has been unemployed for a waiting period of one week. No week shall be counted as a week of unemployment for the purposes of this subsection: (1) Unless it occurs within the benefit year which includes the week with respect to which he claims payment of benefits. (2) If benefits have been paid with respect thereto. (3) Unless the individual was eligible for benefits with respect thereto as provided in sections 4 and 5 of this Act, except for the requirements of this subsection and of subsection (f) of section 5. The provisions of section 5 of this amendatory Act shall be effective July 1, 1960. Section 6. Said Act is further amended by adding to section 4 (Section 54-609, Ga. Ann. Code), two additional subsections at the end of said section, to be lettered (g) and (h), as follows: (g) He has, since retiring of his own volition to receive a pension, performed services in bona fide employment and earned insured wages for such services equal to at least eight (8) times the weekly benefit amount. Who entitled to benefits. (h) She has, since voluntarily quitting her job due to pregnancy, performed services in bona fide employment and earned insured wages for such services equal to at least eight (8) times the weekly benefit amount, provided that this requirement shall apply only to weeks of unemployment claimed during pregnancy.

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Section 7. Said Act is further amended by inserting in the second sentence of section 7 (a) (1) thereof (Section 54-620(1), Ga. Ann. Code), immediately following the word fund and immediately preceding the words in accordance with, the following, namely: on or before the last day of the month next following the end of the calendar quarter to which they apply, and by inserting in said sentence immediately after the comma following the word prescribe and immediately preceding the words and shall not, the following, namely: and shall become delinquent if not paid when due, so that said sentence as so amended will read: Such contributions shall become due and be paid by each employer to the Commissioner for the fund on or before the last day of the month next following the end of the calendar quarter to which they apply, in accordance with such regulations as the Commissioner may prescribe, and shall become delinquent if not paid when due, and shall not be deducted, in whole or in part, from the wages of individuals in such employer's employ. Employer contributions. Section 8. Said Act is further amended by striking the period at the end of the last paragraph of section 7 (c) (2) (Section 54-622 (2), Ga. Ann. Code), and inserting in lieu thereof a semicolon and adding thereto the following: except that charges of amounts less than $1.00 shall be disregarded. so that said paragraph will read as follows: The amount of benefits so chargeable against each base-period employer's account shall be that portion of the benefits paid to an individual which the base-period wages paid to the individual by such employer bear to the total amount of base-period wages paid to the individual by all his base-period employers; except that charges of amounts less than $1.00 shall be disregarded. Same. Section 9. Said Act is further amended by striking in its entirety paragraph (6) and each and every subparagraph thereof, of subsection (c) of section 7 (Section

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54-622 (6), Ga. Ann. Code), and by substituting in lieu thereof the following: (6) Variations from the standard rate of contributions shall be determined in accordance with the following requirements: If the total of all an employer's contributions paid on or before the last day of the month immediately following the computation date with respect to wages paid by him on or before such computation date, exceeds the total benefits which were charged to his account and paid on or before the computation date, his contribution rate for the ensuing calendar year shall be determined by dividing such excess by his average annual payroll and applying the resulting percentage to the following rate table. Rate Table If the excess percentage: Equals or exceeds but is less than The contribution rate is: 0. 2.0 percent2.70 (2-7/10) Percent 2.0 3.0 percent2.50 (2) Percent 3.0 3.5 percent2.25 (2) Percent 3.5 4.5 percent2.00 (2) Percent 4.5 5.5 percent1.75 (1[frac34]) Percent 5.5 6.5 percent1.50 (1) Percent Same, variations. 6.5 7.5 percent1.25 (1) Percent 7.5 8.5 percent1.00 (1) Percent 8.5 9.5 percent0.75 ([frac34]) Percent 9.5 10.5 percent0.50 () Percent 10.5 and Over 0.25 () Percent Provided, however, that effective with the computation date December 31, 1962, and for each computation date thereafter, the contribution rate of an employer whose contribution rate for the three preceding calendar-year periods has been 2.7% or more and who has a deficit reserve balance (total of all benefits charged exceeds total of all contributions paid) as of such computation date shall be computed either on the basis of his total

Page 870

prior experience record as of the computation date or on the basis of his experience record for the three-year period ending on the computation date whichever is more advantageous to such employer; provided further, when an employer's rate is computed based on his experience during the three-year period ending on the computation date the record of such employer covering experience prior to such three-year period shall be void with respect to all future computations; provided further, if the total deficit of such employer is less than $500.00 or is less than 3.1 percent of his average annual payroll, such employer's contribution rate shall be 2.7 percent. If the total deficit of such employer is $500.00 or more and equals or exceeds 3.1 percent of his average annual payroll, the following rate table shall apply beginning with the computation date December 31, 1962, and each computation date thereafter: Rate Table for Employers With Deficit Reserve Accounts If deficit percentage: Equals or exceeds but-is-less-than The contribution rate is: 3.1 5.0 percent3.00 (3) Percent 5.0 6.0 percent3.25 (3) Percent 6.0 7.0 percent3.50 (3) Percent 7.0 8.0 percent3.75 (3[frac34]) Percent 8.0 9.0 percent4.00 (4) Percent 9.0 and over 4.20 (4-2/10) Percent Section 10. Said Act is further amended by striking the first sentence of subparagraph (iv) of paragraph (7) of subsection (c) of section 7 (Section 54-622 (7) (iv), Ga. Ann. Code), and by inserting in lieu thereof a new first sentence to read as follows: (iv) The term `computation date' means June 30 of the preceding year with respect to rates applicable to the succeeding calendar year; except that beginning with the year 1962 and for each year thereafter the computation date shall be December 31, with respect to rates applicable to the suceeding calendar year; except a special

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computation date is established for each employer (and a rate shall be determined on the basis of his record) on the last day of the sixth calendar quarter beginning with the quarter in which the effective date of liability occurs and during which period his account could have been chargeable with benefits throughout twelve consecutive calendar months, the rate thus determined becoming effective on the first day of the immediately following quarter (seventh quarter) and continuing in effect until the end of the calendar year; provided, however, that any corporation, partnership, individual, or other legal entity, who acquires by purchase, merger, consolidation, or other means, substantially all of the business, or assets thereof, of any employer, and who thereafter continues such acquired business, shall be deemed to be a successor to the predecessor from whom such business was acquired for purposes of Section 7, and if not already an employer prior to such acquisition, shall become an employer on the date of such acquisition. Computation date. Section 11. Said Act is further amended by striking in its entirety paragraph (12) of subsection (c) of section 7 (Section 54-622 (12) Ga. Ann. Code), relating to an employer's entrance into the armed forces of the United States, which is hereby repealed. Section 12. Said Act is further amended by adding in the first sentence of paragraph (8) of subsection (c) of section 7 (Section 54-622 (8), Ga. Ann. Code), immediately following the word be, and immediately preceding the figures 2.7, the words not less than, and by adding immediately following the words is the greater, the, and immediately preceding the words rate of contribution, the word minimum, so that said paragraph, when so amended, shall read as follows: (8) If on the last day of any calendar quarter, the balance in the Unemployment Compensation Trust Fund is less than three (3) times the highest amount paid out in benefits in any one of the five preceding twelve-consecutive-calendar-month periods ending on said last day of such calendar quarter, or seventy-five million dollars

Page 872

($75,000,000), whichever is the greater, the minimum rate of contribution shall be not less than 2.7 per centum for a twelve-month period effective on the first day of the second succeeding calendar quarter. Such twelve-month-period increase shall operate prospectively as and when in the future said condition shall be found to exist. Minimum contributions. Section 13. Said Act is further amended by striking the period at the end of subsection (b) of section 8 (Section 54-623 (b), Ga. Ann. Code), and by inserting in lieu thereof a comma and by adding to said subsection the following: or when it appears that after selling all of his business, the employer did not employ four or more persons for twenty different days, each day being in a different week in the next succeeding calendar year. so that said subsection (b) of section 8, when so amended, shall read as follows: (b) Termination of Liability. Except as otherwise provided in subsection (c) of this section, an employing unit shall cease to be an employer subject to this Act only as of the first day of January of any calendar year, only if it files with the Commissioner, prior to the thirtieth day of April of the next succeeding year, a written application for termination of coverage, and the Commissioner finds that there were no twenty different days, each day being in a different week within the first named calendar year, within which such employing unit employed four or more individuals in employment or was not otherwise subject to this Act. Accordingly coverage may be terminated as of January 1 of said calendar year and contributions paid with respect to employment subsequent to said date may be refunded. Such refunds shall not operate to decrease the wage credits of any individual. For the purpose of this subsection, the two or more employing units mentioned in paragraph (2) or (3) of section 19 (g) shall be treated as a single employing unit. Notwithstanding the foregoing provisions, the liability of an employer may be terminated by the Commissioner

Page 873

when it appears that such employer had no employment during a calendar year, or when it appears that after selling all of his business, the employer did not employ four or more persons for twenty different days, each day being in a different week in the next succeeding calendar year. Section 14. Said Act is further amended by adding to subsection (d) of section 11 (Section 54-634, Ga. Ann. Code), a new and additional paragraph numbered (4) to read as follows: (4) The Commissioner is authorized to adopt and carry into effect a system of group insurance for the benefit of such employees of the Employment Security Agency as shall or may elect to accept the same, to cooperate in making such insurance available to such employees, and to pay, as the employer's portion, such part of the cost of insurance, not to exceed sixty per cent of such cost, as the Commissioner shall determine. The amount of such insurance shall be determined by a plan which shall preclude individual selection by an employee to be insured. Group insurance. Section 15. Said Act is further amended by striking in its entirety subsection (b) of section 14 (Section 54-648, Ga. Ann. Code), and by substituting in lieu of said subsection a new subsection (b) to read as follows: (b) Collection and Lien. (1) If, after due notice, any employer defaults in any payment of contributions or interest thereon, the amount due, including any penalty, may be collected by civil action in the name of the Commissioner, and the employer adjudged in default shall pay the costs of such action. Civil actions brought under this section to collect contributions, interest or penalty thereon from an employer shall be heard by the court at the earliest possible date and shall be entitled to preference upon the calendar of the court over all other civil actions except petitions for judicial review under this Act and cases arising

Page 874

under the Workmen's Compensation Law of this State, and other actions to which the State is a material party, which are now given precedence. (2) When any contributions under this Act are not paid when due, the amount thereof, including any interest, penalties and costs, shall constitute a lien, as for taxes due the State, upon all property and rights to property, and upon all after-acquired property and rights to property, both real and personal, of the employer liable for such contributions. Said lien shall attach and be perfected as of the date such contributions become due, and shall be on a parity with other tax liens, and prior, superior, and paramount to all other liens or encumbrances attaching to any of such property; except that said lien shall not be preserved against purchasers, judgment creditors, pledgees, subsequent tax liens, or other liens or encumbrances until an execution for such contributions has been issued and entered on the general execution docket under provisions of Section 92-3306, Ga. Ann. Code, but when such execution has been so issued and docketed, the lien for such contributions shall be a perfected lien upon all of such employer's property and rights to property, real and personal, in each county in which such execution is so docketed. Section 16. Said Act is further amended by striking in its entirety subsection (c) of section 14 (Section 54-649, Ga. Ann. Code), and by substituting in lieu of said subsection a new subsection (c) to read as follows: (c) Lien and Priorities Under Legal Dissolution or Distribution. In the event of any distribution of an employer's assets pursuant to an order of any court under the laws of this State, in proceedings relating to the administration of estate of a decedent, receivership, assignment for benefit of creditors, adjudicated insolvency, composition, dissolution, reorganization, or similar proceedings, contributions then or thereafter due, together with interest, penalties and cost thereon, shall be paid in full in accordance with laws of this State governing the order of payment of tax liens and tax priorities. In

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the event of any employer's adjudication in bankruptcy, judicially confirmed extension proposal or composition under the Federal Bankruptcy Act of 1898, as amended, contributions then or thereafter due, together with interest, penalties and costs thereon, shall be entitled to payment in accordance with the laws governing the lien and priority of taxes due this State. Section 17. Said Act is further amended by striking the first sentence of subsection (e) of section 14 (Section 54-650.1, Ga. Ann. Code), and by substituting in lieu of said sentence a new sentence to read as follows: In addition to any other method provided by law for the collection of contributions, any contribution not paid when due, including any interest, penalty and costs thereon, may be collected as other delinquent taxes under authority contained in section 92-3306, Georgia Annotated Code, and by the State Revenue Commissioner. Collection of contributions. Section 18. Said Act is further amended by striking the first sentence of subsection (e) of section 16 thereof immediately following the subsection designation (e) (first sentence of section 54-632.1, Ga. Ann. Code), and by substituting in lieu of that sentence a new sentence to read as follows: In accordance with such regulations as the Commissioner may prescribe, reports shall become due and be filed by each employer on or before the last day of the month next following the end of the calendar quarter to which such reports apply, listing the name and Social Security number of each employee and the amount of wages paid each employee. Reports. Section 19. Said Act is further amended by striking in its entirety subsection (k) of section 19 (Section 54-657 (k), Ga. Ann. Code), and substituting in lieu thereof the following: (k) `Unemployment.' An individual shall be deemed `unemployed' in any week during which he performs no

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services and with respect to which no wages are payable to him, or in any week of less than full time work if his deductible earnings (any amount over $8 do not equal or exceed his weekly benefit amount. The Commissioner shall prescribe regulations applicable to unemployed individuals making such distinctions in the procedures as to total unemployment, part-total unemployment, partial unemployment of individuals attached to their regular jobs, and other forms of short-time work, as the Commissioner deems necessary. An individual compensated solely on a commission basis shall be deemed to be unemployed only upon the termination of his contract of employment. The provisions of section 19 of this amendatory Act shall be effective July 1, 1960. Section 20. Said Act is further amended by striking in its entirety paragraph (1) of subsection (n) of section 19 (Section 54-657 (n) (1), Ga. Ann. Code), and substituting in lieu thereof the following: (1) For the purposes of section 7, except subsection (c) (2), and of section 19 (a) of this Act, that part of the remuneration which, after remuneration equal to $3,000.00 has been paid to an individual by an employer during any calendar year with respect to employment within this or any other State, is paid to such individual by such employer during such calendar year; Provided further that in cases of successorship of an employer the amount of wages paid by the predecessor shall be considered, for purposes of this provision, as having been paid by the successor employer; and Contributions by successor employer. Section 21. Said Act if further amended by striking in its entirety paragraph (3) of subsection (n) of section 19 (Section 54-657 (n) (3), Ga. Ann. Code), relating to dismissal payments, which is hereby repealed. Repealed. Section 22. The said Employment Security Law, as amended, is further amended by striking the phrase Social Security Board wherever that phrase appears in

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subsection (e) of section 9 of said Act, Section 54-627.1, Ga. Ann. Code), subsection (a) of section 13 of said Act (Section 54-645, Ga. Ann. Code), subsection (c) of section 13 of said Act (Section 54-646.1, Ga. Ann. Code), and subparagraph (F) of paragraph (7) of subsection (h) of section 19 of said Act (Section 54-657 (h) (7) (F), Ga. Ann. Code), and by substituting in lieu of that phrase, the words Secretary of Labor. Secretary of labor. Section 23. Said Act is further amended by striking the first sentence (immediately following the caption Employment Security Administration Fund..) in subsection (a) of section 13 (Section 54-645, Ga. Ann. Code), and by substituting in lieu of said sentence a new sentence to read as follows: There is hereby created a trust fund, with the Commissioner of Labor as trustee, to be known as the Employment Security Administration Fund. Employment Security Administration Fund. Section 24. The said Employment Security Law, as amended, is further amended by striking the phrase Social Security Board wherever that phrase appears in subsection (b) of section 13 of said Act (Section 54-646, Ga. Ann. Code), and by substituting, in lieu of that phrase, the words Secretary of Labor and/or the Federal official responsible for the allocation of funds for the administration of the Employment Security Law and for making other administrative determinations within the Federal province. Secretary of labor or Federal official. Section 25. The said Employment Security Law, as amended, is further amended by striking the first paragraph of subsection (k) of section 11 of said Act (first paragraph of section 54-641, Ga. Ann. Code), and by substituting in lieu of that paragraph a new paragraph reading as follows: (k) State-Federal Cooperation. In the administration of this Act, the Commissioner shall cooperate to the fullest extent consistent with the provisions of this Act, with the Secretary of Labor and/or the Federal official

Page 878

responsible for the allocation of funds for the administration of the Employment Security Law and for making other administrative determinations within the Federal province under the Social Security Act, approved August 14, 1935, as amended; shall make such reports, in such form and containing such information as the Secretary of Labor and/or such Federal official may from time to time require, and shall comply with such provisions as the Secretary of Labor and/or such Federal official may from time to time find necessary to assure the correctness and verification of such reports; and shall comply with the regulations prescribed by the Secretary of Labor and/or such Federal official governing the expenditures of such sums as may be allotted and paid to this State under Title III of the Social Security Act for the purpose of assisting in the administration of this Act. Section 26. The said Employment Security Law, as amended, is further amended in the following respects: The second paragraph of subsection (k) of section 11 of said Act (second paragraph of Section 54-641, Ga. Ann. Code), is amended by striking the phrase 1606 (c) of the Federal Internal Revenue Code and by substituting in lieu thereof the phrase 3305 (c) of Title 26 of the United States Code Annotated. Subparagraph (F) of paragraph (7) of subsection (h) of section 19 of said Act (Section 54-657 (h) (7) (F), Ga. Ann. Code), is amended by striking the phrase 1603 of the Federal Internal Revenue Code and by substituting in lieu thereof the phrase 3304 of Title 26 of the United States Code Annotated. Subparagraph (G) of paragraph (7) of subsection (h) of section 19 of said Act (Section 54-657 (h) (7) (G), Ga. Ann. Code), is amended by striking the phrase 1600 of the Federal Internal Revenue Code and by substituting in lieu thereof the phrase 3301 of Title 26 of the United States Code Annotated. Sub-subparagraph (a) of subparagraph (J) of paragraph (7) of subsection (h) of section 19 of said Act (Section 54-657 (h) (7) (J) (a), Ga. Ann. Code), is amended by striking the phrase 101 of the Federal Internal Revenue Code and by substituting in lieu thereof the phrase 501 of Title 26 of the United States Code Annotated. Sub-subparagraph

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(b) of subparagraph (J) of paragraph (7) of subsection (h) of section 19 of said Act (Section 54-657 (h) (7) (J) (b), Ga. Ann. Code) is amended by striking the phrase 101 (1) of the Federal Internal Revenue Code and by substituting in lieu thereof the phrase 501 (c) (5) of Title 26 of the United States Code Annotated. Sub-subparagraph (e) of subparagraph (J) of paragraph (7) of subsection (h) of section 19 of said Act (Section 54-657 (h) (7) (J) (e), Ga. Ann. Code), is amended by striking the phrase 101 of the Federal Internal Revenue Code and by substituting in lieu thereof the phrase 501 of Title 26 of the United States Code Annotated. Paragraph (4) of subsection (n) of section 19 of said Act (Section 54-657 (n) (4), Ga. Ann. Code), is amended by striking the phrase 1400 of the Internal Revenue Code and by substituting in lieu thereof the phrase 3101 of Title 26 of the United States Code Annotated. Reference to Federal statutes. Section 27. Effective dates. Except as otherwise specifically provided, and except as contained in the context hereof, this amendatory Act shall be effective on and after April 1, 1960. Section 28. Severability. The provisions of this amendatory Act are severable, and the invalidity of one or more provisions of this Act shall not be held to affect or impair any of the remaining provisions. Section 29. Repealing clause. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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GEORGIA PRISON INDUSTRIES ACT. No. 624 (House Bill No. 650). An Act to create the Georgia Prison Industries Administration; to provide for a short title; to provide for the composition of such Administration; to provide for powers and duties; to authorize the utilization of convict labor; to provide for the retention of earnings; to authorize the holding and using of monies; to provide that custody of all convicts shall remain in the State Board of Corrections; to provide for funds; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. This Act shall be known as, and may be cited as, the Georgia Prison Industries Act. Short title. Section 2. There is hereby created a body corporate and politic, an instrumentality and public corporation of this State to be known as the Georgia Prison Industries Administration. It shall have perpetual existence. In such name, it may contract and be contracted with, sue and be sued, implead and be impleaded, and complain and defend in any and all courts. Created. Section 3. The Administration shall be composed ex officio of the Governor, the members of the State Board of Corrections and the State Supervisor of Purchases. Such members shall receive no compensation for their services and shall not be reimbursed for expenses incurred in their services. The Administration shall have power to perfect its own organization and to adopt such rules and by-laws as may be necessary for its government. The Administration shall elect a chief executive officer who shall be the Director of Corrections. Members, rules, etc. Section 4. The Administration shall have, in addition to any other powers conferred by this Act, the following powers: (a) To have a seal and alter the same at pleasure;

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(b) To acquire by purchase, lease, or otherwise, and to hold, lease and dispose of in any manner, real and personal property of every kind and character for its corporate purposes; Powers. (c) To appoint, upon the recommendations of its chief executive officer, such additional officers, agents and employees as may in its judgment be necessary to carry on the business of the Administration; to fix compensation for such officers and employees and to promote and discharge the same. Provided, however, that all legal services for the Administration shall be rendered by the Attorney General and his staff and no fee shall be paid to any attorney or law firm for legal services. The Administration, however, shall be authorized to pay such fees, stamps, and licenses and any court costs that may be incurred by virtue of the powers herein granted; (d) The Administration shall have the same powers and authority as now possessed by the State Board of Corrections in connection with the manufacture and sale of products; (e) To utilize any and all convicts who may be made available for its corporate purposes by the State Board of Corrections. The Administration shall not be required to make any payment to the State Board of Corrections for the use of such labor; (f) To retain any earnings to be used for capital expansion, and in the event that the Administration shall accumulate a surplus in excess of the amount necessary for the amount for the efficient operation of the program authorized by this Act, to turn such surplus over to the State Treasury. (g) To borrow money and to pledge any or all property owned by the Administration as security therefor; (h) To receive from any source, including, but not limited to, the State, municipalities and political subdivisions

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of the State and the Federal Government, gifts and grants for its corporate purposes. (i) To hold, use, administer and expend such sum or sums as may hereafter be appropriated by authority of the General Assembly or the Budget Bureau for any of the purposes of the Administration. (j) To provide training facilities for the pre-release rehabilitation and education of prisoners confined in the Georgia Penal System. Section 5. The State Board of Corrections shall have responsibility for the custodial care of all convicts utilized by the Administration and nothing in this Act shall be construed to the contrary. Custodial care of convicts. Section 6. Until such time as provision is made for the operation of the Administration in the General Appropriations Act, the Budget Bureau is hereby authorized and directed to transfer any available funds to the Administration in the manner provided by law. Budget. Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STATE DIVISION OF CONFEDERATE PENSIONS AND RECORDS ABOLISHEDRECORDS AND DUTIES TRANSFERRED. No. 625 (House Bill No. 651). An Act to repeal an Act approved March 24, 1939 (Ga. L. 1939, p. 110), creating a State Division of Confederate Pensions and Records; to transfer the records of the Division to the Department of Archives and History and a procedure connected therewith; to transfer the functions, duties, powers and authority of the Division

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to the State Department of Veterans Service, and a procedure connected therewith; to provide for the duties of the State Department of Veterans Service in conjunction with said transfer; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act approved March 24, 1939 (Ga. L. 1939, p. 110), creating a State Division of Confederate Pensions and Records, is hereby repealed in its entirety and the State Division of Confederate Pensions and Records is hereby abolished. 1939 Act repealed. Section 2. The records of the State Division of Confederate Pensions and Records are hereby transferred to the Department of Archives and History. The transfer shall be effectuated in such manner as to preserve the records for historical purposes. Records transferred. Section 3. The functions, duties, powers and authority of the State Division of Confederate Pensions and Records are hereby transferred to the State Department of Veterans Service. The State Department of Veterans Service shall perform the functions and exercise the powers and duties imposed by law upon the State Division of Confederate Pensions and Records and as may be provided by law. Duties transferred. Section 4. This Act shall become effective as of December 31, 1960. Effective date. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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HOSPITAL CARE COUNCIL AND HOSPITAL ADVISORY COMMITTEE ABOLISHEDHOSPITAL ADVISORY COUNCIL FOR CONSTRUCTION, LICENSURE AND INDIGENT CARE CREATED. No. 626 (House Bill No. 652). An Act to amend an Act approved February 1, 1946 (Ga. L. 1946, p. 34) authorizing the State Board of Health to make and promulgate reasonable rules and regulations for the protection of the health and lives of the inmates and patients of hospitals and creating a Hospital Advisory Committee, as amended, particularly by an Act approved March 25, 1958 (Ga. L. 1958, p. 322) and to amend an Act approved March 13, 1957 Ga. L. 1957, p. 470) establishing a hospital care for the indigent program to be administered by the State Board of Health and creating a Hospital Care Council, so as to repeal the provisions of said Act creating said Hospital Advisory Committee and said Hospital Care Council; to create a Hospital Advisory Council for Construction, Licensure and Indigent Care to advise with the State Board of Health relative to policies adopted by said State Board of Health pursuant to provisions of said amended Acts; to provide for the appointment and membership of said Hospital Advisory Council for Construction, Licensure and Indigent Care; its powers, duties and compensation of its members; to abolish said Hospital Advisory Committee and said Hospital Care Council and to transfer their powers, duties, functions and responsibilities, together with their books, records, funds and property, to said Hospital Advisory Council for Construction, Licensure and Indigent Care created hereby, so as to consolidate and combine the functions of said bodies into the Hospital Advisory Council hereby created; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section two of the Act approved February

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1, 1946 (Ga. L. 1946, p. 34) authorizing the State Board of Health to make and promulgate reasonable rules and regulations for the protection of the health and lives of inmates and patients of hospitals and creating Hospital Advisory Committee, as amended, particularly by an Act approved March 25, 1958, (Ga. L. 1958, p. 322) is hereby repealed in its entirety. Hospital advisory committee abolished. Section 2. Sections twelve and thirteen of the Act approved March 13, 1957 (Ga. L. 1957, p. 470) establishing a Hospital Care for the Indigent Program to be administered by the State Board of Health and creating a Hospital Care Council are hereby repealed in their entirety. Hospital care council abolished. Section 3. There shall be established a Hospital Advisory Council for Construction, Licensure and Indigent Care to advise with the State Board of Health relative to policies, procedures, rules, regulations and standards adopted and promulgated by said State Board of Health pursuant to the provisions of said Act of February 1, 1946 (Ga. L. 1946, p. 34) and said Act of March 13, 1957 (Ga. L. 1957, p. 470), as amended. The membership of said Advisory Council shall consist of three members appointed by the Governor from the State-at-large representing consumers of hospital services; three physicians appointed by the Medical Association of Georgia; two hospital administrators appointed by the Georgia Hospital Association; one hospital trustee appointed by the Georgia Association of Hospital Governing Boards; one dentist appointed by the Georgia Dental Association; one nurse appointed by the Georgia Nursing Association; one county commissioner appointed by the Association County Commissioners of Georgia; the Attorney General, ex-officio; the State Auditor, ex-officio; the Director of the Department of Public Welfare, ex-officio; and the Director of the Vocational Rehabilitation Division of the State Department of Education, ex-officio. If any of the above associations fails or ceases to function, then the Governor shall appoint representatives from such group or groups. When such appointments are first made, four of the non-ex-officio members of said Advisory Council

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shall be appointed to terms of two years each, four for three years each, and four for four years each, to be determined by lot. After the expiration of the first appointments, all appointments shall be made for terms of four years. The term of any ex-officio member shall expire with his term of office and his successor in office shall succeed him as a member of said Advisory Council. An ex-officio member may designate a deputy to serve in his place as a member of said Council, and he shall be subject to the same duties and responsibilities as would be imposed upon the ex-officio member. Vacancies in the membership of said Council shall be filled in the same manner as the original appointments. The council shall select one of its members to serve as chairman and one of its members to serve as vice chairman. The Council shall meet at the call of the chairman or upon written request of any seven members, and seven members shall constitute a quorum for the transaction of business. The council is authorized to adopt such by-laws, rules and regulations as it may deem necessary for the proper conduct of its proceedings in the carrying out of its duties. The Director of the State Department of Public Health shall furnish the necessary clerical assistance from among the employees of the Department of Public Health as may be required by the Council. Council created, members, terms, etc. Section 4. All members shall be paid the actual and necessary expenses incurred in carrying out the functions and duties of the Council, and all members except those employed by the State of Georgia shall receive $20 per day for each day they are engaged in their duties as members of said Council. The per diem and expenses above contemplated shall be paid from the appropriations made and to be made for the Department of Public Health, or from such other funds as the Director of the Budget shall direct. Expenses. Section 5. Section seven of the Act approved March 13, 1957 (Ga. L. 1957, p. 470) is hereby amended by striking the words Hospital Care Council and by substituting in lieu thereof the words Hospital Advisory Council for Construction, Licensure and Indigent Care. 1957 Act amended.

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Section 6. All the powers, duties, functions, and responsibilities of the Hospital Advisory Committee created by said Act approved February 1, 1946 (Ga. L. 1946, p. 34) as amended, and of the Hospital Care Council created by said Act approved March 13, 1957 (Ga. L. 1957, p. 470) are hereby transferred and assigned to the Hospital Advisory Council for Construction, Licensure and Indigent Care created by this Act, together with all books, records, funds and property of every kind belonging to or heretofore appropriated or alloted to said Hospital Advisory Committee and Hospital Care Council. Said Hospital Advisory Committee and Hospital Care Council are hereby abolished and their entire and complete powers and duties are hereby consolidated and combined into the Hospital Advisory Council for Construction, Licensure and Indigent Care herein established. Duties, etc., transferred. Section 7. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. UNIVERSITY SYSTEM BUILDING AUTHORITY ACT AMENDEDREVENUE BONDS. No. 627 (House Bill No. 653). An Act to amend an Act known as the University System Building Authority Act approved February 25, 1949 (Ga. L. 1949, p. 1009), as amended particularly by an Act approved February 5, 1951 (Ga. L. 1951, p. 44), an Act approved February 12, 1952 (Ga. L. 1952, p. 116), an Act approved February 6, 1959 (Ga. L. 1959, p. 30), and an Act approved March 17, 1959 (Ga. L. 1959, p. 362), so as to change the limitations upon the issuance of revenue bonds by the University System Building Authority and to eliminate the restrictions upon the rate of interest which may be paid; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the University System Building Authority Act, approved February 25, 1949 (Ga. L. 1949, p. 1009), as amended particularly by an Act approved February 5, 1951 (Ga. L. 1951, p. 44), an Act approved February 12, 1952 (Ga. L. 1952, p. 116), an Act approved February 6, 1959 (Ga. L. 1959, p. 30), and an Act approved March 17, 1959) (Ga. L. 1959, p. 362), is amended by striking from section 5 thereof the words in a sum not to exceed forty million ($40,000,000.00) dollars outstanding at any one time; by striking therefrom the words not exceeding four and one-half (4%) per centum per annum and inserting in lieu thereof the words as may be determined by the Authority and by adding at the end of said section the words Provided, however, that the Authority shall not issue any `University System Building Authority Revenue Bonds' of any series under the provisions of this Act having as security therefor a lease for a project under which lease the annual obligation created thereby when added to the then total current obligation for payment under similar existing leases securing any other series of `University System Building Authority Revenue Bonds' aggregate a sum in excess of eight (8) per centum of the income available to said Board of Regents from State appropriations and from earnings of agencies under the control of the Board of Regents as shown by the State Auditor's report for the fiscal year immediately preceding the date of execution of the proposed additional lease or leases. Provided further that the University System Building Authority shall not issue any additional `University System Building Authority Student Housing Revenut Bonds' of any series having as security therefor a lease for a project under which lease the annual obligation created thereby when added to the then total current obligation for payments under similar existing leases securing any other series of `University System Building Authority Student Housing Revenue Bonds', aggregate a sum in excess of seven (7) per centum of the income available to the Board of Regents from State appropriations and from earnings of agencies under the control

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of the Board of Regents as shown by the State Auditor's report for the fiscal year immediately preceding the date of execution of the proposed additional lease or leases, so that said section 5 as amended hereby shall read as follows: Section 5. Revenue Bonds. The Authority, or any authority or body which has or which may in the future succeed to the powers, duties and liabilities vested in the Authority created hereby, shall have power and is hereby authorized at one time, or from time to time, to provide by resolution for the issuance of negotiable revenue bonds, of the Authority for the purpose of paying all or any part of the cost as herein defined of any one or combination of projects. The principal and interest of such revenue bonds shall be payable solely from the special fund herein provided for such payment. The bonds of each issue shall be dated, shall bear interest at such rate or rates as may be determined by the Authority, payable semi-annually shall mature at such time or times not exceeding 30 years from their date or dates, shall be payable in such medium of payment as to both principal and interest as may be determined by the Authority, and may be made redeemable before maturity, at the option of the Authority, at such price or prices and under such terms and conditions as may be fixed by the Authority in the resolution providing for the issuance of the bonds. Provided, however, that the Authority shall not issue any University System Building Authority Revenue Bonds of any series under the provisions of this Act having as security therefor a lease for a project under which lease the annual obligation created thereby when added to the then total current obligation for payments under similar existing leases securing any other series of University System Building Authority Revenue Bonds aggregate a sum in excess of eight (8) per centum of the income available to said Board of Regents from State appropriations and from earnings of agencies under the control of the Board of Regents as shown by the State Auditor's report for the fiscal year immediately preceding the date of execution of the proposed additional lease or leases. Provided further that the University System Building

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Authority shall not issue any additional University System Building Authority Student Housing Revenue Bonds of any series having as security therefor a lease for a project under which lease the annual obligation created thereby when added to the then total current obligation for payments under similar existing leases securing any other series of University System Building Authority Student Housing Revenue Bonds, aggregate a sum in excess of seven (7) per centum of the income available to the Board of Regents from State appropriations and from earnings of agencies under the control of the Board of Regents as shown by the State Auditor's report for the fiscal year immediately preceding the date of execution of the proposed additional lease or leases. Section 2. An Act known as the University System Building Authority Act, approved February 25, 1949 (Ga. L. 1949, p. 1009), as amended particularly by an Act approved February 5, 1951 (Ga. L. 1951, p. 44), an Act approved February 12, 1952 (Ga. L. 1952, p. 116), an Act approved February 6, 1959 (Ga. L. 1959, p. 30), and an Act approved March 17, 1959 (Ga. L. 1959, p. 362), is amended by striking from section 9 thereof the words but no such sale shall be made at a price so low as to require the payment of interest on the money received therefor at more than four and one-half (4%) per centum per annum computed with relation to the absolute maturity of the bonds in accordance with standard tables of bond values excluding, however, from such computation the amount of any premium to be paid on redemption of any bond prior to maturity so that Section 9 as amended hereby shall read as follows: Section 9. Same; sale; price. The Authority may sell such bonds in such manner and for such price as it may determine to be for the best interests of the Authority. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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GOVERNOR AUTHORIZED TO TRANSFER STATE INSTITUTIONS FROM ONE AGENCY TO ANOTHER. No. 628 (House Bill No. 654). An Act authorizing the Governor, at any time during the interim period between the regular sessions of the General Assembly, to make a temporary transfer of any penal, correctional, educational, or eleemosynary institution of this State from one department or agency of state government to another; to provide that no such transfer shall be made under this Act to or from the Board of Regents of the University System of Georgia; to provide the submission of a report of said transfer to the General Assembly; to provide when said transfer shall become permanent; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Governor at any time during the interim period between regular sessions of the General Assembly, may make a temporary transfer of any penal, correctional, educational, or eleemosynary institution of this State from one department or agency of state government to another when in his opinion the public interest so demands, except that no such temporary transfer shall be made to or from the Board of Regents of the University System of Georgia. Section 2. Whenever a temporary transfer of a state institution is made under this Act by the Governor, he shall submit to the next regular session of the General Assembly a special report detailing said transfer and stating the reasons therefor. Section 3. Any temporary transfer of a state institution by the Governor pursuant to this Act shall become permanent upon the expiration of the next regular session of the General Assembly following this transfer unless

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during that session a resolution disapproving said transfer shall have been adopted by both houses. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STATE PENAL AND REHABILITATION AUTHORITY ACT. No. 629 (House Bill No. 656). An Act to create the State Penal and Rehabilitation Authority; to authorize the authority to acquire, construct, operate and maintain, self- liquidating projects embracing penal institutions; penitentiaries; prison and prison institutions; detention and correctional institutions; rehabilitation institutions and facilities; work camps; housing accommodations, buildings and facilities intended for use as prisons, training schools, classrooms, laboratories, medical facilities, dormitory facilities, instructional facilities, industrial, mechanical, vocational and agricultural training facilities, recreational and administrative facilities, for adult and juvenile prisoners and offenders, and the employees of any department, institution or agency of the State having jurisdiction over State operated institutions where prisoners are confined, and all other structures and electric, gas, steam and water utilities and facilities deemed by the authority necessary and convenient for the operation of any department, institution or agency conducting and operating penal facilities of the State; to confer powers and impose duties on the authority; to provide for the appointment of members of the authority; to authorize the authority and the State Board of Corrections, and other Departments, Agencies and Institutions of the State to execute leases and contracts pertaining to such accommodations and facilities; to authorize the issuance of revenue bonds of the authority

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payble from the revenues, rents and earnings or other funds of the authority; to pay the cost of such projects and authorize the collection and pledging of revenues and other charges for the payment of such bonds and for the cost of maintaining, operating and repairing of projects; to authorize the execution of trust indentures to secure the payment of such bonds and to define the rights of the holders of such bonds; to provide that no debt of the State shall be incurred in the exercise of any of the powers granted by this Act; to make bonds of the authority legal investments and also exempt from taxation; to provide for the authority to condemn property of every kind; to authorize the issue of revenue refunding bonds; to fix the venue or jurisdiction of actions relating to any provisions of this Act and to provide that such bonds be validated; to provide for the separate enactment of each provision of this Act and repealing all laws, or parts of laws in conflict with provisions of this Act; and for other purposes: Whereas, it is necessary to provide additional buildings, facilities and improvements at institutions performing penal correction, detention and rehabilitation services under the control and management of the State Board of Corrections and other departments, agencies and institutions of the State, in order that proper penal and rehabilitation facilities may be made available; and Whereas, it is advisable to authorize the financing in whole or in part of the construction of such buildings, facilities, and improvements without creating any debt of the State, by the issuance of revenue bonds of the authority for that purpose. Be it therefore enacted by the General Assembly of Georgia, and it is hereby enacted by authority of the same: Section 1. Short title. This may be cited as the State Penal and Rehabilitation Authority Act.

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Section 2. State Penal and Rehabilitation Authority. There is hereby created a body corporate and politic to be known as the State Penal and Rehabilitation Authority which shall be deemed to be an instrumentality of the State of Georgia and a public corporation and by that name, style and title said body may contract and be contracted with, sue and be sued, implead and be impleaded, and complain and defend in all courts of law and equity. The authority shall consist of three members, who shall be the Governor of Georgia, the State Auditor, and the Attorney General. The authority shall elect one of its members as chairman and another as vice-chairman and a secretary and treasurer who need not necessarily be a member of the authority. Two members of the authority shall constitute a quorum. No vacancy on the authority shall impair the right of the quorum to exercise all the rights and perform all the duties of the authority. The members of the authority shall be entitled to and shall be reimbursed for their actual expenses necessarily incurred in the performance of their duties. The authority shall make rules and regulations for its own government. It shall have perpetual existence. Section 3. Definitions. As used in this Act, the following words and terms shall have the following meanings: (a) The word Authority shall mean the State Penal and Rehabilitation Authority created by section 2 of this Act. (b) The word project shall be deemed to mean and include one or a combination of two or more of the following: Penal institutions; penitentiaries; prison and prison institutions; detention and corrections institutions; rehabilitation institutions and facilities; work camps; housing accommodations, buildings and facilities intended for use as prisons, training schools, classrooms, laboratories, medical facilities, dormitory facilities, instructional facilities, industrial, mechanical, vocational and agricultural training facilities, recreational and administrative facilities, for adult and juvenile prisoners and offenders,

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and the employees of any department, institution or agency of the State having jurisdiction over State operated institutions where prisoners are confined, and all other structures and electric, gas, steam and water utilities and facilities deemed by the authority necessary and convenient for the operation of any department, institution or agency conducting and operating penal facilities of the State. (c) The word unit shall mean any penal institution, prison, work camp, training school, rehabilitation school, or other penal or rehabilitation facility, at any particular location which forms a part of the penal, correctional and rehabilitation facilities of the State. (d) The term, cost of the project shall embrace the cost of construction, the cost of all lands, properties, rights, easements and franchises acquired, the cost of all machinery and equipment, financing charges, interest prior to and during construction, and for one year after completion of construction, cost of engineering, architectural and legal expenses, and of plans and specifications, and other expenses necessary or incident to determining the feasibility or practicability of the project, administrative expense, and such other expenses as may be necessary or incident to the financing herein authorized, the construction of any project, the placing of the same in operation, and the condemnation of property necessary for such construction and operation. Any obligation or expense incurred for any of the foregoing purposes shall be regarded as a part of the cost of the project and may be paid or reimbursed as such out of the proceeds of revenue bonds issued under the provisions of this Act for such project. (e) The term revenue bonds as used in this Act shall mean revenue certificates as defined in the Revenue Certificate Law of Georgia. (f) Any project or combination of projects shall be deemed self-liquidating if, in the judgment of the authority, the revenues, rents or earnings to be derived

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by the authority therefrom will be sufficient to pay the cost of maintaining, repairing and operating the project and to pay the principal and interest of revenue bonds which may be issued for the cost of such project, projects, or combination of projects. Section 4. Powers. The Authority shall have powers: (1) to have a seal and alter the same at pleasure; (2) to acquire by purchase, lease or otherwise, and to hold, lease and dispose of real and personal property of every kind and character for its corporate purposes; (3) to acquire in its own name by purchase, on such terms and conditions and in such manner as it may deem proper, or by condemnation in accordance with the provisions of any and all existing laws applicable to the condemnation of property for public use, real property or rights of easement therein or franchises necessary or convenient for its corporate purposes, and to use the same so long as its corporate existence shall continue and to lease or make contracts with respect to the use of or dispose of the same in any manner it deems to the best advantage of the authority, the authority being under no obligation to accept and pay for any property condemned under this Act, except from the funds provided under the authority of this Act, and in any proceedings to condemn, such orders may be made by the court having jurisdiction of the suit, action or proceeding as may be just to the authority, and to the owners of the property to be condemned, and no property shall be acquired under the provisions of this Act upon which any lien or other incumbrance exists, unless at the time such property is so acquired a sufficient sum of money be deposited in trust to pay and redeem the fair value of such lieu or incumbrance; and if the authority shall deem it expedient to construct any project on lands which are a part of the campus, grounds, or any other real estate holdings of a unit of the penal or correctional or rehabilitation facilities of the State, the Governor is hereby authorized to

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execute for and on behalf of the State a lease upon such lands to the authority for such parcel or parcels as shall be needed for a period not to exceed fifty years; and if the authority shall deem it expedient to construct any project on any other lands the title to which shall then be in the State of Georgia, the Governor is hereby authorized to convey, for and in behalf of the State title to such lands for the authority as part of the consideration for the construction and financing of the project by the authority; (4) to appoint and select officers, agents and employees, including engineering, architectural and construction experts, fiscal agents and attorneys, and fix their compensation; (5) to make contracts, leases, and to execute all instruments necessary or convenient, including contracts for construction of projects and leases of projects or contracts with respect to the use of projects which it causes to be erected or acquired, and any and all political subdivisions, departments, institutions or agencies of the State are hereby authorized to enter into contracts, leases, or agreements with the authority upon such terms and for such purposes as they deem advisable; and without limiting the generality of the above, authority is specifically granted to the State Board of Corrections for and on behalf of the units and institutions under its control and to the authority to enter into contracts and lease agreements for the use of any structure, building or facilities of the authority for a term not exceeding fifty (50) years, and the State Board of Corrections, for and on behalf of any unit or institution or combination of units or institutions may obligate itself to pay an agreed sum for the use of such property so leased and also to obligate itself as part of the lease contract, to pay the cost of maintaining, repairing and operating the property so leased from the authority. (6) to construct, erect, acquire, own, repair, remodel, maintain, add to, extend, improve, equip, operate and

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manage projects, as hereinabove defined, to be located on property owned by or leased by the authority, the cost of any such project to be paid in whole or in part from the proceeds of revenue bonds of the authority or from such proceeds and any grant from the United States of America or any agency or instrumentality thereof; (7) to accept loans or grants of money or materials or property of any kind from the United States of America or any agency or instrumentality thereof, including the Reconstruction Finance Corporation, upon such terms and conditions as the United States of America or such agency or instrumentality, including the Reconstruction Finance Corporation, may impose; (8) to borrow money for any of its corporate purposes and to issue negotiable bonds payable solely from funds pledged for that purposes, and to provide for the payment of the same and for the rights of the holders thereof; (9) to exercise any power usually possessed by private corporations performing similar functions, which is not in conflict with the Constitution and laws of this State; and (10) to do all things necessary or convenient to carry out the powers expressly given in this Act. Section 5. Revenue bonds. The authority, or any authority or body which has or which may in the future succeed to the powers, duties and liabilities vested in the authority created hereby, shall have power and is hereby authorized at one time, or from time to time, to provide by resolution for the issuance of negotiable revenue bonds, in a sum not to exceed five million ($5,000,000) dollars outstanding at any one time of the authority for the purpose of paying all or any part of the cost as herein defined of any one or combination of projects. The principal and interest of such revenue bonds shall be payable solely from the special fund herein provided for such

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payment. The bonds of each issue shall be dated, shall bear interest at such rate or rates payable semi-annually, shall mature at such time or times not exceeding 30 years from their date or dates, and shall be payable in such medium of payment as to both principal and interest as may be determined by the authority, and may be made redeemable before maturity, at the option of the authority, at such price or prices and under such terms and conditions as may be fixed by the authority in the resolution providing for the issuance of the bonds. Section 6. Same; form; denominations; registration; place of payment. The authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and shall fix the denomination or denominations of the bonds and the place or places of payment of principal and interest thereof, which may be at any bank or trust company within or without the State. The bonds may be issued in coupon or registered form, or both, as the authority may determine, and provision may be made for the registration of any coupon bond as to principal alone and also as to both principal and interest. Section 7. Same; signature; seal. In case any officier whose signature shall appear on any bonds or whose facsimile signature shall appear on any coupon shall cease to be such officer before the delivery of such bonds, such signature shall nevertheless be valid and sufficient for all purposes the same as if he had remained in office until such delivery. All such bonds shall be signed by the chairman of the authority and the official seal of the authority shall be affixed thereto and attested by the secretary of the authority and any coupons attached thereto shall bear the signature or facsimile signature of the chairman of the authority. Any coupon may bear the facsimile signature of such person and any bond may be signed, sealed and attested on behalf of the authority by such persons as at the actual time of the execution of such bonds shall be duly authorized or hold the proper office, although at the date of such bonds such persons may not have been so authorized or shall not have held such office.

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Section 8. Same; negotiability; exemption from taxation. All revenue bonds issued under the provisions of this Act shall have and are hereby declared to have all the qualities and incidents of negotiable instruments under the negotiable instruments law of the State. Such bonds and the income thereof shall be exempt from all taxation within the State. Section 9. Same; sale; price. The authority may sell such bonds in such manner and for such price as it may determine to be for the best interests of the authority. Section 10. Same; proceeds of bonds. The proceeds of such bonds shall be used solely for the payment of the cost of the project or combined project, and shall be disbursed upon requisition or order of the chairman of the authority under such restrictions, if any, as the resolution authorizing the issuing of the bonds or the trust indenture hereinafter mentioned may provide. If the proceeds of such bonds, by error of calculation or otherwise, shall be less than the cost of the project or combined project, unless otherwise provided in the resolution authorizing the issuance of the bonds or in the trust indenture, additional bonds may in like manner be issued to provide the amount of such deficit, which unless otherwise provided in the resolution authorizing the issuance of the bonds or in the trust indenture, shall be deemed to be of the same issue and shall be entitled to payment from the same fund without preference or priority of the bonds first issued for the same purpose. If the proceeds of the bonds of any issue shall exceed the amount required for the purpose for which such bonds are issued, the surplus shall be paid into the fund hereinafter provided for the payment of principal and interest of such bonds. Section 11. Same; interim receipts and certificates or temporary bonds. Prior to the preparation of definitive bonds, the authority may, under like restrictions issue interim receipts, interim certificates or temporary bonds, with or without coupons exchangeable for definitive bonds upon the issuance of the latter.

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Section 12. Same; replacement of lost or mutilated bonds. The authority may also provide for the replacement of any bond which shall become mutilated or be destroyed or lost. Section 13. Conditions precedent to issuance; object of issuance. Such revenue bonds may be issued without any other proceedings or the happening of any other conditions or things than those proceedings, conditions and things which are specified or required by this Act. In the discretion of the authority, revenue bonds of a single issue may be issued for the purpose of paying the cost of any one or more, including a combination of, projects at any one institution or any number of institutions. Any resolution, providing for the issuance of revenue bonds under the provisions of this Act shall become effective immediately upon its passage and need not be published or posted, and any such resolution may be passed at any regular or special or adjourned meeting of the authority by a majority of its members. Section 14. Credit of State not pledged. Revenue bonds issued under the provisions of this Act shall not be deemed to constitute a debt of the State of Georgia or a pledge of the faith and credit of the State, but such bonds shall be payable solely from the fund hereinafter provided for and the issuance of such revenue bonds shall not directly, indirectly or contingently obligate the State to levy or to pledge any form of taxation whatever therefor or to make any appropriation for the payment, and all such bonds shall contain recitals on their face covering substantially the foregoing provisions of this section; provided, however, such funds as may be received from State appropriations or from any other source are hereby declared to be available and may be used by the State Board of Corrections for the performance of any lease contract entered into by said board. Section 15. Same; trust indenture as security In the discretion of the authority, any issue of such revenue bonds may be secured by a trust indenture by and between the authority and a corporate trustee, which may

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be any trust company or bank having the powers of a trust company within or outside of the State. Such trust indenture may pledge or assign rents, revenues and earnings to be received by the authority. Either the resolution providing for the issuance of revenue bonds or such trust indenture may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the authority in relation to the acquisition of property, the construction of the project, the maintenance, operation, repair and insurance of the project, and the custody, safeguarding and application of all monies, and may also provide that any project shall be constructed and paid for under the supervision and approval of consulting engineers or architects employed or designated by the authority and satisfactory to the original purchasers of the bonds issued therefor, and may also require that the security given by contractors and by any depository of the proceeds of the bonds or revenues or other moneys be satisfactory to such purchasers, and may also contain provisions concerning the conditions, if any, upon which additional revenue bonds may be issued. It shall be lawful for any bank or trust company incorporated under the laws of this State to act as such depository and to furnish such indemnifying bonds or pledge such securities as may be required by the authority. Such indenture may set forth the rights and remedies of the bondholders and of the trustee, and may restrict the individual right of action of bondholders as is customary in trust indentures securing bonds and debentures of corporations. In addition to the foregoing, such trust indenture may contain such other provisions as the authority may deem reasonable and proper for the security of the bondholders. All expenses incurred in carrying out such trust indenture may be treated as a part of the cost of maintenance, operation and repair of the project affected by such indenture. Section 16. Same; to whom proceeds of bonds shall be paid. The authority shall, in the resolution providing for the issuance of revenue bonds or in the trust indenture,

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provide for the payment of the proceeds of the sale of the bonds to any officer or person who or any agency, bank or trust company which shall act as trustee of such funds and shall hold and apply the same to the purposes hereof, subject to such regulations as this Act and such resolution or trust indenture may provide. Section 17. Same; sinking fund. The revenues, rents, and earning derived from any particular project or combined or any and all funds from any source received by the State Board of Corrections and pledged and allocated by them to the authority as security for the performance of any lease or leases or any and all revenues, rents and earnings received by the authority, regardless of whether or not such rents, earnings, and revenues were produced by a particular project for which bonds have been issued unless otherwise pledged and allocated, may be pledged and allocated by the authority to the payment of the principal and interest on revenue bonds of the authority as the resolution authorizing the issuance of the bonds or in the trust instrument may provide, and such funds so pledged from whatever source received, which said pledge may include funds received from one or more or all sources, shall be set aside at regular intervals as may be provided in the resolution or trust indenture, into a sinking fund which said sinking fund shall be pledged to and charged with the payment of (1) the interest upon such revenue bonds as such interest shall fall due, (2) the principal of the bonds as the same shall fall due, (3) the necessary charges of paying agents for paying principal and interest, and (4) any premium upon bonds retired by call or purchase as hereinabove provided. The use and disposition of such sinking fund shall be subject to such regulations as may be provided in the resolution authorizing the issuance of the revenue bonds or in the trust indenture, but, except as may otherwise be provided in such resolution or trust indenture, such sinking fund shall be a fund for the benefit of all revenue bonds without distinction or priority of one over another. Subject to the provisions of the resolution authorizing the issuance of the bonds or in the trust indenture surplus monies in the sinking fund may be applied to the purchase

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or redemption of bonds and any such bonds so purchased or redeemed shall forthwith be cancelled and shall not again be issued. Section 18. Same; remedies of bondholders. Any holder of revenue bonds issued under the provisions of this Act or any of the coupons appertaining thereto, and the trustee under the trust indenture, if any, except to the extent the rights herein given may be restricted by resolution passed before the issuance of the bonds or by the trust indenture, may, either at law or in equity, by suit, action, mandamus, or other proceedings, protect and enforce any and all rights under the laws of the State of Georgia or granted hereunder or under such resolution or trust indenture, and may enforce and compel performance of all duties required by this Act or by such resolution or trust indenture, to be performed by the authority, or any officer thereof, including the fixing, charging, and collecting of revenues, rents, and other charges for the use of the project or projects. But no holder of any such bond shall have the right to compel any exercise of the taxing power of the State to pay any such bond or the interest thereon, or to enforce the payment thereof against any property of the State, nor shall any such bond constitute a charge, lien or incumbrance, legal or equitable, upon any property of the State. Section 19. Same; refunding bonds. The authority is hereby authorized to provide by resolution for the issue of revenue refunding bonds of the authority for the purpose of refunding any revenue bonds issued under the provisions of this Act and then outstanding, together with accrued interest thereon. The issuance of such revenue refunding bonds, the maturities and all other details thereof, the rights of the holders thereof, and the duties of the authority in respect to the same, shall be governed by the foregoing provisions of this Act insofar as the same may be applicable. Section 20. Same; bonds as legal investment; security for deposit. The bonds herein authorized are hereby made securities in which all public officers and bodies

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of this State and all municipalities and all municipal subdivisions, all insurance companies and associations and other persons carrying on an insurance business, all banks, bankers, trust companies, savings banks and savings associations, including savings and loan associations, building and loan associations, investment companies and other persons carrying on a banking business, all administrators, guardians, executors, trustees and other fiduciaries and all other persons whatsoever who are now or may hereafter be authorized to invest in bonds or other obligations of the State may properly and legally invest funds including capital in their control or belonging to them. The bonds are also hereby made securities which may be deposited with and shall be received by all public officers and bodies of this State and all municipalities and municipal subdivisions for any purpose for which the deposit of the bonds or other obligations of this State is now or may hereafter be authorized. Section 21. Same; exemption from taxation; covenant of State. It is hereby found, determined, and declared that the creation of the authority and the carrying out of its corporate purpose is in all respects for the benefit of the people of this State and is a public purpose and that the authority will be performing an essential governmental function in the exercise of the power conferred upon it by this Act and this State covenants with the holders of the bonds that the authority shall be required to pay no taxes or assessments upon any of the property acquired or leased by it or under its jurisdiction, control, possession or supervision or upon its activities in the operation or maintenance of the buildings erected or acquired by it or any fees, rentals or other charges for the use of such buildings or other income received by the authority and that the bonds of the authority, their transfer, and the income therefrom shall at all times be exempt from taxation within the State. Section 22. Same; venue and jurisdiction. Any action to protect or enforce any rights under the provisions of this Act shall be brought in the Superior Court of Fulton County, Georgia, and any action pertaining to

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validation of any bonds issued under the provisions of this Act shall likewise be brought in said Court which shall have exclusive, original jurisdiction of such actions. Section 23. Same; validation. Bonds of the authority shall be confirmed and validated in accordance with the procedure of the Revenue Certificate Law of 1937, as amended. The petition for validation shall also make party defendant to such action any authority, subdivision, instrumentality or agency of the State of Georgia which has contracted with the State Penal and Rehabilitation Authority for the use of any building, structure or facilities for which bonds have been issued and sought to be validated and such authority, subdivision, instrumentality or agency shall be required to show cause, if any, why such contract or contracts and the terms and conditions thereof should not be inquired into by the court and the validity of the terms thereof determined and the contract adjudicated as security for the payment of any such bonds of the authority. The bonds when validated, and the judgment of validation, shall be final and conclusive with respect to such bonds, and against the authority issuing the same, and any authority, subdivision, instrumentality or agency contracting with the State Penal and Rehabilitation Authority. Section 24. Same; interests of bondholders protected. While any of the bonds issued by the authority remain outstanding, the powers, duties or existence of said authority or of its officers, employees or agents or of the State Board of Corrections, or of any other State agency or department shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of such bonds, and no other entity, department, agency or authority will be created which will compete with the authority to such an extent as to affect adversely the interests and rights of the holders of such bonds, nor will the State itself so compete with the authority. The provisions of this Act shall be for the benefit of the State, the authority and the holders of any such bonds, and upon the issuance of bonds under the

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provisions hereof, shall constitute a contract with the holders of such bonds. Section 25. Acceptance of funds and contributions from any source. The authority, in addition to the moneys which may be received from the sale of revenue bonds and from the collection of revenues, rents, and earnings derived under the provisions of this Act, shall have authority to accept from any Federal agency grants for or in aid of the construction of any projects or for the payment of bonds, and to receive and accept contributions from any source of either money or property or other things of value to be held, used and applied only for the purposes for which such grants or contributions may be made. Section 26. Moneys received considered trust funds. All moneys received pursuant to the authority of this Act, whether as proceeds from the sale of revenue bonds, as grants or other contributions, or as revenues, rents, and earnings, shall be deemed to be trust funds to be held and applied solely as provided in this Act. Section 27. Revenues, rents, and earnings; use. The authority is hereby authorized to fix rentals and other charges which the State Board of Corrections shall pay to the authority for the use of each project or part thereof or combination of projects and to charge and collect the same and to lease and make contracts with political subdivisions, agencies, and with the State Board of Corrections, with respect to the use by any institution or unit under its control of any project or part thereof. Such rentals and other charges shall be so fixed and adjusted in respect to the aggregate thereof from the project or projects for which a single issue of revenue bonds is issued, as to provide a fund sufficient with other revenues of such project or projects, if any, to pay (a) the cost of maintaining, repairing and operating the project or projects, including reserves for extraordinary repairs and insurance, and other reserves required by the resolution or trust indentures, unless such cost shall be otherwise provided for, which costs shall be deemed to include

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the expenses incurred by the authority on account of the project or projects for water, light, sewer and other services furnished by other facilities as such institution, and (b) the principal of the revenue bonds and the interest thereon as the same shall become due. Section 28. Rules and regulations for operation of projects. It shall be the duty of the authority to prescribe rules and regulations for the operation of each project or combination of projects constructed under the provisions of this Act, including rules and regulations to insure maximum use or occupancy of each such project. Section 29. Powers declared supplemental and additional. The foregoing sections of this Act shall be deemed to provide an additional and alternative method for the doing of the things authorized thereby and shall be regarded as supplemental and additional to powers conferred by other laws, and shall not be regarded as in derogation of any powers now existing. Section 30. Liberal construction of Act. This Act being for the welfare of the State and its inhabitants, shall be liberally construed to effect the purposes hereof. Section 31. Effect of partial invalidity of Act. 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. Section 32. Accounts. The accounts of the State Penal and Rehabilitation Authority herein created shall be kept as separate and distinct accounts by the State Board of Corrections, and shall be subject to audit by the Department of Audits of the State. Section 33. Repeal. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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GENERAL APPROPRIATIONS ACT AMENDEDCAPITAL OUTLAY FOR SCHOOL BUILDINGS. No. 630 (House Bill No. 657). An Act to amend the General Appropriations Act approved March 14, 1956 (Ga. L. 1956, pp. 753-784), as amended by an Act approved March 13, 1957 (Ga. L. 1957, pp. 498-500), to clarify and make effective the proviso in the second paragraph of section 7 relating to capital outlay commitments for school buildings re-required under lease contracts with the State School Building Authority; to add a new proviso to section 7 relating to capital outlay commitments for school buildings; to add a new paragraph to section 47 relating to lease contract commitments authorized by the General Assembly for all purposes; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 7 of the Act known as the General Appropriations Act approved March 14, 1956, pp. 756-760, Ga. Laws, 1956 session, as amended, is hereby amended as follows: (a) By striking the words fourteen and one-half million dollars in the second paragraph of said section 7 and inserting in lieu thereof the words twenty million dollars so that said second paragraph as amended shall read as follows: Provided, that the State Board of Education shall within the first thirty days of each fiscal period make an apportionment of this appropriation, together with other funds available to the various activities of the Department of Education and immediately report the same to the State Budget Authorities for approval, whose approval shall be evidenced in writing. Provided, however, that the State Board of Education shall in each fiscal period make an allotment of not less than twenty million dollars to pay the annual capital outlay commitments

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required under the lease contracts with the State School Building Authority, this amount of appropriation for capital outlay purposes shall not be subject to reduction under section 47 of this Act. Amount. (b) By adding at the end of section 7 a new subsection to be designated as subsection (f) to read as follows: (f) Provided, further, that no provision in this section 7, this Act or other laws shall be construed as authorizing the reduction of or the voiding of any part of the appropriations made in the second paragraph of this section which is required to be allotted in each fiscal period to meet the annual capital outlay commitments required under the fixed lease contracts with the State School Building Authority. Intent. Section 2. Section 47 of said General Appropriations Act is amended by adding to said section 47 a new paragraph at the end thereof to read as follows: Provided, further, any provisions of this Act to the contrary notwithstanding, the amount of funds required from specific appropriations under this Act or required from general appropriated funds under this Act which are required to be budgeted, or the amount of funds made a part of any appropriated funds of this Act by transfer from the State Surplus Fund or contingent fund; for the purpose of making payments under lease contracts executed by and with any authority by and with any State Department, Agency, or Institution, as authorized by Article 7, Section VI, Paragraph I of the Constitution of Georgia, shall become fixed annual appropriations for and during the term of this Act or until such lease obligations are fully paid, whichever first occurs, and shall continue until specifically repealed or until such lease obligations are fully paid, whichever first occurs, and the fiscal officers of the State are hereby authorized and directed to establish for each succeeding fiscal year sufficient appropriations to each Department, Agency, or Institution to meet said lease obligations. Fixed obligations under lease contracts.

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Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. JUDGES EMERITUS OF THE COURT OF APPEALS. No. 631 (House Bill No. 658). An Act to amend an Act approved March 16, 1943, (Ga. L. 1943, p. 677), as amended, creating the positions of Judges Emeritus of the Court of Appeals, so as to make additional provisions for the eligibility of persons for such offices by giving additional credit for judicial service on the Supreme, superior and all city courts of Georgia; to repeal the provisions establishing the age for compulsory retirement and the procedures relative thereto; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia that: Section 1. An Act creating the positions of Judges Emeritus of the Court of Appeals approved March 16, 1943 (Ga. L. 1943, p. 677), as amended by an Act approved February 25, 1949 (Ga. L. 1949, p. 1006), as amended by an Act approved February 15, 1952 (Ga. L. 1952, p. 316), and as amended by an Act approved February 20, 1959 (Ga. L. 1959, p. 80), is hereby amended by striking section 1 of said Act as amended in its entirety and substituting in lieu thereof a new section 1 to read: Section 1. There is hereby created the offices of Judge Emeritus. Persons eligible for appointment to such office shall be any Judge of the Court of Appeals of the State of Georgia who shall have attained the age of 70 years, or who on his next birthday will be 70 years of age, and shall have been in service as a judge for more than 10 years upon the Court of Appeals of Georgia,

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or the Supreme Court or a superior court or any city court of Georgia, or partly upon one or the other of said courts, but with judicial service for 10 years, or who shall have attained the age of 65 years and who shall have been in service as judge for more than 20 years upon the superior courts, the Court of Appeals, Supreme Court or any city court of Georgia, or partly upon one or the other of said courts, but with judicial service as aforesaid for 20 years. The Governor shall appoint to any such position any one eligible under the provisions of this section, who shall advise the Governor in writing that he desires to resign from the office of Judge of the Court of Appeals and accept appointment as Judge Emeritus, and upon such appointment being made by the Governor the resignation shall automatically be effective. Each year, a Judge Emeritus shall receive compensations and allowance equal to two-thirds of the compensation and allowances provided by law for a Judge of the Court of Appeals for that current year. Qualifications. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. TIME FOR FILING MECHANICS LIENS ON PERSONALTY. Code 67-2003 Amended. No. 635 (House Bill No. 686). An Act to amend section 67-2003 of the Code relating to mechanics' lien on personalty, as amended, particularly by an Act approved December 21, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 275), so as to provide that such lien may be foreclosed by surrendering possession of the property and recording said lien within ninety days after the work is done rather than 30 days as now

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provided by law; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 67-2003 of the Code relating to the mechanics' lien on personalty, as amended, particularly by an Act approved December 21, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 275), is hereby amended by striking from the 10th line thereof the words and figures thirty days (30 days) and substituting in lieu thereof the figures and words ninety days (90 days), so that said section when so amended shall read as follows: 67-2003. All mechanics of every sort, for work done and material furnished in manufacturing or repairing personal property, shall have a special lien on the same, which may be asserted by retention of such property, or the mechanic may surrender such personal property and give credit, when the same shall be enforced in accordance with the provisions of Section 67-2401, and shall be superior to all liens except liens for taxes and such other liens as the mechanic may have had actual notice of before the work was done or material furnished. When they surrender possession of the property to the debtor, such mechanics shall record their claims of lien, within ninety (90) days after such work is done and material furnished in the office of the clerk of the superior court of the county where the owner of such property resides, which claim shall be in substance as follows: A.B., mechanic, claims a lien on.....(here describe the property) of C. B., for work done and material furnished in manufacturing or repairing (as the case may be) the same. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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GEORGIA ECONOMIC POISONS ACT AMENDED. No. 636 (House Bill No. 687). An Act to amend an Act known as the Georgia Economic Poisons Act approved February 17, 1950 (Ga. L. 1950, p. 390), as amended by an Act approved March 25, 1958 (Ga. L. 1958, p. 389), so as to provide a penalty for deficiencies found in the guaranteed components of economic poisons; to provide the amount thereof; to provide for the distribution of such penalties to the purchasers of the product and a procedure connected therewith; to provide a minimum and maximum penalty; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Economic Poisons Act approved February 17, 1950 (Ga. L. 1950, p. 390), as amended by an Act approved March 25, 1958 (Ga. L. 1958, p. 389), is hereby amended by adding a new section to be numbered Section 4 B, to read: Section 4 B. Where any lot or batch of economic poison is found on analysis to be deficient in any guaranteed component, a penalty of 10% of the purchase price for each 1% shortage, or fraction thereof, shall be assessed against the manufacturer or registrant and shall be collected by the Commissioner for the use and benefit of purchasers of the economic poison. The minimum penalty shall be $10.00, and the maximum penalty shall not exceed the purchase price of the economic poison paid by the purchaser. The Commissioner shall have the authority to assess and collect the penalties provided herein and the amount so collected shall be distributed pro rata among the actual purchasers of the product. In the event such purchasers cannot be located within six (6) months after the penalty has been collected, the Commissioner is authorized to deposit such unclaimed funds in the State Treasury. The Commissioner shall have no authority to waive any of the penalties imposed under the provisions of this Act. Except as provided herein, the penalties shall

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be assessed and collected in the same manner provided for the collection of penalties under the fertilizer laws of this State. There shall be no allowable tolerance or deviation from the guaranteed components of an economic poison. Penalties for deficiencies in components. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. FAILURE TO RELINQUISH TELEPHONE PARTY LINE IN CASES OF EMERGENCY A MISDEMEANOR. No. 637 (House Bill No. 689). An Act to provide that any person failing to relinquish a telephone party line, to another, in cases of emergency, shall be guilty of and punished as for a misdemeanor; to provide that any person who states that said telephone line is needed for an emergency, knowing said statement is false, shall be punished in a like manner; to provide that said provisions be printed in every telephone directory distributed in this State; to provide an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Any person who fails to relinquish a telephone party line, consisting of subscriber line telephone circuit with two (2) or more main telephone stations connected therewith, each having a distinctive ring or telephone number, after he has been requested to do so to permit another to place a call, in an emergency in which property or human life are in jeopardy and the prompt summoning of aid is essential, to a fire or police department or for medical aid or ambulance service, shall be guilty of and punishable as for a misdemeanor. Provided however, such party line at the time of the request is not

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being used for any such other emergency call. Any person who shall request the use of such party line by falsely stating that the same is needed for any of said purposes, knowing said statement to be false, shall be guilty of and punishable in a like manner. Section 2. In every telephone directory distributed to the general public in this State after January 1, 1961, in which is listed the call numbers of any telephones located within this State, except such as are distributed solely for business advertising purposes, commonly known as classified telephone directories, there shall be printed in type not smaller than the smallest type appearing on the same page, a notice setting forth the substance of the first Section of this Act, preceded by the word `warning' printed in bold face type. Telephone directories. Section 3. The provisions of this Act shall take effect upon its approval by the Governor or at such time as it may otherwise become law, except as to the provision relating to the printing and distribution of telephone directories. Effective dates. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GEORGIA FERTILIZER ACT OF 1960. Code 5-1201 Repealed. Code Chapters 5-10, 5-11, 5-13, 5-14 Repealed. No. 638 (House Bill No. 693). An Act to be known as the Georgia Fertilizer Act of 1960; to comprehensively and exhaustively revise the laws of this State relating to fertilizer and fertilizer

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materials; to define terms; to provide for the licensing of manufacturers, distributors, and contractors, the fees therefor and the procedure connected therewith; to provide for the registration of fertilizer and fertilizer materials, a procedure connected therewith and the fees therefor; to provide for the labeling of fertilizer and fertilizer materials, and a procedure connected therewith; to provide for inspection fees, the amount thereof, and the disposition of the fees; to provide for the inspection, sampling, and analysis of fertilizer and fertilizer materials; to provide for plant nutrient deficiencies and a penalty for such deficiency and a procedure connected with the determination of such a penalty and the collection and disposition thereof; to provide that a copy of the analysis of any fertilizer or fertilizer materials shall be admissible as evidence on the trial of any issue involving the merits of the fertilizer or fertilizer materials and a procedure connected therewith; to provide a procedure to establish the commercial value of fertilizer or fertilizer materials; to provide a minimum plant nutrient content and a procedure connected therewith; to prohibit false or misleading statements and to provide a penalty for violation; to provide for tonnage reports; to provide the duties of the Commissioner of Agriculture and his authority under this Act; to provide for rules and regulations and procedure connected therewith; to provide for the weighing of fertilizer and fertilizer materials and a procedure connected therewith; to provide for the cancellation of registrations and licenses and a procedure connected therewith; to provide for stop sale orders and the seizure condemnation and sale of fertilizer and fertilizer materials in violation of this Act; to provide for the duties of public officers of this State in connection with the enforcement of this Act; to provide for injunctions and a procedure connected therewith; to provide an effective date to repeal Code chapter 5-10, 5-11, 5-13, 5-14, 5-15, and the Code section 5-1201, as amended, relating to the sale of fertilizer and fertilizer materials; to provide a penalty for violations, to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. This Act shall be known as the Georgia Fertilizer Act of 1960. Title. Section 2. Enforcing Official. This act shall be administered by the Commissioner of Agriculture of the State of Georgia, hereinafter referred to as the Commissioner, and in such administration he may use any employee of the Department of Agriculture of the State of Georgia. Section 3. Definition of Words and Terms. When used in this Act. (A) The term Fertilizer Material means any substance containing nitrogen, phosphorous, potassium, or any recognized plant nutrient element or compound which is used primarily for its plant nutrient content or for compounding mixed fertilizers except unmanipulated animal and vegetable manures. (B) The term Mixed Fertilizers means any combination or mixture of fertilizer materials designed for use or claimed to have value in promoting plant growth. (C) The term Commercial Fertilizer includes mixed fertilizer or fertilizer materials sold singly or mixed. (D) A term specialty fertilizer means a commercial fertilizer distributed primarily for nonfarm use, such as home gardens, lawns, golf courses, parks, or horticultural use, and may include commercial fertilizers used for research or experimental purposes. (E) The term Bulk Fertilizers means Commercial fertilizer distributed in non-packaged form. This term shall include but shall not be limited to dry bulk fertilizers, fertilizer materials, liquid fertilizer materials, nitrogen solutions, direct application solutions and anhydrous ammonia.

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(F) The term Brand means a term, design or trademark used in connection with one or more grades of commercial fertilizer. (G) Guaranteed Analysis (1) The term Guaranteed Analysis shall mean the minimum percentage of primary plant nutrients claimed in the following order and form: Total Nitrogen Percent Available Phosphoric Acid Percent Soluble Potash Percent (1A) Secondary plant nutrients may be claimed and guaranteed in the following order and form (as the element only, however the source of the element must be shown): Calcium, from (Material) Percent Sulfur, from (Material) Percent Magnesium Percent Water soluble magnesium Percent Minor or trace elements may be claimed and guaranteed in the form of the elemental mineral only. Sources of the element must be shown. (1B) The addition of non-nutritive products such as pesticides, as defined under the Georgia Economic Poisons Act, to fertilizer shall be considered separately and individually and such additions shall be subject to the rules and regulations covering such products. (2) The term Guaranteed Analysis includes: (I) For unacidulated mineral phosphatic materials and basic slag, both total and available phosphoric acid and the degree of fineness. For bone, tankage, and other organic phosphatic materials, total phosphoric acid. (II) Additional plant nutrients expressed as the elements when permitted by regulation.

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(H) The term Grade shall mean the minimum guaranty of plant nutrients expressed in terms of total nitrogen, available phosphoric acid, and soluble potash (or the element when permitted). When claims are made for secondary, minor and trace elements in a fertilizer they shall be guaranteed in the elemental form. (I) The term Official Sample means any sample of commercial fertilizer taken by the Commissioner or his agent and designated Official by the Commissioner. Such official sample shall be taken, insofar as is applicable, in accordance with the sampling methods as adopted by the association of official agricultural chemists and the Association of American fertilizer control officials or such other method as deemed necessary by the Commissioner to ascertain the contents and quality of the fertilizer. (J) The term Ton means a net weight of two thousand pounds avoirdupois. (K) The term Percent or Percentage means the percent by weight. (L) The term Person includes individual, partnership, association, firm or corporation or any combination thereof. (M) The term Distribute means to offer for sale, sell, exchange, barter, or otherwise supply, or make available commercial fertilizers. The term Distributor means any person who distributes. (N) Words importing the singular number may extend and be applied to several persons or things and words importing the plural number may include the singular. (O) The term Registrant means the person who registers commercial fertilizer under the provisions of this Act. (P) The term Manufacturer shall mean the person

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who has a physical plant with facilities for production, and who mixes, dilutes, adds to, repackages, relabels, manipulates changes, or guarantees the indentity of the product and who prepares for distribution at least fifty percent of the mixed grades sold under this brand. (Q) The term Contractor means any person, firm, corporation, wholesaler, retailer, distributor, or any other person who for hire or reward applies commercial fertilizer to the soil of a consumer: provided that this shall not apply to any consumer applying commercial fertilizer to only the land that he owns or to which he otherwise holds rights for the production of his own crops. The use of mobile mixing equipment to simultaneously mix and spread fertilizers is prohibited except as authorized by the Commissioner in writing in special cases. (R) The term Lot shall mean that amount of commercial fertilizer on hand and actually covered by the official sample at the time and place of sampling. (S) Manures are the excreta of animals or fowls when not artificially mixed with any material or materials other than those which have been used for bedding, sanitary or feeding purposes for said animals or fowls or for the preservation of the manure. (T) The term Commercial Value as used in this Act means the assessed values per unit of plant nutrient in dollars and cents and overhead costs. Such assessed values shall be used in computing the dollar rates of penalties provided in this Act. The Commercial Value as set under this Act is provided as a guide in determining the actual value of the product and shall not be construed as to mean or imply that this act in any manner intends to or attempts to be a sales price controlling or price fixing act, or in any manner to fix, regulate or control the sales price of fertilizer or fertilizer material. Section 4. Registration. (A) Each brand and grade of commercial fertilizer shall be registered before being offered for sale, sold or distributed in this state. The applications

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for registrations shall be submitted to the Commissioner on forms furnished by the Commissioner, and shall be accompanied by a fee of five ($5.00) per brand and grade, except that those brands and grades sold in packages of less than twenty five pounds in weight which shall be registered at a fee of fifty dollars ($50.00) each. Upon approval by the Commissioner, a copy of the registration shall be furnished to the applicant. All registrations expire on June 30th of each year. The application for registration shall include the following information: (1) Net weight of packages (2) The brand and grade (3) The guaranteed analysis (4) The sources from which all claimed primary plant nutrients are derived. (5) The sources from which all, if any, are claimed, secondary plant nutrients or minor elements are derived. (6) The name and address of the registrant. (B) A distributor shall not be required to register any brand of commercial fertilizer which is already registered under this Act by another person. (C) Any person, firm or corporation wishing to become a fertilizer manufacturer or contractor, as defined in this Act, shall before engaging in such business secure a license from the Commissioner of Agriculture. Such person, firm or corporation shall make application for such license on forms to be furnished by the Commissioner, submitting such information as to his proposed operation as the Commissioner may prescribe. Such license shall be renewed annually on the first day of July. Such license may be revoked for cause after due notice and public hearing for a violation of any provisions of this Act, or of any rule or regulation adopted by the Commissioner.

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(D) The plant nutrient content of each and every commercial fertilizer must remain uniform for the period of registration, and, in no case, even at a subsequent registration, shall the percentage of any guaranteed plant nutrient element be changed in such a manner that the cropproducing quality of the fertilizer is lowered. Section 5. Labeling. (A) All commercial fertilizer distributed in this state in containers shall have printed upon or affixed to the container a label setting forth in clearly legible form the information required by items (1), (2), (3), and (4) of paragraph (A) of section 4. Where the product is not actually manufactured or mixed by the registrant, the name of the registrant on the label shall be further qualified by either of the following statements: Made for Name of registrant Distributed by Name of registrant (B) If distributed in bulk, a written or printed statement of the information required by items (1), (2), (3), and (4) of paragraph (A) of section 4 shall be shown on the invoice and accompany delivery and be supplied to the purchaser at time of delivery. Section 6. Inspection Fees. (A) There shall be paid to the Commissioner for all commercial fertilizer offered for sale, sold, or distributed in this state an inspection fee at the rate of 30 cents per ton: provided, that sales to manufacturers or exchanges between them are hereby exempted. Fees so collected shall be turned over to the general treasury in the usual manner. On individual packages of commercial fertilizer containing less than 25 pounds, there shall be paid in lieu of the annual registration fee of $5.00 per brand and the 30 cents per ton inspection fee an annual registration fee and inspection fee of fifty dollars for each brand and grade sold or distributed. Where a person sells commercial fertilizer in packages of 25 pounds or less and in packages of more than 25 pounds each, the annual registration and inspection

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fee of $50.00 shall apply only to the portion sold in packages of less than 25 pounds and that portion sold in packages of 25 pounds and over shall be subject to the same inspection fee of 30 cents per ton as provided in this Act. (B) Every person who distributes a commercial fertilizer in this state shall: File with the Commissioner on forms furnished by the Commissioner a monthly statement for the periods ending the last day of each month, setting forth the number of grades and net tons of each grade of each commercial fertilizer distributed in this state during such month on or before the 15th day of the month following the report period, and upon such statement shall pay the inspection fee at the rate stated in paragraph (A) of this section. If the tonnage report is not filed and the payment of inspection fee is not made by the 15th of the month when due, a collection fee in the amount of 10 percent, with a minimum fee of $10.00, of the amount shall be assessed against the registrant. If after the second month after the due date, and after due notification by certified or registered mail to the registrant, the penalty is not paid, it shall double each month for a maximum of six months. If such an assessed penalty shall remain unpaid for six months, this shall constitute cause and reason for the revoking of all registrations and licenses. The amount of fees shall constitute a debt and become the basis of a judgement against the registrant to be collected by the Commissioner. When more than one person is involved in the distribution of a commercial fertilizer and one of such persons has not registered the fertilizer, the person who distributed to the non-registrant (dealer or consumer) shall be responsible for reporting the tonnage and paying the inspection fees. Section 7. Inspection, Sampling, Analysis. (A) It shall be the duty of the Commissioner, who may act thru

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his authorized agent, to sample, inspect, make analysis of, and test commercial fertilizers distributed within this state at such times and places and to such an extent as he may deem necessary to determine whether such commercial fertilizers are in compliance with the provisions of this Act. The Commissioner, individually or thru his agent, is authorized to enter upon any public or private premises during regular business hours in order to have access to commercial fertilizers subject to the provisions of this Act and the rules and regulations pertaining thereto. (B) The methods of analysis and sampling shall be those adapted by the Commissioner as official, from sources such as those of the Association of Official Agricultural Chemists, and such other methods as he shall deem necessary, and shall be adopted by regulation. (C) The Commissioner, in determining for administrative purposes whether any commercial fertilizer is deficient in plant nutrients shall be guided by the official sample as defined in paragraph (1) of Section 3 and obtained and analysed as provided for in paragraph (B) of Section 7, as well as any other competent evidence. (D) The results of official analysis of any commercial fertilizer which has been found to be subject to penalty or other legal action shall be forwarded by the Commissioner to the registrant at least ten days before the report is submitted to the purchaser. If during such period no adequate evidence to the contrary is made available to the Commissioner by the registrant the report shall be submitted to the purchaser. Upon request the Commissioner shall furnish to the registrant a portion of any sample found subject to penalty or other legal action. (E) A copy of the official analysis of any fertilizer or fertilizer material, under seal of the Department of Agriculture, shall be admissible as evidence in any of the Courts in this State on the trial of any issue involving the merit of such fertilizer or fertilizer material.

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Section 8. Plant Nutrient Deficiency. (A) The Commissioner in determining for administrative purposes whether any commercial fertilizer is deficient in plant nutrients, shall be guided by the official sample as defined in paragraph 1, section 3, and as provided for in paragraph (B), section 7, as well as any other competent evidence. (B) If the analysis shall show that any lot of commercial fertilizer falls short of the guaranteed analysis in any ingredient, a penalty shall be assessed in accordance with the following provisions: (1) Where the deficiency of total nitrogen, available phosphoric acid (or phosphorus when permitted), soluble potash (potassium when permitted) shall be 10 percent or more from the claimed guarantee, the penalty shall be twenty five percent of the actual sales price of the fertilizer plus the amount of the difference in assessed commercial value and the found commercial value. (2) Where water in soluble nitrogen guarantees are made and claimed and the guarantee is stated in terms of water soluble nitrogen, an excess of 10% water soluble nitrogen shall subject the sampled lot of fertilizer to a penalty of ten percent of the actual sale price of the fertilizer plus the amount of the difference in the assessed commercial value and the found commercial value. (3) Where there may be no single ingredient deficiency as set forth in paragraph 1 and 2, but there is a deficiency of 4% or more in total assessed commercial value as found, the penalty for the lot sampled shall be twenty five percent of the sale price plus the difference in the assessed commercial value and the found commercial value. (4) Chlorine: If the chlorine content of any lot of fertilizer branded for tobacco shall exceed the maximum amount guaranteed by more than 0.50 of one percent, a penalty shall be assessed equal to ten percent of the value

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of the fertilizer for each additional 0.5 of one percent in excess, or fraction thereof. (5) Nitrate Nitrogen: A penalty of 5% of the commercial value shall be assessed if the deficiency shall exceed 10% of the claimed nitrate nitrogen. (6) Total Magnesium: If the magnesium content found falls as much as 0.30 of one percent below the minimum amount guaranteed, a penalty of fifty cents per ton shall be assessed for each 0.15 of one percent additional deficiency or fraction thereof. (7) Total Calcium: If the calcium content found falls as much as 0.70 of one percent below the minimum amount guaranteed, a penalty of fifty cents per ton shall be assessed for each 0.35 of one percent additional deficiency or fraction thereof. (8) Sulfur: If the sulfur content is found to be as much as 1.50 percent below the minimum amount guaranteed in the case of all mixed fertilizers, including mixed fertilizers branded for tobacco, a penalty of fifty cents per ton for each 0.50 of one percent additional excess or fraction thereof shall be assessed. (9) Deficiencies or excesses in any other constituent or constituents covered under item permitted in paragraph 1A, Section 3, which the registrant is required to or may guarantee shall be evaluated by the Commissioner and penalties therefor shall be prescribed by the Commissioner. (10) All penalties must be paid within 31 calendar days after final notice of assessment is made. Failure to pay penalties within 60 days after assessment shall be sufficient grounds for the revocation of the registration and license of the registrant. Section 9. Commercial Value. For the purpose of determining the commercial value to be applied under the provisions of section 8, the Commissioner shall determine

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and publish annually the values per unit of the regulated plant nutrients in commercial fertilizers in this state. Such commercial values shall be published at least ninety days before they shall become effective. Section 10. Minimum Plant Nutrient Content. No superphosphate containing less than 18% available phosphoric acid, nor any mixed fertilizer in which the guarantees for the nitrogen, available phosphoric acid and potash totals less than 20% shall be distributed in this state except for complete fertilizers branded for use on tobacco, in which case the total nitrogen, available phosphoric acid and potash shall not total less than 16%, and such tobacco fertilizers shall be labeled in accordance with regulations specifically covering tobacco fertilizers. Certain specialty fertilizers for non-agricultural use may be permitted to deviate from the requirements of this paragraph, however, each brand and grade shall be submitted for registration prior to offering for sale, and its acceptance and registration shall be based on the merit of and intended use of the product. Such products shall not deviate more than 10% from the minimum requirements as set forth above. Section 11. False or Misleading Statements. A commercial fertilizer is misbranded if it carries any false or misleading statement upon or attached to the container, or if false or misleading statements concerning its agricultural value are made on the container or in any advertising matter accompanying or associated with the commercial fertilizer. It shall be unlawful and a misdemeanor to distribute a misbranded fertilizer. Section 12. Tonnage Reports. Each person registering commercial fertilizer under this Act shall furnish the Commissioner with a confidential statement of the tonnage sold of each grade of fertilizer by him in this state for the monthly period ending the last calendar day of each month. The tonnage of each grade sold during said periods in packages weighing less than 25 pounds shall also be shown as a sub-total and included in the total tonnage. Such report shall be submitted at the same time

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as the reports required in Section 6 of this Act. In lieu of said monthly report, the registrant may have the option (upon application to and approval of the Commissioner) of submitting a copy of the invoice of shipments made to a non-registrant. The invoice copy shall be mailed to the Commissioner within 48 hours (less legal holidays and Sundays) and shall show the name and county of the consignee together with the amount in tons, the grade and analysis of the commercial fertilizer sold. Section 13. Publications. The Commissioner may publish at least annually and in such forms as he may deem proper: (A) Information concerning the distribution of commercial fertilizers. (B) Results of analysis based on official samples of commercial fertilizers distributed within the state as compared with the analysis guaranteed under section 4 and section 5. Section 14. Rules and Regulations. For the enforcement of this Act, the Commissioner is authorized to prescribe after public hearing following public notice, and to enforce such reasonable rules and regulations relating to the distribution of commercial fertilizers as he may find necessary to carry into effect the full intent and meaning of this Act. Section 15. Short Weight. (A) If any commercial fertilizer in the possession of the consumer is found by the Commissioner to be short in weight, the registrant of the commercial fertilizer, shall within 30 days after official notice from the Commissioner, pay to the consumer a penalty equal to four times the value of the actual shortage. The refusal of a seller to permit weighing by certified public weigher shall result in a penalty equal to full amount of billing and such penalty shall be payable to the consumer. (B) For deliveries of bulk dry commercial fertilizers,

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bulk liquid commercial fertilizers and bulk anhydrous ammonia, the Commissioner may, at his discretion, prescribe such rules and regulations as he may find necessary to insure that the consumer receives full value for his purchase. (C) If, at the time of delivery (any time after the loading of the equipment containing bulk fertilizer and prior to the actual unloading of same to complete the delivery), the purchaser has doubt as to the claimed or invoiced weight, he may demand weighing by a certified public weigher. If found to be below the invoiced or claimed weight, the seller shall adjust the invoice to the true weight and the seller shall pay all costs incidental to the weighing. If the weight is found to be as claimed or in excess thereof, the seller may adjust the invoice to the true weight and the person requesting the weighing shall be liable for all costs incidental to the weighing. Such costs shall be calculated on the basis of one dollar ($1.00) per ton for each load weighed, plus the weigher's fee. Section 16. Cancellation of Registrations. The Commissioner is authorized and empowered to cancel the registration of any brand of commercial fertilizer or to refuse to register any brand of commercial fertilizer as herein provided, or to cancel any license granted hereunder, upon satisfactory evidence that the registrant or licensee has used fraudulent or deceptive practices in the evasions or attempted evasions of the provisions of this Act or any rules and regulations promulgated thereunder: Provided that no registration or license shall be revoked or refused until the registrant shall have been notified of the time and place of the hearing and given an opportunity to appear and be heard by the Commissioner. Section 17. Stop Sale Orders. The Commissioner may issue and enforce a written or printed Stop Sale, Stop Use, or Removal order to the owners or custodian of any lot of commercial fertilizer and to hold at a designated place when the Commissioner finds said commercial

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fertilizer is being offered or exposed for sale in violation of any of the provisions of this Act until the law has been complied with and said commercial fertilizer is released in writing by the Commissioner or said violation has been otherwise legally disposed of by written authority. The Commissioner shall release the commercial fertilizer so withdrawn when the requirements of the provisions of this Act have been complied with and all costs and expenses incurred in connection with the withdrawal have been paid by the registrant. Section 18. Seizure, Condemnation and Sale. Any lot of commercial fertilizer not in compliance with the provisions of this Act, shall be subject to seizure on complaint of the Commissioner to the Superior Court of the County in which the commercial fertilizer is found. In the event the Court finds the said commercial fertilizer to be in violation of this Act and orders the condemnation of said commercial fertilizer, it shall be disposed of in any manner consistent with the quality of the commercial fertilizer, the interest of the parties and the laws of this state: Provided, that in no instance shall the disposition of said commercial fertilizer be ordered by the Court without first giving the claimant an opportunity to apply to the court for release of said commercial fertilizer or for permission to process or re-label said commercial fertilizer in such manner as to bring it into compliance with this Act. Section 19. Violations. (A) If it shall appear from the examination of any commercial fertilizer that any of the provisions of this Act or the rules and regulations issued thereunder have been violated, the Commissioner shall cause notice of the violations to be given to the registrant, distributor, or possessor from whom said sample was taken and the person so notified shall be given opportunity to be heard under such rules and regulations as may be prescribed by the Commissioner. If it appears, after such hearing, either in the presence or absence of the person so notified, that any of the provisions of this

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Act or rules and regulations issued thereunder have been violated, the Commissioner may certify the facts to the Court having jurisdiction for prosecution for a misdemeanor. (B) Any person convicted of violating any provision of this Act or the rules and regulations issued thereunder shall be guilty of a misdemeanor and upon conviction shall be punished as provided by law. (C) Nothing in this Act shall be construed as requiring the Commissioner to report for prosecution or for the institution of seizure proceedings as a result or violations of this Act when he believes that the public interest will be best served by other methods. (D) It shall be the duty of each solicitor or Solicitor General of the Court to whom any violation is reported to cause appropriate proceedings to be instituted and prosecuted without delay. Section 20. Exchange Between Manufacturers. Nothing in this Act shall be construed to restrict or regulate the sale or exchange of commercial fertilizer to each other by importers, manufacturers, or manipulators who mix fertilizer materials for sale or as preventing the free and unrestricted shipments of commercial fertilizer to manufacturers or manipulators who have registered their brands as required by the provisions of this Act. Section 21. Injunctions. In addition to the remedies provided herein and notwithstanding the existence of any adequate remedy at law, the Commissioner of Agriculture is hereby authorized to apply to the superior court and such court shall have jurisdiction upon hearing and for the cause shown to grant a temporary or permanent injunction or an ex parte restraining order restraining or enjoining any person from violating or continuing to violate any of the provisions of this Act or for the failure or refusal to comply with the provisions of this Act or any rule or regulation promulgated hereunder. Such injunction shall be issued without bond, and such action may be

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maintained notwithstanding the pendency of any criminal prosecution for the violation of the provision of this Act. Section 22. Non-Resident Manufacturers. Every non-resident manufacturer, mixer, jobber or distributor of commercial fertilizers shall at the time of registration and before selling or offering for sale his product or products in Georgia, designate to the Commissioner of Agriculture, an attorney in fact, residing in this state, upon whom service and process may be had so as to obtain jurisdiction of the non-resident manufacturers, mixers, jobbers and distributors before the Commissioner and the courts of this state, in connection with the sale of commercial fertilizers in this state. The Secretary of State is authorized to accept such designation and to perform such services in the manner now or as may be hereafter provided by law. Section 23. Change of Designation. At any time after the passage of this Act, after public hearing following 10 day notice by publication in the Market Bulletin, the Commissioner of Agriculture may change the requirements for expressing the guaranteed analysis of available phosphoric acid and soluble potash to the elemental form, provided such a change is made on the anniversary date of this Act and further provided that at least six months advance notice is given to manufacturers and registrants of commercial fertilizers in this state. If such a change is made, there shall be no provisions for dual labeling, using the oxide and the element. Such a change in designation of plant food nutrients shall not change in any manner the provisions of section 8. Section 24. Ingredients. The Commissioner of Agriculture is hereby authorized to establish the plant nutrient worth of an ingredient used in the manufacture or mixing of any commercial fertilizer and if any such ingredient is found to be worthless, harmful or deceptive, after due notice and public hearing, to prohibit its use. Section 25. Constitutionality. If any clause, sentence, paragraph, or part of this Act shall for any reason be

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judged invalid by any court of competent jurisdiction, such judgment shall not effect, impair or invalidate the remainder thereof but shall be confined in its operation to the clause, sentence, paragraph or part thereof directly involved in the controversy in which such judgment shall have been rendered. Section 26. Any person who shall violate any provision of this Act shall be guilty of a misdemeanor and upon conviction thereof shall be punished as provided by law. Crimes. Section 27. Code Chapter 5-10, relating to fertilizers and fertilizer materials, as amended, is hereby repealed in its entirety. Code Chapter 5-10 repealed. Section 28. Code Chapter 5-11, relating to the registration and inspection of fertilizer and fertilizer material, as amended, is hereby repealed in its entirety. Code Chapter 5-11 repealed. Section 29. Code Chapter 5-1201, relating to the inspection of fertilizer and fertilizer material before delivery to consumer is hereby repealed in its entirety. Code 5-1201 repealed. Section 30. Code Chapter 5-13, relating to the inspection and analysis of cottonseed meal, is hereby repealed in its entirety. Code Chapter 5-13 repealed. Section 31. Code Chapter 5-14, relating to the sale of fertilizer in bulk, is hereby repealed in its entirety. Code Chapter 5-14 repealed. Section 32. This Act shall become effective and be in full force and effect on and after, July 1, 1960, provided, however, that the provisions of this Act requiring registration shall not be effective until July 1, 1961, as to those registrants having previously registered their commercial fertilizers between January 1, 1960, and July 1, 1960. Effective date. Section 33. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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TEACHERS' RETIREMENT SYSTEM ACT AMENDED. CERTAIN EMPLOYEES OF BOARD OF REGENTS INCLUDED. No. 639 (House Bill No. 694). An Act to amend an Act establishing a retirement system for teachers approved March 19, 1943 (Ga. L. 1943, p. 540), as amended particularly by an Act approved February 25, 1949 (Ga. L. 1949, p. 1505), an Act approved February 16, 1950 (Ga. L. 1950, p. 261), an Act approved January 5, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 470), an Act approved February 6, 1956 (Ga. L. 1956, p. 13), an Act approved February 26, 1957 (Ga. L. 1957, p. 118) and an Act approved March 17, 1959 (Ga. L. 1959, p. 315), so as to provide that Teacher as defined in said Act shall include all employees or persons legally employed not less than half time by the Board of Regents of the University System of Georgia with the exception of emergency or temporary employees and maintenance and custodial employees; to provide that the Board of Trustees shall determine whether a particular employee is a maintenance or custodial employee; to provide that no person authorized to become a member of the system by virtue of this Act shall be authorized to prior service credits; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act establishing a retirement system for teachers approved March 19, 1943 (Ga. L. 1943, p. 540), as amended particularly by an Act approved February 25, 1949 (Ga. L. 1949, p. 1505), an Act approved February 16, 1950 (Ga. L. 1950, p. 261), an Act approved January 5, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 470), an Act approved February 6, 1956 (Ga. L. 1956, p. 13), an Act approved February 26, 1957 (Ga. L. 1957, p. 118), and an Act approved March 17, 1959 (Ga. L. 1959, p. 315), is amended by adding at the end of paragraph 5 of section 1 thereof the words In addition to the foregoing,

Page 936

`teacher' shall also include any person employed and paid by the Board of Regents of the University System of Georgia, not less than half-time, with the exception of emergency or temporary employees and with the exception of maintenance and custodial employees, and the Board of Trustees shall determine whether any particular employee is a maintenance or custodial employee; provided, that any employee qualified as a `teacher' under the terms of this sentence, shall not be entitled to any prior service credit for service rendered prior to being included in the system, so that said paragraph as amended hereby shall read as follows: (5) `Teacher' shall mean any person employed not less than half time in the public day schools as a classroom teacher, or in a clerical capacity, or in the supervision of the public schools, or any employee of the State Board of Education or the State Board of Vocational Education employed in a teaching or supervisory or clerical capacity, or any bona fide teacher or supervisor of teachers or clerical employee in any school operated by the State Department of Education, or any teacher or supervisor of teachers or clerical employees employed and paid by the Board of Regents of the University System of Georgia, and all personnel of the Agriculture Extension Service of the University of Georgia. The word `teacher' shall also include school librarians, and administrative officials who supervise teachers, and shall include registrars of each unit of the University System and shall include secretary and treasurer of the Board of Regents. The Board of Trustees shall determine in doubtful cases whether any person is a teacher, as defined in this Act. In the event the Georgia Education Association and any full-time employee thereof, or the Georgia High School Association and any full-time employee thereof, or the Georgia Teacher Education Association and any full-time employee thereof, or the Georgia School Boards Association and any full-time employee thereof request the Board of Trustees to permit the Association as employer and such employee to make contributions as herein defined to provide retirement benefits for such employee, the board may permit such employee to come under the operation of this

Page 937

Act as a teacher but the State shall make no contributions on account of such employee. The word `teacher' shall also include regional and county librarians who are compensated in whole or in part from State funds. Prior service of such librarians and other service for which such librarians have contributed to the Teachers' Retirement System of Georgia is hereby ratified, subject to the same laws and the same rules and regulations applicable to other members of the System. The word `teacher' shall not be deemed to include any emergency or temporary employee. In the event any privately operated nonsectarian school and any teacher therein request the Board of Trustees to permit such school as employer and such teacher therein to make contributions as herein defined to provide such retirement benefits for such private school teacher, the board shall permit such teacher to come under the operation of this Act as a `teacher', but the State shall make no contributions on account of such private school teacher. In the event that the Board of Regents of the University System of Georgia and any person employed by Radio Station WGST request the Board of Trustees to permit the Board of Regents as employer and such employee to make the contributions as herein defined to provide such retirement benefits for such employee, the Board of Trustees shall permit such employee to come under the operation of this Act as a `teacher'; but no contribution of State funds shall be made on account of such employee, but rather an employer's contributions shall come from funds available for the operation of Radio Station WGST; provided, that any employee qualifying as a `teacher', under the terms of this sentence shall not be entitled to any prior service credit for service rendered prior to being included in the system. In addition to the foregoing, `teacher' shall also include any person employed and paid by the Board of Regents of the University System of Georgia, not less than half time, with the exception of emergency or temporary employees and with the exception of maintenance and custodial employees, and the Board of Trustees shall determine whether any particular employee is a maintenance or custodial employee; provided, that any employee qualified

Page 938

as a `teacher' under the terms of this sentence, shall not be entitled to any prior service credit for service rendered prior to being included in the system. Teacher defined. Section 2. The provisions of this act shall not become effective until after the Board of Trustees of the Teachers Retirement System of Georgia has notified the Governor in writing that it has received a certification from its actuaries that the provisions contained herein will not impair the actuarial soundness of the system. Effective date. Section 3. All laws and parts of laws conflict with this Act are hereby repealed. Approved March 17, 1960. LICENSES TO CARRY PISTOLSADDITIONAL QUALIFICATIONS, GROUNDS FOR REVOCATION. Code 26-5104 Amended. No. 640 (House Bill No. 695). An Act to amend Code section 26-5104 of the Code of Georgia of 1933, so as to provide for additional qualifications to provide for revocation; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 26-5104 is hereby amended by adding the following sentences: The ordinary may refuse to grant such license to an insane person or a person with a record of a felony conviction. The ordinary of the county where the license was issued after notice and hearing may revoke the said license upon the conviction of any misdemeanor or felony., so that Code section 26-5104 as amended shall read as follows: 26-5104. License, how obtained. Record of licensees. The ordinary of the county in which the applicant resides

Page 939

may grant such license, either in term time or during vacation: Provided, that the applicant shall be at least 18 years old, and shall give a bond payable to the Governor in the sum of $100.00 conditioned upon the proper and legitimate use of said weapon, with a surety approved by the ordinary of said county, and the ordinary granting the license shall keep a record of the name of the person taking out such license, the name of the maker of the firearm to be carried, and the caliber and number of the same. The ordinary may refuse to grant such license to an insane person or a person with a record of a felony conviction. The ordinary of the county where the license was issued after notice and hearing may revoke the said license upon the conviction of any misdemeanor or felony. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. AGRICULTURELICENSES TO FEED GARBAGE TO LIVESTOCK. No. 641 (House Bill No. 696). An Act to amend an Act, approved March 4, 1953 (Ga. L. 1953, p. 480), as amended, relating to the feeding of garbage to animals and disease prevention in general so as to delete therefrom the license fee of feeders of garbage; to provide that there shall be no charge for such license and that the license shall continue of force and effect until and unless revoked or cancelled; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act approved March 4, 1953 (Ga. L. 1953, p. 480), as amended, relating to the feeding of garbage to livestock and to disease prevention in general,

Page 940

is hereby amended by striking section 3 in its entirety and in lieu thereof inserting the following: Section 3. On and after the passage of this Act no person, firm, partnership, or corporation shall feed garbage without first having applied for and obtained a license from the Commissioner of Agriculture. There shall be no fee for such license and license shall be valid until and unless revoked or cancelled. Provided, however, the requirement of obtaining a license shall not apply to an individual who feeds garbage obtained from his own household to his own animals. No charge for licenses. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. RETAILERS' AND CONSUMERS' SALES AND USE TAX ACT AMENDED. No. 642 (House Bill No. 698). An Act to amend the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, p. 360), as amended, so as to provide a credit against any use tax due thereunder from hospitals, to the extent supported by public funds; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, p. 360), as amended, be amended to add a new section to be numbered section 13A as follows: Section 13A. A use tax credit shall be allowed to any hospital organization operating in this State which is supported by public funds, administered by a board or committee

Page 941

made up in whole or in part by public officials in their capacities as public officials, or by persons appointed by public officials in their capacities as public officials, and which represents an effort on the part of the State, or any county, or municipality, or a combination thereof, to perform a public hospitalization function to the following extent: At the end of such hospital's fiscal year, a credit shall be computed which shall be that portion of the sales and use tax paid during such fiscal year by such hospital organization as the contributions made from public funds by any municipality, or county, or the State, or the Federal Government, or any combination thereof, to the operating expenses and equipment purchases of such hospital organization bears to the total operating expenses and equipment purchases of such hospital organization for such fiscal year. Such credit shall be allowed such hospital organization against its sales and use tax liability for succeeding taxable periods until exhausted but such credit shall not bear interest and shall not be the basis for a claim or refund. Use tax credit to hospitals. Section 2. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960. RETAILERS' AND CONSUMERS' SALES AND USE TAX ACT AMENDED. No. 643 (House Bill No. 699). An Act to amend section 26 of the Georgia Retailers' and Consumers' Sales and Use Tax Act, as amended, relating to the period of limitations for making assessments of taxes imposed thereunder, so as to provide that the period of limitations prescribed thereby, and also the period of limitations within which claims for refund are required to be filed, may be extended by agreement between the tax payer and the State Revenue Commissioner

Page 942

or his delegate; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That section 26 of the Georgia Retailers' and Consumers' Sales and Use Tax Act, as amended, be further amended so as to be numbered section 26 (a). Section 2. That a subsection be added thereto to be numbered section 26(b) and to read as follows: (b) Where before the expiration of the time prescribed for the assessment of taxes imposed by this Act both the State Revenue Commissioner, or his delegate, and the taxpayer have agreed in writing to assessment after such time, such taxes may be assessed at any time prior to the expiration of the period agreed upon. The period so agreed upon may be extended by subsequent agreements in writing made before the expiration of the period previously agreed upon. The State Revenue Commissioner, or his delegate, shall also be authorized in such agreement to extend similarly the period within which the taxpayer may file a claim for refund of such taxes. Time for making assessments, or claims for refunds. Section 3. The provision of section 2 hereof shall be effective with respect to all such agreements heretofore or hereafter entered into by the State Revenue Commissioner, or his delegate, and any person subject to the taxes imposed by said Act. Intent. Section 4. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960.

Page 943

MOTOR VEHICLESMONEY ORDER RECEIPTS, ETC. AS TEMPORARY PERMITS OR LICENSES. Code 68-208 Amended. Code 68-212 Repealed. No. 644 (House Bill No. 700). An Act to amend Code sections 68-208 and 68-212, as amended, relating to the form of payment of motor vehicle license fees and authorizing money order receipts as temporary registrations; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That Code sections 68-208 and 68-212, as amended, be stricken in their entirety and an amended Code section 68-208, as follows, be enacted in lieu thereof: 68-208. License fee to accompany application for tags and certificates; Temporary permits. When an application for a license tag and certificate is made to the State Revenue Commissioner, or to his county tag agent, it shall be accompanied by cash, or certified or cashier's check, or bank, postal or express money order, or other similar bankable paper, for the amount of the license fee required by law. A money order receipt, or other evidence of the purchase and remittance of such bankable paper, for the proper amount, dated prior to any delinquency by the proper authority of the issuer, and showing the State Revenue Commissioner or his county tag agent as the payee, and the owner of the vehicle sought to be licensed and registered as the remitter, shall serve as a temporary permit to operate such vehicle for a period of 15 days from the date of such remittance. Section 2. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960.

Page 944

REVENUEUNITS OR DIVISIONS WITHIN REVENUE DEPARTMENT AUTHORIZED. No. 645 (House Bill No. 704). An Act authorizing the State Revenue Commissioner to establish units or divisions within the Revenue Department, to designate directors thereof, and to delegate authority and duties to such directors; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The State Revenue Commissioner shall by executive order establish such units or divisions within the Revenue Department as he deems proper for its administration and designate persons to be directors and assistant directors thereof and to exercise such of the authority conferred upon him by law, and to perform such of the duties imposed upon him by law, as he may, in such executive order, delegate to them. Units or divisions. Section 2. The provisions hereof shall be effective on and after the effective date of this Act, and shall also be effective to ratify prior executive orders designating such directors and assistant directors and delegating authority to them, and validate any acts performed by them pursuant to such prior executive orders. Intent. Section 3. All laws, and parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960.

Page 945

BANKS AND BANKINGFEES TO COVER COST OF EXAMINATION OF BANKS. Code 13-405 Amended. No. 647 (House Bill No. 707). An Act to amend section 5 of Article III of the Banking Law of Georgia as the same is codified in section 13-405 of the Code of Georgia, as amended, relating to the fees to cover the cost of examinations of banks so as to provide for an increase in the fees in order to support the cost of operating the Department of Banks; to repeal conflicting laws, and for other purposes. Now, therefore, be it enacted by the General Assembly of Georgia: Section 1. That section 13-405 of the Code of Georgia, which is codified from section 5 of Article III of the Banking Law of Georgia, relating to the fees to cover the cost of examinations of banks, be, and the same is hereby amended by striking the same in its entirety and substituting in lieu thereof a new section to be section 13-405 (which will be section 5 of Article III of the Banking Law of Georgia) relating to the fees to be paid by banks, which shall read as follows: Section 13-405. Fees to cover cost of examination of banks. (a) Each bank, on or before the 15th day of January, shall pay annually to the Superintendent of Banks, to be deposited by him to the credit of the Department of Banking, as hereinbefore provided, in proportion to its total resources or assets as of the 31st day of December of the previous year, the following fees in the following amounts: Where the total resources are $400,000, or less $150 Where the total resources are more than $400,000 and not exceeding $500,000 $180

Page 946

$500,000 and not exceeding $600,000 $200 $600,000 and not exceeding $700,000 $240 $700,000 and not exceeding $800,000 $280 $800,000 and not exceeding $900,000 $330 $900,000 and not exceeding $1,000,000 $360 $1,000,000 and not exceeding $1,200,000 $400 $1,200,000 and not exceeding $1,400,000 $450 $1,400,000 and not exceeding $1,600,000 $500 $1,600,000 and not exceeding $1,800,000 $560 $1,800,000 and not exceeding $2,000,000 $630 $2,000,000 and not exceeding $2,250,000 $730 $2,250,000 and not exceeding $2,500,000 $800 $2,500,000 and not exceeding $2,750,000 $900 $2,750,000 and not exceeding $3,000,000 $970 $3,000,000 and not exceeding $3,500,000 $1,020 $3,500,000 and not exceeding $4,000,000 $1,080 $4,000,000 and not exceeding $4,500,000 $1,140 $4,500,000 and not exceeding $5,000,000 $1,200 $5,000,000 and not exceeding $6,000,000 $1,270 $6,000,000 and not exceeding $7,000,000 $1,350 $7,000,000 and not exceeding $8,000,000 $1,420 $8,000,000 and not exceeding $10,000,000 $1,500 $10,000,000 and not exceeding $12,500,000 $1,570 $12,500,000 and not exceeding $15,000,000 $1,650 $15,000,000 and not exceeding $17,500,000 $1,720 $17,500,000 and not exceeding $20,000,000 $1,800 $20,000,000 and not exceeding $25,000,000 $1,870 $25,000,000 and not exceeding $30,000,000 $1,950 $30,000,000 and not exceeding $35,000,000 $2,100 $35,000,000 and not exceeding $40,000,000 $2,250 Where the total resources are more than $40,000,000, $2,250, plus $20 per $1,000,000 of resources over $40,000,000. In addition to the fees hereinabove fixed, and at the same time, each bank operating bank offices, bank facilities, or branch banks, shall pay for each outlet so operated $150 per annum. (b) For any examination herein provided to be made before permit to begin business is issued, or on any

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amendments to a charter, or on any consolidation or merger, or on any voluntary liquidation, and for any examination in or of the trust department of any bank, and in all other cases authorized by law, other than a regular annual examination, a fee of $50 per day for each examiner participating in such examination shall be paid for each examination. Section 2. This Act shall be effective immediately upon approval by the Governor, and the fee schedule provided in Section 1 shall apply to the year 1960 and subsequent years; provided, however, that for the year 1960 only, the fees shall not be due until April 15, 1960 and credit shall be given for examination fees paid on examinations conducted in 1960 prior to April 15th under the law existing prior to the effective date of this Act. Effective date. Section 3. That all laws and parts of laws in conflict herewith be, and the same are hereby, repealed. Approved March 17, 1960. VOTERS' REGISTRATION ACT OF 1958 AMENDED AS TO COUNTIES HAVING POPULATION BETWEEN 114,000 AND 400,000. No. 648 (House Bill No. 715). An Act to amend an Act entitled An Act to effect a complete revision of the laws of this State relating to the qualification and registration of voters; to provide for registration of voters; to provide that certain persons shall not be required to reregister; to provide for county registrars; to provide for a chief registrar in each county; to provide for registrars in counties having a certain population; to provide for an oath of office; to provide for deputies and other personnel; to provide registration cards and the form thereof; to provide the time for taking applications for registration; to provide for the procedure that must be followed

Page 948

by an applicant for registration; to provide for appeals; to provide for purging the list of registered voters; to provide for lists of disqualified persons; to provide for a list of qualified voters; to provide for a supplemental list; to provide for lists for special elections; to provide for periodic examinations of the list of qualified voters; to provide for subpoenas, summonses and notices; to provide for hearings; to provide for challenges and exceptions thereto; to provide for furnishing the lists of voters to the election managers; to provide where persons shall vote; to provide for transfers of registration; to provide for the oath to be taken by a challenged person; to provide for a checked list of registered voters; to provide that the list of voters and the registration cards shall be open to reasonable inspection; to provide for public hearings; to provide for furnishing lists of voters to municipal officials and education officials and the method of determining the price thereof; to provide for the State Registration and Election Information Board; to provide for penalties; to repeal an Act relating to the registration of voters and known as the Voters' Registration Act, approved February 25, 1949 (Ga. L. 1949, p. 1204), as amended, and to repeal all Acts amendatory thereof; to repeal conflicting laws; and for other purposes., approved March 25, 1958 (Ga. L. 1958, p. 269), as amended, so as to provide for additional duties and authority of deputies to the Board of Registrars in certain counties; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act entitled An Act to effect a complete revision of the laws of this State relating to the qualification and registration of voters; to provide for registration of voters; to provide that certain persons shall not be required to reregister; to provide for county registrars; to provide for a chief registrar in each county; to provide for registrars in counties having a certain population; to provide for an oath of office; to provide for deputies and other personnel; to provide registration cards and the form thereof; to provide the time for taking

Page 949

applications for registration; to provide for the procedure that must be followed by an applicant for registration; to provide for appeals; to provide for purging the list of registered voters; to provide for lists of disqualified persons; to provide for a list of qualified voters; to provide for a supplemental list; to provide for lists for special elections; to provide for periodic examinations of the list of qualified voters; to provide for subpoenas, summonses and notices; to provide for hearings; to provide for challenges and exceptions thereto; to provide for furnishing the lists of voters to the election managers; to provide where persons shall vote; to provide for transfers of registration; to provide for the oath to be taken by a challenged person; to provide for a checked list of registered voters; to provide that the list of voters and the registration cards shall be open to reasonable inspection; to provide for public hearings; to provide for furnishing lists of voters to municipal officials and education officials and the method of determining the price thereof; to provide for the State Registration and Election Information Board; to provide for penalties; to repeal an Act relating to the registration of voters and known as the Voters' Registration Act, approved February 25, 1949 (Ga. L. 1949, p. 1204), as amended, and to repeal all Acts amendatory thereof; to repeal conflicting laws; and for other purposes., approved March 25, 1958 (Ga. L. 1958, p. 269), as amended, is hereby amended by the insertion following section 14 thereof, of a new section to be known as section 14-A, which shall read as follows: Section 14-A. Notwithstanding any other provision of this law, in all counties of this State having a population of between 114,000 and 400,000, according to the last or any future United States census, the Board of Registrars may authorize one or more deputies to the Board of Registrars to notify applicants when and where to appear for an examination. Said Board may also authorize such deputy or deputies to subject any applicant to either of the examinations provided for by this law and to report the results thereof to the Board of Registrars. Said Board

Page 950

shall approve or disapprove the application based on said report and immediately thereafter notify said applicant. Examinations by deputies. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. UNIFORM ACT REGULATING TRAFFIC ON HIGHWAYS AMENDEDINSPECTION OF SCHOOL BUSES AND EXAMINATION OF SCHOOL BUS DRIVERS. No. 649 (House Bill No. 716). An Act to amend an Act known as the Uniform Act Regulating Traffic on Highways, approved January 11, 1954 (Ga. L. 1953, Nov.-Dec. Sess., p. 556), as amended, so as to provide for inspection of school buses and for driver's examinations of school bus drivers; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Uniform Act Regulating Traffic on Highways, approved January 11, 1954 (Ga. L. 1953, Nov.-Dec. Sess., p. 556), as amended, is hereby amended by adding a new subsection to section 124 of Article XVI concerning the inspection of school buses and driver examination of school bus drivers to be known as subsection (c) reading as follows: (c) All school buses must be inspected when required or requested by the Director or any member of the Georgia State Patrol in order to ascertain its mechanical and physical condition as to brakes, lights and any other feature which the Director may deem essential for the safety of its driver, passengers, and general public, and in the event such member of the Georgia State Patrol or said Director after such inspection determines that the operation

Page 951

of any such school bus in its then existing condition would be unsafe and notifies the driver or owner thereof in writing what particulars such school bus is unsafe, such school bus shall not be again used in transporting school children until after it has been repaired and made safe in the particulars specified by such member of the Georgia State Patrol or said Director. Provided, further, that any person operating a school bus shall have passed a driver's examination and qualified for a chauffeur's license, otherwise, such person shall pass a driver's examination and qualify for a chauffeur's license before being permitted to operate a school bus. Section 2. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. DOWER SUBJECT TO RECORDED OPTIONS TO PURCHASE AND RECORDED CONTRACTS TO SELL. No. 650 (House Bill No. 722). An Act to provide that if dower is set apart for the benefit of any person in or with respect to land on which there is a recorded option to purchase or contract to sell outstanding at the time the same is so set apart, such person, and any purchasers or lessees of said land after the same has been so set apart, shall take said land, or any interest therein, subject to all of the rights and privileges of the grantee of said option or contract to sell, and of any assignees of said option or contract to sell, if such assignment or assignments are also recorded; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. If dower is set apart for the benefit of any person in or with respect to land on which there is a recorded option to purchase or contract to sell outstanding

Page 952

at the time the same is so set apart, such person, and any purchasers or lessees of said land after the same has been so set apart, shall take said land, or any interest therein, subject to all of the rights and privileges of the grantee of said option or contract to sell, and of any assignees of said option or contract to sell, if such assignment or assignments are also recorded. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. ABANDONMENT OF CHILDRENEFFECT OF VERDICT OF ACQUITTAL IN CERTAIN CASES. Code 74-9902 Amended. No. 651 (House Bill No. 724). An Act to amend Code Section 74-9902, relating to abandonment of children and the penalty therefor, as amended, so as to provide that if during the trial of any person charged with the offense of abandoning his or her child and the defendant is acquitted because of his or her contention that he or she is not the father or mother of the child alleged to have been abandoned, the defendant cannot thereafter be tried for the offense of abandoning said child and that the verdict acquitting said defendant shall be a bar to all civil and criminal proceedings attempting to compel said defendant to support said child; to provide the procedure connected therewith; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 74-9902, relating to abandonment of children and the penalty therefor, as amended, is

Page 953

hereby amended by adding at the end of said Section the following paragraph: Provided, however, if during the trial of any person charged with the offense defined in this section, and such person contends that he or she is not the father or mother, as the case may be, of the child alleged to have been abandoned, the trial judge shall charge the jury that if its verdict is for the acquittal of such person, and that its reason for so finding is that such person is not the father or mother of the child alleged to have been abandoned, that its verdict shall so state, or if the person charged with the offense defined in this Section is tried before the court without the intervention of the jury and the court renders a verdict of acquittal based on the contention of such person that he or she is not the father or mother, as the case may be, of the child alleged to have been abandoned, the trial judge shall so state this fact in his verdict of acquittal. In the event the verdict of the jury or the court shall be for acquittal of such person, and its reason for so doing is that such person is not the father or mother of the child alleged to have been abandoned, such person cannot thereafter again be tried for the offense of abandoning said child, and said verdict shall be a bar to all civil and criminal proceedings attempting to compel such person to support said child. so that said Code section, when so amended, shall ready as follows: Section 74-9902. If any father or mother shall wilfully and voluntarily abandon his or her child, either legitimate or illegitimate, leaving it in a dependent condition, he or she, as the case may be, shall be guilty of a misdemeanor: Provided, however, if any father or mother shall wilfully and voluntarily abandon his or her child, either legitimate or illegitimate, leaving it in a dependent condition, and shall leave this State he or she, as the case may be, shall be guilty of a felony and shall, upon conviction, be imprisoned in the penitentiary for not less than one nor more than three years, which shall be reducible to a misdemeanor. The wife and husband shall be

Page 954

competent witnesses, in such cases to testify for or against the other. A child thus abandoned by the father or mother shall be considered to be in a dependent condition when the father or mother charged with the offense does not furnish sufficient food and clothing for the needs of the child. The offense of abandonment shall be and is hereby declared to be a continuing offense. Former acquittal or conviction of said offense shall not be a bar to further prosecution therefor under this section; if it shall be made to appear that said child was in a dependent condition as defined herein for a period of 30 days prior to the commencement of prosecution. Provided, however, if during the trial of any person charged with the offense defined in this Section, and such person contends that he or she is not the father or mother, as the case may be, of the child alleged to have been abandoned, the trial judge shall charge the jury that if its verdict is for the acquittal of such person, and that its reason for so finding is that such person is not the father or mother of the child alleged to have been abandoned, that its verdict shall so state, or if the person charged with the offense defined in this Section is tried before the court without the intervention of the jury and the court renders a verdict of acquittal based on the contention of such person that he or she is not the father or mother, as the case may be, of the child alleged to have been abandoned, the trial judge shall so state this fact in his verdict of acquittal. In the event the verdict of the jury or the court shall be for acquittal of such person, and its reason for so doing is that such person is not the father or mother of the child alleged to have been abandoned, such person cannot thereafter again be tried for the offense of abandoning said child, and said verdict shall be a bar to all civil and criminal proceedings attempting to compel such person to support said child. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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VOTERS' REGISTRATION ACT OF 1958 AMENDEDDESTRUCTION OF RECORDS. No. 652 (House Bill No. 725). An Act to amend an Act effecting a complete revision of the laws of this State relating to the qualifications and registration of voters, approved March 25, 1958 (Ga. L. 1958, p. 269), as amended by an Act approved February 17, 1959 (Ga. L. 1959, p. 57) and an Act approved March 10, 1959 (Ga. L. 1959, p. 182), so as to provide for the disposition of applications and records; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act effecting a complete revision of the laws of this State relating to qualifications and registration of voters, approved March 25, 1958 (Ga. L. 1958, p. 269), as amended by an Act approved February 17, 1959 (Ga. L. 1959, p. 57) and an Act approved March 10, 1959 (Ga. L. 1959, p. 182), is hereby amended by adding a new section, to be known as section 16A, to read as follows: Section 16A. In the event an applicant is refused registration by the Board as provided in this Act, the application of such person and other material and records relative thereto shall be stored with other records of the Board or disposed of in such manner as the Board may direct. Provided, however that such application shall be retained at least 30 days from the date of refusal. Destruction of records. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

Page 956

CONVEYANCE OF LAND TO GEORGIA PORTS AUTHORITY AUTHORIZED. No. 654 (House Bill No. 732). An Act to amend an Act known as the Georgia Ports Authority Act, approved March 9, 1945 (Ga. L. 1945, p. 464), as amended, so as to authorize the Governor, on behalf of the State, to convey certain property to the Georgia Ports Authority; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Ports Authority Act, approved March 9, 1945, as amended, is hereby amended by adding a new section, to be known as section 6-A, to read as follows: Section 6-A. The Governor is hereby authorized, on behalf of the State, to convey to the Georgia Ports Authority for a consideration of one dollar, to be agreed upon by the Governor and the Authority, property located in Richmond County, Georgia, which has been deeded to the State. The Authority shall have the same power and authority relative to such property as it has relative to any other property of the Authority. The property located in Richmond County is described as follows: All those certain lots, parcels or tracts of land, situate, lying and being in the County of Richmond, State of Georgia, and described as follows: Parcel One. West side of Pistol Range Road. Begin at point A and proceed north 22 degrees 39 minutes east 241 feet to point B, thence north 63 degrees, 00 minutes, west 200 feet to point C, thence north 22 degrees 39 minutes E. 522.18 feet to point D, thence south 63 degrees 00 minutes east 519.15 feet to point E, thence south 22 degrees, 39 minutes west 763.18 feet to point F, thence

Page 957

north 63 degrees, 00 minutes, west 319.15 feet to point A, which is the point of beginning, and containing 8.0 acres. Parcel Two. East side of Pistol Range Road. Begin at point G and proceed south 63 degrees 35 minutes east 814 feet to point H; thence south 31 degrees, 59 minutes west 700 feet to point J, thence north 52 degrees 16 minutes west 722.3 feet to point K, thence north 22 degrees 39 minutes east 556 feet to point G which is the point of beginning, and containing 10.96 acres. The above property is shown by map or plat attached hereto, said map or plat having been prepared by M. P. Phillips, City Engineer C.P.W., Department of Public Works, Augusta, Georgia, dated September 14, 1959, which said map or plat is hereby made a part hereof and marked exhibit A. The Governor is hereby authorized to execute for and on behalf of the State, the necessary instruments relative to the conveyance of the aforesaid property to the Georgia Ports Authority. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Plat attached to Enrolled Act. Approved March 17, 1960. GEORGIA SECURITIES ACT AMENDED. No. 656 (House Bill No. 742). An Act to amend an Act known as the Georgia Securities Act, approved February 26, 1957 (Ga. L. 1957, p. 134) as amended by an Act approved March 2, 1959 (Ga. L. 1959, p. 89), so as to redefine the term salesman; to clarify the provisions relating to the registration of securities; to provide that the amounts of certain

Page 958

bonds required shall be aggregate rather than individual liability; to change the procedure relative to the examination required of the salesman or limited salesman and to authorize a fee to cover the costs of such examination; to change the provisions relating to exempt transactions; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Securities Act, approved February 26, 1957 (Ga. L. 1957, p. 134), as amended by an Act approved March 2, 1959 (Ga. L. 1959, p. 89), is hereby amended by striking subsection (g) of section 1 in its entirety and substituting in lieu thereof a new subsection (g) to read as follows: (g) `Salesman' shall mean an individual other than a dealer or a limited dealer, employed or appointed or authorized by a dealer or a limited dealer, or by an issuer to sell securities in this State. The partners or executive officers of a dealer and a limited dealer residing in this State or engaged in the sale of securities in this State, and the partners or other executive officers of an issuer offering securities for sale solely within this State shall not be deemed to be salesmen within the meaning of this definition unless they are paid a commission for the sale of securities. Provided that no executive officer or director of an issuing corporation shall be required to stand the examination as a prerequisite for being a salesman. Salesman defined. Section 2. Said Act is further amended by striking subsection (h) of section 3 in its entirety and inserting in lieu thereof a new subsection (h), to read as follows: (h) No securities shall be registered under this Act for sale in this State by or for the account of the issuer thereof until such issuer first files bond with the Commissioner in the same amount and subject to the same terms and conditions as provided in section 4 (f) hereof unless such securities are fully registered under any appropriate Federal law, or the securities are exempt from registration

Page 959

under any appropriate Federal law or under any provision of this law. Surety bonds. Section 3. Said Act is further amended by striking subsection (f) of section 4 in its entirety and inserting in lieu thereof a new subsection (f), to read as follows: (f) No person shall be licensed as a dealer, limited dealer, salesman or limited salesman under this Act until such applicant first files with the Commissioner good bond with adequate security satisfactory to the Commissioner, in the sum of ten thousand ($10,000.00) dollars, as to dealers, limited dealers and issuers, and one thousand ($1,000.00) dollars as to salesmen and limited salesmen, payable to the State of Georgia for the use of all interested persons, and conditioned upon the faithful compliance by the principal with any and all provisions of this Act and any regulations and orders issued by the Commissioner. Any such bond may be cancelled by the principal or surety by giving notice to the Commissioner, but such cancellation shall not affect any cause of action accruing thereon prior to cancellation and such cancellation shall result in automatic cancellation of the principal's registration until new bond satisfactory to the Commissioner is filed. Any cause of action on such bond must be brought within two (2) years after accrual thereof. The amounts above prescribed for the bonds required of salesmen, limited salesmen, dealers, limited dealers and for the registration of securities, as referred to in section 3 (h), shall be construed as being to aggregate liability recoverable against such bonds, regardless of the number of claimants, and shall not be construed as individual liability. Surety bonds. Section 4. Said Act is further amended by striking paragraph (6), which was added to subsection (b) of section 4 by the aforesaid 1959 amendatory Act, and by adding a new paragraph to subsection (b) of section 4, to be known as paragraph 7., due to the fact that a paragraph 6. previously existed in the original 1957 Act and the numbering in the 1959 Act was by inadvertence. said paragraph 7. shall read as follows:

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7. No applicant shall be licensed as a salesman or limited salesman under this Act, nor any such license renewed, unless such person has first passed a written examination administered by the Commissioner or someone acting under his direction, or unless such applicant presents proof satisfactory to the Commissioner showing that he has previously passed a similar examination conducted by the National Association of Security Dealers, Inc., the New York Stock Exchange, or any other examination substantially similar to that given by the Commissioner, as he may determine. The Commissioner is further authorized to prescribe by rule and regulation for the time, manner and procedure relative to the holding of such examination, and may impose a fee against such applicant taking said examination to cover the costs thereof, not to exceed $15.00. Examination of salesmen. Section 5. Said Act is hereby amended by striking the last sentence of paragraph (j) of section 6 and inserting in lieu thereof the following: The Commissioner shall require from the issuer an affidavit signed by each proposed purchaser stating that he intends to buy.....(number of shares) shares of.....(type of stock) from.....(name of issuer) at the price of.....per share. The said affiant shall also state that he intends to purchase the said securities for investment purposes, and does not intend to resell the same for twelve (12) months. Affidavits of purchasers. so that as amended, section 6 (j) shall read as follows: (j) The sale of securities, not involving an underwriting, to not in excess of twenty-five (25) persons, not including sales to persons named in any other subsection of this section which are otherwise exempt, providing such securities are purchased for investment and not for distribution. Any securities purchased in such exempt transaction and held by the original purchaser for a period of twelve months after issuance thereof shall prima facie be presumed to have been purchased for investment and not

Page 961

for distribution. The commissioner shall require from the issuer an affidavit assigned by each proposed purchaser stating that he intends to buy.....(number of shares) shares of.....(type of stock) from.....(name of issuer) at the price of.....per share. The said affiant shall also state that he intends to purchase the said securities for investment purposes, and does not intend to resell the same for twelve (12) months. Section 6. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STATE BOARD OF EXAMINERS IN OPTOMETRY. Code 84-1105 and 84-1109 Amended. No. 657 (House Bill No. 743). An Act to amend Code section 84-1105, pertaining to Georgia State Board of Examiners in Optometry, establishing necessary qualifications of applicants for registration to practice optometry after examination, designating the subjects in which said applicant shall be examined, and providing for the payment of fees, as amended, so as to increase the fees provided therein and to require an applicant who is registered and given a certificate of registration under the rules of comity to pay an additional fee if he fails to renew his registration annually; to amend Code section 84-1109, relating to the annual registration of all persons practicing optometry, as amended, so as to increase the annual registration fee and the additional penalty; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 84-1105, establishing necessary qualifications of applicants for registration to practice

Page 962

optometry after examination, designating the subjects in which said applicants shall be examined, and providing for the payment of fees, is hereby amended by striking from subparagraph (1) the figures $10 and inserting in lieu thereof the following: $50. A person practicing optometry who has been registered and given a certificate of registration under the rules of comity, who fails to pay the annual registration fee of $10 annually on or before January 10th in each year, shall forfeit the certificate of registration of such person and such person may be reinstated by paying all past due registration fees and an additional penalty of $50. Registration by comity. and by striking from subparagraph (2) the following sentence: The fees for applicants for this class shall be $15 for examination and $10 for registration. and inserting in lieu thereof the following sentence: The fees for applicants of this class shall be $30 for examination and $20 for registration. so that when so amended, Code section 84-1105 shall read as follows: 84-1105. Applicants for registration; qualifications; examinations; nonresidents; fees. All persons engaged in the practice of optometry or who wish to begin practice of same shall make application through the Joint-Secretary, State Examining Boards, to the State Board of Examiners in Optometry to be registered and for a certificate of registration. Such registration and certificates shall be granted to such applicants upon compliance with the conditions contained in subdivisions (1) and (2) of this section: (1) The applicant shall be registered and given a certificate of registration if he holds a valid license from

Page 963

such other State boards of optometry as may be, under the rules of comity, recognized by the Georgia State Board of Examiners in Optometry. The fee for registering such applicant shall be $50. A person practicing Optometry who has been registered and given a certificate of registration under the rules of comity, who fails to pay the annual registration fee of $10 annually on or before January 10th in each year, shall forfeit the certificate of registration of such person and such person may be reinstated by paying all past due registration fees and an additional penalty of $50. (2) Any other applicant for registration under this Chapter shall be required to pass an examination as hereinafter provided. Such applicant shall be 21 years of age, of good moral character, possessed of a high school education of not less than 16 Carnegie units, or the equivalent thereof to be determined by the Board, have completed not less than two years of pre-optometry college work in a college of arts and sciences approved by the Board, or the equivalent thereof to be determined by the Board, and hold a certificate of graduation from an accredited college or university teaching optometry acceptable to the Board requiring a course of study therein of at least three school years. The said Board shall examine all applicants shown to have the necessary qualifications, as above set forth, in the following subjects: anatomy-gross, microscopic, neural, cranial and ocular; physiology-general, human and physiological optics; psychology-general, applied, abnormal and visual; pathology-general, cranial and ocular; chemistry-general and organic; mathematics-physical and geometrical optics; mechanical optics; pharmacology; bacteriology; optometry-theoretical, practical and clinical; and any other subject or subjects which may be germane to the practice of optometry, including normal and abnormal refractive, accommodative and muscular conditions of the eye as applied by recognized methods of subjective and objective optometry when determining the need for visual correction, visual training and any other physical or physiological means of restoring the visual process to normal. When the applicant shall attain an average standing of 75 per cent. on all

Page 964

subjects submitted he shall be deemed to have passed satisfactorily, and shall be given a certificate of registration, which certificate, and any other certificate provided for in this section, shall operate as a license to practice optometry when it shall have been recorded in the office of the clerk of the superior court of each county in which said person practices. The clerk of said court shall be entitled to a fee of $1 for recording such certificates. The fees for applicants of this class shall be $30 for examination and $20 for registration. Failure to pass a satisfactory examination shall not debar the applicant from participating in subsequent examinations before said Board, upon his complying with the provisions of this Chapter. Section 2. Code section 84-1109, relating to the annual registration of all persons practicing optometry, as amended, is hereby amended by striking therefrom the figures $3.50 and inserting in lieu thereof the figures $10, and by striking therefrom the figure $5 and inserting in lieu thereof the figures $25, so that when so amended, Code section 84-1109 shall read as follows: 84-1109. Annual registration of practitioners; fee. All persons practicing optometry shall register annually with the Joint-Secretary, State Examining Boards, and shall pay an annual registration fee of $10 on or before January 10 in each year. Failure to register and pay this fee shall forfeit the certificate of such delinquent, but he may be reinstated by paying all registration dues and an additional penalty of $25. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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PRACTICE AND PROCEDUREDUTIES OF CLERKS IN COURTS WHERE BILLS OF EXCEPTION ARE FIELD. Code 6-1001 Amended. No. 658 (House Bill No. 744). An Act to amend section 6-1001 of the Code of Georgia of 1933 by providing that the clerk of the court in which a bill of exceptions is filed shall make out a copy of such bill, together with a complete transcript of the record in such case within twenty days from the date of such filing; and for other purposes. Be it enacted by the General Assembly, and it is hereby enacted by the authority of the same that section 6-1001 of the Code of Georgia of 1933 is hereby amended by striking said section in its entirety and substituting in lieu thereof a new section 6-1001 to read as follows: Section 1. Filing of Bill of Exceptions in Clerk's office; transcript of record; certificate; exact duplicate of transcript to be retained by Clerk; furnishing Attorney General with copies in capital felony cases. Within 15 days from the date of the certificate of the judge, the bill of exceptions shall be filed in the office of the clerk of the court where the case was tried; and in 20 days from the date of such filing, it shall be the duty of the clerk to make out a copy of such bill, together with a complete transcript of the record in such cause. Such transcript, together with the original bill of exceptions, the clerk shall transmit, with a certificate that the same is the true original bill of exceptions and a true and complete transcript of the record in such case, either to the term of the Supreme Court or the Court of Appeals, as the case may be then in session, unless its docket for such term has been closed, or to the next term of such court as required in the judge's certificate, directing the same to the clerk of the appellate court. The copy bill of exceptions shall be retained in the office of the clerk of the superior or city court, as the case may be. The clerk of the trial court

Page 966

shall retain and file in his office an exact duplicate of the transcript of record as transmitted to the Supreme Court or the Court of Appeals, certified by him to be such. The pages thereof shall be numbered in exact accordance with the numbering of the pages of the original transcript of record transmitted to the Supreme Court or the Court of Appeals. In all capital felony cases, the clerk shall furnish the Attorney General with exact copies, either carbon or photostatic, of the bill of exceptions and the transcript of record, and the same shall be transmitted to the Attorney General at the same time they are transmitted to the Supreme Court. The clerk shall certify that such papers are exact copies of the original, and the pages thereof shall be numbered in exact accordance with the numbering of the pages of the original. For the copies furnished the Attorney General, the clerk shall be paid at the rate of 20c per 100 words. For the certificate furnished, the clerk shall be paid $1.50. Such payments shall be paid to the clerk by the Attorney General from funds appropriated to the State Law Department, and the clerk shall, at the time of transmitting the copies and the certificate, forward a bill for his costs to the Attorney General. Code 6-1001 amended. Section 2. Be it further enacted that all laws and parts of laws in conflict with this Act be, and the same are repealed. Approved March 17, 1960. MOTOR VEHICLESPURCHASE AND SALE OF SCHOOL BUSES. No. 660 (House Bill No. 755). An Act to provide that it shall be unlawful for any person, firm or corporation to sell or purchase any bus which has been used for the transportation of children in the Georgia State Public School System, unless said bus has been repainted a different color from any shade of orange or yellow resembling the color of

Page 967

school buses now used in Georgia, and unless all markings and signs indicating that said bus is a school bus have been removed; to provide exceptions; to provide for a penalty; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. It shall be unlawful for any person, firm or corporation to sell or purchase any bus which has been used for the transportation of children in the Georgia State Public School System, unless said bus has been repainted a different color from any shade of orange or yellow resembling the color of school buses now used in Georgia, and unless all markings and signs indicating that said bus is a school bus have been removed from said bus. Section 2. The provisions of this Act shall not apply to the following: (a) Any urban transit system operating buses under the jurisdiction of the Georgia Public Service Commission. (b) Any person, firm or corporation selling or purchasing a bus to be used for the transportation of children in the Georgia State Public School System. (c) Any person, firm or corporation selling or purchasing a bus for the purpose of converting the same into scrap or for using said bus for any purpose other than operating the same upon the public streets, roads and highways of the State of Georgia or for the transportation of children in the Georgia State Public School System. Section 3. Any person, firm or corporation violating the provisions of this Act shall be guilty of a misdemeanor, and upon conviction thereof, shall be punished as provided by law.

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Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. PRACTICE AND PROCEDUREACTIONS FOR NEGLIGENT HOMICIDE OF WIFE OR MOTHER. Code 105-1306 Amended. No. 661 (House Bill No. 756). An Act to amend Code section 105-1306, relating to actions for the homicide of a wife or mother, as amended, so as to provide that an illegitimate child who is dependent upon such wife or mother, shall have the right to sue in such action; to provide that any one or more persons eligible to sue, may institute an action and give notice to others who are eligible, advising them of same; to provide for their joinder as plaintiffs; to provide for recovery for those eligible who are not given proper notice; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 105-1306, relating to actions for homicide of a wife or mother, as amended, is hereby amended by inserting after the word children a comma followed by the words and any illegitimate child or children if dependent upon the wife or mother, and by adding to the end of said Code section the following: Provided, however, if any one or more of those comprising the husband and children, both legitimate and dependent illegitimate, shall desire to bring an action seeking to recover for the tortious homicide of such mother, he or they may file such action and cause a copy thereof to be served personally upon the remaining individuals

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comprising such husband and children, or if one or more of such persons is a minor, then upon the guardian of such minor and a guardian ad litem appointed as provided by law, or if any one or more of such persons is a non-resident, then in the manner provided by law for service on a non-resident; and any of such persons may intervene in said case as an additional plaintiff at any time before final judgment. After final judgment, any of such persons not a party plaintiff shall have no further right of action against the alleged tortfeasor; but any of such persons not duly served as provided above shall have a right against the parties plaintiff for his or their proportionate part of the recovery in said action. so that Code section 105-1306, when so amended, shall read as follows: 105-1306. The husband and/or child or children, and any illegitimate child or children if dependent upon the wife, or mother, may recover for the homicide of the wife or mother, and those surviving at the time the action is brought shall sue jointly and not separately, with the right to recover the full value of the life of the decedent, as shown by the evidence, and with the right of survivorship as to said suit, if either shall die pending the action. Provided, however, if any one or more of those comprising the husband and children, both legitimate and dependent illegitimate, shall desire to bring an action seeking to recover for the tortious homicide of such mother, he or they may file such action and cause a copy thereof to be served personally upon the remaining individuals comprising such husband and children, or if one or more of such persons is a minor, then upon the guardian of such minor and a guardian ad litem appointed as provided by law, or if any one or more of such persons is a non-resident, then in the manner provided by law for service on a non-resident; and any of such persons may intervene in said case as an additional plaintiff at any time before final judgment. After final judgment, any of such persons not a party plaintiff shall have no further right of action against the alleged tortfeasor; but any of such persons not duly served as provided above shall have a

Page 970

right against the parties plaintiff for his or their proportionate part of the recovery in said action. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. AGRICULTURETAX STAMPS ON COMMERCIAL FEEDING STUFFS. Code 42-202 and 42-209 Amended. No. 665 (House Bill No. 767). An Act to amend Code section 42-209 relating to the application for and use of tax stamps for commercial feeding stuffs, as amended, particularly by an Act approved March 17, 1959 (Ga. L. 1959, p. 368), so as to provide that all such tax shall be paid upon a reporting system and to provide the procedure connected therewith; to change the maximum bond provided therein; to amend Code section 42-202 relating to the registration of feeding stuffs, as amended, particularly by an Act approved February 11, 1957 (Ga. L. 1957, p. 10), so as to provide a late registration fee, to provide a penalty for feed found in this State that is not registered; to provide an effective date; to delete the requirement of showing the reporting permit number on feed labels; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 42-209 relating to the application for and use of tax stamps for commercial feeding stuffs, as amended, particularly by an Act approved March 17, 1959 (Ga. L. 1959, p. 368), is hereby amended by striking said Section in its entirety and in lieu thereof inserting the following:

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42-209. Each manufacturer, manipulator, importer, jobber, seller, or agent thereof shall make application to the Commissioner of Agriculture for a permit to report the tonnage of concentrated feeding stuffs sold and pay the inspection fees therefor on the basis of such report in lieu of affixing inspection tax stamps. The Commissioner shall grant such permit upon compliance with the provisions of the laws of this State relating to the sale of commercial feeding stuffs. The issuance of such permit shall further be conditioned upon the agreement of the applicant that he shall keep such records as shall be necessary to indicate accurately the tonnage of commercial feeding stuffs sold in this State. Such records must be satisfactory to the Commissioner of Agriculture and the applicant must agree to grant the Commissioner and his duly authorized representative the right to examine such records and verify the statement of tonnage. Stamps. The Commissioner, in his discretion, may allow any such manufacturer, manipulator, importer, jobber, seller, or agent thereof, to make the tonnage report and payment of inspection tax fees either monthly or quarterly. If such report and payment is made on a monthly basis, the same shall be due and payable on or before the 15th day of each month and shall cover the tonnage and kind of concentrated feeding stuffs sold during the past month. If such report and repayment is made on a quarterly basis, the same shall be due and payable on or before the 15th day of the fourth month and shall cover the tonnage and kind of concentrated feeding stuffs sold during the past three months. The report shall not be required to be made under oath, but shall be made on forms furnished by the Commissioner. Any person who shall make a false report shall be guilty of a misdemeanor and, upon conviction thereof, shall be punished as provided by law. If the report and the inspection tax fees are not in the hands of the Commissioner by the 10th day following the final due date, or if the report of tonnage be false, the Commissioner may revoke the permit and may also cancel all registrations of concentrated feeding stuffs which the offending party may have on file, or in lieu thereof may add a 10% penalty to the correct amount

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due, which shall be collectible against the bond required. Each manufacturer, manipulator, importer, jobber, seller, or agent thereof, before being granted a permit to use the reporting system, shall post with the Commissioner a surety bond in an amount to be determined by the Commissioner, but not less than $1,000.00 nor more than $15,000.00, executed by a surety company authorized to do business in Georgia. The Commissioner shall approve all bonds before acceptance. Section 2. Code section 42-202 relating to the registration of feeding stuffs, as amended, particularly by an Act approved February 11, 1957 (Ga. L. 1957, p. 10), is hereby amended by adding at the end thereof the following paragraph: There shall be a late registration fee of $10.00. Such fee shall be applicable to all registrations not made within the time prescribed herein. There shall further be a penalty of $4.00 per ton, or fraction thereof, for all feed found in this State that is not registered as provided herein. The penalty provided herein shall be assessed and collected from the person required by law to register said feed. Late registration fee. Section 3. The provisions of this Act shall become effective January 1, 1961. It is the intent and purpose of this Act to place all feed manufacturers or dealers required to be licensed and register feeds on a reporting basis and eliminate the use of stamps. The labels shall not be required to carry the reporting permit number thereon. Effective date. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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SOIL CONSERVATION DISTRICTS LAW AMENDEDRIGHT OF EMINENT DOMAIN. No. 668 (House Bill No. 772). An Act to amend an Act known as The Soil Conservation Districts Law, approved March 26, 1937 (Ga. L. 1937, p. 377), as amended, so as to provide the right and power of eminent domain to soil conservation districts for the purpose of acquiring easements and land rights to accomplish completion of small watershed projects that have been approved for construction by the State and Federal governments; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as The Soil Conservation Districts Law, approved March 26, 1937 (Ga. L. 1937, p. 377), as amended, is hereby amended by adding to section 11 thereof a subsection to be known as section 11A. to read as follows: Section 11A. When a small watershed project is instituted under the sponsorship of a duly constituted Soil Conservation District alone or under co-sponsorship with any political subdivision of this state, and has been approved by the state and federal governments for construction thereof, and when as a condition precedent to the exercise of the rights herein conferred, 90% or more of the separate property owners of the necessary easements and land rights have been gratuitously given in writing and delivered to such district, for the purpose of the small watershed project, and the governing board of the soil conservation district finds that it cannot acquire by voluntary contract the remaining necessary easements and land rights, the sponsoring soil conservation district upon such showing incorporated in a condemnation proceeding is granted the right of eminent domain for the purpose of acquiring the remaining necessary easements and land rights to enable it to accomplish the completion of the small watershed project. Eminent domain.

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Section 2. Said Act is further amended by adding to section 11 thereof a subsection, to be known as 11B, as follows: Section 11B. Upon compliance with the conditions precedent set forth in section 11A, a soil conservation district may proceed to condemn said land in accordance with the procedure set forth by 36-1104 through 36-1116, as amended, of the Code of Georgia of 1933 and other pertinent eminent domain statutes, to acquire the remaining easements and land rights necessary. Provided that in any such proceeding, the condemnor shall be required to condemn the fee simple title to all land not otherwise acquired, which will be covered by permanent ponding or permanent flooding. Provided further the condemnor shall tender to the condemnee the full sum awarded in said condemnation proceedings, or pay the same into court in the event of the refusal of the condemnee to accept the same, before entering upon, occupying or subjecting to its use, by flooding or otherwise, any part of the lands or rights in land sought to be condemned. Same. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GAME AND FISHHUNTING AND FISHING LICENSES. No. 669 (House Bill No. 773). An Act to amend an Act relating to the Game and Fish Commission and to game and fish, approved March 7, 1955 (Ga. L. 1955, p. 485), as amended, so as to define terms, to change the fees and other requirements for hunting and fishing licenses; to provide for a non-resident big game and small game hunting license and the fees connected therewith and the requirements therefor;

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to provide for a non-resident bow and arrow big game and small game hunting license and the fees connected therewith and the requirements therefor; to provide for a resident bow and arrow hunting license and the fees connected therewith; to provide for a non-resident annual license for use at public shooting preserves; to repeal the one day non-resident fishing license, the ten-day non-resident hunting license, and the season county non-resident hunting license; to specifically repeal section 4 of Georgia Laws 1955, page 158, approved February 8, 1955, relating to hunting and fishing licenses; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act relating to the Game and Fish Commission and to game and fish, approved March 7, 1955, (Ga. L. 1955, p. 485), as amended, is hereby amended by adding a subparagraph (f) at the end of section 2 thereof to read as follows: (f) `Big Game' shall mean turkey, deer, bear and wild hog. Big Game defined. Section 2. Said Act is further amended by striking therefrom section 30 as amended in its entirety and inserting in lieu thereof a new section 30 to read as follows: Section 30. It shall be unlawful for any person not a resident of Georgia to hunt, fish or trap in the jurisdiction of this State without a proper non-resident license, except as otherwise provided by law and interstate agreements. It shall be unlawful for any non-resident to hunt, fish or trap without carrying the required license on his person. Any person violating any provisions of this section shall be guilty of a misdemeanor and punished as provided by law. Non-resident license fees. Non-resident license fees shall be as follows: Trapping. (a) Yearly in location where permitted $25.00

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Hunting. (a) Yearly for small game $10.25 (b) Yearly for big game (small game license required as a prerequisite to purchase) $10.25 (c) Yearly for public hunting preserves $5.25 (No other license is required on public hunting preserves.) (For private hunting preserves, licenses as provided in (a) or (a) and (b) above, or (d) or (d) and (e) below are required.) (d) Yearly for small game with bow and arrow $10.25 (e) Yearly for big game with bow and arrow (small game bow and arrow license required as a prerequisite to purchase) $10.25 Fishing. Fresh-water fish only. (a) Yearly throughout the State $ 6.25 Such licenses issued by the Commission shall bear the date of April first of the year in which issued and shall expire on March thirty-first of the following year. Section 3. Said Act is further amended by striking from section 31 thereof the last paragraph which reads: Resident licenses shall be issued as provided by House Bill No. 219, Act No. 62, relating to resident licenses, previously enacted by this General Assembly and approved by the Governor on February 8, 1955. Sections 1 through 4 of said Act are not repealed hereby but are expressly continued of force and effect; provided, however, that so much of Par. (a) of Sec. 4 of House Bill No. 219 as reads as follows is hereby superseded and repealed: `... and landowners and their families and their duly authorized tenants, shall not be required to

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procure any such licenses for hunting or fishing on such landowner's lands and private ponds.', said provision being covered by separate sections of this Act herein., and inserting in lieu thereof the following: Resident license fees shall be as follows: Hunting. (a) Yearly $ 2.25 Resident fees. (b) Yearly for hunting with bow and arrow $ 2.25 Fishing. (a) Yearly for fishing $ 1.25 Combination hunting and fishing license $ 3.25 Persons under 16 years of age shall not be required to obtain the hunting and fishing licenses referred to herein. Section 4. Section 4 of Georgia Laws 1955, page 158, relating to resident hunting and fishing licenses is hereby repealed in its entirety. Sections 1 through 3 of said Act are not repealed hereby, but are expressly continued in full force and effect. Prior Acts. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. CREDIT UNIONS INSPECTION FEES TO BE PAID TO SUPERINTENDENT OF BANKS. No. 670 (House Bill No. 775). An Act to amend an Act regulating Credit Unions, approved August 27, 1925 (Ga. L. 1925, p. 165), as amended by an Act approved March 26, 1935 (Ga. L.

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1935, p. 114), as amended by an Act approved March 20, 1943 (Ga. L. 1943, p. 279), and as amended by an Act aproved March 9, 1956 (Ga. L. 1956, p. 742), so as to provide a schedule of fees payable annually by Credit Unions to the Superintendent of Banks for supervision required and method of determining and remitting such fees; to provide for increase in daily rate for examiners; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act regulating credit unions approved August 27, 1925 (Ga. L. 1925, p. 165), as amended by an Act approved March 26, 1935 (Ga. L. 1935, p. 114), as amended by an Act approved March 20, 1943 (Ga. L. 1943, p. 279), and as amended by an Act approved March 9, 1956 (Ga. L. 1956, p. 742), is hereby amended by striking in its entirety section 4 of the Act approved March 9, 1956 (Ga. L. 1956, p. 742), which is also identified as section 25-122 of the Code of Georgia, as amended, and inserting in lieu thereof, the following, as a new section 4: Section 4. (Code section 25-122). Reports to Superintendent of Banks; fees for supervision; examinations; revocation of certificate; illegal practices; insolvency. Credit unions shall be subject to the supervision of the Superintendent of Banks and shall make a report of conditions to him at least semiannually, upon call and on blank forms to be supplied by him. Returns shall be verified under oath of the president and treasurer and additional reports may be required by the said superintendent. The forms supplied to each credit union for reporting its financial condition shall set forth the following schedule of fees which shall be payable annually to the Superintendent of Banks for the supervision required herein: Assets of Credit Union Supervision Fee -0- 5,000 5.00 5,001 10,000 10.00

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10,001 25,000 15.00 25,001 50,000 20.00 50,001 100,000 25.00 100,001 500,000 30.00 500,001 1,000,000 35.00 1,000,001 over 40.00 Unless otherwise authorized by the Superintendent of Banks, each credit union shall compute its supervision fee, payable under the foregoing schedule, and remit to said Superintendent when making the report of its financial condition at the end of its fiscal year. Any credit union which neglects to make the above reports and remit its supervision fee shall forfeit to the Treasurer of the State $10 for each day of such neglect, unless excused by the Superintendent of Banks. Each credit union shall be examined at least annually by the said Superintendent, or his duly authorized deputy. Said Superintendent may order other examinations and shall at all times be given free access to all of the books, papers, securities and other sources of information in respect to said credit union. For this purpose he shall have the power to subpoena and examine personally, or through one of his deputies, witnesses on oath and documents pertaining to the business of the credit union. Subject to the minimum fee of $20 each credit union shall pay for each annual examination and for any other examination ordered by the Superintendent at the rate of $40 per examiner day or 50 cents per $100 of assets which ever is the lesser; Provided that no fee will be charged a newly organized credit union for the first examination made within a year of the date its charter is approved. If a credit union neglects to make the required reports or to pay the charges herein required for 15 days, the Superintendent of Banks shall notify the credit union of his intention to revoke the certificate of approval. If said neglect or failure continues for another 15 days the Superintendent may revoke said certificate of approval

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and he, or one of his deputies, shall take possession of the business of such credit union and retain posession until such time as he may permit it to resume business or liquidate its affairs, pursuant to the banking laws of the State. If it appears to the Superintendent of Banks that a credit union has violated any of the provisions of this Chapter, he may, by an order made over his hand and official seal, after hearing or an opportunity for a hearing has been given said credit union, direct it to discontinue the illegal methods and practices. If a credit union is insolvent or has within a reasonable time, failed to comply with any order mailed to the last address filed by said credit union with said Superintendent, he shall immediately, or within a reasonable time thereafter, take possession of the business and property of the credit union and retain possession until such time as he may permit it to resume business or its affairs are finally liquidated. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. USED CAR DEALERS' REGISTRATION ACT AMENDED. No. 673 (House Bill No. 792). An Act to amend an Act known as the Used Car Dealers' Registration Act, approved February 20, 1958, (Ga. L. 1958, p. 55), so as to provide that the State Board of Registration of Used Car Dealers shall not issue or renew any license unless the applicant therefor shall give bond or filed with the board a prescribed insurance policy or shall qualify as a self-insurer; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Used Car Dealers' Registration Act, approved February 20, 1958, (Ga. L. 1958, p. 55), is hereby amended by striking subsection (b) of section 8 in its entirety and inserting in lieu thereof a new subsection (b) of section 8 to read as follows: Section 8 (b). The Board shall not issue or renew any license unless the applicant or holder thereof shall show that he maintains an established place of business as defined by this Act, and that he has given bond in an amount of not less than $25,000.00 per person and $50,000.00 per accident for public liability for personal injuries, and $5,000 for property damage liability, all for the protection of the public against injuries proximately caused by the negligence of the applicant or dealer, its servants, employees, or agents. The Board shall approve such bonds and shall prescribe the provisions and limitations thereof not in violation with this section, and such bonds shall be for the benefit of and subject to suit by action thereon by any person who shall sustain actionable injury or loss protected thereby. Liability insurance of Dealers. The Board may, in its discretion, allow the applicant or holder of a license to file in lieu of such bond a policy of insurance by some insurance company authorized to do business in the State of Georgia, which policy must substantially conform to all of the provisions relating to the provisions of this Act and to the provisions of the bond required by the Board. The Board shall have power to permit self-insurance in lieu of a bond or policy of insurance, whenever in its opinion, the financial ability of the dealer warrants, and the Board is satisfied that such person is possessed and will continue to be possessed of ability to pay judgments obtained against the applicant or dealer, the Board may issue to the applicant or dealer a certificate of self-insurance. Upon not less than five (5) days notice and a hearing

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pursuant to such notice, the Board may, upon reasonable grounds cancel such certificate of self-insurance. Failure to pay any judgment within thirty (30) days after such judgment shall have become final, shall constitute a reasonable ground for the cancellation of a certificate of self-insurance. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GENERAL APPROPRIATIONS ACT AMENDEDCONTINGENT APPROPRIATIONS. No. 676 (House Bill No. 799). An Act to amend the General Appropriations Act approved March 14, 1956 (Ga. L. 1956, pp. 753-784), as amended by an Act approved February 19, 1957 (Ga. L. 1957, pp. 68-69), and as amended by an Act approved March 13, 1957 (Ga. L. 1957, pp. 498-500), so as to provide additional authorization for funds to be made available to certain agencies of the State Government in the event there is sufficient income available to finance same; to provide that the additional funds that can be made available under this section shall be available on and after July 1, 1960; to provide that the State Fiscal Officers upon receiving notice from the Budget Bureau are authorized and directed to set up the funds made available as appropriations due and payable to the respective agencies; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 48 of the General Appropriations Act approved March 14, 1956 (Ga. L. 1956, pp. 753-784), as amended by an Act approved February 19, 1957, (Ga. L. 1957, pp. 68-69), and as amended by an Act approved

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March 13, 1957 (Ga. L. 1957, pp. 498-500), is hereby amended by adding at the end of section 48, immediately preceding section 49, the following: The following contingent appropriations shall be made available in whole or in part in the same manner the other contingent appropriations are made available and the State fiscal officers upon receiving notice from the Budget Bureau are authorized and directed to set up the funds made available as an addition to and as a part of appropriations due and payable to the respective agencies. The authorization contained in this amendment shall be of force and effect on and after July 1, 1960. 1. Education, State Board of For educational purposes, including $200.00 per teacher for increased salaries; $50.00 per teacher for school maintenance; $5,500,000.00 for Capital Outlay for School Building Hardship Cases as authorized by Minimum Foundation Act $19,016,323.88 2. University System, State Board of Regents For educational purposes, including $1,000,000.00 for Capital Outlay purposes $ 3,000,000.00 For operating costs Eugene Talmadge Memorial Hospital $ 500,000.00 For conducting research by the Colege of Agriculture on the marketing of farm products, and for no other purpose $ 50,000.00 3. Teacher Retirement System For State Participation $ 750,000.00

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4. Public Health, State Department of For operating cost of Department $ 485,000.00 For Rapid Treatment Mental Health $ 200,000.00 For operating cost Milledgeville State Hospital $ 1,300,000.00 For operating cost Mental Defectives, School for $ 396,000.00 For Capital Outlay costs, Milledgeville State Hospital, School for Mental Defectives and Rapid Treatment Center $ 1,010,000.00 5. Public Welfare, State Department of For operating costs of Institutions under its control $ 200,000.00 6. Corrections, State Board of For Capital Outlay costs, Prison at Reidsville $ 500,000.00 For Capital Outlay costs of new Prison to be established $ 400,000.00 7. Highways, State Board of For maintenance costs $ 5,000,000.00 For construction costs $ 5,000,000.00 8. Ports, State Committee For payment of contract with Ports Authority for additions to Ports property $ 4,750,000.00 9. Capitol Square Improvement Committee For payment of Capital Outlay costs of Archives Building $ 300,000.00

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10. Public Safety, State Department of For operating costs for 50 additional patrolmen $ 500,000.00 11. Conservation For Capital Outlay to prevent pollution of Inland Waterway by sewerage from Jekyll Island $ 350,000.00 12. Agriculture, State Department of For defraying cost of meat inspection $ 300,000.00 For development, operation, improvement and maintenance of State Farmers Markets $ 250,000.00 Total this amendment $44,257,323.88 Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. USE OF STATE OR CONFEDERATE FLAG OR EMBLEM IN ADVERTISING PROHIBITED. No. 678 (House Bill No. 802). An Act to prohibit the use of the flag or State emblem of the State of Georgia, and of the flag or emblem of the Confederate States of America for advertising purposes; to prohibit the abuse or defilement of such flags or emblems; to prescribe the punishment for violations of this Act; to provide for an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That from and after the effective date of this Act, it shall be unlawful for any person, firm or corporation

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to copy, print, publish or otherwise use the flag or State emblem of the State of Georgia, or the flag or emblem of the Confederate States of America, or any flag or emblem used by the Confederate States of America or the Military or Naval forces of the Confederate States of America at any time within the years 1860 to 1865, both inclusive, for the purpose of advertising, selling or promoting the sale of any article of merchandise whatever within this State. Use in advertising prohibited. Section 2. It shall also be unlawful for any person, firm or corporation to mutilate, deface, defile or contemptuously abuse the flag or emblem of the State of Georgia or the flag or emblem of the Confederate States of America by any act whatever. Abuse prohibited. Section 3. Nothing in this Chapter shall be construed to prevent the use of any flag, standard, color, shield, ensign or other insignia of the State of Georgia or of the Confederate States of America for decorative or patriotic purposes, either inside or outside of any residence, store, place of business, public building, or school building. Patriotic use. Section 4. Any person, firm or corporation who shall violate any provision of this Act shall be guilty of a misdemeanor and on conviction shall be punished as provided by Sec. 27-2506 of the Code of Georgia of 1933. Punishment. Section 5. The provisions of this Act shall become effective January 1, 1961. Effective date. Section 6. All laws or parts of laws in conflict with this Act shall be repealed. Approved March 17, 1960.

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SALARY, QUALIFICATIONS, ETC. OF DIRECTOR OF THE DEPARTMENT OF PUBLIC HEALTH. Code 88-105 Amended. No. 679 (House Bill No. 803). An Act to amend Code section 88-105, relating to the Director of the Department of Public Health, as amended, particularly by an Act approved March 27, 1947 (Ga. L. 1947, p. 1170) and an Act approved March 13, 1957 (Ga. L. 1957, p. 615), so as to provide that the State Board of Health shall fix the compensation of the Director; to repeal an Act relating to the compensation of the Director of the Department of Public Health, approved March 2, 1943 (Ga. L. 1943, p. 196); to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 88-105, relating to the Director of the Department of Public Health, as amended, particularly by an Act approved March 27, 1947 (Ga. L. 1947, p. 1170) and an Act approved March 13, 1957 (Ga. L. 1957, p. 615), is hereby amended by striking said section in its entirety and inserting in lieu thereof a new section 88-105, to read as follows: 88-105. The State Board of Health shall elect a Director of the Department of Public Health, who shall devote his entire time to the work of the Department; hold office for a term of six years, unless removed by the board for incompetency or acts of moral turpitude after an open hearing before the board; be provided with suitable offices at the State Capitol; receive such salary as may be fixed by said board and approved by the Budget Bureau, not to exceed ($20,000.00) twenty thousand dollars annually. Said director shall give bond for the faithful performance of his duties and for the faithful accounting for all moneys coming into his hands as Director of the Department of Public Health, in such amount and under such terms and conditions as may be

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prescribed by said board of health and approved by the Governor. Provided, that such director shall be a graduate physician authorized to practice medicine and surgery in this State, and shall have had not less than five years' experience in the practice of said profession. Provided, further, that the present director shall serve until the expiration of the present term of office and shall be eligible for election or appointment for additional terms of office thereafter. Section 2. An Act entitled An Act to fix the compensation of the Director of the Department of Public Health; and for other purposes., approved March 2, 1943 (Ga. L. 1943, p. 196), is hereby repealed in its entirety. 1943 Act repealed. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. CRIMINAL PROCEDUREINSANITY AFTER CONVICTION OF CAPITAL OFFENSE. Code 27-2602 Amended. No. 681 (House Bill No. 807). An Act to amend Code section 27-2602 pertaining to disposition of insane convicts, so as to provide that when the Governor shall provide for the examination of such a person, he shall be examined according to legal definition of insanity; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 27-2602, pertaining to disposition of insane convicts, is amended by striking said section in its entirety and inserting in lieu thereof a new section, which shall read as follows:

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27-2602. Upon satisfactory evidence being offered to the Governor, showing reasonable grounds to believe that a person convicted of a capital offense has become insane subsequent to his conviction, the Governor may, in his discretion, have said person examined by such expert physicians as the Governor may choose, the cost of said examination to be paid by the Governor out of the contingent fund. It shall be the responsibility of the Governor to cause said physicians to receive written instructions which plainly set forth the legal definitions of insanity as recognized by the laws of this State, and said physician shall, after making the necessary examination of the prisoner, report in writing to the Governor whether or not reasonable grounds exist to raise an issue that the prisoner is insane by the standards previously specified to them by the Governor. The Governor may, if he shall determine that the person convicted has become insane, have the power of committing him to the Milledgeville State Hospital until his sanity shall have been restored or determined by laws now in force. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GEORGIA RETAILERS' AND CONSUMERS' SALES AND USE TAX ACT AMENDEDCERTAIN DEALERS REQUIRED TO REGISTER. No. 690 (House Bill No. 818). An Act to amend section 24 of the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, p. 360), relating to certificate of registration under said Act, so as to require registration thereunder of certain dealers as defined in said Act; to repeal conflicting laws; and for other purposes.

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Be it enacted by the General Assembly of Georgia: Section 1. That section 24 of the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, p. 360), relating to certificates of registration under said Act, be amended by renumbering said section as section 24(a) and adding a section 24(b) to read as follows: (b) Dealers, as defined in this Act, who import, or cause to be imported, tangible personal property from other states or foreign countries for use or consumption, or storage for use or consumption, in this State, if not already registered as a dealer under section 24(a) hereof, shall when, and as, required by rules and regulations of the State Revenue Commissioner, obtain from the Commissioner a certificate of registration and shall make returns and pay the applicable use tax on such tangible personal property. Dealers required to register. Section 2. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960. REVENUEAUTHORITY OF COMMISSIONER TO WAIVE PENALTY AND INTEREST. No. 691 (House Bill No. 820). An Act authorizing the State Revenue Commissioner to waive the collection of penalties and interest due under any revenue laws of this State in certain instances; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The State Revenue Commissioner is authorized to waive the collection of any amount due the State as a penalty under any revenue law of this State, in whole or in part, whenever, or to the extent that, he may determine that the default giving rise to such penalty was due

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to reasonable cause and not due to gross or willful neglect or disregard of the law, regulations or instructions pertaining thereto. Penalty. Section 2. The State Revenue Commissioner is authorized to waive the collection of any interest due the State on any unpaid taxes, in whole or in part, whenever, or to the extent that, he may determine that the delay in payment of such taxes was attributable to the action or inaction of the Revenue Department. Interest. Section 3. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960. FIREMEN'S PENSION SYSTEM ACT AMENDEDAMOUNT OF BENEFITS. No. 695 (House Bill No. 825). An Act to amend an Act providing pensions to the firemen of the State of Georgia, approved March 3, 1955 (Ga. L. 1955, p. 339), as amended by an Act approved February 28, 1956 (Ga. L. 1956, p. 368), an Act approved March 8, 1957 (Ga. L. 1957, p. 323), so as to change the provisions relative to monthly benefits; to clarify provisions relative to payment of benefits; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An act providing pensions to the firemen of the State of Georgia, approved March 3, 1955 (Ga. L. 1955, p. 339); as amended by an act approved February 28, 1956 (Ga. L. 1956, p. 368), an act approved March 8, 1957 (Ga. L. 1957, p. 323), is hereby amended by striking the words and figure sixty ($60.00) dollars from the first and second sentences of section 7, and inserting in lieu thereof the words and figure seventy-two

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($72.00) dollars, so that when so amended, section 7 shall read as follows: Section 7. Any eligible fireman or volunteer fireman who has served twenty-five (25) years as a fireman or volunteer fireman in the State of Georgia, and is at least sixty (60) years of age, upon application to the board and approval thereof by the board, shall be retired upon monthly pension of seventy-two ($72.00) dollars. Provided that any fireman retiring after twenty-five (25) years of service, but before reaching the age of sixty (60) years, may cease his monthly five dollar ($5.00) payment to the fund, and upon reaching the age of sixty (60) years, and being otherwise eligible, he shall be paid a pension of seventy-two ($72.00) dollars per month. Provided further that no person shall receive a pension hereunder prior to April 1, 1956, but those persons eligible and retiring prior to said date and who have paid into the fund five dollars ($5.00) per month for not less than twelve (12) consecutive months shall be retired upon a pension of fifty ($50.00) dollars per month. Provided further that no person shall be eligible for a pension hereunder until his official duties shall have terminated. Provided further that no person shall be eligible for a pension hereunder if retired from any fire department prior to the approval of this Act. Benefits. Section 2. Said act is further amended by adding thereto a new section to be known as section 7-B, to read as follows: Section 7-B. Any fireman retiring after twenty-five (25) years of service, but prior to reaching the age of sixty (60) years and thereupon ceasing to make his five ($5.00) dollar monthly payment to the fund as provided in section 7 of this Act, and being otherwise eligible, shall be entitled to receive, as monthly pension upon his attaining the age of sixty (60) years, the amount which is specified by this act as of the date such fireman attains his sixtieth birthday. Same. Section 3. Said act is further amended by adding a new section to be known as section 7-C to read as follows:

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Section 7-C. Any fireman who retires or has been retired from the Fund under the terms of section 7 of this act or under the terms of section 7-A of this act, shall be entitled to receive a monthly pension in the amount which is or was provided by this act on the date his application for retirement benefits was approved by the board of trustees of the fund. Same. Section 4. Said act is further amended by striking from subparagraph (a) and subparagraph (b) of section 7-A the words and figure sixty ($60.00) dollars and inserting in lieu thereof the words and figure seventy-two ($72.00) dollars, so that when so amended, section 7-A shall read as follows: Section 7-A.(a) Any `fireman' or `volunteer fireman' as defined in this Act, who is a member of the fund and who becomes totally and permanently disabled as a result of bodily injury while actively engaged in the performance of such `fireman' or `volunteer fireman's' official duties, shall be entitled to receive disability benefits in the amount of seventy-two ($72.00) dollars per month. Provided, however, no such person shall be eligible for such benefits until at least six (6) months from the date such person sustained the injury causing such disability. Disability benefits. (b) Any `fireman' as defined by this Act, who is a member of the fund and who shall become totally and permanently disabled so as to be incapable of serving as a `fireman' as defined in this Act as a result of heart disease or respiratory disease, shall be entitled to receive benefits in the amount of seventy-two ($72.00) dollars per month. Provided, however, no such person shall be entitled to any benefits as a result of disability from heart disease or respiratory disease, unless such person shall have served at least five (5) consecutive years as a `fireman' immediately preceding the date of such disability. (c) The board is hereby granted the authority to require applications for the benefits provided in this section in such form and manner as deemed advisable. The board

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is also granted the right and power to approve or disapprove all applications for such disability benefits and to promulgate such rules and regulations relative thereto as deemed necessary. The board shall have the right to require any applicant to take a physical examination given by a physician of the board's own choice. The board is also granted the power to require any person receiving disability benefits under this section to take a physical examination at such time as the board designates, but not more than once in any one calendar year. In the event such examination shows, in the judgment of the board, that such person is no longer entitled to receive benefits under this section, no further benefits hereunder shall be paid to such person. All such examinations shall be paid from the funds available to the board. Section 5. The provisions of this Act increasing the monthly pension payable to firemen shall not become effective until and unless a qualified actuary employed by the board shall have certified to the board that the increase is actuarially sound, and the board shall have so certified to the Governor. Effective date. Section 6. All laws and parts of laws in conflict with the provisions of this Act are hereby repealed. Approved March 17, 1960. CRIMESMISDEMEANOR TO FORGE, OR TO FRAUDULENTLY AID IN OBTAINING DRIVERS LICENSE. No. 696 (House Bill No. 827). An Act to amend an Act creating the Department of Public Safety approved March 19, 1937 (Ga. L. 1937, p. 322), as amended so as to provide for penalty for any person to represent himself as any other person, or to take all or part of a driver's examination, in obtaining or attempting to obtain a license for some other person

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under the provisions of this Act; to provide penalty for the making, forging, altering, copying, tracing or counterfeiting of any license issued by the Department of Public Safety; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating the Department of Public Safety approved March 19, 1937 (Ga. L. 1937, p. 322), is hereby amended by adding a new sub-paragraph to Article IV, section 15, to be known as sub-paragraph (9) reading as follows: (9) It shall be a misdemeanor for any person to represent himself as any other person in order to obtain or attempt to obtain a license for any other person or to take all or part of a driver's examination in order to obtain or attempt to obtain a license for any other person or for any person or persons to make, forge, alter, copy, trace or counterfeit, or cause or procure or aid or assist or in any manner be connected with the making, forging, altering, copying, tracing or counterfeiting of any license issued by the Department of Public Safety. Section 2. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. DEPARTMENT OF PUBLIC SAFETYUSE OF RADIO WAVE LENGTH ADOPTED BY DEPARTMENT. No. 697 (House Bill No. 840). An Act to amend an Act creating a Department of Public Safety, approved March 19, 1937 (Ga. L. 1937, p. 332), as amended, so as to provide that the director of said department may give written authority for other law enforcement agencies to use the same wave length of

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the radio system adopted by said department; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating a Department of Public Safety, approved March 19, 1937 (Ga. L. 1937, p. 332), as amended, is hereby amended by inserting in section 1 of Article III of said Act immediately following the words the same wave length of the radio system adopted by the Department of Public Safety the words without the prior written authorization of the Director, so that said section, as amended hereby, shall read as follows: Section 1. The Director of the Department of Public Safety, with the approval of the Department of Public Safety, is authorized to establish a Bureau of Investigation, Detection, Prevention and Investigation within the appropriation made herein, which Bureau may be maintained in cooperation with that of any like department now maintained by any municipality of this State. It shall be the duty of such division to take, receive and forward fingerprints, photographs, descriptions and measurements of persons, in cooperation with the bureaus and departments of other States and of the United States; to exchange information relating to crime and criminals; to keep permanent files and records of such information procured or received; to provide for the scientific investigation of articles used in committing crimes, or articles, fingerprints or bloodstains found at the scenes of crimes; to provide for the testing and identification of weapons and projectiles fired therefrom. In the event such Bureau is maintained in cooperation with a municipality or any other division of this State, the services and records of the same shall at all times be accessible and available to the Department of Public Safety and any division thereof. The members of the Bureau of Investigation shall have and are vested with, in addition to the duties herein provided, the same authority, powers and duties as are possessed by the members of the Uniform Division under the provisions of this Act.

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It shall be the further duty of the Director of Public Safety, with the approval of the Department of Public Safety, with the appropriation allowed by law, to provide for the receipt and transmission of crime news; of information as to lost or stolen property, or lost or kidnapped persons, by radio, teletype or other modern system, and such information shall be relayed to the Uniform Division of the Department of Public Safety known as the `Georgia State Patrol'. It shall be a misdemeanor and punishable as such by the courts of this State as provided by section 27-2506, Code of Georgia of 1933, for any person, persons, firm or corporation to use the same wave length of the radio system adopted by the Department of Public Safety without the prior written authorization of the Director or to do any act interfering with the proper receipt or transmission of information relating to the Department of Public Safety or any division thereof. The Director of the Department of Public Safety may provide one or more lecturers, who may be a member of the Uniform Division of the Department of Public Safety, and may furnish such person or persons with the proper literature and equipment, and may cause lectures and demonstrations relating to public safety to be given in the public schools of this State in cooperation with the school authorities. Section 2. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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REVENUEMOTOR VEHICLE LICENSES. Code 92-2901, 92-2902 Amended. Code 92-2918 - 92-2921 Enacted. No. 700 (House Bill No. 853). An Act to amend an Act relating to motor vehicles licenses approved December 24, 1937 (Ga. L. 1937-38 Ex. Sess., p. 259) as previously amended by Ga. L. 1939, p. 295, Ga. L. 1945, p. 1714, Ga. L. 1946, p. 77, Ga. L. 1939, p. 347, Ga. L. 1943, p. 341, Ga. L. 1953, Nov.-Dec. Sess., p. 371, Ga. L. 1955, Ex. Sess., p. 38, Ga. L. 1957, p. 376, Ga. L. 1955, p. 303, Ga. L. 1955, p. 447, all of which has been codified as Code Chapter 92-29, so as to change the basis on which trucks, tractors, trailers and semitrailers, whether for hire or private, are taxed annually, to provide new definitions in connection with such taxation, to provide for pro-ration, up-rating and down-rating of licenses, and to provide penalties for violations of this Act, to provide for refunds and for other purposes Be it enacted by the General Assembly of Georgia, and it is hereby enacted by the authority thereof: Section 1. The Code of Georgia is hereby amended by striking section 92-2901 and in lieu thereof inserting the following: 92-2901. Definitions. For the purpose of this law ( 92-2901 to 92-2921, 92-9911) the following definition shall apply: A. Motor Bus. Any passenger-carrying motor vehicle operated for hire having a passenger seating capacity of eight or more persons exclusive of the driver. B. Truck. A motor vehicle for the transportation of property, which shall include any self-propelled vehicle designed for use as a traveling power plant or for drawing

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other vehicles but having no provision for carrying loads independently, except what are commonly known as farm tractors. C. Trailer. Any vehicle without motive power, designed for carrying persons or property, either partially or wholly on its own structure, and for being drawn by a self-propelled vehicle, and operated over the public roads of this State. D. Owner declared gross vehicle weight. The empty weight of the truck or truck-trailer fully equipped and fueled `ready for the road' and in the case of combinations the term `ready for the road' weight of the heaviest trailer or semi-trailer with which the power unit will be placed in combination, plus the heaviest load which will be carried within the licensed period. E. Farm truck or farm trailer. A truck or trailer as previously defined, for which the owner submits a sworn statement as a part of the registration application to the effect that the vehicle is used primarily on and is domiciled upon a farm, primarily for the carriage of unprocessed products of the farm. F. Private truck or private trailer. A truck or trailer, as previously defined, other than a farm truck or a farm trailer, as previously defined and other than a truck or trailer operated for hire by a common or contract carrier. Section 2. The Code of Georgia is hereby amended by striking Section 92-2902 and in lieu thereof inserting the following: 92-2902. Annual fees for operating motor vehicles. The annual fees for the licensing of the operation of vehicles shall be as follows for each vehicle registered: (1) Passenger cars. For each passenger motor vehicle not operated as a common or contract carrier for hire weighing not more than 3,000 lbs., and of a model not

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later than 1954, $3; 3,001 to 3,500 lbs., $7.50; 3,501 to 4,000 lbs., $10; 4,001 and over, $15. (a) For all other passenger motor vehicles not operated as a common or contract carrier for hire weighing not more than 3,000 lbs., $5. (2) Motorcycles. For each motorcycle, the sum of $5. (3) Private trucks. For each private truck, in accordance with the owner declared gross vehicle weight, as follows: (a) Less than 6,000 lbs. $ 5.00 (b) 6,001 to 10,000 lbs. 10.00 (c) 10,001 to 14,000 lbs. 15.00 (d) 14,001 to 18,000 lbs. 20.00 (e) 18,001 to 24,000 lbs. 30.00 (f) 24,001 to 30,000 lbs. 40.00 (g) 30,001 to 36,000 lbs. 60.00 (h) 36,001 to 44,000 lbs. 100.00 (i) 44,001 to 52,000 lbs. 175.00 (j) 52,001 to maximum permitted 275.00 except that a straight truck and not a truck tractor shall not be classified higher than (g) or $60.00. Provided, however, that straight trucks hauling forest products, fertilizer, and agricultural products shall not be classified higher than (e) or $25.00, and provided further that truck tractors hauling forest products or fertilizer shall not be classified higher than (i) or $175.00; and provided further that a truck-tractor pulling a pole trailer hauling logs from the woods to the sawmill shall not be higher than (e) or $30.00. (4) Farm trucks. For each farm truck, in accordance with the owner declared gross vehicle weight as follows: (a) Less than 6,000 lbs. $ 5.00 (b) 6,001 to 10,000 lbs. 10.00 (c) 10,001 to maximum permitted 15.00

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(5) Private trailers. For each private trailer, except farm trailers, house trailers and auto trailers, the annual fee shall be $10. (6) Farm trailers. For each farm trailer, the maximum fee shall be $5. Where the trailer is used exclusively to haul agricultural products from one place on the farm to another or from one farm or field to another, and weighing less than 1500 pounds factory weight, there shall be no fee. (7) House trailers and auto trailers other than truck trailers. For house trailers, and auto trailers, not used as, or in connection with, a motor vehicle, truck, or tractor used as a common or contract carrier for hire, the following: (a) Weighing less than 1000 lbs. $ 5.00 (b) Weighing more than 1000 lbs. 10.00 (8) Trailers used as common or contract carriers. For trailers used as, or in connection with, a motor vehicle, truck or tractor used as a common or contract carrier for hire, the annual license fee shall be $10. (9) Busses. For each motor bus (used as a common or contract carrier for hire) the following: (a) Weighing 10,000 pounds or less, $1.50 per one hundred pounds factory weight, or fractional part thereof. (b) Weighing more than 10,000 pounds and not over 15,000 pounds factory weight, $2.20 for each one hundred pounds, or fractional part thereof. (c) Weighing more than 15,000 pounds and not more than 20,000 pounds, factory weight, $2.75 for each one hundred pounds, or fractional part thereof. (d) Weighing more than 20,000 pounds, factory weight, $3 for each one hundred pounds or fractional

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part thereof; Provided, however, that no motor bus license fee shall exceed $700. (10). Trucks used as common or contract carriers. For each truck or nonpassenger-carrying motor vehicle operated as a common or contract carrier for hire, in accordance with owner declared gross vehicle weight, as follows: (a) Less than 6,000 lbs. $ 5.00 (b) 6,001 to 10,000 lbs. 10.00 (c) 10,001 to 14,000 lbs. 15.00 (d) 14,001 to 18,000 lbs. 20.00 (e) 18,001 to 24,000 lbs. 30.00 (f) 24,001 to 30,000 lbs. 80.00 (g) 30,001 to 36,000 lbs. 120.00 (h) 36,001 to 44,000 lbs. 200.00 (i) 44,001 to 52,000 lbs. 350.00 (j) 52,001 to maximum permitted 550.00 except that a straight truck and not a truck-tractor shall not be classified higher than (g) or $120.00. (11). Leased trucks. For each truck leased to a common or contract carrier, without regard to the duration of the lease, in accordance with the owner declared gross vehicle weight, the same license as required under subsection (10). (12). Hearses or ambulances. For each motordrawn hearse ambulance, the sum of $5 for the first 2,500 pounds, and $1.10 for each additional 500 pounds of factory weight or fractional part thereof. (13). School buses. For each school bus operated exclusively in the transportation of pupils and teachers to and from schools or school activities, or the transportation of the owner and the members of his immediate family, the sum of $5. A bus owned by a church or owned in common with other churches and used and operated exclusively for the church in transporting members and patrons to and from church or church activities, where no

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part of the proceeds of the operation of such bus shall inure to the benefit of any private person, shall be licensed in the same manner as school busses, that is for the sum of $5, provided such bus shall comply with the same laws applicable to school busses. (14). State or municipal motor vehicles. For each motor vehicle owned by the State, any municipality, or other political subdivision of the State, used exclusively for governmental functions, the sum of $1. (15). U. S. military reservation carriers. For each motor vehicle used by carriers and operated over a route of not more than 20 miles in length, and solely between a point in this State and a point within a United States military reservation in this State, under special franchise granted by the United States War Department, the sum of $5. (16). Heavy earth moving machinery, not including trucks, used primarily off the highway, shall not be required to be licensed under this act. Earth moving machinery. Section 3. A new section to be known as section 92-2918 of the Code of Georgia shall be added as follows: 92-2918. Up-rating of licenses. A vehicle owner may voluntarily increase the allowable gross weight for which his vehicle is licensed by purchasing the appropriate weight tag for his truck or tractor and paying the difference in fees between the license which is surrendered and the fee at the higher rate, as calculated by applying Code section 92-2902. Section 4. A new section to be known as section 92-2919 of the Code of Georgia shall be added as follows: 92-2919. Down-rating of licenses. The allowable maximum weight (license class) for which a truck or tractor is registered may be decreased only once a year, at the beginning of a new license year. Trucks classified

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in (a), (b) or (c) shall not be entitled to any partial year license. Section 5. A new code section to be known as section 92-2920 of the Code of Georgia shall be added as follows: 92-2920. Under-licensing of trucks. If upon inspection a truck licensed under section 2 of this Act (Section 92-2902) is found to weigh, together with its loaded trailer, more than is permitted by the license tag which it carries, the owner shall be required to purchase immediately a new tag for the weight of the truck so inspected. One-half credit shall be given for the surrendered under-rated tag. Section 6. A new code section to be known as section 92-2921 of the Code of Georgia, shall be added as follows: 92-2921. Effective date. The schedule of license fees provided in Georgia Code section 92-2902, as amended, shall apply to all vehicles effective January 1, 1961. Section 7. Sections 3 and 4 of Act No. 66 passed by the General Assembly of the State of Georgia at the extra session of 1937-1938, pages 262 through 269, Act No. 611, passed by the General Assembly at the 1946 session, pages 77 through 80, Act No. 806, passed by the General Assembly at the November-December session of 1953, page 371, Act No. 139, passed by the General Assembly at the 1955 session, pages 303 through 305, Act No. 9, passed by the General Assembly at the 1955 extraordinary session, pages 38 through 45, Act No. 324, passed by the General Assembly at the 1957 session at pages 376 through 378, and all other laws and parts of laws in conflict with this Act are hereby repealed. Prior Acts repealed. Approved March 17, 1960.

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REVENUEINCOME TAX ACT AMENDED. Code 92-3101, 92-3106b, 92-3301b, 92-3301c, and 92-3302a Amended. No. 701 (House Bill No. 856). An Act to amend certain sections of Part IX of Title 92 of the Code of Georgia relating to the levy, assessment and collection of income taxes imposed thereunder; to amend Code section 92-3101, as amended, so as to allow credits against the tax imposed thereunder for amounts collected as withholding or estimated taxes; to amend Code section 92-3106 (b), as amended, relating to the personal exemption of married persons; to amend Code section 92-3301 (b) and (c) relating to installment payments of income taxes; to amend Code section 92-3302 (a), as amended, to provide for the tolling of the period of limitations for making an assessment during the pendency of a petition for redetermination or request for additional time within which to file such petition; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That Code section 92-3101, relating to the rate of taxation of individuals, be renumbered Code section 92-3101 (a), and that a new subsection (b) be added thereto as follows: (b) The amount deducted and withheld by an employer from the wages of an employee under the Current Income Tax Payment Act of 1960 shall be allowed to the employee as a credit against the tax imposed by this section, and the amounts paid by an individual as estimated tax under said Act shall constitute payments on account of the tax imposed by this section. The amount so withheld or paid during any calendar year shall be allowed as a credit or payment for the taxable year beginning in such calendar year. Credits on tax.

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Section 2. That Code section 92-3106 (b), as amended, relating to personal exemptions and credits, be amended by striking same in its entirety and substituting in lieu thereof the following as Code section 92-3106 (b): (b) In the case of a married person living with husband or wife, a personal exemption of $3,000.00 shall be allowed; provided, however, that if separate returns are filed by them, one spouse may, at the election of both, claim the entire exemption, and if both do not so elect, the exemption shall be limited to $1,500.00 for each spouse. If one spouse has no gross income, the other spouse may claim $3,000.00 personal exemption. Exemptions. Section 3. That Code sections 92-3301 (b) and (c), as amended, relating to installment payments and tentative returns, be amended by striking same in their entirety and substituting in lieu thereof the following as Code sections 92-3301 (b) and (c): (b) If the amount of tax shown due on a corporation's income tax return exceeds $300.00, payment of the amount due may be made in three equal installments: One-third with the filing of the return, one-third before the expiration of two months from the original due date of the return, and one-third before the expiration of five months from the original due date of the return. If any installment payment is not paid when due, the entire amount of the tax shown due on the return remaining unpaid shall become due and payable without notice or demand, and interest shall be added to the balance due from the date the tax was originally due at the rate of 6% per annum until the balance of the tax is paid. Installment payments by corporations. (c) When a tentative return is filed by a corporate taxpayer showing thereon an estimate of the tax believed to be due on a final and completed return, the taxpayer shall pay therewith one-third of the total tax shown to be due on the tentative return, another one-third before the expiration of two months from the original due date of the return and a final one-third before the expiration of five months from the original due date of the

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return. When the final return is filed, if the amount shown on the tentative return was underestimated, the final return shall be accompanied by payment of the difference between the amounts paid and the amounts that should have been paid as installments had the estimate been correct. Interest shall be computed and paid with the final return at the rate of 6% per annum on the amount of such difference from the time it was due as an installment payment until paid with the final return. If such interest is not paid with such final return, then it shall be as if the taxpayer were in default on an installment payment. Section 4. That Code section 92-3302 (a), relating to assessments and collection of deficiencies and petitions for redetermination, be amended by adding the following sentence thereto: The filing of a petition for redetermination of a deficiency under this section, or a written request by the taxpayer for additional time therefor, shall toll the period of limitations for making an assessment until such petition is denied by the Commissioner, or such request is withdrawn by written request of the taxpayer. Statute of limitations. Section 5. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960. GEORGIA RETAILERS' AND CONSUMERS' SALES AND USE TAX ACT AMENDEDASSESSMENTS. No. 704 (House Bill No. 863). An Act to amend section 26 of the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, pp. 360, 387), as amended by the Act approved February 24, 1953 (Ga. L. 1953, Jan.-Feb. Sess., pp. 184, 185), relating to the statutory period of limitations on the collection of the taxes imposed under said Act, so as to clarify and bring said section into uniformity with the law applicable to the collection of income

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taxes and State taxes generally; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That the first sentence of section 26 of the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, pp. 360, 387), as amended by the Act approved February 24, 1953 (Ga. L. 1953, Jan.-Feb. Sess., pp. 184, 185), which reads The amount of taxes imposed by this law shall be assessed within three (3) years after such taxes become due and payable and no proceeding of any kind for the collection of such taxes, interest or penalty shall be begun after the expiration of such period, be stricken and a new first sentence be substituted in lieu thereof reading as follows: Section 26. Except as hereinafter provided, the amount of taxes imposed by this law shall be assessed within three (3) years after the return was filed, and no proceeding in court without assessment for the collection of such taxes shall be begun after the expiration of such period.... Time of making assessment. Section 1A. Nothing contained in this Act shall be construed to allow the collection of any sales taxes, interest or penalties thereon, which are barred by the Statute of Limitations in existence prior to the adoption of this Act. Intent. Section 2. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960.

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GEORGIA POST MORTEM EXAMINATION ACT AMENDED. No. 705 (House Bill No. 868). An Act to amend an Act known as the Georgia Post Mortem Examination Act, approved March 11, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 602), so as to provide for the filing of death certificates by medical examiners investigating deaths; to repeal provisions relating to investigation of deaths by County Health Officers; to provide for the filing of reports by Medical Examiners and Peace Officers in charge with the Director of the State Crime Laboratory; to provide instances in which post mortem examinations and/or autopsies shall be required and the procedure to be followed in such instances; to provide for the payment of expenses and fees by the counties in such cases; to permit the movement of dead bodies beyond the limits of the counties by medical examiners; to provide for the return by the Coroner of inquest papers to the Clerk of the Superior Court; to provide for Coroner's fees; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Post Mortem Examination Act, approved March 11, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 602), is hereby amended by striking section 2 of said Act and in lieu thereof inserting the following: Definitions (1) The phrase `post mortem examination' as used in this Act shall mean an examination after death and shall include an examination of the dead body and surroundings by the medical examiner and peace officer in charge, but shall not include dissection of the body for any purpose. (2) The term `autopsy' as used in this Act shall mean the dissection of a dead body and the removal and

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examination of bone, tissue, organs and /or foreign objects for the purpose of determining the cause of death and circumstances surrounding the same. (3) The term `inquest' as used herein shall mean an official judicial inquiry before a Coroner and coroner's jury for the purpose of determining the cause of death. (4) The term `medical examiner' as used in this Act shall refer to the licensed physician or pathologist designated by the Director of the State Crime Laboratory and the Director of the Department of Public Health pursuant to sections 3 and 5 of this Act for the purpose of performing post mortem examinations and/or autopsies as required herein. The power and authority conferred upon said medical examiner by this Act shall be extended to the Director of the State Crime Laboratory or any qualified member or members of his staff whom he has designated may, when so requested, act with all the authority and perform any duty of a medical examiner designated pursuant to sections 3 and 5 of this Act. (5) The term `peace officer in charge', as used herein, shall apply to and include any member of the State Patrol, Georgia Bureau of Investigation, sheriff, or sheriff's deputy, peace officer assigned to coroner's office, county policeman, city policeman or city detective who may be in charge of the investigation of any case involving a death covered by sections 4 and 5 of this Act. Section 2. Said Act is further amended by striking Section 3 and in lieu thereof inserting the following: (1) The Director of the Crime Laboratory of the Department of Public Safety, herein referred to as the `State Crime Laboratory', is hereby authorized, empowered and directed to cooperate with and assist the peace officer in charge, medical examiners and coroners of the State in making the facilities of the State Crime Laboratory available for the performing of post mortem examinations and/or autopsies on dead bodies as hereinafter required. Duties of Director of Crime Laboratory.

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(2) The Director of the State Crime Laboratory, together with the Director of the Department of Public Health, shall authorize one or more licensed physicians or pathologists at convenient locations throughout the State to act as medical examiners in performing post mortem examinations and/or autopsies as required by this Act. The Director of the Crime Laboratory shall confer with local county officials in making such appointments. (3) It shall rest in the sole discretion of the medical examiner to determine whether or not an autopsy or dissection is required: Provided, however, that he shall give due consideration to the opinions of the peace officer in charge regarding the requirements of accepted investigation techniques and the rules of evidence applicable thereto. Medical Examiner. (4) In the event that any medical examiner is unable or unwilling to serve in any case, the Coroner or the peace officer in charge may call upon any other medical examiner; or may call upon the Director of the State Crime Laboratory, or any examiner employed by him and paid by the State, whose duty it shall then be to perform such post mortem examination and/or autopsy or to direct any medical examiner to perform same. (5) For each post mortem examination so performed, in cases where dissection of the body is not required, the medical examiner shall receive a fee of $15.00; and in cases where dissection of the body is required he shall receive a fee of $50.00 for a partial post mortem examination and autopsy and a fee of $75.00 for a complete post mortem examination and autopsy, the fee in each case to be paid from funds of the county in which the act was committed, or if the county in which the act was committed is unknown, the county in which the body was found. In the event the place in which the act was committed is not known but is later established, the county in which the act was committed shall be responsible for payment of fees incurred by the medical examiner. Fees.

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(6) When death occurs in a hospital as a direct result and consequence of acts or events taking place in a county other than the one in which such death occurs, the body shall be returned to the county in which such acts or events took place. When a dead body is found in a county in which the acts or events leading to death did not occur, it shall be returned to the county in which the acts or events did occur if known, the coroner of the county in which such acts or events took place shall assume jurisdiction and post mortem, and/or autopsy, if any performed, shall be paid for from funds of the county in which such acts or events took place. Deaths in hospitals. (7) In the event that the post mortem examination and/or autopsy is performed by the Director of the State Crime Laboratory, or any examiner employed by him and paid by the State, or by a medical examiner regularly employed at a fixed compensation by any county or group of counties, no fee shall be imposed. Fees where Medical Examiner on salary. Section 3. Said Act is further amended by striking section 4 and in lieu thereof inserting the following: Section 4. The medical examiners and peace officers in charge shall file in triplicate a report of each post mortem examination and/or autopsy and investigation with the Director of the State Crime Laboratory, who shall assign to said reports an appropriate State Crime Laboratory file number and return one copy of the post mortem examination and/or autopsy report to the medical examiner, one copy of the investigation report to the peace officer in charge and forward one copy each of the post mortem examination and/or autopsy report and investigation report to the coroner who shall file same with the clerk of the superior court of the county. In cases where such report indicates a suspicion of foul play, said medical examiner and peace officer in charge shall transmit with their reports any specimens, samples or other evidence to the State Crime Laboratory for verification. In cases where reports indicating foul play are verified by the State Crime Laboratory, the Director of the State Crime Laboratory shall cause additional copies of such

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verified report to be made and transmitted to the solicitor-general of the circuit. For each investigation made and report filed pursuant to this section by a peace officer in charge compensated wholly by fees, the county upon which the expense of a post mortem examination and/or autopsy is imposed by this Act shall pay to such officer a fee of $10.00. If the peace officer in charge is compensated by a fixed salary or a part-time salary, no such fee shall be imposed upon the county. Reports. Section 4. Said Act is further amended by striking section 5 and in lieu thereof inserting the following: Coroners shall require post mortem examination and/or autopsy to be performed and inquest in their respective counties as follows: When post mortem and/or autopsy to be performed. (1) When any person shall die as the result of violence, or suicide, or casualty, or suddenly when in appearent health, or when unattended by a physician, or within 24 hours after admission to the hospital without having regained consciousness, or in any suspicious or unusual manner; provided, however, no inquest shall be held under the following circumstances: When inquests to be held. (a) When upon the completion of the post mortem examination and/or autopsy, the peace officer in charge and medical examiner are satisfied that, even while death resulted from violence, no foul play is involved. In this event, the peace officer in charge and medical examiner shall make a written report of their investigation and findings to the State Crime Laboratory as set forth in section 4 of this Act, and upon their recommendation, the coroner shall make and file a proper death certificate. (b) When the presence of one or more eye witnesses, competent in the mind of the peace officer in charge, has been established, even though the post mortem examination and/or autopsy revealed that death resulted from foul play. (c) When no demand for an inquest is made within

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thirty (30) days after the filing of the death certificate. However, if such demand is made by party or parties affected by the death, the coroner is authorized to hold the inquest. (d) When upon the completion of the post mortem examination and/or autopsy, the medical examiner and peace officer in charge are sufficiently satisfied that death resulted from natural causes and the medical examiner or coroner is willing to and does sign and file a proper death certificate, and no demand for an inquest is made within thirty (30) days thereafter, no inquest shall be held. (e) In all cases of hidden cause of death which do fall under the jurisdiction of the coroner, and after full and complete investigation no evidence of foul play is found, no jury shall be impaneled. The coroner shall be authorized to sign the death certificate on the basis of the information given to him in the reports of the peace officer in charge and medical examiner. Provided, in such hidden causes of death, after a complete investigation if sufficient medical history is obtained by the coroner, the peace officer in charge or the medical examiner to disclose the cause of death, and if the attending physician will sign the death certificate, such cases shall not come under the jurisdiction of the coroner. Provided further, if there are sufficient competent eye witnesses to an act, in the opinion of the peace officer in charge such cases shall not come under the jurisdiction of the coroner. (f) No post mortem examination, autopsy or inquest will be held to determine the cause of death of any member of the armed service of the U. S. Government which death occurs while said person is on active duty in the armed service. (2) When an inmate of a State Hospital, or a State, county, or city penal institution dies suddenly without an attending physician, or as a result of violence, the Director of the Crime Laboratory shall be notified notwithstanding the presence of witnesses.

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The Director of the State Crime Laboratory or some qualified member of his staff or medical examiner employed at a fixed compensation by the State, shall perform all post mortem examinations and/or autopsies in cases of death of any inmate of a State Hospital or State, county or city penal institution. The coroner shall hold an inquest after receiving the written reports as set forth in section 4 of this Act. (3) Whenever ordered by a court having criminal jurisdiction. It shall be the duty of said court whenever an affidavit is made and filed with the court that it is suspected that a person came to his death by foul play, to interrogate and examine other witnesses, if any, as to the necessity for an investigation, post mortem examination and/or autopsy; and should the court then decide that a post mortem examination and/or autopsy and inquest are essential to the ends of justice the same shall be ordered. (4) Coroners shall be entitled to an investigation fee of $25.00 where no jury is impaneled and a fee of $25.00 where a jury is impaneled. Such fee shall be paid by the county where the inquest is held, except in counties where the coroner receives an annual salary, in which case no fee shall be imposed upon the county. Coroner's fees. Section 5. Said Act is further amended by striking section 7 and in lieu thereof inserting the following: When the deceased body lies in a place inconvenient for holding a post mortem examination and/or autopsy, the medical examiner or peace officer in charge shall be allowed to remove the body to the autopsy room of the nearest public hospital or morgue within the county. If neither the medical examiner nor peace officer in charge is immediately available, the coroner then assumes the authority to have the body moved to such facility. When such facility is not reasonably available, the body may be removed to such other suitable place as may be designated by the medical examiner, or by the coroner in the absence of the medical examiner and/or peace officer

Page 1016

in charge. If the peace officer in charge is immediately present, no such body shall be removed until photographs of the body and surrounding premises have been made, and/or a thorough investigation of the premises made by the proper investigating authorities, and the peace officer leading such investigation and medical examiner have given their authorization for such removal. Removal of body. Section 6. Said Act is further amended by striking section 9 and in lieu thereof inserting the following: Upon receipt of such notice, the coroner shall immediately take charge of the dead body and it shall be his duty to summon a medical examiner and proper peace officer. They shall together make inquiries regarding the cause and manner of death, and the medical examiner shall perform a post mortem examination and/or autopsy, reducing his findings to writing and filing them with the Director of the State Crime Laboratory upon report forms to be furnished by said Director. The medical examiner, may, at any time when he deems it necessary, have the body embalmed for preservation prior to release of the body to the next of kin. Such expense of embalming shall be paid in the manner hereinafter provided for payment of burial expenses. The peace officer in charge present at such investigation, or if no officer be present, then the coroner shall, in the absence of the next of kin of the deceased person, take possession of all property of value found on such person, make an exact inventory thereof on his report and surrender the same to the person entitled to its custody or possession. The coroner, medical examiner and/or peace officer shall take possession of any objects or articles which, in his opinion, may be helpful in establishing the cause of death, and in co-operation with the Crime Laboratory make such tests and examinations of said objects as may be necessary, or useful in determining the cause of death. In the event that a criminal prosecution arises, all such objects and articles, together with reports of any examinations made upon them, shall be retained in the custody of the Director of the State Crime Laboratory until their production as evidence is required by the prosecuting officer or upon

Page 1017

written order of the peace officer in charge or court having proper jurisdiction. Investigation, release of body, etc. Section 7. Said Act is further amended by striking section 10 and in lieu thereof inserting the following: Upon the completion of the post mortem examination and/or autopsy by the medical examiner as provided in section 5 of this Act, and verification by the State Crime Laboratory when such verification is required, the coroner shall then take an inquest upon the death of such deceased person as provided in section 5. Inquests. Section 8. Said Act is further amended by striking from section 14 the words, Next preceding and inserting in lieu thereof the words, last excused, by deleting the words, where the dead body is found or lying and inserting in lieu thereof the words, having jurisdiction and by deleting the word ten in paragraph 2 and inserting in lieu thereof the word five, so that section 14 when amended shall read: Section 14. Whenever a coroner shall have notice of the death of any person within the limits of the county of which he is coroner, occurring under circumstances which make it his duty, under the law, to hold an inquest, he shall make out a precept, directed to the sheriff or any constable of the county having jurisdiction, requiring him to summon a jury of inquest selected from the grand jury and/or traverse jury lists of the last excused term of the superior court of such county, to appear before the coroner at the time and place mentioned in the precept; which precept may be in the form following; that is to say: Same, jurors. State of Georgia _____County. To the Sheriff or any lawful constable of said county Greeting: You are required immediately to summon five men of

Page 1018

said county, chosen from the lists of grand jurors and traverse jurors of the last excused term of the superior court of said county, to be and appear before me, the undersigned, coroner of the county aforesaid, at_____, in said county, on the_____day of_____, at_____o'clock of that same day, then and there to inquire of, do and execute all such things as in behalf of the State shall be given them in charge touching the death of_____(or a person unknown, as the case may be), and be you then and there with this precept to certify what you have done in the premises, and further to do whatsoever else may in behalf of the State be enjoined upon you. Given under my hand and seal, this the_____day of _____, in the year of our Lord_____. _____Coroner (L.S.) which precept shall be forthwith executed by the sheriff or constable in whose hands it may be placed; and if the services of the sheriff or a constable cannot be conveniently obtained, the coroner may summon the jury himself. Section 9. Said Act is further amended by adding four new sections to be numbered 21A, 21B, 21C and 21D to read: Section 21A. No person shall move or authorize removal of such body from the place where the same is found until the investigation is completed and such removal is authorized by the peace officer, coroner or medical examiner in charge. The violation of this section shall constitute a misdemeanor and shall be punished as such. Removal of body. Section 21B. No person shall move or transport a body across a Georgia State line until the investigation of the case and the post mortem examination and/or autopsy by the medical examiner are complete and until

Page 1019

removal of a body is authorized by the peace officer or coroner in charge. Same. The violation of this section shall constitute a misdemeanor and shall be punished by a fine of not less than $500.00 or more than $1,000.00 or 60 days in jail or both. Section 21C. The violation of any provision of this Act by any person shall constitute a misdemeanor and upon conviction thereof shall be punished as provided by law, except as set forth in section 21B of this Act. Punishment. Section 21D. No coroner's jury shall be impaneled until the investigation is completed and copies of the reports of the medical examiner and peace officer in charge are received by the coroner. The jury is not required to view the body. Inquest. Section 10. Subsection (3) of section 16 of an Act providing a Vital Statistics Law approved March 8, 1945 (Ga. L. 1945, p. 236), as amended, particularly by an Act approved February 19, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 140) is hereby repealed in its entirety. 1945 Act repealed. Section 11. All laws and parts of laws in conflict with this Act are hereby repealed. Section 12. In the event that any section or part of a section of this Act shall be declared invalid, this shall not affect the validity of the remaining portions of this Act. Approved March 17, 1960.

Page 1020

EMPLOYEES RETIREMENT SYSTEM ACT AMENDED. No. 706 (House Bill No. 869). An Act to amend an Act establishing a State Employees Retirement System approved February 3, 1949 (Ga. L. 1949, p. 138), as amended, particularly by an Act approved March 7, 1957 (Ga. L. 1957, p. 283), so as to change the provisions relating to former employees; to provide the manner in which this Act shall become effective; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act establishing a State Employees Retirement System approved February 3, 1949 (Ga. L. 1949, p. 138), as amended, particularly by an Act approved March 7, 1957 (Ga. L. 1957, p. 283), is hereby amended by striking subsection (10) of section 4 in its entirety and inserting in lieu thereof a new subsection (10) to read as follows: (10) Any other provision of this Act to the contrary notwithstanding, any former employee of this State; except those former and present employees having previously elected non-membership in this System and those employees having previously established prior service accumulations either adjusted or otherwise and any employee transferring his membership and credits to this System; who was employed by the State on July 1, 1956 and those members of record as of July 1, 1957 who are not excluded by reason of the foregoing exceptions, who had at least fifteen years of service prior to January 1, 1950 for which earnable compensation was paid directly to him by a Department of State Government and who becomes entitled to benefits under the provisions of this Act, shall be eligible for and, upon proper certification, receive credit for only those prior service accumulations, either adjusted or otherwise, in the same manner as allowed all other eligible members of the System within

Page 1021

the year 1953; provided however, that in the application of any credits which may henceforth be determined valid under this section as herewith amended, such credits or benefits therefrom shall not, in any manner whatsoever, be used in computing allowances other than as provided for under applicable law in effect prior to July 1, 1957. Credit for prior service. Section 2. The provisions of this Act shall not become effective until after the Board of Trustees of the Employees Retirement System of Georgia has notified the Governor in writing that it has received a certification from its actuaries that the provisions contained herein will not impair the actuarial soundness of the System. Effective date. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. FEES OF CORONERS IN COUNTIES OF NOT LESS THAN 30,000 AND NOT MORE THAN 30,500 PERSONS. Code 21-105 Amended. No. 707 (House Bill No. 870). An Act to amend section 21-105 of the Code of Georgia, as amended, particularly by an Act approved February 10, 1953 (Ga. L. 1953, p. 41), relating to the fees paid to coroners, so as to change the compensation of the coroners of certain counties; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 21-105 of the Code of Georgia, as amended, particularly by an Act approved February 10, 1953 (Ga. L. 1953, p. 41), relating to the fees paid to coroners, is hereby amended by striking from said

Page 1022

amendatory Act the figures $780.00 and inserting in lieu thereof the figures $1,140.00, so that as amended said amendatory Act shall read as follows: In all counties of this State having a population of not less than 30,000 and not more than 30,500, according to the United States census of 1950, or any future United States census, the coroner shall receive a salary of $1,140.00 per year out of the county treasury, payable monthly, said salary to be in lieu of the fees allowed a coroner by law for holding inquests. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. PRACTICE AND PROCEDUREHEARINGS AT CHAMBERSREASONABLE NOTICE DEFINED. No. 710 (House Bill No. 884). An Act to amend an Act to regulate procedure in the courts of this State, approved March 28, 1935 (Ga. L. 1935, p. 481), as amended, particularly by an Act approved February 3, 1956 (Ga. L. 1956, p. 68), and an Act approved March 25, 1958 (Ga. L. 1958, p. 315), so as to define reasonable notice. Be it enacted by the General Assembly of Georgia: Section 1. An Act to regulate procedure in the courts of this State, approved March 28, 1935 (Ga. L. 1935, p. 481), as amended, particularly by an Act approved February 3, 1956 (Ga. L. 1956, p. 68), and an Act approved March 25, 1958 (Ga. L. 1958, p. 315), is amended by striking subsection (b) of section 1 thereof in its entirety and inserting in lieu thereof a new subsection (b), which shall read as follows:

Page 1023

(b) The judges of the several superior courts of this State may, on reasonable notice to the parties, at any time, either in term or vacation, and at chambers in any county in the circuit, hear and determine by interlocutory or final judgment, any matter or issue, where a jury verdict is not required or has been duly waived: Provided that the mailing of a copy of the calendar, setting forth the name of the case and the time and place of such hearing to the parties or their attorneys of record by the clerk of the court, at least 10 days before such hearing is to be held, and his certificate of notice given entered on the docket shall be construed to be reasonable notice as required herein; provided further, however, that nothing in this paragraph shall authorize the trial of any divorce case by consent or otherwise until after the appearance day of such case, as provided in paragraph (a) of this section: Provided that where the calendar is published in the official gazette of the county at least ten days before such hearing is to be held, the mailing of a copy of the calendar as hereinbefore required shall not be necessary. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. PRACTICE AND PROCEDUREMODE OF HEARING DIVORCE CASES. Code 30-101 Amended. No. 711 (House Bill No. 885). An Act to amend Code section 30-101, pertaining to how divorces are granted, as amended, particularly by an Act approved January 28, 1946 (Ga. L. 1946, p. 90), and an Act approved March 6, 1956 (Ga. L. 1956, p. 405), so as to provide that the judge shall hear and determine all issues of law and fact unless an issuable

Page 1024

defense is filed and a jury trial demanded in writing by either party; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 30-101, pertaining to how divorces are granted, as amended, particularly by an Act approved January 28, 1946 (Ga. L. 1946, p. 90), and an Act approved March 6, 1956 (Ga. L. 1956, p. 405), is amended by striking therefrom the words or a jury trial and inserting in lieu thereof the words and a jury trial, so that said section as amended hereby shall read as follows: 30-101. Total divorces in proper cases may be granted by the Superior Court. Unless an issuable defense is filed as provided by law and a jury trial demanded in writing by either party on or before the call of the case for trial, the judge shall hear and determine all issues of law and fact in all petitions for divorce and permanent alimony, and any other issues made in the pleadings. Section 2. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. PRACTICE AND PROCEDURERIGHTS AND DISABILITIES IN DIVORCE ACTIONS. Code 30-122 Amended. No. 712 (House Bill No. 886). An Act to amend Code section 30-122, pertaining to the rights and disabilities of parties to a divorce, as amended, particularly by an Act approved January 28, 1946 (Ga. L. 1946, p. 90), so as to provide that no person shall be placed under disabilities unless there is

Page 1025

a special prayer in the pleadings for such disabilities to be imposed; to repeal conflicting laws; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Code section 30-122, pertaining to the rights and disabilities of parties to a divorce, as amended, particularly by an Act approved January 28, 1946 (Ga. L. 1946, p. 90), is amended by inserting at the end thereof the words Provided, however, that no person shall be placed under disabilities unless there is in the pleadings a special prayer that he be placed under such disabilities., so that said section as amended hereby shall read as follows: 30-122 (2964) Rights and disabilities. When a divorce shall be granted, the jury or the judge, as the case may be, shall determine the rights and disabilities of the parties. Provided, however, that no person shall be placed under disabilities unless there is in the pleadings a special prayer that he be placed under such disabilities. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. TRANSIT AUTHORITY ACT OF 1960. No. 715 (House Bill No. 893). An Act to provide for the creation of transit authorities charged with the duty of acquiring, constructing, owning, operating and maintaining mass rapid transit systems within the metropolitan areas of this state, and for the granting to such authorities of powers, duties, exemptions and immunities by special act; providing that the properties of, and securities issued by, such authorities may be exempt from taxation by special

Page 1026

act; defining metropilitan areas within the purport of this act; providing for a majority of the members of such an authority to be appointed by the counties and central cities to be served by such an authority; and for other purposes consonant with the foregoing provisions. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of the same, that: It is hereby declared to be the policy of the State of Georgia to foster and to assure the development of mass rapid transit systems within the metropolitan areas of this state. Intent. This act shall be known as the Transit Authority Act of 1960. Title. A metropolitan area is defined for the purpose of this act as being (a) the area of any city within the state whose population, as determined by the Federal Census of 1950 or any later federal census shall have exceeded 43,617 persons, (such a city being hereinafter referred to as a central city); together with (b) the area suburban to such a central city as each such suburban area shall be more specifically delimited by special act of the General Assembly. Definitions. The General Assembly may by special act create a transit authority charged with the duty of acquiring, constructing, owning, operating and maintaining a mass rapid transit system within a metropolitan area as defined in this act and the General Assembly, in the special act creating such an authority shall delimit the territory to be served by such authority, and the General Assembly may, in such special act, provide that the property of, and the securities issued by, such authority shall be exempt from taxation, and that such authority may have, in addition to the rights, powers, privileges, exemptions and immunities which are customarily possessed by public corporations, such other and further rights, powers, privileges, exemptions and immunities as the General Assembly

Page 1027

shall deem appropriate to the accomplishment of its purposes; provided, however, that such authority shall not be empowered to obligate the State of Georgia, or any county, municipality, political subdivision or public body of the state to pay any of its debts; and further provided that the central city served by said mass rapid transit system and any county or counties whose territory or any part thereof shall lie within the territorial limits of said authority as the same may be delimited in the special act creating said authority, shall have the right to appoint the members of such authority, or a majority thereof, subject to such qualifications for membership and such apportionment of the right of appointment as the special act creating such authority may provide. Authority to create authorities. Approved March 17, 1960. BOARD OF REGENTS OF UNIVERSITY SYSTEM OF GEORGIALIABILITY INSURANCE FOR OPERATION OF NUCLEAR FACILITIES. No. 717 (House Bill No. 912). An Act to authorize the Board of Regents of the University System of Georgia to procure liability insurance for the operation of nuclear facilities at any school under the control of said board; to prescribe the procedure in connection therewith; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Board of Regents of the University System of Georgia is hereby authorized to secure liability insurance covering the operation of any nuclear facility established at any school under the control of said board. Said liability insurance shall cover all teachers, instructors, employees, and any other person, firm or corporation performing services incident to said nuclear facility above mentioned. Any such insurance shall contain a

Page 1028

provision that the sovereign immunity of the Board of Regents shall not be asserted as a defense by the insurer without the specific prior approval of said board. Such insurance may be in any amount deemed proper by said board, but shall not exceed the sum of two hundred fifty thousand dollars ($250,000.00). Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. DEPARTMENT OF LABORAPPROPRIATION OF FUNDS. No. 730 (House Bill No. 932). An Act to provide an appropriation, pursuant to the provisions of sections 9 and 13 of the Employment Security Law, of additional funds which are otherwise available to the Department of Labor of Georgia out of funds credited to and held in this State's account in the Unemployment Trust Fund by the Secretary of the Treasury of the United States of America pursuant to section 903 of the Social Security Act, as amended, for the purpose of providing suitable offices for use by the Employment Security Agency in the Department of Labor and for the procurement of lands and buildings therefor; to authorize the Commissioner of Labor of Georgia to direct the expenditure of said funds, and to do all other things necessary to effectuate the purchase of lands and construction thereon of buildings and the procurement of lands and buildings for such purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of the same: Section 1. There is hereby appropriated to the Department of Labor out of the funds credited to and held

Page 1029

in this State's account in the Unemployment Trust Fund by the Secretary of the Treasury of the United States pursuant to section 903 of the Social Security Act, as amended, an additional amount of $590,000.00. The Commissioner of Labor is authorized to requisition, and to use, such money as authorized in sections 9 and 13 of the Employment Security Law, as amended. The said additional amount of $590,000.00 is authorized to be allocated for expenditure by the Commissioner of Labor for the acquisition of lands in this State and the construction thereon of office buildings suitable for use for local offices of the Employment Security Agency in the Department of Labor, and all necessary expenses incidental thereto, or, in the alternative, for the purchase of lands and buildings in this State suitable for such offices for the use of said agency, and all necessary expenses incidental thereto, as follows: (1) Savannah, cost not to exceed $255,000.00; (2) Macon, cost not to exceed $160,000.00; and (3) the remainder of said appropriation is authorized for the purposes herein in such other cities as the Commissioner finds to be economical and desirable. Provided, that the amount appropriated herein does not exceed the amount in the Unemployment Trust Fund which may be used for such purposes as provided in section 9 of the Employment Security Law, as amended, and provided: that the amount which may be obligated between the date of enactment of this Act and June 30, 1960 shall not exceed the limitations provided in section 9 (c) (C) of the Employment Security Law, as amended, that the amount which may be obligated during the twelve-month period beginning on July 1, 1960 and ending on June 30, 1961 shall not exceed the limitations provided in said section 9 (c) (C), and that the amount which may be obligated between July 1, 1961 and the date in the year 1962 which falls on the day following the second anniversary of the date of enactment of this Act shall not exceed the limitations provided in section 9 (c) (C). Provided further, that said additional funds shall not be obligated for expenditure by the Commissioner

Page 1030

of Labor as herein provided, after the close of the two-year period which begins on the date of enactment of this Act. Section 2. Be it further enacted, that the Commissioner of Labor shall have complete authority to carry out the purposes of this Act, and all provisions of section 9 and 13 of the Employment Security Law, as amended, shall be applicable to this Act. Intent. Section 3. Be it further enacted, that the Commissioner of Labor is expressly authorized and empowered to engage the services of all necessary appraisers, architects, engineers and contractors, and to enter into and execute all contracts necessary to effectuate the declared purposes of this Act, including the acquisition of the necessary real estate for said offices, which real property shall be acquired in the name of the State of Georgia but shall be used for purposes of the Employment Security Agency in the Department of Labor of this State. The acquisition of any property shall be in accordance with other state laws now in force and effect. Power of Commissioner of Labor. Section 4. Be it further enacted, that all laws or parts of laws inconsistent with the provisions of this Act be and the same are hereby repealed to the extent of such inconsistency. Section 5. Be it furthed enacted, that this Act shall become effective on the day immediately following the date of enactment, the public welfare requiring it. Effective date. Approved March 17, 1960.

Page 1031

MOTOR VEHICLESLICENSE TAX FOR PART OF YEAR, SALE OF TAGS. Code 92-2908 and 92-2910 Amended. No. 737 (House Bill No. 949). An Act to amend an Act, relating to motor vehicle licenses, approved December 24, 1937 (Ga. L. 1937-38, Ex. Sess., p. 259), as amended, codified as Code Chapter 92-29, so as to provide for the fees to be paid for the licensing of motor vehicles for part of a year; to provide the time to apply for and obtain license tags and pay the annual fee therefor; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act relating to motor vehicle licenses, approved December 24, 1937 (Ga. L. 1937-38, Ex. Sess., p. 259), as amended, codified as Code Chapter 92-29, is hereby amended by striking section 5, codified as Code section 92-2908, in its entirety and inserting in lieu thereof a new section 5, to read as follows: Section 5. Code section 92-2908. Any person, firm, corporation or association registering any of the vehicles named in subsections 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13 or 18 of section 4 of this Act, between the dates of February 1st and May 1st of 1962 or any subsequent year, shall not be required to pay more than three-fourths of the annual tax provided for herein. Any person, firm, corporation or association registering any of the vehicles named in subsections 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13 or 18 of section 4 of this Act, between the dates of May 1st and August 1st of 1962 or any subsequent year, shall not be required to pay more than one-half of the annual tax provided for herein. Any person, firm, corporation or association registering any of the vehicles named in subsections 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13 or 18 of section 4 of this Act, between the dates of August 1st and October 1st of 1962 or any subsequent year shall not be

Page 1032

required to pay more than one-fourth of the annual tax provided for herein. Tax for part of year. Section 2. Said Act is further amended by striking section 7, codified as Code section 92-2910, in its entirety and inserting in lieu thereof a new section 7, to read as follows: Section 7. Code Section 92-2910. All persons, firms, corporations or associations subject to the taxes and license provided for herein shall pay said taxes and licenses and shall apply for and obtain said tags on or before February 1, 1962, and each year thereafter, and such payment for tags shall be made to the State Revenue Commissioner, his duly authorized agents or such other persons as may be provided by law. The State Revenue Commissioner, his duly authorized agents or such other officers as may be provided by law, shall begin to sell said tags and receiving applications for said tags on or before October 1, 1961, and each year thereafter. Time when license tags to be sold. Section 3. Until the effective dates provided in this Act, the Acts and Code sections amended hereby shall be continued in full force and effect. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. REVENUE BONDSNOTICE OF ELECTIONS. Code 87-201 Amended. No. 747 (House Bill No. 970). An Act to amend section I of the Act approved October 14, 1879 (Ga. L. 1878-79, Part I, Title III, p. 40), entitled: An Act to carry into effect paragraphs 1 and 2, section 7, article 7 of the Constitution with reference to

Page 1033

creating bonded debts for counties, municipalities and divisions, and to prescribe the manner in which elections shall be held, and to authorize the same, and for other purposes: which is now codified as code section 87-201 of the Code of Georgia of 1933, pertaining to the notice of election on the issuance of bonds and prescribing the contents of such notice and the publication of the same, so as to provide that any county, municipality or division of this state desiring to incur a bonded debt shall state in the election notice the principal amount of bonds to be issued, the purpose for which the same are issued, the interest rate or rates which such bonds are to bear and the amount of principal to be paid in each year during the life of the bonds; or in lieu of specifying the rate or rates of interest which said bonds are to bear, stating that the bonds when issued will bear a rate or rates of interest at not exceeding a specified per annum rate of interest, and for other purposes: Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of the same as follows: Section 1. Section I of the Act approved October 14, 1879 (Ga. L. 1878-79, Part I, Title III, p. 40), which is now codified as Code section 87-201 of the Code of Georgia of 1933, is hereby stricken and said section, as originally enacted and as codified, is hereby repealed and the following is substituted in its place so that from and after the date of the approval of this Act said section I and Code section 87-201 shall read as follows: When any county, municipality or division shall desire to incur any bonded debt, as permitted by the Constitution of the State of Georgia, the election required shall be called and held as follows, to-wit: The officers charged with levying taxes, contracting debts, etc., for the county, municipality or division shall give notice for the space of not less than thirty (30) days

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next preceding the day of the election in the newspaper in which sheriff's advertisements for the county are published notifying the qualified voters that on the day named an election will be held to determine the question of whether bonds shall be issued by the county, municipality or division. Said notice shall specify the principal amount of bonds to be issued, the purpose for which the same are issued, the interest rate or rates which such bonds are to bear and the amount of principal to be paid in each year during the life of the bonds; provided, however, said notice, in the discretion of the issuing body, in lieu of specifying the rate or rates of interest which said bonds are to bear, may state that the bonds when issued will bear interest at a rate not exceeding a maximum per annum rate of interest specified in the election notice or that in the event the bonds are to bear different rates of interest for different maturity dates that none of such rates will exceed the maximum rate specified in the election notice; provided, however, that nothing contained herein shall be construed as prohibiting or restricting the right of the issuing body to sell said bonds at a discount, even if in so doing, the effective, interest cost resulting therefrom would exceed the maximum per annum interest rate specified in the election notice. Notice of bond elections. Section 2. Be it further enacted, and it is hereby enacted by the authority aforesaid, that all laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. REVENUE BONDSACTIONS TO VALIDATE. Code 87-302 Amended. No. 748 (House Bill No. 971). An Act to amend Code section 87-302 of the Code of Georgia of 1933, pertaining to the filing of the petition to commence the validation of bonds, the order of

Page 1035

court and the answer of the issuer of said bonds, so as to provide that the petition shall set forth the service of the required notice upon the solicitor-general, or the Attorney General, as the case may be, of the fact that an election was held and that the election was in favor of the issuance of the bonds, the name of the county, municipality or division seeking to issue said bonds, the principal amount of the bonds to be issued, the purpose for which the same are issued, the interest rate or rates which such bonds are to bear and the amount of principal to be paid in each year during the life of the bonds and that said election is prima facie in favor of the issuance of said bonds; provided, however, said petition, in lieu of specifying the rate or rates of interest which said bonds are to bear, may set forth the wording which was used with respect to interest in the notice which was published calling the election to authorize the issuance of the bonds; and, for other purposes. Be it enacted by the General Assembly of Georgia, and it is hereby enacted by authority of the same, as follows: Section 1. Code section 87-302 of the Code of Georgia of 1933 pertaining to the filing of the petition to commence the validation of bonds, the order of Court and the answer of the issuer of said bonds is hereby repealed and stricken in its entirety, and a new such Code section bearing the same number and reading as follows is hereby enacted: 87-302. Duty of Attorney General or Solicitor-General to file petition; order of court; answer. Within twenty (20) days from the date of the service of the required notice upon the solicitor-general, or the Attorney General, as the case may be, of the fact that an election was held and that the election was in favor of the issuance of the bonds, the solicitor-general or the Attorney General, as the case may be, shall prepare and file in the office of the clerk of the superior court of the county in which the election was held, a petition, directed to the superior court of said county, in the name of the State, and against the

Page 1036

county, municipality or division desiring to issue bonds under said election, setting forth the service of said notice, the name of the county, municipality or division seeking to issue said bonds, the principal amount of the bonds to be issued, the purpose for which the same are issued, the interest rate or rates which such bonds are to bear and the amount of principal to be paid in each year during the life of the bonds, and that said election is prima facie in favor of the issuance of said bonds; provided, however, said petition, in lieu of specifying the rate or rates of interest which said bonds are to bear, may set forth the wording which was used with respect to interest in the notice which was published calling the election to authorize the issuance of the bonds; and shall obtain from the judge of said court an order requiring the county, municipality or division by its proper officers to appear at such time and place, either in term or at chambers, within twenty (20) days from the filing of the petition, as the judge of the court may direct, and to show cause, if any exist, why the bonds should not be confirmed and validated. Such petition and order shall be served in the manner provided by law for the service of petitions upon counties, municipalities or divisions; and to such petition the officers of such county, municipality or division shall make sworn answers at or before the date set in said order for said hearing. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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PRACTICE AND PROCEDUREUSE OF DEMONSTRATIVE ARGUMENTS IN CIVIL CASES. No. 751 (House Bill No. 974). An Act to provide in the trial of any civil suit, counsel for either party shall be permitted to use a black board and models or similar devices in connection with his argument to the jury for the purpose of illustrating his contentions with respect to the issues which are to be decided by the jury; to provide that no argument can be advanced in writing that could not properly be made orally; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. In the trial of any civil suit, counsel for either party shall be permitted to use a black board and models or similar devices in connection with his argument to the jury for the purpose of illustrating his contentions with respect to the issues which are to be decided by the jury; provided that such counsel shall not in writing present any argument that could not properly be made orally. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. PLANNING COMMISSIONS ACT AMENDEDMEMBERS. No. 756 (House Bill No. 983). An Act to amend an Act authorizing the governing authorities of municipalities and counties to establish planning commissions, approved March 13, 1957 (Ga. L. 1957, p. 420), as amended by an Act approved March 17, 1958 (Ga. L. 1958, p. 169) and an Act approved

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March 17, 1959 (Ga. L. 1959, p. 335), so as to change the provisions relating to the membership of planning commissions; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act authorizing the governing authorities of municipalities and counties to establish planning commissions, approved March 13, 1957 (Ga. L. 1957, p. 420), as amended by an Act approved March 17, 1958 (Ga. L. 1958, p. 169) and an Act approved March 17, 1959 (Ga. L. 1959, p. 335), is hereby amended by striking section 1 in its entirety and inserting in lieu thereof a new section 1, to read as follows: Section 1. Planning Commissions: Creation and Appointment. The governing authority of each municipality in this State is authorized to create by ordinance a municipal planning commission. The governing authority of each county in this State is authorized to create by resolution a county planning commission. Any two or more municipalities are authorized to create a joint planning commission. Any two or more counties are authorized to create a joint planning commission. Any one or more counties and any one or more municipalities in any one or more of these counties are authorized to create a joint planning commission. Wherever the terms, `Municipal Planning Commission', `County Planning Commission', or `Municipal-County Planning Commission', are used hereinafter, they shall be construed to mean and shall include any planning commission established hereunder. The governing authorities of the political subdivision or subdivisions creating a planning commission shall select the name of the commission, but such name must include the term `Planning Commission'. A planning commission shall be composed of members who shall be appointed by the governing authority or authorities of the political subdivision or subdivisions creating the commission. A majority of the members of a planning commission shall be persons who hold no other public office in the municipality or county from which they are appointed. Ex-officio members

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of the commission who hold public office shall serve on the commission during the time they hold such public office. Other members of the commission shall be appointed for overlapping terms of three, four or five years and shall serve until their successors are appointed. Original appointments may be made for a lesser number of years so that the terms of said members shall be staggered. The compensation of the members, if any, shall be determined by the governing authority or authorities of the political subdivision or subdivisions creating the commission. Any vacancy in the membership of a planning commission shall be filled for the unexpired term in the same manner as the original appointment. The governing authority or authorities of the political subdivision or subdivisions creating the commission are hereby authorized to remove any member of the commission for cause after written notice and public hearing. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. FRANKLIN D. ROOSEVELT WARM SPRINGS MEMORIAL COMMISSIONAUTHORITY TO CONVEY PROPERTY. No. 757 (House Bill No. 984). An Act to amend the Act creating the Franklin D. Roosevelt Warm Springs Memorial Commission approved January 31, 1946, as heretofore amended, so as to authorize said Commission and the State of Georgia to convey so much of the lands in the second land districts of Harris and Meriwether Counties, Georgia, owned by said Commission or held by the State of Georgia for the benefit of said Commission; to authorize the execution and to fix the terms and conditions of such conveyance; to provide for determination of the value of such lands; to provide for the use of the proceeds of such conveyance;

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to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That the Act of the General Assembly approved January 31, 1946 (Ga. L. 1946, p. 31) as amended by the Act of the General Assembly approved February 18, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 118) be, and the same is hereby amended by deleting from section 3 thereof, subsection (6) (a) and by adding in lieu thereof a new subsection (6) (a), to read as follows: (6) (a) To convey so much of the real estate located in the second land districts of Harris and Meriwether Counties, Georgia, as are now owned or held or may hereafter be owned or held by said Commission or by the State of Georgia, for the use of said Commission, the terms and conditions of such conveyance to be determined by said Commission, which conveyance shall be executed on behalf of the State of Georgia, by the Governor of the State, and shall be executed on behalf of said Commission by its chairman and attested by its executive secretary; the consideration for such conveyance to be determined by the Franklin D. Roosevelt Warm Springs Memorial Commission; and the proceeds from such conveyance shall be paid into the treasury of the Franklin D. Roosevelt Warm Springs Memorial Commission and used for the development, addition to, and expansion and improvements of the properties of said Commission, in accordance with the Act creating the same; provided, however, that such conveyance shall expressly be made subject to all existing easements, limitations, rights of re-entry or reversions, which may exist against such lands at the time the same is conveyed. Section 2. All laws and parts of laws in conflict herewith are hereby repealed. Approved March 17, 1960.

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ATLANTA JUDICIAL CIRCUITASSISTANT SOLICITORS-GENERAL. No. 764 (House Bill No. 996). An Act to amend an Act abolishing the fee system now existing in the Superior Court of the Atlanta Judicial Circuit as applied to the office of solicitor-general in said circuit, approved August 11, 1924 (Ga. L. 1924, p. 255), as amended, so as to change the number of trial assistant solicitors-general that may be appointed; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of the State of Georgia and it is hereby enacted by authority of the same: Section 1. An Act abolishing the fee system now existing in the Superior Court of the Atlanta Judicial Circuit as applied to the office of solicitor-general in said circuit, approved August 11, 1924 (Ga. L. 1924, p. 255), as amended, is amended by striking from the first paragraph of section 5 thereof the word seven and inserting in lieu thereof the word ten, so that said paragraph, as amended hereby, shall read as follows: Section 5. The solicitor-general of the said Judicial Circuit shall have the power and he is hereby empowered to appoint one (1) first assistant solicitor-general and ten (10) trial assistant solicitors-general, and shall require from each of them bond in the sum of five thousand dollars ($5,000.00) of the same nature and character as the bond of the solicitor-general, the premiums on said bonds to be paid by the county in the same manner as the premium on the bond of the solicitor-general. The powers and duties of the first assistant solicitor-general, when acting for the solicitor-general, shall be the same as those of the solicitor-general. The powers and duties of the trial assistant solicitors-general shall be to try, and assist in the trial of, cases in the several courts, including the appellate courts of this State and such other duties as may be assigned by the solicitor-general of the Atlanta Judicial Circuit. They shall not serve beyond the term of

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their principal and shall be subject to removal at any time by the said principal. Section 2. Notice of the intention to apply for the passage of this local bill has been published in the newspaper in which the sheriff's advertisements for Fulton County are published, namely, in the Fulton County Daily Report, once a week for three weeks during a period of sixty days immediately preceding its introduction in the General Assembly. Attached hereto and made a part of this bill is a copy of said notice, accompanied by an affidavit to the effect that said notice has been published as provided by law, and it is hereby declared that all the requirements of the Constitution of the State of Georgia of 1945, relating to publications of notice of intention to apply for the passage of this local legislation, have been complied with for the enactment of this law. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Publisher's Affidavit. State of Georgia, County of Fulton. Before me, the undersigned, a notary public, this day personally came Frank Kempton, who, being first duly sworn, according to law, says that he is the president of the Daily Report Company, publishers of the Fulton County Daily Report, official newspaper published at Atlanta, in said county and State, and that the publication, of which the annexed is a true copy, was published in said paper on the 17, 24, 31 days of December, 1959, as provided by law. /s/ Frank Kempton. Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be introduced at the January, 1960 session of the General Assembly of Georgia, a bill to amend an Act abolishing the fee system now existing in the Superior Court of the Atlanta Judicial

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Circuit (Ga. L. 1924, p. 255), as amended so as to change the number of trial assistant solicitors-general that may be appointed; and for other purposes. This 18 day of November, 1959. Ralph McClelland. Wilson Brooks. Subscribed and sworn to before me this 18th day of January, 1960. /s/ Mildred N. Lazenby, Notary Public, Georgia, State at Large. My Commission Expires Oct. 18, 1963. Approved March 17, 1960. INSPECTION, ETC. OF PETROLEUM PRODUCTS. Code Chapter 73-2 Amended. No. 770 (House Bill No. 1005). An Act to amend Chapter 73-2 of the Code of Georgia, relating to the inspection, sale, etc. of gasoline, kerosene and other petroleum products, as amended; to strike the words Comptroller General wherever they appear in said chapter and substitute therefor the words State Revenue Commissioner; to amend Code section 73-201, relating to the term of office and salary of the State Oil Chemist; to amend Code section 73-202, as amended, relating to the appointment, number, term, salary and expenses of State Oil Inspectors; to amend Code section 73-203, relating to the total expenses authorized for the enforcement of said Chapter; to amend Code section 73-204, relating to the method of payment of the State Oil Chemist and Oil Inspectors, and other expenses; to amend Code section 73-205, relating to bonds of the State Oil Chemist and State Oil Inspectors;

Page 1044

to amend Code section 73-208, relating to the right of inspection and examination; to amend Code section 73-210, relating to the qualifications of dealers; to amend Code section 73-214, relating to shipments into the State and samples thereof; to amend Code section 73-216, relating to tests of gasoline and oils, specifications and changes of specifications; to enact Code section 73-216 (b) to provide for the enforcement of said Chapter by injunction; to repeal Code section 73-217, pertaining to Oil Inspectors' duties and reports; to amend Code section 73-218, relating to samples; to amend Code section 73-220, relating to self-measuring pumps; to enact Code section 73-220 (b), authorizing the State Revenue Commissioner to regulate the calibration of tank trucks, meters, containers and other measures used in dispensing petroleum products and to seize and condemn same when it is determined that they are inaccurate and cannot be adjusted to give accurate measurement; to amend section 73-9904 and section 73-9905, which prescribe criminal penalties for violation of distillation tests and operation of condemned self-measuring gasoline pumps so as to provide that such criminal penalties shall apply for violation of regulations of the State Revenue Commissioner prescribing specifications for petroleum products and measuring tolerances; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That Chapter 73-2 of the Code of Georgia, relating to the inspection, sale, etc., of gasoline, kerosene, and other petroleum products, be amended by striking the words Comptroller General wherever they appear in said Chapter, as amended, and substituting in lieu thereof the words State Revenue Commissioner. Revenue Commissioner. Section 2. That Code section 73-201, relating to the term of office and salary of the State Oil Chemist, be amended by striking therefrom the last sentence thereof which reads, Said Chemist shall hold office for a period of four years, unless sooner removed for cause, as hereinafter

Page 1045

provided; and he shall receive a salary of $3,000 per annum, payable monthly. Oil Chemist, Code 73-201 amended. Section 3. That Code section 73-202, as amended, relating to the appointment, number, term, salaries, and expenses of State Oil Inspectors, be amended by striking same in its entirety and substituting in lieu thereof the following Code section 73-202: Oil Inspectors, Code 73-202 amended. 73-202. The State Revenue Commissioner is authorized to employ such number of oil inspectors as he deems necessary to enforce the provisions of this Chapter, and such oil inspectors so appointed shall be allowed such expenses as shall be approved by the Commissioner. Section 4. That Code section 73-203, relating to the total expenses authorized for the enforcement of said Chapter, be amended by striking therefrom the last part of the first sentence reading, ... but the total of such expenses shall not exceed the sum of $20,000 annually; so that including all salaries, as herein provided, and for the enforcement of said Chapter the total appropriation shall not exceed the sum of $51,800. Expenses, Code 73-203 amended. Section 5. That Code section 73-204, relating to the method of payment of the State Oil Chemist and State Oil Inspectors and other expenses, be amended by striking same in its entirety and substituting in lieu thereof the following Code section 73-204: 73-204. The compensation of the State Oil Chemist, State Oil Inspectors, and the expenses of enforcing this Chapter shall be paid in the same manner as compensation and expenses of other employees of the Revenue Department are paid. Salaries and expenses. Code 73-204 amended. Section 6. That Code section 73-205, relating to bonds of the State Oil Chemist and State Oil Inspectors, be amended by striking same in its entirety and substituting in lieu thereof the following Code section 73-205: 73-205. The State Revenue Commissioner is authorized

Page 1046

to have the State Oil Chemist and State Oil Inspectors bonded for the faithful performance of their respective duties at the expense of the Revenue Department if, and to the extent, he deems it necessary for the proper protection of the State and the public. Bonds, Code 73-205 amended. Section 7. That Code section 73-208, relating to the right of inspection and examination, be amended by striking the word oils in the first sentence thereof and substituting in lieu thereof the words petroleum products. Right of inspection Code 73-208 amended. Section 8. That Code section 73-210, relating to qualifications of dealers, be amended by striking the last clause of said section and substituting in lieu thereof the words ... and that all such products are in conformity with the specifications established pursuant to this Chapter by the State Oil Chemist and approved by the State Revenue Commissioner. Qualifications of dealers, Code 73-210 amended. Section 9. That Code section 73-214 relating to shipments into the State and samples thereof, be amended by adding after the words gasoline and kerosene wherever they appear the words and other petroleum products used for heating, cooking, illuminating or power purposes and that said Code section be further amended by striking the words not less than eight ounces and inserting in lieu thereof the words such size as designated by the Commissioner but not in excess of sixteen ounces. Shipments and samples, Code 73-214 amended. Section 10. That Code section 73-216, relating to tests, specifications and changes of specifications, as amended, be amended by renumbering same as Code section 73-216 (a), and by striking same in its entirety and substituting in lieu thereof the following Code section 73-216 (a): 73-216 (a). The State Revenue Commissioner shall have authority to prescribe such rules and regulations, consistent with the terms, intent and purposes of this Chapter as he finds necessary for the proper administration and enforcement hereof. He shall establish by regulation specifications for the various petroleum products used for heating, cooking, illuminating or power purposes

Page 1047

in this State so as to provide quality control and suitability for the intended use of such products and the effective enforcement of the revenue laws pertaining to the sale, distribution or use of such products, and shall have authority to change such specifications, but only after giving 60 days notice and a public hearing in regard to such changes to refiners and distributors doing business in this State. Rules and regulations. Section 11. That an additional Code section, to be numbered 73-216 (b), be enacted authorizing injunctions for the enforcement of this Chapter and reading as follows: (b) Whenever the State Revenue Commissioner shall find any person willfully marketing petroleum products in this State which are regulated by this Chapter and which do not comply with the prescribed specifications therefor, or otherwise willfully marketing petroleum products in violation of this Chapter and rules and regulations promulgated pursuant hereto, he shall be authorized to apply to the superior court having jurisdiction over the offender for an injunction against the continuance of any such violations. The appropriate superior court shall have jurisdiction, upon hearing and for cause shown, to grant such temporary or permanent injunction restraining further violations as the circumstances appear to require. Injunctions, Code 73-216 (b) enacted. Section 12. Section 73-217 of the Code of Georgia relating to the duties, expense accounts and reports of Oil Inspectors is hereby repealed in its entirety. Code 73-217 repealed. Section 13. That Code section 73-218, relating to samples, be amended by striking same in its entirety and substituting in lieu thereof the following Code section 73-218: 73-218. The State Revenue Commissioner shall, from time to time, collect, or cause to be collected samples of all petroleum products subject to regulation under this Chapter which are sold, offered, or exposed for sale in

Page 1048

this State and cause such samples to be tested or analyzed by the State Oil Chemist. The State Oil Chemist shall certify, under oath, an analysis of each such sample and such certificate shall be competent evidence of the composition of such petroleum product in any legal proceeding. Samples to be analyzed, Code 73-218 amended. Section 14. That Code section 73-220, relating to self-measuring pumps, be amended by renumbering same 73-220 (a), and by striking the words at least once every 90 days from the end of the first sentence of said Section and also by striking the second and third sentences of said Section and substituting in lieu thereof two new sentences as follows: ... All such pumps found to be giving accurate measure within the tolerance established by regulations of the Commissioner shall have the adjusting device sealed with an official lead and wire seal applied by an inspector duly authorized by the Commissioner in such a manner that the adjustment cannot be altered without breaking the seal. If any pump shall be found to be giving inaccurate measure in excess of the tolerance established by regulations of the Commissioner, the inspector shall then and there notify the operator of the pump, whether owner or lessee, to make the necessary adjustments, the inspector to lend his assistance with the standard measure provided for testing such pumps; after the adjustments shall have been made, the adjusting devices shall be sealed in the manner provided for those pumps found originally accurate. Pumps, Code 78-220 amended. Section 15. That an additional Code section, to be numbered 73-220 (b), be enacted, authorizing the State Revenue Commissioner to regulate the calibration of tank trucks, meters, containers and other measures used in dispensing petroleum products, and reading as follows: (b) The State Revenue Commissioner is authorized to prescribe regulations governing the calibration of tank trucks, meters, containers and other measures used in dispensing petroleum products subject to regulation under

Page 1049

this Chapter and when any such measure is found giving inaccurate measure and such condition cannot be, or is not, adjusted to the requirements of the regulations, then such measures shall be seized by the Commissioner, or his agents, and subject to condemnation in a manner similar to that prescribed in Code section 73-220 (a), or destroyed if the court shall find that the measure cannot be properly adjusted. Tank trucks, Code 73-220 (b) enacted. Section 16. Section 73-9904 of the Code of Georgia which provides criminal penalties for violating distillation tests for gasoline and kerosene is hereby repealed in its entirety and a new Code section to be known as section 73-9904 is hereby enacted in lieu thereof to read as follows: 73-9904. Sale of petroleum products not complying with specifications. Any manufacturer, refiner, wholesaler, jobber or vendor, who shall violate any provisions of section 72-216 or any regulation issued pursuant thereto prescribing specifications for the various petroleum products regulated by this Act shall be guilty of a misdemeanor. Section 17. Section 72-9905 of the Code of Georgia prescribing criminal penalties for the operation of condemned self-measuring gasoline pumps is hereby repealed in its entirety and a new Code section to be known as section 73-9905 is hereby enacted in lieu thereof to read as follows: Section 73-9905. Operating condemned self-measuring gasoline pumps. Any person, company, firm or corporation who shall operate any pump, without the written consent of the State Revenue Commissioner, which has been condemned by a duly authorized inspector as provided for in Chapter 73-2 because of giving short measure in excess of the tolerance established by regulation of the State Revenue Commissioner shall be deemed guilty of a misdemeanor. Section 18. The term Petroleum Products as used in

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this Act shall in no way be construed to include Liquefied Petroleum Gas as defined in Ch. 73-302 Code of Georgia (Acts of 1949, p. 1128). Intent. Section 19. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 17, 1960. REVENUE BOND LAW OF 1937 AMENDED. No. 776 (House Bill No. 1012). An Act to amend an Act entitled Revenue Bond Law, approved March 31, 1937 (Ga. L. 1937, p. 761 et seq.) as amended, so as to strike from section 5 thereof the provision that bonds issued under the law shall be sold at no less than par; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That section 5 of the Revenue Bond Law, approved March 31, 1937 (Ga. L. 1937, pp. 761 et seq.) as amended, relating to the provisions and sale of revenue bonds, is hereby amended by striking from said section as amended the following sentence: Said bonds shall be sold at not less than par, so that said section when amended shall read as follows: Section 5. Revenue bonds may be issued under this Act in one or more series; may bear such date or dates; may mature at such time or times, not exceeding 30 years from their respective dates; may bear interest at such rate or rates, not exceeding six per cent. per annum, payable at such time or times; may be payable in such medium of payment at such place or places; may be in such denomination or denominations; may be in such form either coupon or registered; may carry such registration, conversion, and exchangeability privileges; may be subject

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to such terms of redemption with or without premium; may be declared or become due before the maturity date thereof; may be executed in such manner; and may contain such terms, covenants, assignments and conditions as the resolution or resolutions authorizing the issuance of such bonds may provide. All bonds issued under this Act bearing the signature of officers in office on the date of the signing thereof shall be valid and binding notwithstanding that before the delivery thereof and payment therefor, such officers whose signatures appear thereon shall have ceased to be officers of the municipality issuing the same. Pending the preparation of the definitive bonds, interim receipts, in such form and with such provisions as the governing body may determine, may be issued to the purchaser or purchasers of bonds to be issued under this Act. Said bonds and interim receipts shall be negotiable for all purposes, and said bonds shall be and are hereby declared to be nontaxable for any and all purposes. Price of bonds sold. Section 2. All laws and parts of laws in conflict herewith are hereby repealed. Approved March 17, 1960. NOTARIES PUBLICGRANTING OF COMMISSIONS TO NON-RESIDENTS. No. 780 (House Bill No. 1018). An Act to provide for the granting of a commission as a notary public to any person who resides in a State bounding the State of Georgia who carries on a profession or business in the State of Georgia, or who is regularly employed in the State of Georgia; to provide for the qualifications of said persons; the manner of obtaining the commission of a notary public and from whom obtained; and for other purposes. Be it enacted by the General Assembly of the State of

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Georgia and it is hereby enacted by authority of same as follows: Section 1. Any person who is a resident of a State bordering on the State of Georgia and who carries on a business or profession in the State of Georgia or who is regularly employed in the State of Georgia may be commissioned a notary public by the clerk of the superior court of the county in which they carry on said profession, business, or employment. Qualifications. Section 2. Such person wishing to be commissioned as a notary public shall be eighteen years of age or more and of good character. Same. Section 3. Such person shall make application to the clerk of the superior court in the county in which such profession, business or employment takes place and, upon the payment of the usual fees to the clerk, shall be issued a certificate as a notary public of this State and shall be authorized to perform all of the duties and exercise all of the powers and authorities now in effect relating to notaries public who are residents of this State. How commissioned. Section 4. Be it further enacted that all laws or parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. URBAN REDEVELOPMENT ACT OF 1955 AMENDEDPOSTING NOTICES ON PROPERTY. No. 812 (House Bill No. 1064). An Act to provide for the rehabilitation, clearance and redevelopment of slums in cities and towns in this state in accordance with urban redevelopment plans approved by the governing bodies thereof; to grant and define the rights, powers, functions, duties, privileges, liabilities, immunities and exemptions of such cities and

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towns in undertaking such activities, including the power to acquire property by eminent domain or otherwise, to dispose of property to private persons or public bodies subject to any restrictions deemed necessary to prevent the development or spread of slums, to issue bonds and other obligations and give security therefor, to levy taxes and assessments and to enter into agreements to secure federal aid and comply with conditions imposed in connection therewith; to provide that such bonds or other obligations shall be legal investments for banks, building and loan associations, insurance companies, fiduciaries and other persons or organizations whose investments are limited by state law; to authorize municipalities to establish urban redevelopment agencies and to define the method of establishing such agencies; to authorize such urban redevelopment agencies or housing authorities now or hereafter created by law to exercise the rights, powers, functions, duties and privileges granted to cities and towns hereunder, including the power of eminent domain, and to vest such urban redevelopment agencies or housing authorities with the liabilities, immunities and exemptions of such cities and towns hereunder if a city or town determines it to be in the public interest; to authorize public bodies to furnish funds, services, facilities, and property in aid of urban redevelopment projects hereunder; to authorize cities and towns to obtain funds therefor by the issuance of obligations, by taxation or otherwise; to provide that securities issued, and properties while held by a city or town or urban redevelopment agency or housing authority or other public agency hereunder shall be exempt from taxation; to authorize cities and towns to cause the repair, closing, and demolition of dwellings unfit for human habitation; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act to provide for the rehabilitation, clearance and redevelopment of slums in cities and towns in this state in accordance with urban redevelopment plans approved by the governing bodies thereof; to grant

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and define the rights, powers, functions, duties, privileges, liabilities, immunities and exemptions of such cities and towns in undertaking such activities, including the power to acquire property by eminent domain or otherwise, to dispose of property to private persons or public bodies subject to any restrictions deemed necessary to prevent the development or spread of slums, to issue bonds and other obligations and give security therefor, to levy taxes and assessments and to enter into agreements to secure Federal aid and comply with conditions imposed in connection therewith; to provide that such bonds or other obligations shall be legal investments for banks, building and loan associations, insurance companies, fiduciaries and other persons or organizations whose investments are limited by state law; to authorize municipalities to establish urban redevelopment agencies and to define the method of establishing such agencies; to authorize such urban redevelopment agencies or housing authorities now or hereafter created by law to exercise the rights, powers, functions, duties and privileges granted to cities and towns hereunder, including the power of eminent domain, and to vest such urban redevelopment agencies or housing authorities with the liabilities, immunities and exemptions of such cities and towns hereunder if a city or town determines it to be in the public interest; to authorize public bodies to furnish funds, services, facilities, and property in aid of urban redevelopment projects hereunder; to authorize cities and towns to obtain funds therefor by the issuance of obligations, by taxation or otherwise; to provide that securities issued, and properties while held by a city or town or urban redevelopment agency or housing authority or other public agency hereunder shall be exempt from taxation; to authorize cities and towns to cause the repair, closing, and demolition of dwellings unfit for human habitation; to repeal conflicting laws; and for other purposes, approved March 3, 1955 (Ga. L. 1955, p. 354) is hereby amended by adding to section 18 thereof a new paragraph numbered (d), which shall read as follows: (d) Provision for the posting of notices on dwellings

Page 1055

and other structures intended for human habitation indicating the actions taken by enforcement officials or the court with respect thereto, and the fixing of penalties for the defacing, destruction or removal of such notices; provided however that no such notice shall be posted on any property then designated by proper governmental authority for acquisition by eminent domain. Notices on property. Section 2. All laws and parts of laws in conflict herewith are hereby repealed. Approved March 17, 1960. REVENUEALLOWANCES FOR DEPRECIATION AND DEPLETION IN COMPUTING NET INCOME. Code 92-3109 Amended. No. 818 (House Bill No. 1076). An Act to amend Code section 92-3109, relating to deductions in computing net income for income tax purposes, so as to authorize the State Revenue Commissioner to permit the use of methods of depreciation defined in section 179 of the United States Internal Revenue Code; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 92-3109, as amended, is amended by adding at the end of subsection (f) the words Provided that the State Revenue Commissioner is hereby authorized to permit the use of methods of depreciation contained in section 179 of the United States Internal Revenue Code., so that said section as amended hereby shall read as follows: (f) Depreciation and depletion. A reasonable allowance for the depreciation and obsolescence of property used in a trade or business; and in the case of mines,

Page 1056

oil and gas wells, other natural deposits, and timber, a reasonable allowance for depletion: Provided that after the cost has been recovered or restored through depreciation previously allowed for either Federal or State income tax purposes no further deduction shall be allowed. The amount allowed as a deduction for depreciation or depletion shall in no instance exceed the amount so allowed in a return filed with the Federal Government for the same period, but the amount allowed as a deduction for percentage depletion in the case of mines, oil and gas wells, other natural deposits and timber shall be the same depletion as now allowed under Federal Internal Revenue Code section 114 (b) (3), (4). In the case of property described in section 167 (c) of the Federal Internal Revenue Code of 1954 the term `reasonable allowance for the depreciation and obsolescence of property' as used in this subsection shall include (but shall not be limited to) an allowance computed in accordance with regulations prescribed by the State Revenue Commissioner under any of the methods described in paragraphs (2), (3), and (4) of section 167 (b) of the Federal Internal Revenue Code of 1954: Provided that the State Revenue Commissioner is hereby authorized to permit the use of methods of depreciation contained in section 179 of the United States Internal Revenue Code. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

Page 1057

EASEMENT ON CROOKED RIVER STATE PARK PROPERTY RATIFIED. No. 143 (Senate Resolution No. 84). A Resolution. Ratifying an easement granted by the Governor to the United States of America for the purpose of a safety zone in the Crooked River State Park in Camden County, Georgia. Whereas, the Governor did on December 2, 1957, grant a certain easement to the United States of America for the purpose of a safety zone on Crooked River State Park Property in Camden County, Georgia, in connection with King's Bay Ammunition Loading Terminal, said easement providing that it was granted conditioned on ratification by the General Assembly; and Whereas, the State of Georgia will receive therefor from the United States the sum of fourteen hundred ($1400.00) dollars, in addition to the great public benefit to be derived therefrom by the State, said easement to revert in the event it is ever abandoned for the use for which granted; and Whereas, said easement would not adversely affect the operation of Crooked River State Park, as the property affected thereby is for the most part marsh lands; and Whereas, said property affected by said easement is described as follows: All that tract or parcel of land lying and being in the 29th G. M. District, Camden County, Georgia, bounded on the Northwest by land of Crooked River State Park, on the east by the line of the high land and marsh land and land of Marion F. and L. D. Pacetty, on the south

Page 1058

by land of Marion F. and L. D. Pacetty, and being more particularly described as follows: Beginning at a point, a corner to the land of Marion F. and L. D. Pacetty, land of Marion F. Pacetty, and land of L. D. Pacetty, and land of Crooked River State Park; thence along a new line through the land of Crooked River State Park N 56 15[prime], E, 5,210 feet to a point in the line of the high land marsh; thence along the line of the high land and marsh as it meanders in a southwesterly direction approximately 3,340 feet to a point, a corner to the land of Marion F. and L. D. Pacetty; thence along the land of Marion F. and L. D. Pacetty S 41 20[pr[prime] W, 797 feet; thence S 26 45[pr[prime] W 267 feet; thence S 66 45[prime] W, 267 feet; thence N 67 17[prime] W, 2,176 feet to point of beginning, containing 141.30 acres, more or less. The land as described is a part of the land conveyed by Camden County, Georgia, to the State of Georgia (Crooked River Park) by a deed dated 7 March 1939, and recorded in deed book MM, page 426, of the records of Camden County, Georgia. Now therefore be it resolved by the General Assembly of Georgia in consideration of the premises stated, that the aforesaid easement and the action of the Governor in executing same be and the same are hereby ratified and confirmed. Approved March 17, 1960.

Page 1059

LAND CONVEYANCE TO CITY OF THOMSON AUTHORIZED. No. 146 (Senate Resolution No. 93). A Resolution. Whereas, a resident of the City of Thomson and the County of McDuffie did, on April 24, 1950, cause certain lands to be conveyed to Tom Linder, Commissioner of Agriculture, by deed of Leonard N. Lokey, Inc. which deed is recorded in deed book_____ at pages 213-14 in the office of the Clerk of Superior Court of McDuffie County, Georgia, for use as a site for the operation of a farmer's market; and, Whereas, portions of said property have heretofore been conveyed by the State of Georgia to the City of Thomson for use in connection with the Water Works System of said city; and, Whereas, the remaining portion of said property is adjacent to the water reservoir and filter plant of the water works system of the said City of Thomson and is of little value to the State of Georgia, said remaining portion of said property being described as follows: All that lot, tract or parcel of land situate, lying and being in the 134th District G. M. of McDuffie County, Georgia, containing 13.52 acres, more or less, and being more particularly described by reference to plat of survey thereof made by Charles W. Elam, R. L. S., on November 16, 1959, as follows: Beginning at a point on the southern edge of the right of way of U. S. Highway No. 78, which point marks the northeast corner of the property herein described and the northwest corner of property of Mrs. F. C. Penuel, and is identified by an iron pipe; and from such point proceeding south 28 degrees 30 minutes west along the line of property of Mrs. F. C. Penuel for a distance of 561.5 feet to property of City of Thomson; thence proceeding along the line of property of the City of Thomson

Page 1060

north 22 degrees 45 minutes west for a distance of 28.3 feet, south 89 degrees 42 minutes west for a distance of 218.7 feet, north 22 degrees 45 minutes west for a distance of 132.9 feet and south 67 degrees 15 minutes west for a distance of 624.1 feet to an iron rod on the property line of other property of Mrs. F. C. Penuel; thence proceeding north 15 degrees 13 minutes east along the line of property of Mrs. F. C. Penuel for a distance of 815.7 feet to an iron pipe and property of L. R. Reese; thence proceeding south 64 degrees 49 minutes east for a distance of 105.0 feet to an iron pipe; thence proceeding north 15 degrees 13 minutes east for a distance of 210.0 feet to an iron pipe located on the southern edge of the right of way of U. S. Highway 78; and thence proceeding south 64 degrees 49 minutes east along the southern edge of the right of way of U. S. Highway No. 78 for a distance of 840.9 feet to an iron pipe, the point of beginning. Said property is bounded on the north by the right of way of U. S. Highway No. 78; on the east by property of Mrs. F. C. Penuel; on the south by property of the City of Thomson; and on the west by property of Mrs. F. C. Penuel and lot of L. R. Reese; Whereas, said property will be of invaluable use to the City of Thomson, McDuffie County, Georgia; and, Whereas, the farmer's market originally intended to have been operated on said property is not and has not been in operation for more than four years and said property is of little value to the State of Georgia; and, Whereas, under existing law, such property must be declared surplus to the State of Georgia before the Governor may execute a deed of conveyance; and, Whereas, the City of Thomson is a municipal corporation under the laws of the State of Georgia and is empowered to receive conveyances in fee simple of such real property;

Page 1061

Now, therefore, be it resolved by the House of Representatives, the Senate concurring, that such described property, consisting of a total of 13.52 acres, more or less, is hereby declared and determined to be surplus to the State of Georgia, and that the Governor and the Commissioner of Agriculture are empowered, authorized and directed to execute in behalf of the interest of the State of Georgia therein, all necessary deeds or other conveyances for a nominal consideration, which may be required to vest title in the City of Thomson. Approved March 17, 1960. PURCHASE AND USE OF STATION WAGONS AT INSTITUTIONS FOR THE BLIND AUTHORIZED. No. 149 (Senate Resolution No. 104). A Resolution. To authorize the Georgia Academy for the Blind and the Georgia School for the Deaf to purchase, maintain and use a passenger carrying station wagon motor vehicle at each institution to transport the students of said schools; and for other purposes. Whereas, the Georgia Academy for the Blind, located in Macon, is a residential school for visually handicapped children; and the Georgia School for the Deaf, located in Cave Spring, is a residential school for deaf children; and Whereas, a passenger carrying motor vehicle is necessary to transport students and their luggage from bus and train depots, and to transport students to and from the doctor, dentist, and other emergency situations that arise from time to time during the day and night; and

Page 1062

Whereas, numerous such trips are necessary due to the fact that the students come from all areas of the State, and often these trips are made after dark and in heavy traffic; but Whereas, truck-type motor vehicles are hard to maneuver and consequently dangerous in heavy traffic, and are not economical to use in transporting small groups of handicapped students; Now, therefore, be it resolved by the General Assembly of Georgia: That the Georgia Academy for the Blind and the Georgia School for the Deaf, units of the State Department of Education, are hereby authorized to purchase, maintain, and use a passenger carrying motor vehicle, such as a station wagon or similar type, at each institution to be used for the sole purpose of transporting handicapped children of the Georgia Academy for the Blind and the Georgia School for the Deaf. Approved March 17, 1960. DAVID KNOTT BRIDGE DESIGNATED. No. 157 (Senate Resolution No. 127). A Resolution. To designate the David Knott Bridge; and for other purposes. Whereas, the late David Knott was a resident of Pike County for seventy (70) years; and Whereas, the said David Knott was a fisherman and man-of-the-river; and Whereas, for fifty (50) years the late David Knott

Page 1063

fished in the waters of the Flint River in Pike County; and Whereas, the late David Knott used for some fifty (50) years a tree bordering the Flint River to moor his boat and conduct his fishing activities; and Whereas, Mr. Knott graciously condescended to select another mooring site for his boat and fishing activities and allowed said tree to be cut down in order that a proposed right of way for the construction of a bridge spanning the Flint River and connecting Pike and Meriwether Counties might be cleared; and Whereas, it is only fitting and proper that some recognition be made for his outstanding services to the religious and civic life of his community and for the sacrifice of his mooring site; Now, therefore, be it resolved by the General Assembly of Georgia that the bridge over the Flint River which connects Pike and Meriwether Counties on the Flat Shoals Road be named for the Honorable David Knott, and shall henceforth be known as The David Knott Bridge. Be it further resolved, and it is directed that the State Highway Board make this of record and place a befitting marker, plaque, or other means of identification on the aforesaid bridge indicating that said bridge is named The David Knott Bridge. Be it further resolved that a copy of this resolution be furnished to the Clerk of the Superior Court of Pike County and to the members of the late David Knott's family, to be sent in care of Neel Knott, Pike County. Approved March 17, 1960.

Page 1064

MENTAL HEALTH STUDY COMMITTEE CREATED. No. 159 (House Resolution No. 272-600). A Resolution. Creating the Mental Health Study Committee; and for other purposes. Whereas, it is the desire of the General Assembly that a comprehensive mental health program be instituted and established in the State of Georgia; and Whereas, the Mental Health Laws of the State of Georgia and the problems of the mentally defective, mentally retarded, mentally ill, and seniles need additional study; and Whereas, great effort should be exerted to receive Federal aid for the mental health programs existing in and being sought for the State of Georgia; and Whereas, it is the desire of the General Assembly to create a Mental Health Study Committee; Now, therefore, be it resolved by the General Assembly of Georgia that there is hereby created a Mental Health Study Committee. Said Committee shall consist of three members of the Senate to be appointed by the President of the Senate, and five members of the House of Representatives to be appointed by the Speaker of the House of Representatives. The Committee shall meet within thirty (30) days after all of its members have been named for the purpose of organizing, and at said meeting, a chairman, a secretary, and such other officers as deemed desirable by the Committee shall be elected. For the purpose of setting the date of such first meeting making the necessary arrangements relative thereto and presiding until a chairman is elected, the President of the Senate or the Speaker of the House of Representatives shall preside and act as chairman. At such first meeting, the Committee

Page 1065

shall adopt procedures for its operation and act upon such other matters as deemed advisable. Future meetings of the Committee shall be held upon call of the Chairman and under such other procedures as may be adopted by the Committee. A majority of the membership of the Committee shall constitute a quorum, and a majority vote of the quorum shall be sufficient for transacting the business of the Committee. Created, members, etc. The Committee is hereby authorized and empowered to make a study and investigation into the operations of the various departments and agencies of the State Government dealing with Mental Health, and the problems of the mentally defective, mentally retarded, mentally ill, and seniles. The Committee is further authorized to exert every effort to obtain the maximum Federal aid for the mental health programs existing in and being sought for the State of Georgia, and to do all things necessary in order that the State of Georgia shall have a comprehensive mental health program. All officials and employees of the various departments and agencies of the State Government are hereby directed to cooperate with the said Committee and furnish such information, records and documents of every kind which shall be required or requested by the Committee. Any person, firm or corporation who sells or offers to sell any materials, supplies or equipment of any kind to the State, and any person, firm or corporation who performs any service for the State is also directed to cooperate with the said Committee and furnish any information, record and documents of every kind which shall be required or requested by the Committee. The Committee is hereby authorized to create subcommittees and adopt any procedures which will best serve the purpose for which it is created. The Chairman is hereby authorized to appoint subcommittees and name the chairman of each subcommittee. Any subcommittee is hereby given the same power and authority as is granted the full Committee. The Committee

Page 1066

shall make its report to the Speaker of the House and President of the Senate no later than October 1, 1960 and said Committee shall cease to exist as of January 15, 1961. The Committee shall be authorized to meet for no more than a total of fifteen (15) days. The members of the Committee shall receive the compensation, per diem, expenses and allowances which are authorized for members of interim legislative committees for the days upon which they perform services under this resolution between sessions of the General Assembly, but shall receive no additional funds whatsoever during sessions of the General Assembly other than the funds received for being a member of the General Assembly. All funds necessary for the purpose of this resolution shall come from the funds appropriated to the legislative branch of the government and from any other available funds. The Chairman of the Committee shall sign all requests for payment of any funds expended under the terms of this resolution, and all such requests shall be presented to the State Treasurer to payment. The Committee is hereby authorized to make such reports from time to time as it deems desirable and shall provide for the distribution of such reports to members of the General Assembly, State officials, the press and such other persons as deemed advisable by the Committee. Approved March 17, 1960. EXECUTIVE ORDER SUSPENDING SALES AND USE TAX AS TO CERTAIN HOSPITALS RATIFIED. No. 161 (House Resolution No. 329-715). A Resolution. To ratify, approve and confirm the executive order of the Governor, dated April 20, 1959, suspending, to an extent, the collection of the tax imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act on purchases and uses of tangible personal property

Page 1067

by certain hospitals until the next meeting of the General Assembly; to repeal conflicting laws; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. That the executive order of the Governor, dated April 20, 1959, which is as follows: Whereas: There are a number of hospitals in this State which are in law and fact public instrumentalities being supported at times by public funds, administered, directly or indirectly, in whole or part, by public officials and representing efforts on the part of the State, counties and municipalities, or a combination thereof, to perform a public hospitalization function; and Whereas: As construed and interpreted by the Court of Appeals, the exemption accorded the State, counties and municipalities from the tax imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act (Ga. L. 1951, p. 360) does not extend to the purchases and uses of tangible personal property by these hospitals; and Whereas: To the extent that the State or a county, or a municipality, does contribute public funds to the operation of such hospitals, it appears to be in accord with the spirit of the Georgia Retailers' and Consumers' Sales and Use Tax Act that some abatement of the sales and use tax liability of such hospitals commensurate with such contributions be permitted; and Whereas: Code section 40-205 of the Code of Georgia provides that the Governor of the State may suspend collection of taxes, or any part thereof, due the State until the next meeting of the General Assembly but no longer; It is, therefore, ordered: That the collection of the tax imposed by the Georgia Retailers' and Consumers'

Page 1068

Sales and Use Tax Act on purchases and uses of tangible personal property by a hospital organization operating in this State which is supported by public funds, administered by a board or committee made up in whole or in part by public officials in their capacities as public officials, or by persons appointed by public officials in their capacities as public officials, and which represent an effort on the part of the State, or any county or municipality, or a combination thereof, to perform a public hospitalization function be suspended until the ratification or rejection of this Executive Order by the General Assembly of Georgia at the next session thereof, as provided by law, to the following extent: At the end of such hospital's fiscal year, a credit shall be computed which shall be that portion of the sales and use tax paid during such fiscal year by such hospital organization as the contributions made from public funds by any municipality, or county, or the State, or any combination thereof, to the operating expenses and equipment purchases of such hospital organization bears to the total operating expenses and equipment purchases of such hospital organization for such fiscal year. Such credit shall be allowed such hospital organization against its sales and use tax liability for succeeding taxable periods until exhausted but such credit shall not bear interest and shall not be the basis of a claim for refund. This Executive Order shall be applied retroactively to April 1, 1951, but, due to the confusion which has existed in the administration of this Act with respect to such hospital organizations, no penalties or interest shall be collected on any delinquent amounts found to be due. This 20th day of April, 1959. /s/ S. Ernest Vandiver Governor. is hereby ratified, approved, and confirmed.

Page 1069

Section 2. All laws, or parts of laws, in conflict with this resolution are hereby repealed. Approved March 17, 1960. EXECUTIVE ORDER AUTHORIZING SUSPENSION OF CERTAIN PENALTIES IN CONNECTION WITH LATE FILING, ETC. OF TAX RETURNS RATIFIED. No. 162 (House Resolution No. 330-715). A Resolution. To ratify, approve, and confirm the executive order of the Governor, dated September 23, 1959, authorizing the State Revenue Commissioner to suspend, until the next meeting of the General Assembly, the collection of any tax which has accured by reason of any penalty under the revenue laws of this State under certain circumstances; to repeal conflicting laws; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. That the executive order of the Governor, dated September 23, 1959, which is as follows: Whereas: In the matter of penalties for failing to file tax returns and failing to pay taxes within the time prescribed by law, it appears that the State Revenue Commissioner, with respect to some taxes, has no discretion to waive such penalties, while, with respect to other taxes, he has such a discretion; and Whereas: It appears desirable that there be a uniform rule with regards to all taxes; and Whereas: Such penalties are assessable and payable as taxes; and

Page 1070

Whereas: Code section 40-205 of the Georgia Code authorizes the Governor to suspend collection of taxes, or any part thereof, due the State until the next meeting of the General Assembly; It is, therefore, ordered: That the State Revenue Commissioner suspend, until the next meeting of the General Assembly, the collection of any tax which has accrued by reason of any penalty under the revenue laws of this State, or any part thereof, whenever, or to the extent that, he shall determine that the default giving rise thereto was due to reasonable cause and not due to gross or willful neglect or disregard of the law, regulations or instructions pertaining thereto. This 23 day of September, 1959. /s/ S. Ernest Vandiver Governor. is hereby ratified, approved and confirmed. Section 2. All laws, or parts of laws, in conflict with this resolution are hereby repealed. Approved March 17, 1960. AUTHORITY TO PAY EXPENSES OF WILDLIFE RANGERS. No. 170 (House Resolution No. 349-741). A Resolution. To authorize the payment of outstanding expenses incurred by wildlife rangers in the performance of their duties; and for other purposes. Whereas, the General Assembly of Georgia authorized the payment to wildlife rangers a subsistence allowance

Page 1071

not to exceed $5.00 per diem for each day actually spent in the performance of the duties of the ranger, and pursuant to such authority, the State Game and Fish Commission paid to and considered the subsistence allowance as a part of the total compensation of each ranger; and Whereas, some of the wildlife rangers of this State have incurred in the performance of their duties expense in excess of the per diem authorized by law and because of the limitation in the amount of the per diem and the per diem being figured and included as a part of the total compensation such expenses cannot be paid; Now, therefore, be it resolved by the General Assembly of Georgia that the State Game and Fish Commission be and it is hereby authorized to pay to the wildlife rangers of this State outstanding expenses incurred in the performance of their duties for the reasons hereinabove enumerated. Approved March 17, 1960. BOARD OF REGENTS OF UNIVERSITY SYSTEM AUTHORIZED TO CONVEY LANDS IN TIFT COUNTY. No. 173 (House Resolution No. 374-825). A Resolution. Authorizing the Regents of the University System of Georgia to convey certain property in Tift County to the United States Government; and for other purposes. Whereas, The Board of Regents of the University System of Georgia is presently utilizing some 5.255 acres of land located in Tift County for carrying on

Page 1072

the work of the Georgia Coastal Plain Experiment Station, and Whereas, the United States Department of Agriculture is contemplating the erection of an experiment station in Tift County and desires to utilize such land, and Whereas, such land is surplus and can no longer be used by the State, Now, therefore, be it resolved by the General Assembly of Georgia, that the Regents of the University System of Georgia is hereby authorized to convey the land located in Tift County, hereinafter described, to the United States Government. Said conveyance shall be made on behalf of said Regents and the State of Georgia in the manner described by an Act approved March 20, 1935 (Ga. L. 1935, p. 168) (Ga. Code Ann. sec. 32-141). Be it further resolved, that the property authorized to be conveyed hereby is more particularly described as follows: All that tract or parcel of land lying or being in the sixth land district of originally Irwin, now Tift County, Georgia, being 5.255 acres of lot of land number 262 and bounded as follows: On the north by a paved county-maintained road known as Davis Road; on the east by property of Georgia Coastal Plain Experiment Station; on the south by property of the Georgia Coastal Plain Experiment Station, including a station-owned street, and on the west by property of the Georgia Coastal Plain Experiment Station, said tract of land more particularly described as follows: Beginning at a point on the north side of the right-of-way of a station street, the northwest corner of land lot 262 being north 65 degrees 30 minutes west

Page 1073

a distance of 2150 feet from said point of beginning, and running along the north right-of-way of said station street north 89 degrees 15 minutes east a distance of 131 feet; thence north 0 degrees 45 minutes west a distance of 74 feet; thence north 89 degrees 15 minutes east a distance of 173 feet; thence north 0 degrees 45 minutes west a distance of 220 feet; thence north 79 degrees 15 minutes east a distance of 319.7 feet; thence north 27 degrees 35 minutes west a distance of 62.5 feet; thence north 19 degrees 5 minutes west a distance of 40.5 feet; thence north 67 degrees 57 minutes west along the south right-of-way boundary of Davis Road a distance of 627.3 feet; thence south 0 degrees 45 minutes east a distance of 686.4 feet to the point of beginning. All according to survey by James L. Shepherd, Registered Surveyor, dated September 24, 1959. Approved March 17, 1960. SUSPENSION OF SALES AND USE TAX ON CERTAIN TRANSACTIONS BY EXECUTIVE ORDER RATIFIED. No. 174 (House Resolution No. 375-825). A Resolution. To ratify, approve and confirm the executive order of the Governor, dated January 8, 1960, suspending the collection of the tax imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act attributable to the inclusion in the case of said tax of sales made by dealers thereunder to the United States or its instrumentalities until the next meeting of the General Assembly; to repeal conflicting laws; and for other purposes.

Page 1074

Be it resolved by the General Assembly of Georgia: Section 1. That the executive order of the Governor, dated January 8, 1960, which is as follows: Whereas: On March 20, 1959, the Attorney General rendered an official opinion to the State Revenue Commissioner to the effect that the Georgia Retailers' and Consumers' Sales and Use Tax Act as interpreted by the Supreme Court of Georgia, required the inclusion in the base of the tax imposed by said Act of sales made to the United States and its instrumentalities; and Whereas: Enforcement of said Act in accordance with this opinion would have constituted a reversal of previous administrative action by the Revenue Department which had been excluding such sales from the base of the tax and would have involved far-reaching effects on the bidding practices of industry and the buying practices of the Federal Government; and Whereas: Representatives of industry in this State and of the Federal Government expressed the desire for clarifying litigation; and Whereas: It seems to the State Rvenue Commissioner that the public interest lay in avoiding as much unsettlement in such practices as possible until such litigation could be brought and concluded; and Whereas: Accordingly, the State Revenue Commissioner publicly stated that the Revenue Department was postponing the enforcement of said Act, as interpreted by the Attorney General's opinion of March 20, 1959, until the outcome of such litigation; and Whereas: By decision of January 8, 1960, in the case of Oxford v. J. D. Jewell, Inc., Docket Number 20690, the Supreme Court has entered a judgment to the effect that such sales are required to be included in the base of the tax imposed by said Act; and

Page 1075

Whereas: The State Revenue Commissioner has recommended to the Governor that, in view of the uncertainty that has existed in this situation, the enforcement of said Act in accordance with such interpretation be suspended until the next meeting of the General Assembly; It is, therefore, ordered, under the authority of Code section 40-205, that the collection of the tax imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act attributable to the inclusion in the base of said tax of sales made by dealers thereunder to the United States or its instrumentalities be suspended until the next meeting of the General Assembly, but no longer. This suspension order shall also be in effect as to sales made to State chartered banks, since by an Act approved February 24, 1953 (Ga. L. 1953, Jan.-Feb. Sess., pp. 182, 183) State banks are entitled to the same treatment accorded national banks. This 8th day of January, 1960. /s/ S. Ernest Vandiver Governor. is hereby ratified, approved and confirmed. Section 2. All laws, or parts of laws, in conflict with this resolution are hereby repealed. Approved March 17, 1960.

Page 1076

UNIVERSITY OF GEORGIA LAW SCHOOL CONGRATULATED ON 100TH ANNIVERSARY. No. 180 (House Resolution No. 398). A Resolution. Relative to the 100th Anniversary of the University of Georgia School of Law; and for other purposes. Whereas, The University of Georgia School of Law is celebrating its Centennial Year, it having been founded in 1859 by three eminent lawyers, Joseph Henry Lumpkin, Thomas R. R. Cobb and William Hope Hull; and Whereas, said School of Law has played a most important and notable role in the history and development of our State; and Whereas, there are more than 3,000 living alumni, most of whom are practicing attorneys throughout Georgia and in other parts of the country; and Whereas, alumni of the School have played a prominent part in the professional, political and cultural life of the State and Nation and have rendered distinguished service to the legal and social order of the times; and Whereas, said School has an enviable and excellent reputation throughout the country and is noted for being one of the outstanding law schools of the Nation; and Whereas, the present Dean and present members of the Law School Faculty are well qualified by scholarship and experience to be capable successors to the Law School's great teachers of the past, including Senator Benjamin H. Hill, Governor Howell Cobb, Dean Sylvanus Morris, Judge Thomas F. Green, Mr. Abit Nix, and Dr. Harmon W. Caldwell; and

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Whereas, the present Dean of the Law School, Honorable J. Alton Hosch, has made an outstanding contribution to the success of the School, and his policies have greatly enhanced the fine reputation which the School enjoys today; Now, therefore, be it resolved by the General Assembly of Georgia that the members of this body hereby extend sincerest congratulations to The University of Georgia School of Law upon its 100th Anniversary and commend Dean J. Alton Hosch and the members of the Law School Faculty for their outstanding contributions to the State and Nation, and wish for the School continued success in training the leaders of tomorrow. Be it further resolved that the Clerk of the House is hereby instructed to send a suitable copy of this Resolution to Dean J. Alton Hosch, Dr. O. C. Aderhold, President of the University of Georgia, and to Dr. Harmon W. Caldwell, Chancellor of the University System of Georgia. Approved March 17, 1960. SEMINOLE STATE PARK NAMED. No. 181 (House Resolution No. 399). A Resolution. Naming Seminole State Park. Whereas, there has been established a state park in Seminole County which is located on Lake Seminole; and Whereas, said park has not been officially named. Now, therefore, be it resolved by the General Assembly

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of Georgia that the State park located in Seminole County on Lake Seminole is hereby named Seminole State Park. Approved March 17, 1960. COMMITTEE TO STUDY NEED FOR ADDITIONAL LAWS DEFINING AND PROHIBITING BARRATRY, ETC. No. 188 (House Resolution No. 420-941). A Resolution. To create a joint interim committee of the House and Senate to investigate, conduct proceedings and hold hearings relative to the need for legislation further defining and strengthening the laws dealing with barratry and other offenses against the administration of justice; to provide for the organization, powers, duties and compensation of said committee and its staff; to provide for hearings and proceedings; to authorize said committee to issue subpoenas and other compulsory process requiring testimony and the production and inspection of documents, records, and other evidence; to prescribe misdemeanor punishment for failure to respond to any such subpoena, or for the failure or refusal of any witness to answer any question without cause; to provide for enforcement of such subpoenas and compulsory process by civil contempt; to provide for witness fees; to declare the procedure relative to examination of witnesses; to provide for employment of an investigative and clerical force by the committee and the payment of expenses; to provide legal assistance and counsel for said committee; to repeal conflicting laws; and for other purposes. Whereas, the 1958 General Assembly created a special investigating committee to study barratry and related

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offenses with a view toward possible legislation; (Ga. L. 1958 Vol. I, p. 101) and Whereas, said committee held hearings and made its report to the 1959 General Assembly, but was unable for lack of sufficient time to effect as complete a study thereof as was desirable and necessary; and Whereas, a special committee of the Georgia Bar Association which conducted a recent study of this problem has cited the need for additional study and investigation with reference thereto; and Whereas, it is therefore appropriate and desirable that the General Assembly continue its investigating activities in this field with a view toward submitting specific legislation to the 1961 session which due to lack of time was not submitted to the 1959 General Assembly; Now, therefore be it resolved by the General Assembly as follows: Section 1. There is hereby created a joint House-Senate Committee, to be composed of three members of the House appointed by the Speaker thereof, and three members of the Senate, to be appointed by the President thereof. Said committee shall convene as soon as possible after adjournment of the General Assembly and organize by electing a chairman. Created. Section 2. The jurisdiction of the committee shall extend to making a thorough investigation of the activities of all persons, corporations, organizations, associations and other like groups which seek to institute, promote, finance, bring about, or in anywise encourage litigation in this State. The committee shall conduct its investigation so as to collect evidence and information which shall be necessary or useful in the drafting and preparation of legislation dealing with barratry, champerty, maintenance, the unauthorized practice of law, and other similar offenses. Duties.

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Section 3. Said committee may hold hearing and conduct proceedings anywhere in the State, and shall have authority to issue subpoenas and other compulsory process requiring the attendance and testimony of witnesses and the production or inspection of papers, records and other documents or evidence, which subpoenas or compulsory process may be served by any sheriff or other law enforcement officer of this State or of any county or municipality thereof, or by any agent or investigator of the committee, and his return shown on a copy thereof. Said subpoenas or other process may require the production of said documents and evidence at any hearing of the committee, or may require the inspection thereof on the premises of the owner or person having custody or control, by the agent or other representative of the committee serving such subpoena or other compulsory process. Hearings, etc. Section 4. Any person, firm, corporation, association or organization which fails to appear in response to any such subpoena as therein required, or any person who fails or refuses, without legal cause, to answer any question propounded to him, or to produce any records or other evidence shall be guilty of a misdemeanor and punished as provided by law. Such failure or refusal shall be certified by the committee or its chairman to the appropriate solicitor-general, and in addition, the testimony of such witness, or the production of any books, records, documents or other evidence may be compelled by the superior court of the county wherein such refusal or failure was made. Upon certification of such fact to the judge of the superior court by the chairman of the committee, it shall be the duty of said judge to issue an attachment for contempt against such witness or person as in other cases, requiring the latter to show cause why he or she should not be held in civil contempt. At said hearing, the court shall proceed to hear the matter and if the court in the exercise of a sound judicial discretion determines that such failure or refusal was without just cause, he shall order the respondent imprisoned until compliance or until further order of the court. Contempt.

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Section 5. The chairman of the committee, or anyone acting in his absence, shall be authorized to administer oaths to all witnesses. Every witness appearing pursuant to subpoena shall be entitled to receive upon request, the same fee as is provided by law for witnesses in the superior courts, and where the attendance of witnesses residing outside the county wherein the hearing is held is required, they shall be entitled to receive the sum of seven ($7.00) dollars after so appearing, upon certification thereof by the chairman to the State Treasurer. Oaths. Section 6. The committee shall cause all witnesses appearing and testifying to be advised (1) That they have the right to be represented therein by counsel, if they so desire; (2) As to the subject matter under investigation and the purpose thereof; and (3) Upon objection by any witness upon the ground of pertinancy, the manner in which the propounded question is pertinent thereto. Any person who fails or refuses to answer a question as referred to in section 4, before being certified for civil or criminal contempt, shall be duly informed of the consequences of such refusal or failure. No witness shall be compelled to incriminate himself, nor shall any witness be subjected to abuse while being examined. Hearings. Section 7. Each member of the committee shall receive, in addition to actual travel expenses, the same per diem as received by members of other interim committees, while engaged in official duties as a member of said committee. Said committee is further authorized to employ such number of full or part time investigators, clerical workers and other employees as it may deem necessary to carry out the provisions hereof, and said committee may also expend funds for the procuring of information and data from other sources. The committee shall set the compensation of its investigators, employees, and legal assistant. Compensation, employees, etc. Section 8. All funds herein authorized to be spent by the committee, including the per diem and travel

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expenses of the members thereof, shall be paid out of funds appropriated by law for the General Assembly, upon certification to the State Treasurer of such expenses by the chairman. Expenses. Section 9. The Attorney-General shall be the legal counsel for the committee, and the latter may designate an assistant or deputy assistant attorney-general to serve as legal assistant of the committee to assist in the conduct of its hearings and proceedings. Counsel. Section 10. Unless continued in effect by law, the committee shall complete its investigation and make its report, together with any recommendations as to legislation, to the 1961 General Assembly. Report. Section 11. All laws and parts of laws in conflict herewith are hereby repealed. Approved March 17, 1960. REIDSVILLE STATE PARK NAMED. No. 190 (House Resolution No. 428). A Resolution. Naming Reidsville State Park. Whereas, there has been established in Tattnall County, Georgia, a State Park, and Whereas, such park is presently unnamed, and Whereas, it is only fitting and proper that such park be given a name descriptive of its geographical location, Now, therefore, be it resolved by the General Assembly

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of Georgia, that the State Park located in Tattnall County is hereby named the Reidsville State Park. Approved March 17, 1960. CONVEYANCE OF LAND TO CITY OF KINGSTON AUTHORIZED. No. 207 (House Resolution No. 479-1144). A Resolution. Declaring certain property of the State surplus and authorizing its conveyance to the City of Kingston; and for other purposes. Whereas, certain property located in Bartow County is now owned by the State of Georgia as part of the Western and Atlantic Railroad; and Whereas, such property is surplus and no longer needed for railroad purposes; and Whereas, such property is more particularly described as follows, to-wit: Beginning at a point, said point being the northwest corner of Chestnut Street and Main Street; thence westerly along the north side of Main Street (formerly known as Front Street) for a distance of 278 feet; thence northerly along the east side of Park Street for a distance of 132.4 feet to the right of way line of the Western and Atlantic Railroad; thence easterly along this right of way line for a distance 278 feet to the westerly line of Chestnut Street; thence southerly along the westerly line of Chestnut Street 132.4 feet to the point of beginning. Now, therefore, be it resolved by the General Assembly of Georgia that the Governor is hereby authorized

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to convey on behalf of the State the above described property to the City of Kingston, for and in consideration of the sum of $1.00. Provided, that such conveyance shall contain a provision that a museum must be established on such property by said city within a period of ten years from the date of such conveyance, and that such museum being established it shall be maintained by the City of Kingston. In the event that either of said conditions shall fail to be met, then the title to the above described property shall revert to the State of Georgia. Plat attached to Enrolled Resolution. Approved March 17, 1960. BOARD OF REGENTS OF UNIVERSITY SYSTEM URGED TO ADD A DIRECTOR OF AGRICULTURAL MATTERS TO ITS STAFF. No. 210 (House Resolution No. 491). A Resolution. Urging the Board of Regents to add to its staff a Director of Agricultural Matters; and for other purposes. Whereas, Agriculture is the largest industry in the State of Georgia; and Whereas, the Board of Regents of the University System of Georgia has under its control the institutions in our State responsible for training, research and extension in this great industry; and Whereas, it is necessary for the future well-being of Agriculture in Georgia that the best possible program be initiated by the Board of Regents to properly and actively originate, co-ordinate and supervise all

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matters in regard to this most important program; and Whereas, there is not now in the personnel of the Board of Regents any officer specifically charged with the sole responsibility of this vastly important task to work with the Board of Regents and the appropriate committees of the Board of Regents in developing a far-sighted, sound and adequately financed program for Georgia's whole agricultural enterprise; and Whereas, this officer, if selected by the Board of Regents from a recommendation by the Chancellor of the Board of Regents, the President of the Abraham Baldwin Agricultural College, the Dean and Coordinator of the College of Agriculture at Athens, the Dean of the Forestry School at Athens and the Dean of the School of Veterinary Medicine at Athens, could contribute immeasurably to the future well-being of the State's agricultural posture by the establishment of a coordinated program; and Whereas, the General Assembly of the State of Georgia is aware of the many important and worthwhile contributions of the Board of Regents in respect to all the units of the University System of Georgia and to other matters related thereto; and Whereas, the General Assembly of Georgia has the faith and confidence that the distinguished membership of the Board of Regents would seriously consider the wishes and desires of this body as it exercises its responsibility to the people of Georgia in bringing to the attention of the Board of Regents a matter for their most careful consideration; Now, therefore, be it resolved by the General Assembly of Georgia that the Board of Regents of the University System of Georgia is hereby asked and requested and urged to immediately in the method heretofore suggested add to its permanent staff the position of Director of Agricultural Matters.

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Be it further resolved that this Director of Agricultural Matters be responsible to the Board of Regents to plan, supervise and coordinate all matters related to agriculture in every unit of the University System of Georgia. Be it further resolved that the Board of Regents require every unit of the University System having agricultural activity under its control to cause the proper and responsible officials in charge of any agricultural activity in said unit including, but not limited to, the teaching of agriculture, research in agriculture and the agricultural extension forces, to report directly to the Director of Agricultural Matters in the formation of its program and its budget therefor before submitting said budget through channels to the Board of Regents. It is the expressed wish of the General Assembly that when the agricultural program and budget is agreed upon that said budget should then not be changed at the unit level without the approval of the Director of Agricultural Matters. It is further the wish of the General Assembly that waste, overlapping and duplicated efforts in the activities of all units having agricultural programs in the University System be avoided wherever possible. Be it further resolved that the Director of Agricultural Matters be required by the Board of Regents to actively work with all departments of the State and Federal Governments in an effort to secure for the farm family of Georgia the best possible long range farm program. Be it further resolved that the Director of Agricultural Matters be required to work with proper and certified representatives of every agricultural enterprise in the State to make certain that every activity of any unit of the University System of Georgia actively serve the best interest of the State's whole agricultural enterprise. Be it further resolved that a copy of this resolution

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be sent to every member of the Board of Regents and to the Chancellor and the Secretary of the Board of Regents for official disposition at a regular meeting of the Board. Approved March 17, 1960. FUNDS TO ADMINISTER PROVISIONS OF INSURANCE CODE OF 1960. No. 212 (House Revolution No. 501-1158). A Resolution. To authorize funds for administering provisions of H. B. No. 115; and for other purposes. Whereas, H. B. No. 115, which creates a new insurance code for the State of Georgia, has been passed by the General Assembly; and Whereas, the provisions of the new code call for a greatly expanded program of administration of the insurance laws by the State Insurance Commissioner; and Whereas, it will be impossible to administer, enforce, and carry out the provisions of the code with the present staff and facilities of the Insurance Commissioner; and Whereas, the Insurance Commissioner does not have funds available with which to employ the necessary additional personnel; and Whereas, the Insurance Commissioner has made a detailed study of the new insurance code and has made a breakdown of the additional personnel which will be required in the various departments of the Insurance Department;

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Now, therefore, be it resolved by the General Assembly of Georgia that the Budget Bureau is hereby authorized to transfer to the Insurance Commissioner, for the purpose of administering the provisions of the new insurance code, the sum not exceeding one hundred twenty-five thousand ($125,000.00) dollars to cover the period ending June 30, 1961. Approved March 17, 1960. GAME AND FISHCLOSED DEER SEASON IN TELFAIR COUNTY. No. 846 (House Bill No. 1113). An Act to provide for a closed deer season in Telfair County; to provide the dates thereof; to provide for a penalty; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Beginning with the effective date of this Act and ending with the opening of the regular deer season in 1963, it shall be unlawful for any person to hunt deer in Telfair County. Any person violating the provisions of this Act shall be deemed guilty of a misdemeanor, and upon conviction thereof, shall be punished as for a misdemeanor. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Notice of Local Legislation. After a recommendation of two grand jury sessions of Telfair County, I, Wimbric Walker, do hereby give public notice that I propose to introduce at the next session of the General Assembly of the State of Georgia a local Bill as follows, to wit:

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A Bill to be entitled an Act to prohibit the hunting of deer in Telfair County for a period of three years; to prohibit hunting with dogs for a period of three years from sunrise until dark in all of that area in Telfair County lying between the State Highway leading from Lumber City to Rhine, Georgia and the low water mark of the Ocmulgee River. This 2nd day of December, 1959. Wimbric Walker, Representative Telfair County. This is to certify that the foregoing notice of local legislation by Wimbric Walker, Representative Telfair County, Georgia, was published in The Telfair Enterprise on December 10, 17, 24 and 31st, 1959. W. L. Bowen, Editor. Sworn to and subscribed before me, this 6 day of February, 1960. /s/ Eli Willcox, Ordinary, Telfair County, Georgia. Approved March 17, 1960. STONE MOUNTAIN JUDICIAL CIRCUITJUDGES' SUPPLEMENT. No. 848 (House Bill No. 1122). An Act to amend an Act approved February 25, 1949, (Ga. L. 1949, p. 1938), as amended by an Act approved February 26, 1957, (Ga. L. 1957, p. 115), providing that the salary of the judges of the Superior Court of the Stone Mountain Circuit shall be supplemented by payments to be made from the county treasury

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of Dekalb County, Georgia by providing that such supplement for each of the judges of the Superior Courts of such circuit shall be in the sum of six thousand ($6,000) dollars per annum; to provide the method and manner in which the same is to be paid, and for other purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of the same that an Act approved February 26, 1957, (Ga. L. 1957, p. 115), as amended by an Act approved February 26, 1957, (Ga. L. 1957, p. 115), the same being an Act to provide for a supplement to the salaries of the judge of the Superior Court of the Stone Mountain Circuit be, and the same is hereby amended, as follows: Section 1. That from and after the approval of this Act the salary of each of the judges of the Stone Mountain Circuit shall be supplemented by payments out of the treasury of DeKalb County in the sum of six thousand ($6,000) dollars per annum, such supplement required hereunder to be payable in equal monthly installments, and such supplement to be in addition to any salary or other compensation received by such judges from the State of Georgia or any other source. Supplement. Section 2. Notice of the intention to apply for the passage of this local bill has been published in the newspaper in which the sheriff's advertisements for DeKalb County are published, namely, in the DeKalb New Era, once a week for three weeks during a period of sixty days immediately preceding its introduction in the General Assembly. Attached hereto and made a part of this bill is a copy of said notice accompanied by an affidavit of the author to the effect that said notice has been published as provided by law. Section 3. Be it further enacted by the authority aforesaid that all laws and parts of laws in conflict with this Act be, and the same are hereby repealed.

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Notice of Intention to Introduce Local Legislation. Notice is hereby given that the undersigned intend to introduce legislation at the 1960 session of the General Assembly of Georgia, providing for an increase in the supplement paid to Judges of the Superior Court of the Stone Mountain Judicial Circuit. W. Hugh McWhorter, Guy W. Rutland, Jr., James A. Mackay, DeKalb County Representatives. Georgia DeKalb County Personally appeared before me a notary public, the undersigned W. H. McWhorter, who on oath says he is managing-editor of the DeKalb New Era, a newspaper published in the city of Decatur, being of general circulation and being the legal organ for the county of DeKalb who certifies that legal notice, a true copy of which is hereto attached, being Notice of Intention to Apply for Local Legislation was duly published once a week for three weeks as required by law; said dates of publication being January 21, 28 and February 4, 1960. The DeKalb New Era W. H. McWhorter, Managing-Editor. Sworn to and subscribed before me, this 5 day of February, 1960. /s/ Carol E. Wheeler, Notary Public, Georgia, State at Large. My Commission Expires Mar. 23, 1963. (Seal). Approved March 17, 1960.

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STATE-WIDE PROBATION ACT AMENDED. No. 854 (House Bill No. 1136). An Act to amend an Act known as the State-wide Probation Act approved February 8, 1956 (Ga. L. 1956, p. 27), as amended, particularly by an Act approved February 14, 1958 (Ga. L. 1958, p. 15), so as to provide for a group or blanket coverage bond for circuit probation officers; to create the position of examiner and further provide for the collection and disbursement of funds by circuit probation officers and field supervisors; to provide a method of examining such collections and disbursement; to create the position of assistant examiner to assist in this purpose; to provide that no such funds shall be collected or disbursed except by written order of the court; to make it a misdemeanor for any probation officer or field supervisor to place any funds so collected in his personal account or to commingle said funds with his personal funds; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the State-wide Probation Act approved February 8, 1956, (Ga. L. 1956, p. 27), as amended, particularly by an Act approved February 14, 1958 (Ga. L. 1958, p. 15), is amended by inserting in section 6 of said Act, as amended, after the last sentence in said section ending with the words the cost of the bond to be paid by the board, the following words: Provided, however, that such bond may be procured, either by the State Board of Probation or the State Supervisor of Purchases, under a master policy or on a group or blanket coverage basis, where only the number of positions in each judicial circuit and the amount of coverage for each position are listed in a schedule attached to the bond and in such case each individual shall be fully bonded and bounded as principal, together with the Surety, by virtue of his holding the position or performing the duties of circuit probation officer in said circuit or circuits and his individual signature shall not

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be necessary for such a bond to be valid in accordance with all the laws of this State. Said bond or bonds shall be made payable to the State Board of Probation.; so that said section 6 as so amended shall read: Section 6. In order for a person to hold the office of circuit probation officer, he must be at least 25 years of age, must hereafter have at least a high school education and must have a general knowledge of modern probation methods and of the social problems involved. The qualifications provided herein are the minimum qualifications and the board is hereby authorized to prescribe such additional and higher qualifications from time to time as it deems desirable. The compensation of the circuit probation officer shall be fixed by the State Board of Probation at not less than $3,600.00 nor more than $7,200.00 per annum. Such officers shall also be allowed travel and other expenses the same as other State employees. If a circuit probation officer shall be an attorney at law, he shall be prohibited from practicing law in any matter in which the probation system may be concerned while serving as a circuit probation officer. Each circuit probation officer shall give bond in such amount, not less than $5,000.00, as may be fixed by the board, payable to the board for the use of the person or persons damaged by his misfeasance or malfeasance, and conditioned on the faithful performance of his duties, the cost of the bond to be paid by the board. Provided, however, that such bond may be procured, either by the State Board of Probation or the State Supervisor of Purchases, under a master policy or on a group blanket coverage basis, where only the number of positions in each judicial circuit and the amount of coverage for each position are listed in a schedule attached to the bond and in such case each individual shall be fully bonded and bound as principal, together with the Surety, by virtue of his holding the position or performing the duties of circuit probation officer in said circuit or circuits and his individual signature shall not be necessary for such bond to be valid in accordance with all the laws of this State. Said bond or bonds shall be made payable to the State Board of Probation. Probation Officers. Blanket bonds.

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Section 2. Said Act is further amended by adding at the end of said Act, as amended, a new section to be known as section 25 and to read as follows: Section 25. There is hereby created the position of examiner for the State Board of Probation. He shall be appointed by the board and serve at the pleasure of the board. His compensation shall be fixed by the board in an amount not less than $3,600.00 annually nor more than $7,200.00 annually. Any person, in order to hold this position, must be at least 21 years of age and must have a general knowledge of accounting or bookkeeping. Such examiner shall be allowed travel and other expenses the same as other state employees. He shall also be required to give bond in such amount, not less than $5,000.00, as may be fixed by the board, in the same manner and for the same purposes as now provided under section 6 of this Act, as hereby amended, for the bonds of circuit probation officers. Such bond shall bind said examiner, together with his surety, in the performance of his duties in all judicial circuits of the State. Examiner. Section 3. Said Act is further amended by adding a new section to be known as section 26 and to read as follows: Section 26. It shall be the duty of the aforesaid examiner to travel over the State and audit the accounts of every probation officer or field supervisor who has any money, fines, court costs, property or other funds coming into his control or possession, or being disbursed by him, by virtue of his duties as a state probation officer or field supervisor. The examiner shall further assume all of the duties and all the other responsibilities of a field supervisor when so directed by the State Board of Probation. The examiner shall keep a permanent record of his audit of each probation officer's accounts on file with the Director of Probation and it shall be the duty of the examiner to call attention of the Director to all discrepancies in said accounts and to further notify the Director and each member of the State Board of Probation in writing of any discrepancy of an illegal nature that might

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result in prosecution. The examiner shall have the right to interview and make inquiry of certain selected payors or recipients of funds, as he may choose, without notifying the circuit probation officer, to carry out the purposes of said audit. The State Board of Probation, should they deem it necessary, may also appoint an assistant examiner, within the same pay scale, who shall also be entitled to travel and other expenses as other State employees, and said assistant examiner shall give bond in the same manner and be subject to all the other laws, rules and regulations as the examiner. Same, duties, assistant. Section 4. Said Act is further amended by adding at the end of said Act, as amended, another section to be known as section 27 and to read as follows: Section 27. No circuit probation officer or field supervisor shall collect or disburse any funds whatsoever, except by written order of the court and it shall be the duty of such officers to transmit a copy of such order or sentence to the Director of Probation not later than 15 days after it has been issued by the court. Every such officer who collects or disburses any funds whatsoever shall faithfully keep such records of accounts as required by the State Board of Probation or the examiner which shall be subject to inspection by the examiner at any time. In every instance where a bank account is required it shall be kept in the name of the officer together with his title as circuit probation officer. It shall be a misdemeanor for any officer to place any funds so collected in his personal account or to commingle said collected funds with his own personal funds. Probation officers, handling of funds. Section 5. All laws or parts of laws in conflict with this Act, are amended, are hereby repealed. Approved March 17, 1960.

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SOCIAL SECURITYCOVERAGE FOR JUSTICES OF SUPREME COURT OF GEORGIA. No. 870 (Senate Bill No. 139). An Act to amend an Act which provided for the coverage of certain officers and employees of the State and political subdivisions under the Old Age and Survivors Insurance provisions of Title II of the Federal Social Security Act, approved December 21, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 294), as amended, so as to make provisions relative to the coverage of Justices of the Supreme Court under the aforesaid Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of the State of Georgia, and it is hereby enacted by authority of the same: Section 1. An Act which provided for the coverage of certain officers and employees of the State and political subdivisions under the Old Age and Survivors Insurance provisions of Title II of the Federal Social Security Act, approved December 21, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 294), as amended, is hereby amended by adding a new section, to be appropriately numbered, to read as follows: The Governor is hereby empowered to authorize a referendum in accordance with the requirements of the Federal Social Security Act, on the question of whether services in positions covered by the Supreme Court Justices Emeritus Retirement Plan of Georgia shall be excluded from or included under an agreement under this Act with the earliest effective date permitted under applicable law. Should the referendum be in the affirmative, employee contributions required for Social Security coverage shall be deducted from the compensation of each Justice by the Treasurer of the State of Georgia and remitted to the State agency, together with the required employer contributions. The State Treasurer is hereby authorized and directed to pay from the funds

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appropriated for the operation of the Supreme Court of the State, the required employer contributions. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. WELCOME STATIONS AT HIGHWAY ENTRANCES TO STATE. No. 871 (Senate Bill No. 141). An Act to amend an Act providing for the erection of welcome stations at the entrance of Federal Highways into this State, approved December 17, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 185), so as to change the provisions relating to leasing and the sale and distribution of articles at such welcome stations; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act providing for the erection of welcome stations at the entrance of Federal Highways into this State, approved December 17, 1953 (Ga. L. 1953, Nov.-Dec. Sess., p. 185), is hereby amended by striking section 6 which reads as follows: Section 6. Such welcome stations shall not be leased nor let to any private person, nor shall any such station sell or offer for sale, any article or commodity. in its entirety, and inserting in lieu thereof a new section 6, to read as follows: Section 6. The Department of Commerce is hereby authorized to lease space for the installation of vending machines. Any such lease may authorize the lessee to sell such articles as may be prescribed in such lease. The Department of Commerce is authorized to provide

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for the sale or free distribution of articles and merchandise at said welcome stations in such manner as is deemed to be in the best interest of promoting the tourist trade in this State. Vending machines. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. SECRETARY OF STATE TO EMPLOY COMPILER OF LAWS AND RESOLUTIONS. No. 872 (Senate Bill No. 144). An Act to amend an Act of the General Assembly approved March 19, 1943 (Ga. L. 1943, p. 406), which provides that the Secretary of State shall employ some person or persons to compile the Acts and Resolutions of the General Assembly, by substituting the figures $2,000.00 in lieu of the figures $1,000.00 in the last line of paragraph G of section 1 of such Act; by adding a new sentence to such paragraph G which shall read as follows: Notwithstanding any law previously or hereinafter enacted to the contrary the Secretary of State is empowered to employ and the person or persons so selected are authorized to accept such employment although they are otherwise employees of the Legislative, Judicial or Executive branch of State government. and to repeal conflicting laws. Be it enacted by the General Assembly of the State of Georgia, and it is hereby enacted by the authority of the same: Section 1. That an Act of the General Assembly of Georgia approved March 19, 1943 (Ga. L. 1943 p. 406) be amended by striking the figures $1,000.00 in the last line of paragraph G of section 1 and inserting in lieu thereof the figures $2,000.00; and by adding a new sentence

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to such paragraph G to read as follows: Notwithstanding any law previously or hereinafter enacted to the contrary the Secretary of State is empowered to employ and the person or persons so selected are authorized to accept such employment although they are otherwise employees of the Legislative, Judicial or Executive branch of State government, so that such paragraph G of section 1 as so amended shall read as follows: G. It shall be the duty of the Secretary of State to employ a competent person or persons to compile the Acts and Resolutions of the General Assembly of Georgia, and such person or persons compiling such Acts and Resolutions shall be paid, out of the funds appropriated for the expenses of the General Assembly, such amount as may be agreed upon between such persons and the Secretary of State; provided, however, that such amount shall not in any event exceed the sum of $2,000.00 Notwithstanding any law previously or hereinafter enacted to the contrary the Secretary of State is empowered to employ and the person or persons so selected are authorized to accept such employment although they are otherwise employees of the Legislative, Judicial or Executive branch of State government. Section 2. All laws and parts of laws in so far as they conflict with this Act are expressly repealed. Approved March 17, 1960. STATE BOARD OF HEALTHDUTIES AND FUNCTIONS. No. 873 (Senate Bill No. 145). An Act to amend Act No. 318 approved March 18, 1933, (Ga. L. 1933, pp. 7-12) and entitled an Act to simplify the operations of the Executive Branch of the State Government, to create a State Board of Health, to define its powers, duties and functions and for other

Page 1100

purposes by striking from said Act approved March 18, 1933, section 20 thereof in its entirety said section providing for the establishment by said Board of such rules and regulations as it may deem proper for its own direction and for conferring upon the Director of the Department of Public Health such duties and powers as it deems proper, and substituting in lieu thereof a new section 20 providing that said Board is empowered to make and issue any and all regulations and orders that may be necessary or appropriate to the exercise of any authority or the performance of any of the duties, functions, or responsibilities now or hereafter vested in it by law and to the administration of any act of the General Assembly in which the Board is now or hereafter designated as the agency of the State to administer such act; to provide that under the supervision of said Board the Director of the Department of Public Health may exercise in his capacity as such Director, any of the powers and authority and perform any of the duties, functions, and responsibilities so vested in said Board, and may delegate the same or any part thereof to one or more individuals, provided that said Director shall not have the authority to make or issue regulations, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. There is hereby stricken from said Act No. 318 approved March 18, 1933, (Ga. L. 1933, pp. 7-12) section 20 thereof in its entirety and there is substituted therefor a new section 20 which shall read as follows: Section 20. The Board of Health is empowered to make and issue any and all regulations and orders that may be necessary or appropriate to the exercise of any authority or the performance of any of the duties, functions, or responsibilities now or hereafter vested in it by law and to the administration of any Act of the General Assembly in which the Board of Health is now or hereafter designated as the agency of the State to administer such Act. Under the supervision of the State Board of Health, the Director of the Department of Public Health

Page 1101

may exercise in his capacity as such Director any of the powers and authority and perform any of the duties, functions, and responsibilities herein vested in the State Board of Health, and may delegate the same or any part thereof to one or more individuals as he may deem appropriate in the circumstances; provided, however, that the Director of the Department of Public Health shall not have the authority to make or issue regulations. The Board of Health is vested with all of the powers, duties, privileges, and rights which by law existed in the State Board of Health prior to the Act approved August 28, 1931, abolishing the said State Board of Health. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STATE BOARD OF HEALTHTRANSFER OF ADMINISTRATION OF GEORGIA SCHOOL FOR MENTAL DEFECTIVES AT GRACEWOOD. No. 874 (Senate Bill No. 146). An Act to transfer to the State Board of Health of Georgia all of the authority, duties, functions and responsibilities with respect to the Georgia School for Mental Defectives at Gracewood, its administration, control, conduct and operation which, prior to the effective date of this Act, were vested in any other department, agency, instrumentality or official of the State of Georgia; to transfer from the same to the State Board of Health all of the property, equipment, facilities, appropriations, allocations and other funds (available or to be made available) of such other department, agency, instrumentality or official in connection with the exercise of such authority or the performance of such duties, functions, or responsibilities or the administration, control, conduct and operation of said School; to transfer to said State Board of Health or the Department

Page 1102

of Public Health such of the personnel of said School as may be determined by said State Board of Health or the Director of the Department of Public Health of Georgia; to provide that the Director of the Department of Public Health, with the approval of the State Board of Health, may exercise in his capacity as such Director any of the authority and perform any of the functions, duties and responsibilities herein vested in the State Board of Health and may delegate the same or any part thereof to others; to provide that in his capacity as such Director, he may issue and make effective any and all regulations and orders that may be necessary or appropriate to the exercise of such authority or the performance of such functions, duties, and responsibilities; to provide an effective date; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. There is hereby transferred to the State Board of Health of Georgia all of the authority, duties, functions and responsibilities with respect to the Georgia Training School for Mental Defectives at Gracewood, in Richmond County, Georgia, its administration, control, conduct and operation which, prior to the effective date of this Act, were vested in any other department, agency, instrumentality, or official of the State of Georgia. Whenever such other department, agency, instrumentality or official is referred to in any act of the General Assembly in connection with the administration, control, conduct, and operation of said School, it shall be deemed to refer to the State Board of Health. The Director of the Department of Public Health or Georgia, with the approval of the State Board of Health, may exercise in his capacity as such Director any of the authority and perform any of the duties, functions, and responsibilities herein vested in the State Board of Health and may delegate the same or any part thereof to one or more individuals. In his capacity as such Director he may issue and make effective any and all regulations and orders that may be necessary or appropriate to the exercise of such authority

Page 1103

or the performance of such functions, duties, and responsibilities. There is likewise transferred from such department, agency, instrumentality or official to said State Board of Health all of the property, equipment, and facilities, and all appropriations, allocations and other funds (available and to be made available) provided under any statute or constitutional provision or continuation thereof, in connection with the exercise of such authority or the performance of such duties, functions or responsibilities or the administration, control, conduct or operation of said School. There is also transferred to said State Board of Health or the Department of Public Health of Georgia such employees and personnel engaged in work in connection with said School as said Board or the Director of said Department shall determine. Section 2. No legal proceedings shall be abated because of the transfers herein made but the appropriate party exercising like authority or performing like duties, functions or responsibilities shall be substituted in said proceeding. Section 3. This Act shall become effective July 1, 1960. Effective date. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. BUDGET BUREAU AUTHORIZED TO ESTABLISH WORK HOURS FOR STATE EMPLOYEES. No. 875 (Senate Bill No. 147). An Act to authorize the Budget Bureau to establish work hours for State employees; to provide for enforcement of such work schedules by authorizing disapproval of budget requests of departments or agencies in violation

Page 1104

of same after notice thereof to such departments or agencies; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Budget Bureau is hereby authorized to establish work hours for all state employees, and in order to insure compliance with established work hours, the Bureau may withhold approval of any budget request or allotment requisition of any department or agency violating such established work schedules until such department or agency shall demonstrate compliance therewith, provided the Bureau has first given to the head of such department or agency at least ten days written notice of such intention and of the specific violation upon which same is based and said department or agency has failed to correct such specified violation within such time. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. LIVESTOCK AND POULTRY DISEASE CONTROL BOARD ACT AMENDED. No. 878 (Senate Bill No. 159). An Act to amend an Act, approved February 23, 1956, (Ga. L. 1956, p. 247), as amended by an Act approved March 25, 1958 (Ga. L. 1958, p. 369), creating a Livestock and Poultry Disease Control Board and providing for the members, duties and compensation of the members thereof so as to change the compensation of the members thereof; to authorize the designated ex-officio members to designate persons to serve in their place; to provide and clarify the duties of the board as to the promulgation of rules and regulations on matters pertaining to Livestock and Poultry Disease

Page 1105

Control; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act creating a Livestock and Poultry Disease Control Board, approved February 23, 1956 (Ga. L. 1956, p. 247), is hereby amended by striking section 1 in its entirety and in lieu thereof inserting the following: Created, members. Section 1. There is hereby created a Livestock and Poultry Disease Control Board to be composed of the Commissioner of Agriculture, ex-officio, as chairman, and the following as members; the president of the Georgia Livestock Association; the president of the Georgia Swine Breeders Association; the president of the Georgia Veterinary Medical Association; the president, or someone designated by the president, of the Georgia Poultry Federation; the president of the Georgia Milk Producers Association; the president, or some person designated by the president, or some person designated by the president of the Georgia Stockyard Operators Association; the Dean of the College of Agriculture or some person designated by him; the Director of the Experimental Stations or some person designated by him; the Director of the Agriculture Extension Service or some person designated by him; the State Supervisor of Vocational Agriculture or some person designated by him; the Dean of the School of Veterinary Medicine or some person designated by him. Each member of the Board shall be compensated in the amount of $20.00 for each day of service on business of the Board to be paid from the funds of the Department of Agriculture. No member shall be paid more than $240.00 per annum. Each person designated to serve as a member of the board is hereby authorized to designate some person to serve for him. The chairman shall be compensated as provided by law. Section 2. Said Act, as amended, is further amended by striking section 2 in its entirety and in lieu thereof inserting the following:

Page 1106

Section 2. The Board shall serve in an advisory capacity to the Commissioner of Agriculture in matters pertaining to Livestock and Poultry Disease Control. Duties. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GEORGIA SEED DEVELOPMENT ACT AMENDED. No. 879 (Senate Bill No. 160). An Act to amend an Act known as the Georgia Seed Development Act approved February 26, 1959 (Ga. L. 1959, p. 83), so as to qualify the terms of the appointive members of the Georgia Seed Development Commission and the Advisory Board; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act known as the Georgia Seed Development Act approved February 26, 1959 (Ga. L. 1959, p. 83), is hereby amended by adding a new section to be numbered section 3-A, to read: Section 3-A. The appointive members of the Georgia Seed Development Commission and the appointive members of the Advisory Board shall serve at the pleasure of the appointing officer or entity. Terms of members. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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MOTOR VEHICLESDISTRIBUTION OF FINES ARISING FROM VIOLATION OF SIZE AND LOAD LIMITATIONS. No. 880 (Senate Bill No. 166). An Act to amend an Act approved March 27, 1941 (Ga. L. 1941, p. 449), as amended, particularly by an Act approved February 13, 1956 (Ga. L. 1956, p. 83) which Acts relate to the governing and regulating of the use of the public roads and highways of this State by providing for dimensions, length and weights of motor vehicles and providing penalties for the violation of same, so as to provide that one-half of all the money arising from fines and forfeitures paid for criminal violations under said Act shall be paid by the Clerk of the Court receiving same into the Treasurer of the State Highway Department who shall convey same into the General Fund of the State Treasury; to provide for funds to be made available by the Budget Bureau; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Act approved March 27, 1941 (Ga. L. 1941, p. 449), as amended, particularly by an Act approved February 13, 1956 (Ga. L. 1956, p. 83), which Acts relate to the governing and regulation of the use of the public roads and highways of this State by providing for dimensions, length and weights of motor vehicles, and providing penalties for the violation of same, is hereby amended by adding the following sentence at the end of the first paragraph of section 3 of said Act of 1956: One-half of all money arising from such fines and forfeitures shall be remitted by the clerk of the court in which said case is disposed of, to the Treasurer of the State Highway Department of Georgia, who shall convey same into the General Fund of the State Treasury, and the other half of such money shall be paid by said clerk into the fine and forfeiture fund of the county treasury in the same manner and subject to the same rules of distribution

Page 1108

as other fines and forfeitures. The Budget Bureau shall make available to the State Highway Department an amount not less than the amount taken in by the State under the provisions of this section. This sum shall be for highway maintenance purposes and shall be in addition to any sums now appropriated to or available to said Department. So that said section when so amended shall read: Section 3. Any person violating this Act or operating any motor vehicle on the public roads or highways of this State having a greater length than authorized by this Act or with a gross weight in excess of that permitted by this Act shall be guilty of a misdemeanor and, on conviction, shall be punished as provided by law: Provided, however, that the fine imposed for any such violation shall be forty dollars, or one cent per pound for the first one-thousand pounds of excess weight, plus two cents per pound for the next two thousand pounds of excess weight, plus three cents per pound for the next two thousand pounds of excess weight, plus four cents per pound for the next three thousand pounds of excess weight, plus five cents per pound for all excess weight above eight thousand pounds, whichever may be greater. One-half of all money arising from such fines and forfeitures shall be remitted by the clerk of the court in which said case is disposed of, to the Treasurer of the State Highway Department of Georgia, who shall convey same into the General Fund of the State Treasury, and the other half of such money shall be paid by said clerk into the fine and forfeiture fund of the county treasury in the same manner and subject to the same rules of distribution as other fines and forfeitures. The Budget Bureau shall make available to the State Highway Department an amount not less than the amount taken in by the State under the provisions of this Section. This sum shall be for highway maintenance purposes and shall be in addition to any sums now appropriated to or available to said Department. It shall be the duty of the Department of Public Safety, and of all other law enforcement officers, to enforce this Act.

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Section 2. All laws or parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STATE HIGHWAY BOARDEXPENDITURE OF FUNDS IN MUNICIPALITIES. No. 881 (Senate Bill No. 167). An Act to amend an Act relating to the State Highway Board, approved February 2, 1950 (Ga. L. 1950, p. 62), as amended, particularly by an Act approved February 5, 1951 (Ga. L. 1951, p. 31), so as to change the procedures relating to expenditure of funds; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act relating to the State Highway Board, approved February 2, 1950 (Ga. L. 1950, p. 62), as amended, particularly by an Act approved February 5, 1951 (Ga. L. 1951, p. 31), is hereby amended by striking the last sentence of the eleventh paragraph of section 8, which reads as follows: Other city streets or bridges in municipalities, regardless of population or by whom maintained, shall not be the subject of the expenditure of State Highway Department funds except in emergencies or unusual situations as shown by appropriate resolutions entered on the minutes of the State Highway Board. and inserting in lieu thereof the following: Other municipal streets or bridges in municipalities, regardless of population or by whom maintained, may be the subject of expenditure of State Highway Department funds under such conditions as the Board may provide.

Page 1110

so that when so amended, the eleventh paragraph of section 8 shall read as follows: After the necessary funds have been set aside for operating the State Highway Department, for maintaining, improving and reconstructing State highway system roads and bridges, for paying the grants to counties for aid in county road construction and maintenance as provided by law authorizing the State Treasurer to make such grants, for matching Federal aid apportionments to the State of Georgia for the planning, surveying, constructing, reconstructing, paving and improving of Federal aid roads and bridges in full, and for any emergencies or unusual situations, the remaining available State Highway funds (and in no event shall said sum be less than fifteen (15) percent of the total of all State Highway funds) shall be used as follows: at least one-third shall be used for planning, surveying, constructing, improving, paving and completing rural roads and bridges not on the State highway system; at least one-third shall be used for planning, surveying, constructing and paving unpaved roads and bridges on the State highway system; and the remaining one-third shall be used in the manner prescribed by the State Highway Board of Georgia for the planning, surveying, construction, reconstruction, paving and improving of the roads and bridges of the State of Georgia most in need of such work. Provided only that no State Highway funds shall be expended for the construction, paving or improvement of private driveways, roads and bridges that are not used by the public or that have been abandoned, nor on roads or bridges in municipalities unless such roads are a part of the State highway system or are a part of the urban, primary or secondary Federal aid system or are a part of a county road system which is maintained by the county and extends from within the limits of the municipality concerned out into the county itself. Other municipal streets, driveways and parking areas located upon the property of and serving public schools or colleges of the University system, or bridges in municipalities, regardless of population or by whom maintained, may be the subject of expenditure of State Highway Department

Page 1111

funds under such conditions as the Board may provide. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. CORPORATIONSMERGERS. No. 882 (Senate Bill No. 168). An Act to amend an Act entitled An Act authorizing the chartering and empowering of corporations, and amending, revising and perfecting the present corporation laws of the State; to repeal section 22-308 of the Code of Georgia of 1933, as amended by an Act approved March 15, 1935 (Ga. L. 1935, pp. 108-9, and to repeal said last mentioned Act) and to insert a new section in lieu thereof; and for other purposes., approved January 28, 1938 (Ga. L. 1937-38, Ex. Sess., p. 214), as amended, so as to provide for a procedure to be followed when foreign corporations merge or consolidate into Georgia corporations and when Georgia corporations merge or consolidate into foreign corporations; to ratify previous mergers; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act entitled An Act authorizing the chartering and empowering of corporations, and amending, revising and perfecting the present corporation laws of the State; to repeal section 22-308 of the Code of Georgia of 1933, as amended by an Act approved March 15, 1935 (Ga. L. 1935, pp. 108-9, and to repeal said last mentioned Act) and to insert a new section in lieu thereof; and for other purposes., approved January 28, 1938 (Ga. L. 1937-38, Ex. Sess., p. 214), as amended, is hereby amended by deleting from the first paragraph of section

Page 1112

18 the word either, which appears between the word incorporated and the word under, and also by deleting the words and phrase or under the laws of any other State or country, which appear between the word State and the word except, so that when so amended, the first paragraph of section 18 shall read as follows: Section 18. Any two or more corporations, incorporated under the laws of this State, except banks and trust companies, may merge or consolidate into a single corporation in the following manner: Mergers of Georgia corporations. Section 2. Said Act is further amended by creating a new section, to be known as section 18A, to read as follows: Section 18A. Any corporation, except banks and trust companies, chartered under the laws of this State, may consolidate or merge with one or more other corporations organized under the laws of any other State or country. If the merger or consolidation results in only one surviving corporation, and said corporation is to be a Georgia corporation, the laws of Georgia shall govern in all matters pertaining to mergers or consolidations of corporations, and the merger shall be accomplished according to the provisions of section 18. Mergers with foreign corporations. If the merger or consolidation results in creating only one surviving corporation, and said surviving corporation shall be a corporation of a state or country other than the State of Georgia, the laws of such state or country shall determine the formal requirements called for in the merger or consolidating procedure. Provided, however, that if the Georgia corporation so merged was one chartered by the superior courts of this State, a copy of the agreement to merge or consolidate so authorized, adopted, approved, signed, and acknowledged in the manner hereinbefore set out, shall be filed with the Secretary of State, as well as with the clerk of the superior court of the county in which the Georgia corporation had its principal

Page 1113

place of business. If the Georgia corporation was of the type chartered by the Secretary of State, a copy of the above mentioned agreement to merge or consolidate shall be filed in the Office of the Secretary of State. If the corporation resulting or surviving such consolidation or merger is to be a corporation of this State, the charter fee required for the chartering of a new corporation shall be paid to the Secretary of State or the clerk of the superior court at the time the agreement is filed in his office; however, if it is to be governed by the laws of any state other than the laws of this State, the said charter fee shall not be collected, but the Secretary of State and, if applicable, the clerk of the superior court shall collect a filing fee of five ($5.00) dollars at the time the agreement is filed in his office. Section 3. All mergers of consolidations of foreign corporations into domesticated corporations which were executed in conformity to the existing laws of this State in effect before the passage of this Act are hereby expressly ratified and confirmed. Prior mergers ratified. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. CRIMES ARISING FROM FRAUDULENT USE OF CREDIT CARDS. No. 883 (Senate Bill No. 169). An Act to prohibit any person from obtaining credit by use of a credit card issued to another without the consent of the person to whom issued; to prohibit the use of a credit card which has expired or been cancelled; to prohibit the use of a false, fictitious or counterfeit credit card; to prescribe penalties therefor; to define

Page 1114

certain words and terms; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The term credit card as used herein means an identification card, credit number, credit device, or other credit document issued to a person, firm or corporation by a business organization which permits such person, firm or corporation to purchase or obtain goods, property or service on the credit of such organization. Credit card defined. Section 2. Any person who knowingly used for the purpose of obtaining credit, or for the purchase of goods, property or services, (1) a credit card which has not been issued to such person and which is not used with the consent of the person to whom issued or (2) a credit card which has been revoked or cancelled by the issuer of such card and notice thereof has been given to such person, or (3) a credit card which has expired or (4) a credit card which is false, fictitious or counterfeit is guilty of a misdemeanor and punishable by a fine of not more than one hundred dollars ($100.00) or imprisonment for not more than thirty (30) days if the amount of the credit or purchase obtained by such use does not exceed fifty dollars ($50.00) or by both such fine or imprisonment, or by a fine of not less than one hundred dollars ($100.00) nor more than five hundred dollars ($500.00) or imprisonment for not more than one (1) year if the aggregate amount of the credit or purchase obtained by such use exceeds fifty dollars ($50.00), or by both such fine and imprisonment. Crimes and punishment. Section 3. The presentation of an expired or revoked credit card for the purpose of obtaining credit or the privilege of making a deferred payment for the article or service purchased shall be prima facie evidence of knowledge that the credit card had expired or had been revoked, if the purchaser shall not have paid to the issuer of the credit card the total amount of the credit purchase within ten (10) days after notice that such credit card

Page 1115

had expired or had been revoked at the time the purchase was made, which notice shall also state the amount due on such purchase. Presumptions. Section 4. The word notice as used herein shall be construed to include either notice given to the purchaser in person or notice given to him in writing. Such notice in writing shall be presumed to have been given when deposited as registered or certified matter, in the United States mail, addressed to such person at his last known address. Notice defined. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. STATE EMPLOYEES' RETIREMENT SYSTEM ACT AMENDED. No. 886 (Senate Bill No. 182). An Act to amend an Act establishing the State Employees' Retirement System, approved February 3, 1949 (Ga. L. 1949, p. 138), as amended, particularly by an Act approved March 5, 1959 (Ga. L. 1959, p. 107), so as to provide for further exclusions from the provisions relating to creditable service for service in the Armed Forces; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act establishing the State Employees' Retirement System, approved February 3, 1949 (Ga. L. 1949, p. 138), as amended, particularly by an Act approved March 5, 1959 (Ga. L. 1959, p. 107), is hereby amended by adding after the words Social Security in subsection (4) of section 4 the words and those retirement programs covered under the provisions of Title 10

Page 1116

of the United States Code, Public Law 810, 80th Congress, as amended, so that when so amended, subsection (4) of section 4 shall read as follows: (4) Any thing in this Chapter to the contrary notwithstanding, any member, if otherwise eligible for prior service credits, who, prior to his membership in this System, was inducted into active service in the Armed Forces of the United States, shall be entitled to creditable service for such active service, exclusive of reserve service, and not to exceed the limitations as elsewhere provided for in this Chapter, provided no service in the Armed Forces shall be deemed as creditable under any provisions of this Chapter if such service has or will be used in the determination of any member's eligibility for retirement benefits or allowances from any other State or Federal retirement program, excluding Social Security and those retirement programs covered under the provisions of Title 10 of the United States Code, Public Law 810, 80th Congress, as amended, with the further provision that this Act will not be prejudicial to any determination of creditable service made prior to the passage of this Act. Credit for service in Armed Services. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. TEACHERS' RETIREMENT SYSTEM ACT AMENDED. No. 888 (Senate Bill No. 184). An Act to amend an Act establishing a retirement system for teachers in the State public schools and other State supported schools, approved March 19, 1943 (Ga. L. 1943, p. 640), as amended, particularly by Acts approved March 28, 1947 (Ga. L. 1947, p. 1494), December 3, 1953 (Ga. L. 1953, Nov. Sess., p. 390), March 13, 1957 (Ga. L. 1957, p. 508), March 17, 1959 (Ga. L. 1959, p. 319), so as to provide that tax funds of Georgia

Page 1117

may be used or applied on any prior service of credit allowed while teaching outside of Georgia; to provide an additional method of qualification for credit for prior service; to provide a method for reinstatement of teachers who have withdrawn their contributions; to provide for membership rights for those teachers who did not join this system as of July 1943, but who had service prior to such date; to provide for an effective date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act establishing a retirement system for teachers in the State public schools and other State supported schools, approved March 19, 1943 (Ga. L. 1943, p. 640), as amended, particularly by Acts approved March 28, 1947 (Ga. L. 1947, p. 1494), December 3, 1953 (Ga. L. 1953, Nov. Sess., p. 390), March 13, 1957 (Ga. L. 1957, p. 508), and March 17, 1959 (Ga. L. 1959, p. 319), is hereby amended by changing the semicolon appearing in line twenty-four (24) of section 4 (5-A), (Ga. L. 1957, p. 509) of said Act into a period and striking the words provided further, however, that no tax funds of Georgia shall be used to apply on any prior service of credit allowed while teaching outside of Georgia., so that section 4 (5-A) when so amended shall read as follows: Section 4 (5-A). Any teacher coming into the Teachers' Retirement System shall be entitled to receive credit for prior teaching service in other state or independent school systems, up to a maximum of ten (10) years, where that state or independent school system permits the same credit for teaching service in this State. After having been employed within the State for a period of five years, a teacher may establish and receive credit for one year of out-of-State service, for each additional year of service credit within the State with a maximum of ten years out-of-State credit allowed. In order to receive this out-of-State credit a teacher must pay into the retirement system prior to retirement total contributions equal to eight (8%) per cent (plus accumulated regular interest

Page 1118

thereon) of such out-of-State compensation as the teacher received during those years of out-of-State service for which the Teacher receives out-of-State credit; provided, that no member who receives or who is entitled to receive a pension or annuity from any other State or County or municipality shall receive out-of-State prior service credit and/or membership service credit as set forth above. Provided further, however, that the change in this Act shall not affect the rights of persons who have retired when this amendment becomes effective. The board of trustees shall formulate rules and regulations as deemed necessary, and under such conditions as the board of trustees deem to in the interest of the retirement system, to accomplish the transfer of funds contributed by or accrued to the credit of any transfer teacher. Credit for prior teaching service. Section 2. Said Act is further amended by adding at the end of section 4, subsection 2, of said Act, the following language: Any member who is unable to qualify for prior service under the provisions hereintofore set forth, may qualify for the same as follows: such member may receive credit for prior service after they have been a contributing member for five years and upon compliance with such other provisions prescribed by this Act. Those teachers having signed non-election cards expressing their desire not to become members, but who now wish to do so, may receive credit for prior service (service prior to July 1, 1943), upon making contribution of five (5%) per cent for the years between January 1, 1945, and the time they shall have become contributing members, plus three and onehalf (3%) per cent interest, based on salary earned during such years. Teachers previously signing non-election cards. So that when amended, section 4, subsection 2, shall read as follows: (2). Under such rules and regulations as the board of trustees shall adopt, each member who was a teacher at any time during the calendar year 1943, or in lieu of having taught in 1943, teaches two out of three years

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between January 1, 1940, and January 1, 1943, or has taught two years from January 1, 1945, to January 1, 1948, or has taught one year between January 1, 1945, and January 1, 1948, and has fifteen years' service previous to January 1, 1948, shall file a detailed statement of all services as a teacher rendered by him prior to July 1, 1943, for which he claims credit. In the event any person who would otherwise have qualified under this subsection shall be on leave in the armed forces of the United States, any such person shall have until six months after termination of his military service to qualify under the provisions hereof. Upon verification of such statement of service, the board of trustees shall issue a prior service certificate certifying to the member the period of service prior to July 1, 1943, with which he is credited on the basis of his statement of service, and certifying the amount of his `prior service accumulations' as defined in subsection (3) of this section 4. So long as membership continues a prior service certificate shall be final and conclusive for retirement purposes as to such service; provided, however, that a member may within one year from the date of issuance or modification of such certificate, request the board of trustees to modify or correct his prior service certificate. When membership ceases, such prior service certificate shall become void. Any member who is unable to qualify for prior service under the provisions hereintofore set forth, may qualify for the same as follows: such member may receive credit for a year of prior service for each year of service performed after they have been a contributing member for five years and upon compliance with such other provisions prescribed by this Act. Those teachers having signed non-election cards expressing their desire not to become members, but who now wish to do so, may receive credit for prior service (service prior to July 1, 1943), upon making contributions of five (5%) per cent for the years between January 1, 1945, and the time they shall have become contributing members, plus three and one-half (3%) per cent interest, based on salary earned during such years. Section 3. Said Act is further amended by inserting

Page 1120

into section 3, subsection 4, between the fourth and fifty sentences, the following language: Any member having withdrawn his contributions, not more than one time, may, after five years active service as a contributing member, re-establish such membership service as represented by the withdrawn contributions upon his payment back into the fund, a sum equal to the amount withdrawn plus three and one-half (3%) per cent interest for each year or portion thereof from the time withdrawn. Members previously having withdrawn. so that section 3, subsection 4 when so amended shall read as follows: The membership of any member shall terminate if he dies, retires under this retirement system, or withdraws his contributions, or if in a period of 3 consecutive years after becoming a member he renders less than one year of service, or if after he becomes a member he is employed by an employer operating a local retirement fund. If any member who has not withdrawn his contributions to the retirement system has a break in service of more than two (2) years but not more than three (3) years, such member may be reinstated to membership if he shall pay a sum equal to twelve and one-half (12%) per cent of his salary for his last year of service. If any member who has not withdrawn his contributions to the retirement system has a break in service of more than three (3) years but not more than four (4) years, such member may be reinstated to membership if he shall pay a sum equal to twenty-five (25%) per cent of his salary for his last year of service. All interest credits shall cease after any such break in service, but shall begin again on the date of the payment of the sum provided above. Any member having withdrawn his contributions, may, after five years active service as a contributing member, re-establish such membership service as represented by the withdrawn contributions upon his payment back into the fund, a sum equal to the amount withdrawn plus three and one-half (3%) per cent interest for each year or portion thereof from the time withdrawn. Notwithstanding the foregoing, the

Page 1121

board of trustees may continue the membership of a member while in the armed forces of the United States or other emergency wartime service of the United States approved in advance by the board of trustees, or if he ceases to be a member by reason of illness preventing him from rendering service for as much as one year in a period of three consecutive years, or if the failure of such teacher to render service for the required time is due to absence on maternity leave. The membership of any teacher shall not be terminated during any period of absence made necessary by the adoption of a child or children by said teacher. All members whose membership prior hereto has terminated due to such cause are hereby declared to be reinstated and entitled to all the prior service credits and other rights as though this Act were in effect at the date of such withdrawl from service. No benefit under the retirement system other than the payment of the contributions of such a teacher with allowable interest credits shall become payable to him or on his account while he is not in service as a teacher and no contribution, shall be made to his system by the State or other employer by reason of his service during any such time, except as herein otherwise provided. A leave of absence shall be limited to not more than three years for each child adopted. Anything in this Act to the contrary notwithstanding the provisions of this paragraph with reference to break in service, reinstatement of membership and payment of funds into the retirement system, shall apply to any member who has retired and has lost prior service credits prior to the enactment of the law approved February 27, 1953 and each such retirant shall be allowed the prior service credits under the conditions set forth in this paragraph and the retirement allowance shall be adjusted in accordance therewith. Section 4. The provisions of this Act shall not become effective until after the Board of Trustees of the Teachers Retirement System of Georgia has notified the Governor in writing that it has received a certification from its actuaries that the provisions contained herein will not impair the actuarial soundness of the System. Effective date.

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Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. MOTOR VEHICLESENFORCEMENT OF ACT REGULATING DIMENSIONS, LENGTH AND WEIGHT OF MOTOR VEHICLES. No. 889 (Senate Bill No. 188). An Act to amend an Act approved March 27, 1941 (Ga. L. 1941, p. 449), as amended, which relates to the governing and regulating of the use of the public roads and highways of this State by providing for dimensions, length, and weights of motor vehicles and providing penalties for the violation of same, so as to vest the State Highway Board of Georgia with certain police powers and authority to designate, deputize and delegate to appropriate employees of the State Highway Department the necessary authority to enforce the provisions of this Act; to provide law enforcement officers and employees of the State Highway Department with authority to weigh and measure motor vehicles and to order operators of vehicles to drive their vehicles upon scales to be weighed; to provide the penalty for violations of this Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act approved March 27, 1941 (Ga. L. 1941, p. 449), as amended, which Act relates to the governing and regulation of the use of the public roads and highways of this State by providing for dimensions, length and weights of motor vehicles, and providing penalties for the violation of the same, is hereby amended by adding a new Section 1A to read: Section 1A. The State Highway Board of Georgia is

Page 1123

hereby invested with the authority to exercise certain police powers and by appropriate resolution to designate, deputize and delegate to an appropriate member of a truck weighing crew of the State Highway Department the necessary authority to enforce the provisions of this Act with respect to dimensions, length and weights of motor vehicles permitted to be operated upon the public roads and highways of this State. Nothing contained herein shall be construed so as to permit any such designated member of a weighing crew to carry any firearm or weapon for the purpose of enforcing the provisions of this Act. Enforcement by State Highway Board. Section 2. Said Act is further amended by adding a new Section, to be known as section 2A, to read as follows: Section 2A. Any law enforcement officer or employee of the State Highway Department, authorized to enforce the provisions of this Act, who observes a motor vehicle being operated upon a public road or highway of the State and who has reason to believe that the size of the vehicle or the weight and load of the vehicle is unlawful is hereby authorized to weigh and measure same. If the operator of a motor vehicle sought to be weighed and measured shall refuse to stop upon proper order or to drive the vehicle upon the scales as directed by a person authorized by this Act to weigh or measure the vehicle, said operator shall be punished by a fine not to exceed $200.00. Said operator shall have the right to post an appropriate bond, which shall not exceed $400.00, when any law enforcement officer or employee of the State Highway Department, authorized to enforce the provisions of this Act, apprehends said operator for any violation of this Act. Same, fines, bonds. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960.

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SALE OF COUNTY OWNED PROPERTY IN COUNTIES OF 400,000 OR MORE PERSONS. Code Ann. 91-804A Amended. No. 897 (Senate Bill No. 208). An Act to amend an Act entitled An Act to amend Code section 91-8 pertaining to Inventory and Public Sale of Property... approved March 17, 1959 (Ga. L. 1959, p. 325) so as to provide for the private sale of county property under certain conditions; and for other purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of same: Section I. The period at the end of section 1 of said Act shall be stricken and there shall be added thereto the following: provided, however, in any county of the State having a population of 400,000 or more by the United States census of 1950, or any future United States census, where the governing authority thereof has established or constituted an advisory commission, board, or authority to study and make recommendation for the future development, use and sale of county-owned property, the governing authorities of such county shall have the right, with the advice and approval of such commission, board or authority, to negotiate and consummate a private sale of any county-owned property, notwithstanding the provision of this statute; and, provided, further where there is no commission, board, or authority established in such county for the particular class or type of property, the governing authorities of such counties shall nevertheless have the right to negotiate a private sale of any county-owned property with the advice and approval of the grand jury. Section II. All laws or parts of laws in conflict herewith be and the same are hereby repealed. Approved March 17, 1960.

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MANSION SITES COMMISSION. No. 901 (Senate Bill No. 217). An Act to authorize a commission to hear proposals, to consider, to confer with others, and to make recommendations to the General Assembly concerning proposals for and to effect the lease or development, or to otherwise produce the greatest amount of income for the best interest of the State of Georgia, concerning the tract of land owned by the State of Georgia and located in land lot 78 of the 14th district of Fulton County, Georgia, and known as the Governor's Mansion Lot, which tract of land was leased by the State of Georgia acting through the Mansion Lease Commission for a term of fifty years beginning June 1, 1992, and terminating May 31, 1972, (provided no such proposals shall interfere with the rights of the present lessee of said tract of land, without its consent); to provide for the personnel of the Commission; to present its actions thereon to the General Assembly; to repeal conflicting laws and for other purposes. Be it enacted by the General Assembly of Georgia and it is hereby enacted by authority of same as follows: Section 1. Commission. (1) Constitution of Commission. There is hereby created a Commission to be known as Mansion Sites Commission to be constituted and created by the Governor, by executive order, consisting of the Governor as ex officio Chairman of the Commission, a member of the House of Representatives of the State of Georgia, a member of the Senate of the State of Georgia, the State Auditor, and two private citizens from the State of Georgia at large; any one of the members of the Commission may be designated Chairman of the Commission by the Governor to serve at his pleasure. The term of service of the Commission shall be terminated as of January 20, 1961, at which time the Commission shall make its report and recommendations to the General Assembly. (2) Duties and Powers of Commission. Said Commission

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shall study, investigate and make findings and recommendations to the General Assembly concerning proposals for and to effect the lease or development or to otherwise produce the greatest amount of income for the State of Georgia concerning the tract of land owned by the State of Georgia and located in land lot 78 of the 14th district of Fulton County, Georgia, and known as the Governor's Mansion Lot, which tract of land was leased by the State of Georgia acting through the Mansion Lease Commission for a term of fifty years beginning June 1, 1922, and terminating May 31, 1972. Section 3. No such proposal shall interfere with the rights of the present lessee of the Governor's Mansion Lot property without its consent. Present lessee. Section 4. No such proposals or agreements pertaining to the Governor's Mansion Lot property shall in any way be binding on the State of Georgia unless and until it has been approved or authorized by Act or by a joint resolution of the House of Representatives and the Senate of the State of Georgia. Approval of agreements. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GEORGIA PUBLIC SERVICE COMMISSIONAUTHORITY TO ENFORCE PROVISIONS OF MOTOR CARRIER ACT AND LAW RELATING TO MOTOR COMMON CARRIERS. Code 68-520 and 68-626 Amended. No. 902 (Senate Bill No. 219). An Act to amend Code Title 68 pertaining to motor vehicles, as amended, so as to provide that the Georgia Public Service Commission shall have the police powers

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and the authority to delegate to employees and assistants the authority to enforce the provisions of the Motor Carrier Act of 1931 (Code Chapter 68-5) and the law relating to motor common carriers (Code Chapter 68-6) including the power to stop and inspect all vehicles for hire using the public highways and determine whether they have complied and are complying with the provisions of said laws and all other laws regulating the use of the public highways by motor vehicle carriers for hire and to arrest all persons found in violation thereof; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 68-520 pertaining to the enforcement of the provisions of Code Chapter 68-5 by the Public Service Commission is amended by inserting at the end thereof the words: The Commission is vested with police powers and authority to designate, deputize and delegate to employees of the Commission the necessary authority to enforce the provisions of this Chapter, including the power to stop and inspect all motor vehicles using the public highways and determine whether they have complied and are complying with the provisions of this Chapter and all other laws regulating the use of the public highways by motor vehicle carriers for hire, and to arrest all persons found in violation thereof., so that said Section as amended hereby shall read as follows: 68-520. The Commission is hereby authorized to employ such persons as may be necessary, in the discretion of the Commission, for the proper enforcement of the provisions of this Chapter, the salaries of such employees to be fixed by the Commission. The traveling expenses of the Commission and its employees incurred in the performance of this Chapter shall be paid as similar expenses of the Commission, out of the motor vehicle fund.

Page 1128

The Commission is vested with police powers and authority to designate, deputize and delegate to employees of the Commission the necessary authority to enforce the provisions of this Chapter, including the power to stop and inspect all motor vehicles using the public highways and determine whether they have complied and are complying with the provisions of this Chapter and all other laws regulating the use of the public highways by motor vehicle carriers for hire, and to arrest all persons found in violation thereof. Enforcement of Chapter. Section 2. Code section 68-626 pertaining to the enforcement of Code Chapter 68-6 by the Public Service Commission, as amended, is amended by adding at the end of said Section the words: The Commission is vested with police powers and authority to designate, deputize and delegate to employees of the Commission the necessary authority to enforce the provisions of this Chapter, including the power to stop and inspect all motor vehicles using the public highways and determine whether they have complied with and are complying with the provisions of this Chapter and all other laws regulating the use of the public highways by motor vehicle carriers for hire, and to arrest all persons found in violation thereof., so that said Section as amended hereby shall read as follows: 68-626. The Commission is hereby authorized to employ such persons as may be necessary, in the discretion of the Commission, for the proper enforcement of the provisions of this Chapter, the salaries for such employees to be fixed by the Commission. The traveling expenses of the Commission and its employees incurred in the performance of this Chapter shall be paid out of the funds derived under this Chapter. The Commission is vested with police powers and authority to designate, deputize and delegate to employees of the Commission the necessary authority to enforce the provisions of this Chapter, including the power to stop and inspect all motor vehicles

Page 1129

using the public highways and determine whether they have complied with and are complying with the provisions of this Chapter and all other laws regulating the use of the public highways by motor vehicle carriers for hire, and to arrest all persons found in violation thereof. Enforcement of Chapter. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. GEORGIA PUBLIC SERVICE COMMISSIONVEHICLES EXEMPT FROM REGULATION. Code 68-502 Amended. No. 904 (Senate Bill No. 221). An Act to amend section 68-502 of the 1933 Code of Georgia, as amended by an Act of the General Assembly of Georgia (Ga. L. 1943, pp. 179-180) by amending subsection 2 (a) thereof so as to provide that the term Motor Carrier shall not include motor vehicles engaged in the transportation of dry fertilizer; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 68-502 of the 1933 Code of Georgia, as amended by an Act of the General Assembly of Georgia (Ga. L. 1943, pp. 179-180), be amended by inserting the words or dry fertilizer between the words peaches, whether, so as to provide that the term Motor Carrier shall not include motor vehicles engaged in the transportation of dry fertilizer, so that said Code section 2 (a), as amended, will read as follows: 2 (a) Motor vehicles engaged in the transportation of peanuts in the shell and peaches, or dry fertilizer,

Page 1130

whether such motor vehicle is owned by the producer or owner of such peanuts and peaches, or dry fertilizer, or by any other person: Provided, such vehicles do not haul or transport other commodities not exempt by law from the regulations of the Public Service Commission. Haulers of dry fertilizer. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. VITAL STATISTICS ACT AMENDED. No. 906 (Senate Bill No. 233). An Act to amend an Act providing a complete and comprehensive Vital Statistics Law for Georgia, approved March 8, 1945 (Ga. L. 1945, p. 236), as amended by an Act approved February 19, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 148), so as to prescribe certain regulations relative to the removal or disposition of a dead body; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act providing a complete and comprehensive Vital Statistics Law for Georgia, approved March 8, 1945, (Ga. L. 1945, p. 236), as amended by an Act approved February 19, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 148), is hereby amended by striking from section 27, as amended, paragraph (1), and inserting in lieu thereof a new paragraph (1) to read as follows: (1) When a death or a fetal death occurs or a dead body is found, the body shall not be disposed of or removed from the area embraced within a radius of one hundred miles from the place where the death occurs or the dead body is found, excluding any territory outside this State, until a permit has been issued by the local

Page 1131

registrar or the department. The body may be moved anywhere within the area described above if a certificate of death or fetal death, as far as it can be completed under the circumstances of the case, is filed in the registration district where the death occurs or the dead body is found, within seventy-two hours after such death occurs or such dead body is found, so long as such action does not conflict with the provisions of the `Georgia Post Mortem Examination Act' (Ga. L. 1953, Jan.-Feb. Sess., p. 602). Permits governing dead human bodies. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. ENGINEERING EXPERIMENT STATION. Code Chapter 32-3 Amended. No. 909 (House Bill No. 745). An Act to amend Code chapter 32-3, relating to the Engineering Experiment Station, so as to provide for a central experiment station to be located at the Georgia Institute of Technology; to provide for field offices or substations; to provide for an industrial development center; to provide for purposes, objectives, duties, powers and authority; to provide for financing by the Board of Regents; to provide for Federal appropriations; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code Chapter 32-3, relating to the Engineering Experiment Station, is hereby amended by striking Code section 32-301 in its entirety and inserting in lieu thereof a new section 32-301, to read as follows:

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32-301. To aid in the promotion of scientific, engineering and industrial research; to encourage the more complete development and utilization of the natural resources of Georgia; to advance science, technology and education; to encourage further industrial and economic development; to provide technical advice and assistance to business and industry; to provide an industrial extension service to meet the technical, informational and other needs of industry and local development groups; and in order to promote the general welfare of the people of the State of Georgia through a program of scientific, engineering and industrial research, there is hereby created at and in connection with the Georgia Institute of Technology, a department to be known and designated as the Engineering Experiment Station. Said department shall be composed of a central experiment station to be located at the Georgia Institute of Technology, and such field offices or substations as hereinafter provided. Created. Section 2. Said Chapter is further amended by striking Code section 32-302 in its entirety and inserting in lieu thereof a new section 32-302, to read as follows: 32-302. It shall be the duty of said Engineering Experiment Station to conduct original researches, perform and verify experiments, make investigations in any and all branches of engineering, manufacturing, and the industries, and the sciences related thereto, and to compile data relating to such researches, for the promotion of the same in the interests of the people. It shall also be the duty of said Station to formulate and implement a program of research which will seek to enhance the economic and industrial development of the State of Georgia through the search for new or improved products, devices and processes; through the development of new uses for Georgia's existing and potential resources; through the pursuit of scientific knowledge and learning and the dissemination thereof; through the search for new economic opportunities; and through technical assistance to the existing and future industrial community. It shall further be the duty of said Station to render assistance to national programs of science, technology, and preparedness. It

Page 1133

shall also be the duty of said Station to conduct such other researches, experiments, and investigations bearing upon the industries, occupations and public welfare of the people as may in each case be deemed advisable, practicable and within the resources of said Station. Duties. Section 3. Said Chapter is further amended by striking Code section 32-303 in its entirety and inserting in lieu thereof a new section 32-303, to read as follows: 32-303. To meet more effectively the needs of business, industry and of local groups engaged in economic development, there shall exist as part of, and in connection with, the Engineering Experiment Station, a center for industrial development, having as its purpose the furthering and strengthening of the Engineering Experiment Station's present program, including the establishment of such additional research and related services as may be necessary to make possible the more effective development of the State's industrial resources and potentials. To bring to bear more effectively the talents of the Station's staff of scientists, engineers and technicians on the needs of local development groups and of business and industry, the Station's present program shall be extended as rapidly as its financial condition will permit, to provide a State-wide industrial extension service through the establishment of field offices or substations. The location of each field office or substation shall be determined by the Director of the Engineering Experiment Station, who shall choose each location on the basis of its advantages to the Station's overall program and the further development of the State's resources. In addition to being responsible for providing technical advice and assistance to local development groups and to establish business and industry, each field office or substation shall have as its further purpose the collection of data on local resources and the evaluation of existing and potential industrial opportunities. Field offices. Section 4. Said Chapter is further amended by striking Code section 32-304 in its entirety and inserting in lieu thereof a new section 32-304, to read as follows:

Page 1134

32-304. Bulletins giving results of said researches, investigations, and experiments, or reports of progress, shall be published at said Station at least once in twelve months. Copies shall be sent to persons, newspapers, institutions, and libraries interested in research, engineering, manufacturing, and industry as may request the same, as far as the means of the Station will permit. Copies of said reports are to be sent to the State Geologist, and other State officials requesting same, free of all charges. Bulletins. Section 5. Said Chapter is further amended by striking Code section 32-305 in its entirety and inserting in lieu thereof a new section 32-305, to read as follows: 32-305. All moneys now or hereafter appropriated by the General Assembly for the establishment and operation of the said Engineering Experiment Station, together with any sums which may be appropriated by the United States Congress or apportioned to the State from the Treasury of the United States for purposes substantially the same as specified in this Chapter, shall be paid to the Board of Regents for the prosecution of the work of the said Engineering Experiment Station hereby authorized. Provided, that such Board shall formally present to the Governor their acceptance of the conditions of this law. Funds. Section 6. Said Chapter is further amended by adding a new Code section, to be known as section 32-306, to read as follows: 32-306. In the event of the Congress of the United States making appropriations to the states and territories for the conduct of work similar to that hereinbefore specified, the work of the said Station shall conform to the requirements imposed as the conditions for such Federal appropriations, and as may be hereafter accepted by the General Assembly, in order that the work of the Engineering Experiment Station may be aided and extended by means of such Federal appropriations for scientific, engineering and industrial research. Federal aid.

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Section 7. The Engineering Experiment Station provided for herein shall be a continuation of the Station existing at the time of the effective date of this Act, and such existing Station shall not be considered to be abolished by this Act. Intent. Section 8. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. CRIMESBARRATRY DEFINED, PUNISHMENT. Code 26-4701 Repealed. No. 910 (House Bill No. 935). An Act to revise the laws of Georgia relating to the offense of barratry; to repeal section 26-4701 of the Code, defining the offense of common barratry; to repeal an act approved March 19, 1957 (Ga. L. 1957, Vol. I, p. 658) defining the crime of barratry and conspiracy to commit barratry; to redefine the offenses of barratry and conspiracy to commit barratry; to prescribe felony and misdemeanor penalties therefor; to provide for the bringing of injunction suits to enjoin violations of this act; to provide that the provisions of this act shall be separable; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 26-4701 of the Code, relating to the offense of common barratry, is hereby repealed. Code 26-4701 repealed. Section 2. An Act defining the crimes of barratry and conspiracy to commit barratry, and prescribing penalties therefor, approved March 19, 1957 (Ga. L. 1957, Vol. I, p. 658), is hereby repealed in its entirety. 1957 Act repealed.

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Section 3. (a) Any person who shall commit the crime of barratry as hereinafter defined shall be guilty of a felony and punished by fine not to exceed five thousand dollars, imprisonment of not less than one year nor more than three years, or both. Barratry defined, punishment. (b) As used in this Act, the crime of barratry is hereby defined to include any of the following: 1. Any person who frequently excites and stirs up suits and quarrels between individuals, or between any individual and the State or any of its agencies, instrumentalities, public corporations or authorities, or between any legal entity, either at law, equity, before any administrative tribunal, or otherwise. 2. Any attorney who files or institutes any action, litigation or other proceeding, either at law, equity or otherwise, before any state or federal court, or any other person who causes such action, litigation, or proceeding to be filed or instituted, without obtaining due and proper authorization from the plaintiff, movant or complainant therein. For purposes of this act, any contract or other written instrument purporting to be authorization for such action, litigation or proceeding, shall be prima facie evidence of authorization, but shall not be conclusive where fraud or misrepresentation is shown. 3. Any attorney who solicits, or who after soliciting, advocates, urges or encourages or any other person who solicits, advocates, urges or encourages the bringing of any action, litigation or other proceeding before any state or federal court, or before any administrative agency of the state or any political subdivision thereof, and thereafter defrays or offers to defray the costs of maintaining such action, litigation or other proceeding, or to furnish counsel or other legal assistance in connection therewith. Nothing herein shall apply to any contingent fee contract between an attorney and client unless such attorney or any one acting in his behalf solicited such contract without being first consulted by the client or the client's representative.

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4. Any attorney or other person who offers any money, property, or other thing of value to any person as an inducement to the institution by or on behalf of such person of any action, litigation or other proceeding before any state or federal court or before any administrative agency of the state or any political subdivision thereof. (c) As used in this Act, the term person includes natural persons, corporations, whether profit or non-profit, and associations. Section 4. If two or more persons conspire, confederate or agree to commit the crime of barratry, and one or more of such persons do any act to effect the object of the conspiracy, each shall be guilty of a misdemeanor and on conviction thereof shall be punished as prescribed by law. Conspiracy. Section 5. In the event any section, subsection, sentence, clause or phrase of this Act shall be declared or adjudged invalid or unconstitutional, such adjudication shall in no manner affect the other sections, subsections, sentences, clauses, or phrases of this Act, which shall be and remain in full force and effect, as if the section, subsection, sentence, clause, or phrase so declared or adjudged invalid or unconstitutional was not originally a part thereof. The legislature hereby declares that it would have passed the remaining parts of this Act if it had known that such part or parts thereof would be declared or adjudged invalid or unconstitutional. Section 6. All laws and parts of laws in conflict with this act are hereby repealed. Approved March 17, 1960.

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PAYMENT OF COST FOR CARE OF PATIENTS IN STATE INSTITUTIONS. Code 35-204 Repealed. No. 911 (House Bill No. 600). An Act to provide for the payment of the cost of care of persons admitted or committed to State institutions which now or hereafter come under the management and control of the State Board of Health or Georgia Department of Public Health, or any facility operated in conjunction therewith; to define the terms used in this Act; to provide free cost of care for certain patients; to provide for the determination by the State Board of Health of the ability of a patient, his estate, or any person liable for the cost of care; to provide for assessments; to provide for hearings; to provide for adjustment of assessments; to provide for collection of assessments; to provide for accounting and budgeting of sums collected under this Act; to provide that there shall be no discrimination at State institutions because of sums paid under this Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. As used in this Act, the following terms shall have the following meanings, unless a contrary meaning is clearly indicated by the context thereof: Definitions. (a) State institution shall mean any State institution which now or hereafter comes under the control of the State Board of Health or the Georgia Department of Public Health and any facility operated in conjunction therewith. (b) Patient shall mean any person voluntarily admitted or legally committed to a State institution by the various courts of this State. (c) Persons liable for cost of care shall include the

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patient or his estate and the persons legally responsible for the support of such patient, but shall not include the legal guardian as an individual, but only in the guardian's representative capacity. (d) Cost of care shall mean the average cost of support, care, treatment and hospitalization per patient, at the particular institution where the patient is confined. (e) Gross income, deductions, credits and personal exemptions shall have the same meaning as these words have in the interpretation of the Georgia Income Tax Laws now or hereafter in force. Section 2. Any person who is a resident of Georgia, and voluntarily admitted or committed to a State institution by the various courts of this State, shall be maintained free of charge if the State Department of Public Health, after investigation, determines that such patient or his estate and all persons legally liable for cost of care for such patient do not have sufficient income as provided in this Act to pay for any part of the cost of care, provided, however, that all patients admitted to a State institution under this Act shall be admitted without delay for said investigation. Free care for needy. Section 3. The State Department of Public Health through its duly authorized agents shall examine the income of the patient or his estate, and when necessary, all persons liable for the cost of care for such patient. The State Department of Public Health shall have the authority to contract with any person, firm or corporation which it finds necessary to provide information appropriate to the carrying out of its duties under this Act. The State Department of Public Health, through its duly authorized agents, shall have access to all Georgia Income Tax records for the purpose of obtaining necessary information to enforce this Act. Investigation. Section 4. Every patient who has no dependent other than himself shall pay to the Georgia Department of Public Health during each calendar year that he is admitted

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or confined to a State institution his cost of care, or such part thereof that does not exceed his gross income, less all deductions and credits (not considering personal exemptions) for the preceding calendar year. In the event the Georgia Department of Public Health is unable to collect any sum due by a patient under the terms of this paragraph, or in the event the sum so collected is less than the cost of care for such patient, then all other persons liable for cost of care for such patient shall pay to the Georgia Department of Public Health the balance of the cost of care of such patient, but none of such other persons liable for cost of care of said patient shall be liable for more than ten (10%) per cent of his gross income, less all deductions, credits and personal exemptions for the preceding year. Payment for care. Section 5. Every patient who has a dependent other than himself shall pay to the Georgia Department of Public Health during each calendar year that he is admitted or confined to a State institution his cost of care or such part thereof that does not exceed ten (10%) per cent of his gross income, less all deductions, credits and personal exemptions for the preceding calendar year. In the event the Georgia Department of Public Health is unable to collect any sum due by a patient under the terms of this paragraph, or in the event the sum so collected is less than the cost of care for such patient, then all other persons liable for cost of care for such patient shall pay to the Georgia Department of Public Health the balance of the cost of care of such patient, but none of such other persons liable for cost of care of said patient shall be liable for more than ten (10%) per cent of his gross income, less all deductions, credits and personal exemptions for the preceding year. Same. Section 6. All persons liable for cost of care of a patient shall be jointly and severally liable for such cost of care, provided, however, that no person shall be assessed more than the maximum amounts provided in sections 4 and 5 hereof. As between themselves, all persons liable for cost of care of a patient shall be entitled to contribution proportionally as to their individual gross income,

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less all deductions, credits and personal exemptions for the preceding year. Liability of persons liable for care of patient. Section 7. The Georgia Department of Public Health shall collect all sums due for the cost of care during a calendar year in monthly installments. If any person liable for cost of care fails to remit all sums due hereunder by the due date of such payment, the Georgia Department of Public Health shall collect a penalty of ten (10%) per cent thereon, plus six (6%) per cent interest from the due date. Upon making an assessment, the Georgia Department of Public Health shall give notice by registered mail to the person so assessed and shall give opportunity for such persons to be heard and show cause, if any there be, why said assessment shall not be made. Such hearing shall be held not earlier than ten (10) days and not later than thirty (30) days following each notice, and at a day, hour and place designated by the Georgia Department of Public Health. At such hearing, all parties at interest shall be permitted to be represented by counsel and to present all relevant evidence bearing on the issues involved. At any hearings held any party at interest may present affidavits or depositions to be considered by the said Department. Payment and collection of sums due, hearings. Section 8. The Georgia Department of Public Health shall publicly promulgate cost of care per diem before any payment shall be due hereunder. Cost of care. Section 9. The persons liable for the cost of care of a patient and who have the financial ability to pay the whole or any part of the cost of care thereof, may offer to the Georgia Department of Public Health a proposed order in writing consented to by each of them and in which each person is assessed a sum for the cost of care. If the Georgia Department of Public Health finds that such proposed order is satisfactory and will serve the purposes provided for in this Act, it may sign and enter such order in lieu of conducting a hearing and making and entering an order of assessment based upon the evidence produced at a hearing. The making and entering of such consent order shall not relieve any person from the whole or any part

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of his or her liability under this Act or from the redetermination and adjustment of assessment of any future liability thereunder. Agreements. Section 10. (a) When any determination and assessment has been made as provided for by this Act, the Georgia Department of Public Health shall collect the amounts of the assessments in the same manner as other debts and accounts are collected. To accomplish such collections, the Georgia Department of Public Health is hereby authorized to maintain in the name of the State of Georgia and the respective institution any action at law or in equity in any court of this State or any other state which may be necessary to collect such sums. Collections of assessments. (b) Should the cost of care or the financial status of the patient or persons liable for the cost of care sufficiently change, so that in the opinion of the Georgia Department of Public Health a change in the assessment is justified, it shall have the right to negotiate with the persons liable for the cost of care, and adjust existing assessments under any provisions of this Act permitting original determinations and assessments. Revised assessments. Section 11. Care rendered to patients in a State institution shall be of the same nature and quality without regard to whether the payment of any sum or sums is made under the provisions of this Act for the cost of care. Care. Section 12. It being the intent of this Act that the patients or those responsible for the support of said patients shall pay some part of the cost of care all funds collected hereunder shall be made available for the support of the operation of the State institutions, however, such funds shall be budgeted in accordance with State law and approved by the Budget Bureau. If approved by the Budget Bureau and the Georgia Department of Public Health these funds may be used for the support of research and education including the training of psychiatrists, physicians and other mental health personnel. Use of funds. Section 13. These monies and funds shall be kept in a

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separate account subject to the auditing procedures of other State funds. Separate accounts. Section 14. Section 35-204 of the Code of Georgia providing that any person who is a legal resident of the State of Georgia and legally committed to the Milledgeville State Hospital by the courts of this State may be maintained free of charge by said hospital, as amended, be and same is hereby repealed in its entirety. Code 35-204 repealed. Section 15. An Act authorizing the superintendent of the Milledgeville State Hospital to admit voluntary patients who are mentally ill to said hospital, approved February 12, 1952 (Ga. L. 1952, p. 94), be and the same is hereby repealed. 1952 Act repealed. Section 16. An Act providing for the payment of a portion of the cost of care and treatment rendered to persons committed to the Milledgeville State Hospital and the Georgia Training School for Mental Defectives at Gracewood or any facility operated in conjunction therewith, approved March 18, 1959 (Ga. L. 1959, p. 420), be and the same is hereby repealed. 1959 Act repealed. Section 17. The masculine gender shall include the feminine wherever the same appears in this Act. Definition. Section 18. Any party aggrieved by any determination of the Georgia Department of Public Health made after such hearing may appeal to the superior court of the county of the aggrieved party's residence in the same manner as appeals are entered from the court of ordinary. Appeals. Section 19. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 23, 1960.

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STATE DEPOSITORY BOARD. Code 100-101, 100-105 and 100-111 Amended. No. 912 (House Bill No. 612). An Act to amend sections 100-101, 100-105, and 100-111 of the Code of Georgia of 1933, as amended, particularly by the Act approved March 31, 1937 (Ga. L. 1937, p. 499) and the Act approved January 27, 1949 (Ga. L. 1949, p. 13), which created the State Depository Board and prescribed its powers and duties with reference to designation of State depositories and regulation of deposits therein by the State Treasurer, so as to provide that the State Auditor and Superintendent of Banks shall be added to the membership of the State Depository Board; to provide that the State Treasurer shall act as administrative officer of said Board; to authorize the making of time deposits by the State Treasurer and all departments and agencies subject to determination, regulations, and agreements made by said Depository Board; to define time deposits permitted hereunder and prescribe powers and duties of the Depository Board in regulating same; to require all funds held by departments and agencies of the State to be deposited in State Depositories approved by said Board and all such funds held in excess of requirements for current operating expenses to be deposited as time deposits bearing interest; to require reports to the State Depository Board of agency deposits and withdrawals; to require interest earned on certain time deposits to be paid into the State Treasury; to require reports of time and demand deposits, treasury receipts and withdrawals, and interest earnings to be furnished to the Governor and Depository Board by the State Treasurer; to exempt Retirement, Trust and Authority Funds; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Section 100-101 of the Code of Georgia of

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1933, as amended, particularly by the Act approved March 31, 1937 (Ga. L. 1937, p. 499) and by the Act approved January 27, 1949 (Ga. L. 1949, p. 13) creating the State Depository Board, is hereby amended by striking said section in its entirety and substituting in lieu thereof a new section to be numbered Section 100-101, which shall read as follows: 100-101. State Depository Board: creation, membership; naming and appointment of depositories. A state Depository Board (hereinafter called the Board) is created, consisting of the Governor, the Comptroller General, the State Auditor, the Superintendent of Banks, and the State Treasurer, who shall act as administrative officer of said Board; a majority of whom shall constitute a quorum, and the acts of the majority of whom shall be the Acts of the Board. The Board in its discretion may from time to time name and appoint as State Depositories of State Funds, only chartered solvent banks and trust companies (whether organized under State or Federal laws) of good standing and credit in any city, town, or community in this State. The Board shall meet at least once quarterly upon call of the Governor or in his absence upon the call of the State Treasurer. Section 2. Section 100-105 of the Code of Georgia of 1933, as amended, particularly by sections III and IV of the Act approved January 27, 1949 (Ga. L. 1949, p. 13), relating to the power of the State Depository Board to determine amounts and proportions of deposits by the State Treasurer in State Depositories, is hereby repealed and a new section to be known as section 100-105 of the Code of Georgia is enacted in lieu thereof, which shall read as follows: 100-105. Authority of Depository Board to Determine Amounts to be Deposited. The State Depository Board shall be authorized to determine, from time to time, in respect to all State funds, whether deposited by the State Treasurer or any other department or agency of the State government, any and all of the following:

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(a) The maximum amount of State money which may be deposited in a particular depository; (b) The maximum and minimum proportion of State funds which may be maintained in a particular depository; (c) The amount of State funds to be deposited in particular State depositories as time deposits, as hereinafter defined and the periods of such deposits. Provided that all State Depositories shall give security for State Deposits as now required by law. Section 3. Section 100-111 of the Code of Georgia of 1933, providing that funds deposited shall be subject to check of the Treasurer and for the making of receipts to tax collectors by the State Treasurer and Comptroller General, is hereby repealed in its entirety, and a new Code section 100-111 is hereby substituted in lieu thereof, to read as follows: 100-111. Funds subject to check, etc. State Depositories shall hold (a) all funds deposited with them as time deposits for and on account of the State in accordance with such time deposit agreements as may from time to time be entered into between such depositories and the Depository Board pursuant to Section 100-103 of the Code of Georgia of 1933, as amended, which agreements shall not be inconsistent with the statutes of the United States and regulations made pursuant thereto governing interest-bearing time deposits, and (b) all other funds received by them for and on account of the State, subject to the check or order of the State Treasurer, and or the officer or employee charged with the custody of any particular bank account. Section 4. All funds held by any department, board, bureau or other agency of the State shall be deposited in State Depositories and all such funds in excess of requirements for current operating expenses shall be so deposited under time deposit agreements conforming to interest

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contracts then having current approval of the Depository Board made pursuant to section 100-103 of the Code of Georgia, as amended, and any funds of such departments, boards, bureaus or agencies not so deposited shall be subject to immediate withdrawal on order of the State Treasurer when directed by the State Depository Board, provided, however, the depository board may permit any department, board, bureau, or other agency to invest in direct obligations of the Federal Government and State of Georgia approved by said boards only such funds as now so invested and future income of such funds where earnings can be greater. Provided, further that current operating expenses shall be defined as those funds not in excess of forty-five (45) days requirements as computed the first day of each calendar month. All departments, boards, bureaus and other agencies of the State shall report to the Depository Board, on such forms and at such times as the Depository Board may prescribe, such information as the Depository Board may reasonably require concerning its deposits and withdrawals pursuant to this section as shall enable the Depository Board to determine its compliance or lack of compliance with this section. Interest earned on State Funds withdrawn from the Treasury on approved budgets shall be remitted to the State Treasury by each Department, board, bureau or agency and placed in the General Fund. Time deposits, reports, interest, etc. Section 5. The State Treasurer, as administrative officer of the Depository Board, shall upon request of the Governor furnish to the Governor and the Depository Board such information and reports relating to funds held on time and demand deposits, estimates of treasury receipts and withdrawals and interest earned on time deposits as may be necessary or helpful to said State Depository Board in the administration of its duties hereunder. State Treasurer. Section 6. In the event any section, paragraph, sentence, clause, or part of this Act shall be held invalid for any reason by a court of competent jurisdiction, the invalidity thereof shall not affect the remainder of this

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Act which shall remain of full force and effect as though such invalid portion had never been enacted. Section 7. All Retirement, Trust and Authority funds shall be exempt from the provisions of this Act. Exempt funds. Section 7A. Provided, this law shall become effective July 1st, 1960. Effective date. Section 8. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 23, 1960. STATEWIDE PROBATION ACT AMENDED. No. 913 (House Bill No. 617). An Act to amend an Act known as the Statewide Probation Act, approved February 8, 1956 (Ga. L. 1956, p. 27), so as to change the provisions contained in such Act relating to suspended sentences imposed in abandonment and bastardy cases and the revocation thereof; to clarify the provision of said Act relative to the collection of funds; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act entitled the Statewide Probation Act, approved February 8, 1956 (Ga. L. 1956, p. 27), is hereby amended by striking the period at the end of the sentence in section 8, reading: The period of probation shall not exceed maximum sentence of confinement which could be imposed upon such defendant, and adding to said sentence and to the context of said section the following language: except that in a prosecution for and conviction of the offense of abandonment, the trial court may suspend the service of the sentence imposed in the case upon such terms and conditions as it may prescribe

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for the support by the defendant of the child or children abandoned, respectively, during the minority of such child or children, respectively, and service of such sentence when so suspended shall not begin unless and until ordered by the court having jurisdiction thereof, after a hearing as in cases of revocation of probated sentences, because of the failure or refusal of the defendant to comply with the terms and conditions upon which service of such sentences was suspended; and in a prosecution for and conviction of the offense of bastardy, service of the sentence imposed may likewise be suspended upon such terms and conditions as may be prescribed by the court for the support by the defendant of the child or children, respectively, upon which such conviction and sentence was based, until said child or children, respectively, reach the age of fourteen years. Service of any sentence so suspended in abandonment cases may be ordered by the Court having jurisdiction thereof at any time before such child or children, respectively, reach the age of twenty-one years, and in bastardy cases at any time before such child or children, respectively, reach the age of fourteen years, after a hearing as hereinbefore provided and a finding by such court that the defendant has failed or refused to comply with the terms and conditions upon which service of such sentence was suspended by the court having jurisdiction thereof. Effect on abandonment and bastardy cases. Section 2. Said Act is further amended by inserting at the end of section 13 thereof, the words Provided that nothing in this section shall apply to abandonment or bastardy cases., so that said section as amended hereby shall read as follows: Section 13. In all criminal cases in which the defendant shall be found guilty, or in which a plea of guilty or plea of nolo contendere shall be entered, and the trial judge after imposing sentence shall further provide that the execution of such sentence shall be suspended, such provision shall have the effect of placing such defendant on probation as provided in this Act. Provided that nothing in this section shall apply to abandonment or bastardy cases. Same.

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Section 3. Said Act is further amended by striking therefrom section 14 in its entirety and inserting in lieu thereof a new section to read as follows: Section 14. No probation officer shall be directed to collect any funds except funds directed to be paid as the result of a criminal proceeding and funds in cases arising under the Uniform Reciprocal Enforcement of Support Act. Handling of funds by probation officers. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 23, 1960. DUTIES AND FUNCTIONS OF VETERANS' HOME COMMISSION TRANSFERRED TO VETERANS' SERVICE BOARD. No. 914 (House Bill No. 646). An Act to amend an Act establishing the Georgia State War Veterans' Home and establishing a Veterans' Home Commission, approved June 22, 1955 (Ga. L. 1955, Ex. Sees., p. 18), so as to abolish the Veterans' Home Commission; to transfer the duties, power and authority of the Veterans' Home Commission to the Veterans Service Board; to provide that the Georgia State War Veterans' Home facilities shall be under the control and administration of the Veterans Service Board; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act establishing the Georgia State War Veterans' Home and establishing a Veterans' Home Commission, approved June 22, 1955 (Ga. L. 1955, Ex. Sess., p. 18), is hereby amended by striking section 2, relating to the control and administration of the Georgia State

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Veterans' Home facilities, in its entirety and inserting in lieu thereof a new section 2, to read as follows: Section 2. The facilities of the Georgia State Veterans' Home, which are located on the lands and properties of the Milledgeville State Hospital, Milledgeville, Georgia, and those facilities of said Home located on the lands and properties of the Battey State Hospital, Rome, Georgia, shall be under the control and administration of the Veterans Service Board. Control of facilities transferred. Section 2. Said Act is further amended by striking section 5, which reads as follows: Section 5. There is hereby created a commission to be known and designated The Veterans' Home Commission which shall be composed of the Governor, as chairman; the Director of the State Department of Veterans Service, as executive secretary and administrative officer; the Director of Public Health; the Director of Public Welfare; the Chairman of the State Board of Veterans' Service; the Chairman of the Committees on Veteran's Affairs of the House and Senate. Each of the officials designated shall serve on the commission, ex-officio and in the several capacities designated. That the said members of the commission are to serve without remuneration and their services on this commission will be considered a part of their official duties, provided however members of legislature serving on said commission shall be paid usual per diem and expenses paid members of interim committees. Each department represented shall furnish such secretarial and clerk help that may be needed without pay. Section of prior act repealed. in its entirety. Section 3. Said Act is further amended by striking from section 6 the words Veterans' Home Commission, the words Veterans' Commission, and the word commission wherever such words or word shall appear and inserting in lieu thereof the words Veterans Service

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Board, so that when so amended, section 6 shall read as follows: Section 6. The Veterans Service Board is hereby designated as the agency of the State of Georgia to receive Federal aid under Title 24, U.S. Code Annotated, Section 134, and is authorized and directed to receive from the United States Veterans Administration or any other agency of the United States government authorized to pay Federal aid to States for soldiers' homes under provisions of the Act of Congress of August 27, 1888, as amended, 1934 Edition U. S. Code, Title 24, Section 134, and of any other Federal law or Act of Congress providing for the payment of funds to States for the care of or support of disabled soliders and sailors in the State Homes. The Veterans Service Board is authorized to receive from any source gifts, contributions, bequests, and individual reimbursements, but not excluding any other source of revenue. All funds received by the Veterans Service Board shall be expended for the care and support of disabled war veterans. At the discretion of the Veterans Service Board, funds received from any source by the said Veterans Service Board may be expended in any manner whatsoever for the care and support of disabled war veterans including veterans of the Korean hostilities, including the purchase of supplies, food, clothing, equipment, personal and real property, the erection of suitable buildings as well as for necessary repairs on existing facilities of the said Georgia State War Veterans' Home. The Veterans Service Board is hereby authorized to hire employees, including technical personnel, as necessary in order to carry out the provisions of this Act. At the request of the Veterans Service Board every officer and employee of the State government of Georgia shall furnish all information in their possession necessary to enable the Veterans Service Board to properly carry out the provisions of this Act. Payment of funds for care of veterans. Section 4. Said Act is further amended by striking from section 7 the words Veterans' Home Commission wherever they shall appear and inserting in lieu thereof

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the words Veterans Service Board, so that when so amended, Section 7 shall read as follows: Section 7. All Federal funds received by the Veterans Service Board and paid into the State treasury are hereby continually appropriated to the Veterans Service Board in the exact amounts for the care and support of disabled war veterans as received from the Federal government. This is not intended as a limitation upon the power of the General Assembly to make such additional appropriation to provide for the care and support of disabled veterans as it may from time to time see fit to make. Use of funds. Section 5. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 23, 1960. TEACHERS' RETIREMENT SYSTEM ACT AMENDED. No. 915 (House Bill No. 664). An Act to amend section 10 of the Act approved March 19, 1943 (Ga. L. 1943, pp. 640, 668), so as to extend the exemptions and immunities accorded to amounts paid by the Teachers' Retirement System to amounts paid by such System to local school retirement systems for the account and benefit of members of such local systems; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That section 10 of the Act approved March 19, 1943 (Ga. L. 1943, pp. 640, 668), relating to exemptions accorded rights, contributions and allowances under said Act, be amended by adding at the end thereof the following sentence:

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The exemptions and immunities provided hereunder shall extend to benefits accrued or accruing to a member of a local retirement system, as provided in section 9, to the extent attributable to amounts paid by the Retirement System to such local retirement system for the account and benefit of such member. Funds exempt from executions. Section 2. All laws, or parts of laws, in conflict with this Act are hereby repealed. Approved March 23, 1960. GEORGIA REAL ESTATE INVESTMENT BOARD. No. 917 (House Bill No. 944). An Act to repeal an Act creating the Georgia Industrial Development Administration (Ga. L. 1959, pp. 346-348) in its entirety, and create in lieu thereof a Georgia Real Estate Investment Board; to provide for its members, their appointment and compensation; to provide powers, duties, and authority of said Board; to provide for an Advisory Board; to provide for the powers, duties and authority of said Advisory Board; to provide for expenses of said Advisory Board; to provide that no State Retirement System, State Annuity and Benefit Fund, or similar State System, or Fund created by the General Assembly shall make any commitment for a real estate loan or make a loan on or investment in real estate except those real estate commitments, real estate loans and real estate investments which have been first approved by the Georgia Real Estate Investment Board; to provide that any commitment or loan on real estate, or real estate investment made by such State Retirement Systems or such State Annuity and Benefit Funds without the prior approval of the Georgia Real Estate Investment Board shall be illegal, null and void; to provide that all loans and investments made by said State Retirement Systems and State Annuity and Benefit Funds shall be subject to

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all the terms, conditions, limitations and restrictions imposed by law upon domestic insurance companies in making and disposing of their investments; to provide that the provisions relating to investment of funds in classes of securities other than those specified by law upon the approval of the Insurance Commissioner shall not be applicable to any loan or investment made by said State Retirement Systems or said State Annuity and Benefit Funds; to provide for investigations and the payment of expenses thereof; to provide an expiration date; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. The Act creating the Georgia Industrial Development Administration, approved March 17, 1959 (Ga. L. 1959, p. 346), is hereby repealed in its entirety and the Georgia Industrial Development Administration is hereby abolished. There is hereby created in lieu of said Administration, the Georgia Real Estate Investment Board, which shall be composed of five members to be appointed by the Governor, who shall serve at the pleasure of the Governor. The members of the Board shall serve without compensation, but shall be reimbursed for their actual expenses necessarily incurred in the performance of their duties. Each member shall be experienced in the fields of real estate loans and security investments. No person shall be eligible to be a member of the Board who holds any public elective office. No member of any board of trustees or any other board by whatever name called which administers any State retirement system, pension system, annuity and benefit fund or similar State system or fund created by the General Assembly of Georgia shall be eligible to serve as a member of the Board. Three members who are present in person at a meeting of the Board shall constitute a quorum. 1959 Act repealed. Created. Section 1A. There is hereby created an Advisory Board to the Georgia Real Estate Investment Board which shall be composed of one (1) member from each of the boards which administer each of the systems

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or funds affected by the provisions of this Act, who shall not be an elected State official. Each such member of the Advisory Board shall be selected by the Board of the respective system or fund which he represents. Said board shall act only in an advisory capacity to the Georgia Real Estate Investment Board and shall have no vote in any matters decided by said Investment Board. The members of the Advisory Board shall have the right to express their views on any matter pending before the said Investment Board, and such views shall be given such consideration as the said Investment Board shall deem advisable. Each member of the Advisory Board shall receive the notice of all meetings of the said Investment Board and shall have the right to attend all meetings of said Investment Board. Each member of the Advisory Board shall also be notified of all actions taken by the said Investment Board. Any expenses incurred by any member of the Advisory Board in connection with services on said Advisory Board shall be paid from the funds of each system or fund which such member represents. Advisory Board. Section 2. The Georgia Real Estate Investment Board shall have the following powers, duties and authority: (a) To prevent through the provisions of this Act the loaning or investment of money in real estate loans or real estate loan commitments or real estate investments by any of the State Retirement Systems or State Annuity and Benefit Funds, or similar State systems or funds created by the General Assembly of Georgia, in any speculative manner which might endanger the rights and property of the members of said systems and funds. Powers, duties and authority. (b) To receive, approve, disapprove, or reject any and all applications for loans on real estate or commitments for loans on real estate or real estate investments to be made by any State Retirement System, State Annuity and Benefit Fund, or similar State system or fund created by the General Assembly of Georgia. (c) To approve, disapprove, and pass upon the financial soundness and advisability of any and all real estate

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loans or real estate loan commitments or real estate investments, to be made by or for any State Retirement System or State Annuity and Benefit Fund, or similar State system or fund created by the General Assembly of Georgia. (d) To investigate, study, examine, analyze, and compile information and reports relating to the financial soundness and advisability of making of any and all real estate loans or real estate loan commitments or real estate investments, to be made by any State Retirement Systems, State Annuity and Benefit Fund, or similar State system or Fund created by the General Assembly of Georgia. (e) To make such investigation as the Board may deem necessary to determine whether or not a commitment for a real estate loan or a real estate loan or a real estate investment shall be made by any State Retirement System, State Annuity and Benefit Fund, or similar State system or fund created by the General Assembly of Georgia. (f) To make and promulgate rules and regulations, and to do and perform all things necessary or convenient in their discretion to carry out the powers, duties, and responsibilities conferred by this Act, and to carry out the provisions of this Act. (g) To make and prescribe forms and procedure to obtain information from any person, firm or corporation making an application for a real estate loan or a real estate loan commitment or real estate investment from any of the systems or funds enumerated in subsection (a) of this section, in order to determine the financial soundness and advisability of such applicant being approved or disapproved for a real estate loan or investment by said systems and funds. (h) To appoint and employ competent personnel, experienced in the fields of Real estate Finance and Real estate Loans as in its judgment be necessary to carry out the provisions of this Act and the business of the Board, and to fix their compensation and discharge same.

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Section 3. That any person, firm, or corporation desiring to obtain a loan commitment on real estate or obtain a loan on real estate from a State Retirement System, State Annuity and Benefit Fund, or similar State system or fund created by the General Assembly of Georgia, shall first make a written application to the Georgia Real Estate Investment Board in the manner and form as prescribed by said Board, and obtain its approval in writing before submitting an application for such real estate loan or real estate commitment to any State Retirement System, State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia. Applications for loans. Section 4. That it shall be unlawful for any State Retirement System, State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia, to take or receive an application for, or issue a loan commitment on real estate, or take an application for or make a loan on real estate, or make an investment in real estate of any kind or nature, until and after an application for such commitment, loan, or investment in real estate, has been first made in writing to the Georgia Real Estate Investment Board and such application has been approved in writing by the Georgia Real Estate Investment Board. Loans. Section 5. That from and after the passage and approval of this Act, any commitment made for a real estate loan, or any real estate loan made, or real estate investment made, by any State Retirement System, State Annuity and Benefit Fund, or similar State System or Fund, created by the General Assembly of Georgia, without the prior approval in writing of the Georgia Real Estate Investment Board shall be illegal, null and void. Void loans and commitments. Section 6. That all loans and investments made by a State Retirement System, State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia, shall be subject to all the terms, conditions, limitations, and restrictions imposed by the laws of the State of Georgia upon domestic insurance

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companies in the making and disposing of their investments; Provided, however, the provisions of Georgia Code section 56-225 relating to the investment of funds by insurance companies in classes of securities other than those specified by law upon the approval of the Insurance Commissioner shall not be applicable to any loan or investment made by any State Retirement System, State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia, and funds of such systems or funds shall not be invested in any investment other than those specifically authorized by law; and: Provided further, however, that any and all such loans and investments relating to real estate shall also be governed by the provisions of this Act herein. Investments by Funds. Section 7. That prior to any commitment being executed for any loan on real estate, and prior to any loan being made on real estate, and prior to any investment being made in real estate by any State Retirement System, State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia, the application for such commitment, loan or investment shall first be submitted to and be approved in writing by the Georgia Real Estate Investment Board. Approval by Board of commitments. Section 8. That the State Budget Bureau shall make available to the Georgia Real Estate Investment Board the sum of ten thousand ($10,000.00) dollars as an initiatory revolving fund, but shall make no further State funds available. Each and every applicant making application to the Georgia Real Estate Investment Board for approval of a loan shall accompany said application with a certified check in the amount of one-half () of one per cent (1%) of the total amount of the loan requested. Operating expenses, fees. Section 9. No State Retirement System or State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia, shall be required to accept any application for a commitment of a real estate loan, or a real estate loan, or a real estate investment which has been approved by the Georgia Real Estate Investment Board, Provided, however, if any such

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State Retirement System or State Annuity and Benefit Fund, or similar State System or Fund created by the General Assembly of Georgia, desires to make an investment in a real estate loan, or a real estate investment, such commitment, loan, or investment shall be limited and restricted solely to those that have been first approved by the Georgia Real Estate Investment Board, Provided, however, no commitment existing at the passage of this Act shall be affected. Applications for loans. Section 10. The provisions of this Act shall expire December 31, 1962. Expiration date of Act. Section 11. That all laws and parts of laws in conflict with the provisions of this Act be, and the same are hereby repealed. Approved March 23, 1960. PROGRAM OF SELF INSURANCE FOR STATE AUTHORIZED. No. 924 (Senate Bill No. 128). An Act to authorize the insurance of all the State's insurable property; to provide for a sound program of selfinsurance; to authorize the Supervisor of Purchases to formulate such a program and to make studies in connection therewith; to authorize the establishment of an insurance reserve fund; to authorize the employment of an expert insurance underwriter; to repeal conflicting laws; and for other purposes. Now, therefore, be it enacted by the General Assembly of Georgia: Section 1. The Governor shall keep insured all the insurable property of the State of Georgia, including, but not limited to, the public buildings and the contents thereof. The Governor is authorized to draw his warrant upon

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the treasury annually for such sums as may be necessary to keep the insurable property of the State adequately protected by insurance. The Governor shall in keeping insured the State's property implement a sound program of self-insurance as hereinafter provided which may include assuming by the State some, or all, of the various risks or hazards under such plan of self-insurance. State property to be insured. Self insurance authorized. Section 2. The Supervisor of Purchases may immediately formulate and initiate a plan of self-insurance for the State's properties. He shall cause (a) a complete appraisal to be made of all the State's existing insurable property as to value. (b) a complete classification to be made of all the State's existing insurable property by type of risk, and (c) a determination and recommendation to be made of the amount and extent of self-insurance which the State can assume, the necessary reserves needed, the minimum claim to be paid on each risk, and the type of additional or excess insurance coverage that may be required. Upon the formulation of a plan of self-insurance based on the foregoing determinations made and submitted by the Supervisor of Purchases, the Governor, by executive order, may establish and effectuate a plan of self-insurance and the General Assembly from time to time shall provide and maintain by appropriation an Insurance Reserve Fund. Supervisor of Purchases to formulate plan. Section 3. The Supervisor of Purchases is authorized and empowered to employ, as a regular member of his staff, a person with expert knowledge, training, and experience in underwriting and planning and such other personnel, including temporary professional insurance engineers and actuaries, as are necessary to carry out the details herein provided. Employees to formulate plan. Section 4. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 23, 1960.

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MERIT SYSTEM OF PERSONNEL ADMINISTRATION ACT AMENDED. No. 925 (Senate Bill No. 132). An Act approved February 4, 1943, as amended, (Ga. L. 1943, pp. 171-177), establishing a Merit System of Personnel Administration as authorized in Article XIV of the Constitution of Georgia of 1945, so as to authorize the State Personnel Board of said System to require any official now required by law to submit a quarterly budget to the State Budget Bureau to also submit a copy of said Budget and such other essential information as may be prescribed or approved by the Governor to the Merit System Director; to provide that the State Budget Bureau shall approve adjustments to salary schedules; preserve status of employees and officials; to authorize a Hearing Officer and prescribe his duties; to exempt certain policy making positions; to repeal an Act to exempt certain employees under the Merit System (Ga. L. 1959, p. 82, Act 68); to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of the State of Georgia: Section 1. That the Act approved February 4, 1943, as amended, (Ga. L. 1943, pp. 171-177), establishing a Merit System of Personnel Administration as authorized in Article XIV of the Constitution of Georgia of 1945, be and the same is hereby amended by adding a new paragraph to section 3 of said Act to read as follows: (h) In order to furnish the Governor, the Legislature, and the general public with statistical information which can be used to assist them in making determinations in planning departmental programs and budgeting, each official required under present law to submit a quarterly budget to the State Budget Bureau shall send one copy of such proposed quarterly budget and such other essential personnel data as may be prescribed and approved by the Governor to the Merit System Director who shall

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compile and consolidate reports pertaining to the number of personnel, salaries, length of service, type of work, distribution of employees by departments, and other pertinent information. Quarterly reports on personnel. Section 2. That said Act as amended be and the same is hereby further amended by adding to paragraph (b) of section 3 thereof relating to the duties and functions of said Merit System of Personnel Administration the following: Before any adjustment to the salary schedules promulgated under the rules and regulations of the State Personnel Board shall become effective, it shall be approved by the Director of the State Budget Bureau. Approval of salary schedules. Section 3. That said Act as amended be and the same is hereby further amended by adding to paragraph (f) of section 3 thereof the following: The State Personnel Board of the State Merit System is authorized to appoint a Hearing Officer for the purpose of holding hearings, compiling evidence, and submitting said evidence to the Merit System Board for its determination, and for making investigations on behalf of the Board and the Merit System Director relating to personnel matters. Hearing Officer. Section 4. That said Act as amended be and the same is hereby further amended by adding a new section to be appropriately numbered and to read as follows: That in addition to the present exemptions of positions now authorized by law under the State Merit System, those positions of a purely policy making or confidential nature may be exempted upon application by the Department Head to the Governor for approval and transmission to the State Personnel Board, and such position shall be deemed to be exempt upon approval by the State Personnel Board. (A position of a purely policy making nature is defined hereunder to mean one charged with the responsibility and authority for the determination

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of policy matters, as contrasted to a covered position under which predetermined policies are executed or carried out.) Policy making positions exempt. Section 5. That said Act as amended be and the same is hereby further amended by adding a new section to be appropriately numbered and to read as follows: Any employee or official, in a department or agency, subject to this Act, who has acquired a valid permanent status under the State Merit System of Personnel Administration, shall continue in such status, and shall not be required to take further or new examinations in order to retain his position of status. Permanent status of employees. Section 6. That said Act as amended be and the same is hereby further amended by repealing an Act approved February 26, 1959, (Ga. L. 1959, pp. 82-83) relating to exemption of certain employees from State Merit System in its entirety. 1959 Act repealed. Section 7. Be it further enacted by the authority aforesaid that all laws or parts of laws in conflict with this Act be, and the same are, hereby repealed. Approved March 23, 1960. EASEMENT TO CITY OF ATLANTA AUTHORIZED. No. 215 (House Resolution No. 389-905). A Resolution. Authorizing the granting of an easement to the City of Atlanta; and for other purposes. Whereas, the City of Atlanta, through bond funds of said city, is undertaking the construction of a viaduct within the City of Atlanta, connecting Techwood Drive and Nelson Street in said city; and

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Whereas, said viaduct, when completed, will form an integral part of the public street system within the City of Atlanta and will connect various highways of the State of Georgia within said city; and Whereas, said viaduct, when constructed, will be of benefit to all the citizens of Georgia; and Whereas, part of the properties to be covered by said viaduct form a part of the Western and Atlantic Railroad system; and Whereas, in connection with the construction of the said viaduct, it is necessary that the city have an easement across said properties of the Western and Atlantic Railroad; Now, therefore, be it resolved by the General Assembly of Georgia that the Western and Atlantic Railroad Commission, acting for the State of Georgia, be, and it is hereby authorized, in consideration of the sum of ten dollars ($10.00) and of the benefits accruing to the State and its citizens, to negotiate and grant to the City of Atlanta, subject to any valid existing lease relative thereto, an easement in, over and across the following described properties of the Western and Atlantic Railroad for the purpose of constructing said viaduct: All that tract or parcel of land lying and being in land lot 78 of the 14th district of Fulton County, Georgia, and more particularly described as follows: Beginning on the east property line of the Western Atlantic Railroad at a point which is fifty (50) feet, more or less, in a southerly direction along said line from the intersection of said line with the extension of the northwest right-of-way line of Bartow Street, the resultant point being two thousand five hundred ninety-five (2,595) feet, more or less, north of the zero milepost; thence in a southwesterly direction along a circular curve to the right whose radius is one thousand

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four hundred thirty-two and thirty-nine hundredths (1,432.39) feet for a distance of three hundred ninety-three and five-tenths (393.5) feet, more or less, to a point on the west property line of the Western Atlantic Railroad, which is two thousand five hundred (2,500) feet, more or less, north of the zero milepost, and which is seventy-eight and five-tenths (78.5) feet, more or less, in a southerly direction along said west property line from its intersection with the extension of the south right-of-way of Rhodes Street. The above described circular curve being the center-line of a seventy-four (74) foot right-of-way required for the Techwood Viaduct; said right-of-way to extend thirty-seven (37) feet to each side of center-line and constitute a seventy-four (74) foot overall width. A more detailed description of said right-of-way being shown on plat consisting of two sheets entitled Techwood Drive ViaductRight-of-Way Easement Plan by Robert and Company Associates, dated January 31, 1959, and on file in the office of the Secretary of State of Georgia. Approved March 23, 1960. URBAN TRANSIT SYSTEMS RELIEVED FROM PAYING PAST DUE SALES AND USE TAXES. No. 216 (House Resolution No. 392-905). A Resolution. To relieve the operators of urban transit systems from the payment of delinquent taxes imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act, approved February 20, 1951, (Ga. L. 1951, p. 360), as amended, for the year 1958, and for other purposes.

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Whereas, the Governor of Georgia, by Executive Orders, dated January 3, 1958 and March 31, 1958, suspended the collection of taxes imposed by the Georgia Retailers' and Consumers' Sales and Use Tax Act, approved February 20, 1951 (Ga. L. 1951, p. 360), as amended, on passenger fares charged by urban transit systems, and, Whereas, by Executive Order, dated January 30, 1959, the Governor of Georgia revoked the orders of the governor suspending said taxes under date of January 3, 1958 and March 31, 1958, and, Whereas, all of the urban transit systems in the State of Georgia, with one exception, have been unable to pay said taxes for the year 1958 and they are now due and payable. Now, therefore, be it resolved by the General Assembly of Georgia, as follows: Section 1. That said delinquent and unpaid taxes, including any portion thereof, due for the year 1958 by said urban transit systems be and the same are hereby cancelled and forgiven by the State of Georgia. Tax forgiven. Section 2. That the State Revenue Commissioner is hereby directed to mark all claims for said unpaid taxes for the year 1958 due by said urban transit systems cancelled by authority of this resolution and to mark the same paid and satisfied. Claims satisfied. Section 3. That all laws and parts of laws in conflict with this resolution be and the same are hereby repealed. Approved March 23, 1960.

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PER DIEM FOR MEMBERS OF JOINT INCOME TAX LAW STUDY COMMITTEE. No. 217 (House Resolution No. 430). A Resolution. To provide for the per diem, compensation and allowances to the members of the Joint Income Tax Law Study Committee, created by resolution of the General Assembly, approved March 8, 1957, (Ga. L. 1957, p. 362), who were appointed by the Governor. Whereas, by resolution of the General Assembly, approved March 8, 1957, (Ga. L. 1957, p. 362), a Joint Income Tax Law Study Committee was created to conduct certain studies and perform other duties with respect to the Georgia income tax laws, and under the provisions of the resolution, eight (8) members of the Committee were appointed, consisting of two (2) members from the Senate, three (3) members from the House of Representatives, two (2) members appointed by the Governor, who were not members of the General Assembly, and the State Revenue Commissioner; and Whereas, the members of the General Assembly who served as members of the Joint Income Tax Law Study Committee received the per diem, compensation and allowance authorized for interim committees in accordance with the terms of said resolution, but, through oversight, the said resolution failed to specify or provide for similar compensation for the two (2) members of said Committee who were appointed by the Governor, and said members, therefore, have not received the per diem, compensation and allowances on the same basis as the other members of said Committee; and Whereas, it is desirable and just that the two (2) members of said Committee appointed by the Governor, receive per diem, compensation and allowances on

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the same basis as the members of the General Assembly who served on said Committee; Now, therefore, be it resolved by the General Assembly of Georgia that the two (2) members of the Joint Income Tax Law Study Committee, created by resolution of the General Assembly, approved March 8, 1957, (Ga. L. 1957, p. 362), who served as members of said Committee pursuant to said resolution upon appointment by the Governor shall receive the per diem, compensation and allowances authorized for members of the General Assembly serving upon interim committees in accordance with the provisions of the law at the time of appointment and that said payments be paid from the same funds used for payments to the members of the General Assembly serving upon said Committee. Approved March 23, 1960. SUPERINTENDENT OF SCHOOLSREMOVED FROM ACT PROVIDING UNIFORM METHOD OF FIXING SALARIES. No. 929 (House Bill No. 660). An Act to amend an Act providing for a uniform method of fixing, limiting and restricting the salaries, allowances and travel expenses of certain State officials, approved March 12, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 613), as amended, so as to remove the State Superintendent of Schools from the provisions of said Act; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. An Act providing for a uniform method of fixing, limiting and restricting the salaries, allowances and travel expenses of certain State officials, approved March 12, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 613),

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as amended, is hereby amended by striking therefrom, wherever they appear, the words Superintendent of Schools. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 24, 1960. BANKS AND BANKINGNEW PRIVATE BANKS PROHIBITED. Code 13-204 Amended. No. 930 (House Bill No. 708). An Act to amend section 4 of Article I of the Banking Law of Georgia as the same is codified in section 13-204 of the Code of Georgia relating to the regulation of private banks, so as to prohibit any new or additional private banks or bankers; to repeal conflicting laws, and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That section 13-204 of Chapter 13-2 of the Code of Georgia, which is codified from section 4 of Article I of the Banking Law of Georgia, relating to the regulation of private banks, be, and the same is hereby, amended by striking the same in its entirety and substituting in lieu thereof a new section to be numbered section 13-204 (which will be section 4 of Article I of the Banking Law of Georgia), relating to private banks or bankers, which will read as follows: 13-204. Private banks or private bankers. (a) No individual, partnership, person, firm, company, or voluntary association, shall carry on or conduct a banking business in this state without being chartered and organized under the Banking Laws of this State or of the United

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States; provided, however, any private bank or banker lawfully engaged in the banking business prior to the adoption of this section may, upon being in compliance with subsections (b), (c) and (d) hereof and the other provisions of this Title applicable to private banks or bankers, continue to conduct a banking business in the same city, town or community in which he is presently situated and doing a banking business, including the continuous operation of any presently existing private bank by heirs, executors or assigns. (b) No private person, firm, or voluntary association engaged in the business of banking in this state not subject to the supervision of the Superintendent of Banks, and no private corporation, except a bank duly chartered and organized under the laws of this state or of the United States, shall make use of any office sign at the place where such business is transacted, having thereon any name importing a corporation, or the name of any city, town or county, or other words, indicating that such office or place of business is that of a regularly chartered bank; nor shall such person, firm, or corporation make use of or circulate letterheads, billheads, blank notes, blank receipts, certificates, circulars, or any written or printed paper whereon such name importing a corporation, or name wherein the name of any city, town or county is used, or any other words indicating that such business is the business of a regularly chartered bank. Provided that no private bank engaged in business at the time of the passage of this Act shall be required to change the name adopted and in use by it. (c) No person, firm, or voluntary association, or private corporation, other than a regularly chartered and organized bank, shall use the words `bank,' `banker,' `banking company,' `banking house,' `depository,' or any other similar name indicating that the business done is that of a bank, either upon any office sign at its place of business or upon any of its letterheads, billheads, blank notes, receipts, certificates, circulars, or any other written or printed paper, without also using therewith the words plainly written or printed, so that the same may be

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readily read, `Private Bank, Not Incorporated,' and every person, firm, association, or private corporation other than a regularly chartered bank, advertising to receive, or receiving deposits, shall at the window or desk at which such deposits are received place a conspicuous sign with letters not less than one inch in height, upon which shall be printed the words, `Private Bank, Not Incorporated.' (d) On or before June 30th, 1960, and annually thereafter, every private bank or banker excepted from the prohibition of subsection (a) above shall register with the Superintendent of Banks and pay a $10 registration fee. Section 2. That all laws and parts of laws in conflict herewith be, and the same are hereby, repealed. Approved March 24, 1960. STATE EXAMINING BOARDSCREDIT TO VETERANS TAKING CERTAIN EXAMINATIONS. No. 931 (House Bill No. 1055). An Act to provide that certain applicants taking an examination given by any examining board or commission which now exists, or which may hereafter be created, whose records are maintained by the Joint Secretary, State Examining Boards, under the supervision of the Secretary of State, shall receive points to be added to the grade made by applicant on the examination; to provide the procedure connected therewith; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Any applicant, as hereinafter provided, taking an examination given by any examining board

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or commission which now exists, or which may hereafter be created, whose records are maintained by the Joint Secretary, State Examining Boards, under the supervision of the Secretary of State, shall receive points as provided hereinafter: (a) Any applicant who has served in the Armed Forces of the United States for a period of one year or more, of which at least ninety (90) days were served at some time during the following periods: April 6, 1917, to and including November 11, 1918; December 7, 1941, to and including December 31, 1946; and June 27, 1950, to and including January 31, 1955, shall be entitled to a credit of five (5) points. Said points shall be added by the person grading the examination to the grade made by the applicant in answering the questions propounded in any such examination taken by applicant. Credit to veterans. (b) Any applicant who is a disabled veteran who served in the Armed Forces of the United States for any period of time during the following periods: April 6, 1917, to and including November 11, 1918; December 7, 1941, to and including December 31, 1946; and June 27, 1950, to and including January 31, 1955, and who was discharged for injury or illness incurred in line of duty, shall be entitled to a credit of five (5) points if said disability is officially rated at less than ten (10%) per cent at the time of taking said examination. Said points shall be added by the person grading the examination to the grade made by the applicant in answering the questions propounded in any such examination taken by applicant. Disabled veteran. (c) Any applicant who is a disabled veteran who served in the Armed Forces of the United States for any period of time during the following periods: April 6, 1917, to and including November 11, 1918; December 7, 1941, to and including December 31, 1946;

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and June 27, 1950, to and including January 31, 1955, and who was discharged for injury or illness incurred in line of duty, shall be entitled to a credit of ten (10) points if said disability is officially rated at ten (10%) per cent or above at the time of taking said examination. Said points shall be added by the person grading the examination to the grade made by the applicant in answering the questions propounded in any such examination taken by applicant. Disabled veterans. Section 2. If the required examination is given in parts or by subjects and the applicant is required to make a minimum grade on each of the parts or subjects, then, and in that event, the points to which the applicant shall be entitled shall be added to the grade made on each part or subject before the average of his grade on all of the parts or subjects is determined. Examinations given in parts. Section 3. The person grading the examination shall first grade the examination without reference to veteran credit, determining thereafter from the proof submitted whether an applicant is a veteran and is entitled to such credit; if so, the credit shall be added, and if after such addition, the applicant shall equal or exceed the grade required to pass the examination, the applicant shall be entitled to be certified as having passed the examination. How credit given. Section 4. It shall be the duty of the board or commission giving the examination, or someone designated by it, to inform applicants taking the examination of the provisions of this Act. If at the examination there are applicants who are not then prepared to supply the required proof, the Board shall allow them a period of time of at least ten days within which to supply such proof, and the Board or Commission shall instruct them as to the form and manner in which said proof shall be submitted. The Boards and Commissions are hereby empowered to make such rules and regulations as are necessary in order to carry out the terms of this Act. Applicants to be notified of law. Section 5. The foregoing provisions as to points to be allowed to veterans shall apply to any applicant, male

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or female, who comes within the classes herein specified; except that they shall not apply in any instance to an applicant who has not been honorably discharged. Honorable discharge. Section 6. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 24, 1960. BANKS AND BANKINGASSESSMENTS AGAINST TRUST COMPANIES NOT RECEIVING DEPOSITS SUBJECT TO CHECK. Code 109-503 Amended. No. 932 (Senate Bill No. 201). An Act to amend section 109-503 of the Code of Georgia of 1933 relating to the regulation of trust companies and the duties and powers of Superintendent of Banks in connection therewith by providing that the fully paid capital stock of trust companies which have not acquired banking powers and privileges and which do not receive deposits subject to check shall not be subject to assessment under any circumstances whatsoever; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of the State of Georgia, and it is hereby enacted by authority of the same: Section 1. Section 109-503 of the Code of Georgia of 1933 relating to the regulation of trust companies and the duties and powers of the Superintendent of Banks in connection therewith is hereby amended by adding to the end of said section the following: Provided, however, that the fully paid capital stock of trust companies which have not acquired banking

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powers and privileges and which do not receive deposits subject to check shall not be subject to assessment under any circumstances whatsoever. So that said Code section 109-503 as so amended shall read as follows: 109-503. Duties and powers of Superintendent of Banks. Examination of companies; fees. Except as may hereafter be prescribed by law, the Superintendent of Banks, in addition to the duties and powers prescribed in this law, shall have, possess, and exercise all that jurisdiction, control, supervision, and authority over trust companies organized or doing business under this law, which he has or may hereafter be given by the laws of this State over State banks. He shall require reports and make examination of said trust companies in like manner as is now required of State banks. Trust companies for this examination, supervision, and control shall pay to the Superintendent of Banks the same fees that State banks are now or may hereafter be required to pay. The funds derived from this source shall be used to defray the expenses of the Department of Banking. Provided, however, that the fully paid capital stock of trust companies which have not acquired banking powers and privileges and which do not receive deposits subject to check shall not be subject to assessment under any circumstances whatsoever. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 24, 1960.

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MEMORIAL TO CONGRESS PROPOSING AN AMENDMENT TO THE CONSTITUTIONSTATE RIGHTS. No. 220 (House Resolution No. 279-600). A Resolution. Relative to State Rights; and for other purposes. Whereas, significant events have occurred in the course of contemporary history under our government of laws which call for a rededication of our constitutional theory of self-government and state sovereignty as established by our forefathers and guaranteed in the 1st and 10th Amendments to our Federal Constitution; and Whereas, unbiased examination reveals that an appeal to reason and judgment is necessary as to all issues wherein the Federal Government has transcended its delegated authority and has encroached upon the rights of the citizens of the sovereign State of Georgia and her sister states, and this invasion of our reserved powers must not be unchallenged; and Whereas, the General Assembly of the State of Georgia is the appropriate body under mandate from the people of Georgia to intervene between Federal encroachment and state sovereignty; and Whereas, Article V, Section 1, of the Constitution of the United States prescribes the only method of reestablishing those sacred constitutional principles affecting the very sovereign existence of the several states; and Whereas, the General Assembly of Georgia explicitly affirms and declares that the powers of the Federal Government in all its branches and agencies are limited by the terms of the Constitution creating the Federal union to which the states are parties and

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by the plain sense and intended construction and interpretation of its provisions; and Whereas, the basic concept of the Federal Constitution apparent upon its face is that the ratifying states, parties thereto, agreed voluntarily to delegate certain of their sovereign rights to a Federal Government thus constituted and that all powers not delegated to the United States by the Constitution, nor prohibited by it to the states, are reserved to the respective states or to the people; and Whereas, failure of this State to emphasize her clearly reserved powers could be construed as tacit consent and acquiescence in the surrender thereof; and that submissive acquiescence to palpable, deliberate and dangerous encroachments could in the end lead to the surrender of all powers reserved to the states and inevitably to the obliteration and destruction of the sovereignty of the states contrary to the concepts and ideals embodied in the sacred compact by which this union of the states was created; Now therefore be it resolved by the General Assembly of Georgia that the sovereign State of Georgia intervenes and registers officially its objection on behalf of its people to the effort of the Federal Government to assert an unlawful dominion over her citizens and humbly appeals to her sister states for their help and guidance in protecting the inalienable rights and cherished freedoms; to join in taking appropriate steps for the submission of a Constitution Amendment which clearly and unequivocally defines state rights as understood by our forefathers, the framers of the Georgia Constitution and the United States Constitution; and that, until the question of states rights here asserted by the State of Georgia be settled by clear Constitutional Amendment, Georgia declares her firm intention to take all appropriate measures honorably, legally and constitutionally available to the State to resist illegal encroachment upon her sovereign power, and to urge her sister states to join in protecting these inviolable

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rights and cherished freedoms of their people and to urge the Congress of the United States to exercise prompt and deliberate efforts to curtail further encroachment by the Federal Government upon the reserved powers of the respective States; And be it further resolved that the Clerk of the House is hereby directed to transmit a copy of this resolution to the Governor of this State and of each of the other States, to the President of the United States, to the Vice-President of the United States, to the Speaker of the United States House of Representatives and to each member of the Georgia Congressional Delegation. Approved March 24, 1960. LAND CONVEYANCE IN RICHMOND COUNTY AUTHORIZED. No. 221 (House Resolution No. 419-941). A Resolution. Authorizing the conveyance of certain lands located in Richmond County. Whereas, the State of Georgia is presently the owner of certain lands located in Richmond County, and Whereas, the City of Augusta is desirous of obtaining a portion of such lands for use in the expansion of its municipal airport, such land (hereinafter referred to as Tract A) being particularly described as follows: All that tract or parcel of land lying and being in Richmond County, Georgia, and being more particularly described as follows:

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Beginning at a point on the Southern property line of the State of Georgia where the proposed center line extension of the North-South Runway at Bush Field does intersect same; thence S. 89 38[prime] W. for a distance of 254[prime] to a point; thence N. 32 25[prime] W. for a distance of 663.0[prime] to a point; thence N. 30 25[prime] W. for a distance of 143.6[prime] to a point; thence in a northeasterly direction along an arc of a circle, whose radius is 792.22[prime], for a distance of 184.6[prime] to a point; thence N. 55 22[prime] E. for a distance of 191.63[prime] to a point; thence in a northerly direction along an arc of a circle, whose radius is 579.81[prime], for a distance of 681.55[prime] to a point; thence N. 77 58[prime] E. for a distance of 90[prime] to a point; thence in a southeasterly direction along an arc, whose radius is 1010.91[prime] for a distance of 738.96[prime] to a point; thence S. 54 00[prime] E. for a distance of 193.3[prime] to a point; thence in a southeasterly direction along an arc, whose radius is 781.53[prime] for a distance of 572.88[prime] to a point; thence S. 12 00[prime] for a distance of 342.09[prime] to a point; thence S. 89 38[prime] W. for a distance of 868.2[prime] to a point and the point of beginning. Said point of beginning is known as Station #32-52.9 on the center line of proposed North-South Runway Extension at Bush Field, Augusta, Ga. Said tract of land contains 26.89 acres excluding the New Savannah Road right-of-way which passes through the above described parcel of land. The above described parcel of land is more clearly defined as Tract `A' on a plat prepared for the City of Augusta by Baldwin Engineering Co. on January 25, 1960, and attached to this Resolution as Exhibit B., and Whereas, said city is also desirous of obtaining a clear zone easement (i.e., an agreement that certain property will not be used for purposes which would interfere with an airplane approach) over certain additional land in said county, such land (hereinafter referred to as Tract B) being particularly described as follows:

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All that tract or parcel of land lying and being in Richmond County, Georgia, and being more particularly described as follows: Beginning at a point on curve #3 where the westernmost property line of the State of Georgia intersects curve #3 as shown on a plat prepared by Baldwin Engineering Co. on January 25, 1960; thence N. 30 25[prime] W. for a distance of 782.4[prime] to a point; thence N. 46 05[prime] E. for a distance of 935[prime] to a point in the center line of Butler's Creek; thence in a northeasterly direction along the center line of Butler's Creek for a distance of 210[prime], more or less, to a westernmost right-of-way of the New Savannah Road; thence in a northwesterly direction along the western right-of-way of the New Savannah Road for a distance of 263[prime], more or less, to a point; thence N. 89 30[prime] E. for a distance of 710[prime], more or less, to a point; thence S. 3 28[prime] E. for a distance of 1485[prime], more or less, to a point; thence N. 54 00[prime] W. for a distance of 193.3[prime] to a point; thence in a northwesterly direction along an arc, whose radius is 1010.91[prime], for a distance of 738.96[prime] to a point; thence S. 77 58[prime] W. for a distance of 90[prime] to a point; thence in a southwesterly direction along an arc, whose radius is 579.81[prime] for a distance of 681.55[prime] to a point; thence 55 22[prime] W. for a distance of 191.63[prime] to a point; thence in a southwesterly direction along an arc, whose radius is 792.22[prime], for adistance of 184.6[prime] to a point and the point of beginning. Said tract of land contains 32.45 acres excluding the right-of-way of the New Savannah Road which passes through the above described parcel. The above described parcel of land is more clearly defined as Tract `B' on a plat prepared for the City of Augusta by Baldwin Engineering Co. on January 25, 1960, and attached to this Resolution as Exhibit B., and Whereas, such property is surplus and of no further use to the State,

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Now, therefore, be it resolved by the General Assembly of Georgia that the Governor is authorized and directed to execute the appropriate instrument or instruments to transfer on behalf of the State to the City of Augusta a clear zone easement as to the property described as Tract B and title to the property described as Tract A, upon the payment to the State of the sum of $350.00 per acre for each acre included in Tract A, provided, however, that the instruments authorized by this Resolution shall not be executed until the Governor has been informed by the Superintendent of the Georgia Training School for Mental Defectives at Gracewood that the brick house presently located on Tract A has been moved and relocated on other property belonging to the State, all at the expense of the City of Augusta. Approved March 24, 1960. Plats attached to Enrolled Resolution. LEASE BETWEEN STATE OF GEORGIA AND CITY CENTER, INC. RATIFIED BY SENATE. No. 222 (Senate Resolution No. 99). A Resolution. Ratifying the lease agreement dated the 12th day of January, 1960, entered into between the Western and Atlantic Railroad Commission, acting for and on behalf of the State of Georgia and City Center, Inc., a corporation organized and existing under the laws of the State of Georgia; and for other purposes. Whereas, the State of Georgia owns in fee simple a tract of land lying between the Spring Street Viaduct and the Magnolia Street Viaduct in Atlanta, Fulton County, Georgia; and

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Whereas, the Western and Atlantic Railroad Commission, acting for the State of Georgia, has made a lease involving said property with the Nashville, Chattanooga and St. Louis Railway, which expires at midnight December 27, 1969: and Whereas, the States desires to have the air rights area over said property and not needed for railroad purposes, developed so as to produce income to the State and also ownership of improvements erected in such air rights area; and Whereas, to assist in the accomplishment of such development, the State desires to lease said air rights for a term of seventy-five (75) years beginning at the expiration of the Nashville, Chattanooga and St. Louis Railway lease, and Whereas, the Western and Atlantic Railroad Commission, in compliance with all acts of the General Assembly of Georgia, has made the required investigations and determinations and advertised for sixty days for open competitive bids for said lease in the Atlanta Constitution, a newspaper with general circulation; and Whereas, City Center, Inc., a Georgia Corporation, duly qualified as a bidder and submitted the highest bid, which bid was duly accepted by the Commission; and Whereas, on the 12th day of January, 1960, the Commission, on behalf of the State of Georgia, entered into a lease agreement of said air rights area with City Center, Inc.; said agreement carrying out the exact terms of the bid of that corporation; and Whereas, an Act approved March 9, 1956 (Ga. L. 1956, p. 728), provides that all leases of State property which begin more than one year after execution shall be ratified by a two-thirds vote of the Senate; and

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Whereas, the executed copy of said lease agreement is in the possession of the Commission; and Whereas, upon the formal adoption of this resolution and the proper recording thereof, the original of said lease agreement shall be delivered to the State Treasurer, and exact copy thereof shall be delivered to the Governor and the Secretary of State; Now, therefore, be it resolved by the Senate that the lease agreement dated the 12th day of January, 1960, entered into between the Western and Atlantic Railroad Commission, acting for and on behalf of the State of Georgia, and City Center, Inc., a corporation organized and existing under the laws of the State of Georgia, leasing certain rights in and to a tract of land lying between the Spring Street Viaduct and the Magnolia Street Viaduct in Atlanta, Fulton County, Georgia, be and the same is hereby ratified. Approved March 24, 1960. COMPENSATION OF STATE SUPERINTENDENT OF SCHOOLS. Code 32-511 Amended. No. 933 (House Bill No. 659). An Act to amend Code section 32-511, relating to the compensation of the State Superintendent of Schools, so as to change the compensation; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. Code section 32-511, relating to the compensation of the State Superintendent of Schools, is hereby amended by striking said section in its entirety and

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inserting in lieu thereof a new section 32-511 to read as follows: 32-511. The State Superintendent of Schools shall be compensated in the amount of $17,500.00 per annum, to be paid in equal monthly installments. He shall also receive the expenses which are incurred in connection with his service as State Superintendent of Schools. Section 2. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 24, 1960. SALARY OF STATE REVENUE COMMISSIONER. No. 934 (House Bill No. 989). An Act to amend section 2 of an Act approved January 3, 1938, as amended by an Act approved February 17, 1943, as amended by an Act approved March 25, 1947, as amended by an Act approved March 21, 1951, relating to the State Revenue Commissioner, creation of the office, appointment, term, salary, bond and oath, so as to provide for an increase in the salary of the State Revenue Commissioner to the sum of $18,000 annually; to repeal conflicting laws; and for other purposes. Be it enacted by the General Assembly of Georgia: Section 1. That section 2 of an Act approved January 3, 1938 (Ga. L. 1937-38, Ex. Sess., p. 77), as amended by an Act approved February 17, 1943 (Ga. L. 1943, p. 207), as amended by an Act approved March 25, 1947 (Ga. L. 1947, p. 673), as amended by an Act approved February 21, 1951 (Ga. L. 1951, p. 614), relating to the Department of Revenue, the State Revenue Commissioner, the creation of the office, appointment, term, salary,

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bond and oath, be, and the same is hereby, amended by striking the same in its entirety and substituting in lieu thereof a new section to be numbered section 2, relating to the Department of Revenue, State Revenue Commissioner, creation of the office, appointment, term, salary, bond and oath, which shall read, when amended, as follows: Section 2. Department of Revenue created; State Revenue Commissioner, creation of office, appointment, term, salary, bond, oath. The office of State Revenue Commissioner and the Department of Revenue are hereby created. The Commissioner is hereby made head of the Department of Revenue. The Commissioner shall be appointed by the Governor with the consent of the Senate for a term of four years: Provided, however, the first term beginning at the time of appointment and running to February 1, 1955. The Commissioner shall receive a salary of $18,000 annually, payable monthly. Before entering upon the performance of his duties he shall execute and file an official surety bond, approved as to form and sufficiency by the Attorney General and amounting to $70,000, the premium on which shall be paid by the State. The Commissioner shall be required to take and subscribe before the Governor an oath to discharge faithfully and impartially the duties of his office, which oath shall be in addition to that required of all civil officers. Section 2. It is the purpose of this Bill to also remove the State Revenue Commissioner from the terms and provisions of an Act approved March 12, 1953 (Ga. L. 1953, Jan.-Feb. Sess., p. 613), as amended by an Act approved March 10, 1959 (Ga. L. 1959, p. 177). Intent. Section 3. That all laws and parts of laws in conflict herewith be, and the same are hereby, repealed. Approved March 24, 1960.

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GENERAL ASSEMBLY COMMITTEE ON SCHOOLS. (House Resolution No. 369-801). A Resolution. To create the General Assembly Committee on Schools, to designate the membership, to define the duties thereof, and for other purposes. Whereas, there has been ingrained forever in the hearts and minds of all Georgians the custom of segregation of the races in the schools of the state, public as well as private, which custom has met and still meets with the virtually unanimous approval of all but a few persons of each race; and Whereas, this custom has over the years manifested itself in laws requiring segregation of the races in schools and requiring the closing of schools if they are to be integrated; and Whereas, this custom and the laws of Georgia giving force to the custom were for more than ninety years in harmony with the Federal Laws and court decisions on the subject, and with the principle that compulsory association is harmful to both races; and Whereas, of late due to the views of those presently occupying positions as Justices of the Supreme Court of the United States, and in spite of the fact that the Federal Congress has enacted no law to the contrary, the custom, and laws giving force to the custom in Georgia have become in irreconcilable conflict with the views expressed by the Justices of the Supreme Court; and Whereas, relying in good faith on what was heretofore the prerogative of the states under the dual system of government in this country whereby certain rights were reserved to the states including the right of each state to control its schools, which systems has

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prevailed in this country since the adoption of the Federal Constitution, Georgia and her citizens have expended many millions of dollars to establish a vast and valuable public school system with equal but separate facilities for the members of each of her races; and Whereas, of late some few members of one of the races instituted suit in the Federal District Court in Atlanta in an effort to be integrated into the public schools of Atlanta with members of the opposite race on the basis of rights allegedly accorded them by the Supreme Court of the United States; and Whereas, the Honorable Judge Frank A. Hooper, Senior Judge of that court, a native Georgian who was formerly a Superior Court Judge and a member of the Court of Appeals of Georgia and who was formerly also a member of the Georgia General Assembly, has ruled that the plaintiffs in the Atlanta suit are entitled to attend schools established by Georgia Law for white children and this ruling may result in instances of integration in the schools of Atlanta, and Judge Hooper directed at the same time that the Board of Education of Atlanta submit a plan to the court ending segregation in the schools of Atlanta, which plan, being a so-called Pupil Placement Plan, has been submitted; and Whereas, Judge Hooper further ordered the Board of Education of Atlanta to refer the plan to this General Assembly for consideration and action; and Whereas, at a hearing upon the plan as submitted by the Board, Judge Hooper demonstrated patience and an understanding of the grave problems which may result in Georgia because of the difference between the views of the Supreme Court, and Georgia laws and customs; yet, nevertheless being bound by the decision of the Supreme Court, Judge Hooper suggested that the people of Georgia should decide whether to follow the court's view of a plan of gradual elimination of segregation in the schools, or to close the Georgia schools; and

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Whereas, this statement of Judge Hooper apparently recognized what the Constitution of Georgia provides, namely that: All government, of right, originates with the people, is founded upon their will only, and is instituted solely for the good of the whole. Public officers are the trustees and servants of the people, and at all times, amenable to them. and that they are and should be the final arbiters of the question giving rise to this grave crisis; and Whereas, during the administration of the Honorable Herman E. Talmadge the Constitution of Georgia was amended to provide for direct tuition grants of state, county or municipal funds to citizens of Georgia for educational purposes in discharge of all obligation of the state to provide an adequate education for its citizens, and under this Constitutional provision Georgia is entitled to convert over to a system of direct tuition grants in an orderly way, provided no state or local governmental action in connection with such schools as are operated is entailed; and Whereas, this General Assembly believes that the people of Georgia may wish to make a deliberate determination as to whether future education is to be afforded through direct tuition payments for use in private schools devoid of governmental control, or whether the public school system as it presently exists shall be maintained notwithstanding that the school system of Atlanta and even others yet to come may be integrated; and Whereas, in order that this General Assembly may make a determination as to the wisdom of presenting this question to the people, it is necessary to receive the advice and counsel of the people not only as to the desirability of the presentation, but also as to its form and content; and Whereas, the great majority of the members of this

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Assembly were elected on a pledge to maintain segregated schools at all costs and are not willing to retreat from that position; and Whereas, it is the desire of this General Assembly to give good faith consideration to the order and judgment of Judge Hooper and to the Atlanta School Board plan submitted to this body at his direction: Now, therefore, be it resolved by the General Assembly of Georgia that there be and is hereby created and established the General Assembly Committee on Schools which Committee shall be composed of the following: The Chairman of the Senate Committee on Education; the Chairman of the Education Committee of the House of Representatives; the Chairman of the Board of Regents; the Chancellor of the University System; the State Superintendent of Schools; the present Presidents of the following: State Chamber of Commerce; County Commissioners Association of Georgia; Georgia Municipal Association; Superior Court Judges Association of Georgia; Georgia Farm Bureau; Education Cabinet of Georgia representing the Georgia Education Association, Georgia Association of School Administrators, Georgia Association of School Board Members, and the Georgia Congress of Parents and Teachers; the Georgia Press Association; the Alumni Society of the University of Georgia; two members of the Senate to be appointed by the President and four members of the House of Representatives to be appointed by the Speaker. Created members. Be it further resolved that the General Assembly Committee on Schools shall proceed immediately upon the adjournment of this session to hold public hearings under such rules and procedures as may be promulgated by the Committee, and after ample notice thereof, to the extent of at least one hearing in each Congressional District of this State on the subject of maintaining public schools in Georgia in light of the order and judgment of Judge Hooper, or whether the people prefer a system of direct tuition grants under

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the Georgia Constitution for use in private schools, and that such suggestions as may be offered on or in modification of either course be received and considered, and that the Atlanta plan also be considered; and Hearings. Be it further resolved that the Committee shall make positive recommendations to the 1961 Session of the General Assembly regarding whether or not to submit the question to the people of Georgia for their determination, and in the event the Committee recommends such course, then the time, manner and form of the submission including its contents shall be recommended. The Committee shall also make such other and further recommendations as it may deem meet and proper. All recommendations of the Committee shall be made public not later than May 1, 1960, and shall also be transmitted to the presiding officers of the Senate and House of Representatives. The Committee shall stand abolished as of that date. Recommendations. The members of the Committee and counsel to be selected by the Committee shall receive the compensation, per diem, expenses and allowances authorized for members of interim legislative committees not exceeding 60 days, provided, however, said time may be extended with the joint approval of the Speaker of the House and the President of the Senate. The Committee is authorized to employ clerical help and other personnel to assist it in the performance of its duties and to fix the compensation therefor. It is also authorized to obtain materials and supplies necessary for its work. The funds necessary for the purposes of this resolution shall be paid from the funds appropriated to or available to the legislative branch of the government. Expenses, clerical help, etc. This Resolution received from the Executive Department on March 25, 1960. This Resolution did not show an Act number when it was received in this department. The Resolution was received in the Executive Department on February 12, 1960, while the General Assembly was in session, which body did not adjourn until February 19, 1960. This Resolution does not bear the Governor's signature of approval.

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RESOLUTIONS OF THE GENERAL ASSEMBLY OF THE STATE OF GEORGIA 1960 PROPOSING AMENDMENTS TO THE CONSTITUTION OF GEORGIA

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ELBERT COUNTYELECTION OF SCHOOL BOARD MEMBERS. Proposed Amendment to the Constitution. No. 74 (House Resolution No. 321-682). A Resolution. Proposing an amendment to the Constitution so as to provide for the election of members of the Board of Education of Elbert County by the people; to provide that the County School Superintendent of Elbert County shall be elected by the County Board of Education; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution, relating to county boards of education, as amended, particularly by an amendment applying to Elbert County, which was ratified at the general election in 1958, and which may be found in Georgia Laws 1958, page 717, is hereby amended by adding at the end thereof the following: The amendment to this Paragraph, applying to Elbert County, ratified at the general election in 1958 and found in Georgia Laws 1958, page 717, is hereby repealed. The Board of Education of Elbert County shall be composed of five members to be elected as hereinafter provided. For the purpose of electing such members, Elbert County is hereby divided into five Education Districts. (All directions are general directions from the City of Elberton). Education District No. 1 shall be composed of that area outside the corporate limits of the City of Elberton between State Highway 72 (southwest) and State Highway 17 (southeast). Education District No. 2 shall be composed of that area

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outside the corporate limits of the City of Elberton between State Highway 17 (southeast) and State Highway 72 (east). Education District No. 3 shall be composed of that area outside the corporate limits of the City of Elberton between State Highway 72 (east) and State Highway 17 (north). Education District No. 4 shall be composed of that area outside the corporate limits of the City of Elberton between State Highway 17 (north) and State Highway 72 (southwest). Education District No. 5 shall be composed of that area within the corporate limits of the City of Elberton. One member from each of the five Education Districts shall be elected, and in order to be eligible to represent a district on the Board, a person must be a resident of said district. All members of the Board shall be elected by the voters of the entire County of Elbert. If a member removes his residence from the district which he represents, the remaining members of the Board shall immediately declare that a vacancy exists and shall fill such vacancy as provided for hereinafter. The persons who were elected as members of the Board at the election in 1958, as provided for in the aforesaid amendment relating to the Elbert County Board of Education, ratified at the general election in 1958, shall take office on January 1, 1961. The persons who were elected from Education Districts Nos. 1, 2 and 3 shall take office for a term of four years and until their successors are elected and qualified. The persons who were elected from Education Districts Nos. 4 and 5 shall take office for a term of two years and until their successors are elected and qualified. Successors to these members shall be elected at the same time as members of the General Assembly from Elbert County are elected, and shall take office on the first day of January immediately following their election for a term of four years and until their successors are elected and qualified. All future successors shall likewise be elected at the same time as members of

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the General Assembly are elected from Elbert County and shall likewise take office on the first day of January immediately following their election for a term of four years and until their successors are elected and qualified. In the event a vacancy occurs on the Board for any reason other than expiration of a term of office, the remaining members of the Board shall appoint a successor to fill the vacancy for the unexpired term. The person appointed to fill the vacancy shall be a resident of the district in which the vacancy occurs. The Board, at its first meeting in January following the election of new members, shall elect a chairman, who shall serve for two years and until the next chairman is elected. Any person may succeed himself as chairman. The terms of the members of the Board of Education existing at the time of the ratification of this amendment shall expire at the end of the year 1960, and such Board shall stand abolished at that time. In the event there is an election for members of the Board of Education in 1960 at the same time as county officers of Elbert County are elected in such year, the persons elected at such election shall not take office, but the persons provided for hereinbefore as members of the Board shall take office, as provided hereinbefore. After taking office in 1961, the Board shall elect a County School Superintendent of Elbert County as soon as it has had an opportunity of choosing a person by it deemed competent and qualified. The superintendent shall serve at the pleasure of the Board, and the County School Superintendent of Elbert County shall no longer be elected by the voters of Elbert County. The term of any person serving as County School Superintendent of Elbert County at the time of the election by the Board of a Superintendent, as provided herein, shall expire immediately upon the election of a superintendent by the Board. This shall apply to the term of any person who might be holding over as County School Superintendent and to any person who

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might have taken office as County School Superintendent in the year 1961 prior to the date of the election of a County School Superintendent by the Board. In the event a person is elected at the general election in 1960 as County School Superintendent of Elbert County, to take office in 1961, and has not taken such office prior to the time of the election of a County School Superintendent by the Board, as provided for hereinbefore, such person shall not take office as County School Superintendent and shall have no right to said office by virtue of said election in 1960, but this shall not preclude the Board from electing such person as County School Superintendent. The Board of Education of Elbert County shall fix the compensation of the County School Superintendent. The Board of Education of Elbert County, as provided for herein, and the County School Superintendent of Elbert County, as provided for herein, shall be subject to all other constitutional provisions and all general statutory provisions relative to county boards of education and county school superintendents, respectively, unless such provisions are in conflict with the provisions of this amendment. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution providing the procedure relative to the election of the County Board of Education of Elbert County by the

Page 1199

voters of Elbert County and the election of the County School Superintendent of Elbert County by the County Board of Education of Elbert County. Against ratification of amendment to the Constitution providing the procedure relative to the election of the County Board of Education of Elbert County by the voters of Elbert County and the election of the County School Superintendent of Elbert County by the County Board of Education of Elbert County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved February 11, 1960. HALL COUNTY BOARD OF EDUCATION. Proposed Amendment to the Constitution. No. 78 (House Resolution No. 334-715). A Resolution. Proposing an amendment to the Constitution so as to provide for the election of the members of the Board of Education of Hall County by the people; to provide

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for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution, relating to county boards of education, is hereby amended by adding at the end thereof the following: The Board of Education of Hall County shall be composed of five members, four of whom shall be elected from their respective districts, as provided for hereinafter, only by the voters of each respective district, and the fifth member shall be elected from the county-at-large by the voters of the entire county. No person who resides within the area embraced within the territory of an independent school system shall be eligible to vote for any member of the Board of Education. Hall County is hereby divided into four school districts. The South Hall School District shall be composed of the following militia districts: Flowery Branch, Roberts, Friendship, Clinchem, Morgan, Oakwood and Wilson. The North Hall School District shall be composed of the following militia districts: Fork, Bark Camp, Whelchel, Big Hickory, Clermont, Quillians, Tom Bell and Polksville. The East Hall School District shall be composed of the following militia districts: Narramore, Lula, Glade, Gillsville, Tadmore and Candler. The Gainesville School District shall be composed of that portion of the Gainesville Militia District lying outside of the limits of the independent school system of Gainesville. One member of the Board of Education shall be elected from each school district and one shall be elected from the county-at-large. No person shall be eligible for membership on the Board who has not been a resident of Hall County and the district wherein he offers for election for at least two years immediately preceding the date of his election

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to such Board, and unless such person is a high school graduate. Election of members. In the event of the ratification of this amendment, it shall be the duty of the Ordinary of Hall County to issue the call for an election, which call shall be issued at least ten days prior to the date of such election. The Ordinary shall set the date of such election for either December 12, 13, 14, 15, 16, or 17, 1960. Such election shall be for the purpose of electing the first members of the Board of Education of Hall County provided for in this amendment. It shall be the duty of the Ordinary to publish the date and the purpose of such election in the week immediately preceding the date thereof in the official organ of Hall County. The members elected at such election shall take office January 1, 1961, and shall serve for a term of four years and until their successors are elected and qualified. All future members of the Board shall be elected at the same time as county officers of Hall County are elected, and shall take office on the first day of January immediately following their election and shall likewise serve for a term of four years and until their successors are elected and qualified. The Ordinary shall set the closing date for qualification for the aforesaid election in 1960, and persons shall qualify with the Ordinary by designating that they desire to offer for South Hall School District, North Hall School District, East Hall School District, Gainesville School District, or member-at-large. At all future primaries and elections, candidates shall likewise qualify by designating the Post for which they desire to offer. At the first meeting in January, 1961, and at the first meeting in January each four years thereafter, the members of the Board shall elect a Chairman for the next four years. Any member of the Board shall be eligible to succeed himself as Chairman. In the event a vacancy occurs in the office of Chairman, the members shall elect a person to fill such vacancy. In the event of a vacancy on the Board for any reason other than the expiration of a term of office, the

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remaining members of the Board shall elect a person to fill the vacancy for the unexpired term. The terms of the members of the Board of Education existing at the time of the ratification of this amendment shall expire at the end of the year 1960 and said Board shall stand abolished as of that date. The Grand Jury of Hall County shall no longer appoint the members of the Board of Education of Hall County after said date. The Board of Education of Hall County, as provided for herein, shall be subject to all other constitutional provisions and to all statutory provisions relative to county boards of education unless such provisions are in conflict with the provisions of this amendment. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the election of the members of the Board of Education of Hall County by the people. Against ratification of amendment to the Constitution so as to provide for the election of the members of the Board of Education of Hall County by the people. All persons desiring to vote in favor of adopting the

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proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved February 19, 1960. MERIWETHER COUNTYAUTHORITY TO ISSUE REVENUE BONDS. Proposed Amend to the Constitution. No. 79 (House Resolution No. 376-825). A Resolution. Proposing to the qualified voters of Meriwether County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Meriwether County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations

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herein called revenue bonds may be issued by Meriwether County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. Purpose of bonds. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer the income therefrom, the security therefor, and until the payment in full of the obligation such faciilties shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code, Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly.

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Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Meriwether County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Meriwether County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved February 19, 1960.

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CLAYTON COUNTYFIRE DISTRICTS. Proposed Amendment to the Constitution. No. 80 (House Resolution No. 46-91). A Resolution. Proposing an amendment to the Constitution so as to provide for the establishment of fire prevention districts in Clayton County; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph II of the Constitution, relating to the districting of counties, is hereby amended by adding at the end thereof the following: The General Assembly of Georgia is hereby authorized to grant to the governing authority of Clayton County the authority to district areas outside of municipalities in said county for fire protection purposes and the authority to levy a tax upon the taxable property in each respective district to defray the cost of fire protection in each respective district. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following:

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For ratification of amendment to the Constitution so as to authorize the General Assembly to grant the governing authority of Clayton County the right to district areas in said county outside municipalities for fire protection purposes. Against ratification of amendment to the Constiution so as to authorize the General Assembly to grant the governing authority of Clayton County the right to district areas in said county outside municipalities for fire protection purposes. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. TIFT COUNTY BOARD OF EDUCATION. Proposed Amendment to the Constitution. No. 81 (House Resolution No. 77-210). A Resolution. Proposing an amendment to the Constitution so as to provide for compensation for the members of the County School Board of Tift County, and to provide for the election of the County School Superintendent of Tift County by the people instead of by the County Board of Education; to provide for submission of this amendment

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for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution relating to county boards of education, as amended by a Resolution Act found in Georgia Laws 1953, January-February Session, page 553, which added provisions relative to the County Board of Education and the County School Superintendent of Tift County is hereby amended by striking from the second paragraph of that portion added by the aforesaid Resolution of 1953 the words who shall serve without compensation and inserting in lieu thereof the words The members of the Tift County Board of Education shall be compensated in the sum of not less than twenty-five ($25.00) dollars per month and not more than seventy-five ($75.00) dollars per month. The amount of compensation shall be determined annually by the County Board of Education at the same time as the compensation of the County School Superintendent is determined, so that said paragraph, as amended hereby, shall read as follows: The Tift County Board of Education shall consist of seven (7) members. The members of the Tift County Board of Education shall be compensated in the sum of not less than twenty-five ($25.00) dollars per month and not more than seventy-five ($75.00) dollars per month. The amount of compensation shall be determined annually by the County Board of Education at the same time as the compensation of the County School Superintendent is determined. The Judge of the Superior Court of Tift County shall appoint the first board and one (1) of the members so appointed shall hold office for 4 years, two (2) for 3 years, two (2) for 2 years, and two (2) for 1 years. Compensation of members. and by striking from that portion added by the aforesaid Resolution of 1953 the following:

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From and after the ratification of this amendment the voters of Tift County shall no longer elect a county school superintendent. There shall be a county school superintendent who shall be selected or appointed by the Board of Education of Tift County. Before any person shall be selected or appointed county school superintendent he shall have all of the qualifications which are now, or may hereafter be prescribed by law for county school superintendent of the State, except that any legal requirements as to local residence shall not be applicable. and inserting in lieu thereof the following: The County School Superintendent of Tift County shall be elected by the electors of Tift County instead of by the County Board of Education of Tift County. Any person, in order to be eligible for the office of Tift County School Superintendent, must be a resident of Tift County, and must either be a graduate of an accredited four (4) year college or university and have at least four (4) years experience in public school administration, or have completed five (5) years of study at an accredited college or university and have at least one (1) year experience in public school administration. The County School Superintendent of Tift County shall be compensated in such amount as shall be fixed annually by the Board of Education of Tift County. The County School Superintendent shall be subject to all constitutional provisions and all statutory provisions relative to county school superintendents, unless such provisions are in conflict with the provisions of this Paragraph. In the event this amendment is ratified, it shall be the duty of the Ordinary of Tift County to hold and conduct an election for the purpose of electing the County School Superintendent of Tift County. The Ordinary shall issue the call for an election not less than thirty (30) days and not more than sixty (60) days after the ratification of this amendment. The Ordinary shall set the date for such election for a day not less than thirty (30) days and not more than sixty (60) days after the issuance of the call. The Ordinary shall

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cause the date and purpose of the election to be published once a week for a period of two (2) weeks immediately preceding the date thereof in the official organ of Tift County. The Ordinary shall canvass the returns and certify the result of the election, and he shall also certify the result thereof to the Secretary of State. The County School Superintendent elected at such election shall take office July 1, 1961, and shall hold his office until January 1, 1965, or until his successor is elected and qualified. His successor shall be elected in the year 1964, and every four (4) years thereafter at the same time as members of the General Assembly from Tift County are elected. The successor so elected shall have a term of office of four (4) years and until his successor is elected and qualified. The person serving as County School Superintendent of Tift County at the time of the ratification of this amendment shall continue to serve through June 30, 1961. School Superintendent. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the election of the County School Superintendent of Tift County by the people instead of by the County Board of Education; and to provide for compensation for members of the County Board of Education. Against ratification of amendment to the Constitution so as to provide for the election of the County

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School Superintendent of Tift County by the people instead of by the County Board of Education; and to provide for compensation for members of the County Board of Education. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. STATE FUNDS TO MUNICIPALITIES. Proposed Amendment to the Constitution. No. 82 (House Resolution No. 81-232). A Resolution. Proposing an amendment to the Constitution so as to authorize the General Assembly to provide by law for the granting of State funds to municipalities; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section II of the Constitution is hereby amended by adding at the end thereof a

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new paragraph, to be known as Paragraph VI, which shall read as follows: Notwithstanding any other provisions of this Constitution, the General Assembly is hereby authorized to provide by law for the granting of State funds to the municipalities of Georgia, in such manner and form and under such procedure as the General Assembly may prescribe. The General Assembly is also authorized, but not directed, to provide the purpose or purposes for which such funds may be expended by the municipalities. The General Assembly is hereby authorized to exercise the power of taxation over the entire State in order to carry out the provisions of this Paragraph. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the General Assembly to provide by law for the granting of State funds to municipalities. Against ratification of amendment to the Constitution so as to authorize the General Assembly to provide by law for the granting of State funds to municipalities. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against

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the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. USE OF PUBLIC FUNDS FOR SCHOOL LUNCH PROGRAM BY COUNTIES. Proposed Amendment to the Constitution. No. 84 (House Resolution No. 120-362). A Resolution. Proposing to the qualified voters of the State of Georgia an Amendment to Article VII, Section IV, Paragraph I, of the Constitution of the State of Georgia of 1945, so as to empower the General Assembly to authorize any county the right to use public funds for school lunch purposes; to provide for the submission of this amendment for ratification or rejection by the people; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I, of the Constitution of Georgia of 1945, is hereby amended by adding at the end thereof a new subparagraph to read: Subparagraph 17. For school lunch purposes.

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Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article III, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to empower the General Assembly to authorize counties to use public funds for school lunch purposes. Against ratification of amendment to the Constitution so as to empower the General Assembly to authorize counties to use public funds for school lunch purposes. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960.

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SCHOLARSHIPS FOR SPECIALIZED TRAINING IN MENTAL HEALTH AUTHORIZED. Proposed Amendment to the Constitution. No. 96 (House Resolution No. 274-600). A Resolution. Proposing an amendment to the Constitution, to provide for the granting of scholarships to physicians and other personnel desiring specialized training in the mental health field; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section I, Paragraph II of the Constitution, as amended by an amendment ratified at the general election in 1952 and found in Georgia Laws 1951, page 861, is hereby amended by striking section 1-A in its entirety, which is as follows: Section 1-A. From and after the passage of this resolution, the Superintendent of the Milledgeville State Hospital, with the consent and approval of the Director of the State Department of Public Welfare, is authorized to extend scholarships to physicians and other professional personnel employed at the Milledgeville State Hospital to enable them to take post graduate courses in various schools and clinics in the United States. Said scholarships shall not be extended to more than four members of the personnel in any one year, and the personnel to whom these scholarships are extended must, as a prerequisite thereto agree to work at least two years at the said Milledgeville State Hospital for each year spent in study: Provided further that no additional appropriation shall be made by the General Assembly to finance such scholarships, but the same shall be financed from the regular appropriation to the Milledgeville State Hospital.

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and inserting in lieu thereof the following: Section 1-A. The Director of the Department of Public Health, with the approval of the State Board of Health, is hereby authorized to extend scholarships to physicians and other personnel to take post graduate courses in the various schools and clinics in the United States so as to enable them to be better qualified in the diagnosis, care and treatment of mental illness. As a prerequisite to the grant of such scholarship, the recipient thereof must agree to actively engage in the practice of his profession in a hospital operated by the State of Georgia, under the supervision of the State of Georgia, or at some place approved by the authority granting the scholarship, on the basis of one year of service for each year of training received. The remedies for the enforcing of service required shall be the same as provided for medical grants and scholarships and such other remedies as may be provided by law. Section 2. When the above proposed amendment to the Constitution has been agreed to by two thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to provide for the granting of scholarships to physicians and other personnel for specialized training in the field of mental health. Against ratification of amendment to provide for the granting of scholarships to physicians and other

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personnel for specialized training in the field of mental health. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the results and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. MORGAN COUNTY AUTHORIZED TO LEVY TAX TO PROMOTE INDUSTRY. Proposed Amendment to the Constitution. No. 100 (House Resolution No. 284-625). A Resolution. Proposing an amendment to the Constitution so as to authorize Morgan County, Georgia, to levy a tax not exceeding one mill on all of the taxable property in the county for the purpose of creating a fund to be used in assisting, promoting, and encouraging the location of industries in said county; and to provide that such fund may be used to purchase land and erect buildings or other facilities to be rented, leased, or sold to industries; to authorize the governing authorities of said county to select a board of citizens of said county to

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render advice relative to the use of such fund; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution, as amended, is hereby amended by adding at the end thereof the following: Morgan County is hereby authorized to levy a tax, in addition to those already provided for by law, not to exceed one mill, on all the taxable property in the county, for the purpose of creating a fund to be used in assisting, promoting, and encouraging the location of industries in Morgan County. The governing authority of said county, namely, the Board of Commissioners of Roads and Revenues of Morgan County, is hereby authorized to select a board of citizens of said county to render advice relative to the use of such fund. Such fund may be used to pay entertaining, traveling, advertising, and other promotional expenses to encourage the location of industries in said county, and to purchase land and erect buildings or other facilities to be rented, leased, or sold to industries. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize Morgan County to levy a tax not to

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exceed one mill for the purpose of creating a fund to be used in assisting, promoting, and encouraging the location of industries in Morgan County. Against ratification of amendment to the Constitution so as to authorize Morgan County to levy a tax not to exceed one mill for the purpose of creating a fund to be used in assisting, promoting, and encouraging the location of industries in Morgan County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. MORGAN COUNTY AUTHORIZED TO ASSESS LICENSE AND OCCUPATIONAL TAXES. Proposed Amendment to the Constitution. No. 101 (House Resolution No. 285-625). A Resolution. Proposing to the qualified voters of Morgan County, Georgia, an amendment to Article VII, Section IV, Paragraph I (Ga. Code Ann. sec. 2-5701) of the Constitution of the State of Georgia, to empower the Board of

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Commissioners of Roads and Revenues of Morgan County, for regulatory and revenue purposes, to assess and collect license fees and occupational taxes against any person, firm or corporation who may engage in any type of business, including but not restricted to the operation of taxicabs and the erection of billboards and other advertising devices, in Morgan County outside of municipalities, with the right and power to classify businesses and assess different license fees and occupational taxes against different classes of business, and with the further power to the board of commissioners to exercise police powers within unincorporated areas over any businesses in the interest of the public welfare, health and security of the people of Morgan County, and to adopt rules and regulations to effectuate the powers herein granted and to enforce the payment of the license fees and taxes, and to provide that a violation of the rules and regulations may be punishable as a misdemeanor, and further, to provide that no enabling legislation by the General Assembly shall be necessary for the exercise of the powers herein granted, but that the General Assembly may at any time modify, alter, restrict and limit the powers herein granted; to provide for the submission of this amendment for rejection or ratification; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I (Ga. Code Ann. sec. 2-5701) of the Constitution of the State of Georgia be amended by adding thereto the following new paragraph, to-wit: The Board of Commissioners of Roads and Revenues of Morgan County, Georgia, shall have the right and power, for regulatory and revenue purposes, to levy, assess, and collect license fees and occupational taxes from any persons, firms or corporations (except those subject to regulation by the State Public Service Commission) who may maintain a place of business or who may in any manner engage in any type of business, including, but not restricted to, the operation of taxicabs

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and the erection of billboards and other advertising devices, in any area of Morgan County, Georgia, outside the incorporated limits of municipalities; and in levying and assessing such license fees and occupational taxes, the board of commissioners shall have the right and power to classify businesses and to assess different license fees and taxes against different classes of business. To provide for the public welfare, health and security of the people of Morgan County, the board of commissioners of roads and revenues shall have the right to regulate and exercise police powers over any businesses operated within the unincorporated areas of said county (except those subject to regulation by the State Public Service Commission) and to prescribe such rules and regulations as may be necessary to effectuate the powers herein granted, including the right to enforce payment of the license fees and occupational taxes by the issuance and levy of executions, and to provide that a violation of any such regulations adopted by the board of commissioners of roads and revenues shall constitute a misdemeanor punishable upon conviction thereof as prescribed by the General Laws of the State of Georgia. No further enabling legislation by the General Assembly of Georgia shall be necessary for the exercise of the powers herein granted, but the General Assembly of Georgia may at any time modify, alter, restrict and limit the powers herein granted, and may at any time prescribe the manner and means by which the powers may be exercised by said board of commissioners. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above-proposed amendment

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shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the Board of Commissioners of Roads and Revenues of Morgan County to assess and collect license fees and occupational taxes upon businesses in Morgan County outside the incorporated limits of municipalities and to regulate same. Against ratification of amendment to the Constitution so as to authorize the Board of Commissioners of Roads and Revenues of Morgan County to assess and collect license fees and occupational taxes upon businesses in Morgan County outside the incorporated limits of municipalities and to regulate same. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960.

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LOWNDES COUNTY BOARD OF EDUCATION AUTHORIZED TO BORROW MONEY AND PLEDGE BUILDING FUNDS. Proposed Amendment to the Constitution. No. 102 (House Resolution No. 286-625). A Resolution. Proposing an amendment to the Constitution so as to authorize the County Board of Education of Lowndes County to borrow funds and pledge certain building funds to the payment thereof; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph I of the Constitution, relating to the limitation on certain debts, is hereby amended by adding at the end thereof the following: Any other provisions of this Constitution to the contrary notwithstanding, the County Board of Education of Lowndes County is hereby authorized and empowered to borrow funds for the purpose of constructing school buildings and facilities, and pledge the building funds which will or may be forthcoming to Lowndes County from the State through the Minimum Foundation Program for Education as security and payment therefor. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended.

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The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the County Board of Education of Lowndes County to borrow funds and pledge certain building funds to the payment thereof. Against ratification of amendment to the Constitution so as to authorize the County Board of Education of Lowndes County to borrow funds and pledge certain building funds to the payment thereof. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960.

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TAKING OF PRIVATE PROPERTY FOR ROAD AND STREET PURPOSES. Proposed Amendment to the Constitution. No. 104 (House Resolution No. 300-638). A Resolution. Proposing an amendment to the Constitution so as to provide for the payment for taking or damaging private property for public road and street purposes; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article I, Section III, Paragraph I of the Constitution is hereby amended by striking the period at the end thereof and inserting in lieu thereof a comma, and by adding the following language: except that when private property is taken or damaged for public road and street purposes by the State and the counties and the municipalities of the State, just and adequate compensation therefor need not be paid until the same has been finally fixed and determined as provided by law, but such just and adequate compensation shall then be paid in preference to all other obligations except bonded indebtedness. The General Assembly may by law require the condemnor to make prepayment against adequate compensation as a condition precedent to the exercise of the right of eminent domain and provide for the disbursement of the same to the end that the rights and equities of the property owner, lien holders and the State and its subdivisions may be protected. so that when so amended, said Paragraph I shall read as follows: Paragraph I. In case of necessity, private ways may be granted upon just compensation being first paid

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by the applicant. Private property shall not be taken, or damaged, for public purposes, without just and adequate compensation being first paid, except that when private property is taken or damaged for public road and street purposes by the State and the counties and the municipalities of the State, just and adequate compensation therefor need not be paid until the same has been finally fixed and determined as provided by law, but such just and adequate compensation shall then be paid in preference to all other obligations except bonded indebtedness. The General Assembly may by law require the condemnor to make prepayment against adequate compensation as a condition precedent to the exercise of the right of eminent domain and provide for the disbursement of the same to the end that the rights and equities of the property owner, lien holders and the State and its subdivisions may be protected. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the payment for taking or damaging private property for public road and street purposes. Against ratification of amendment to the Constitution so as to provide for the payment for taking or damaging private property for public road and street purposes.

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All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. BROOKS COUNTY DEVELOPMENT AUTHORITY. Proposed Amendment to the Constitution. No. 109 (House Resolution No. 316-682). A Resolution. Proposing an amendment to the Constitution so as to create the Brooks County Development Authority; to provide for powers, authority, funds, purposes and procedure connected therewith; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: A. There is hereby created a body corporate and politic in Brooks County to be known as the Brooks

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County Development Authority, which shall be an instrumentality of Brooks County and a public corporation and which in this amendment is hereafter referred to as the `Authority'; Created. B. The Authority shall be composed of five members. The President of the Quitman and Brooks County Chamber of Commerce, the Chairman of the Brooks County Commission, and the Mayor of the City of Quitman shall be ex officio members of the Authority. The other two members of the Authority shall be appointed by the Board of Commissioners of Roads and Revenues of Brooks County for a term of five years, or until their successors are appointed and qualified. Vacancies shall be filled for the unexpired term by the said Board of Commissioners. A majority of the members shall constitute a quorum and a majority may act for the Authority in any matter. No vacancy shall impair the power of the Authority to act. Members. C. The property, obligations and the interest on the obligations of the Authority shall have the same immunity from taxation as the property, obligations and interest on the obligations of Brooks County. Property. D. The powers of the Authority shall include but not be limited to, the power: (1) To buy, acquire, develop, improve, own, operate, maintain, sell, lease as lessor and lessee, and mortgage land, buildings and property of all kinds within the limits of Brooks County; Powers. (2) To receive and administer gifts, grants and donations and to administer trusts; (3) To grant, loan and lease any of its funds and property to private persons and corporations promising to operate any industrial plant or establishment within Brooks County which in the judgment of the Authority will be of benefit to the people of said county.

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The provisions of this clause shall not be construed to limit any other powers of the Authority; (4) To borrow money and to issue notes, bonds and revenue certificates therefor and to sell, convey, mortgage, pledge and assign any and all of its funds, property and income as security therefor; (5) To contract with Brooks County and other political subdivisions and with private persons and corporations and to sue and be sued in its corporate name; (6) To have and exercise usual powers of private corporations except such as are inconsistent with this amendment, including the power to appoint and hire officers, agents and employees and to provide their compensation and duties, which officers and agents may or may not be members of the Authority, and the power to adopt and amend a corporate seal and by-laws and regulations for the conduct and management of the Authority. (7) To encourage and promote the expansion of industry, agriculture, trade and commerce in Brooks County, and to make long range plans therefor; (8) To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested; (9) To designate officers to sign and act for the Authority generally or in any specific matter; (10) To do any and all acts and things necessary or convenient to accomplish the purpose and powers of the Authority as herein stated. E. The Authority shall not be authorized to create in any manner any debt, liability or obligation against the State of Georgia or Brooks County; Debts. F. The Authority shall have the same immunity

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and exemption for liability for torts and negligence as the State of Georgia and the officers, agents and employees of the Authority when in performance of the work of the Authority, shall have the same immunity and exemption from liability for torts and negligence as the officers, agents and employees of the State of Georgia when in performance of their public duties or work of the State. The Authority may be sued the same as private corporations on any contractual obligation of the Authority; Tort liability. G. The members of the Authority shall receive no compensation for their services to the Authority; No compensation for members. H. The Authority, with the consent of the Board of Commissioners of Roads and Revenues of Brooks County, is hereby authorized to issue Revenue Certificates to carry out the purposes of this amendment. Revenue Certificates, thus issued, shall be paid from the income of the Authority. Bonds. I. The Commissioners of Roads and Revenues of Brooks County are authorized to levy a tax not exceeding five mills per dollar of assessed valuation for the purposes of the Authority. Said Commissioners may also appropriate to the Authority such amounts from its funds each year as it shall see fit, and any funds transferred from said Commissioners to the Authority shall become part of its funds and may be used by the Authority in accordance with its powers and purposes as herein stated, or as may be hereafter defined by law. Tax. J. The property of the Authority shall not be subject to levy and sale under legal process except such property, income or funds as may be pledged, assigned, mortgaged or conveyed to secure an obligation of the Authority, and any such property, funds or income may be sold under legal process or under any power granted by the Authority to enforce payment of the obligation; Property exempt from levy. K. This amendment is adopted for the purpose of

Page 1231

promoting and expanding for the public good and welfare of Brooks County and its citizens, industry, agriculture and trade within the County of Brooks, and making long range plans for such development and expansion and to authorize the use of public funds of Brooks County for such purposes, and this amendment and any law enacted with reference to the Authority shall be liberally construed for the accomplishment of this purpose; Purpose. L. This amendment shall be effective immediately upon proclamation of its ratification by the Governor and the first members of the Authority shall be appointed within thirty days after such proclamation; Effective date. M. The General Assembly may be law further define and prescribe the powers and duties of the Authority and the exercise thereof, and may enlarge and restrict the same, and may likewise further regulate the management and conduct of the Authority. The Authority shall be an instrumentality of Brooks County, and the scope of its operation shall be limited to the territory embraced within Brooks County. The General Assembly shall not extend the jurisdiction of the Authority nor the scope of its operations beyond the limits of Brooks County. Further powers. N. There shall be no limitation upon the amount of debt which the Authority may incur, but no debt created by the Authority shall be a debt of Brooks County. Debts. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended.

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The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to create the Brooks County Development Authority. Against ratification of amendment to the Constitution so as to create the Brooks County Development Authority. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for election for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. DUTIES OF SHERIFF OF GLYNN COUNTY. Proposed Amendment to the Constitution. No. 110 (House Resolution No. 320-682). A Resolution. Proposing an amendment to the Constitution so as to relieve the Sheriff of Glynn county of his statutory duties as jailer in the event the County of Glynn contracts

Page 1233

with the City of Brunswick for jail facilities and to provide that the city marshal shall perform such duties; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VI, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: In the event the County of Glynn contracts with the City of Brunswick so that said city provides jail facilities for said county, the Sheriff of Glynn County, during the term of such contract, shall be relieved of his statutory duties as jailer and shall not be required to perform such duties. The city marshal of Brunswick shall perform such duties. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to relieve the Sheriff of Glynn County of his statutory duties as Jailer in the event the County of Glynn contracts with the City of Brunswick for jail facilities and to provide that the City Marshal shall perform such duties. Against ratification of amendment to the Constitution so as to relieve the Sheriff of Glynn County of his

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statutory duties as Jailer in the event the County of Glynn contracts with the City of Brunswick for jail facilities and to provide that the City Marshal shall perform such duties. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. WAYNE COUNTY BOARD OF EDUCATION. Proposed Amendment to the Constitution. No. 111 (House Resolution No. 323-682). A Resolution. Proposing an amendment to the Constitution so as to provide for the election of the members of the Board of Education of Wayne County by the people; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution, relating to county Boards of Education,

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as amended, particularly by an amendment applying to Wayne County, which was ratified at the general election in 1958, and which may be found in Georgia Laws 1958, page 549, is hereby amended by striking from the resolution proposing an amendment to the Constitution approved March 25, 1958, and ratified in the general election in 1958, the seventh paragraph in its entirety and substituting in lieu thereof the following paragraph. The Board of Education of Wayne County shall be composed of six members to be elected as follows: One member shall be elected from each of the Education Districts as herein provided by a majority of the votes of such District; the sixth member of the Board shall be elected by the county at large. Any person offering as a candidate to represent an Education District on the Board must be a resident of the District from which he offers. The sixth member may be elected from any school district in the county. Any person offering as a candidate for the County Board of Education shall declare at the time he qualifies, whether he is offering as a candidate to represent his Education District, or whether he is offering as a candidate as a member at large. Provided, however, the provisions relating to the election of members, as set out above, shall not take effect until the election of 1962, and at that time shall be applicable only to the members elected to fill the positions of Education Districts No. 3 and 4 on January 1, 1963. At each election thereafter, for the purpose of filling an Education District, the provisions contained herein shall apply. Members, terms, etc. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended.

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The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the election of the members of the Board of Education of Wayne County by the people. Against ratification of amendment to the Constitution so as to provide for the election of the members of the Board of Education of Wayne County by the people. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. This is to certify that the undersigned, W. B. Rhoden is the editor and publisher of the Jesup Sentinel, official organ of Wayne County, Georgia, and that the undersigned on oath swears that the attached legal advertisements, of intent to introduce local legislation ran in the Jesup Sentinel, the official organ, on the weeks of December 24 and 31, 1959 and January 7, 1960. /s/ W. B. Rhoden, Editor and Publisher. Jan. 7, 1960. /s/ Euda Mae Lattie, Notary Public, Wayne County, Ga. My Commission Expires Oct. 1, 1960. (Seal).

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Proposed Change of Method of Selection of County Board of Education of Wayne County. Notice is hereby given that I intend to propose to the General Assembly of Georgia at its next 1960 Session the passage of a Resolution to provide for the submission of an amendment of the Constitution of Georgia so as to provide for the election of the members of the County Board of Education of Wayne County by the people, as their term expires, as follows: the member from the county at large shall be elected from any school district in the county and by the voters of the entire county. Each of the other five members shall be elected by the voters in the district in which the candidate of said district resides; each of the five districts as now established in Wayne County shall have a representative on the Board of Education. This amendment modifies Act No. 135 which was enacted by the General Assembly of Georgia at its 1958 session and approved by the Governor of Georgia on March 25, 1958, only to the extent that the five members of the Board of Education representing each of the five districts shall be elected by the voters of the district in which each of the members reside. Clarence C. Jones, Representative, Wayne County, Ga. Approved March 7, 1960.

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COBB COUNTY PLANNING AND ZONING COMMISSION. Proposed Amendment to the Constitution. No. 112 (House Resolution No. 324-682). A Resolution. Proposing an amendment to the Constitution so as to authorize the General Assembly to provide by law for a Zoning and Planning Commission for the unincorporated area of Cobb County; to provide various codes; to provide the procedure connected therewith; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article III, Section VII, Paragraph XXIII of the Constitution is hereby amended by adding at the end thereof the following: The General Assembly is hereby authorized to provide by law for a Zoning and Planning Commission for the unincorporated area of Cobb County now or hereinafter existing. Such law may grant the Commission all the authority which the General Assembly has heretofore been authorized in this Paragraph to grant to the governing authorities of municipalities and counties. The General Assembly is also authorized to provide by law for the promulgation of codes, rules and regulations relating to building, construction, plumbing, heating, air conditioning, ventilating and electrical for the unincorporated area of Cobb County. Authority to administer such codes, rules and regulations may be granted to the Zoning and Planning Commission, authorized hereinbefore, or to the governing authority of Cobb County, or to both, in such manner as the General Assembly may prescribe. The General Assembly may provide for the enforcement of the actions of the Zoning and Planning Commission and for the aforesaid

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codes, rules and regulations, by the Superior Court of Cobb County. Funds of the county and such other public funds as might be available may be used for the Commission and in the administration of the aforesaid codes, rules and regulations. The General Assembly may provide how such funds may be utilized. The General Assembly is also authorized to provide for all matters relating to the subjects provided for herein. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the General Assembly to provide by law for a Zoning and Planning Commission for the unincorporated area of Cobb County; to provide various codes; and to provide the procedure connected therewith. Against ratification of amendment to the Constitution so as to authorize the General Assembly to provide by law for a Zoning and Planning Commission for the unincorporated area of Cobb County; to provide various codes; and to provide the procedure connected therewith. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification.

Page 1240

If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. TIFT COUNTY DEVELOPMENT AUTHORITY. Proposed Amendment to the Constitution. No. 113 (House Resolution No. 325-682). A Resolution. Proposing an amendment to the Constitution so as to create the Tift County Development Authority; to provide for powers, authority, funds, purposes and procedure connected therewith; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: A. There is hereby created a body corporate and politic in Tift County to be known as the Tift County Development Authority, which shall be an instrumentality of Tift County and a public corporation and which in this amendment is hereafter referred to as the `Authority'; Created. B. The Authority shall consist of five members.

Page 1241

The President of the Tift County Chamber of Commerce, the Chairman of the Tifton City Commission, and the Chairman of the Tift County Board of Commissioners shall be ex officio members of the Authority. In addition the Board of Commissioners of Roads and Revenues of Tift County shall appoint two members who shall serve for a term of five years and shall be eligible for re-appointment. Vacancies shall be filled for the unexpired term by the said Board of County Commissioners. A majority of the members shall constitute a quorum and a majority may act for the Authority in any matter. No vacancy shall impair the power of the Authority to act. Members. C. The property, obligations and the interest on the obligations of the Authority shall have the same immunity from taxation as the property, obligations and interest on the obligations of Tift County. Property. D. The powers of the Authority shall include but not be limited to, the power: Powers. (1) To buy, acquire, develop, improve, own, operate, maintain, sell, lease as lessor and lessee, and mortgage land, buildings and property of all kinds within the limits of Tift County; (2) To receive and administer gifts, grants and donations and to administer trusts; (3) To grant, loan and lease any of its funds and property to private persons and corporations promising to operate any industrial plant or establishment within Tift County which in the judgment of the Authority will be of benefit to the people of said county. The provisions of this clause shall not be construed to limit any other powers of the Authority; (4) To borrow money and to issue notes, bonds and revenue certificates therefor and to sell, convey, mortgage, pledge and assign any and all of its funds, property and income as security therefor;

Page 1242

(5) To contract with Tift County and other political subdivisions and with private persons and corporations and to sue and be sued in its corporate name; (6) To have and exercise usual powers of private corporations except such as are inconsistent with this amendment, including the power to appoint and hire officers, agents and employees and to provide their compensation and duties, which officers and agents may or may not be members of the Authority, and the power to adopt and amend a corporate seal and by-laws and regulations for the conduct and management of the Authority; (7) To encourage and promote the expansion of industry, agriculture, trade and commerce in Tift County, and to make long range plans therefor; (8) To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested; (9) To designate officers to sign and act for the Authority generally or in any specific matter; (10) To do any and all acts and things necessary or convenient to accomplish the purpose and powers of the Authority as herein stated. E. The Authority shall not be authorized to create in any manner any debt, liability or obligation against the State of Georgia or Tift County; Debts. F. The Authority shall have the same immunity and exemption from liability for torts and negligence as the State of Georgia and the officers, agents and employees of the Authority when in performance of the work of the Authority, shall have the same immunity and exemption from liability for torts and negligence as the officers, agents and employees of the State of Georgia when in performance of their public duties

Page 1243

or work of the State. The Authority may be sued the same as private corporations on any contractual obligation of the Authority; Tort liability. G. The members of the Authority shall receive no compensation for their services to the Authority; No compensation for members. H. The Authority, with the consent of the Board of Commissioners of Roads and Revenues of Tift County is hereby authorized to issue Revenue Certificates to carry out the purposes of this amendment. Revenue Certificates, thus issued, shall be paid from the income of the Authority. Bonds. I. The Commissioners of Roads and Revenues of Tift County are authorized to appropriate to the Authority such amount from its funds each year as it shall see fit, and any funds so appropriated when paid to the Authority shall become a part of its funds and may be sued by the Authority in accordance with its powers and purposes as herein stated or as may be hereafter defined by law; Funds. J. The property of the Authority shall not be subject to levy and sale under legal process except such property, income or funds as may be pledged, assigned, mortgaged or conveyed to secure an obligation of the Authority, and any such property, funds or income may be sold under legal process or under any power granted by the Authority to enforce payment of the obligation; Property exempt from levy. K. This amendment is adopted for the purpose of promoting and expanding for the public good and welfare of Tift County and its citizens, industry, agriculture and trade within the County of Tift, and making long-range plans for such development and expansion and to authorize the use of public funds of Tift County for such purposes, and this amendment and any law enacted with reference to the Authority shall be liberally construed for the accomplishment of this purpose; Purpose.

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L. This amendment shall be effective immediately upon proclamation of its ratification by the Governor and the first members of the Authority shall be appointed within thirty days after such proclamation; Effective date. M. The General Assembly may by law further define and prescribe the powers and duties of the Authority and the exercise thereof, and may enlarge and restrict the same, and may likewise further regulate the management and conduct of the Authority. The Authority shall be an instrumentality of Tift County, and the scope of its operations shall be limited to the territory embraced within Tift County. The General Assembly shall not extend the jurisdiction of the Authority nor the scope of its operations beyond the limits of Tift County. Further powers. N. There shall be no limitation upon the amount of debt which the Authority may incur, but no debt created by the Authority shall be a debt of Tift County. Debt. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to create the Tift County Development Authority. Against ratification of amendment to the Constitution so as to create the Tift County Development Authority.

Page 1245

All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for election for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. PROMOTION OF AGRICULTURAL PRODUCTS AUTHORIZED. Proposed Amendment to the Constitution. No. 115 (House Resolution No. 331-715). A Resolution. Proposing an amendment to the Constitution so as to authorize the General Assembly to provide for the promotion of the production, marketing, sale, use and utilization, processing and improvement of agricultural products; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section II of the Constitution relating to the purpose and method of taxation is hereby amended by adding a new paragraph to be numbered Paragraph I-A, to read:

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Paragraph I-A. Any other provision of this Constitution to the contrary notwithstanding the General Assembly, may provide for the promotion of the production, marketing, sale, use and utilization, processing and improvement of any one or all of the agricultural products including, but not limited to, livestock and livestock products, poultry and poultry products, timber and timber products, fish and sea food and the products of the farms and forests of this State. The General Assembly may provide for the promotion of such products individually, collectively, or in any combination thereof. The General Assembly may provide a means of financing any such promotion by imposing assessments, fees or other charges upon the sale or processing of the affected products and may authorize the acceptance of gifts and donations, and may provide for the disposition of any funds arising under any such program without the necessity of such funds being placed in the State Treasury or being appropriated by the General Assembly. The General Assembly may provide for the supervision of any such program by the Department of Agriculture. The General Assembly may create instrumentalities, public corporations, authorities and commissions to administer such programs. The uniformity requirement of this Constitution shall be satisfied by the application of the program upon the affected products. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following:

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For ratification of amendment to the Constitution so as to provide for the promotion of agricultural products. Against ratification of amendment to the Constitution so as to provide for the promotion of agricultural products. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. BRUNSWICK PORTS AUTHORITY. Proposed Amendment to the Constitution. No. 118 (House Resolution No. 367-801). A Resolution. Proposing an amendment to the Constitution so as to authorize the creation of a Brunswick Ports Authority; to provide for the submission of this amendment for ratification or rejection; and for other purposes.

Page 1248

Be it enacted by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V of the Constitution, as amended, is amended by adding at the end thereof the following: The General Assembly is authorized to create an instrumentality and department of the State of Georgia to be known as the Brunswick Ports Authority, and to provide for its powers and functions. Act number 314 of the Acts of the General Assembly of 1945 (Ga. L. 1945, p. 1023) as amended by House Bill number 1053 of the General Assembly of 1958 (Ga. L. 1958, p. 82) is hereby ratified and confirmed, so that the said Acts shall have the same force and effect as if they had been enacted subsequent to the ratification of this amendment to the Constitution; provided, however, that nothing herein shall prevent the General Assembly from amending said Acts, so as to add and enlarge powers of the Authority. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the creation of a Brunswick Ports Authority. Against ratification of amendment to the Constitution so as to authorize the creation of a Brunswick Ports Authority.

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All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. ELECTRICAL SYSTEM IN STEWART COUNTY. Proposed Amendment to the Constitution. No. 126 (House Resolution No. 405-912). A Resolution. Proposing an amendment to the Constitution so as to authorize the construction of an electrical system in Stewart County; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: The governing authority of Stewart County is hereby authorized to provide for the construction of a plant

Page 1250

and other facilities for an electrical power system in said county for the sole purpose of supplying the electrical requirements of any pulp or paper mill, and other related industries, located, established or operated in said county. Revenue anticipation bonds may be issued for such purpose, as well as general obligation bonds. Any such plant and facilities so constructed may be leased by the governing authority for said purpose, or the governing authority is hereby authorized to operate said plant and facilities and sell electrical power on behalf of Stewart County to such paper or pulp mill. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the construction of an electrical system in Stewart County. Against ratification of amendment to the Constitution so as to authorize the construction of an electrical system in Stewart County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in

Page 1251

said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. STEWART COUNTY AUTHORIZED TO CONSTRUCT BRIDGE ACROSS CHATTAHOOCHEE RIVER. Proposed Amendment to the Constitution. No. 127 (House Resolution No. 406-912). A Resolution. Proposing an amendment to the Constitution, so as to authorize Stewart County to construct bridges; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: The governing authority of Stewart County is hereby authorized to provide for the construction of a bridge, or bridges, across the Chattahoochee River to the adjoining state of Alabama. Revenue anticipation bonds may be issued for such purpose, as well as general obligation bonds. Any such bridge, or bridges, may be opened to the public without charge or toll may be charged for the use of any such bridge across the Chattahoochee River. The governing authority of Stewart County is hereby authorized to contract with the

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state of Alabama or any county thereof relative to the construction of any such bridge. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize Stewart County to construct a bridge across the Chattahoochee River. Against ratification of amendment to the Constitution so as to authorize Stewart County to construct a bridge across the Chattahoochee River. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960.

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QUITMAN COUNTY REVENUE BONDS. Proposed Amendment to the Constitution. No. 131 (House Resolution No. 425-974). A Resolution. Proposing to the qualified voters of Quitman County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Quitman County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Quitman County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either, of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full.

Page 1254

The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, (Code, Ann. Supp. Chapter 87-8), as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Quitman County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce.

Page 1255

Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Quitman County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 7, 1960. DISCIPLINE OF MILITIA WHEN NOT IN FEDERAL SERVICE. Proposed Amendment to the Constitution. No. 134 (House Resolution No. 475-1139). A Resolution. Proposing an amendment to the Constitution so as to provide for the discipline, including courts-martial and non-judicial punishment, procedures and rules of evidence therefor, for members of the militia when not in Federal service. Be it resolved by the General Assembly of Georgia: Section 1. Article X, Section I of the Constitution relating to Militia is hereby amended by adding the following paragraph thereto: Paragraph IV. Discipline of the Militia. When not in Federal service the discipline of members of the

Page 1256

Militia shall be in accordance with the applicable provisions of the Constitution and laws of the United States, Acts of the General Assembly, and directives of the Governor in his capacity as Commander-in-Chief of the Militia. Notwithstanding any other provisions of this Constitution, the General Assembly shall have the authority to provide for trial by courts-martial and non-judicial punishment of members of the Militia, for the initiation of charges and subsequent procedures thereon, rules of evidence, venue, and all other matters necessary and proper for the maintenance of a well regulated and disciplined Militia. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays, taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the discipline, including courts-martial and non-judicial punishment, procedures and rules of evidence therefor, for members of the Militia when not in Federal service. Against ratification of amendment to the Constitution so as to provide for the discipline, including courts-martial and non-judicial punishment, procedures and rules of evidence therefor, for members of the Militia when not in Federal service. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against

Page 1257

the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. ATHENS PUBLIC FACILITIES AUTHORITY. Proposed Amendment to the Constitution. No. 135 (House Resolution No. 478-1144). A Resolution. Proposing an amendment to the Constitution so as to authorize the General Assembly to create an instrumentality to be known as the Athens Public Facilities Authority; to ratify and confirm the Act of the General Assembly adopted at the 1960 Session thereof known as the Athens Public Facilities Authority Act and to ratfiy and confirm all acts of the Athens Public Facilities Authority thereunder; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V of the Constitution, as heretofore amended, is further amended by inserting at the end of said Paragraph a new paragraph which shall read as follows: Athens Public Facilities Authority.

Page 1258

The Legislature is authorized to create an instrumentality and department of the State of Georgia to be known as `Athens Public Facilities Authority' and to provide for its powers and functions. The Act adopted by the General Assembly of Georgia at the 1960 session thereof known as the `Athens Public Facilities Authority Act' is hereby ratified, confirmed and made a part of this Constitution with like force and effect as though the contents thereof were herein set out at length. This provision of this Constitution shall be self-executing but the Legislature may hereafter enact such supplementary legislation designed to effect the purposes of the `Athens Public Facilities Authority Act' as it may consider desirable, provided such future legislation is not in conflict with this Constitution. All acts heretofore done by the Athens Public Facilities Authority and all contracts, agreements and proceedings of every nature executed or adopted by the Athens Public Facilities Authority prior to the date as of which this paragraph becomes effective as a part of the Constitution, are hereby ratified and validated and declared to be binding and effective in accordance with their terms. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution to authorize the General Assembly to create the Athens Public Facilities Authority and to ratify and confirm the Act heretofore adopted pertaining to said Authority

Page 1259

and to ratify and confirm all acts performed by it pursuant thereto. Against ratification of amendment to the Constitution to authorize the General Assembly to create the Athens Public Facilities Authority and to ratify and confirm the Act heretofore adopted pertaining to said Authority and to ratify and confirm all acts performed by it pursuant thereto. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns of elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 7, 1960. AREA SCHOOLS AUTHORIZED. Proposed Amendment to the Constitution. No. 139 (Senate Resolution No. 71). A Resolution. Proposing an amendment to the Constitution so as to authorize the establishment of area schools, including vocational trade schools; to provide for the submission of this amendment for ratification or rejection; and for other purposes.

Page 1260

Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VI, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following paragraph: Any two or more counties, or any two or more municipalities, or any county and municipality, or combination thereof may jointly establish area schools, including vocational trade schools. The State is hereby authorized to expend funds for the support of such schools as it does for presently established school systems. The political subdivisions establishing such a school shall provide for a joint board to administer any such school, and the State is hereby authorized to contract with such board relative to the expenditure of funds for such school. Any such political subdivision is hereby authorized to levy taxes for the support of such school regardless of whether it is located within the territorial limits of such subdivision. Any such political subdivision is hereby authorized to incur bonded indebtedness not to exceed three per centum of the assessed value of all the taxable property therein for the support of such a school. Any such bonded indebtedness shall be incurred pursuant to the provisions of this Constitution and the laws of this State relative to incurring other bonded indebtedness. Such bonded indebtedness shall be in addition to any and all other indebtedness authorized by the Constitution and the laws of Georgia. The amount of funds which each political subdivision establishing such a school shall pay shall be determined and agreed upon by and between all the political subdivisions involved. In the event it deems it necessary, the General Assembly is hereby authorized to enact laws pursuant to, but not in conflict with, the provisions of this paragraph. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken

Page 1261

thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the establishment of area schools, including vocational trade schools. Against ratification of amendment to the Constitution so as to authorize the establishment of area schools, including vocational trade schools. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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CREATION OF INDUSTRIAL DEVELOPMENT COMMISSION AUTHORIZED. Proposed Amendment to the Constitution. No. 140 (Senate Resolution No. 78). A Resolution. Proposing an amendment to the Constitution so as to provide that the General Assembly shall have the power to establish an Industrial Development Commission to make loans available to industrial development agencies to aid them in acquiring and constructing industrial and manufacturing plants and facilities within the State; to provide that the power of taxation may be exercised by the General Assembly to carry out the purposes of said Commission; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section II of the Constitution, relating to purposes and methods of taxation, is hereby amended by adding a new Paragraph to said Section to be known as Paragraph VI, and to read as follows: Paragraph VI. The General Assembly shall have the power to create an Industrial Development Commission to make loans, to be secured by second mortgages, to such industrial development agencies as the Industrial Development Commission may select: Provided, that said agencies shall have raised sufficient capital and secured commitments for additional financing, which, in addition to the loan to be extended by said Commission, will adequately insure the completion of said project. The powers of taxation may be exercised through the General Assembly in order to implement and carry out the purposes for which said Commission is to be created. Section 2. When the above proposed amendments

Page 1263

to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section 1, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide that the General Assembly shall have the power to establish an Industrial Development Commission to make loans available to industrial development agencies to aid them in acquiring and constructing industrial and manufacturing plants and facilities within the State; and to provide that the General Assembly shall have the power to tax to carry out and implement the purposes of the Commission. Against ratification of amendment to the Constitution so as to provide that the General Assembly shall have the power to establish an Industrial Development Commission to make loans available to industrial development agencies to aid them in acquiring and constructing industrial and manufacturing plants and facilities within the State; and to provide that the General Assembly shall have the power to tax to carry out and implement the purposes of the Commission. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of

Page 1264

the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. ROCKDALE COUNTYINCREASE IN DEBT LIMITATION. Proposed Amendment to the Constitution. No. 141 (Senate Resolution No. 79). A Resolution. Proposing an amendment to the Constitution so as to increase the debt limitation of Rockdale County; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: Effective January 1, 1961, the debt limitation of Rockdale County shall be ten per centum of the assessed value of all the taxable property therein in lieu of the seven per centum limitation heretofore prescribed in this Paragraph. Proposed debt limit. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall

Page 1265

be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to increase the debt limitation of Rockdale County. Against ratification of amendment to the Constitution so as to increase the debt limitation of Rockdale County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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ROCKDALE COUNTYAUTHORITY TO LICENSE AND REGULATE BUSINESSES. Proposed Amendment to the Constitution. No. 142 (Senate Resolution No. 80). A Resolution. Proposing an amendment to the Constitution so as to authorize the licensing and regulation of businesses in the unincorporated areas of Rockdale County; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article XI, Section I, Paragraph VI of the Constitution is hereby amended by adding at the end thereof the following: The governing authority of Rockdale County, by whatever name designated, shall have the right and power, for regulatory and revenue purposes to levy, assess, and collect license fees and occupational taxes from any persons, firms or corporations, except those subject to regulation by the State Public Service Commission, who may maintain a place of business or who may in any manner engage in any type of business in any area of Rockdale County outside the incorporated limits of municipalities; and in levying and assessing such license fees and occupational taxes, the governing authority shall have the right and power to classify businesses and to assess different license fees and taxes against different classes of business. To provide for the public welfare, health and security of the people of Rockdale County, the governing authority shall have the right to regulate and exercise police powers over any businesses operated within the unincorporated areas of said county, except those subject to regulation by the State Public Service Commission, and to prescribe such rules and regulations as may be necessary

Page 1267

to effectuate the powers herein granted, including the right to enforce payment of the license fees and occupational taxes by the issuance and levy of executions, and to provide that a violation of any such regulations adopted by the governing authority shall constitute a misdemeanor punishable upon conviction thereof as prescribed by the general laws of the State of Georgia. No further enabling legislation by the General Assembly shall be necessary for the exercise of the powers herein granted, but the General Assembly may at any time modify, alter, restrict and limit the powers herein granted, and may at any time prescribe the manner and means by which the powers may be exercised by said governing authority. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the licensing and regulation of businesses in the unincorporated areas of Rockdale County. Against ratification of amendment to the Constitution so as to authorize the licensing and regulation of businesses in the unincorporated areas of Rockdale County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against

Page 1268

the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. LEVY ON MARRIAGE LICENSES FOR BENEFIT OF ORDINARIES RETIREMENT SYSTEM. Proposed Amendment to the Constitution. No. 144 (Senate Resolution No. 89). A Resolution. A Resolution proposing to the qualified voters of Georgia an amendment to Article VII, Section II of the 1945 Constitution of Georgia, authorizing levy of a maximum of $1.00 on the sale of every marriage license in Georgia for the purpose of paying pensions and other benefits and costs under an Ordinaries' Retirement System of Georgia; to provide for the collection of of such levy; to provide for the disbursement by such system or agents or officials designated by the Legislature; for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia as follows: Section 1. Article VII, Section II of the 1945 Constitution of Georgia is hereby amended by adding at

Page 1269

the end thereof a new Paragraph, to be known as Paragraph VI, which shall read as follows: VI. The State, through the General Assembly, may levy a maximum of $1.00 on the sale of every marriage license, in Georgia, for the purpose of paying pensions and other benefits and costs under an Ordinaries' Retirement System in Georgia. Said levy may be collected by such Ordinaries pension system or agents or officials designated by the Legislature and disbursed by said system by authority of the General Assembly for the purposes herein authorized. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section II, of the 1945 Constitution of Georgia, so as to authorize the levy of a maximum of $1.00 on the sale of every marriage license in Georgia for the purpose of paying pensions and other benefits and costs under an Ordinaries' Retirement System of Georgia. Against ratification of amendment to Article VII, Section II, of the 1945 Constitution of Georgia, so as to authorize the levy of a maximum of $1.00 on the sale of every marriage license in Georgia for the purpose of paying pensions and other benefits and costs under an Ordinaries' Retirement System of Georgia. All persons desiring to vote in favor of adopting the

Page 1270

proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. STATE BOARD OF EDUCATIONMEMBERS, VACANCIES. Proposed Amendment to the Constitution. No. 145 (Senate Resolution No. 91). A Resolution. Proposing an amendment to the Constitution so as to provide for additional members from the State-at-large to the State Board of Education and a new method of filling vacancies; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section II, Paragraph I of the Constitution, relating to the State Board of Education, is hereby amended by striking said Paragraph in its entirety and inserting in lieu thereof a new Paragraph I, to read as follows:

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Paragraph I. There shall be a State Board of Education, composed of one member from each Congressional District in the State, and five additional members from the State-at-large, appointed by the Governor and confirmed by the Senate. The Governor shall not be a member of the Board. The members of the Board from Congressional Districts, who are on the Board at the time of the ratification of this amendment, shall continue until their terms expire, and their successors and all future successors shall be appointed for terms of seven years from the expiration of the previous term. It shall be the duty of the Governor, prior to January 1, 1961, to appoint five members from the State-at-large, who shall take office January 1, 1961, for terms of three, four, five, six and seven years, as shall be designated by the Governor when making said appointments. Successors to such members and all future successors shall be appointed for terms of seven years from the expiration of the previous term. Vacancies upon said Board shall be similarly filled by appointment and confirmation. All members of the Board shall hold office until their successors are appointed and qualified. The members of the State Board of Education shall be citizens of this State who shall have resided in Georgia continuously for at least five years preceding their appointment. No person employed in a professional capacity by a private or public education institution, or by the State Department of Education, shall be eligible for appointment or to serve on said Board. No person who is or has been connected with or employed by a school book publishing concern shall be eligible to membership on the Board, and if any person shall be so connected or employed after becoming a member of the Board, his place shall immediately become vacant. The State Board of Education shall have such powers and duties as provided by law and existing at the time of the adoption of the Constitution of 1945, together with such further powers and duties as may be thereafter provided by law. Section 2. When the above proposed amendment to

Page 1272

the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for additional members from the State-at-large to the State Board of Education and a new method of filling vacancies. Against ratification of amendment to the Constitution so as to provide for additional members from the State-at-large to the State Board of Education and a new method of filling vacancies. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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APPROPRIATIONS TO DEPARTMENTS TO PAY AMOUNTS DUE ON LEASES MADE WITH STATE AUTHORITIES. Proposed Amendment to the Constitution. No. 148 (Senate Resolution No. 103). A Resolution. Proposing an amendment to the Constitution so as to establish and clarify provisions for the payment of contract obligations authorized under Article VII, Section VI, Paragraph I (a) of the Constitution; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Upon the approval of this resolution in the manner hereinafter provided, that Paragraph I (a) of Section VI of Article VII of the Constitution of the State of Georgia be amended by adding an additional paragraph to said Paragraph I (a) to read as follows: Notwithstanding any other provision of any other section of any other article of this Constitution, the General Assembly shall include in each General Appropriations Act in the appropriation payable to each department, agency, or institution of the State, in addition to such other items as may be included in such appropriation, and whether or not any other items are included, sums sufficient to satisfy the payments required to be made in each year under lease contracts now or hereafter entered into pursuant to this Paragraph I (a) by and between such department, agency, or institution of the State and any State authority which has been created and activated at the time of the effective date of this amendment which said lease contracts constitute security for bonds or any other obligations heretofore or hereafter issued by any such authority. In the event for any reason

Page 1274

any such appropriation is not made, then the fiscal officers of the State are hereby authorized and directed to set up on their appropriation accounts in each fiscal year as an appropriation the respective amounts required by each such department, agency, or institution of the State to pay the obligations called for under any such lease contract. The amount of the appropriation in each fiscal year to meet such lease contract obligations as authorized hereunder shall be due and payable to each such department, agency, or institution of the State in each fiscal year to be expended for the purpose of paying the lease contract obligation required under the terms and conditions of such lease contracts and said appropriation shall have the same legal status as if the General Assembly had included the amount of the appropriation in a General Appropriations Act. so that Paragraph I (a) of Section VI of Article VII of the Constitution of the State of Georgia, when so amended, shall read as follows: (a) The State, state institutions, any city, town, municipality or county of this State may contract for any period not exceeding fifty years, with each other or with any public agency, public corporation or authority now or hereafter created for the use by such subdivisions or the residents thereof of any facilities or services of the State, state institutions, any city, town, municipality, county, public agency, public corporation or authority, provided such contracts shall deal with such activities and transactions as such subdivisions are by law authorized to undertake. Notwithstanding any other provision of any other section of any other article of this Constitution, the General Assembly shall include in each General Appropriations Act in the appropriation payable to each department, agency, or institution of the State, in addition to such other items as may be included in such appropriation, and whether or not any other items are included, sums sufficient to satisfy the payments

Page 1275

required to be made in each year under lease contracts now or hereafter entered into pursuant to this Paragraph I (a) by and between such department, agency, or institution of the State and any State authority which has been created and activated at the time of the effective date of this amendment which said lease contracts constitute security for bonds or any other obligations heretofore or hereafter issued by any such authority. In the event for any reason any such appropriation is not made, then the fiscal officers of the State are hereby authorized and directed to set up on their appropriation accounts in each fiscal year as an appropriation the respective amounts required by each such department, agency, or institution of the State to pay the obligations called for under any such lease contract. The amount of the appropriation in each fiscal year to meet such lease contract obligations as authorized hereunder shall be due and payable to each such department, agency, or institution of the State in each fiscal year to be expended for the purpose of paying the lease contract obligation required under the terms and conditions of such lease contracts and said appropriation shall have the same legal status as if the General Assembly had included the amount of the appropriation in a General Appropriations Act. Section 2. Be it further resolved by the authority aforesaid, that whenever the above proposed amendment to the Constitution shall have been agreed to by two-thirds ([frac23]) of the members elected to each of the two branches of the General Assembly, such proposed amendment shall be entered on the journals of each branch with the Ayes and Nays taken thereon, and such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following:

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For ratification of amendment to Article VII, Section VI, Paragraph I (a) of the Constitution to establish and clarify provisions for payment of contract obligations authorized by the State Constitution. Against ratification of amendment to Article VII, Section VI, Paragraph I (a) of the Constitution to establish and clarify provisions for payment of contract obligations authorized by the State Constitution. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Article XIII, Section I, Paragraph I of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor who shall, if such amendment be ratified, issue his proclamation thereon. Approved March 17, 1960. RICHMOND COUNTYTAX FOR INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 150 (Senate Resolution No. 107). A Resolution. Proposing an amendment to the Constitution so as to authorize Richmond County to levy a tax not to exceed one-half () mill on all the taxable property in the

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county for the purpose of creating a fund to be used in the industrial development of the county; to provide the procedure connected with the handling, use and expenditure of said fund; to authorize the Governing Authority of said county to select a board of citizens to recommend uses and expenditures of said fund; to provide for the submission of this amendment for ratification or rejection; or for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution, as amended, is hereby amended by adding at the end thereof the following: The Board of Commissioners of Roads and Revenues of Richmond County, and any successor thereto which shall constitute the Governing Authority of Richmond County, hereinafter referred to as the Governing Authority, is hereby authorized to levy a tax, in addition to all other taxes provided for, not to exceed one-half () mill on all the taxable property in Richmond County for the purpose of creating a fund to be known as The Richmond County Industrial Development Fund to be used for the industrial development of the county, including assisting, promoting and encouraging the location of new industries in Richmond County and the expansion and improvement of existing industries in said county. The funds received from the aforesaid tax levy shall be kept separate and apart from all other funds of the county, and the Governing Authority shall cause an annual audit to be made of such fund. The funds may be used for any purpose connected with the industrial development and growth of the county including, but not limited to, the purchase of land, the construction and maintenance of roads, providing ingress and egress to industrial development areas, preparation of land for industrial site development, construction of industrial plant buildings, construction of sewerage and water facilities, construction of other utility facilities, conducting research, and the preparation of reports

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and studies. The Governing Authority is hereby authorized to enter into contracts with new and existing industries for the purpose of renting, leasing and selling to such industries, buildings and facilities constructed under the provisions of this amendment; provided, however, that none of the fund created under this amendment shall be used by any such industries for operating capital or operating expense. All money paid by such industries to the Governing Authority under the provision of any such contract or agreement shall be replaced in said fund. The Governing Authority shall attempt at all times to keep an amount in such fund not to exceed two hundred fifty thousand ($250,000.00) dollars and should it appear that a levy of one-half () mill will produce an amount in excess of two hundred fifty thousand ($250,000.00) dollars, the tax shall be abated accordingly. The Governing Authority shall appoint a board of citizens to render advice relative to the use of such funds, and no part of said fund shall be used or expended for any purpose without such use or expenditure first having the recommendation of the majority of such board of citizens and then being passed upon and approved by the Governing Authority at any regular or special meeting. The board of citizens shall consist of five members who shall be the persons holding the offices of (1) The Chairman of the Board of Commissioners of Roads and Revenues of Richmond County, Georgia, or, in the event the same shall not be the Governing Authority of Richmond County, the executive head of the Governing Authority of Richmond County, or, in either event, a member of said Board of Commissioners or other Governing Authority appointed by said Chairman or other executive head thereof to serve in his stead, (2) The Mayor of The City Council of Augusta, or the executive head of the governing body of said City, if the Mayor shall cease to be such, or, in either event, a member of said City Council or other governing body of said City appointed by the Mayor or other executive head thereof to serve in his stead, (3) The President of the Augusta Chamber of Commerce or

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its successor organization, (4) The Chairman or other chief executive officer of the Committee of 100, Inc., (5) The Executive Director of the Committee of 100, Inc.; and in the event of one or more vacancies in membership because of dissolution, merger, succession, or otherwise, as shall be determined in the discretion of the Governing Authority, then the Governing Authority shall appoint other citizens to fill such vacancies and to serve for such terms as the Governing Authority shall designate, provided that such other citizens shall be residents of Richmond County, Georgia, and shall not during their term of service on said Board hold political office. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize Richmond County to levy a tax not to exceed one-half () mill on all the taxable property in the county for the purpose of creating a fund to be used in the industrial development of the county and provide the procedure connected therewith. Against ratification of amendment to the Constitution so as to authorize Richmond County to levy a tax not to exceed one-half () mill on all the taxable property in the county for the purpose of creating a fund to be used in the industrial development of the county and provide the procedure connected therewith.

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All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. BIBB COUNTYTAX TO PROVIDE HOSPITAL, SURGICAL AND MEDICAL CARE FOR COUNTY EMPLOYEES. Proposed Amendment to the Constitution. No. 151 (Senate Resolution No. 109). A Resolution. Proposing to the qualified voters of Bibb County an amendment to Article VII, Section IV, Paragraph I of the Constitution of the State of Georgia of 1945, and as the same has been heretofore or contemporaneously with the ratification hereof amended, so as to empower the governing authority of Bibb County to pay, in whole or in part, and as from time to time determined, and to levy an ad valorem tax therefor, insurance premiums for hospital, surgical and medical care (either, all or any combination of the same as the governing authority may, from time to time decide) for employees; to define the meaning of Employees; to provide for submission of this amendment for ratification

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or rejection by the people affected; and for other purposes. Section 1. Be it resolved by the General Assembly of Georgia, and it is so resolved by such authority, that Article VII, Section IV, Paragraph 1, of the Constitution of Georgia of 1945, and as the same has been heretofore amended or may, contemporaneously with the ratification hereof, be amended, is hereby further amended by adding at the end thereof a new subparagraph to read: Provided, however, that the governing authority of Bibb County may, in its discretion and without further authority than provided herein and by ratification hereof, pay and levy an ad valorem tax for paying, in whole or in part, and in such proportions as such governing authority may from time to time determine, insurance premiums for hospital, surgical and medical care (either, all or any combination of the same as said governing authority may, from time to time decide) for employees of Bibb County; employees, as used herein, to include all persons actively employed in the full time service of the county (limited temporary service excluded) upon the effective date of this amendment and thereafter and whose salary, wage or compensation is paid by the county and by check of the treasurer of the county whether payable directly to the recipient or to another for transmission or distribution, and whether appointed by the governing authority or by an elected or appointed official and including appointees of the Judges of the Superior Court in and for Bibb County and including elective officials of Bibb County, but excluding court bailiffs who serve on a per diem basis. Section 2. Be it further resolved that when the above proposed amendment shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes

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and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section 1, Paragraph 1 of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to empower the governing authority of Bibb County to levy a tax to pay or contribute to the payment of insurance premiums for hospital, surgical and medical care for employees. Against ratification of amendment to the Constitution so as to empower the governing authority of Bibb County to levy a tax to pay or contribute to the payment of insurance premiums for hospital, surgical and medical care for employees. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon and thereof. Approved March 17, 1960.

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CATOOSA COUNTYBOARD OF TAX ADMINISTRATORS. Proposed Amendment to the Constitution. No. 152 (Senate Resolution No. 114). A Resolution. Proposing an amendment to the Constitution so as to repeal an amendment to the Constitution providing for a Board of Tax Administrators for Catoosa County, providing their qualifications, terms, authority, duties, and compensation; to provide for a new Board of Tax Administrators; to provide their qualifications, terms, authority, duties, and compensation; to provide for the submission of the amendment to the people for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VI, Section XVII, Paragraph I of the Constitution of Georgia is hereby amended by striking in its entirety an amendment proposed by a resolution found in Georgia Laws 1958, page 592 ratified at the General Election in November, 1958. 1958 Amendment repealed. Section 2. Article VI, Section XVII, Paragraph I of the Constitution of Georgia is hereby amended by adding to the end thereof the following: There is hereby created a Board of Tax Administrators for Catoosa County. Said Board shall be composed of three members elected by the qualified voters of the entire county. To be eligible for election to the Board of Tax Administrators, a person must be at least twenty-five years of age, a resident of this State and said county for at least two years, and qualified to vote in the election for members of the General Assembly. Compensation of the members of the Board of Tax Administrators, herein created, shall be fifteen ($15.00) dollars per day for each day of actual service,

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plus actual expenses, said compensation to be payable monthly out of funds collected by the levy of taxes hereinafter provided. The said Board shall be subject to all provisions of the law with respect to levying taxes and evaluating property not in conflict with this amendment. The Board shall meet not more than thirty days in any one calendar year unless approved in writing by the Commissioner of Roads and Revenues of Catoosa County. Created, members. Compensation. Duties, meetings. The members of the Board of Tax Administrators shall be elected at the same time as other county officers, and the members elected shall serve for a term of four years and until their successors are elected and qualified. All persons elected to said Board shall subscribe to an official oath to faithfully perform their duties prescribed by any officer in the county authorized by law to administer oaths, and shall execute a bond in the amount of two thousand ($2,000.00) dollars, conditioned upon the faithful and honest discharge of their duties, payable to said Commissioner. Provided, however, the members elected to the Board of Tax Administrators at the General Election of 1960, under authority of an amendment to the Constitution proposed by a resolution found in Georgia Laws 1958, page 592 ratified at the General Election of 1958, shall constitute the first members of this Board and shall take office January 1, 1961 and serve for four years and until their successors are elected and qualified. Elections. Oath. Bond. First members. The Board of Tax Administrators is authorized and directed to re-evaluate all property in Catoosa County for tax purposes. Said Board is authorized to appoint and employ qualified and professional appraisers and whatever additional personnel they deem necessary to assist the Board in its duties, and to provide the compensation for such appraisers and personnel. Duties. The Board of Tax Administrators shall have authority to contract to borrow money at the best interest

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rate available for the purpose of carrying out the provisions of this amendment relating to the initial re-evaluation of all the taxable property in Catoosa County. Same. The Board of Tax Administrators shall recommend each year to the taxing authorities of Catoosa County that a tax be levied, stating the rate, which shall not exceed two mills per dollar of the assessed valuation on all taxable property in the county. The taxing authorities of Catoosa County are hereby required and directed to levy and collect said tax at the rate so recommended. They money raised by said levy shall be held in a separate fund for the purpose of discharging, and the taxing authorities are hereby directed to discharge, any indebtedness incurred by the Board of Tax Administrators in carrying out the re-evaluation program herein authorized. After completion of the program of re-evaluating all the taxable property in Catoosa County, and after any indebtedness is discharged, the Board shall recommend each year to the taxing authorities of said county that a tax be levied, stating the rate, which shall not exceed one-half of one mill per dollar of the assessed valuation on all taxable property in the county for the purpose of employing any personnel necessary to maintain a current evaluation of taxable property located in said county. The taxing authorities of Catoosa County are hereby required to levy and collect said tax and pay the expenses so incurred. Any surplus remaining after the discharge of any indebtedness incurred in the initial re-evaluation shall belong to the general county funds. Within sixty days after the end of every calendar year the regularly employed county auditor who audits other county books shall prepare an itemized audit for the preceding year of the collections and expenses of the Board of Tax Administrators. The Board shall cause said audit to be published at least

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once in the same newspaper in which the Sheriff's ads for said county appear, and shall cause the original audit to be filed with the Clerk of the Superior Court of said county, and a copy thereof to be filed with the Tax Commissioner and one with the County Commissioner. Audit. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for a Board of Tax Administrators to evaluate property in Catoosa County and to require the taxing authorities to levy a tax therefor. Against ratification of amendment to the Constitution so as to provide for a Board of Tax Administrators to evaluate property in Catoosa County and to require the taxing authorities to levy a tax therefor. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and

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it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. MARION COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 153 (Senate Resolution No. 123). A Resolution. Proposing to the qualified voters of Marion County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Marion County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Marion County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof.

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Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended.

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The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Marion County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Marion County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. TAYLOR COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 154 (Senate Resolution No. 124). A Resolution. Proposing to the qualified voters of Taylor County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize

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Taylor County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Taylor County herein called the issuer, to provide funds for the purchase, construction, enlargment, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the

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State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Taylor County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Taylor County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the

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results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. WILCOX COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 155 (Senate Resolution No. 125). A Resolution. Proposing to the qualified voters of Wilcox County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Wilcox County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Wilcox County herein called the issuer, to provide funds for the purchase, construction, enlargment, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product

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or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall

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be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Wilcox County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Wilcox County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960.

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MACON COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 156 (Senate Resolution No. 126). A Resolution. Proposing to the qualified voters of Macon County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Macon County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Macon County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full.

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The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Macon County to issue revenue bonds for the purchase,

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construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Macon County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. APPROPRIATION OF FUNDS FOR ADEQUATE SYSTEM OF ROADS AND BRIDGES. Proposed Amendment to the Constitution. No. 158 (House Resolution No. 270-600). A Resolution. Proposing an amendment to the Constitution so as to provide for an adequate system of roads and bridges in this State; to provide for the submission of this amendment for ratification or rejection; for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IX, Paragraph IV of the Constitution, as amended by an amendment

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ratified at the 1952 general election, and found in Georgia Laws 1951, page 849, is hereby amended by striking said paragraph in its entirety and inserting in lieu thereof a new Paragraph IV, to read as follows: 1952 Amendment repealed. (a) Except as hereinafter provided, the appropriation for each department, officer, bureau, board, commission, agency or institution for which appropriation is made shall be for a specific sum of money, and no appropriation shall allocate to any object, the proceeds of any particular tax or fund or a part or percentage thereof. (b) An amount equal to all money derived from motor fuel taxes received by the State Treasurer in each of the immediately preceding fiscal years, less the amount of refunds, rebates and collection costs authorized by law, is hereby appropriated for the fiscal year beginning July 1, of each year following, for all activities incident to providing and maintaining an adequate system of public roads and bridges in this State, as authorized by laws enacted by the General Assembly of Georgia; and for grants to counties for aid in county road construction and maintenance, as provided by law authorizing the State Treasurer to make such grants. Said sum is hereby appropriated for, and shall be available for, the aforesaid purposes regardless of whether the General Assembly enacts a General Appropriations Act and said sum need not be specifically stated in any General Appropriations Acts passed by the General Assembly in order to be available for such purposes. However, this shall not preclude the General Assembly from appropriating for such purposes an amount greater than the sum specified above for such purposes. The expenditure of such funds shall be subject to all the rules, regulations and restrictions imposed on the expenditure of appropriations by provisions of the Constitution and laws of this State, unless such provisions are in conflict with the provisions of this paragraph. And provided, however, that the proceeds of the tax hereby appropriated shall not be subject to budgetary reduction.

Page 1299

In the event of invasion of this State by land, sea or air, or in case of a major catastrophe, so proclaimed by the Governor, said funds may be utilized for defense or relief purposes on the Executive Order of the Governor. The provisions of this amendment shall become effective July 1, 1961. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of an amendment to the Constitution to provide for the appropriation of motor fuel taxes for highway construction and maintenance purposes in order to provide an adequate system of through highways, rural and post roads and bridges in this State. Against ratification of an amendment to the Constitution to provide for the appropriation of motor fuel taxes for highway construction and maintenance purposes in order to provide an adequate system of through highways, rural and post roads and bridges in this State. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in

Page 1300

said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. REPAYMENT OF LOANS OR SCHOLARSHIPS FOR MEDICAL EDUCATION BY SERVICE AT MILLEDGEVILLE STATE HOSPITAL. Proposed Amendment to the Constitution. No. 160 (House Resolution No. 273-600). A Resolution. Proposing an amendment to the Constitution so as to provide for repayment of medical loans and scholarships by service at the Milledgeville State Hospital; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section I, Paragraph II of the Constitution, as amended by an amendment ratified at the general election in 1952 and found in Georgia Laws 1951, page 861, is hereby amended by striking from the eighth paragraph of that portion of Paragraph II added by the 1951 amendment the following: Part of 1951 Amendment repealed. One-fifth of the loan or scholarship, together with interest thereon, to be credited to the applicant for each year of practicing his profession in a community of 5000 population or less, according to 1950 census,

Page 1301

and no annual interest on the scholarship loan shall be paid during such practice or service. and inserting in lieu thereof the following: One-fifth of the loan or scholarship, together with interest thereon, shall be credited to the applicant for each year of practicing his profession in a community of 5000 population or less, according to 1950 or any future census, or at Milledgeville State Hospital, and no annual interest on the scholarship loan shall be paid during such practice or service. so that when so amended said eighth paragraph of Paragraph II shall read as follows: Applicants who are granted loans or scholarships by the board shall receive a loan not to exceed $5,000.00 to any one applicant to be paid in annual installments not exceeding $1,500.00 per annum, with which to defray his or her tuition and other expenses in any reputable, accepted and accredited four-year medical college or school in the United States, or a scholarship in such medical college or school for a term not exceeding four years, the cost of such scholarship not to exceed $5,000.00, same to be paid at such time and in such manner as may be determined by the board. The loans and scholarships herein provided shall not exceed the sums herein stated, but they may be prorated in such manner as to pay to the medical school to which any applicant is admitted such funds as are required by that school, and the balance to be paid direct to the applicant; all of which shall be under such terms and conditions as may be provided under rules and regulations of the board. The said loans or scholarships to be granted to each applicant shall be based upon the condition that the full amount thereof shall be repaid to the State of Georgia in cash in full with 4% interest from the date of each payment by the State on such loan or scholarship, same to be payable annually, the first annual payment to be due on or before one year from the date the applicant

Page 1302

completes his internship, or same may be repaid to the State of Georgia in services to be rendered by the applicant by practicing his profession at some place within the State of Georgia to be approved by the board. One-fifth of the loan or scholarship together with interest thereon, shall be credited to the applicant for each year of practicing his profession in a community of 5000 population or less, according to 1950 or any future census, or at Milledgeville State Hospital, and no annual interest on the scholarship loan shall be paid during such practice or service. After the third full year of practice or services within this State as herein provided, but not before, the said applicant shall be privileged, entirely at the discretion of the board heretofore created, to pay off the balance of the scholarship loan, together with accrued interest thereon, and upon such payment shall be relieved from further obligations under his contract for loan or scholarship. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for repayment of medical loans and scholarships by service at Milledgeville State Hospital. Against ratification of amendment to the Constitution so as to provide for repayment of medical loans and scholarships by service at Milledgeville State Hospital.

Page 1303

All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Section 3. All laws and parts of laws in conflict with this Act are hereby repealed. Approved March 17, 1960. HALL COUNTYFIRE DISTRICTS. Proposed Amendment to the Constitution. No. 163 (House Resolution No. 333-715). A Resolution. Proposing an amendment to Article VII, Section IV, Paragraph II of the Constitution of Georgia to provide for the establishment of fire prevention districts in Hall County; to authorize Hall County and the municipalities in Hall County to contract with each other for the purpose of exercising the authority granted by this amendment; to authorize municipalities in Hall County to operate fire prevention organizations outside their corporate limit in Hall County; to authorize Hall County to levy a tax for the purpose of fire prevention; to authorize the fire prevention districts of Hall County to issue bonds for fire prevention purposes;

Page 1304

to provide the manner of setting up fire prevention districts in Hall County; providing for the submission of this amendment under Article XIII, Section I, Paragraph I, of the Constitution of Georgia; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph II of the Constitution of Georgia, relating to the districting of counties, is hereby amended by adding at the end thereof the following: (a) The Governing authority of Hall County is hereby granted authority to district areas in said county for fire prevention purposes, and the authority to levy a tax upon the taxable property of each such district to defray all cost of fire protection in each respective district. (b) The authority hereby granted shall include authority to include municipalities located in Hall County, within any fire district created hereunder. (c) Hall County and each municipality now existing, or hereafter created in said county, are hereby authorized to contract with each other for furnishing property of any kind, materials, supplies, equipment and money for the purpose of carrying out the authority hereby granted. (d) Each municipality now existing, or hereafter created in Hall County, is hereby granted authority to operate its fire department, including equipment and personnel, outside its corporate limit within Hall County. (e) Hall County is hereby granted authority to levy a tax for the creation, maintenance and operation of any fire prevention organization created hereunder, and to pay any bonds issued by the fire districts created hereunder for the purpose of establishing fire prevention organizations.

Page 1305

(f) The fire prevention districts authorized hereby are hereby granted authority to issue bonds for the purpose of acquiring property of any kind, material, equipment and supplies required for fire prevention purposes. (g) Before any fire prevention district is created hereunder, the governing authority of Hall County shall designate the area to compose said district and establish the boundaries thereof. After said area is designated and boundaries established, the governing authority of Hall County shall submit to the voters in said proposed fire prevention district who are qualified to vote for members of the General Assembly the question of whether or not said district shall be created. A proposed fire protection district shall be created only when approved by a majority of the qualified voters voting in said election. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution to grant authority to Commissioners of Roads and Revenues of Hall County to district areas for fire protection purposes and to levy a tax to defray the cost of fire protection. Against ratification of amendment to the Constitution to grant authority to Commissioners of Roads and Revenues of Hall County to district areas for fire

Page 1306

protection purposes and to levy a tax to defray the cost of fire protection. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. CLARKE COUNTYPAVING OF STREETS ETC. OUTSIDE MUNICIPALITIES. Proposed Amendment to the Constitution. No. 164 (House Resolution No. 335-715). A Resolution. Proposing an amendment to the Constitution so as to provide for the paving of streets in Clarke County, and to authorize the cost thereof to be assessed against the property on each side of such streets; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article XI, Section I, Paragraph I of the Constitution, relating to counties and the boundaries thereof, is amended by adding at the end thereof the following: The governing authority of Clarke County is hereby authorized to provide for the construction and maintenance, which shall include paving of streets,

Page 1307

sidewalks or curbing, either one or a combination of two or more, in the urban areas of such county outside the corporate limits of any municipality located in such county, and to assess the cost thereof on a lineal foot basis against the abutting property owners. The governing authority is further authorized to provide for the issuance and enforcement of execution for the collection of such assessments, and for the creation of liens thereby against such abutting property. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the paving of streets in Clarke County and to authorize the cost thereof to be assessed against the property on each side of such streets. Against ratification of amendment to the Constitution so as to provide for the paving of streets in Clarke County and to authorize the cost thereof to be assessed against the property on each side of such streets. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification.

Page 1308

If such amendment shall be ratified as provided in said paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. CLARKE COUNTYSTORM SEWERS, STREET LIGHTS, ETC. OUTSIDE MUNICIPALITIES. Proposed Amendment to the Constitution. No. 165 (House Resolution No. 336-715). A Resolution. Proposing an amendment to the Constitution of the State of Georgia so as to authorize the Board of Commissioners of Roads and Revenues of Clarke County, Georgia, to establish districts for the purpose of building, erecting, establishing, maintaining and operating storm sewers and street lights, and a system of garbage collection within said county; to levy taxes and/or assessments or service charges for construction, maintenance and operation of same without exemptions and without regard to uniformity; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution of the State of Georgia of 1945, is amendment by adding a new paragraph thereto, which shall read as follows:

Page 1309

The Board of Commissioners of Roads and Revenues of Clarke County, Georgia, as the governing authority of said county, is hereby authorized and empowered to establish districts for the purpose of building, erecting, establishing, maintaining and operating within Clarke County; storm sewers for the removal and disposal of surface waters and streams; street lights and lamps for illumination of the public streets, roads, sidewalks and ways situated in said county; and a system of garbage collection; or for any of the foregoing. For the carrying out of the aforesaid powers and purposes, said Board of Commissioners shall be further authorized to levy a tax and/or special assessments on the full tax assessed value of all property in said districts without exemption for the aforesaid purposes or make service charges against all businesses and residents served by said facilities, or either of said facilities, as said Board of Commissioners shall deem necessary for the services rendered, all without regard for uniformity. The same shall be collected by the tax collectors of said county and may be enforced by the issuance of fi fas or executions for said charges in the same manner and with the same lien dignity and priority as fi fas or executions are issued for State and County taxes. Said Board shall also have authority to compel compliance with reasonable rules and regulations necessary for said services. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following:

Page 1310

For ratification of amendment to the Constitution so as to provide for the establishment, maintenance and operation of storm sewer, street light and garbage collection districts within Clarke County. Against ratification of amendment to the Constitution so as to provide for the establishment, maintenance and operation of storm sewer, street light and garbage collection districts within Clarke County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. CLARKE COUNTYBUILDING CODE, PERMITS, ETC. FOR AREA OUTSIDE MUNICIPALITIES. Proposed Amendment to the Constitution. No. 166 (House Resolution No. 337-715). A Resolution. Proposing an amendment to the Constitution so as to authorize the governing authority of Clarke County to issue and require building permits, to charge fees therefor, and to establish a building code; to prescribe the

Page 1311

procedure connected therewith; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article III, Section VIII, Paragraph XXIII of the Constitution, relating to zoning and planning laws, is amended by adding at the end thereof the following: The governing authority of Clarke County is hereby authorized to issue and require building permits for all buildings and structures which are to be constructed in Clarke County outside the corporate limits of any municipality, and to charge fees for such permits, which, in the discretion of the governing authority, shall not exceed the actual cost of any inspections which must be made relative to the issuance of such permits plus an amount which, in the discretion of the governing authority, should be charged to help defray the cost of the administration of this provision. The governing authority is further authorized to establish a building code governing all such construction, and to refuse building permits in cases where such construction does not conform with such code and cases where the governing authority, in its discretion, decides that the land upon which such construction is to be performed is unsatisfactory from a drainage or sanitary standpoint. The governing authority is hereby authorized to employ personnel to assist in carrying out the purposes of this provision, and is authorized to delegate to such personnel such of its duties as it seems advisable, except that the final decision as to whether the permit shall rest with the governing authority, rather than such personnel. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of

Page 1312

the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the governing authority of Clarke County to issue and require building permits, to charge fees therefor, and to establish a building code. Against ratification of amendment to the Constitution so as to authorize the governing authority of Clarke County to issue and require building permits, to charge fees therefor, and to establish a building code. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

Page 1313

CLARKE COUNTYLICENSE FEES, OCCUPATIONAL TAXES, ETC. IN AREA OUTSIDE MUNICIPALITIES. Proposed Amendment to the Constitution. No. 167 (House Resolution No. 338-715). A Resolution. Proposing an amendment to the Constitution of the State of Georgia, to empower the Board of Commissioners of Roads and Revenues of Clarke County, for regulatory and revenue purposes, and to assess and collect license fees and occupational taxes against any person, firm or corporation who may engage in any type of business, including the operation of taxicabs, in Clarke County outside of municipalities, with the right and power to classify businesses and assess different license fees and occupational taxes against different classes of business, and with the further power to the Board of Commissioners to exercise police powers within unincorporated areas over any businesses in the interest of the public welfare, health and security of the people of Clarke County, and to adopt rules and regulations to effectuate the powers herein granted and to enforce the payment of the license fees and taxes, and to provide that a violation of the rules and regulations may be punishable as a misdemeanor, and further, to provide that no enabling legislation by the General Assembly shall be necessary for the exercise of the powers herein granted, but that the General Assembly may at any time modify, alter, restrict, and limit the powers herein granted; to provide for submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I (Code 2-5701) of the Constitution of the State of Georgia is amended by adding thereto the following new paragraph, to-wit:

Page 1314

The Board of Commissioners of Roads and Revenues of Clarke County, Georgia, shall have the right and power, for regulatory and revenue purposes to levy, assess, and collect license fees and occupational taxes from any persons, firms or corporations (except those subject to regulation by the State Public Service Commission) who may maintain a place of business, including the operation of taxicabs, in any area of Clarke County outside the incorporated limits of municipalities; and in levying and assessing such license fees and occupational taxes the Board of Commissioners shall have the right and power to classify businesses and to assess different license fees and taxes against different classes of business. To provide for public welfare, health and security of the people of Clarke County, the Board of Commissioners of Roads and Revenues shall have the right to regulate and exercise police powers over any businesses operated within the unincorporated areas of said county (except those subject to regulation by the State Public Service Commission) and to prescribe such rules and regulations as may be necessary to effectuate the powers herein granted, including the right to enforce payment of the license fees and occupational taxes by the issuance and levy of executions, and to provide that a violation of any such regulations adopted by the Board of Commissioners of Roads and Revenues shall constitute a misdemeanor punishable upon conviction thereof as prescribed by the general laws of the State of Georgia. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment

Page 1315

shall have written or printed thereon the following: For ratification of amendment to Article VII, Section IV, Paragraph I of the Constitution authorizing the Board of Commissioners of Roads and Revenues of Clarke County to assess and collect license fees and occupational taxes upon businesses in Clarke County outside the incorporated limits of municipalities and to regulate same. Against ratification of amendment to Article VII, Section IV, Paragraph I of the Constitution authorizing the Board of Commissioners of Roads and Revenues of Clarke County to assess and collect license fees and occupational taxes upon businesses in Clarke County outside the incorporated limits of municipalities and to regulate same. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

Page 1316

CLARKE COUNTYORDINANCE MAKING AUTHORITY. Proposed Amendment to the Constitution. No. 168 (House Resolution No. 339-715). A Resolution. Proposing an amendment to the Constitution of the State of Georgia so as to authorize the General Assembly to empower the Commissioners of Roads and Revenues of Clarke County, Georgia, to enact ordinances for the policing and governing of said county and the enforcement of all duties and powers now or hereafter vested in said Board and to provide penalties for violation of such ordinances; to provide for the submission of this amendment for rejection or ratification; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article XI, Section I, Paragraph I of the Constitution of the State of Georgia of 1945 is amended by adding a new paragraph, which shall read as follows: The General Assembly of the State of Georgia is hereby authorized: 1. To empower the Board of Commissioners of Roads and Revenues of Clarke County, Georgia, to adopt ordinances or regulations for the governing and policing of said county for the purpose of protecting and preserving the health, safety, welfare and morals of the citizens thereof, of regulating the traffic on the streets, roads and highways thereof as it may deem advisable, not in conflict with the general laws of this State and of the United States, and for the implementation and enforcement of all duties and powers now or hereafter vested in said Board as the governing authority of Clarke County, Georgia, and to provide penalties for violations of such ordinances.

Page 1317

2. In the event any phrase, clause, paragraph, or portion thereof, of this amendment shall be adjudged invalid for any reason whatsoever, such adjudication shall in no manner affect the other phrases, clauses, paragraphs or portions of this amendment, which shall remain of full force and effect, as if the phrase, clause, paragraph, or portion thereof so adjudged invalid was not originally a part hereof. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution to provide for the adoption of ordinances for policing of Clarke County and enforcement of County ordinances. Against ratification of amendment to the Constitution to provide for the adoption of ordinances for policing of Clarke County and enforcement of County ordinances. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for

Page 1318

elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. COMMISSIONER OF AGRICULTURE EX OFFICIO MEMBER OF STATE BOARD OF REGENTS OF THE UNIVERSITY SYSTEM. Proposed Amendment to the Constitution. No. 171 (House Resolution No. 358-763). A Resolution. Proposing an amendment to the Constitution so as to provide that the Commissioner of Agriculture shall be ex officio a member of the Board of Regents; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section IV, Paragraph I of the Constitution relating to the Board of Regents of the University System is hereby amended by striking therefrom the words Said Board of Regents of the University System of Georgia shall consist of one member from each Congressional District in the State, and five additional members from the State-at-large, appointed by the Governor and confirmed by the Senate., and inserting in lieu thereof the words The Board of Regents of the University System of Georgia shall consist of the Commissioner of Agriculture, ex officio, one member from each Congressional District in the State, and additional members from the State-at-large, for a total of sixteen members. All members, except the ex officio member, shall be appointed by the Governor

Page 1319

and confirmed by the Senate., and by adding at the end thereof the words The provisions of this amendment shall be self-executing and shall become effective, and the ex officio member shall assume his duties, upon ratification., so that Article VIII, Section IV, Paragraph I of the Constitution as so amended shall read: Paragraph I. There shall be a Board of Regents of the University System of Georgia, and the government, control, and management of the University System of Georgia and all of its institutions in said system shall be vested in said Board of Regents of the University System of Georgia. The Board of Regents of the University System of Georgia shall consist of the Commissioner of Agriculture, ex officio, one member from each Congressional District in the State, and additional members from the State-at-large, for a total of sixteen members. All members, except the ex officio member, shall be appointed by the Governor and confirmed by the Senate. The Governor shall not be a member of the said Board. The first Board of Regents under this Constitution shall consist of those in office at the time this Constitution is adopted, with the terms provided by law. Thereafter all succeeding appointments shall be for seven year terms from the expiration of the previous term. Vacancies upon said Board caused by expiration of term of office shall be similarly filled by appointment and confirmation. In case of a vacancy on said Board by death, resignation of a member, or from any other cause other than the expiration of such member's term of office, the Board shall by secret ballot elect his successor, who shall hold office until the end of the next session of the General Assembly, or if the General Assembly be then in session to the end of that session. During such session of the General Assembly the Governor shall appoint the successor member of the Board for the unexpired term and shall submit his name to the Senate for confirmation. All members of the Board of Regents shall hold office until their successors are appointed. The said Board of Regents of the University System of Georgia shall have the powers and duties as provided by law existing at the time of

Page 1320

the adoption of this Constitution, together with such further powers and duties as may be hereafter provided by law. The provisions of this amendment shall be self-executing and shall become effective, and the ex officio member shall assume his duties, upon ratification. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide that the Commissioner of Agriculture shall be ex officio a member of the Board of Regents of the University System of Georgia. Against ratification of amendment to the Constitution so as to provide that the Commissioner of Agriculture shall be ex officio a member of the Board of Regents of the University System of Georgia. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it

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shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. BROOKS COUNTYMERGER OF BROOKS COUNTY AND CITY OF QUITMAN SCHOOL SYSTEMS. Proposed Amendment to the Constitution. No. 172 (House Resolution No. 368-801). A Resolution. Proposing to the qualified voters an amendment to Article VIII, Section V, Paragraph I of the Constitution of the State of Georgia, so as to provide for the merger of the existing independent school system of the City of Quitman and the existing school district of Brooks County lying outside the corporate limits of said city, into one school system coextensive with the limits of Brooks County; to provide for a Board of Education; to provide that the existing office of Brooks County School Superintendent shall cease to exist; to provide for the appointment of a school Superintendent by the Board of Education; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution of the State of Georgia is hereby amended by adding at the end thereof the following: The existing independent school system of the City of Quitman and the existing school district of Brooks County lying outside the corporate limits of the City of Quitman are merged hereby into one school system coextensive with the limits of Brooks County, which shall be known as the Brooks County School System.

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The existing independent school system of the City of Quitman and the existing school district of Brooks County lying outside the corporate limits of the City of Quitman shall cease to exist. Brooks County School System shall constitute a political subdivision of the State of Georgia separate from the political entities of the City of Quitman and Brooks County. Merged. New school district. Brooks County School System is authorized to incur bonded indebtedness for the purpose of constructing, erecting, enlarging, repairing, improving and equipping school buildings and facilities and for acquiring the necessary property therefor. Brooks County School System is vested with the power to conduct a system of public education throughout the limits of said County and with all powers and authority granted to public school systems and districts by the Constitution and laws of the State of Georgia. Educational districts. Brooks County shall be divided into six Education Districts as follows: Education District No. 1 shall include the area lying within the boundaries of Georgia Militia Districts #1230 (Dry Lake) and #1712 (Williams), as now organized. Education District No. 2 shall include the area lying within the boundaries of Georgia Militia District #659 (Nankin) and all of the area lying within the boundaries of Georgia Militia District #1199 (Quitman), as now organized, except that portion which lies within the corporate limits of the City of Quitman as now existing or later established. Education District No. 3 shall include the area lying within the boundaries of Georgia Militia Districts #1402 (Dixie), #1198 (Grooverville), #1412 (Hickory Head) and #1718 (Empress), as now organized. Education District No. 4 shall include the area lying within the boundaries of Georgia Militia Districts

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#1571 (Barney) and #790 (Tallokas), as now organized. Education District No. 5 shall include the area lying within the boundaries of Georgia Militia Districts #660 (Morven) and #1650 (Briggs), as now organized. Education District No. 6 shall include the area lying within the boundaries of the corporate limits of the City of Quitman as now existing or later established. The administration of Brooks County School System shall be vested in a Board to be known as Brooks County Board of Education. Said Board shall consist of seven members. One member shall reside in and be chosen from Education District No. 1; one member shall reside in and be chosen from Education District No. 2; one member shall reside in and be chosen from Education District No. 3; one member shall reside and be chosen from Education District No. 4; one member shall reside and be chosen from Education District No. 5; and two members shall reside in and be chosen from Education District No. 6. The members of said Board shall receive such compensation as is provided by law for members of county school boards, or $15 per month whichever amount is larger. Members. The persons serving as members of the existing Brooks County Board of Education on the 1st day of January, 1961, shall become members automatically of the new Brooks County Board of Education created by this amendment. The term of office of said members residing in Education Districts Nos. 4 and 5 shall expire on the last day of December, 1962. The term of office of said members residing in Education Districts Nos. 1, 2, and 3 shall expire on the last day of December, 1964. On the first Tuesday in December in the year 1960, an election shall be held for the purpose of electing

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two members of the new Brooks County Board of Education (created by this amendment) from Education District No. 6. The Ordinary of Brooks County, Georgia shall issue the call for such election within 5 days after the general election in the year 1960. Such members shall take office on the first day of January, 1961. The term of office of the member receiving the highest number of votes shall expire on the last day of December, 1964. The term of office of the other member shall expire on the last day of December, 1962. The candidates for such offices who desire that their names appear on the printed ballot shall file written notice of their candidacy with the Ordinary of Brooks County, Georgia at least 15 days before the date of such election. All of the voters in Brooks County who were qualified to vote in the general election in 1960 shall be eligible to vote in such election. The laws governing elections of members of the General Assembly of Georgia shall govern such election and future elections in so far as they are applicable. Election of members. Except in case of vacancies, the successor to each member of the new Brooks County Board of Education created by this amendment shall be elected in the year in which the term of office of said member will expire and at the same time and in the same manner as members of the General Assembly of Georgia are elected. Except in case of vacancies, the term of office of each member of said Board elected by the people at a general election shall be for four years beginning with the first day of January following his election. Each member of said Board shall serve until his successor is elected and qualified. Vacancies in the membership of said Board shall be filled by the remaining members of said Board. Successor members elected by the Board to fill vacancies shall serve until the next general election at which time a successor member shall be elected to fill the unexpired term. Vacancies. Any person offering as a candidate to represent an Education District on the Board must reside in the district from which he offers. No person shall be eligible

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for membership on the Board unless he has resided in the Education District from which he offers as a candidate for at least one year immediately preceding the date of the election. If any member of the Board shall change his residence from the Education District that he represents he shall no longer represent that District and a successor shall be elected as provided in this amendment. No person shall be eligible to hold office as a member of said Board who is not a freeholder in Brooks County, who is not of good moral character, or who is not qualified to vote for members of the General Assembly. In addition to the qualifications set forth in this amendment, no person shall be eligible to hold office as a member of said Board unless he has all of the other qualifications provided by law for county school board members not in conflict with those set forth in this amendment. The qualified voters of Brooks County shall be authorized to vote for the election of all members of said Board. Qualifications of members. The existing Brooks County Board of Education shall continue to manage and operate the school system under its jurisdiction through the last day of June, 1961 at which time said Board shall cease to exist. The existing Board of Education of the City of Quitman shall continue to manage and operate the school system under its jurisdiction through the last day of June, 1961 at which time said Board shall cease to exist. From the first day of January, 1961, through the last day of June, 1961, the new Brooks County Board of Education created by this amendment shall have power and authority to do any and all acts which may be necessary or proper in preparation for the operation of a merged school system from and after the last day of June, 1961. The new Brooks County Board of Education created by this amendment shall operate a school system coextensive with the limits of Brooks County from and after the last day of June, 1961. Existing Board abolished. The City of Quitman and Brooks County are authorized to make appropriations for educational purposes

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from their general funds to the new Brooks County School System created by this amendment. Funds. The new Brooks County School System created by this amendment shall have the power of eminent domain with all the remedies to execute such power provided in the Constitution and laws of Georgia. Eminent domain. The property of the independent school system of the City of Quitman and the property of the school district of Brooks County lying outside the corporate limits of the City of Quitman shall become the property of the new Brooks County School System created by this amendment. Property. The new Brooks County School System created by this amendment shall have the right and authority to incur indebtedness, not in conflict with the Constitution of the State of Georgia; the right to contract and be contracted with; to sue and be sued; and to do all and every act or acts necessary for the proper maintenance of a comprehensive school system throughout the limits of Brooks County and to effectuate the purposes of this amendment. Nothing however in this amendment nor in any act or acts of the General Assembly shall waive the governmental immunity of the new Brooks County School System created by this amendment. Debt. The existing Brooks County School Superintendent shall serve as Superintendent of the new Brooks County School System created by this amendment through the last day of June, 1962. From and after the last day of June, 1962, the term of office of the existing Brooks County School Superintendent shall cease to exist and the voters of Brooks County shall no longer elect a County School Superintendent. Brooks County Board of Education shall appoint a Superintendent for such period of time as said Board shall deem advisable. Such Superintendent shall have such qualifications as shall be fixed by law and said Board, except that it shall not be necessary for said Superintendent to be

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a resident of Brooks County or the State of Georgia at the time of his appointment. If a vacancy occurs in the existing office of Brooks County School Superintendent during the period from the first day of January, 1961, through the last day of June, 1962, the new Brooks County Board of Education created by this amendment shall have authority to fill said vacancy by the appointment of a Superintendent qualified under the provisions of this amendment. Superintendent. Specifications of certain powers herein is not intended to be exclusive, it being the intention hereof that all powers hereby granted to the new Brooks County Board of Education created by this amendment, and all powers to be granted to said school system by the General Assembly pursuant to this amendment are to be liberally construed so as to effectuate the general purposes of establishing and maintaining a comprehensive system of public education through the limits of Brooks County. Intent. The powers hereby granted to the new Brooks County School System created by this amendment and the powers to be granted to said school system by the General Assembly pursuant to this amendment shall exist notwithstanding other provisions of this Constitution or any general or special laws of the State of Georgia. The new Brooks County School System created by this amendment assumes all debts, contracts and other obligations of the Board of Education of the City of Quitman and of the existing Brooks County Board of Education. Existing debts. The General Assembly is authorized to pass such laws as may be necessary or desirable to the operations, conduct and control of the new Brooks County School System created by this amendment and its fiscal affairs which are not in conflict with this amendment. The General Assembly may from time to time

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enact special acts amending any Act or Acts enacted pursuant to this amendment. General Assembly. The provisions of this amendment shall be self executing and shall not require enabling legislation by the General Assembly before they become effective. Intent. The merger of the existing two school systems in Brooks County shall take place at the end of the last day of June, 1961. Merger. Section 2. If the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for the merging of the existing independent school system of the City of Quitman and existing school district of Brooks County lying outside the corporate limits of said City into one school system coextensive with the limits of said County; and so as to provide for the termination of the term of office of the present County School Superintendent and the appointment of a School Superintendent by a Board of Education elected by the people. Against ratification of amendment to the Constitution, so as to provide for the merging of the existing independent school system of the City of Quitman and existing school district of Brooks County lying outside the corporate limits of said City into one school system coextensive with the limits of said County; and

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so as to provide for the termination of the term of office of the present County School Superintendent and the appointment of a School Superintendent by a Board of Education elected by the people. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. THOMASVILLE PAYROLL DEVELOPMENT AUTHORITY. Proposed Amendment to the Constitution. No. 175 (House Resolution No. 377-825). A Resolution. Proposing an amendment to the Constituntion of the State of Georgia so as to create a body corporate and politic and an instrumentality of the City of Thomasville to be known as the Thomasville Payroll Development Authority; to provide the manner in which the name of such Authority may be changed; to provide its scope and jurisdiction to include all the territory embraced within the limits of Thomas County; to provide the purposes, duties, control, powers, organization,

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authority, funds and procedures of said Authority; to provide for the duties and powers of the City of Thomasville with respect to said Authority, to provide for the issuing of revenue anticipation certificates under the provision of the Revenue Certificate Law of 1937 as amended, and for the validation of such certificates; to authorize and empower the City of Thomasville to levy and collect an annual ad valorem tax for the purpose of developing and promoting industry within the City of Thomasville and the County of Thomas and to pay-over all funds derived from the levy of such taxes to the said Authority; to limit the amount of taxes that can be so levied for such purpose; to declare that the corporation of said Authority is for a public purpose; to provide that all property of said Authority, all bonds, revenue-anticipation certificates and other evidences of indebtedness of said Authority and the income paid therefrom shall be exempt from taxation; to repeal conflicting laws; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: A. There is hereby created a body corporate and politic to be known as the Thomasville Payroll Development Authority; which shall be deemed to be an instrumentality of the City of Thomasville and a public corporation, and in that name, style and title said body may contract and be contracted with, sue and be sued, plead and be interpleaded, and complain and defend in all courts of law and equity. In the event the name of said Authority shall ever become the subject of change same may be accomplished by an Act of the General Assembly. Created. B. The said Authority is created for the purpose of expanding and developing industry in the City of

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Thomasville and County of Thomas and for improving the general welfare of said county. Purpose. C. The said Authority shall consist of five (5) members, one of whom shall be the Mayor of the City of Thomasville; one of whom shall be the Chairman of the Board of Commissioners of Roads and Revenues of Thomas County; one of whom shall be the President of the Thomasville-Thomas County Chamber of Commerce; the remaining two members shall be appointed by the Commissioners of the City of Thomasville. Members. (1) The terms of office of the members representing the Mayor of the City of Thomasville, the Chairman of the Board of Commissioners of Roads and Revenues of Thomas County, and the President of the Thomasville-Thomas County Chamber of Commerce, shall run concurrently with their tenure of office, and their successor in such respective offices shall succeed them as members of the said Authority. Terms. (2) The term of office as a member of the Authority with respect to the two remaining members shall be three years and until their successor is elected and qualifies. In case of a vacancy the Commissioners of the City of Thomasville shall elect a successor whose term shall be for three years, and until his successor is elected and qualifies. Same. (3) Upon election or qualifying by virtue of holding the office of Mayor of the City of Thomasville, President of the Thomasville-Thomas County Chamber of Commerce or Chairman of the Board of Commissioners of Roads and Revenues of Thomas County the members shall subscribe to the following oath which shall be filed in the office of the Clerk of the City of Thomasville, to-wit: I do solemnly swear that I will fully and fairly perform the duties as a member of the Thomasville Payroll Development Authority without remuneration, So Help Me God. Oath.

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(4) In the event the Mayor of the City of Thomasville, The President of the Thomasville-Thomas County Chamber of Commerce or the Chairman of the Board of Commissioners of Roads and Revenues of Thomas County shall resign as a member of said authority during their term of office, or fail and refuse to qualify and take the prescribed oath, then there shall be deemed a vacancy which may be filled by the Commissioners of the City of Thomasville by election of a member whose term shall run concurrently with the term of office of such official refusing to qualify and serve. Vacancies. (5) The members of the said Authority shall be entitled to no compensation. Compensation. D. As used herein, the following words and terms shall have the following meanings, unless a different meaning clearly appears from the context: (1) The word Authority shall mean the Thomasville Payroll Development Authority, created hereby. (2) The word Project shall be deemed to mean and include the acquisition of lands, properties and improvements for development, expansion and promotion of jobs and payrolls in industry, commerce, agriculture and natural resources; the construction of buildings and plants or the acquisition of equipment for the purpose of selling, leasing or renting such structures or equipment to private persons, firms or corporations. (3) The term cost of project shall embrace the cost of construction, cost of lands, properties, easements, rights and franchises acquired, the cost of machinery and equipment, financing charges, interest prior to and during construction, architectural and legal expenses, and plans and specifications and other expenses necessary or incident to determining the feasibility or practicability of the project, administrative expenses, and such other expenses as may be necessary

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or incident to the financing herein authorized, the construction of any project and placing the same in operation; provided, however, that in no event shall entertainment or promotional expenses be considered a part of the cost of any project. Definitions. E. The County of Thomas and the City of Thomasville are expressly authorized to enter into contracts with the Authority as a public corporation. Contracts. F. Any three (3) members shall constitute a quorum for the transaction of ordinary business of the Authority; however, any action with respect to any project of the Authority must be approved by not less than three (3) affirmative votes. Quorum. G. The powers of the Authority herein created shall include, but not limited to, the power: (1) To have a seal and alter the same at pleasure. (2) To contract and be contracted with, sue and be sued, implead or be impleaded, and complain and defend in all courts of law and equity, to contract with the City of Thomasville and the County of Thomas, and other municipalities and other political subdivisions and with private persons and corporations. (3) To acquire, hold, and dispose of personal property, including the stock of other corporations, for its corporate purposes. Powers. (4) To buy, acquire, receive as gifts, improve, own, operate, maintain, sell, lease as lessor and lessee, and mortgage as well as execute deeds to secure debt to and for land, buildings, and property of all kinds within the County of Thomas. (5) To enter into contracts for periods of time not in excess of one hundred (100) years. (6) To acquire in its own name by purchase on such

Page 1334

terms and conditions, and in such manner as it may deem proper, or by condemnation in accordance with the provisions of any and all existing laws applicable to the condemnation of property for public use, real property or rights of easement therein or franchises necessary or convenient for its corporate purposes, and to use the same so long as its corporate existence shall continue and to lease or make contracts with respect to the use of or dispose of the same in any manner it deems to the best advantage of the Authority, the Authority being under no obligation to accept and pay for any property condemned under the authority hereby granted except from funds provided under the authority hereby granted, and in any proceedings to condemn, such orders may be made by the court having jurisdiction of the suit, action or proceeding as may be just to the Authority and to the owners of the property to be condemned. If the Authority shall deem it expedient to construct any project or use any project already constructed on lands, the title to which shall be in the County of Thomas and/or the City of Thomasville, the governing authorities of the County of Thomas and the City of Thomasville are authorized in their discretion to convey title to such lands, including any improvements thereon, to the Authority. (7) To encourage and promote the expansion of industry, trade, agriculture, commerce and recreation in the City of Thomasville, County of Thomas, and to make a long range plan therefor. (8) To appoint and select officers, agents, and employees, including engineering, architectural and construction experts, fiscal agents and attorneys, and to fix their compensation. (9) To make contracts, and to execute all instruments necessary or convenient, including contracts for construction of projects, and leases, and rental and sale of projects, or contracts with respect to the use of projects, which it erects or acquires.

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(10) To construct, erect, acquire, own repair, remodel, maintain, extend, improve, sell, equip, expand, add to, operate and manage projects and to pay the costs of any such project from the proceeds of revenue-anticipation certificates or bonds or any other income of the Authority, or from any contribution or loans by persons, firms, or corporations, all of which the Authority is hereby authorized to receive and accept and use. (11) To elect its own officers from the membership of the Authority; to elect an executive director who is not required to be a member of the Authority; and to authorize and empower such officers to act for the Authority generally or in any specific matter. (12) To issue revenue-anticipation certificates for the purpose of paying all or any part of the cost of any project of the Authority. To exercise all of the rights, powers and privileges and be subject to the same liabilities as a municipality under the provisions of the Revenue Certificate Law of 1937 (Ga. L. 1937, pp. 761-774), and as subsequently amended, with reference to the issuance of such revenue-anticipation certificates and validation of same insofar as such pertain to the corporate purposes of the Authority. (13) To borrow money for any of its corporate purposes and to issue negotiable revenue bonds payable solely from funds or property pledged for that purpose, and to provide for the payment of the same and for the rights of the holders thereof. (14) To use the rents, profits and proceeds from the projects erected, leased or sold, to provide maintenance for such projects, and to discharge the principal and interest of revenue bonds or certificates issued by the Authority. (15) To borrow money for any of its corporate purposes and to execute debentures, bonds, notes, mortgages, deeds to secure debt, trust deeds and other such

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instruments as may be necessary or convenient to evidence and secure such borrowing. (16) To do all things within its powers to encourage industrial growth and agricultural development in Thomas County, and to encourage the location of new industries in said county. (17) To exercise any power granted by the laws of the State of Georgia to public or private corporations performing similar functions, which is not in conflict with the Constitution and laws of this State. (18) To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested. (19) To receive and administer gifts, grants and donations and to administer trusts. (20) To do all things necessary and convenient to carry out the powers expressly conferred by this Resolution upon the Authority. (21) To adopt, alter or repeal its own by-laws, rules and regulations governing the manner in which its business may be transacted and in which the power granted to it may be enjoyed, as the Authority may deem necessary or expedient in facilitating its business. H. The City of Thomasville is hereby authorized to levy and collect an annual ad valorem tax not to exceed one (1) mill for developing and promoting industry and agriculture, and is hereby directed to pay the Authority all funds derived from such levy to be used for the purposes provided herein. Tax. I. It shall be the duty of the Authority to have all persons handling funds of the Authority fully and adequately bonded for their faithful accounting for such funds. Bonds.

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J. The Authority shall not be allowed to create in any manner any debt, liability or operation, against the City of Thomasville, the State of Georgia, nor Thomas County. Debt. K. The property, obligations and interest on the obligations of the Authority shall have the same exemptions from taxation as the property, obligations and interest on the obligations of the City of Thomasville. Property exempt from taxation. L. The exemptions from taxation herein provided shall not extend to tenants nor lessees of the Authority; and shall not include exemptions from sale and use taxes on property purchased by the Authority or for use by the Authority. Extent of exemption. M. All projects of the Authority shall be on a self-liquidating basis, and the Authority shall not make gifts, directly or indirectly, to any persons, firm or corporation. Projects. N. Should said Authority for any reason be dissolved, title to all property of every kind and nature, real and personal, held by the Authority at the time of such dissolution, shall revert to the City of Thomasville subject to any mortgages, liens, leases or other encumbrances outstanding against or in respect to said property. Title to property if Authority abolished. O. The books and records of the Authority shall be audited at least annually, at the expense of the Authority, by a competent independent auditor; and a copy of the same shall be filed with the Clerk of the City of Thomasville, and shall be available for public inspection; the City of Thomasville may at any time, at its own expense, have such books and records audited. Audits. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two

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branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, the Governor is hereby authorized and instructed to cause such proposed amendment to be published as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. Such proposed amendment shall be submitted as provided in said paragraph. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Constitution so as to create the Thomasville Payroll Development Authority and to provide for powers, authority, funds, purposes and procedures connected therewith. Against ratification of amendment to Constitution so as to create the Thomasville Payroll Development Authority and to provide for powers, authority, funds, purposes and procedures connected therewith. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the same to the Governor who shall issue his proclamation thereon. Approved March 17, 1960.

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STEWART COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 176 (House Resolution No. 378-825). A Resolution. Proposing to the qualified voters of Stewart County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Stewart County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Stewart County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full.

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The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761), as amended, Code Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Stewart County to issue revenue bonds for the purchase,

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construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Stewart County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said County qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. EARLY COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 177 (House Resolution No. 385-877). A Resolution. Proposing to the qualified voters of Early County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Early County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby

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amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Early County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code, Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued

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thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Early County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Early County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960.

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SAVANNAH TRANSIT AUTHORITY. Proposed Amendment to the Constitution. No. 178 (House Resolution No. 391-905). A Resolution. Proposing an amendment to the Constitution so as to create the Savannah Transit Authority; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph I of the Constitution, as amended, is amended by inserting at the end thereof the following: The public corporation named and known as the Savannah Transit Authority heretofore created by Act of the General Assembly of Georgia is hereby recognized to be and is hereby created a constitutional body, corporate and politic, serving the public good within the territory embraced by Chatham County, the Port District of Savannah and the municipalities and political subdivisions lying within said territory. Said Authority is created for the purpose of fostering and assuring the development of a mass rapid transit system within its territory. Purpose. All property of said authority and the securities issued by it shall be exempt from taxation and it shall have, in addition to the duties, powers, privileges, exemptions and immunities customarily possessed by public corporations, such other and further duties, powers, privileges, exemptions and immunities as have been and may be from time to time conferred upon it by the General Assembly, except that said authority shall not be empowered to obligate the State of Georgia, or any county, municipality, political subdivision

Page 1345

or public body of the State to pay any of its debts; said authority shall be authorized to receive and to use for its public purposes any grant or use of money, right, power, privilege, exemption or immunity which said State or any state, county, city, or other political subdivision or public body may be appropriate and lawful action confer upon it. Properties exempt from taxation. Powers. Said authority shall consist of not less than five nor more than seven members, who shall be or have been appointed as provided by law, to serve for periods of not less than one year nor more than five years. Said Authority shall appoint a chairman, a secretary, and a treasurer and may appoint such other officers as may be provided for by law. A majority of the members appointed and serving shall constitute a quorum. Members, quorum, etc. Members shall be resident in Chatham County and shall be eligible to serve and to be reappointed to serve during such residency, except that no person shall be eligible for membership who at the time of the approval of this amendment or at any time within one year prior to such approval, holds or shall have held any remunerative public office or position of employment for compensation (except as an independent contractor), with the United States, the State of Georgia, or any political subdivision of either, and no member later appointed shall be eligible to serve who has held any such remunerative office, position or employment within one year prior to his appointment or who holds such an office, position or employment at the time of his appointment or who accepts the same during the term to which he is appointed. Members. Section 2. When the above proposed amendments to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article

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XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to create the Savannah Transit Authority. Against ratification of amendment to the Constitution so as to create the Savannah Transit Authority. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

Page 1347

COMPENSATION OF MEMBERS OF GENERAL ASSEMBLY. Proposed Amendment to the Constitution. No. 179 (House Resolution No. 394-905). A Resolution. Proposing an amendment to the Constitution so as to provide for an annual salary, expense and mileage of Members of the General Assembly; to provide for submission of this amendment for rejection or ratification; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article III, Section IX, Paragraph I of the Constitution is hereby amended by striking said paragraph in its entirety and inserting in lieu thereof a new paragraph, which reads as follows: Paragraph I.Salary, Expenses and mileage. The members of the General Assembly shall be paid an annual salary and a per diem expense allowance for each calendar day they are in session in such amounts as shall be set by statutory enactment of the General Assembly. Provided, however, that the salary and expense allowances set by action of the 1961 regular session of the General Assembly shall only be changed so as to apply to the succeeding General Assembly following passage of such change. Members serving on interim committees shall receive actual expense only for services on such committees. The members of the General Assembly shall receive ten (10) cents per mile for travel to and from their home and the Capitol. The members shall receive no compensation other than as provided in this Constitution for their services as members of the General Assembly; provided, however, the Speaker of the House of Representatives shall receive twelve ($1,200.00) hundred dollars per annum in addition to the regular salary and per diem, as an extra expense allowance.

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Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been enetered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for Salary, Expense and Mileage of the Members of the General Assembly. Against ratification of amendment to the Constitution so as to provide for Salary, Expense and Mileage of the Members of the General Assembly. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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LEE COUNTYBONDS TO AID INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 182 (House Resolution No. 407-912). A Resolution. Proposing to the qualified voters of Lee County an amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Lee County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia of 1945, is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Lee County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, building, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by revenue of such undertaking shall have been paid in full.

Page 1350

The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of the Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761), as amended, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Lee County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce.

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Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Lee County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. WARE COUNTYAUTHORITY TO LICENSE AND REGULATE BUSINESSES OUTSIDE CITY OF WAYCROSS. Proposed Amendment to the Constitution. No. 183 (House Resolution No. 408-912). A Resolution. Proposing an amendment to the Constitution of the State of Georgia, to empower the Board of County Commissioners of Ware County, for regulatory and revenue purposes, and to assess and collect license fees and occupational taxes against any person, firm or corporation who may engage in any type of business in Ware County outside of the incorporated limits of Waycross, with the right and power to classify businesses and assess different license fees and occupational taxes against different classes of business, and with the further power to the Commissioners to exercise police powers in the County, outside the incorporated

Page 1352

limits of Waycross over any businesses in the interest of the public welfare, health and security of the people of Ware County, and to adopt rules and regulations to effectuate the powers herein granted and to enforce the payment of the license fees and taxes, and to provide that a violation of the rules and regulations may be punishable as a misdemeanor, and further, to provide that no enabling legislation by the General Assembly shall be necessary for the exercise of the powers herein granted, but that the General Assembly may at any time modify, alter, restrict, and limit the powers herein granted; to provide for submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I (Code 2-5701) of the Constitution of the State of Georgia is amended by adding thereto the following new paragraph, to wit: The Board of County Commissioners of Ware County, Georgia, shall have the right and power, for regulatory and revenue purposes to levy, assess, and collect license fees and occupational taxes from any persons, firms or corporations (except those subject to regulation by the State Public Service Commission) who may maintain a place of business in any area of Ware County outside the incorporated limits of Waycross; and in levying and assessing such license fees and occupational taxes the Commissioners shall have the right and power to classify businesses and to assess different license fees and taxes against different classes of businesses. To provide for public welfare, health and security of the people of Ware County, the Board of County Commissioners shall have the right to regulate and exercise police powers over any businesses operated in the County outside the incorporated limits of said County (except those subject to regulation by the State Public Service Commission) and to prescribe such rules and regulations as may be necessary

Page 1353

to effectuate the powers herein granted, including the right to enforce payment of the license fees and occupational taxes by the issuance and levy of executions, and to provide that a violation of any such regulations adopted by the Board of County Commissioners shall constitute a misdemeanor punishable upon conviction thereof as prescribed by the general laws of the State of Georgia. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section IV, Paragraph I of the Constitution authorizing the Board of County Commissioners of Ware County to assess and collect license fees and occupational taxes upon businesses in Ware County outside the incorporated limits of Waycross and to regulate same. Against ratification of amendment to Article VII, Section IV, Paragraph I of the Constitution authorizing the Board of County Commissioners of Ware County to assess and collect license fees and occupational taxes upon businesses in Ware County outside the incorporated limits of Waycross and to regulate same. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification.

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If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. CLAY COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 184 (House Resolution No. 410-912). A Resolution. Proposing to the qualified voters of Clay County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Clay County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section I. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Clay County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any

Page 1355

industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof, and to provide funds for the construction, maintenance and operation of an electrical system in Clay County. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all time be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code, Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section II. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds

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of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Clay County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Clay County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960.

Page 1357

WHITFIELD COUNTYFIRE DISTRICTS. Proposed Amendment to the Constitution. No. 185 (House Resolution No. 412-931). A Resolution. Proposing an amendment to Article VII, Section IV, Paragraph II, of the Constitution of Georgia so as to provide for the establishment of Fire Prevention District in Whitfield County outside municipalities; to provide for the levy of a tax to defray the cost of fire protection for the fire district; to provide for the issuance of bonds; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph II, of the Constitution of Georgia, relating to Districting of Counties is hereby amended by adding at the end thereof a new paragraph properly numbered, and to to read as follows: The governing authority of the County of Whitfield is hereby given power and authority to create, establish, maintain and administer within the County of Whitfield, outside municipalities in said county, districts for fire protection, and to establish and administer district systems of fire protection; to construct, maintain and operate any water system or water mains and fire hydrants necessary or incidental thereto, and to acquire and maintain fire fighting equipment and facilities for housing same; to contract with municipal corporations to furnish fire protection in said districts; and to levy taxes therefor on all property in said districts upon the vote of a majority of the qualified voters in said district voting at the special election to be called by the Ordinary of said county and to be held in said district upon said question; provided, that such taxes shall not exceed five mills upon valuation of the property located in any

Page 1358

such district. In event bonds are issued by the county for a specific district, a tax may be levied therein unlimited as to rate or amount. Bonds may be issued for such purposes, and if issued, shall be authorized in all respects as provided in Article VII, Section VII, Paragraph I of the Constitution at an election called and held by the governing authority or body charged with the duty of managing the fiscal affairs of Whitfield County, and only those voters residing in such district shall participate in such election held for that purpose. Any other provision in this Constitution to the contrary notwithstanding, any such district may issue bonds in any amount up to ten percent of the assessed valuation of property located therein subject to taxation and for bond purposes. Provided further, that the homestead exemption granted by Article VII, Section I, Paragraph IV, of the Constitution and the statutes enacted pursuant thereto, shall not be granted and shall not apply to the levy of taxes herein authorized and provided for, either for operation and maintenance of the system or for debt service. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays, taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the creation of fire protection districts in Whitfield County and the levying of taxes and issuance of bonds related thereto. Against ratification of amendment to the Constitution so as to authorize the creation of fire protection

Page 1359

districts in Whitfield County and the levying of taxes and issuance of bonds related thereto. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor who shall, if such amendment be ratified, make proclamation thereof. Approved March 17, 1960. VALDOSTA-LOWNDES COUNTY INDUSTRIAL AUTHORITY. Proposed Amendment to the Constitution. No. 186 (House Resolution No. 414-931). A Resolution. Proposing an amendment to the Constitution of the State of Georgia so as to create the Valdosta-Lowndes County Industrial Authority; to provide for powers, authority, funds, purposes and procedures connected therewith; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph 1 of the Constitution of the State of Georgia is hereby amended by adding at the end thereof the following:

Page 1360

A. There is hereby created a body corporate and politic in the County of Lowndes and the City of Valdosta, to be known as the Valdosta-Lowndes County Industrial Authority and to be hereafter in this amendment referred to as the `Authority', for the purpose of expanding and developing industry and agriculture in the City of Valdosta and the County of Lowndes and for improving the general welfare of the people of said County. The Authority herein created shall be a public corporation and an instrumentality of the County of Lowndes and the City of Valdosta. Created. B. The Authority shall consists of five members as follows: Two members shall be appointed by the Mayor and Council of the City of Valdosta; two members shall be appointed by the Commissioners of Roads and Revenues of Lowndes County, and a fifth member shall be appointed by the joint and concurrent action of the Mayor and Council of the City of Valdosta and the Commissioners of Roads and Revenues of Lowndes County, and the respective terms of the members shall begin as follows: Members. 1. The first member appointed by the City of Valdosta shall be appointed for a term of one (1) years; Terms. 2. The first member appointed by the Lowndes County Commissioners shall be appointed for a term of two (2) years; 3. The member appointed by the joint action of the City of Valdosta and the Lowndes County Commissioners shall be appointed for a term of three (3) years; 4. The second member appointed by the Lowndes County Commissioners shall be appointed for a term of four (4) years; 5. The second member appointed by the City of Valdosta shall be appointed for a term of five (5) years;

Page 1361

and thereafter upon the expiration of such terms, successors shall be appointed for a term of five years by the political body who appointed the member whose term is expiring. All members who have served on said Authority shall be eligible for re-appointment to succeed themselves if they are re-appointed by said political subdivisions. Should any member resign, or be unable to serve, or move beyond the boundary of Lowndes County, his successor shall be appointed to serve his remaining term by the political subdivision who originally appointed the member being removed. Section 2. The powers of the Authority herein created shall include but shall not be limited to, the power: A. To contract and be contracted with, sue and be sued, implead or be impleaded, and complain and defend in all courts of law and equity, to contract with the City of Valdosta, other municipalities and other political subdivisions and with private persons and corporations; Powers. B. To buy, acquire, develop, improve, own, operate, maintain, sell, lease as Lessor and Lessee, and mortgage land, buildings and property of all kinds within the County of Lowndes. C To grant, loan and lease without adequate consideration or without any consideration and with and without security, any of its funds and property to private persons and corporations operating or proposing to operate any industrial plant or establishment within the County of Lowndes or at any place within Lowndes County. The provisions of this clause shall not be construed to limit any other power of the Authority. D. To borrow money and to issue Revenue anticipation bonds, and notes therefor and to sell, convey, mortgage, pledge and assign any and all of its funds,

Page 1362

property, income and/or anticipated tax revenue as security therefor; E. To acquire in its own name by purchase on such terms and conditions, and in such manner as it may deem proper, or by condemnation in accordance with the provisions of any and all existing laws applicable to the condemnation of property for public use, real property or rights of easement therein or franchises necessary or convenient for its corporate purposes, and to use the same so long as its corporate existence shall continue and to lease or make contracts with respect to the use of or dispose of the same in any manner it deems to the best advantage of the authority, the authority being under no obligation to accept and pay for any property condemned under the Authority of this Act except from funds provided under the authority of this Act, and in any proceedings to condemn, such orders may be made by the court having jurisdiction of the suit, action or proceeding as may be just to the authority and to the owners of the property to be condemned. F. To encourage and promote the expansion of industry, agriculture, trade, commerce and recreation in the City of Valdosta, County of Lowndes, and to make long range plans therefor. G. To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested; H. To elect its own officers from the membership of said Authority and to authorize and empower such officers to act for the authority generally or any specific matter; I. To appoint and select officers, agents, and employees, including engineering, architectual and construction experts, fiscal agents and attorneys and fix their compensation, and to adopt and amend a corporate

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seal and by-laws and regulations for the conduct and management of the Authority; J. To construct, erect, acquire, own, repair, remodel, maintain, add to, extend, equip and sell any project, to be located on property owned by or leased by the authority, the cost of such project to be paid in whole or in part from the proceeds of the revenue bonds or certificates of the authority, or, in whole or in part, from tax revenue; K. To exercise all the powers, rights and privileges of and be subject to the same liabilities as a municipality under the provisions of the Revenue Bond Law (Ga. Laws 1937, p. 761; 1957, p. 36); with reference to the issuance of revenue anticipation bonds in so far as such pertain to the corporate purposes of the Authority; L. To borrow money for any of its corporate purposes and to issue negotiable revenue bonds payable solely from funds, anticipated tax or other revenue, or property pledged for that purpose, and to provide for the payment of the same and for the rights of the holders thereof; M. To use the rents, profits and proceeds from the projects erected, leased or sold, or any other funds or revenue to provide maintenance for such projects, and to discharge the principal and interest of revenue bonds issued by the authority; N. To do all things within its powers to encourage the industrial and agricultural development of Lowndes County, and to encourage the location of new industries in said county; O. To exercise any power usually possessed by private corporations performing similar functions, which is not in conflict with the Constitution and laws of this State.

Page 1364

P. To do all things necessary and convenient to carry out the powers expressly given in this Act. Q. To receive and administer gifts, grants and donations and to administer trusts. Section 3. The City of Valdosta is hereby authorized to levy and collect an annual ad valorem tax not to exceed two (2) mills for developing and promoting industry and agriculture, and is hereby directed to pay the Authority all funds derived from such levy to be used for the purposes provided herein. The County of Lowndes is hereby authorized to levy and collect an annual ad valorem tax not to exceed two (2) mills for developing and promoting industry and agriculture, and is hereby directed to pay to the Authority all funds derived from such levy to be used for the purposes provided herein. Taxes. Section 4. The Authority shall not be allowed to create in any manner any debt, liability or operation, against the City of Valdosta, the State of Georgia, nor Lowndes County. Debt. Section 5. The property, obligations and the interest on the obligations of the Authority shall have the same exemptions from taxation as the property, obligations and interest on the obligations of the City of Valdosta and Lowndes County. Property exempt from taxation, limitation. The exemptions from taxation herein provided shall not extend to tenants nor lessees of the Authority. The right of any private person to use or occupy any real estate of the Authority for a period of five years or longer under any lease or other agreement for the purposes of taxation shall be classed as an interest in the real estate and as real property and shall be taxed as real property as now provided by law, or may be taxed as the General Assembly may hereafter provide by general or local law. Section 6. When the above proposed amendment

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to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, the Governor is hereby authorized and instructed to cause such proposed amendment to be published as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. Such proposed amendment shall be submitted as provided in said paragraph. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Constitution so as to create the Valdosta-Lowndes County Industrial Authority and to provide for powers, authority, funds, purposes and procedures connected therewith. Against ratification of amendment to Constitution so as to create the Valdosta-Lowndes County Industrial Authority and to provide for powers, authority, funds, purposes and procedures connected therewith. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the Election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the same to the Governor who shall issue his proclamation thereon. Approved March 17, 1960.

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COUNTIES AUTHORIZED TO SECURE LIABILITY INSURANCE. Proposed Amendment to the Constitution. No. 187 (House Resolution No. 416-941). A. Resolution. Proposing an amendment to the Constitution so as to authorize counties to purchase liability insurance; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VI, of the Constitution is hereby amended by adding a new Paragraph, to be known as Paragraph III, to read as follows: Paragraph III. The governing authority of each county is hereby authorized in its discretion to purchase liability insurance to cover damages on account of bodily injury or death to any person or damage to property of any person arising by reason of ownership, maintenance, operation or use of any motor vehicle by such county, whether as a result of a governmental undertaking or not, and to pay premiums therefor. The governing authority is hereby authorized to levy a tax for such purpose. In the event of purchasing such insurance, the governmental immunity of the county shall be waived to the extent of the amount of insurance so purchased. Neither the county nor the insurer shall be entitled to plead governmental immunity as a defense and may make only such defenses as could be made if the insured were a private person. The county shall be liable only for damages suffered while said insurance is in force. No attempt shall be made in the trial of any action brought against the county to suggest the existence of any insurance which covers in whole or in part, any judgment or award which may be rendered in favor of the plaintiff. If

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the verdict rendered by the jury exceeds the limitation of the insurance, the court shall reduce the amount to a sum equal to the applicable limitations stated in the policy. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize counties to purchase liability insurance. Against ratification of amendment to the Constitution so as to authorize counties to purchase liability insurance. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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DECATUR COUNTYBONDS TO AID INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 189 (House Resolution No. 426-974). A Resolution. Proposing to the qualified voters of Decatur County an amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Decatur County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia of 1945, is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Decatur County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, building, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by revenue of such undertaking shall have been paid in full.

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The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of the Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligations such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761), as amended, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Decatur County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce.

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Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Decatur County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. RICHMOND COUNTYAUTHORITY TO GENERAL ASSEMBLY. Proposed Amendment to the Constitution. No. 191 (House Resolution No. 435-997). A Resolution. Proposing an amendment to the Constitution, so to provide that the General Assembly shall have the power, by legislation, to create, designate, vest powers and duties, set terms and compensation, establish functions, combine and consolidate municipal and county public agencies, departments, boards, bureaus, commissions, and governing authorities within Richmond County; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article XI, Section I, of the Constitution, relating to counties and municipal corporation, is hereby

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amended by adding a new Paragraph to said Section to be known as Paragraph X, and to read as follows: Paragraph X. Any other provision of this Constitution notwithstanding, the General Assembly shall have power, by legislation to create, designate, vest powers and duties, set terms and compensation, establish functions, name other and different municipal, county or combined governments, governing authorities, political subdivisions, public agencies, courts, offices, officers, boards, bureaus, departments, commissions, and authorities within the limits of Richmond County; to abolish municipal county or combined governments, governing authorities, political subdivisions, public agencies, courts, offices, officers, boards, bureaus, and authorities now or hereafter existing within the limits of Richmond County; and to create, transfer or combine and consolidate any or all of the several powers, authorities, duties, liabilities and functions vested in any municipal or county or combined government, governing authority, political subdivision, public agency, court, office, officer, board, bureau, department, commission or authority now or hereafter existing within the limits of Richmond County; to provide for the preservation of all existent civil service, pension and retirement rights, provide for the assumption of obligations including any bonded indebtedness outstanding against any existent government, governing authority, political subdivision or public agency within Richmond County by any appropriate successor; and to provide for methods and procedures to effectuate the same. Provided however, nothing herein contained shall be construed as authorizing the General Assembly to: 1. Abolish any State or County court, the office of Sheriff of Richmond County, or any of the offices of Richmond County now required to exist by other provisions of this Constitution. 2. Alter the status of the Richmond County Board of

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Education or any constitutional provision by which any such named agency was authorized or preserved. Provided, however, that neither of the foregoing two limitations applicable to the designated courts, offices, officers, boards and commissions which are presently serving the entire area shall be construed as prohibiting the General Assembly from adding to or increasing the functions of the public offices, officers or agencies herein next above described, nor from exercising any legislative control with respect thereto which existed prior to the adoption of this paragraph. Provided, further, that such relation as such office, officer or agency presently has with the governing authority of any municipality or county or both abolished under the authority hereof, it shall continue to have with such newly created appropriate successor governing authority. The General Assembly may or may not in enacting legislation under this authority, make the effectiveness thereof contingent upon its approval by concurrent majorities of those qualified voters of such several area or areas, political subdivision or political subdivisions as may be directly affected thereby voting at public referenda to be held as shall in such legislation be prescribed. The powers herein granted to the General Assembly: 1. Are remedial and shall be liberally construed to effectuate their purpose. 2. May be exercised by it notwithstanding any other provision of this Constitution or of law. 3. Shall not be exhausted by their initial exercise, but may be exercised from time to time as said General Assembly may determine. 4. Are cumulative of all other powers now held by the General Assembly, and are not in lieu thereof.

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Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide that the General Assembly shall have the power, by legislation, to create, designate, vest powers and duties, set terms and compensation, establish functions, combine and consolidate municipal and county public agencies, departments, boards, bureaus, commissions, authorities and governing authorities within Richmond County. Against ratification of amendment to the Constitution so as to provide that the General Assembly shall have the power, by legislation, to create, designate, vest powers and duties, set terms and compensation, establish functions, combine and consolidate municipal and county public agencies, departments, boards, bureaus, commissions, authorities and governing authorities within Richmond County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for

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elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. DADE COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 192 (House Resolution No. 436-997). A Resolution. Proposing to the qualified voters of Dade County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Dade County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Dade County, herein called the issuer, to provide funds for the purchase, construction, enlargement, or either, of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and

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industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code, Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended.

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The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Dade County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Dade County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. CITY OF SMYRNAINDEPENDENT SCHOOL SYSTEM. Proposed Amendment to the Constitution. No. 193 (House Resolution No. 443-1065). A Resolution. To propose to the qualified voters of the State of Georgia an amendment to Article VIII, Section VII, Paragraph I of the Constitution of Georgia, relating to education, so as to provide for the creation and establishment of an independent school system, tax supported, for the City of Smyrna, a municipal corporation of Cobb

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County; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section VII, Paragraph I of the Constitution of Georgia is hereby amended by adding to said Section the following Paragraph: The General Assembly of Georgia is hereby authorized to create and establish an independent school system, tax supported, for the City of Smyrna, a municipal corporation, of Cobb County, and to grant unto the said independent school system such powers, privileges and immunities as are now, or hereafter may be, enjoyed by county school systems or independent school systems, and, further, such powers, privileges and immunities as may hereafter be provided for by the General Assembly, not inconsistent with the Constitution of Georgia. Section 2. Be it further enacted by the authority aforesaid: That whenever the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each branch of the General Assembly and such proposed amendment entered on the journals of each branch with the Ayes and Nays taken thereon, the Governor, the Attorney General, and the Secretary of State are hereby directed to meet and determine that said proposed amendment is not general, and that only the City of Smyrna, a municipal corporation and all of Cobb County, save only the City of Marietta, a municipal corporation in said County, having an independent school system, are directly affected by such proposed amendment, and the Governor shall further cause such proposed amendment to be published in full in one newspaper of general circulation in Cobb County, and further that said proposed amendment shall only be submitted to the people of the City of Smyrna, and of Cobb County, (with the exception of those residing within the City of

Page 1378

Marietta), the two political subdivisions directly affected, and the votes of the electors shall be counted separately in determining whether such proposed amendment is ratified, and such proposed amendment must be ratified by a majority of the electors qualified to vote for members of the General Assembly voting thereon in each political subdivision before the said proposed amendment shall become a part of this Constitution, all as provided by Article XIII, Section I, Paragraph I of the Constitution of Georgia. Section 3. Be it further enacted by the authority aforesaid that the above proposed amendment shall be submitted for ratification or rejection to the qualified electors at the next General Election, at which members of the General Assembly are elected, in the following language: For ratification of amendment to the Constitution so as to authorize the General Assembly of Georgia to create and establish an independent school system for the City of Smyrna. Against ratification of amendment to the Constitution so as to authorize the General Assembly of Georgia to create and establish an independent school system for the City of Smyrna. If a majority of the electors qualified to vote, as outlined in the preceding sections, shall vote in favor of the ratification of said proposed amendment, the said proposed amendment shall become part of the Constitution of this State. The returns of the election shall be made in like manner as returns of elections for members of the General Assembly; and it will be the duty of the Secretary of State to ascertain the results thereof and to certify the results to the Governor, who shall, if such proposed amendment be ratified, make proclamation thereof. Approved March 17, 1960.

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ATHENS-CLARKE COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY. Proposed Amendment to the Constitution. No. 194 (House Resolution No. 445-1065). A Resolution. Proposing an amendment to the Constitution of the State of Georgia so as to create a body corporate and politic and an instrumentality of the State of Georgia to be known as the Athens-Clarke County Industrial Development Authority; to provide the manner in which the name of such Authority may be changed; to provide its scope and jurisdiction to include all the territory embraced within the limits of Clarke County; to provide the purposes, duties, control, powers, organization, authority, funds and procedures of said Authority; to provide for the appointment of the members of said Authority; to provide for the issuing of revenue-anticipation certificates under the provision of the Revenue Certificate Law of 1937 as amended, and for the validation of such certificates; to provide all bonds, revenue-anticipation certificates and other evidences of indebtedness of said Authority and the income paid therefrom shall be exempt from taxation; to repeal conflicting laws; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: Athens-Clarke County Industrial Development Authority. A. There is hereby created a body corporate and politic to be known as the Athens-Clarke County Industrial Development Authority; which shall be deemed to be an instrumentality of the State of Georgia and a

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public corporation, and in that name, style and title said body may contract and be contracted with, sue and be sued, plead and be interpleaded, and complain and defend in all courts of law and equity. In the event the name of said Authority shall ever become the subject of change same may be accomplished by an Act of the General Assembly. Created. B. The said Authority is created for the purpose of expanding and developing industry in Clarke County and for improving the general welfare of said county. Purpose. C. The said Authority shall consist of five (5) members, one of whom shall be the Mayor of the City of Athens; one of whom shall be the Chairman of the Board of Commissioners of Roads and Revenues of Clarke County; one of whom shall be the President of the Athens Chamber of Commerce Inc.; one of whom shall be appointed by the Commissioners of Roads and Revenues of Clarke County; and one of whom shall be appointed by the Mayor and Council of the City of Athens. Members. (1) The terms of office of the members who are the Mayor of the City of Athens, the Chairman of the Board of Commissioners of Roads and Revenues of Clarke County, and the President of the Athens Chamber of Commerce, Inc. shall run concurrently with their tenure of office, and their successor in such respective offices shall succeed them as members of the said Authority. Terms. (2) The member initially appointed by the Mayor and Council of the City of Athens shall be appointed for a term expiring December 31, 1961; and the member initially appointed by the Commissioners of Roads and Revenue of Clarke County shall be appointed for a term expiring December 31, 1962; and thereafter their successors shall be appointed for terms of two years. In the event of the death or resignation of one of said members, his successor shall be appointed by the

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appropriate appointing authority for the balance of the unexpired term. (3) Prior to taking office the members shall subscribe to the following oath which shall be filed in the office of the Clerk of the City of Athens to-wit: I do solemnly swear that I will fully and fairly perform the duties as a member of the Athens-Clarke County Industrial Development Authority, So Help Me God. Oath. (4) The members of the said Authority shall be entitled to no compensation. Compensation. D. As used herein, the following words and terms shall have the following meanings, unless a different meaning clearly appears from the context: Definitions. (1) The word Authority shall mean the Athens-Clarke County Industrial Development Authority, created hereby. (2) The word Project shall be deemed to mean and include the acquisition of lands, properties and improvements for development, expansion and promotion of industry and the construction of buildings and plants or the acquisition of equipment for the purpose of selling, leasing or renting such structures or equipment to private persons, firms or corporations. (3) The term cost of project shall embrace the cost of construction, cost of lands, properties, easements, rights and franchises acquired, the cost of machinery and equipment, financing charges, interest prior to and during construction, architectural and legal expenses, and plans and specifications and other expenses necessary or incident to determining the feasibility or practicability of the project, administrative expenses, and such other expenses as may be necessary or incident to the financing herein authorized, the construction of any project and placing the same in operation; provided, however, that in no event shall entertainment

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or promotional expenses be considered a part of the cost of any project. E. Any three (3) members shall constitute a quorum for the transaction of ordinary business of the Authority; however, any action with respect to any project of the Authority must be approved by not less than three (3) affirmative votes. Quorum. F. The powers of the Authority herein created shall include, but not limited to, the power: Powers. (1) To have a seal and alter the same at pleasure. (2) To contract and be contracted with, sue and be sued, implead or be impleaded, and complain and defend in all courts of law and equity, to contract with other political subdivisions and with private persons and corporations. (3) To acquire, hold, and dispose of real and personal property, including the stock of other corporations for its corporate purposes. (4) To buy, acquire, receive as gifts, improve, own, operate, maintain, sell, lease as lessor and lessee, and mortgage as well as execute deeds to secure debt to and for land, buildings, and property of all kinds within the County of Clarke. (5) To enter into contracts for periods of time not in excess of one hundred (100) years. (6) To acquire in its own name by purchase on such terms and conditions, and in such manner as it may deem proper, real property or rights of easement therein or franchises necessary or convenient for its corporate purposes, and to use the same so long as its corporate existence shall continue and to lease or make contracts with respect to the use of or dispose of the same in any manner it deems to be the best advantage of the Authority. If the Authority shall deem it expedient

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to construct any project or use any project already constructed on lands, the title to which shall be in the County of Clarke and/or the Mayor and Council of the City of Athens, the governing authorities of the County of Clarke and the Mayor and Council of the City of Athens are authorized in their discretion to convey title to such lands, including any improvements thereon, to the Authority. (7) To encourage and promote the expansion of industry in the City of Athens and in the County of Clarke, and to make a long range plan therefor. (8) To appoint and select officers, agents, and employees, including engineering, architectural and construction experts, fiscal agents and attorneys, and to fix their compensation. (9) To make contracts, and to execute all instruments necessary or convenient, including contracts for construction of projects, and leases, and rental and sale of projects, or contracts with respect to the use of projects, which it erects or acquires. (10) To construct, erect, acquire, own, repair, remodel, maintain, extend, improve, sell, equip, expand, add to, operate and manage projects and to pay the costs of any such project from the proceeds of revenue-anticipation certificates or bonds or any other income of the Authority, or from any contribution or loans by persons, firms, or corporations, all of which the Authority is hereby authorized to receive and accept and use. (11) To elect its own officers from the membership of the Authority; to elect an executive director who is not required to be a member of the Authority; and to authorize and empower such officers to act for the Authority generally or in any specific matter. (12) To issue revenue-anticipation certificates for the purpose of paying all or any part of the cost of any project of the Authority. To exercise all of the rights,

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powers and privileges and be subject to the same liabilities as a municipality under the provisions of the Revenue Certificate Law of 1937 (Ga. L. 1937, pp. 761-774), and as subsequently amended, with reference to the issuance of such revenue-anticipation certificates and validation of same insofar as such pertain to the corporate purposes of the Authority. (13) To borrow money for any of its corporate purposes and to issue negotiable revenue bonds payable solely from funds or property pledged for that purpose, and to provide for the payment of the same and for the rights of the holders thereof. (14) To use the rents, profits and proceeds from the projects erected, leased or sold, to provide maintenance for such projects, and to discharge the principal and interest of revenue bonds or certificates issued by the Authority. (15) To borrow money for any of its corporate purposes and to execute debentures, bonds, notes, mortgages, deeds to secure debt, trust deeds and other such instruments as may be necessary or convenient to evidence and secure such borrowing. (16) To do all things within its powers to encourage industrial growth development in clarke County, and to encourage the location of new industries in said County. (17) To exercise any power granted by the laws of the State of Georgia to public or private corporations performing similar functions, which is not in conflict with the Constitution and laws of this State. (18) To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested. (19) To receive and administer gifts, grants and donations and to administer trusts.

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(20) To do all things necessary and convenient to carry out the powers expressly conferred by this Resolution upon the Authority. (21) To adopt, alter or repeal its own by-laws, rules and regulations governing the manner in which its business may be transacted and in which the power granted to it may be enjoyed, as the Authority may deem necessary or expedient in facilitating its business. G. It shall be the duty of the Authority to have all persons handling funds of the Authority fully and adequately bonded for their faithful accounting for such funds. Bonds. H. The Authority shall not be allowed to create in any manner any debt, liability or operation, against the Mayor and Council of the City of Athens, the State of Georgia, nor Clarke County. Debt. I. The obligations and interest on the obligations of the Authority shall have the same exemptions from taxation as obligations and interests on the obligations of the Mayor and Council of the City of Athens and of Clarke County. Tax exemptions. J. All projects of the Authority shall be on a self-liquidating basis, and the Authority shall not make gifts, directly or indirectly, to any person, firm or corporation. Projects. K. Should said Authority for any reason be dissolved, title to all property of every kind and nature, real and personal, held by the Authority at the time of such dissolution, shall revert to the Mayor and Council of the City of Athens and to Clarke County subject to any mortgages, liens, leases or other encumbrances outstanding against or in respect to said property. Title to property if Authority dissolved. L. The books and records of the Authority shall be audited at least annually, at the expense of the Authorty, by a competent independent auditor; and the minutes

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and records of the same shall be filed with the Clerk of the Mayor and Council of the City of Athens and shall be available for public inspection. Audits. M. The rights and powers herein conferred upon the Authority are self executing and no enabling act of the General Assembly shall be necessary. Intent. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, the Governor is hereby authorized and instructed to cause such proposed amendment to be published as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. Such proposed amendment shall be submitted as provided in said paragraph. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Constitution so as to create the Athens-Clarke County Industrial Development Authority and to provide for powers, authority, funds, purposes and procedures connected therewith. Against ratification of amendment to Constitution so as to create the Athens-Clarke County Industrial Development Authority and to provide for powers, authority, funds, purposes and procedures connected therewith. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for

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elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the same to the Governor who shall issue his proclamation thereon. Approved March 17, 1960. CLARKE COUNTYWATER, SANITATION, SEWERAGE AND FIRE PROTECTION SYSTEMS. Proposed Amendment to the Constitution. No. 195 (House Resolution No. 446-1065). A Resolution. Proposing an amendment to the Constitution so as to provide that the governing authority of Clarke County may establish water, sanitation, sewerage and fire protection districts in Clarke County; may administer water, sanitation, sewerage and fire protection systems in said district; levy taxes, issue bonds and revenue bonds to operate, maintain and administer such districts and systems; provide what property shall be taxed for such purposes; to provide for the right of eminent domain; to provide a method for submission of this amendment to said voters for ratification; to provide for necessary advertising of said proposed amendment; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article XI, Section I of the Constitution of the State of Georgia shall be amended so as to add to said Section a new paragraph, to read as follows: The governing authority of the County of Clarke is hereby given the authority and power to establish and administer within the bounds of the County of Clarke

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water, sanitation, sewerage and fire protection districts, each of which shall have such areas as may be found by said governing authority to be desirable; and may therein create, construct, maintain and operate a system, or systems, for said purposes; and provided that a district created for any system may include area of other district or districts created for the same or other systems or purposes and for said purposes shall have the power to make necessary plans and surveys; to hire necessary employees; to levy taxes or assessments on all property in said district or districts therefor; to issue bonds and revenue bonds for the construction and maintenance of said systems; to enter into contracts with private persons, firms, partnerships, public corporations, corporations and municipal corporations. Taxes may be levied therefor on all property in said districts upon the vote of the majority of the qualified voters of said districts voting at a special election to be called by the ordinary of said county, and to be held in said district upon said question; provided that such taxes shall not exceed five mills upon the valuation of the property located in any such district. Bonds may be issued for such purposes and, if issued, shall be authorized in all respects as provided by Article VII, Section VII, Paragraph I of the Constitution at an election called and held by the governing authority of the County of Clarke, and only those voters residing in such district shall participate in such election held for that purpose. Any other provision of this Constitution to the contrary notwithstanding, the governing authority of said county may issue bonds in an amount up to ten (10%) per cent of the assessed valuation of the property located therein subject to taxation for bond purposes and any such bonds issued in and for any such district shall not affect the amount of bonds Clarke County may issue under Article VII, Section VII, Paragraph I of the Constitution for other purposes. Provided further, that the homestead exemption granted by Article VII, Section I, Paragraph IV of the Constitution, and the statutes enacted pursuant thereto, shall not be granted and shall not apply to the levy of taxes

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herein authorized and provided for, either for the operation and maintenance of the systems or for debt service. Provided further, that for the purposes hereinabove enumerated the said County of Clarke shall have the power of eminent domain and may exercise same upon the payment of just and adequate compensation as provided by this Constitution and the laws of this state. The planning, construction and establishing of any such system or systems may be financed in whole or in part by the issuance of revenue bonds as provided in the Revenue Bond Law of this state. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide for water, sanitation, sewerage and fire protection systems for Clarke County and the levying of taxes and the issuance of bonds related thereto. Against ratification of amendment to the Constitution so as to provide for water, sanitation, sewerage and fire protection systems for Clarke County and the levying of taxes and the issuance of bonds related thereto. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification.

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If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. SPALDING COUNTYWATER DISTRICTS OUTSIDE MUNICIPALITIES. Proposed Amendment to the Constitution. No. 196 (House Resolution No. 447-1065). A Resolution. Proposing an amendment to the Constitution so as to authorize the establishment of water districts in Spalding County outside of municipalities; to provide for the levy of taxes to defray the costs of furnishing water and to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph II of the Constitution, as amended, is hereby amended by adding at the end thereof the following: The governing authority of Spalding County is hereby authorized to district areas outside of municipalities in said county for the purpose of furnishing water services and is hereby given the authority to levy a tax upon the taxable property in each respective district to defray all costs of such water districts in each respective district.

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Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize the governing authority of Spalding County to establish water districts outside the municipalities. Against ratification of amendment to the Constitution so as to authorize the governing authority of Spalding County to establish water districts outside the municipalities. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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DOUGHERTY COUNTYBUSINESS LICENSES, ETC. OUTSIDE MUNICIPALITIES. Proposed Amendment to the Constitution. No. 197 (House Resolution No. 448-1065). A Resolution. Proposing to the qualified voters of Dougherty County, Georgia, an amendment to Article VII, Section IV, Paragraph I (Code section 2-5701) of the Constitution of the State of Georgia, to empower the Board of Commissioners of Roads and Revenues of Dougherty County, for regulatory and revenue purposes, to assess and collect license fees and occupational taxes against any person, firm or corporation, who may engage in any type of business in Dougherty County outside of municipalities, with the right and power to classify businesses and assess different license fees and occupational taxes against different classes of businesses, and with the further power to the Board of Commissioners to exercise police powers within unincorporated areas over any businesses in the interest of the public welfare, health and security of the people of Dougherty County, and to adopt rules and regulations to effectuate the powers herein granted and to enforce the payment of the license fees and taxes, and to provide that a violation of the rules and regulations may be punishable as a misdemeanor, and further, to provide that no enabling legislation by the General Assembly shall be necessary for the exercise of the powers herein granted. Be it resolved by the General Assembly of the State of Georgia: Section 1. Be it resolved by the General Assembly of the State of Georgia that Article VII, Section IV, Paragraph I (Code section 2-5701) of the Constitution of the State of Georgia be amended by adding thereto the following new paragraph, to wit:

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The Board of Commissioners of Roads and Revenues of Dougherty County, Georgia, shall have the right and power, for regulatory and revenue purposes, to levy, assess, and collect license fees and occupational taxes from any persons, firms or corporations (except those subject to regulation by the State Public Service Commission) who may maintain a place of business or who may in any manner engage in any type of business, in any area of Dougherty County outside the incorporated limits of municipalities; and in levying and assessing such license fees and occupational taxes, the Board of Commissioners shall have the right and power to classify businesses and to assess different license fees and occupational taxes against different classes of business. To provide for the public welfare, health and security of the people of Dougherty County, the Board of Commissioners of Roads and Revenues shall have the right to regulate and exercise police powers over any businesses operated within the unincorporated areas of said county (except those subject to regulation by the State Public Service Commission) and to prescribe such rules and regulations as may be necessary to effectuate the powers herein granted, including the right to enforce payment of the license fees and occupational taxes by the issuance and levy of executions, and to provide that a violation of any such regulations adopted by the Board of Commissioners of Roads and Revenues shall constitute a misdemeanor punishable upon conviction thereof as prescribed by the general laws of the State of Georgia. The General Assembly of Georgia may at any time modify, alter, restrict and limit the powers herein granted, and may at any time change the manner and means by which the powers may be exercised by said Board of Commissioners. No further enabling legislation by the General Assembly of Georgia shall be necessary for the exercise of the powers herein granted. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the branches of the General Assembly, and the same has been entered on

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their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article 13, Section 1, Paragraph 1 of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section IV, Paragraph I of the Constitution authorizing the Board of Commissioners of Roads and Revenues of Dougherty County to assess and collect license fees and occupational taxes upon businesses in Dougherty County outside the incorporated limits of municipalities and to regulate same. Against ratification of amendment to Article VII, Section IV, Paragraph I of the Constitution authorizing the Board of Commissioners of Roads and Revenues of Dougherty County to assess and collect license fees and occupational taxes upon businesses in Dougherty County outside the incorporated limits of municipalities and to regulate same. All qualified electors desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all qualified electors desiring to vote against the adoption of the proposed amendment shall vote against ratification. If the people shall ratify such amendment by a majority of the qualified electors voting thereon, such amendment shall become part of Article VII, Section IV, Paragraph I of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall, if such amendment be ratified, make proclamation thereof. Approved March 17, 1960.

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BALDWIN COUNTYAUTHORITY TO GENERAL ASSEMBLY TO DELEGATE ORDINANCE MAKING AUTHORITY, ETC. TO COMMISSIONERS OF ROADS AND REVENUES. Proposed Amendment to the Constitution. No. 198 (House Resolution No. 449-1065). A Resolution. Proposing an amendment to the Constitution of the State of Georgia so as to authorize the General Assembly to empower the Board of Commissioners of Roads and Revenues of Baldwin County, Georgia, to enact ordinances for the policing and governing of said county and the enforcement of all duties and powers now or hereafter vested in said Board, and to provide penalties for violations of such ordinances; to authorize the licensing and regulation of businesses and levying of license taxes on businesses in the unincorporated area of the county; to provide for the submission of this amendment for ratification or rejection at the next general election; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article XI, Section I, Paragraph I of the Constitution of the State of Georgia of 1945 is hereby amended by adding a new paragraph, which shall read as follows: The General Assembly of the State of Georgia is hereby authorized: 1. To empower the Board of Commissioners of Roads and Revenues of Baldwin County, Georgia, to adopt ordinances or regulations for the governing and policing of said County for the purpose of protecting and preserving the health, safety, welfare and morals of the citizens thereof, as it may deem advisable, not in conflict with the general laws of this State and of the

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United States, and for the implementation and enforcement of all duties and powers now or hereafter vested in said Board as the governing authority of Baldwin County, Georgia, and to provide penalties for violations of such ordinances; to authorize the licensing and regulation of businesses and the levying of license taxes on all persons, firms and corporations doing business in the unincorporated area of said County, except businesses which are subject to regulation by the State Public Service Commission. 2. In the event any phrase, clause, paragraph, or portion thereof, of this amendment shall be adjudged invalid for any reason whatsoever, such adjudication shall in no manner affect the other phrases, clauses, paragraphs or portions of this amendment, which shall remain in full force and effect, as if the phrase, clause, paragraph, or portion thereof so adjudged invalid was not originally a part hereof. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution to provide for the adoption of ordinances for the governing and policing of Baldwin County and enforcement of County ordinances. Against ratification of amendment to the Constitution to provide for the adoption of ordinances for the

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governing and policing of Baldwin County and enforcement of County ordinances. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. GLYNN COUNTYSEWERAGE DISTRICTS. Proposed Amendment to the Constitution. No. 199 (House Resolution No. 452-1071). A Resolution. Proposing to the qualified voters of Georgia an amendment to Article XI, Section I of the Constitution of the State of Georgia, so as to provide for sewage districts for the County of Glynn; and for other purposes. Be it resolved by the General Assembly of Georgia as follows: Section 1. Article XI, Section I of the Constitution of Georgia, relating to counties, is hereby amended by adding thereto at the end thereof a new paragraph to be properly numbered and to read as follows:

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The governing authority of the County of Glynn is hereby given the authority and power to establish and administer within the bounds of the County of Glynn sewage districts, and may therein create, construct, maintain and operate a system, or systems, for the disposal of sewage within such districts, and to levy taxes therefor on all property in said districts upon the vote of a majority of the qualified voters of said districts voting at a special election to be called by the ordinary of said county, and to be held in said district upon said question; provided, that such taxes shall not exceed five mills upon the valuation of the property located in any such district. In the event bonds are issued by the county for a specific district, a tax may be levied therein unlimited as to rate or amount. Bonds may be issued for such purposes, and if issued, shall be authorized in all respects as provided by Article VII, Section VII, Paragraph I of the Constitution at an election called and held by the governing authority or body charged with the duty of managing the fiscal affairs of Glynn County, and only those voters residing in such district shall participate in such election held for that purpose. Any other provisions in this Constitution to the contrary notwithstanding, any such district may issue bonds in an amount up to ten (10%) per cent of the assessed valuation of property located therein subject to taxation for bond purposes. Provided further, that the homestead exemption granted by Article VII, Section I, Paragraph IV of the Constitution, and the statutes enacted pursuant thereto, shall not be granted and shall not apply to the levy of taxes herein authorized and provided for, either for operation and maintenance of the system or for debt service. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two houses of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, the Governor is hereby authorized and instructed to cause such amendment to be published in one or more newspapers in each congressional district of this State

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and in the area to be directly affected thereby for two months previous to the time of holding the next general election, at which election members of the General Assembly are elected and the above proposed amendment shall be submitted for ratification or rejection to the electors of this State. All persons voting at said election in favor of adopting the proposed amendment to the Constitution shall have written or printed on their ballots the following: For ratification of amendment to the Constitution so as to authorize the creation of sewage districts in Glynn County, and the levying of taxes and the issuance of bonds related thereto. All persons opposing the adoption of said amendment shall have written or printed on their ballots the following: Against ratification of amendment to the Constitution so as to authorize the creation of sewage districts in Glynn County, and the levying of taxes, and the issuance of bonds related thereto. If the people shall ratify such amendment by a majority of the electors qualified to vote voting thereon in favor in both the State as a whole and in the area directly affected thereby, such amendment shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly and it shall be the duty of the Secretary of State to ascertain the result and to certify the result to the Governor, who shall, if such amendment be ratified, make proclamation thereof. Approved March 17, 1960.

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TELFAIR COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 200 (House Resolution No. 455-1124). A Resolution. Proposing to the qualified voters of Telfair County an amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Telfair County to issue certain revenue anticipation obligations known as revenue bonds for the purposes therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Telfair County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured products or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal

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and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of this Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761) as amended, Code, Ann. Supp. Chapter 87-8, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Telfair County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorize

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Telfair County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said county qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. MOULTRIE-COLQUITT COUNTY DEVELOPMENT AUTHORITY. Proposed Amendment to the Constitution. No. 201 (House Resolution No. 457-1125). A Resolution. Proposing an amendment to the Constitution so as to create the Moultrie-Colquitt County Development Authority; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section V, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: A. There is hereby created a body corporate and politic, to be known as the Moultrie-Colquitt County Development Authority, which shall be an instrumentality of the City of Moultrie and the County of Colquitt and a public corporation which in this amendment shall hereafter be referred to as the `Authority'. Created.

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B. This amendment is adopted for the purpose of promoting and expanding for the public good and welfare of the City of Moultrie and Colquitt County and their citizens, industry, agriculture and trade therein, and making long range plans for such development and expansion and to authorize the use of public funds of the City of Moultrie and Colquitt County for such purposes, and this amendment and any law enacted with reference to the Authority shall be liberally construed for the accomplishment of this purpose. Purpose. C. The Authority shall be composed of eleven members, four of whom shall be appointed by the governing authority of the City of Moultrie, four of whom shall be appointed by the governing authority of the County of Colquitt, and the remaining three members shall be appointed by the other eight members. The governing authority of the City and the County respectively shall in the first appointments appoint two of such members for terms of two years, and to such members for terms of one year. Thereafter, all members appointed by the two governing authorities shall be for two year terms. The remaining three members shall always be appointed for one year terms. The first members shall be appointed prior to January 1, 1961, and they shall take office on that date. After the first appointments of the three remaining members, they shall always be appointed by January 15 of each year after the new members appointed by the governing authorities have taken office on the first day of January. All members shall hold office until their successors are appointed. Members shall be eligible to succeed themselves in office. Vacancies shall be filled by the appointing authority. A majority of the members shall constitute a quorum and may act for the Authority in any manner. No vacancy shall impair the power of the authority to act. Members. Terms. D. The property, obligations and the interest on the obligations of the Authority shall have the same immunity from taxation as the property, obligations and interest on the obligations of the City of Moultrie and Colquitt County. Property exempt from taxation.

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E. The powers of the Authority shall include but not be limited to, the power: Powers. (1) To buy, acquire, develop, improve, own, operate, maintain, sell, lease as lessor and lessee, and mortgage land, buildings and property of all kinds within the limits of the City of Moultrie and Colquitt County; (2) To receive and administer gifts, grants and donations and to administer trusts; (3) To grant, loan and lease any of its funds and property to private persons and corporations promising to operate any industrial plant or establishment within the City of Moultrie and Colquitt County which in the judgment of the Authority will be of benefit to the people of said city and county. The provisions of this clause shall not be construed to limit any other powers of the Authority; (4) To borrow money and to issue notes, bonds and revenue certificates therefor and to sell, convey, mortgage, pledge and assign any and all of its funds, property and income as security therefor; (5) To contract with the City of Moultrie and Colquitt County and other political subdivisions and with private persons and corporations and to sue and be sued in its corporate name; (6) To have and exercise usual powers of private corporations except such as are inconsistent with this amendment, including the power to appoint and hire officers, agents and employees and to provide their compensation and duties, which officers and agents may or may not be members of the Authority, and the power to adopt and amend a corporate seal and by-laws and regulations for the conduct and management of the Authority; (7) To encourage and promote the expansion of industry, agriculture, trade and commerce in the City

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of Moultrie and Colquitt County, and to make long range plans therefor; (8) To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested; (9) To designate officers to sign and act for the Authority generally or in any specific matter; (10) To do any and all acts and things necessary or convenient to accomplish the purpose and powers of the Authority as herein stated. F. The Authority shall not be authorized to create in any manner any debt, liability or obligation against the State of Georgia or the City of Moultrie or Colquitt County. Debt. G. The Authority shall have the same immunity and exemption from liability for torts and negligence as the State of Georgia and the officers, agents and employees of the Authority when in performance of the work of the Authority, shall have the same immunity and exemption from liability for torts and negligence as the officers, agents and employees of the State of Georgia when in performance of their public duties or work of the State. The Authority may be sued the same as private corporations on any contractual obligation of the Authority. Exemption from tort liability. H. The members of the Authority shall receive no compensation for their services to the Authority. Compensation. I. The Authority is hereby authorized to issue Revenue Bonds to carry out the purposes of this amendment. Revenue Bonds, thus issued, shall be paid from the income of the Authority. Bonds. J. The governing authority of the City of Moultrie is authorized to levy a tax not exceeding one mill per

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dollar of assessed valuation for the purposes of the Authority. The governing authority of the County of Colquitt is authorized to levy a tax not exceeding one mill per dollar of assessed valuation for the purposes of the Authority. Tax. K. The property of the Authority shall not be subject to levy and sale under legal process except such property, income or funds as may be pledged, assigned, mortgaged or conveyed to secure an obligation of the Authority, and any such property, funds or income may be sold under legal process or under any power granted by the Authority to enforce payment of the obligation. Levy and sale of property. L. This amendment shall be effective immediately upon its ratification. Effective date. M. The General Assembly may by law further define and prescribe the powers and duties of the Authority and the exercise thereof, and may enlarge and restrict the same, and may likewise further regulate the management and conduct of the Authority. The Authority shall be an instrumentality of the City of Moultrie and Colquitt County, and the scope of its operation shall be limited to the territory embraced therein. The General Assembly shall not extend the jurisdiction of the Authority nor the scope of its operation beyond such limits. Further powers. N. There shall be no limitations upon the amount of debt which the Authority may incur, but no debt created by the Authority shall be a debt of the City of Moultrie, Colquitt County or the State of Georgia. Debt. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I,

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Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to create the Moultrie-Colquitt County Development Authority. Against ratification of amendment to the Constitution so as to create the Moultrie-Colquitt County Development Authority. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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TIFT COUNTYHOMESTEAD EXEMPTION REPEALED AS TO TAXES FOR SUPPORT OF EDUCATION. Proposed Amendment to the Constitution. No. 202 (House Resolution No. 460-1136). A Resolution. Proposing to the qualified voters of Tift County, Georgia, an amendment to Article VII, Section I, Paragraph IV, of the Constitution of Georgia to provide that neither the said personal property exemption, of an amount not to exceed $300.00, nor the said Homestead Exemption, of an amount not to exceed $2,000.00, shall be applicable to taxes which are assessed and collected by the taxing authorities of Tift County for the support and maintenance of education, as recommended by the Tift County Board of Education, unless the owner of such personal property or Homestead is sixty-five (65) years of age or older or is qualified for and actually receiving aid or assistance from the Tift County Department of Public Welfare. Be it resolved by the General Assembly of Georgia: Section 1. That Article VII, Section I, Paragraph IV, of the Constitution of Georgia be amended by adding thereto the following: Notwithstanding anything elsewhere provided in this Constitution, neither the said personal property exemption, of an amount not to exceed $300.00, nor the said Homestead Exemption, of an amount not to exceed $2,000.00, shall be applicable to taxes which are assessed and collected by the taxing authorities of Tift County for the support and maintenance of education, as recommended by the Tift County Board of Education, unless the owner of such personal property or homestead is sixty-five (65) years of age or older or is qualified for and actually receiving aid or assistance from the Tift County Department of Public Welfare.

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Section 2. Be it further resolved by the authority aforesaid, that whenever the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two houses of the General Assembly, and the same shall have been entered on their journals, with the yeas and nays taken thereon, the Governor shall be and he is hereby authorized and instructed to cause such amendment to be published in full in one newspaper of general circulation in Tift County once each week for three consecutive weeks immediately preceding the date of the next general election. Section 3. Be it further resolved by the authority aforesaid, that the above proposed amendment shall be submitted for ratification or rejection to the voters of Tift County at the next general election to be held after the publication as provided for in the second section of this resolution, at which election every person shall be qualified to vote who is qualified to vote for members of the General Assembly. All persons voting at said election in favor of adopting the proposed amendment to the Constitution shall have written or printed on their ballots the words: For ratification of amendment to Article VII, Section I, Paragraph IV, of the Constitution, providing that neither the personal property exemption, in an amount not to exceed $300.00, nor the homestead exemption, of an amount not to exceed $2,000.00, shall be applicable to taxes which are assessed and collected by the taxing authorities of Tift County for the support and maintenance of education, as recommended by the Tift County Board of Education, unless the owner of such personal property or homestead is sixty-five (65) years of age or older or is qualified for and actually receiving aid or assistance from the Tift County Department of Public Welfare.; and all persons opposed to the adoption of said amendment shall have written or printed on their ballots the words:

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Against ratification of amendment to Article VII, Section I, Paragraph IV, of the Constitution, providing that neither the personal property exemption, in an amount not to exceed $300.00, nor the homestead exemption, of an amount not to exceed $2,000.00, shall be applicable to taxes which are assessed and collected by the taxing authorities of Tift County for the support and maintenance of education, as recommended by the Tift County Board of Education, unless the owner of such personal property or homestead is sixty-five (65) years of age or older or is qualified for and actually receiving aid or assistance from the Tift County Department of Public Welfare. Section 4. Be it further resolved by the authority aforesaid, that if such amendment is ratified in accordance with the Constitution of this State, such amendment shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and to certify the result to the Governor, who shall, if such amendment be ratified, make proclamation thereof. Approved March 17, 1960. DeKALB COUNTYTAX FOR INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 203 (House Resolution No. 462-1136). A Resolution. Proposing an amendment to Article VII, Section IV, Paragraph I of the Constitution of Georgia of 1945 so as to authorize DeKalb County to levy a tax not exceeding one-fourth mill on all of the taxable property in the

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county, for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in DeKalb County; to provide that said fund may be used to purchase land and erect buildings or other facilities to be rented or leased to industries or to be sold to industries and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution of Georgia of 1945, as amended, is hereby amended by adding at the end of Paragraph I the following: To provide that DeKalb County is authorized to levy a tax, in addition to those already provided for by law, not to exceed one-fourth mill, on all the taxable property in the county, for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in DeKalb County and to pay advertising, and other promotional expenses incidental thereto. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, the Governor is hereby authorized and instructed to cause such proposed amendment to be published as provided in Article XIII, Section 1, Paragraph 1 of the Constitution of Georgia of 1945, as amended. Said proposed Constitutional amendment shall be submitted as provided in said paragraph. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of the amendment to Article VII, Section IV, Paragraph 1 of the Constitution so as to provide that DeKalb County may levy a tax, not to exceed

Page 1412

one-fourth mill, for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in DeKalb County. Against ratification of the amendment to Article VII, Section IV, Paragraph 1 of the Constitution so as to provide that DeKalb County may levy a tax, not to exceed one-fourth mill, for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in DeKalb County. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall, if such amendment is ratified, make proclamation thereof. Notice of Intention to Introduce Local Legislation. Notice is hereby given that there will be presented at the January 1960 session of the General Assembly of Georgia a bill proposing an amendment to the Constitution of Georgia to authorize the Board of Commissioners of Roads and Revenues of DeKalb County as the governing authority of said County to levy a tax, in addition to those already provided by law, on all the taxable property in the County for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in DeKalb County, to pay advertising and other promotional expenses incidental thereto: to purchase land to be leased or sold

Page 1413

to industries and to erect buildings and other improvements on land to be leased or sold to industries. This 19th day of January, 1960. Georgia, DeKalb County. Personally appeared before me a notary public, the undersigned W. H. McWhorter, who on oath says that he is managing-editor of the DeKalb New Era, a newspaper published in the City of Decatur, being of general circulation and being the legal organ for the county of DeKalb who certifies that legal notice, a true copy of which is hereto attached, being Notice of Intention To Apply For Local Legislation was duly published once a week for three weeks as required by law; said dates of publication being January 21, 28 and February 4, 1960. /s/ W. H. McWhorter, Managing-Editor, The DeKalb New Era. Sworn to and subscribed before me this 5 day of February, 1960. /s/ Carol E. Wheeler, Notary Public, Georgia, State at Large. My Commission Expires Mar. 23, 1963. (Seal). Approved March 17, 1960.

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COLUMBUS PARKING AUTHORITY. Proposed Amendment to the Constitution. No. 204 (House Resolution No. 463-1136). A Resolution. Proposing an amendment to the Constitution of the State of Georgia to be known and designated as Paragraph I of Section I of Article XVII of the Constitution of the State of Georgia, authorizing the General Assembly of Georgia by legislation to create a body corporate and politic to be known as the Columbus Parking Authority; to provide for its organization, membership, method of operation, and perpetual existence; to provide for and define its duties, powers and authorities, including, but not limited to, the power to issue its revenue bonds and certificates; to exempt it, its properties, securities, and the income therefrom, from taxation; to provide that the operation of said Authority shall constitute a governmental function; to authorize the City of Columbus to make voluntary loans, donations and contributions to said Authority; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia, and it is hereby resolved by authority of the same as follows: Section 1. The Constitution of the State of Georgia is hereby amended by adding thereto a new paragraph to be known as Paragraph I of Section I of Article XVII, and which shall read as follows: The General Assembly shall be authorized to enact, and from time to time, to amend, laws creating, as an agency, instrumentality, and public corporation of this State, a body corporate and politic to be known as the Columbus Parking Authority; providing for its organization, membership and method of operation; providing

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for its perpetual existence; providing for and defining its duties, powers and authorities, including but not limited, to the power and authority to: (a) Acquire, construct, lease, exchange, repair, alter, remodel, own and operate offstreet motor vehicle parking facilities, parking lots, parking garages, parking buildings and underground parking areas, anywhere within the corporate limits of the City of Columbus, Georgia, and to equip and maintain all such facilities and properties; (b) Whenever authorized by the governing body of said Authority, and without any other vote or election whatever and regardless of any other provision of this Constitution, to issue and sell, without limitation as to amount, purpose, terms, maturities, interest rates or any other feature, its own revenue certificates and revenue bonds and to issue refunding revenue certificates and refunding revenue bonds; and (c) Whenever authorized by the governing body of said Authority, and without any other vote or election whatever and regardless of any other provision of this Constitution, to borrow money and incur debts, without limitation as to amount, and to secure any such loan or debt by trust deed, security deed, mortgage, pledge, bill of sale to secure debt, or assignment; providing that said Authority, its property, its income, revenues and receipts, its revenue certificates and bonds and the interest thereon, and all its other securities and the interest thereon, shall be exempt from taxation; providing for the procedure for issuing and selling its securities and its revenue certificates and revenue bonds, the validation thereof, the security or collateral and the rights and remedies to be furnished and afforded the purchasers and holders thereof; providing that the City of Columbus shall be authorized, at any time and from time to time, to make voluntary loans, contributions or donations to said Authority from any available funds of said City, including but not limited to the gross receipts derived by said City from parking meters in said

Page 1416

City; providing that the operations and business of said Authority shall be and constitute fully authorized governmental functions; providing for the venue and jurisdiction of suits brought against the Authority; providing for the protection of the interests of holders of the securities, including but not limited to revenue certificates and revenue bonds, of said Authority; providing for said Authority any right, power or authority provided by the laws of this State for corporations chartered by the Superior Courts. The term securities, wherever used in this amendment, shall be construed to include any and all evidences of indebtedness of any nature. The powers herein granted to the General Assembly: 1. Are remedial and shall be liberally construed to effectuate their purpose. 2. May be exercised by it notwithstanding any other provision of this Constitution or of law. 3. Shall not be exhausted by their initial exercise, but may be exercised from time to time as said General Assembly may determine. 4. Are cumulative of all other powers now held by the General Assembly, and are not in lieu thereof. This is not a general amendment, within the meaning of Paragraph I of Section I of Article XIII of the Constitution of the State of Georgia of 1945, as amended. The City of Columbus is the only political subdivision directly affected by this amendment. Said Columbus Parking Authority shall have no power of taxation, nor shall it have the power of eminent domain. Any law enacted pursuant to the provisions of this amendment shall contain a provision to the effect that such law shall become effective only after the adoption by the Commission of the City of Columbus of an ordinance to that effect, and on the definite date to be stated in said ordinance.

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Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Paragraph I of Section I of Article XIII of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution to authorize the General Assembly by legislation to create and establish the Columbus Parking Authority. Against ratification of amendment to the Constitution to authorize the General Assembly by legislation to create and establish the Columbus Parking Authority. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in Paragraph I of Section I of Article XIII of the Constitution, as amended, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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CHATTAHOOCHEE COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 205 (House Resolution No. 464-1136). A Resolution. Proposing to the qualified voters of Chattahoochee County an amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Chattahoochee County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Chattahoochee County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full.

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The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of the Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761), as amended, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of Amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Chattahoochee County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce.

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Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Chattahoochee County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said County qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960. GLYNN COUNTYTAX FOR INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 206 (House Resolution No. 477-1139). A Resolution. Proposing an amendment to the Constitution so as to authorize Glynn County to levy a tax not exceeding one mill on all of the taxable property in the county for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in said county; to provide that such fund may be used to purchase land and erect buldings or other facilities to be rented or leased to industries; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of

Page 1421

the Constitution, as amended, is hereby amended by adding at the end thereof the following: Glynn County is hereby authorized to levy a tax, in addition to those already provided for by law, not to exceed one mill, on all the taxable property in the county, for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in Glynn County. Such fund may be used to pay entertaining, traveling, advertising and other promotional expenses to encourage the location of industries in said county, and to purchase land and erect buildings or other facilities to be rented or leased to industries. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize Glynn County to levy a tax not to exceed one mill for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in Glynn County. Against ratification of amendment to the Constitution so as to authorize Glynn County to levy a tax not to exceed one mill for the purpose of creating a fund to be used in assisting, promoting and encouraging the location of industries in Glynn County. All persons desiring to vote in favor of adopting the

Page 1422

proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. McINTOSH COUNTYBOARD OF EDUCATION, ELECTION OF MEMBERS BY THE PEOPLE. Proposed Amendment to the Constitution. No. 208 (House Resolution No. 480-1144). A Resolution. Proposing an amendment to the Constitution so as to provide that the Board of Education of McIntosh County, Georgia shall be composed of five (5) members to be elected by the people; to prescribe the procedure connected with the foregoing; to designate Education Districts; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution, relating to county boards of education is hereby amended by adding at the end thereof the following:

Page 1423

The Board of Education of McIntosh County shall be composed of five (5) members, to be elected as hereinafter provided. For the purpose of electing such members, McIntosh County is hereby divided into five (5) education districts. Members. Education District No. 1 shall be composed of the County at large. Education districts. Education District No. 2 shall be composed of all of Militia District No. 271 and Militia District No. 1771. Education District No. 3 shall be composed of Militia District No. 1514; any part of Militia District No. 1515 lying West of the Coastal Highway; and all of Militia District No. 1480. Education District No. 4 shall be composed of Militia District No. 22. Education District No. 5 shall consist of Militia District No. 1312 and all of Militia District No. 1515 lying East of the Atlantic Coastal Highway. Each member of the Board shall be elected by the voters of McIntosh County residing outside of any independent school district therein. Any person offering as a candidate to represent an education district on the Board must reside in the district from which he offers. No person shall be eligible for membership on the board unless he has resided in the education district from which he offers as a candidate for at least one (1) year immediately preceding the date of the election. If any member of the Board shall change his residence from the education district which he represents, he shall no longer represent that district, and a successor shall be elected as provided herein. In case of a vacancy on the Board for any cause other than expiration of the term of office, an election shall be held to elect a member from the education district in which such vacancy occurs to fill the unexpired term.

Page 1424

Any such election shall be held within thirty (30) days after the vacancy occurs. Members. In the event this amendment is ratified as provided in the Constitution of the State of Georgia and approved by a majority vote of the Grand Juries of McIntosh County empaneled and sworn for the December, 1960 Term of the Superior Court of McIntosh County, Atlantic Judicial Circuit and the May, 1961 Term of the Superior Court of McIntosh County, Atlantic Judicial Circuit, it shall be the duty of the Ordinary of McIntosh County to issue the call for an election, which call shall be issued not less than twenty (20) days nor more than thirty (30) days after the approval of said Act by the Grand Jury empaneled and sworn for the May, 1961 Term of the Superior Court of McIntosh County, Atlantic Judicial Circuit. The Ordinary shall set the date for such election for a day not less than ten (10) days nor more than twenty (20) days after the date of the issuance of the call. Such election shall be for the purpose of electing the members of the Board of Education of McIntosh County created under this amendment. All members elected at such election shall take office January 1, 1962; those members elected from Education Districts 1, 2, and 3 shall be elected for a term of three (3) years, while those members elected from Education Districts 4 and 5 shall be elected for a term of one (1) year, and all members elected thereafter shall be elected for a term of four (4) years. All future elections shall be held on the second Tuesday in November and the members elected at such elections shall take office on the first day of January following their election. Election of first members. The Board of Education of McIntosh County in office at the time of the ratification and approval of this amendment, as herein provided, shall be abolished effective December 31, 1961, and the terms of all members of such Board shall expire on such date. Present Board abolished. The County Board of Education, as provided for herein, shall be subject to all constitutional and statutory

Page 1425

provisions relating to County Boards of Education unless such provisions are in conflict with the provisions of this amendment. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide that the Board of Education of McIntosh County shall be elected by the people. Against ratification of amendment to the Constitution so as to provide that the Board of Education of McIntosh County shall be elected by the people. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960.

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COBB COUNTY DEVELOPMENT AUTHORITY. Proposed Amendment to the Constitution. No. 209 (House Resolution No. 482-1145). A Resolution. Proposing an amendment to the Constitution so as to authorize the governing body of Cobb County to levy an annual ad valorem tax to be used in assisting, promoting and establishing new industries and the expansion of agriculture, trade and commerce therein and in furtherance of such to create the Cobb County Development Authority; to provide for powers, authority, funds, purposes and procedure connected therewith; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section IV, Paragraph I of the Constitution is hereby amended by adding at the end thereof the following: A. In addition to the purposes for which taxes may be levied by counties as provided in said Article VII, Section IV, Paragraph I of the Constitution of the State of Georgia the Commissioner of Roads and Revenues and Advisory Board of Cobb County be and are hereby authorized to levy an annual ad valorem tax not exceeding five mills per dollar of assessed valuation on all property located in said Cobb County not excluding any realty homestead exemption, such funds so produced by such levy to be used by said County in aiding and assisting in the promotion and establishing new industries and the expansion of agriculture, trade and commerce therein. Said governing body of said County may appropriate to the Authority (hereinafter created) such amounts from its funds so raised by such levy in each year as it shall determine necessary and desirable and any funds so transferred

Page 1427

to the Authority shall become part of its funds and may be used by the Authority in accordance with its powers and purposes as hereinafter provided, or as may hereafter be defined by law; Tax. B. This amendment is adopted for the purpose of promoting and expanding for the public good and welfare of Cobb County and its citizens industry, agriculture, trade and commerce within the County of Cobb and making long range plans for such development and expansion and to authorize the levy of taxes and the use of public funds of said County for such purpose and in the furtherance thereof there be and is hereby created a body corporate and politic in said County to be known as Cobb County Development Authority which shall be an instrumentality of Cobb County and a public corporation, hereinafter in this amendment sometimes referred to as the `Authority'; Purpose. Authority created. C. The Authority shall consist of five members who shall serve for a term of five years and who shall be eligible to reappointment. The members of the Authority shall be elected by majority of the governing body of Cobb County. The first members shall be elected for terms of one, two, three, four and five years and thereafter their successors shall be elected to serve for a term of five years. Vacancies shall be filled for the unexpired term by said governing body. A majority of the members shall constitute a quorum and a majority may act for the Authority in any matter. No vacancy shall impair the power of the Authority to act. No member of the Authority shall be a member of the governing body of said County but there shall be no other disqualification to hold public office by reason of membership in the Authority; Members, quorum, etc. D. The property, obligation and the interest on the obligations of the Authority shall have the same immunity from taxation as the property, obligations and interest on the obligations of Cobb County; Property exempt from taxation.

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E. The powers of the Authority shall include but not be limited to, the power: (1) To buy, acquire, develop, improve, own operate, maintain, sell, lease as lessor and lessee, and mortgage land, buildings and property of all kinds within the limits of Cobb County; Powers. (2) To receive and administer gifts, grants and donations and to administer trusts; (3) To grant, loan and lease any of its funds and property to private persons and corporations promising to operate any industrial plant or establishment within Cobb County which in the judgment of the Authority will be of benefit to the people of said County. The provisions of this clause shall not be construed to limit any other powers of the Authority; (4) To borrow money and to issue notes, bonds and revenue bonds or certificates therefor and to sell, convey, mortgage, pledge and assign any and all of its funds, property and income as security therefor; (5) To contract with Cobb County and other political subdivisions and with private persons and corporations and to sue and be sued in its corporate name; (6) To have and exercise usual powers of private corporations except such as are inconsistent with this amendment, including the power to appoint and hire officers, agents and employees and to provide their compensation and duties, which officers and agents may or may not be members of the Authority, and the power to adopt and amend a corporate seal and bylaws and regulations for the conduct and management of the Authority; (7) To encourage and promote the expansion of industry, agriculture, trade and commerce in Cobb County, and to make long range plans therefor;

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(8) To accumulate its funds from year to year and to invest accumulated funds in any manner that public funds of the State of Georgia or any of its political subdivisions may be invested; (9) To designate officers to sign and act for the Authority generally or in any specific matter; (10) To do any and all acts and things necessary or convenient to accomplish the purpose and powers of the Authority as herein stated; F. The Authority shall not be authorized to create in any manner any debt, liability or obligation against the State of Georgia or Cobb County except to the extent and in the manner as to said County as herein set forth; Debt. G. The Authority shall have the same immunity and exemption from liability for torts and negligence as the State of Georgia and the officers, agents and employees of the Authority when in performance of the work of the Authority, shall have the same immunity and exemption from liability for torts and negligence as the officers, agents and employees of the State of Georgia when in performance of their public duties or work of the State. The Authority may be sued the same as private corporations on any contractual obligation of the Authority; Immunity from tort actions. H. The members of the Authority shall receive no compensation for their services to the Authority; Compensation. I. The Authority with the consent of the Commissioner of Roads and Revenues and Advisory Board of Cobb County is hereby authorized to issue Revenue Bonds to carry out the purposes of this amendment. Revenue Bonds so issued shall be paid from the income of the Authority from whatever sources received including appropriations of public funds made to it. Such Revenue Bonds may be authorized by resolution of the Cobb County Development Authority which may

Page 1430

be adopted at a regular or special meeting by a majority vote of the members of said Authority. Said Authority in determining the cost of any undertaking for which Revenue Bonds are to be issued may include all costs relative to the issuance thereof as well as engineering, inspection, fiscal and legal expenses, and interest estimated to accrue during the construction period, and for six months thereafter and such bonds shall bear such date or dates, mature at such time or times, not exceeding thirty years from their respective dates, bear interest at such rate or rates not exceeding seven per cent per annum, and may be in such denominations and may carry such registration privileges and be subject to redemption and may contain such terms, covenants, assignments and conditions as the resolution authorizing the issuance of such bonds may provide. All bonds and the interest thereon so issued by said Authority are hereby declared to be non-taxable for any and all purposes. The governing body of Cobb County by a majority vote of its members at a regular or special meeting is hereby authorized to consent to and approve the issuance of Revenue Bonds by the Cobb County Development Authority which consent and approval may be in the form of a contract between the County and Authority and shall be recorded in the minutes of said body and shall show the amount, the date, the maturities and rate or rates of interest of the said bonds thus consented to and approved and when so consented to and approved shall bind the said governing body of said County then in office and their successors in office or such other authority or body of said County as may hereafter be empowered to levy taxes for the purpose of providing such funds as may be necessary to pay the principal of and interest on the said bonds consented to and approved and to create and maintain a reserve for that purpose. Such bonds issued by the said Authority shall be validated in the Superior Court of Cobb County in the same manner as revenue bonds of Municipalities are validated as provided in Code sections 87-815 et seq of the Code of Georgia, and in the proceedings to validate such bonds, both the Cobb County Development

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Authority and the Commissioner of Roads and Revenues and Advisory Board of Cobb County shall be named as parties defendant. In the event no bill of exceptions shall be filed within the time prescribed by law, or if filed, the judgment shall be affirmed by the Supreme Court, the judgment of the Superior Court, confirming and validating the issuance of such bonds, shall be forever conclusive as to the validity of said bonds and the security therefor against said Authority and against the said governing body or other taxing authority of said County; Bonds. J. The property of the Authority shall not be subject to levy and sale under legal process except such property, income or funds as may be pledged, assigned, mortgaged or conveyed to secure an obligation of the Authority, and any such property, funds or income may be sold under legal process or under any power granted by the Authority to enforce payment of the obligation; Property subject to levy and sale. K. This amendment and any law enacted with reference to the Authority shall be liberally construed for the accomplishment of this purpose; Construction. L. This amendment shall be effective immediately upon proclamation of its ratification by the Governor and the first members of the Authority shall be appointed within sixty (60) days after such proclamation; Effective date. M. This amendment is self enacting and does not require any enabling legislation for it to become effective, however, the General Assembly may by law further define and prescribe the powers and duties of the Authority and the exercise thereof, and may enlarge and restrict the same, and may likewise further regulate the management and conduct of the Authority not inconsistent with the provisions of this amendment. The Authority shall be an instrumentality of Cobb County, and the scope of its operation shall be limited to the territory embraced within said County; General Assembly.

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N. There shall be no limitation upon the amount of debt which the Authority may incur, but no debt created by the Authority or obligations of the County to the Authority shall be construed as a debt of Cobb County within the meaning of the provisions of Article VII, Section VII, Paragraph I of the Constitution of the State of Georgia. Debt. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to authorize Cobb County to levy an annual ad valorem tax for the promotion of industries, expansion of agriculture, trade and commerce and in furtherance of such purpose to create the Cobb County Development Authority and to authorize the Authority to issue its Revenue Bonds and to provide the method and manner of such issuance and validation and the effect thereof. Against ratification of amendment to the Constitution so as to authorize Cobb County to levy an annual ad valorem tax for the promotion of industries, expansion of agriculture, trade and commerce and in furtherance of such purpose to create the Cobb County Development Authority and to authorize the Authority to issue its Revenue Bonds and to provide the method and manner of such issuance and validation and the effect thereof.

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All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for election for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. GWINNETT COUNTY BOARD OF EDUCATIONELECTION OF MEMBERS AND SUPERINTENDENT. Proposed Amendment to the Constitution. No. 211 (House Resolution No. 492-1151). A Resolution. Proposing an amendment to the Constitution so as to provide staggered terms for the members of the Board of Education of Gwinnett County; to provide a term for the County School Superintendent; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution, as amended by an amendment relating to the Gwinnett County Board of Education ratified in 1956 and found in Georgia Laws 1956, page

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810, is hereby amended by striking from the seventh paragraph of said 1956 amendment the following: All elections thereafter for members of the county board of education shall be held on the same day as the county officers of Gwinnett County are elected every four years, and the members elected shall take office on January 1, immediately following their election. In case of a vacancy on the board for any cause other than expiration of term of office, the remaining members of the board shall elect a person who shall serve for the unexpired term. and inserting in lieu thereof the following: The members of the board elected in 1960 shall be elected for a term of four years and shall take office on January 1, 1961. The members from education districts nos. 2 and 4 who are elected in 1964 shall take office January 1, 1965 for a term of two years. The members who are elected from education districts nos. 1, 3 and 5 who are elected in 1964 shall take office January 1, 1965 for a term of four years. Thereafter, elections shall be held every two years at the same time as general elections are held in the State, and members of the board shall be elected for four-year terms so that the terms shall be staggered. All members shall take office on the first day of January immediately following their election for a term of four years and until their successors are elected and qualified. In case of a vacancy on the board for any cause other than expiration of term of office, the remaining members of the board shall elect a person from the district in which the vacancy occurs who shall serve for the unexpired term. Election and terms of members. and by striking section 2 of the aforesaid 1956 amendment in its entirety and inserting in lieu thereof the following: The Board of Education of [Illegible Text] County shall appoint a county superintendent of schools on January 1, 1961, who shall serve through June 30, 1963. Prior

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to June 30, 1963, said board shall appoint a superintendent to serve for two years, beginning July 1, 1963, and successors shall be appointed every two years prior to June 30th to take office on July 1st. A majority of the members of said board shall be required to name and appoint a superintendent. Should a vacancy occur, the board is hereby authorized to name a person to serve the unexpired term. Appointment of Superintendent by Board. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution so as to provide staggered terms for the members of the Board of Education of Gwinnett County and to provide a term for the County School Superintendent. Against ratification of amendment to the Constitution so as to provide staggered terms for the members of the Board of Education of Gwinnett County and to provide a term for the County School Superintendent. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. [Illegible Text] said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of

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the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. WORTH COUNTYBONDS TO AID IN INDUSTRIAL DEVELOPMENT. Proposed Amendment to the Constitution. No. 213 (House Resolution No. 502-1163). A Resolution. Proposing to the qualified voters of Worth County an Amendment to Article VII, Section VII, Paragraph V, of the Constitution of Georgia of 1945, so as to authorize Worth County to issue certain revenue anticipation obligations known as revenue bonds for the purpose therein stated. Be it resolved by the General Assembly of Georgia: Section 1. Article VII, Section VII, Paragraph V, of the Constitution of the State of Georgia is hereby amended by adding at the end of Paragraph V the following: Provided further, that revenue anticipation obligations herein called revenue bonds may be issued by Worth County herein called the issuer, to provide funds for the purchase, construction, enlargement, or either of facilities, including land, buildings, appurtenances, machinery and equipment, suitable for use by (a) any industry for manufacturing, processing, or assembling any agricultural or manufactured product or (b) any commercial enterprise in storing, warehousing, distributing

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or selling products of agriculture, mining and industry, or any combination thereof. Such facilities may be leased or sold by the issuer to such industry or commercial enterprise upon such terms as may be agreed upon, subject to the lien of the revenue bonds upon the revenue of the facilities involved. No sale shall be completed and title to the facility shall remain in the issuer until all revenue bonds outstanding secured by the revenue of such undertaking shall have been paid in full. The revenue bonds shall be payable, as to principal and interest, only from revenue received from such undertaking, and shall not be deemed debts of, or create debts against the issuer within the meaning of the Constitution; and the issuer shall not exercise the power of taxation for the purpose of paying the principal or interest of the revenue bonds or any part thereof. Such revenue bonds, their transfer, the income therefrom, the security therefor, and until the payment in full of the obligation such facilities shall at all times be exempt from taxation from within the State. Bonds may be issued bearing rate or rates of interest and maturing at the years and amounts determined by the governing body of the issuer and when so authorized the procedure of validation, issuance and delivery shall be in all respects in accordance with the Revenue Bond Law (Ga. L. 1937, p. 761), as amended, as if said obligations had been originally authorized to be issued thereunder. Upon the adoption of this amendment the issuer may proceed to comply with the provisions hereof immediately without any further action on the part of the General Assembly. Section 2. When the above proposed amendment to the Constitution shall have elected to each of the two thirds of the members elected to each of the two branches of the General Assembly and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted to the voters as provided

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in Article XIII, Section I, Paragraph I, of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Worth County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. Against ratification of amendment to Article VII, Section VII, Paragraph V, of the Constitution authorizing Worth County to issue revenue bonds for the purchase, construction, lease and sale of facilities useful to industry or commerce. If a majority of the electors of said County qualified to vote for members of the General Assembly, voting thereon, shall vote for ratification, thereof, when the results shall be consolidated as now required by law in election for members of the General Assembly, the said amendment shall become a part of Article VII, Section VII, Paragraph V, of the Constitution of this State, and the Governor shall issue his proclamation thereon. Approved March 17, 1960.

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GLASCOCK COUNTY BOARD OF EDUCATIONELECTION OF MEMBERS BY THE PEOPLE. Proposed Amendment to the Constitution. No. 214 (House Resolution No. 418-941). A Resolution. Proposing an amendment to the Constitution so as to provide for the election of the members of the Board of Education of Glascock County by the people; to provide for the submission of this amendment for rejection or ratification; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section V, Paragraph I of the Constitution relating to County Boards of Education, as amended, is hereby amended by adding at the end thereof the following: The Board of Education of Glascock County shall be composed of five members to be elected by the voters of the entire county. One member of the Board of Education shall be elected from each Militia District in said county, to-wit: Militia Districts 1167, 1168, 1169, and 1234. The remaining members may reside in any Militia District of the county and shall be a member-at-large of said Board of Education. Any person offering as a candidate to represent a Militia District on the Board must reside in the district from which he offers, but all members shall be elected by the voters from the entire county. Election by people. In the event this amendment is ratified, it shall be the duty of the Ordinary of Glascock County to issue the call for election, which call shall be issued at least ten days prior to the date of such election. The Ordinary shall set the date for such election during the month of December 1960. Such election shall be for the purpose of electing the first members of the Board

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of Education of Glascock County created under this amendment. It shall be the duty of the Ordinary to publish the date of the election and the purpose thereof at least once preceding the election, in the official organ of Glascock County. The members elected at such election shall take office January 1, 1961, and shall serve for a term of four years and until their successors are elected and qualified. Future elections shall be held every four years at the same time as elections for members of the General Assembly are held and the members elected shall take office on the first day of January immediately following the election. All future members shall likewise serve for a term of four years and until their successors are elected and qualified. First members. Terms. The Board of Education in Glascock County in existence at the time of ratification of this amendment is hereby abolished December 31, 1960, and the terms of all members of such Board shall expire at that time. Present Board abolished. The Board of Education of Glascock County as provided for herein shall be subject to all constitutional and statutory provisions relative to County Boards of Education, unless such provisions are in conflict with the provisions of this amendment. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Nays taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of amendment to the Constitution

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so as to provide for the election of members of the Board of Education of Glascock County by the people. Against ratification of amendment to the Constitution so as to provide for the election of members of the Board of Education of Glascock County by the people. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 17, 1960. LIABILITY OF CITY OF ATLANTA WHEN PROPERTY IN FULTON COUNTY SCHOOL DISTRICT IS ANNEXED TO CITY OF ATLANTA. Proposed Amendment to the Constitution. No. 218 (House Resolution No. 459-1136). A Resolution. Proposing to the qualified voters of the State of Georgia an amendment to Article VII, Section VII, Paragraph I of the Constitution of Georgia of 1945. Be it resolved by the General Assembly of the State of Georgia as follows:

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Section 1. Article VII, Section VII, Paragraph I of the Constitution of Georgia of 1945 is hereby amended, effective with the approval of this amendment by the necessary vote of the people, by adding the following: The provisions of the amendment to this Constitution appearing in Georgia Laws, 1951, at pages 881-884, shall apply only to past annexations. In the future, at such time as any property within the Fulton County School District is annexed to the City of Atlanta, liabilities of said District shall be assumed by said City as follows: (1) Said City shall assume that proportion of the bonded indebtedness of said District outstanding at such time, which the value of property in the annexed area subject to taxation for the payment of such indebtedness at such time, bears to the total value of such property in said District at such time; provided however, that the determination of such proportion shall be made without inclusion of any area theretofore annexed or any bonded indebtedness theretofore assumed by said City. (2) Said City shall also assume any rental contracts or other obligations owing at such time by said District in consideration of the right of future ownership or possession or use of school property in the annexed area. While any of the foregoing liabilities thus assumed are outstanding, the amounts required to meet same during any year shall be paid by said City to the Board of Education of said District on or before December 31 of the previous year; and said City shall determine annually in advance the amounts thus required to be paid, and shall include same in its budget, and necessary taxes levied and collected throughout the entire area of said City as extended shall include taxes for the purpose of paying same. So long as said City shall promptly pay such amounts, no taxes shall

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be levied or collected on behalf of said District to pay same, as would otherwise be required by Article VII, Section VII, Paragraph II of this Constitution. No liability assumed by said City in connection with any such annexation shall be considered as a debt of said District for the purpose of determining the maximum debt which this Article permits said District to incur. If at the time of any such annexation said District is in possession of any funds which the Board of Education of said District has specifically allocated for construction of school buildings in the annexed area, such Board of Education shall expend such funds upon such construction even after such annexation, and when such funds have been expended shall surrender possession of such buildings to said City. Nothing herein shall be construed as affecting the rights of any holder of bonds of said District. Section 2. Be it further enacted that when this amendment shall have been agreed to by the requisite two-thirds of the members of each House of the General Assembly, with the Ayes and Nays entered thereon, it shall be published as required by law and submitted to the qualified voters of the political subdivisions affected for ratification or rejection at the next general election at which constitutional amendments may be voted on. All persons voting at said election shall have written or printed on their ballots the words, For ratification of the amendment to Article VII, Section VII, Paragraph I of the Constitution of 1945, providing for the assumption of certain Fulton County School District obligations by the City of Atlanta in the event of future extensions of its corporate limits, and the words, Against ratification of the amendment of Article VII, Section VII, Paragraph I of the Constitution of Georgia of 1945, providing for the assumption of certain Fulton County School District obligations by the City of Atlanta in the event of

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future extensions of its corporate limits. Returns shall be made and results declared as required by law. If said amendment be adopted as required by law, it shall become a part of Article VII, Section VII, Paragraph I of the Constitution of Georgia of 1945. Approved March 23, 1960. MILLAGE LIMITATION ON TAX LEVY FOR EDUCATIONAL PURPOSES. Proposed Amendment to the Constitution. No. 219 (Senate Resolution No. 76). A Resolution. Proposing an amendment to the Constitution so as to change the provisions relating to the millage limitation for the tax levy for education; to provide for the submission of this amendment for ratification or rejection; and for other purposes. Be it resolved by the General Assembly of Georgia: Section 1. Article VIII, Section XII, Paragraph I of the Constitution, relating to taxation by counties for education, as amended by an amendment ratified November 2, 1954, and found in Georgia Laws 1953, November-December Session, page 252, is hereby amended by striking the following: The fiscal authority of the several counties shall levy a tax for the support and maintenance of education not less than five mills nor greater than fifteen mills (as recommended by the county board of education) upon the dollar of all taxable property in the county located outside independent school systems. The independent school system of Chatham county and the city of Savannah, being co-extensive with said

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county, the levy of said tax shall be on all property in said county as recommended by the governing body of said system. and inserting in lieu thereof the following: The fiscal authority of the several counties shall levy a tax for the support and maintenance of education not less than five mills nor greater than twenty mills (as recommended by the county board of education) upon the dollar of all taxable property in the county located outside independent school systems. The independent school system of Chatham county and the city of Savannah being co-extensive with said county, the levy of said tax shall be on all property in said county as recommended by the governing body of said system. Section 2. When the above proposed amendment to the Constitution shall have been agreed to by two-thirds of the members elected to each of the two branches of the General Assembly, and the same has been entered on their journals with the Ayes and Neys taken thereon, such proposed amendment shall be published and submitted as provided in Article XIII, Section I, Paragraph I of the Constitution of Georgia of 1945, as amended. The ballot submitting the above proposed amendment shall have written or printed thereon the following: For ratification of the amendment to the Constitution so as to change the provisions relating to the millage limitation for the tax levy for education. Against ratification of the amendment to the Constitution so as to change the provisions relating to the millage limitation for the tax levy for education. All persons desiring to vote in favor of adopting the proposed amendment shall vote for ratification of the

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amendment, and all persons desiring to vote against the adoption of the proposed amendment shall vote against ratification. If such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall become a part of the Constitution of this State. The returns of the election shall be made in like manner as returns for elections for members of the General Assembly, and it shall be the duty of the Secretary of State to ascertain the result and certify the result to the Governor, who shall issue his proclamation thereon. Approved March 23, 1960.

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APPELLATE COURTS SUPREME COURT OF GEORGIA HON. W. H. DUCKWORTH Chief Justice HON. T. GRADY HEAD Presiding Justice HON. T. S. CANDLER Associate Justice HON. J. H. HAWKINS Associate Justice HON. BOND ALMAND Associate Justice HON. CARLTON MOBLEY Associate Justice HON. JOSEPH D. QUILLIAN Associate Justice ROBERT H. BRINSON, JR. Law Assistant MISS MAUD SAUNDERS Law Assistant MRS. EFFIE A. MAHAN Law Assistant L. HAROLD GLORE Law Assistant ROY M. THORNTON, JR. Law Assistant JOHN PARHAM RABUN, JR. Law Assistant T. E. DUNCAN Law Assistant MISS KATHARINE C. BLECKLEY Clerk HENRY H. COBB Deputy Clerk ARTHUR H. CODINGTON Reporter GEORGE H. RICHTER Assistant Reporter A. BROADDUS ESTES Sheriff COURT OF APPEALS OF GEORGIA HON. JULE W. FELTON Chief Judge HON. B. C. GARDNER Presiding Judge HON. J. M. C. TOWNSEND Judge HON. IRA CARLISLE Judge HON. H. E. NICHOLS Judge HON. JOHN SAMMONS BELL Judge HON. JOHN E. FRANKUM Judge CHARLES ROY ADAMS Law Assistant MRS. GLADYS T. MEDLOCK Law Assistant MRS. ALFREDDA WILKERSON Law Assistant H. GRADY ALMAND Law Assistant BEN ESTES Law Assistant G. STANLEY JOSLIN Law Assistant A. SIDNEY PARKER Law Assistant MORGAN THOMAS Clerk RALPH E. CARLISLE Deputy Clerk MISS EDNA EARL BENNETT Special Deputy Clerk ARTHUR H. CODINGTON Reporter GEORGE H. RICHTER Assistant Reporter CHARLES W. BALDWIN Sheriff

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SUPERIOR COURT CALENDAR FOR 1960 JUDGES, SOLICITORS, AND CALENDAR ALAPAHA CIRCUIT. HON. FOLKS HUXFORD, Judge, Homerville. BEN T. WILLOUGHBY, Solicitor-General, Homerville. AtkinsonThird Mondays in February and July, and fourth Monday in October. BerrienSecond and third Mondays in May; first and second Mondays in September; second Mondays in March and December. ClinchFirst Mondays in March and October, and fourth Monday in June. CookFirst and second Mondays in February, May, August, and November. LanierFourth Mondays in February, May, August, and November. ALBANY CIRCUIT. HON. CARL E. CROW, Judge, Camilla. MASTON E. O'NEAL, Solicitor-General, Bainbridge. BakerThird Mondays in January and July. CalhounFirst Mondays in June and December. DecaturFirst Mondays in May and November. DoughertyThird Mondays in March and September. GradyFirst Mondays in March and September. MitchellSecond Mondays in January, April, July and October. ATLANTA CIRCUIT. HONS. VIRLYN B. MOORE, LUTHER ALVERSON, E. E. ANDREWS, RALPH PHARR, GEORGE P. WHITMAN, SR., JESSE M. WOOD, CLAUDE D. SHAW, DURWOOD T. PYE, J. C. (JEP) TANKSLEY, Judges, Atlanta. PAUL WEBB, Solicitor-General, Atlanta. FultonFirst Mondays in January, March, May, July, September, and November.

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ATLANTIC CIRCUIT. HON. HENRY H. DURRENCE, Judge, Claxton. BRUCE D. DUBBERLY, Solicitor-General, Glennville. BryanThird Monday in March and first Monday in November. EvansFirst Mondays in April and October. LibertyThird Mondays in February and September. LongFirst Mondays in March and September. McIntoshFourth Mondays in February and May, second Monday in September, and first Monday in December. TattnallThird Mondays in April and October. AUGUSTA CIRCUIT. HONS. GROVER C. ANDERSON, Waynesboro; F. FREDERICK KENNEDY, Augusta, Judges. GEORGE HAINS, Solicitor-General, Augusta. BurkeSecond Mondays in May and November. ColumbiaFourth Mondays in March and September. RichmondThird Mondays in January, March, May, July, September and November. BLUE RIDGE CIRCUIT. HON. HOWELL BROOKE, Judge, Canton. SAM. P. BURTZ, Solicitor-General, Canton. CherokeeThird Monday in January; first Monday in May; second Monday in September. FanninFourth Mondays in April and August; first Monday in December. ForsythFourth Mondays in March and July, and third Monday in November. GilmerThird Monday in May; fourth Monday in October. PickensFirst Monday in April, and fourth Monday in September.

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BRUNSWICK CIRCUIT. HON. DOUGLAS F. THOMAS, Judge, Jesup. W. GLENN THOMAS, Solicitor-General, Jesup. ApplingSecond and third Mondays in February; third and fourth Mondays in October. CamdenFirst Mondays in April and November; third Monday in June. GlynnSecond Mondays in January, May, and September. Jeff DavisFirst Mondays in March, June, and December, and fourth Monday in September. WayneThird and fourth Mondays in April and November. CHATTAHOOCHEE CIRCUIT. HONS. HUBERT CALHOUN, J. R. THOMPSON, Judges, Columbus. JOHN H. LAND, Solicitor-General, Columbus. ChattahoocheeFourth Mondays in March and September. HarrisThird and fourth Mondays in January and July. MarionFourth Mondays in April and October. MuscogeeFirst Mondays in February, April, June, August, October and December. TalbotSecond Mondays in March and November; third Monday in August. TaylorFirst and second Mondays in January and July. CHEROKEE CIRCUIT HON. JEFFERSON L. DAVIS, Judge, Cartersville. RONALD F. CHANCE, Solicitor-General, Calhoun. BartowFirst Mondays in February and August; fourth Mondays in April and October. GordonFirst Mondays in March and September; fourth Mondays in May and November. MurrayThird Mondays in February and August; second Mondays in May and November. WhitfieldSecond Mondays in January and July; first Mondays in April and October.

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CLAYTON CIRCUIT. HON. WILLIAM H. REYNOLDS, Judge, Jonesboro. HAROLD R. BANKE, Solicitor-General, Jonesboro. ClaytonFirst Mondays in February, May, August and November. COBB CIRCUIT. HON. JAMES T. MANNING, Judge, Marietta. LUTHER C. HAMES, JR., Solicitor-General, Marietta. CobbSecond Mondays in February, April, June, August, October, and first Monday in December. CORDELE CIRCUIT HON. O. WENDELL HORNE, JR., Judge, Cordele. HARVEY L. JAY, Solicitor-General, Fitzgerald. Ben HillSecond and third Mondays in January, April, July, and October. CrispFourth Mondays and the Mondays following, in January, April, July, and October. DoolySecond and third Mondays in February, May, August, and November. WilcoxFirst Monday in March; fourth Mondays in June and November, and the Mondays following each of them. COWETA CIRCUIT. HON. SAMUEL J. BOYKIN, Judge, Carrollton. WRIGHT LIPFORD, Solicitor-General, Newnan. CarrollFirst Mondays in April and October. CowetaFirst Monday in March; first Tuesday in September. HeardThird Mondays in March and September. MeriwetherThird Mondays in February, May, August, and November. TroupFirst Mondays in February, May, August, and November.

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DUBLIN CIRCUIT. HON. RUFUS I. STEPHENS, Judge, Dublin. HAROLD E. WARD, Solicitor-General, Dublin. JohnsonThird Mondays in March, June, September, and December. LaurensFourth Mondays in January, April, July and October. TreutlenThird Mondays in February and August. TwiggsSecond Mondays in January, April, July and October. EASTERN CIRCUIT HONS. DUNBAR HARRISON, EDWIN A. McWHORTER, B. B. HENRY, Judges, Savannah. ANDREW J. RYAN, Solicitor-General, Savannah. ChathamFirst Mondays in March, June, September and December. FLINT CIRCUIT. HON. THOMAS J. BROWN, JR., Judge, McDonough. HUGH DORSEY SOSEBEE, Solicitor-General, Forsyth. ButtsFirst and second Mondays in February and November; first Monday in May; third and fourth Mondays in August. HenryThird and fourth Mondays in January, April, July, and October. LamarFirst and second Mondays in March, June, September, and December. MonroeThird and fourth Mondays in February, May and November, and first and second Mondays in August. GRIFFIN CIRCUIT. HON. JOHN H. McGEHEE, Judge, Thomaston. ANDREW J. WHALEN, Jr., Solicitor-General, Griffin. FayetteFirst and second Mondays in March; and second and third Mondays in September. PikeThird and fourth Mondays in February and November, fourth Monday in July, and first Monday in August. SpaldingFirst and second Mondays in February and October, and third and fourth Mondays in June. UpsonThird and fourth Mondays in March and August, and first and second Mondays in November.

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LOOKOUT MOUNTAIN CIRCUIT HON. JOHN W. DAVIS, Judge, Summerville. EARL B. (BILL) SELF, Solicitor-General, Summerville. CatoosaFirst Mondays in February and August, and second Mondays in May and November. ChattoogaSecond Mondays in January, April, July and October. DadeThird Mondays in March, June and September, and second Monday in December. WalkerThird Mondays in February and August, and first Mondays in May and November. MACON CIRCUIT. HONS. OSCAR L. LONG, Macon; A. M. ANDERSON, Perry; HAL BELL, Macon, Judges. WILLIAM M. WEST, Solicitor-General, Macon. BibbFirst Mondays in February, April, June, August, October, and December. CrawfordThird and fourth Mondays in March and October. HoustonThird and fourth Mondays in April and August; and first and second Mondays in December. PeachFirst and second Mondays in March and August, and third and fourth Mondays in November. MIDDLE CIRCUIT. HON. ROBERT H. HUMPHREY, Judge, Swainsboro. W. H. LANIER, Solicitor-General, Metter. CandlerFirst and second Mondays in February and August. EmanuelSecond Mondays in January, April, July and October. JeffersonSecond Mondays in May and November. ToombsFourth Mondays in February, May, August, and November. WashingtonFirst Mondays in March, June, September and December.

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MOUNTAIN CIRCUIT. HON. LAMAR N. SMITH, Judge, Toccoa. IRWIN R. KIMZEY, Solicitor-General, Clarkesville. HabershamFirst Mondays in March, June and November; second Monday in August. RabunFourth Mondays in February and August; second Monday in June; and first Monday in December. StephensSecond Mondays in January, April, July, October. TownsFourth Mondays in March and September. UnionFirst Mondays in April and October. Non-Jury: First Mondays in January and July. NORTHEASTERN CIRCUIT. HON. G. FRED KELLEY, Judge, Gainesville. JEFF WAYNE, Solicitor-General, Gainesville. DawsonFirst Mondays in March and August. HallThird Mondays in January and July; first Mondays in May and November. LumpkinThird Mondays in March and September. WhiteSecond Mondays in April and October. NORTHERN CIRCUIT. HON. CAREY SKELTON, Judge, Hartwell. CLETE D. JOHNSON, Solicitor-General, Royston. ElbertFirst Monday in March; second Monday in September. FranklinThird Mondays in January and October; fourth Monday in March; first Monday in August. HartFirst Mondays in February and October; fourth Monday in May. MadisonThird Mondays in February and May; fourth Monday in August; second Monday in December. OglethorpeThird Monday in March; fourth Monday in September.

Page 1455

OCMULGEE CIRCUIT. HON. GEORGE S. CARPENTER, Judge, Milledgeville. GEORGE D. LAWRENCE, Solicitor-General, Eatonton. BaldwinSecond Mondays in January, April, July, and October. GreeneFourth Mondays in January, April, July, and October. HancockFourth Mondays in March and September; second Mondays in June and December. JasperSecond Mondays in February, August, and November. JonesFirst Mondays in February and August; third Mondays in April and October. MorganFirst Mondays in March, June, September, and December. PutnamThird Mondays in March, June, September and December. WilkinsonFirst Mondays in January, April, July, and October. OCONEE CIRCUIT. HON. JOHN WHALEY, Judge, McRae. J. WADE JOHNSON, Solicitor-General, Mount Vernon. BleckleyFirst Monday in March and second Mondays in July and November. DodgeThird and fourth Mondays in May and November. MontgomeryFirst Mondays in February, May, August, and November. PulaskiSecond and third Mondays in March and September, and second Mondays in June and December. TelfairFourth Mondays in February and June, and third and fourth Mondays in October. WheelerSecond Mondays in February and October, and third Monday in June. OGEECHEE CIRCUIT. HON. J. L. RENFROE, Judge, Statesboro. WALTON USHER, Solicitor-General, Guyton. BullochFourth Mondays in January, April, July, and October. EffinghamThird Mondays in April and October. JenkinsSecond Mondays in May and November. ScrevenSecond Mondays in January, April and July; third Monday in November.

Page 1456

PATAULA CIRCUIT. HON. WALTER I. GEER, Judge, Colquitt. JOE M. RAY, Solicitor-General Cuthbert. ClayThird Mondays in March and November. EarlyThird Mondays in January and July. MillerFourth Mondays in April and October. QuitmanFourth Mondays in March and September. RandolphFirst Mondays in May and November. SeminoleSecond Mondays in January and July. TerrellFirst Mondays in June and December. PIEDMONT CIRCUIT. HON. MAYLON CLINKSCALES, Judge, Commerce. ALFRED A. QUILLIAN, Solicitor-General, Winder. BanksThird Monday in March; second Monday in November. BarrowThird and fourth Mondays in February and August; first Mondays in May and November. GwinnettFirst Mondays in March, June, and December; second Monday in September. JacksonFirst Mondays in February and August. ROME CIRCUIT. HON. MACK G. HICKS, Judge, Rome. CHASTINE PARKER, Solicitor-General, Rome. FloydSecond Mondays in January, March, July, and September; and first Mondays in May and November. SOUTHERN CIRCUIT. HON. GEORGE R. LILLY, Judge, Quitman. BOB HUMPHREYS, Solicitor-General, Moultrie. BrooksFirst Mondays in May and November. ColquittFirst Mondays in April and October. EcholsSecond Mondays in March and September. LowndesThird Mondays in May and November. ThomasThird Mondays in January, April, July, and October.

Page 1457

SOUTHWESTERN CIRCUIT. HON. CLEVELAND REES, Judge, Preston. CHARLES BURGAMY, Solicitor-General, Americus. LeeFirst Mondays in May and November. MaconSecond Mondays in May and November. SchleySecond Mondays in February and August. StewartSecond Mondays in January and July. SumterFourth Mondays in May and November. WebsterFourth Mondays in January and July. STONE MOUNTAIN CIRCUIT. HONS. FRANK H. GUESS, Decatur; CLARENCE R. VAUGHAN, Conyers; H. O. HUBERT, Jr., Decatur, Judges. RICHARD BELL, Solicitor-General, Decatur. DeKalbFirst Mondays in March, June, September, and December. NewtonFirst Monday in January, and third Mondays in March, July, and September. RockdaleThird Monday in January, and first Mondays in April, July, and October. TALLAPOOSA CIRCUIT. HON. W. A. FOSTER, JR., Judge, Dallas. DAN WINN, Solicitor-General, Cedartown. DouglasThird Mondays in March and September. HaralsonThird Mondays in January, July, and October. PauldingSecond Monday in February, and first Mondays in May, August, and November. PolkFourth Mondays in February and August.

Page 1458

TIFTON CIRCUIT. HON. J BOWIE GRAY, Judge, Tifton. W. J. FOREHAND, Solicitor-General, Sylvester. IrwinThird and fourth Mondays in February and November, and first Monday in July. TiftFirst Mondays in March and September, and first and second Mondays in June and December. TurnerSecond and third Mondays in January and July, and second Mondays in April and October. WorthFourth Mondays in January, April, July, and October. TOOMBS CIRCUIT. HON. EARLE NORMAN, Judge, Washington. J. CECIL DAVIS, Solicitor-General, Warrenton. GlascockThird Mondays in February, May, August, and November. LincolnFourth Mondays in January, April, July, and October. McDuffieSecond Mondays in March, June, September, and December. TaliaferroFourth Mondays in February, May, August, and November. WarrenFirst Mondays in April, July and October, and third Monday in January. WilkesFirst Mondays in February, May, August, and November. WAYCROSS CIRCUIT. HON. CECIL RODDENBERRY, Judge, Nahunta. DEWEY HAYES, Solicitor-General, Douglas. BaconFirst Mondays in February and August; fourth Monday in May; third Monday in November. BrantleyThird Mondays in January and September; first Monday in April; fourth Monday in November. CharltonFourth Mondays in March and September. CoffeeSecond and third Mondays in March and October; second Monday in June; first Tuesday after the first Monday in January. PierceSecond Monday in January; first Mondays in May and December; third Monday in August. WareFourth Mondays in January, April, July, and October.

Page 1459

WESTERN CIRCUIT. HON. CARLISLE COBB, Judge, Athens. D. MARSHALL POLLOCK, Solicitor-General, Monroe. ClarkeSecond Mondays in January, April, July, and October. OconeeFourth Mondays in January and July. WaltonThird Mondays in February, May, August, and November.

Page 1460

INDEX TABULAR INDEX PROPOSED AMENDMENTS TO THE CONSTITUTION. Appropriation of funds for adequate systems of roads and bridges 1297 Appropriations to departments to pay amounts due on leases with State authorities 1273 Area schools 1259 Athens-Clarke County Industrial Development Authority 1379 Athens Public Facilities Authority 1257 Baldwin County; authority to General Assembly 1395 Bibb County; tax to provide medical and surgical care for employees 1280 Brooks County, City of Quitman school systems merger 1321 Brooks County Development Authority 1227 Brunswick Ports Authority 1247 Catoosa County Board of Tax Administrators 1283 Chattahoochee County; bonds to aid in industrial development 1418 Clarke County; building code, etc. 1310 Clarke County; license fees, etc. 1313 Clarke County; ordinance making authority 1316 Clarke County; paving of streets, etc. 1306 Clarke County; storm sewers, etc. 1308 Clarke County; water, etc. systems 1387 Clay County; bonds to aid in industrial development 1354 Clayton County; fire districts 1206 Cobb County Development Authority 1426 Cobb County Planning and Zoning Commission 1238 Columbus Parking Authority 1414 Compensation of members of General Assembly 1347 Counties authorized to secure liability insurance 1366 Dade County; bonds to aid in industrial development 1374 Decatur County; bonds to aid in industrial development 1368 DeKalb County; tax for industrial development 1410 Discipline of militia when not in Federal service 1255 Dougherty County; business licenses, etc. 1392 Early County; bonds to aid in industrial development 1341 Elbert County Board of Education 1195 Glascock County Board of Education 1439 Glynn County Sewerage Districts 1397 Glynn County; sheriff's duties 1232 Glynn County; tax for industrial development 1420 Gwinnett County Board of Education 1433 Hall County Board of Education 1199 Hall County; fire districts 1303 Industrial Development Commission of State 1262 Lee County; bonds to aid in industrial development 1349 Levy on marriage licenses for benefit of Ordinaries Retirement Fund 1268 Liability of City of Atlanta when property of Fulton County School District annexed to Atlanta 1441

Page 1461

Lowndes County Board of Education 1223 McIntosh County Board of Education 1422 Macon County; bonds to aid in industrial development 1295 Marion County; bonds to aid in industrial development 1287 Meriwether County; revenue bonds 1203 Millage limitation on tax levy for education purposes 1444 Morgan County; license taxes 1219 Morgan County; tax to promote industry 1217 Moultrie-Colquitt County Development Authority 1402 Promotion of agricultural products 1245 Public funds for school lunch programs 1213 Quitman County; revenue bonds 1253 Repayment of loans or scholarships for medical education 1300 Richmond County; authority to General Assembly 1370 Richmond County; tax for industrial development 1276 Rockdale County; debt limit 1264 Rockdale County to license and regulate businesses 1266 Savannah Transit Authority 1344 Scholarships for specialized training in mental health 1215 Smyrna, City of; independent school system 1376 Spalding County; water districts 1390 State Board of Education 1270 State funds to municipalities 1211 Stewart County; authorized to construct bridge over Chattahoochee River 1251 Stewart County; bonds to aid in industrial development 1339 Stewart County; electrical system 1249 Taking of private property for road and street purposes 1225 Taylor County; bonds to aid in industrial development 1289 Telfair County; bonds to aid in industrial development 1400 Thomasville Payroll Development Authority 1329 Tift County Board of Education 1207 Tift County Development Authority 1240 Tift County; homestead exemption as to taxes for education 1408 Valdosta-Lowndes County Industrial Authority 1359 Ware County; license fees, etc. 1351 Wayne County Board of Education 1234 Whitfield County; fire districts 1357 Wilcox County; bonds to aid in industrial development 1292 Worth County; bonds to aid in industrial development 1436 MEMORIALS TO CONGRESS Proposing an amendment to the Constitution, States Rights 1177 CODE SECTIONS 5-105AmendingCompensation of Commissioners and employees of Department of Agriculture 106

Page 1462

5-107(13)EnactingFines by Commissioner of Agriculture 245 Chapters 5-10, 5-11RepealingFertilizer 916 5-1201RepealingFertilizer 916 Chapters 5-13, 5-14RepealingFertilizer 916 Chapter 5-16AmendingNaval Stores 82 6-1001AmendingBills of Exceptions 965 13-201AmendingBranch banks 67 13-201.1AmendingBranch banks 67 13-203AmendingBranch banks 67 13-203.1AmendingBranch banks 67 13-204AmendingNew private banks prohibited 1170 13-207AmendingHolding companies 67 13-208AmendingSuperintendent of Banks 67 13-405AmendingFees for examination of banks 945 13-9938AmendingBranch banks 67 21-105AmendingCoroners' fees 1021 24-2501AmendingGwinnett Judicial Circuit 110 24-2714AmendingRecord storage away from courthouse 120 24-2715(16)AmendingFacsimile signatures by Clerks of Superior Courts of counties of 150,000 or more population 196 24-3501, 24-3502AmendingAdditional judge on Court of Appeals 158 26-1302AmendingPunishment for rape 266 26-6701RepealingMinors rolling tenpins 201 26-4701RepealingBarratry redefined, punishment 1135 26-5104AmendingLicenses to carry firearms 938 26-6801RepealingCigarettes, etc. to minors 202 27-2602AmendingInsanity after conviction of capital offense 988 30-101AmendingDivorce cases 1023 30-122AmendingDisabilities in divorce actions 1024 Chapter 32-3AmendingEngineering Experiment Station 1131 32-511AmendingCompensation of Superintendent of Schools 1184 34-3316EnactingTabulation of absentee ballots 203 Chapter 35-2RepealingMental health 837 35-204RepealingCost for care of patients in State Institutions 1138 40-401, 40-411AmendingBudget Bureau 187 40-2002, 40-2003AmendingMileage allowance for State employees 79 40-2004, 40-2005RepealingMileage allowance for State employees 79 42-202, 42-209AmendingTax stamps on commercial feeding stuffs 970 47-109AmendingPay of deceased members of General Assembly 141 48-311(a)AmendingGifts of securities to minors 232 49-204AmendingGuardian and ward 170 53-201AmendingMarriage licenses 179 Chapter 54-6AmendingEmployment Security Law 861 67-1105AmendingLiens on crops 118

Page 1463

67-2002AmendingLaborer's and materialmen's liens 103 67-2003AmendingMechanics liens 912 68-201AmendingGovernmental motor vehicles 777 68-208AmendingMoney order receipt as temporary licenses 943 68-502AmendingVehicles exempt from regulation 1129 68-520AmendingEnforcement of Motor Carrier Act 1126 68-626AmendingEnforcement of Motor Common Carrier Act 1126 Chapter 73-2AmendingInspection of petroleum products 1043 74-9902AmendingEffect of acquittal in certain cases 952 81-212AmendingService of process upon minors 204 84-1105, 84-1109AmendingOptometry 961 88-102, 88-104AmendingState Board of Health 792 87-201AmendingNotice of bond elections 1032 87-302AmendingAction to validate bonds 1034 88-105AmendingDirector of Department of Public Health 987 91-804AAmendingSale of County owned property in counties of 400,000 or more persons 1124 92-2901, 92-2902AmendingMotor vehicle licenses 998 92-2902RepealingGovernmental motor vehicles 777 92-2908, 92-2910AmendingMotor vehicle license tags 1031 92-2918, 92-2921EnactingMotor vehicle licenses 998 92-3101, 92-3106bAmendingIncome tax 1005 92-3105AmendingOrganizations exempt from income tax 249 92-3109AmendingDepreciation and depletion allowance in computing net income 1055 92-3119AmendingIncome taxes on timber transactions 117 92-3301b, 92-3301c, 92-3302aAmendingIncome tax 1005 92-3401AmendingEstate taxes 835 92-3402RepealingEstate taxes 835 92-4101AmendingTax rate in City of Concord 859 92-5301AmendingTax collector's compensation 107 93-208AmendingSalaries of Public Service Commissioners 57 93-210AmendingPublic Service Commission 168 Chapter 99-24RepealingMental health 837 100-101AmendingState Depository Board 1144 100-105AmendingState Depository Board 1144 100-111AmendingState Depository Board 1144 105-1306AmendingActions for homicide of wife or mother 968 109-503AmendingAssessments against trust companies not receiving deposits subject to checks 1175 Chapter 111-2RepealingRegulation of sales of flue cured tobacco 214 COURTS SUPREME COURT Social Security coverage for justices 1096

Page 1464

COURT OF APPEALS Additional judge 158 Judges Emeritus 911 SUPERIOR COURTS Atlanta Judicial Circuit; assistant solicitors-general 1041 Brunswick Judicial Circuit; judge's salary 52 Clayton Judicial Circuit; salary of solicitor-general 195 Clerks may store records away from courthouse 120 Cobb Judicial Circuit; additional judge 121 Cobb Judicial Circuit; assistant solicitor-general 149 Gwinnett Judicial Circuit; created 110 Hearings at chambers 1022 Houston; terms, grand juries 231 Judges Emeritus Act amended 161 Macon Judicial Circuit; additional judge 64 Mountain Judicial Circuit; reporter placed on salary for reporting felony trials 258 Northeastern Judicial Circuit; judge's salary 147 Northeastern Judicial Circuit; reporter placed on salary for reporting felony cases 267 Piedmont Judicial Circuit; solicitor-general placed on fee basis 115 Stone Mountain Judicial Circuit; assistant solicitors-general 832 Stone Mountain Judicial Circuit; judges' supplement 1089 Stone Mountain Judicial Circuit; salary of solicitor-general 185 CITY COURTS Baxley; salary of socilitor, juries 2101 Blackshear; solicitor's salary 2653 Brunswick; salaries, court costs 2647 Claxton; salary of solicitor 2970 Compensation of judges and solicitors in counties having population of not less than 23,700 and not more than 24,200 persons 3201 Metter; jurisdiction, fees, salaries 3310 Newnan; salaries of judge and solicitor 3031 Savannah; practice and procedure 2332 CIVIL AND CRIMINAL COURTS DeKalb; salaries, costs, practice and procedure 2166 CIVIL COURTS Fulton; compensation of clerk and marshall 2347 Fulton; retirement of judges and solicitor-general 3143 , 3185

Page 1465

CRIMINAL COURTS Fulton; retirement of judges and solicitors-general 3143 , 3185 Fulton; salaries of assistant solicitors-general 2088 JUVENILE COURTS Fulton; retirement of judges and solicitors-general 3143 , 3185 Judges Pro Tempore 200 MUNICIPAL COURTS Savannah; judge's salary 2280 COUNTIES AND COUNTY MATTERSNAMED COUNTIES Appling; land conveyance authorized 137 Bacon; primary elections 2086 Baldwin; authority to General Assembly, proposed amendment to the Constitution 1395 Baldwin; county depositories 2256 Baldwin; terms of commissioners 2254 Banks; commissioners of roads and revenues 3035 Bartow; coroner placed on salary 2731 Bibb; Macon Bibb County 3223 Bibb; tax to provide medical and surgical care for employees, proposed amendment to the Constitution 1280 Brooks; development authority, proposed amendment to the Constitution 1227 Brooks; merger of school system, proposed amendment to the Constitution 1321 Bulloch; board of commissioners 2313 Bulloch; clerical help for tax commissioner 2592 Bulloch; clerk of superior court placed on salary 2763 Bulloch; ordinary placed on salary 2590 Bulloch; sheriff placed on salary 2594 Catoosa; board of tax administrators, proposed amendment to the Constitution 1283 Catoosa; compensation of commissioner 2960 Charlton; sheriff and ordinary placed on salaries 2229 Chatham; fire protection districts 3173 Chatham; pension board act amended 2597 Chatham; salary of tax commissioner 2956 Chatham; waterworks, sanitation and sewerage systems 3175 Chattahoochee; bonds to aid in industrial development, proposed amendment to the Constitution 1418 Clarke; Athens-Clarke County Industrial Development Authority, proposed amendment to the Constitution 1379 Clarke; building code, etc., proposed amendment to the Constitution 1310 Clarke; license fees, etc., proposed amendment to the Constitution 1313 Clarke; magistrate's court 3208

Page 1466

Clarke; ordinances, proposed amendment to the Constitution 1316 Clarke; paving of streets, etc. outside municipalities, proposed amendment to the Constitution 1306 Clarke; storm sewers, etc., proposed amendment to the Constitution 1308 Clarke; water, etc. systems, proposed amendment to the Constitution 1387 Clay; bonds to aid in industrial development, proposed amendment to the Constitution 1354 Clayton; compensation of commissioners 2268 Clayton; compensation of sheriff and clerk of superior court 2263 Clayton; compensation of tax commissioner 2266 Clayton; fire districts, proposed amendment to the Constitution 1206 Clayton; metropolitan planning district 3102 Cobb; development authority, proposed amendment to the Constitution 1426 Cobb; metropolitan planning 3102 Cobb; planning and zoning commission, proposed amendment to the Constitution 1238 Cobb; recreation authority 2138 Coffee; commissioners' election 2147 Colquitt; Moultrie-Colquitt County Development Authority, proposed amendment to the Constitution 1402 Coweta; officers placed on salaries 3028 Coweta; use of convicts to maintain cemeteries 3007 Dade; bonds to aid in industrial development, proposed amendment to the Constitution 1370 Decatur; bonds to aid in industrial development, proposed amendment to the Constitution 1368 DeKalb; metropolitan planning 3102 DeKalb; pension system act amended 2975 DeKalb; tax for industrial development, proposed amendment to the Constitution 1410 Dodge; ordinary placed on salary 2613 Dooly; building supervisor, board of commissioners 2882 Dougherty; business licenses, proposed amendment to the Constitution 1392 Dougherty; development of property outside municipalities 2837 Dougherty; sheriff's office 2224 Douglas; compensation of commissioners 2701 Early; bonds to aid in industrial development, proposed amendment to the Constitution 1341 Early; supplement to ordinary 3083 Elbert; board of education, proposed amendment to the Constitution 1195 Emanuel; clerical help for tax commissioner 2358 Emanuel; terms of commissioners 2360 Evans; clerk of superior court placed on salary 2973 Floyd; insurance coverage for employees 2966 Floyd; officers' salary act amended 2962

Page 1467

Franklin; commissioner's advisory board 2143 Fulton; annexation of school property to City of Atlanta, proposed amendment to the Constitution 1441 Fulton; Atlanta and Fulton County Recreation Authority 2810 Fulton; metropolitan planning 3102 Fulton; residence of employees 3194 Glascock; board of education, proposed amendment to the Constitution 1439 Glynn; sewerage districts, proposed amendment to the Constitution 1397 Glynn; sheriff placed on salary 2806 Glynn; sheriff's duties, proposed amendment to the Constitution 1232 Glynn; tax for industrial development, proposed amendment to the Constitution 1420 Glynn; vacancies on board of commissioners 2986 Greene; officers placed on salaries 3093 Greene; tax commissioner placed on salary 3089 Gwinnett; board of education, proposed amendment to the Constitution 1433 Gwinnett; metropolitan planning 3102 Hall; board of education, proposed amendment to the Constitution 1199 Hall; fire districts, proposed amendment to the Constitution 1303 Hall; salary of superior court judge 147 Harris; clerk of superior court placed on salary 2926 Harris; office of tax commissioner created 2920 Harris; ordinary placed on salary 2928 Harris; sheriff placed on salary 2923 Hart; compensation of commissioner 3177 Houston; clerical help for commissioners 2584 Houston; office of tax commissioner created 2587 Houston; tax commissioner placed on salary 2605 Lamar; officers placed on salaries 2294 Laurens; board of commissioners of roads and revenues 2077 Laurens; budgets of named departments 2199 Laurens; compensation of tax commissioner 2083 Laurens; office hours of designated officials 2070 Laurens; salary of clerk of superior court 2164 Laurens; sheriff placed on salary 2072 Lee; bonds to aid in industrial development, proposed amendment to the Constitution 1349 Liberty; board of commissioners 2237 Liberty; compensation of deputy sheriffs 2098 Lincoln; treasurer's salary 2940 Lowndes; board of education, proposed amendment to the Constitution 1223 Lowndes; Valdosta-Lowndes County Industrial Authority 2786 Lowndes; Valdosta-Lowndes County Industrial Authority, proposed amendment to the Constitution 1359 McDuffie; law books to 3014

Page 1468

McIntosh; board of education, proposed amendment to the Constitution 1422 McIntosh; clerk of superior court placed on salary 2888 McIntosh; ordinary placed on salary 2904 McIntosh; sheriff placed on salary 2893 McIntosh; tax commissioner placed on salary 2899 Macon; bonds to aid in industrial development, proposed amendment to the Constitution 1295 Marion; bonds to aid in industrial development, proposed amendment to the Constitution 1287 Meriwether; revenue bonds, proposed amendment to the Constitution 1203 Morgan; compensation of commissioners and clerk 2942 Morgan; law books to 2384 Morgan; license taxes, proposed amendment to the Constitution 1219 Morgan; officers placed on salaries 2518 Morgan; tax to promote industry, proposed amendment to the Constitution 1217 Pulaski; clerk of superior court placed on salary 2991 Pulaski; ordinary placed on salary 2998 Pulaski; salaries of commissioner and clerk 3012 Pulaski; sheriff placed on salary 3001 Pulaski; tax collector placed on salary 2995 Pulaski; tax receiver placed on salary 3009 Pulaski; treasurer's duties 3155 Quitman; revenue bonds, proposed amendment to the Constitution 1253 Quitman; authority to General Assembly, proposed amendment to the Constitution 1370 Richmond; compensation of members of board of education 3132 Richmond; tax for industrial development, proposed amendment to the Constitution 1276 Rockdale; clerical help for tax commissioner 3170 Rockdale; debt limit, proposed amendment to the Constitution 1264 Rockdale; licensing and regulation of businesses, proposed amendment to the Constitution 1266 Screven; clerk of superior court placed on salary 2048 Screven; office of tax commissioner created 2042 Screven; ordinary placed on salary 2040 Screven; sheriff placed on salary 2046 Spalding; compensation of tax commissioner 2753 Spalding; officers placed on salaries 2756 Spalding; water districts, proposed amendment to the Constitution 1390 Stephens; clerk of superior court placed on salary 3121 Stephens; ordinary placed on salary 3130 Stewart; bonds to aid in industrial development, proposed amendment to the Constitution 1339 Stewart; bridge over Chattahoochee River, proposed amendment to the Constitution 1251

Page 1469

Stewart; commissioner's salary, advisory board 2051 Stewart; electrical system, proposed amendment to the Constitution 1249 Sumter; law books to 2380 Taylor; bonds to aid in industrial development, proposed amendment to the Constitution 1289 Telfair; bonds to aid in industrial development, proposed amendment to the Constitution 1400 Telfair; closed deer season 1088 Terrell; development authority bonds 2107 Tift; board of education, proposed amendment to the Constitution 1207 Tift; development authority, proposed amendment to the Constitution 1240 Tift; donations to library from City of Tifton 2930 Tift; homestead exemption repealed as to taxes for education, proposed amendment to the Constitution 1408 Tift; land conveyance by Board of Regents authorized 1071 Walton; commissioners' salaries 2063 Walton; officers placed on salary 2056 Walton; salary of tax commissioner 2067 Ware; license fees, etc., proposed amendment to the Constitution 1351 Wayne; board of commissioners created 2202 Wayne; board of education, proposed amendment to the Constitution 1234 Whitfield; advisory board to commissioners 2308 Whitfield; fire districts, proposed amendment to the Constitution 1357 Whitfield; office of tax commissioner created 2019 Whitfield; officers placed on salaries 2007 Whitfield; salary of commissioner of roads and revenues 2003 Wilcox; bonds to aid in industrial development, proposed amendment to the Constitution 1292 Wilcox; compensation of commissioner 3189 Worth; bonds to aid in industrial development, proposed amendment to the Constitution 1436 COUNTIES AND COUNTY MATTERSBY POPULATION Act providing for zoning in counties of 300,000 or more persons 3206 Act relating to elections in counties of not less than 29,050 and not more than 30,250 persons repealed 2258 Assistant treasurers in counties having population of not less than 100,000 and not more than 110,000 persons 2721 Audits of fiscal affairs of counties having population of not less than 31,200 and not more than 33,100 persons 3148 Certification of nominees in primary elections in counties of not less than 29,050 and not more than 30,250 persons 2104 Clerks of superior courts in counties of not less than 24,600 and not more than 24,950 persons placed on fee basis 2762

Page 1470

Clerks of superior court in counties of not less than 7,411 and not more than 7,436 persons to attend certain cases in courts of ordinary 2504 Compensation of judges and solicitors of city courts in counties having population of not less than 23,700 and not more than 24,200 persons 3201 Compensation of members of boards of education in counties of more than 300,000 persons 2800 Distribution of fines and forfeitures funds in court of ordinaries in counties of not less than 7,411 and not more than 7,436 persons 2517 Employees of ordinaries in counties of not less than 108,000 and not more than 114,000 persons 3172 Fees of coroners in counties of not less than 30,000 and not more than 30,500 persons 1021 Law libraries authorized in counties of not less than 30,500 and not more than 31,000 persons 2515 Members and terms of city-county boards of tax assessors in counties having greater part of city with population of over 300,000 persons 3146 New militia districts in counties of not less than 27,000 and not more than 27,500 persons 2105 Office of director of public safety abolished in counties of 300,000 or more persons 3188 Office of treasurer abolished in counties of over 400,000 persons 3187 Ordinaries may accept pleas of guilty under game and fish laws in counties of not less than 11,225 nor more than 11,700 persons 2050 Recording, etc. plats of survey in counties of 300,000 or more persons 3196 Salaries of sheriffs' employees in counties of not less than 108,000 and not more than 114,000 persons 2553 Sale of county owned property in counties of 400,000 or more persons 1124 Solicitation of votes in counties of not less than 27,200 and not more than 27,500 persons 2684 Stenographers authorized to be present in grand juries in counties of not less than 150,000 and not more than 450,000 persons 2530 Tax collectors' compensation in counties of not less than 32,500 and not more than 33,500 population, Code 92-5301 amended 107 Term of attorney of city-county board of tax assessors in counties having greater part of city with population of more than 300,000 persons 2860 Use of convicts in counties of 300,000 or more persons 2805 Use of facsimile signatures by clerks of superior courts in counties of 150,000 or more population 196 Voters' Registration Act of 1958 amended as to counties having population between 114,000 and 400,000 persons 947

Page 1471

MUNICIPAL CORPORATIONSNAMED CITIES Adel; new charter 3055 Ailey; name change to City of 3100 Albany; board of tax assessors 2874 Albany; board of water, gas and light commissioners 2876 Albany; corporate limits 2827 Alma; corporate limits 3201 Alma; system of lights 2259 Americus; corporate limits 2328 Athens; assessment and collection of taxes 2232 Athens; Athens-Clarke County Industrial Development Authority, proposed amendment to the Constitution 1379 Athens; authority to close streets 2768 Athens; Public Facilities Authority Act 2531 Athens; public facilities authority, proposed amendment to the Constitution 1257 Athens; recorder's court bonds 2551 Athens; terms of mayor and aldermen 2234 Atlanta; annexation of Fulton County school property, proposed amendment to the Constitution 1441 Atlanta; Atlanta and Fulton County Recreation Authority 2810 Atlanta; corporate limits 3040 Atlanta; easement authorized 1164 Atlanta; Regional Metropolitan Planning District 3102 Atlanta; retirement of fire department personnel 2497 Augusta; land conveyance authorized 1179 Augusta; mayor 3161 Austell; corporate limits 2118 Avera; charter amended 2913 Bainbridge; employees' retirement 3167 Blakely; charter amended 2414 Bremen; charter amended 2948 Brunswick; charter amended 2793 Calhoun; corporate limits 2681 Camilla; corporate limits 2301 Cave Spring; ad valorem tax rate 2968 Cedartown; corporate limits 2111 , 2116 Chatsworth; corporate limits 3178 Chatsworth; street closed 3184 Chickamauga; power to sell, etc., electric power 2096 Clayton; new charter 2417 Claxton; charter amended 2499 Claxton; corporate limits 2251 Cochran; bonded debt limit 3136 Colbert; authority to close alley 2285 College Park; charter amended 2801 College Park; corporate limits 2849 , 2854 Columbus; compensation of commissioners 3016 Columbus; parking authority, proposed amendment to the Constitution 1414

Page 1472

Concord; taxes 859 Concord; tax rate 2281 Conyers; commission form of government 2028 Covington; charter amended 2617 Dalton; authority to close street 2017 Dalton; authority to close named streets 2091 Dalton; corporate limits 2703 , 2937 Dalton; funds to retirement fund 2706 Decatur; compensation of mayor and commissioners 2982 Decatur; tax for school purposes 2979 Decatur; terms of commissioners 3158 Donalsonville; tax assessors 2555 Dublin; charter amended 2158 East Point; authority to close streets 3046 East Point; bonds 3050 East Point; charter amended 3044 East Point; city attorney 3048 East Point; mayor 3053 Elberta; corporate limits 2603 Elberton; qualifications of city manager 2729 Emerson; charter amended 2723 Fitzgerald; charter amended 2577 Forest Park; charter amended 2770 Gainesville; civil service act of 1960 2240 Gainesville; corporate limits 2150 Gainesville; polling places 2766 Gainesville; tax for school purposes 2261 Garden City; charter amended 2863 Gray; charter amended 2884 Griffin; assessments for sewer installations 2750 Griffin; charter amended 2746 Griffin; corporate limits 2396 Griffin; off street parking 2748 Hamilton; corporate limits 2651 Hartwell; charter amended 3183 Hawkinsville; corporate limits 3140 Holly Springs; charter amended 2315 Ideal; name change to City of, elections 2733 Jesup; charter amended 2688 Kennesaw; corporate limits 2133 Kingston; land conveyance authorized 1083 Lawrenceville; authority to sell or lease public utilities 2601 Loganville; authority to close street 2932 Loganville; mayor's salary 2933 Lumpkin; corporate limits 2311 McDonough; authority to close streets 2726 McDonough; corporate limits 3297 Macon; authority to convey certain air rights 2869 Macon; compensation of mayor and aldermen 3191 Macon; corporate limits 2318

Page 1473

Macon; hospital commission 2337 Macon; Macon Bibb County 3223 Marietta; corporate limits, wards 2173 Monroe; charter amended 2060 Moultrie; Moultrie-Colquitt County Development Authority, proposed amendment to the Constitution 1402 Mt. Vernon; name change to City of 3098 Nashville; charter amended 3301 Newman; authority to close streets, etc. 3004 Newnan; city manager 3020 Newnan; zoning law repealed 3157 Oglethorpe; authority to close alley 3165 Patterson; name change to City of Patterson 2411 Plainsville; new charter 2657 Powder Springs; corporate limits 2123 Quitman; merger of school system, proposed amendedment to the Constitution 1321 Quitman; tax for armory 2719 Ray City; new charter 2473 Rhine; terms of mayor and councilmen 2608 Ringgold; tax exemption repealed 3195 Riverdale; charter amended 2737 Rockmart; charter amended 2839 Rome; charter amended 2988 Rome; corporate limits 2349 Savannah; authority to convey land 2958 Savannah; authority to convey property 2283 Savannah; corporate limits 2213 Savannah; transit authority 2620 Savannah; transit authority, proposed amendment to the Constitution 1344 Savannah Beach; elections 2221 Smyrna; city manager 2127 Smyrna; corporate limits 2505 Smyrna; independent school system, proposed amendment to the Constitution 1376 Snellville; corporate limits 3134 Spring Place; ad valorem tax 3180 Summerville; street closed 2559 , 2561 , 2563 , 2565 Tallapoosa; recorder's court 2944 Taylorsville; charter amended 2287 Thomaston; corporate limits 2698 Thomasville; payroll development authority 2567 Thomasville; payroll development authority, proposed amendment to the Constitution 1329 Thomson; land conveyance 1059 Thunderbolt; elections 2277 Thunderbolt; term, etc. of clerk of council an ex officio treasurer 2271 Thunderbolt; terms of mayor and aldermen 2273 Tifton; donations to Tift County Library 2930

Page 1474

Tifton; salaries of commissioners 2413 Toccoa; corporate limits 2775 Trenton; corporate limits 2879 Trion; corporate limits 2710 , 2715 Tybee Island; elections 2221 Unadilla; charter amended 3153 Union Point; corporate limits 3308 Uvalda; name change to City of 3097 Valdosta; charter amended 2782 Valdosta; corporate limits 3125 Valdosta; pension system abolished 2685 Valdosta; Valdosta-Lowndes County Industrial Authority 2786 Valdosta; Valdosta-Lowndes County Industrial Authority, proposed amendment to the Constitution 1359 Vidalia; land conveyance from State authorized 58 Vienna; elections 3149 Villa Rica; charter amended 2407 Waco; authority to grant franchises 2861 Waverly Hall; tax for fire protection 2291 Winder; corporate limits 2909 Woodland; name change to City of 3307 Wrightsville; charter amended 3084 Young Harris; new charter 2523 MUNICIPAL CORPORATIONSBY POPULATION Act creating traffic courts in cities having population of more than 300,000 persons amended 2846 Business licenses in cities having population of more than 300,000 persons 2847 Cities with population of not less than 119,500 and not more than 250,000 may become self insurers 2709 Pensions for members of police departments of cities of more than 150,000 persons 3205 Zoning law for cities of 300,000 or more persons amended 3222 RESOLUTIONS AUTHORIZING COMPENSATION Compensation to Hoyt Anderson 2383 Compensation to American Sumatra Tobacco Company 2377 Compensation to Mrs. Maggie C. Baxter 2373 Compensation to Berkeley Pump Company 2364 Compensation to Jack Butler 2382 Compensation to J. C. Cooley 2385 Compensation to Walter R. Ellington 2366 Compensation to T. E. Faircloth 2395 Compensation to Walter Gamble 2394 Compensation for death of Henry Grady Higginbotham 2368 Compensation to Alexander J. Horak 2363 Compensation to Robert J. House 2378 Compensation to Hugh J. Humphries 2381

Page 1475

Compensation to International Harvester Company 2388 Compensation to Dr. George W. Jackson 140 Compensation to Willie F. LaFavor 2367 Compensation to J. R. Meeks 2386 Compensation to Lee Roy Nation 3015 Compensation to Lunsford J. Neal and Grady Bradford 2149 Compensation to Bernard Joseph Reilly 2372 Compensation to Janet Reilly 2371 Compensation to Mrs. Margaret Reilly 2370 Compensation to Seaboard Air Line Railroad 2389 Compensation to Mr. and Mrs. A. O. Shadburn 2393 Compensation to Ferrnell L. Spivey 2387 Compensation to Loyd Tatum 2374 Compensation to James Hubert Walker 2391 Compensation to John D. Wall 2379 ACTS AUTHORIZING LAND CONVEYANCES Conveyance of land to Georgia Ports Authority 956 Land conveyance to Georgia Ports Authority authorized 788 Franklin D. Roosevelt Warm Springs Memorial Commission authorized to convey land 1039 RESOLUTIONS AUTHORIZING LAND CONVEYANCES Land conveyance to Appling County authorized 137 Conveyance of land to City of Kingston authorized 1083 Conveyance of land by Board of Regents authorized 1071 Conveyance of land in Richmond County authorized 1179 Exchange of lands in Richmond County authorized 286 Conveyance of land to City of Thomson authorized 1059 Conveyance of land to City of Vidalia authorized 58 MISCELLANEOUS RESOLUTIONS Authority to pay expenses of wildlife rangers 1070 Board of Regents urged to add a director of agricultural matters to its staff 1084 Brice State Park proposed 278 Committee to study Barratry laws 1078 Committee to study projects to Commemorate Centennial of War Between the States 284 Easement on Crooked River State Park property ratified 1057 Easement to City of Atlanta authorized 1164 Executive order authorizing suspension of penalties in connection with late filing, etc. of tax returns ratified 1069 Executive order relieving urban transit systems from paying past due sales and use tax ratified 1166 Executive order suspending sales and use tax as to certain hospitals ratified 1066

Page 1476

Executive order suspending sales and use tax on certain transactions ratified 1073 Funds to administer provisions of Insurance Code of 1960 1087 Hon. Willis N. Hardin member State Highway Board 273 E. T. Hatchett relieved as security on bond 2375 Honorable Robert H. Jordan member of State Highway Board 274 , 275 David Knott Bridge designated 1062 Law books to McDuffie County 3014 Law books to Morgan County 2384 Law books to Sumter County 2380 Lease of Old Farmers' Market 283 Lease with City Center, Inc. ratified by Senate 61 , 1182 Mental Health Study Committee created 1064 Per diem for members of joint income tax law study committee 1168 Purchase of new Great Seal authorized 281 Reidsville State Park named 1082 Seminole State Park named 1077 Station wagons for use of schools for deaf and blind authorized 1061 Sale of telephone lines at Reidsville State Prison authorized 280 Suspension of sales tax collections by sellers of Holy Bibles and Testaments ratified 276 University of Georgia Law School congratulated on 100th anniversary 1076

Page 1477

INDEX A ABANDONMENT Effect of acquittal in certain cases 952 ABSENTEE BALLOTS Tabulation 203 ADEL, CITY OF New charter 3055 ADOPTION LAW Consent by parent 791 AGENCY FOR SURPLUS PROPERTY Lease of Old Farmers' Market 283 AGRICULTURE Advisor and advisory committee to State institutional farms 783 Compensation of Commissioner and employees 106 Economic Poisons Act amended 178 , 914 Fines by Commissioner 245 Georgia Fertilizer Act of 1960 916 Georgia Seed Development Act amended 1106 Land conveyance of State Farmers Market at Vidalia authorized 58 Licensing, etc. of truck brokers 175 Licenses to feed garbage to livestock 939 Liens to secure advances on crops 118 Livestock and Poultry Control Board Act amended 1104 Milk Control Act amended 797 Office of supervising inspector of naval stores abolished 82 Promotion of agricultural products, proposed amendment to the Constitution 1245 Regulation of sales of flue cured tobacco 214 Soil Conservation Districts 973 State Entomology Act of 1937 amended 255 Structural Pest Control Act amended 813 Tax on non-resident vehicles hauling agricultural products 248 Tax stamps on commercial feeding stuffs 970 AILEY, CITY OF Name changed from Town of 3100

Page 1478

ALBANY, CITY OF Board of tax assessors 2874 Board of water, gas and light commissioners 2876 Corporate limits 2827 ALCOHOLISM Treatment of prisoners addicted to alcohol 234 ALMA, CITY OF Corporate limits 3201 System of lights 2259 AMERICAN LEGION Special automobile tag for Commander 3 AMERICAN SUMATRA TOBACCO COMPANY Compensation to American Sumatra Tobacco Company 2377 AMERICUS, CITY OF Corporate limits 2328 AMVETS Special automobile tag for Commander 3 ANDERSON, HOYT Compensation to Hoyt Anderson 2383 APPLING COUNTY Land conveyance authorized 137 APPLING SUPERIOR COURT Salary of judge 52 APPROPRIATIONS Funds for adequate system of roads and bridges, proposed amendment to the Constitution 1297 To departments to pay amounts due on leases with State authorities, proposed amendment to the Constitution 1273 ARCHIVES AND HISTORY Presentation of old Great Seal upon purchase of new one 281

Page 1479

Procedure dealing with destruction of obsolete State records 780 Records of Division of Confederate Pensions and Records 882 Construction of building by Office Building Authority 192 AREA SCHOOLS Proposed amendment to the Constitution 1259 ATHENS, CITY OF Assessment and collection of taxes 2232 Athens-Clarke County Industrial Development Authority, proposed amendment to the Constitution 1379 Authority to close streets 2768 Public Facilities Authority Act 2531 Public Facilities Authority, proposed amendment to the Constitution 1257 Recorder's Court bonds 2551 Terms of mayor and aldermen 2234 ATLANTA, CITY OF Annexation of Fulton County school property, proposed amendment to the Constitution 1441 Atlanta and Fulton County Recreation Authority 2810 Corporiate limits 3040 Easement authorized 1164 Retirement of fire department personnel 2497 ATLANTA JUDICIAL CIRCUIT Assistant solicitors-general 1041 ATLANTA REGIONAL METROPOLITAN PLANNING DISTRICT Created 3102 ATTORNEY GENERAL Copy of records in capital felony cases 965 Operation and members of Budget Bureau 187 AUGUSTA, CITY OF Land conveyance from State authorized 1179 Mayor 3161 AUSTELL, CITY OF Corporate limits 2118

Page 1480

AUTHORITIES Appropriations to departments to pay amounts due on leases with State authorities, proposed amendment to the Constitution 1273 Brunswick Ports Authority, proposed amendment to the Constitution 1247 Georgia Development Authority Act amended 764 Jekyll Island Authority bonds 89 Land conveyance to Georgia Ports Authority authorized 788 State Hospital Authority Act amended 48 State Office Building Authority Act amended 192 State Penal and Rehabilitation Authority Act 892 State School Building Authority, appropriation 909 State School Building Authority, bonds 775 Transit Authority Act of 1960 1025 University System Building Authority bonds 887 AUTOMOBILES User Car Dealers Registration Act amended 801 , 980 AUTOPSY Georgia Post Mortem Examination Act amended 1009 AVERA, TOWN OF Charter amended 2913 B BACON COUNTY Primary elections 2086 BAINBRIDGE CITY OF Employees' retirement 3167 BALDWIN COUNTY Authority to General Assembly, proposed amendment to the Constitution 1395 County depositories 2256 Terms of commissioners 2254 BANKRUPTCY Effect of recording petitions 197

Page 1481

BANKS AND BANKING Assessments against trust companies not receiving deposits subject to check 1175 Branches 67 Fees to cover cost of examinations 945 Inspection fees for credit unions 977 New private banks prohibited 1170 BANKS COUNTY Commissioners of roads and revenues 3035 BARRATRY Committee to study barratry laws 1078 Redefined, punishment 1135 BARTOW COUNTY Coroner placed on salary 2731 BATTEY STATE HOSPITAL Care of prisoners afflicted with tuberculosis 769 BAXLEY, CITY COURT OF Salary of solicitor, juries 2101 BAXTER, MRS. MAGGIE C. Compensation to Mrs. Maggie C. Baxter 2373 BERKELEY PUMP COMPANY Compensation to Berkeley Pump Company 2364 BIBB COUNTY Macon Bibb County 3223 Tax to provide medical and surgical care for employees, proposed amendment to the Constitution 1280 BIBB SUPERIOR COURT Additional judge 64 BLACKSHEAR, CITY COURT OF Solicitor's salary 2653 BLAKELY, CITY OF Charter amended 2414

Page 1482

BLIND, ACADEMY FOR THE Purchase of station wagon authorized 1061 BLIND, GEORGIA FACTORY FOR THE Act creating, amended 172 BLUE SKY LAW Georgia Securities Act amended 957 BOARD OF EDUCATION, STATE Members, terms, proposed amendment to the Constitution 1270 BOARD OF FUNERAL SERVICE Act amended 806 BOARD OF REGENTS OF UNIVERSITY SYSTEM Commissioner of Agriculture ex officio members, proposed amendment to the Constitution 1318 Director of Agricultural Matters 1084 Land conveyance to Tift County authorized 1071 Liability insurance for operation of nuclear facilities 1027 BONDS Actions to validate 1034 Bonds of State employees 78 Jekyll Island Authority 89 Notice of elections 1032 Revenue Bond Law of 1937 amended, sale price of bonds 1050 State Office Building Authority 192 State School Building Authority 775 University Building Authority 887 BOWLING Rolling of tenpens by minors 201 BRADFORD, GRADY Compensation to Grady Bradford 2149 BRANCH BANKS Banking Law of Georgia amended 67 BREMEN, CITY OF Charter amended 2948

Page 1483

BRICE STATE PARK Proposed 278 BROOKS COUNTY Development Authority, proposed amendment to the Constitution 1227 Merger of school system, proposed amendment to the Constitution 1321 BRUNSWICK, CITY OF Charter amended 2793 BRUNSWICK, CITY COURT OF Salaries, court costs 2647 BRUNSWICK JUDICIAL CIRCUIT Salary of judge 52 BRUNSWICK PORTS AUTHORITY Creation, proposed amendment to the Constitution 1247 BUDGET BUREAU Operation and members 187 Work hours for State Employees 1103 BULLOCH COUNTY Board of commissioners 2313 Clerical help for tax commissioner 2592 Clerk of superior court placed on salary 2763 Ordinary placed on salary basis 2590 Sheriff placed on salary basis 2594 BUSES, SCHOOL Compensation of drivers 770 Purchase and sale 966 BUSINESS LICENSES See name of County or City. In municipalities of more than 300,000 persons 2847 BUTLER, JACK Compensation to Jack Butler 2382

Page 1484

C CALHOUN, CITY OF Corporate limits 2681 CAMILLA, CITY OF Corporate limits 2301 CAMDEN SUPERIOR COURT Salary of judge 52 CATOOSA COUNTY Board of Tax Administrators, proposed amendment to the Constitution 1283 Salary of commissioner 2960 CAVE SPRING, CITY OF Ad valorem tax rate 2968 CEDARTOWN, CITY OF Corporate limits 2111 , 2116 CENTENNIAL OF WAR BETWEEN THE STATES Committee to study projects to commemorate 284 CHARLTON COUNTY Sheriff and ordinary placed on salaries 2229 CHATHAM COUNTY Fire protection districts 3173 Pension board act amended 2597 Salary of tax commissioner 2956 Waterworks, sanitation and sewerage systems 3175 CHATSWORTH, CITY OF Corporate limits 3178 Street closed 3184 CHATTAHOOCHEE COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1418

Page 1485

CHICKAMAUGA, CITY OF Power to sell, etc. electric power 2096 CIGARETTES Furnishing to minors 202 CITY CENTER, INC. Lease by Western and Atlantic Railroad Commission ratified 61 Lease ratified by Senate 1182 CITY COURT OF BAXLEY Salary of solicitor, juries 2101 CITY COURT OF BLACKSHEAR Solicitor's salary 2653 CITY COURT OF BRUNSWICK Salaries, court costs 2647 CITY COURT OF CLAXTON Salary of solicitor 2970 CITY COURT OF METTER Jurisdiction, fees, salaries 3310 CITY COURT OF NEWNAN Salaries of judge and solicitor 3031 CITY COURT OF SAVANNAH Practice and procedure 2332 CITY COURTS Compensation of judges and solicitors in counties having population of not less than 23,700 and not more than 24,200 persons 3201 CIVIL AND CRIMINAL COURT OF DEKALB COUNTY Salaries, costs, practice and procedure 2166

Page 1486

CIVIL COURT OF FULTON COUNTY Compensation of clerk and marshall 2347 Retirement Act amended 3143 , 3185 CLARKE COUNTY Athens-Clarke County Industrial Development Authority, proposed amendment to the Constitution 1379 Building code, etc., proposed amendment to the Constitution 1310 License fees, etc., proposed amendments to the Constitution 1313 Magistrates Court 3208 Ordinance making authority, proposed amendment to the Constitution 1316 Paving of streets, etc. outside municipalities, proposed amendment to the Constitution 1306 Storm sewers, etc. proposed amendment to the Constitution 1308 Water, etc. systems, proposed amendment to the Constitution 1387 CLAXTON, CITY COURT OF Salary of solicitor 2970 CLAXTON, CITY OF Charter amended 2499 Corporate limits 2251 CLAY COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1354 CLAYTON, CITY OF Charter amended 2417 CLAYTON COUNTY Compensation of commissioners 2268 Compensation of sheriff and clerk of superior court 2263 Compensation of tax commissioner 2266 Fire Districts, proposed amendment to the Constitution 1206 Metropolitan planning 3102 CLAYTON JUDICIAL CIRCUIT Salary of solicitor-general 195 CLERKS OF SUPERIOR COURTS See Name of County. Storage of records away from courthouse 120

Page 1487

COBB COUNTY Development Authority, proposed amendment to the Constitution 1426 Metropolitan planning 3102 Planning and Zoning Commission, proposed amendment to the Constitution 1238 Recreation Authority 2138 COBB JUDICIAL CIRCUIT Additional judge 121 Assistant solicitor-general 149 COCHRAN, CITY OF Bonded debt limit 3136 COFFEE COUNTY Commissioners' election 2147 COLBERT, CITY OF Authority to close alley 2285 COLLEGE PARK, CITY OF Charter amended 2801 Corporate limits 2849 , 2854 COLQUITT COUNTY Moultrie-Colquitt County Development Authority, proposed amendment to the Constitution 1402 COLUMBUS, CITY OF Compensation of commissioners 3016 Parking Authority, proposed amendment to the Constitution 1414 COMMERCE, DEPARTMENT OF Welcome stations at highway entrance to State 1097 COMMISSIONER OF AGRICULTURE See Also Agriculture. Authority to impose fines 245 Compensation, Code 5-105 amended 106 Ex officio members of Regents, proposed amendment to the Constitution 1318

Page 1488

COMMISSIONS Duties and functions of Veterans' Home Commission transferred 1150 Georgia Commission on Alcoholism abolished, functions transferred 205 Industrial Development Commission, proposed amendment to the Constitution 1262 Lease by Western and Atlantic Railroad Commission ratified 61 Mansion Sites Commission created, duties 1125 COMMITTEES Compensation of members of Joint Income Tax Law Study Committee 1168 General Assembly Committee on Schools 1187 COMPENSATION, STATE BOARD OF WORKMENS' Salaries 812 COMPILER OF LAWS Secretary of State to employ compiler of laws 1098 COMPTROLLER GENERAL Insurance Code of 1960 289 Liquefied Petroleum Safety Act amended 143 CONCORD, CITY OF Code 92-410192-4104 not applicable 859 Tax rate 2281 CONDEMNATION Compensation to landowners, proposed amendment to the Constitution 1225 CONFEDERATE FLAG OR EMBLEM Use in advertising prohibited 985 CONFEDERATE PENSIONS AND RECORDS Division of Confederate Pension and Records abolished 882 CONTRACTS TO SELL LAND Effect of year's support 227

Page 1489

CONVICTS Use of convict labor in counties of 300,000 or more persons 2805 Use of convicts to maintain cemeteries in Coweta County 3007 CONYERS, CITY OF Commission form of government 2028 COOLEY, J. C. Compensation to J. C. Cooley 2385 CORPORATIONS Personal liability of employees responsible for sales taxes or income taxes 210 CORONERS See Also Name of County. Fees in counties of not less than 30,000 and not more than 30,500 persons 1021 Georgia Post Mortem Examination Act amended 1009 CORPORATIONS Mergers 1111 CORRECTIONS Care of prisoners afflicted with tuberculosis 769 Effect of violation of probation 857 Sale of telephone lines at Reidsville State Prison authorized 280 Georgia Prison Industries Act 880 State Penal and Rehabilitation Authority Act 892 Treatment to prisoners addicted to alcohol or dope 234 COUNTIES See Also Name of County. Act relating to elections in counties of not less than 29,050 and not more than 30,250 persons repealed 2258 Assistant treasurer in counties having population of not less than 100,000 and not more than 110,000 persons 2721 Audits in counties having population of not less than 31,200 and not more than 33,100 persons 3148 Authority to secure liability insurance, proposed amendment to the Constitution 1366

Page 1490

Certification of nominees in primary elections in counties of not less than 29,050 and not more than 30,250 persons 2104 Clerks of superior courts in counties of not less than 24,600 and not more than 24,950 persons placed on fee basis 2762 Compensation of members of boards of education in counties of more than 300,000 persons 2800 Employees of ordinaries of counties of not less than 108,000 and not more than 114,000 persons 3172 Members and terms of city-county boards of tax assessors in counties having greater part of city with population of over 300,000 persons 3146 New militia districts in counties of not less than 27,000 and not more than 27,500 persons 2105 Office of director of public safety abolished in counties of 300,000 or more persons 3188 Office of treasurer abolished in counties of over 400,000 persons 3187 Recording, etc. plats of survey 3196 Registration of owned motor vehicles 777 Sale of county owned property in counties of 400,000 or more persons 1124 Taxes for school lunch program, proposed amendment to the Constitution 1213 Term of attorney of city-county board of tax assessors in counties having greater part of city with population of more than 300,000 persons 2860 Use of convicts in counties of 300,000 or more persons 2805 Zoning in counties of 300,000 or more persons 3206 COURT OF APPEALS Additional judge 158 Judges Emeritus 911 COVINGTON, CITY OF Charter amended 2617 COWETA COUNTY Officers placed on salaries 3028 Use of convicts to maintain cemeteries 3007 CRAWFORD SUPERIOR COURT Additional judge 64 CREDIT CARDS Crimes arising from fraudulent use 1113

Page 1491

CREDIT UNIONS Inspection fees 977 CRIMES See Also Subject Matter. Barratry redefined, punishment 1135 Effect of verdict of acquittal in abandonment cases 952 Failure to relinquish telephone party line in emergency 915 Fraudulent use of credit cards 1113 Furnishing cigarettes, etc. to minors no longer a crime 202 Impersonation of agent of Georgia Bureau of Investigation 247 Misdemeanor to forge or to fraudulently aid in obtaining drivers license 994 Ordinaries may accept pleas of guilty under game and fish laws in counties of not less than 11,225 and not more than 11,700 persons 2050 Punishment after third conviction of lottery 60 Punishment for rape 266 Refused to leave private property a misdemeanor 142 Rolling of tenpins by minors permitted 201 CRIMINAL COURT OF FULTON COUNTY Retirement Act amended 2143 , 3185 Salaries of assistant solicitors-general 2088 CROOKED RIVER STATE PARK Easement ratified 1057 CROPS Liens to secure advance 118 CURRENT INCOME TAX PAYMENT ACT OF 1960 Enacted 7 D DADE COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1374 DALTON, CITY OF Authority to close named streets 2091 Authority to close street 2017 Corporate limits 2703 , 2937 Funds to retirement fund 2706

Page 1492

DEAF, SCHOOL FOR THE Purchase of station wagon authorized 1061 DEATHS Permits governing dead human bodies 1130 Post Mortem Examination Act amended 1009 DECATUR, CITY OF Compensation of mayor and commissioners 2982 Terms of commissioners 3158 School tax 2979 DECATUR COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1368 DEKALB COUNTY Metropolitan planning 3102 Pension System Act amended 2975 Tax for industrial development, proposed amendment to the Constitution 1410 DEKALB COUNTY, CIVIL AND CRIMINAL COURT OF Salaries, costs, practice and procedure 2166 DEKALB SUPERIOR COURT Assistant solicitors-general 832 Judges' supplement 1089 Salary of solicitor-general 185 DEMONSTRATIVE EVIDENCE Use in civil cases 1037 DEPARTMENT OF COMMERCE Vending machines in welcome stations 1097 DEPARTMENT OF LABOR Appropriation of funds 1028 DEPARTMENT OF PUBLIC HEALTH Functions of Commission on Alcoholism transferred 205 Salary, qualifications, etc. of Director 987

Page 1493

DEPARTMENT OF PUBLIC SAFETY Impersonation of agent of Bureau of Investigation 247 Inspection of school buses and examination of drivers 950 Misdemeanor to forge or to fraudulently aid in obtaining drivers license 994 Subsistence allowances, operator's fees 132 Use of radio wave length adopted by department 995 DEPARTMENT OF PUBLIC WELFARE Exchange of lands in Richmond County 286 Factory for the Blind Act amended 172 DEPOSITORY BOARD, STATE Act creating, amended, duties, etc. 1144 DEVELOPMENT AUTHORITY Georgia Development Authority Act amended 764 DISABLED AMERICAN WAR VETERANS Special automobile tag for Commander 3 DISTRIBUTION OF INCOME BY TRUSTEES Requirements 194 DIVORCE AND ALIMONY Mode of hearing divorce cases 1023 Rights and disabilities in divorce actions 1024 DODGE COUNTY Ordinary placed on salary basis 2613 DONALSONVILLE, CITY OF Tax assessors 2555 DOOLY COUNTY Building supervisor, board of commissioners 2882 DOPE Treatment of prisoners addicted to dope 234 DOUGHERTY COUNTY Business licenses, etc., proposed amendment to the Constitution 1392

Page 1494

Development of property outside municipalities 2837 Sheriff's office 2224 DOUGLAS COUNTY Compensation of commissioners 2701 DOWER Subject to recorded options to purchase and contracts to sell 951 DRIVERS' LICENSES Misdemeanor to forge or to fraudulently aid in obtaining drivers license 994 DUBLIN, CITY OF Charter amended 2158 E EARLY COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1341 Supplement to ordinary 3083 EAST POINT, CITY OF Authority to close streets 3046 Bonds 3050 Charter amended 3044 City attorney 3048 Mayor 3053 ECONOMIC POISONS ACT Amended 178 , 914 EDUCATION Area schools, proposed amendment to the Constitution 1259 Bonds of State School Building Authority 775 Capital outlay for school buildings 909 Commissioner of Agriculture ex officio member of Board of Regents 1318 Compensation of members of county boards of education in counties of more than 300,000 persons 2800 Compensation of school bus drivers 770 Compensation of State Superintendent of Schools 1169 , 1184 Contingent appropriation 982

Page 1495

County taxes for school lunch program, proposed amendment to the Constitution 1213 General Assembly Committee on Schools 1187 Inspection of school buses and examination of drivers 950 Lease of property at Old Farmers' Market 283 Liability insurance for operation of Nuclear Facilities by Regents 1027 Medical scholarships, repayment by service at Milledgeville State Hospital, proposed amendment to the Constitution 1300 Members, terms, of State Board of Education, proposed amendment to the Constitution 1270 Millage limitation on tax levy for educational purposes, proposed amendment to the Constitution 1444 Purchase and sale of school buses 966 Purchase of station wagons for schools for deaf and blind authorized 1061 Scholarships for teachers 229 Taxation by municipalities to support independent school systems 147 Teachers' retirement system Act amended 935 ELBERT COUNTY Board of Education, proposed amendment to the Constitution 1195 ELBERTA, CITY OF Corporate limits 2603 ELBERTON, CITY OF Qualifications of city manager 2729 ELECTIONS Act relating to elections in counties of not less than 29,050 and not more than 30,250 persons repealed 2258 Certification of nominees in primary elections in counties of not less than 29,050 and not more than 30,250 persons 2104 Determination of residence of qualified voters 257 Primaries in which candidates for General Assembly may run 115 Solicitation of votes in counties of not less than 27,200 and not more than 27,500 persons 2684 Tabulation of absentee ballots 203 Voters' Registration Act of 1958 amended as to counties having population between 114,000 and 400,000 persons 947 Voters' Registration Act of 1958 amended, records 955

Page 1496

ELECTRIC MEMBERSHIP CORPORATION ACT Rural area defined, contributions to municipalities 5 ELECTRICITY Installation, etc. of high voltage lines 181 ELLINGTON, WALTER R. Compensation to Walter R. Ellington 2366 EMANUEL COUNTY Clerical help for tax commissioner 2358 Terms of commissioners 2360 EMBALMERS Licensing Act amended 806 EMERSON, CITY OF Charter amended 2723 EMINENT DOMAIN Compensation to land owners, proposed amendment to the Constitution 1225 Soil Conservation Districts 973 EMPLOYEES Automobile mileage allowance for State employees 79 Bonds of State employees 78 Expenses of Wildlife Rangers 228 , 1070 Merit System of Personnel Administration Act amended 1162 Pre-employment physical examinations 189 Subsistence allowances of members of Department of Public Safety 132 Work hours of State employees 1103 EMPLOYEES' RETIREMENT SYSTEM ACT Credit for prior service 1020 Credit for service in armed forces 1115 EMPLOYMENT SECURITY AGENCY Appropriation of funds 1028 EMPLOYMENT SECURITY LAW Amended 861

Page 1497

ENGINEERING EXPERIMENT STATION Code Chapter 32-3 amended 1131 ENTOMOLOGY State Entomology Act of 1937 amended 255 ESTATE TAXES Assessments, returns, etc. 835 EVANS COUNTY Clerk of superior court placed on salary 2973 EXAMINING BOARDS Credit to veterans 1172 EXPERIMENT STATION Code Chapter 32-3 amended 1131 EXPORT TAXES Export taxes prohibited 806 F FACSIMILE SIGNATURES Use by clerks of superior courts in counties of 150,000 or more population 196 FACTORY FOR THE BLIND Act creating amended 172 FAIRCLOTH, T. E. Compensation to T. E. Faircloth 2395 FARMERS MARKETS Land conveyance of market at Vidalia authorized 58 FERTILIZER Georgia Fertilizer Act of 1960 916 FIDELITY BONDS State employees 78

Page 1498

FIDUCIARY SECURITY TRANSFERS Uniform Act 827 FINES AND FORFEITURES Distribution of fines arising from load and size violations of motor vehicles 1107 FIREARMS Licenses to carry firearms 938 FIRE MARSHAL Liquefied Petroleum Safety Act amended 143 FIREMEN'S PENSION SYSTEM ACT Benefits 991 FISHING LICENSES Licenses 974 FITZGERALD, CITY OF Charter amended 2577 FLOYD COUNTY Insurance coverage for employees 2966 Officers' Salary Act amended 2962 FOREST PARK, CITY OF Charter amended 2770 FRANKLIN COUNTY Commissioner's advisory board 2143 FRANKLIN D. ROOSEVELT WARM SPRINGS MEMORIAL COMMISSION Authority to convey land 1039 FULTON COUNTY Annexation of school property to City of Atlanta, proposed amendment to the Constitution 1441 Atlanta and Fulton County Recreation Authority 2810 Metropolitan planning 3102 Residence of employees 3194

Page 1499

FULTON COUNTY, CIVIL COURT OF Compensation of clerk and marshal 2347 Retirement Act amended 3143 , 3185 FULTON COUNTY, JUVENILE COURT OF Retirement Act amended 3143 , 3185 FULTON COUNTY, CRIMINAL COURT OF Retirement Act amended 3143 , 3185 Salaries of assistant solicitors-general 2088 FULTON SUPERIOR COURT Assistant solicitors-general 1041 FUNERAL SERVICE BOARD Act creating amended 806 G GAINESVILLE, CITY OF Civil Service Act of 1960 2240 Corporate limits 2150 Polling places 2766 Tax for school purposes 2261 GAMBLE, WALTER Compensation to Walter Gamble 2394 GAME AND FISH Authority to pay expenses of wildlife rangers 1070 Closed deer season in Telfair County 1088 Georgia Motorboat Numbering Act 235 Hunting and fishing licenses 974 Ordinaries may accept pleas of guilty in counties of not less than 11,225 and not more than 11,700 persons 2050 Rangers' expenses 228 GARBAGE Licenses to feed garbage to livestock 939 GARDEN CITY, CITY OF Charter amended 2863

Page 1500

GASOLINE Signs advertising prices 826 GENERAL APPROPRIATIONS ACT Amended, scholarships for teachers 229 Capital outlay for school buildings 909 Contingent appropriations 982 General Assembly 787 GENERAL ASSEMBLY Authority from Richmond County, proposed amendment to the Constitution 1370 Compensation of members, proposed amendment to the Constitution 1347 Employment of compiler of laws 1098 General Appropriations Act amended 787 Pay of deceased members 141 Primaries in which candidates may run 115 GENERAL ASSEMBLY COMMITTEE ON SCHOOLS Created 1187 GEORGIA BUREAU OF INVESTIGATION Impersonation of agent 247 GEORGIA COMMISSION ON ALCOHOLISM Abolished, functions transferred 205 GEORGIA DEVELOPMENT AUTHORITY ACT Amended 764 GEORGIA ECONOMIC POISONS ACT Amended 178 , 914 GEORGIA FACTORY FOR THE BLIND Act creating, amended 172 GEORGIA FERTILIZER ACT OF 1960 Enacted 916 GEORGIA INDUSTRIAL DEVELOPMENT ADMINISTRATION Abolished, functions transferred 1155

Page 1501

GEORGIA INSURANCE CODE OF 1960 Enacted 289 GEORGIA LAW SCHOOL Congratulated on 100th anniversary 1076 GEORGIA MOTORBOAT NUMBERING ACT Enacted 235 GEORGIA PORTS AUTHORITY Compensation of members 150 Land conveyance authorized 788 GEORGIA POST MORTEM EXAMINATION ACT Amended 1009 GEORGIA PRISON INDUSTRIES ACT Enacted 880 GEORGIA PUBLIC SERVICE COMMISSION Enforcement of Motor Carrier Act and law relating to motor common carriers 1126 Fees for operation of Commission 168 Jurisdiction 800 Salaries of members 57 Vehicles exempt from regulation 1129 GEORGIA REAL ESTATE INVESTMENT BOARD Created 1154 GEORGIA RURAL REHABILITATION CORP. Act amended 764 GEORGIA SECURITIES ACT Amended 957 GEORGIA SEED DEVELOPMENT ACT Terms of members 1106 GIFTS OF SECURITIES TO MINORS ACT Amended 232

Page 1502

GLASCOCK COUNTY Board of education, proposed amendment to the Constitution 1439 GLYNN COUNTY Sewerage districts, proposed amendment to the Constitution 1397 Sheriff placed on salary basis 2806 Sheriff's duties, proposed amendment to the Constitution 1232 Tax for industrial development, proposed amendment to the Constitution 1420 Vacancies on board of commissioners 2986 GLYNN SUPERIOR COURT Salary of judge 52 GOVERNOR Budget Bureau, operation and members 187 Transfer of State Institutions 891 GOVERNOR'S MANSION LOT Mansion Sites Commission created, duties 1125 GRACEWOOD, SCHOOL FOR MENTAL DEFECTIVES Transfer of administration 1101 GRAND JURIES Stenographers authorized to be present in counties of not less than 150,000 and not more than 450,000 persons 2530 GRAY, TOWN OF Charter amended 2884 GREAT SEAL Purchase of new Great Seal authorized 281 GREENE COUNTY Officers placed on salaries 3093 Tax commissioner placed on salary 3089 GRIFFIN, CITY OF Assessments for sewer installations 2750 Charter amended 2746

Page 1503

Corporate limits 2396 Off street parking 2748 GUARDIAN AND WARD Consent to adoption 791 Gifts of securities to minors 232 Publication of petition to sell, etc. ward's estate 170 Service of process upon minors 204 GWINNETT COUNTY Board of education, proposed amendment to the Constitution 1433 Metropolitan planning 3102 GWINNETT JUDICIAL CIRCUIT Created 110 H HALL COUNTY Board of Education, proposed amendment to the Constitution 1199 Fire districts, proposed amendment to the Constitution 1303 Salary of superior court judge 147 HAMILTON, CITY OF Corporate limits 2651 HARDIN, HONORABLE WILLIS N. Member State Highway Board 273 HARRIS COUNTY Clerk of superior court placed on salary 2926 Office of tax commissioner 2920 Ordinary placed on salary 2928 Sheriff placed on salary 2923 HART COUNTY Compensation of commissioner 3177

Page 1504

HARTWELL, CITY OF Charter amended 3183 HATCHETT, E. T. E. T. Hatchett relieved as security on bond 2375 HAWKINSVILLE, CITY OF Corporate limits 3140 HEALTH Functions of Commission on Alcoholism transfered 205 Mental Health Study Committee created 1064 Scholarships for specialized training in mental health, proposed amendment to the Constitution 1215 HEALTH, DEPARTMENT OF PUBLIC Salary, qualifications, etc. of Director 987 HEALTH, STATE BOARD OF Care of prisoners afflicted with tuberculosis 769 Control of Milledgeville State Hospital 794 Cost of patient care 1138 Functions and duties 1099 Hospital Advisory Council 884 Members 792 Observation, etc. of mentally ill persons 837 School for mental defectives at Gracewood 1101 HIGGINBOTHAM, HENRY GRADY Compensation for death of Henry Grady Higginbotham 2368 HIGH VOLTAGE LINES Installation, etc. 181 HIGHWAY BOARD Compensation of members 253 Hon. Willis N. Hardin, member 273 Hon. Robert H. Jordan, member 274 , 275 HIGHWAYS Appropriation of funds for adequate systems of roads and bridges, proposed amendment to the Constitution 1297

Page 1505

Enforcement of Act regulating size and weight of motor vehicles 1122 Expenditure of funds in municipalities by State Highway Board 1109 HOLLY SPRINGS, CITY OF Charter amended 2315 HORAK, ALEXANDER J. Compensation to Alexander J. Horak 2363 HOSPITAL ADVISORY COMMITTEE Abolished, functions transferred 884 HOSPITAL ADVISORY COUNCIL FOR CONSTRUCTION, LICENSURE AND INDIGENT CARE Created 884 HOSPITAL CARE COUNCIL Abolished, functions transferred 884 HOSPITALS Sales and use tax credit 940 HOUSE, ROBERT J. Compensation to Robert J. House 2378 HOUSTON COUNTY Clerical help for commissioners 2584 Office of tax commissioner created 2587 Tax commissioner placed on salary basis 2605 HOUSTON SUPERIOR COURT Additional judge 64 Terms, grand juries 231 HOSPITAL AUTHORITY ACT Revenue bonds 48 HUMPHRIES, HUGH J. Compensation to Hugh J. Humphries 2381 HUNTING LICENSES Licenses 974

Page 1506

I IDEAL, CITY OF Name changed from Town of, elections 2733 INCOME TAX See also Taxation and Revenue. Current Income Tax Payment Act of 1960 7 Timber transactions 117 INDUSTRIAL DEVELOPMENT COMMISSION Proposed amendment to the Constitution 1262 INSANE PERSONS Insanity after conviction of capital offense 988 Observation, etc. of mentally ill persons 837 Restoration to sanity, procedure 772 INSTITUTIONAL FARMS Advisor and advisory committee 783 INSTITUTIONS, STATE See also Name of Institution. Transfer by Governor 891 INSURANCE Cities with population of not less than 119,500 and not more than 250,000 may become self insurers 2709 Counties authorized to secure liability insurance, proposed amendment to the Constitution 1366 Fund to administer provisions of Code of 1960 1087 Georgia Insurance Code of 1960 289 State program of self insurance authorized 1160 INTERNATIONAL HARVESTER COMPANY Compensation to International Harvester Company 2388 J JACKSON, DR. GEORGE W. Compensation for work with Mental Health Study Committee 140 JEFF DAVIS SUPERIOR COURT Salary of judge 52

Page 1507

JEKYLL ISLAND AUTHORITY Revenue bonds 89 JESUP, CITY OF Charter amended 2688 JEWISH WAR VETERANS Special automobile tag for commander 3 JOINT INCOME TAX LAW STUDY COMMITTEE Per diem of members 1168 JORDAN, HONORABLE ROBERT H. Member State Highway Board 274 , 275 JUVENILE COURT OF FULTON COUNTY Retirement Act amended 3143 , 3185 JUVENILE COURTS Judges pro tempore 200 K KENNESAW, CITY OF Corporate limits 2133 KINGSTON, CITY OF Land conveyance authorized 1083 KNOTT, DAVID David Knott Bridge designated 1062 L LABOR COMMISSIONER High voltage lines 181 LABOR, DEPARTMENT OF Appropriation of funds 1028 Employment Security Law amended 861

Page 1508

LABORERS' LIENS Code 67-2002 amended 103 LA FAVOR, WILLIE F. Compensation to Willie F. La Favor 2367 LAMAR COUNTY Officers placed on salaries 2294 LAURENS COUNTY Board of commissioners of roads and revenues 2077 Budgets of named counties 2199 Compensation of tax commissioner 2083 Office hours of designated officials 2070 Salary of clerk of superior court 2164 Sheriff placed on salary 2072 LAW LIBRARIES Authorized in counties of not less than 30,500 and not more than 31,000 persons 2515 LAW SCHOOL University of Georgia Law School congratulated on 100th anniversary 1076 LAWRENCEVILLE, CITY OF Authority to sell or lease public utilities 2601 LEASES Proposed lease by Western and Atlantic Railroad Commission ratified 61 , 1182 LEE COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1349 LIBEL Effect of retraction 198 LIBERTY COUNTY Board of commissioners 2237 Compensation of deputy sheriffs 2098

Page 1509

LIENS Advances on crops 118 Code 67-2002 amended 103 Mechanics liens on personalty 912 LINCOLN COUNTY Treasurer's salary 2940 LIQUEFIED PETROLEUM SAFETY ACT Amended 143 LIVESTOCK AND POULTRY CONTROL BOARD ACT Amended 1104 LOGANVILLE, CITY OF Authority to close street 2932 Mayor's salary 2933 LOTTERY Punishment after third conviction 60 LOWNDES COUNTY Board of Education, proposed amendment to the Constitution 1223 Valdosta-Lowndes County Industrial Authority 2786 Valdosta-Lowndes County Industrial Authority, proposed amendment to the Constitution 1359 LUMPKIN, CITY OF Corporate limits 2311 Mc McDONOUGH, CITY OF Authority to close streets 2726 Corporate limits 3297 McDUFFIE COUNTY law books to 3014 McINTOSH COUNTY Board of education, proposed amendment to the Constitution 1422

Page 1510

Clerk of superior court placed on salary 2888 Ordinary placed on salary 2904 Sheriff placed on salary 2893 Tax commissioner placed on salary 2899 M MACON, CITY OF Authority to convey certain air rights 2869 Compensation of mayor and aldermen 3191 Corporate limits 2318 Hospital commission 2337 Macon Bibb County 3223 MACON COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1295 MACON JUDICIAL CIRCUIT Additional judge 64 MANSION SITES COMMISSION Created, duties, etc. 1125 MARRIAGE LICENSES How granted, returned and recorded 179 Levy on marriage licenses for benefit of Ordinaries Retirement Fund, proposed amendment to the Constitution 1268 MARION COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1287 MARIETTA, CITY OF Corporate limits, wards 2173 MATERIALMEN'S LIENS Code 67-2002 amended 103 MECHANICS LIENS Time for filing 912

Page 1511

MEEKS, J. R. Compensation to J. R. Meeks 2386 MENTAL HEALTH Mental Health Study Committee created 1064 Scholarships for specialized training, proposed amendment to the Constitution 1215 MERIT SYSTEM OF PERSONNEL ADMINISTRATION Act amended 1162 MERIWETHER COUNTY Revenue bonds, proposed amendment to the Constitution 1203 METTER, CITY COURT OF Jurisdiction, fees, salaries 3310 MILK CONTROL ACT Amended 797 MILLEDGEVILLE STATE HOSPITAL Placed under supervision of State Board of Health 794 Repayment of scholarships for medical education by service, proposed amendment to the Constitution 1300 MILITIA Discipline when not in Federal service, proposed amendment to the Constitution 1255 MILITIA DISTRICTS New militia districts in counties of not less than 27,000 and not more than 27,500 persons 2105 MONROE, CITY OF Charter amended 2060 MORGAN COUNTY Compensation of commissioners and clerk 2942 Law books to Morgan County 2384 License taxes, proposed amendment to the Constitution 1219 Tax to promote industry, proposed amendment to the Constitution 1217 Officers placed on salaries 2518

Page 1512

MOTORBOATS Georgia Motorboat Numbering Act 235 MOTOR CARRIER ACT Enforcement 1126 Vehicles exempt from regulation 1129 MOTOR COMMON CARRIER ACT Enforcement 1126 MOTOR FUELS Signs advertising prices 826 MOTOR VEHICLES Automobile mileage allowance for State employees 79 Distribution of fines arising from load and size violations 1107 Enforcement of Act regulating size and weight 1122 Inspection of school buses and examination of drivers 950 License tax for part of year, sale of tags 1031 Licenses 998 Misdemeanor to forge or to fraudulently aid in obtaining drivers license 994 Money order receipt, etc. as temporary license 943 Operator's license fees 132 Purchase and sale of school buses 966 Registration of motor vehicles used for governmental functions 777 Special automobile tags for commanders of certain patriotic organizations 3 Tax on non-resident vehicles hauling agricultural products 248 Used car dealers' registration act amended 801 , 980 MOULTRIE, CITY OF Moultrie-Colquitt County Development Authority, proposed amendment to the Constitution 1402 MT. VERNON, CITY OF Name changed from Town of 3098 MOUNTAIN JUDICIAL CIRCUIT Reporter placed on salary for reporting felony trials 258 MUNICIPAL COURT OF SAVANNAH Judge's salary 2280

Page 1513

MUNICIPALITIES See also name of municipality. Act creating traffic courts in cities of more than 300,000 persons amended 2846 Business licenses in municipalities of more than 300,000 persons 2847 Cities with population of not less than 119,500 and not more than 250,000 may become self insurers 2709 Contributions by electric membership corporations 5 Expenditure of funds in municipalities by State Highway Board 1109 Pensions for members of police departments of cities of 150,000 or more persons 3205 Registration of owned motor vehicles 777 State funds to municipalities, proposed amendment to the Constitution 1211 Taxation to support independent school systems 147 Zoning and planning law for cities of 300,000 or more persons amended 3222 N NASHVILLE, CITY OF Charter amended 3301 NATION, LEE ROY Compensation to Lee Roy Nation 3015 NAVAL STORES Office of Supervising Inspector abolished 82 NEAL, LUNSFORD J. Compensation to Lunsford J. Neal 2149 NEWNAN, CITY COURT OF Salaries of judge and solicitor 3031 NEWNAN, CITY OF Authority to close streets, etc. 3004 City manager 3020 Zoning law repealed 3157 NEWTON SUPERIOR COURT Assistant solicitors-general 832

Page 1514

NORTHEASTERN JUDICIAL CIRCUIT Judge's salary 147 Reporter placed on salary for reporting felony cases 267 NOTARIES PUBLIC Commission to non-residents 1051 NUCLEAR FACILITIES Liability insurance by Regents 1027 O OBSOLETE STATE RECORDS Procedure to destroy 780 OFFICE BUILDING AUTHORITY Bonds, archives building 192 OGLETHORPE, TOWN OF Authority to close alley 3165 OPTIONS Effect of year's support 227 Recordation of options to purchase land 858 OPTOMETRY Georgia State Board of Examiners in Optometry Act amended 961 ORDINARIES See also name of county. Authority to accept pleas of guilty under game and fish laws in counties of not less than 11,225 and not more than 11,700 persons 2050 Clerks of superior courts in counties of not less than 7,411 and not more than 7,436 persons to attend certain cases in court of ordinary 2504 Distribution of fines and forfeiture funds in counties of not less than 7,411 and not more than 7,436 persons 2517 Employees of ordinaries of counties of not less than 108,000 and not more than 114,000 persons 3172 Grant, return and recording of marriage licenses 179 Levy on marriage licenses for benefit of retirement fund, proposed amendment to the Constitution 1268

Page 1515

Licenses to carry firearms 938 Observation, etc. of mentally ill persons 837 Publication of petition, etc. to sell Ward's estate 170 Restoration to sanity of insane persons, procedure 772 P PAIN AND SUFFERING Argument to jury of monetary value 174 PARDONS AND PAROLES Abandonment and bastardy cases 1148 Effect of violation of probation 857 Statewide probation act amended 1092 PARENT AND CHILD Consent to adoption 791 PARKS Brice State Park proposed 278 Cabins for State Park personnel authorized 63 Easement on Crooked River State Park property ratified 1057 Reidsville State Park named 1082 Seminole State Park named 1077 PATTERSON, CITY OF Name changed from Town of Patterson 2411 PEACH SUPERIOR COURT Additional judge 64 PERSONNEL BOARD Physical examinations for new State employees 189 PEST CONTROL Structural Pest Control Act amended 813 PETROLEUM PRODUCTS Inspection, etc. 1043 PHYSICAL EXAMINATIONS New employees of State 189

Page 1516

PIEDMONT JUDICIAL CIRCUIT Solicitor-general placed on fee basis 115 PISTOLS Licenses to carry firearms 938 PLAINSVILLE, CITY OF New charter 2657 PLANNING COMMISSIONS ACT Amended, members 1037 PLATS OF SURVEY Recording, etc. 3196 PORTS AUTHORITY Compensation of members 150 Conveyance of land authorized 956 Land conveyance to Georgia Ports Authority authorized 788 POULTRY Livestock and Poultry Control Board Act amended 1104 POWDER SPRINGS, CITY OF Corporate limits 2123 PRACTICE AND PROCEDURE Actions for negligent homicides of wife or mother 968 Argument to jury as to pain and suffering 174 Assessments under Sales and Use Tax Act 941 Bills of exceptions 965 Consent to adoption by parent 791 Corporate mergers 1111 Disabilities in divorce actions 1024 Effect of recording bankruptcy petitions 197 Effect of retraction of libel 198 Hearings at chambers 1022 Insane persons, restoration to sanity 772 Insanity after conviction of capital offense 988 Mode of hearing divorce cases 1023 Observation, etc. of mentally ill persons 837 Recordation of options to purchase land 858 Service of process upon minors 204 Time for filing mechanics lines 912 Use of demonstrative evidence 1037

Page 1517

PRIOR, MR. R. A. Exchange of lands in Richmond County 286 PRISON INDUSTRIES Georgia Prison Industries Act 880 PRIVATE BANKS New private banks prohibited 1170 PRIVATE PROPERTY Refusal to leave private property a misdemeanor 142 PROBATION Abandonment and bastardy cases 1148 Effect of violation of probation 857 State-wide Probation Act amended 1092 PUBLIC HEALTH Functions of Commission on Alcoholism transferred 205 Cost of patient care 1138 PUBLIC SAFETY, DEPARTMENT OF Impersonation of agent of Bureau of Investigation 247 Inspection of school buses and examination of drivers 950 Misdemeanor to forge or to fraudulently aid in obtaining drivers license 994 Use of radio wave length adopted by department 995 PUBLIC SERVICE COMMISSION Enforcement of Motor Carrier Act and law relating to motor common carriers 1126 Fees for operation of commission 168 Jurisdiction 800 Salaries of members 57 Vehicles exempt from regulation 1129 PUBLIC WELFARE, DEPARTMENT OF Exchange of lands in Richmond County 286 Factory for the Blind Act amended 172 State Welfare Advisory Board created 85 PULASKI COUNTY Clerk of superior court placed on salary 2991 Ordinary placed on salary 2998

Page 1518

Salaries of commissioner and clerk 3012 Sheriff placed on salary 3001 Tax collector placed on salary 2995 Tax receiver placed on salary 3009 Treasurer's duties 3155 Q QUITMAN, CITY OF Merger of school system, proposed amendment to the Constitution 1321 Tax for armory 2719 QUITMAN COUNTY Revenue bonds, proposed amendment to the Constitution 1253 R RAPE Punishment 266 RAY CITY, CITY OF New charter 2473 REAL ESTATE Dower subject is recorded options to purchase and contracts to sell 951 Effect of year's support on options or contracts to sell land 227 Posting of notices on property under Urban Redevelopment Act 1052 Recordation of options to purchase land 858 REAL ESTATE INVESTMENT BOARD Georgia Real Estate Investment Board created 1154 RECORDS Clerks of Superior Courts may store records away from courthouse 120 Voters' Registration Act of 1958 amended 955 Procedure to destroy absolute State records 780 REGENTS, BOARD OF Commissioner of Agriculture ex officio members, proposed amendment to the Constitution 1318 Director of Agricultural Matters 1084 Land conveyance in Tift County authorized 1071

Page 1519

REIDSVILLE STATE PARK Named 1082 REIDSVILLE STATE PRISON Sale of telephone lines authorized 280 REILLY, BERNARD JOSEPH Compensation to Bernard Joseph Reilly 2372 REILLY, MISS JANET Compensation to Miss Janet Reilly 2371 REILLY, MRS. MARGARET Compensation to Mrs. Margaret Reilly 2370 RETIREMENT Act providing for pensions for members of police departments of cities of more than 150,000 persons 3205 Credit for prior teaching services under Teachers' Retirement System 1116 Credit for service in armed forces for State employees 1115 Employees Retirement System Act amended 1020 Firemen's Pension System Act amended 991 Fund from Teachers' Retirement System exempt from executions 1153 Levy on marriage licenses for benefit of Ordinaries Retirement Fund, proposed amendment to the Constitution 1268 Teachers' Retirement System Act amended 935 REVENUE Allowances for depreciation and depletion in computing net income 1055 Assessments under Sales and Use Tax Act 940 Authority of Revenue Commissioner to waive penalty and interest 990 Compensation of Commissioner 1185 Corporations and organizations exempt from income taxes 249 Estate taxes 835 Executive order authorizing suspension of tax penalties ratified 1069 Executive order relieving urban transit systems from paying past due sale and use taxes ratified 1166 Executive order suspending sales and use tax as to certain hospitals ratified 1066

Page 1520

Executive order suspending sales and use tax on certain transactions ratified 1073 Export taxes prohibited 806 Georgia Retailers' and Consumers Sales and Use Tax Act amended 153 Income Tax Act amended 1005 Income taxes on timber transactions 117 Inspection, etc. of petroleum products 1043 Method of payment 211 Millage limitation for educational purposes, proposed amendment to the Constitution 1444 Money order receipt, etc. as temporary motor vehicle license 943 Motor vehicle license tax for part of year, sale of tags 1031 Motor vehicle licenses 998 Motor vehicle operator's license fees 132 Personal liability of employees of corporations for sales and income taxes 210 Registration of motor vehicles used for governmental functions 777 Sales and Use Tax Act amended 989 Sales and Use Tax, assessments 1007 Sales and Use Tax credit to hospitals 940 Special automobile tags for commanders of certain patriotic organizations 3 State funds to municipalities, proposed amendment to the Constitution 1211 Suspension of Sales Tax collection by sellers of Holy Bibles and Testaments ratified 276 Tax on non-resident vehicles hauling agricultural products 248 Tobacco Tax Acts amended 125 Units or divisions within department 944 REVENUE BOND LAW OF 1937 See Also Bonds. Amended, sale price of bonds 1050 RHINE, TOWN OF Terms of mayor and councilmen 2608 RICHMOND COUNTY Authority to General Assembly, proposed amendment to the Constitution 1370 Compensation of members of board of education 3132 Tax for industrial development, proposed amendment to the Constitution 1276 RINGGOLD, CITY OF Tax exemption repealed 3195

Page 1521

RIVERDALE, CITY OF Charter amended 2737 ROCKDALE COUNTY Clerical help for tax commissioner 3170 Debt limit, proposed amendment to the Constitution 1264 Licensing and regulation of businesses, proposed amendment to the Constitution 1266 ROCKDALE SUPERIOR COURT Assistant solicitors-general 832 ROCKMART, CITY OF Charter amended 2839 ROME, CITY OF Charter amended 2988 Corporate limits 2349 ROOSEVELT WARM SPRINGS MEMORIAL COMMISSION Authority to convey land 1039 S SANITY Insanity after conviction of capital offense 988 Observation, etc. of mentally ill persons 837 Restoration to sanity, procedure 772 SAVANNAH BEACH, CITY OF Elections 2221 SAVANNAH, CITY OF Authority to convey land 2958 Authority to convey property 2283 Corporate limits 2213 Transit Authority 2620 SAVANNAH, CITY COURT OF Practice and procedure 2332

Page 1522

SAVANNAH, MUNICIPAL COURT OF Judge's salary 2280 SAVANNAH TRANSIT AUTHORITY Creation, proposed amendment to the Constitution 1344 SCHOLARSHIPS Repayment of scholarships for medical education by service at Milledgeville State Hospital, proposed amendment to the Constitution 1300 Teachers 229 SCHOOL BUS DRIVERS Compensation 770 SCHOOL BUSES Purchase and sale 966 SCREVEN COUNTY Clerk of superior court placed on salary 2048 Office of tax commissioner created 2042 Ordinary placed on salary 2040 Sheriff placed on salary 2046 SEABOARD AIR LINE RAILROAD Compensation to Seaboard Air Line Railroad 2389 SEAL Purchase of new Great Seal authorized 281 SECRETARY OF STATE Employment of compiler of laws 1098 Georgia Securities Act amended 957 Procedure dealing with destruction of obsolete State records 780 Purchase of new Great Seal authorized 281 SECURITIES Georgia Securities Act amended 957 Gifts of securities to minors 232 Uniform Act for simplification of fiduciary security transfers 827 SEMINOLE STATE PARK Named 1077

Page 1523

SERVICE STATIONS Signs advertising prices of motor fuels 826 SHADBURN, MR. AND MRS. A. O. Compensation to Mr. and Mrs. A. O. Shadburn 2393 SHERIFFS See Also Name of County. Salaries of sheriffs' employees in counties of not less than 108,000 and not more than 114,000 persons 2553 SMYRNA, CITY OF City manager 2127 Corporate limits 2505 Independent school system, proposed amendment to the Constitution 1376 SNELLVILLE, TOWN OF Corporate limits 3134 SPALDING COUNTY Compensation of tax commissioner 2753 Officers placed on salaries 2756 Water districts, proposed amendment to the Constitution 1390 SPANISH-AMERICAN WAR VETERANS Special automobile tag for commander 3 SPIVEY, FERNELL L. Compensation to Fernell L. Spivey 2387 SPRING PLACE, CITY OF Ad valorem tax 3180 SOCIAL SECURITY Coverage for supreme court justices 1096 SOCIAL SECURITY BOARD Abolished, Welfare Advisory Board created 85 SOIL CONSERVATION DISTRICTS Right of Eminent domain 973

Page 1524

STATE AUDITOR Operation and members of Budget Bureau 187 STATE BOARD OF CORRECTIONS State Penal and Rehabilitation Authority Act 892 STATE BOARD OF EXAMINERS IN OPTOMETRY ACT Amended 961 STATE BOARD OF HEALTH Care of prisoners afflicted with tuberculosis 769 Control of Milledgeville State Hospital 794 Cost of patient care 1138 Functions and duties 1099 Hospital Advisory Council 884 Members 792 Observation, etc. of mentally ill persons 837 School for mental defectives at Gracewood 1101 STATE BOARD OF SOCIAL SECURITY Abolished, Welfare Advisory Board created 85 STATE DEPARTMENT OF PUBLIC HEALTH Cost of patient care 1138 STATE DEPARTMENT OF VETERANS' SERVICE Duties of Division of Confederate Pensions and Records 882 STATE DEPOSITORY BOARD Act creating, amended, duties, etc. 1144 STATE DIVISION OF CONFEDERATE PENSIONS AND RECORDS Abolished 882 STATE EMPLOYEES' RETIREMENT SYSTEM See Also Retirement. Credit for service in armed forces 1115 STATE EXAMINING BOARDS Credit to veterans 1172 STATE FLAG OR EMBLEM Use in advertising prohibited 985

Page 1525

STATE FIRE MARSHAL Liquefied Petroleum Safety Act amended 143 STATE HIGHWAY BOARD Compensation of members 253 Enforcement of Act regulating size and weight of motor vehicles 1122 Expenditure of funds in municipalities 1109 Hon. Willis N. Hardin, member 273 Hon. Robert H. Jordan, member 274 , 275 STATE HOSPITAL AUTHORITY ACT Revenue bonds 48 STATE INSTITUTIONS Cost of patient care 1138 Transfer by Governor 891 STATE PARKS DEPARTMENT Cabins for personnel authorized 63 STATE PENAL AND REHABILITATION AUTHORITY ACT Enacted 892 STATE PROPERTY State program of self insurance authorized 1160 STATE REVENUE COMMISSIONER Authority to waive penalty and interest 990 Compensation 1185 STATES RIGHTS Memorial to Congress proposing an amendment to the Constitution 1777 STATE SCHOOL BUILDING AUTHORITY Capital outlay for school buildings 909 Revenue Bonds 775 STATE WELFARE ADVISORY BOARD Created 85

Page 1526

STATE-WIDE PROBATION ACT Abandonment and bastardy cases 1148 Amended 1092 Effect of violation of probation 857 STEPHENS COUNTY Clerk of superior court placed on salary 3121 Ordinary placed on salary 3130 STEWART COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1339 Bridge over Chattahoochee River, proposed amendment to the Constitution 1251 Commissioner's salary, advisory board 2051 Electrical system, proposed amendment to the Constitution 1249 STONE MOUNTAIN JUDICIAL CIRCUIT Assistant solicitors-general 832 Judges' supplement 1089 Salary of solicitor-general 185 STRUCTURAL PEST CONTROL ACT Amended 813 SUMMERVILLE, CITY OF Street closed 2559 , 2561 , 2563 , 2565 SUMTER COUNTY Law books to Sumter County 2380 SUPERINTENDENT OF SCHOOLS Compensation 1169 , 1184 SUPERIOR COURTS See Also Name of Superior Court. Additional judge of Cobb Judicial Circuit 121 Additional judge of Macon Judicial Circuit 64 Clerks in counties of not less than 24,600 and not more than 24,950 persons placed on fee basis 2762 Clerks to attend certain cases in courts of ordinary in all counties of not less than 7,411 and not more than 7,436 persons 2504 Cobb Judicial Circuit, assistant solicitor-general 149 Gwinnett Judicial Circuit created 110

Page 1527

Judges Emeritus Act amended 161 Judges' supplement in Stone Mountain Judicial Circuit 1089 Hearings at chambers 1022 Duties of clerk when bills of exceptions filed 965 Notaries public, commissions to non-residents 1051 Recordation of options to purchase land 858 Recording, etc. plats of survey 3196 Reporter of Mountain Judicial Circuit placed on salary for reporting felony trials 258 Reporter of Northeastern Judicial Circuit placed on salary for reporting felony cases 267 Salary of judge of Northeastern Judicial Circuit 147 Salary of solicitor-general of Clayton Judicial Circuit 195 Salary of solicitor-general of Stone Mountain Judicial Circuit 185 Solicitor-general of Piedmont Judicial Circuit placed on fee basis 115 Stenographers authorized to be present in grand juries in counties of not less than 150,000 and not more than 450,000 persons 2530 Storage of records away from courthouse 120 Terms and grand juries of Houston Superior Court 231 Use of facsimile signatures by clerks in counties of 150,000 or more population 196 SUPERVISOR OF PURCHASES Automobile mileage allowance for State employees 79 Bonds of State employees 78 Program of self insurance for State 1160 SUPREME COURT Social security coverage authorized 1096 SURPLUS PROPERTY Lease of property at Old Farmers' Market 283 SURVEYS Recording, etc. plats of survey 3196 T TALLAPOOSA, CITY OF Recorder's court 2944 TATUM, LOYD Compensation to Loyd Tatum 2374

Page 1528

TAX ASSESSORS See Also Name of County. Members and terms of city-county boards of tax assessors in counties having greater part of city with population of over 300,000 persons 3146 Term of attorney of city-county board of tax assessors in counties having greater part of city with population of more than 300,000 persons 2860 TAX COLLECTORS See Also Name of County. Compensation in counties of not less than 32,500 and not more than 33,500 population 107 TAX STAMPS Commercial feeding stuffs 970 TAXATION Allowances for depreciation and depletion in computing income tax 1055 Assessments under Sales and Use Tax Act 940 Authority of Revenue Commissioner to waive penalty and interest 990 Compensation of State Revenue Commissioner 1185 Corporations and organizations exempt from income taxes 249 Current Income Tax Payment Act of 1960 7 Estate taxes 835 Executive order authorizing suspension of tax penalties ratified 1069 Executive order relieving urban transit system from paying past due sales and use taxes ratified 1166 Executive order suspending sales and use tax as to certain hospitals ratified 1066 Executive order suspending sales and use tax on certain transactions ratified 1073 Export taxes prohibited 806 Georgia Retailers' and Consumers' Sales and Use Tax Act amended 153 Income Tax Act amended 1005 Income taxes on timber transactions 117 Inspection, etc. of petroleum products 1043 Method of payment 211 Millage limitation for educational purposes, proposed amendment to the Constitution 1444 Money order receipt, etc. as temporary motor vehicle license 943 Motor vehicle license tax for part of year, sale of tags 1031 Motor vehicle licenses 998 Motor vehicle operator's license fees 132 Personal liability of employees of corporations for income and sales taxes 210

Page 1529

Sales and Use Tax Act amended 989 Sales and Use Tax, assessments 1007 Sales and Use Tax credit to hospitals 940 State funds to municipalities, proposed amendment to the Constitution 1211 Suspension of Sales Tax collection by sellers of Holy Bibles and Testaments ratified 276 Tax on non-resident vehicles hauling agricultural products 248 Taxation by municipalities to support independent school systems 147 Tobacco Tax Act amended 125 Units or Divisions within Revenue Department 944 TAYLOR COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1289 TAYLORSVILLE, CITY OF Charter amended 2287 TEACHERS Retirement System Act amended 935 Scholarships 229 TEACHERS' RETIREMENT SYSTEM Credit for prior teaching service 1116 Funds exempt from executions 1153 TELEPHONE PARTY LINES Failure to relinquish in emergency 915 TELFAIR COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1400 Closed deer season 1088 TENPINS Rolling by minors 201 TERRELL COUNTY Development authority bonds 2107 THOMASTON, CITY OF Corporate limits 2698

Page 1530

THOMASVILLE, CITY OF Payroll Development Authority 2567 Payroll Development Authority, proposed amendment to the Constitution 1329 THOMSON, CITY OF Land conveyance authorized 1059 THUNDERBOLT, CITY OF Elections 2277 Term, etc. of clerk of council and ex officio treasurer 2271 Terms of mayor and aldermen 2273 TIFT COUNTY Board of Education, proposed amendment to the Constitution 1207 Development Authority, proposed amendment to the Constitution 1240 Donations to library from City of Tifton 2930 Homestead exemption repealed as to taxes for education, proposed amendment to the Constitution 1408 Land conveyance by Board of Regents authorized 1071 TIFTON, CITY OF Donations to Tift County Library 2930 Salaries of commissioners 2413 TOCCOA, CITY OF Corporate limits 2775 TOBACCO Furnishing cigarettes, etc., to minors 202 Regulation of sales of flue cured tobacco 214 Tobacco Tax Act amended 125 TORTS Actions for negligent homicide of wife or mother 968 Counties authorized to secure liability insurance, proposed amendment to the Constitution 1366 TRAFFIC COURTS Act creating traffic courts in cities having population of more than 300,000 persons amended 2846

Page 1531

TRANSIT AUTHORITY ACT OF 1960 Enacted 1025 TRENTON, CITY OF Corporate limits 2879 TRESPASSING Refusal to leave private property, on request, a misdemeanor 142 TRION, TOWN OF Corporate limits 2710 , 2715 TRUCK BROKERS Licensing, etc. of brokers 175 TRUST COMPANIES Assessments against trust companies not receiving deposits subject to check 1175 TRUSTS Distribution of income 194 TUBERCULOSIS Care of prisoners afflicted with tuberculosis 769 TYBEE ISLAND Elections 2221 U UNADILLA, CITY OF Charter amended 861 UNEMPLOYMENT COMPENSATION Employment Security Law amended 861 UNIFORM ACT FOR SIMPLIFICATION OF FIDUCIARY SECURITY TRANSFERS Enacted 827

Page 1532

UNION POINT, CITY OF Corporate limits 3308 URBAN REDEVELOPMENT ACT OF 1955 AMENDED Posting notices on property 1052 USED CAR DEALERS REGISTRATION ACT Amended 801 , 980 UVALDA, CITY OF Name changed from Town of 3097 V VALDOSTA, CITY OF Charter amended 2782 Corporate limits 3125 Pension system abolished 2685 Valdosta-Lowndes County Industrial Authority 2786 Valdosta-Lowndes County Industrial Authority, proposed amendment to the Constitution 1359 VETERANS Credit on certain examinations 1172 VETERANS' SERVICE BOARD Duties and functions of Veterans' Home Commission 1150 VETERANS OF WORLD WAR I Special automobile tag for commander 3 VETERANS' SERVICE, DEPARTMENT OF Duties of Division of Confederate Pensions and Records 882 VIDALIA, CITY OF Land conveyance from State authorized 58 VIENNA, CITY OF Elections 3149 VILLA RICA, CITY OF Charter amended 2407

Page 1533

VITAL STATISTICS ACT Permits governing dead human bodies 1130 VOTERS' REGISTRATION ACT OF 1958 Determination of residence of qualified voters 257 W WACO, TOWN OF Authority to grant franchises 2861 WALL, JOHN D. Compensation to John D. Wall 2379 WALTON COUNTY Commissioners' salaries 2063 Officers placed on salary 2056 Salary of tax commissioner 2067 WALKER, JAMES HUBERT Compensation to James Hubert Walker 2391 WAR BETWEEN THE STATES Committee to study projects to commemorate centennial 284 WARE COUNTY License fees, etc., proposed amendment to the Constitution 1351 WARM SPRINGS MEMORIAL COMMISSION Authority to convey land 1039 WAVERLY HALL, TOWN OF Tax for fire protection 2291 WAYNE COUNTY Board of commissioners created 2202 Board of Education, proposed amendment to the Constitution 1234 WAYNE SUPERIOR COURT Salary of judge 52

Page 1534

WELCOME STATIONS Vending machines in Welcome Stations 1097 WELFARE ADVISORY BOARD Created 85 WESTERN AND ATLANTIC RAILROAD Easement to City of Atlanta authorized 1164 Lease of air rights to City Center, Inc. ratified by Senate 1182 Land conveyance to City of Kingston authorized 1083 Proposed lease ratified 61 WHITFIELD COUNTY Advisory board to commissioners 2308 Fire districts, proposed amendment to the Constitution 1357 Officers placed on salaries 2007 Office of tax commissioner created 2019 Salary of commissioner of roads and revenues 2003 WILCOX COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1292 Compensation of commissioner 3189 WILDLIFE RANGERS Expenses 228 , 1070 WILLS AND ADMINISTRATION OF ESTATES Dower subject to recorded options to purchase and contracts to sell 951 Effect of year's support on options or contracts to sell land 227 Estate taxes 835 WINDER, CITY OF Corporate limits 2909 WOODLAND, CITY OF Name changed from Town of 3307 WORKMEN'S COMPENSATION BOARD Salaries 812

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WORTH COUNTY Bonds to aid in industrial development, proposed amendment to the Constitution 1436 WRIGHTSVILLE, CITY OF Charter amended 3084 Y YOUNG HARRIS, CITY OF New charter 2523 Z ZONING Act amended for counties of 300,000 or more persons 3206 Zoning and planning law for cities of 300,000 or more persons amended 3222

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POPULATION OF GEORGIA COUNTIES County 1950 1940 1930 1920 Appling 14,003 14,497 13,314 10,594 Atkinson 7,362 7,093 6,894 7,656 Bacon 8,940 8,096 7,055 6,460 Baker 5,952 7,344 7,818 8,298 Baldwin 29,706 24,190 22,878 19,791 Banks 6,935 8,733 9,703 11,814 Barrow 13,115 13,064 12,401 13,188 Bartow 27,370 25,283 25,364 24,527 Ben Hill 14,879 14,523 13,047 14,599 Berrien 13,966 15,370 14,646 15,573 Bibb 114,079 83,783 77,042 71,304 Bleckley 9,218 9,655 9,133 10,532 Brantley 6,387 6,871 6,895 Brooks 18,169 20,497 21,330 24,538 Bryan 5,965 6,288 5,952 6,343 Bulloch 24,740 26,010 26,509 26,133 Burke 23,458 26,520 29,224 30,836 Butts 9,079 9,182 9,345 12,327 Calhoun 8,578 10,438 10,576 10,225 Camden 7,322 5,910 6,338 6,969 Campbell _____ _____ 9,903 11,709 Candler 8,063 9,103 8,991 9,228 Carroll 34,112 34,156 34,272 34,752 Catoosa 15,146 12,199 9,421 6,677 Charlton 4,821 5,256 4,381 4,536 Chatham 151,481 117,970 105,431 100,032 Chattahoochee 12,149 15,138 8,894 5,266 Chattooga 21,197 18,532 15,407 14,312 Cherokee 20,750 20,126 20,003 18,569 Clarke 36,550 28,398 25,613 26,111 Clay 5,844 7,064 6,943 5,557 Clayton 22,872 11,655 10,260 11,159 Clinch 6,007 6,437 7,015 7,984 Cobb 61,830 38,272 35,408 30,437 Coffee 23,961 21,541 19,739 18,653 Colquitt 33,999 33,012 30,622 29,332 Columbia 9,525 9,433 8,793 11,718 Cook 12,201 11,919 11,311 11,180 Coweta 27,786 26,972 25,127 29,047 Crawford 6,080 7,128 7,020 8,893 Crisp 17,663 17,540 17,343 18,914 Dade 7,364 5,894 4,146 3,918 Dawson 3,712 4,479 3,502 4,204 Decatur 23,620 22,234 23,622 31,785 DeKalb 136,395 86,942 70,278 44,051 Dodge 17,865 21,022 21,599 22,540 Dooly 14,159 16,886 18,025 20,522 Dougherty 43,617 28,565 22,306 20,063 Douglas 12,173 10,053 9,461 10,477 Early 17,413 18,679 18,273 18,983

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Echols 2,494 2,964 2,744 3,313 Effingham 9,133 9,646 10,164 9,985 Elbert 18,585 19,618 18,485 23,905 Emanuel 19,789 23,517 24,101 25,862 Evans 6,653 7,401 7,102 6,594 Fannin 15,192 14,752 12,969 12,103 Fayette 7,978 8,170 8,665 11,396 Floyd 62,899 56,141 48,677 39,841 Forsyth 11,005 11,322 10,624 11,755 Franklin 14,446 15,612 15,902 19,957 Fulton 473,572 392,886 318,587 232,606 Gilmer 9,963 9,001 7,344 8,406 Glascock 3,579 4,547 4,388 4,192 Glynn 29,046 21,920 19,400 19,370 Gordon 18,922 18,445 16,846 17,736 Grady 18,928 19,654 19,200 20,306 Greene 12,843 13,709 12,616 18,972 Gwinnett 32,320 29,087 27,853 30,327 Habersham 16,553 14,771 12,748 10,730 Hall 40,113 34,822 30,313 26,822 Hancock 11,052 12,764 13,070 18,357 Haralson 14,663 14,377 13,263 14,440 Harris 11,265 11,428 11,140 15,775 Hart 14,495 15,512 15,174 17,944 Heard 6,975 8,610 9,102 11,126 Henry 15,857 15,119 15,924 20,420 Houston 20,964 11,303 11,280 21,964 Irwin 11,973 12,936 12,199 12,670 Jackson 18,997 20,089 21,609 24,654 Jasper 7,473 8,772 8,594 16,362 Jeff Davis 9,299 8,841 8,118 7,322 Jefferson 18,855 20,040 20,727 22,602 Jenkins 10,264 11,843 12,908 14,328 Johnson 9,893 12,953 12,681 13,546 Jones 7,538 8,331 8,992 13,269 Lamar 10,242 10,091 9,745 _____ Lanier 5,151 5,632 5,190 _____ Laurens 33,123 33,606 32,693 39,605 Lee 6,674 7,837 8,328 10,904 Liberty 8,444 8,595 8,153 12,707 Lincoln 6,462 7,042 7,847 9,739 Long 3,598 4,086 4,180 _____ Lowndes 35,211 31,860 29,994 26,521 Lumpkin 6,574 6,223 4,927 5,240 McDuffie 11,443 10,878 9,014 11,509 McIntosh 6,008 5,292 5,763 5,119 Macon 14,213 15,947 16,643 17,667 Madison 12,238 13,431 14,921 18,803 Marion 6,521 6,954 6,968 7,604 Meriwether 21,055 22,055 22,437 26,168

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Miller 9,023 9,998 9,076 9,565 Milton _____ _____ 6,730 6,885 Mitchell 22,528 23,261 23,620 25,588 Monroe 10,523 10,749 11,606 20,138 Montgomery 7,901 9,668 10,020 9,167 Morgan 11,899 12,713 12,488 20,143 Murray 10,676 11,137 9,215 9,490 Muscogee 118,028 75,494 57,558 44,195 Newton 20,185 18,576 17,290 21,680 Oconee 7,009 7,576 8,082 11,067 Oglethorpe 9,958 12,430 12,927 20,287 Paulding 11,752 12,832 12,327 14,025 Peach 11,705 10,378 10,268 _____ Pickens 8,855 9,136 9,687 8,222 Pierce 11,112 11,800 12,522 11,934 Pike 8,459 10,375 10,853 21,212 Polk 30,976 28,467 25,141 20,357 Pulaski 8,808 9,829 9,005 11,587 Putnam 7,731 8,514 8,367 15,151 Quitman 3,015 3,435 3,820 3,417 Rabun 7,424 7,821 6,331 5,746 Randolph 13,804 16,609 17,174 16,721 Richmond 108,876 81,863 72,990 63,692 Rockdale 8,464 7,724 7,247 9,521 Schley 4,036 5,033 5,347 5,243 Screven 18,000 20,353 20,503 23,552 Seminole 7,904 8,492 7,389 _____ Spalding 31,045 28,427 23,495 21,908 Stephens 16,647 12,972 11,740 11,215 Stewart 9,194 10,603 11,114 12,089 Sumter 24,208 24,502 26,800 29,640 Talbot 7,687 8,141 8,458 11,158 Taliaferro 4,515 6,278 6,172 8,841 Tattnall 15,939 16,243 15,411 14,502 Taylor 9,113 10,768 10,617 11,473 Telfair 13,221 15,145 14,997 15,291 Terrell 14,314 16,675 18,290 19,601 Thomas 33,932 31,289 32,612 33,044 Tift 22,645 18,599 16,068 14,493 Toombs 17,382 16,952 17,165 13,897 Towns 4,803 4,925 4,346 3,937 Treutlen 6,522 7,632 7,488 7,664 Troup 49,841 43,879 36,752 36,097 Turner 10,479 10,846 11,196 12,466 Twiggs 8,308 9,117 8,372 10,407 Union 7,318 7,680 6,340 6,455 Upson 25,078 25,064 19,509 14,786 Walker 38,198 31,024 26,206 23,370 Walton 20,230 20,777 21,118 24,216 Ware 30,289 27,929 26,558 28,361

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Warren 8,779 10,236 11,181 11,828 Washington 21,012 24,230 25,030 28,147 Wayne 14,248 13,122 12,647 14,381 Webster 4,081 4,726 5,032 5,342 Wheeler 6,712 8,535 9,149 9,817 White 5,951 6,417 6,056 6,105 Whitfield 34,432 26,105 20,808 16,897 Wilcox 10,167 12,755 13,439 15,511 Wilkes 12,388 15,084 15,944 24,210 Wilkinson 9,781 11,025 10,844 11,376 Worth 19,357 21,374 21,094 23,863 POPULATION NUMERICALLY LISTED ACCORDING TO 1950 CENSUS Counties Population Echols 2,494 Quitman 3,015 Glascock 3,579 Long 3,598 Dawson 3,712 Schley 4,036 Webster 4,081 Taliaferro 4,515 Towns 4,803 Charlton 4,821 Lanier 5,151 Clay 5,844 White 5,951 Baker 5,952 Bryan 5,965 Clinch 6,007 McIntosh 6,008 Crawford 6,080 Brantley 6,387 Lincoln 6,462 Marion 6,521 Treutlen 6,522 Lumpkin 6,574 Evans 6,653 Lee 6,674 Wheeler 6,712 Banks 6,935 Heard 6,975 Oconee 7,009 Union 7,318 Camden 7,322 Atkinson 7,362 Dade 7,364 Rabun 7,424 Jasper 7,473 Jones 7,538 Talbot 7,687 Putnam 7,731 Montgomery 7,901 Seminole 7,904 Fayette 7,978 Candler 8,063 Twiggs 8,308 Liberty 8,444 Pike 8,459 Rockdale 8,464 Calhoun 8,578 Warren 8,779 Pulaski 8,808 Pickens 8,855 Bacon 8,940 Miller 9,023 Butts 9,079 Taylor 9,113 Effingham 9,133 Stewart 9,194 Bleckley 9,218 Jeff Davis 9,299 Columbia 9,525 Wilkinson 9,781 Johnson 9,893 Oglethorpe 9,958 Gilmer 9,963 Wilcox 10,167 Lamar 10,242 Jenkins 10,264 Turner 10,479 Monroe 10,523 Murray 10,676 Forsyth 11,005 Hancock 11,052 Pierce 11,112 Harris 11,265 McDuffie 11,443 Peach 11,705 Paulding 11,752 Morgan 11,899 Irwin 11,973 Chattahoochee 12,149 Douglas 12,173 Cook 12,201 Madison 12,238 Wilkes 12,388 Greene 12,843 Barrow 13,115 Telfair 13,221

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Randolph 13,804 Berrien 13,966 Appling 14,003 Dooly 14,159 Macon 14,213 Wayne 14,248 Terrell 14,314 Franklin 14,446 Hart 14,495 Haralson 14,663 Ben Hill 14,879 Catoosa 15,146 Fannin 15,192 Henry 15,857 Tattnall 15,939 Habersham 16,553 Stephens 16,647 Toombs 17,382 Early 17,413 Crisp 17,663 Dodge 17,865 Screven 18,000 Brooks 18,169 Elbert 18,585 Jefferson 18,855 Gordon 18,922 Grady 18,928 Jackson 18,997 Worth 19,357 Emanuel 19,789 Newton 20,185 Walton 20,230 Cherokee 20,750 Houston 20,964 Washington 21,012 Meriwether 21,055 Chattooga 21,197 Mitchell 22,528 Tift 22,645 Clayton 22,872 Burke 23,458 Decatur 23,620 Coffee 23,961 Sumter 24,208 Bulloch 24,740 Upson 25,078 Bartow 27,370 Coweta 27,786 Glynn 29,046 Baldwin 29,706 Ware 30,289 Polk 30,976 Spalding 31,045 Gwinnett 32,320 Laurens 33,123 Thomas 33,932 Colquitt 33,999 Carroll 34,112 Whitfield 34,432 Lowndes 35,211 Clarke 36,550 Walker 38,198 Hall 40,113 Dougherty 43,617 Troup 49,841 Cobb 61,830 Floyd 62,899 Richmond 108,876 Bibb 114,079 Muscogee 118,028 DeKalb 136,395 Chatham 151,481 Fulton 473,572

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MEMBERS OF THE GENERAL ASSEMBLY MEMBERS OF THE SENATE OF GEORGIA ALPHABETICALLY ARRANGED ACCORDING TO NAMES WITH DISTRICTS AND POST OFFICES, FOR THE TERM 1959 - 1960 Senators District Post Office Adams, Joe B. 22nd P. O. Box 186, Barnesville Barrett, Clarence E., Sr. 32nd Cleveland Barrett, Walter W. 45th McRae Breedlove, William H. 27th Watkinsville Brooks, R. C. 23rd Reynolds Brown, Charlie 52nd P.O. Box 30, Atlanta 1 Buff, John B., Jr. 44th Ringgold Cannon, R. E. 40th Clayton Carlisle, J. Douglas 51st Macon Clary, H. Eulond 29th Thomson Crowe, W. J. 10th Sylvester Culpepper, Robert, Jr. 7th Camilla Darby, James F. 15th Vidalia Doster, Norman B. 48th Rochelle Drew, W. E. 12th Preston Dykes, Carl R. 2nd Hinesville Edenfield, Henry C. 16th Swainsboro Gearreld, Frank L. 37th Franklin Greer, John W. 6th Lakeland Hays, Broughton C. 8th Colquitt Holt, Dr. J. T. 54th Baxley Holton, Noah, Sr. 46th P.O. Box 466, Douglas Horne, Sherrard 13th Americus Jernigan, Wallace L. 5th Box 68, Homerville Kennedy, T. E., Jr. 47th Ashburn Kiker, C. W., Sr. 41st Blue Ridge Land, A. T. 21st Allentown Lanier, Joe N. 20th Harrison Lindsey, E. M. 53rd Rt. 2, Lenox Lindsey, V. E. 11th Fort Gaines Livingston, Dr. D. M. 38th Cedartown Marshall, Asa M., Jr. 28th Eatonton Marshburn, R. J. 33rd Shalom Farm, Homer

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Mercer, Russell J. 49th Metter Mobley, T. Watson 17th Girard McGill, Sam P. 50th Washington Nixon, C. O. 35th Covington Pannell, Chas. A. 43rd Chatsworth Perry, Eldridge Wells 24th Buena Vista Purcell, Parker 31st Carnesville Ramsey, H. N., Sr. 1st Springfield Redwine, Harry H. 26th Fayetteville Roach, Thomas A. 39th Ball Ground Roper, Allen P. 19th Greensboro Sanders, Carl E. 18th Augusta Screws, Mack C. 9th Newton Shaw, Tyron 3rd Ludowici Skelton, Joseph S. 30th Hartwell Slade, R. L., Jr. 14th Hawkinsville Smith, Charles C. 4th St. Marys Vaughn, Clarence R., Jr. 34th Conyers Watson, Rev. C. P. 36th Concord Woodall, John H., Sr. 25th Woodland Wright, Barry, Jr. 42nd P.O. Box 268, Rome

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MEMBERS OF THE SENATE OF GEORGIA BY DISTRICTS IN NUMERICAL ORDER WITH COUNTIES AND POST OFFICES First DistrictEFFINGHAM, Chatham H. N. RAMSEY, SR. Springfield Second DistrictLIBERTY, Bryan, McIntosh CARL R. DYKES Hinesville Third DistrictLONG, Brantley, Wayne TYRON SHAW Ludowici Fourth DistrictCAMDEN, Charlton, Glynn CHARLES C. SMITH St. Marys Fifth DistrictCLINCH, Ware, Atkinson WALLACE L. JERNIGAN Box 68, Homerville Sixth DistrictLANIER, Echols, Lowndes JOHN W. GREER Lakeland Seventh DistrictMITCHELL, Thomas, Grady ROBERT CULPEPPER, JR. Camilla Eighth DistrictMILLER, Decatur, Seminole BROUGHTON C. HAYS Colquitt Ninth DistrictBAKER, Calhoun, Early MACK C. SCREWS Newton Tenth DistrictWORTH, Lee, Dougherty W. J. CROWE Sylvester Eleventh DistrictCLAY, Randolph, Terrell V. E. LINDSEY Fort Gaines Twelfth DistrictWEBSTER, Quitman, Stewart W. E. DREW Preston Thirteenth DistrictSUMTER, Macon, Schley SHERRARD HORNE Americus Fourteenth DistrictPULASKI, Bleckley, Dooly R. L. SLADE, JR. Hawkinsville Fifteenth DistrictTOOMBS, Montgomery, Wheeler JAMES F. DARBY Vidalia Sixteenth DistrictEMANUEL, Laurens, Treutlen HENRY C. EDENFIELD Swainsboro Seventeenth DistrictBURKE, Jenkins, Screven T. WATSON MOBLEY Girard

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Eighteenth DistrictRICHMOND, Glascock, Jefferson CARL E. SANDERS Augusta Nineteenth DistrictGREENE, Warren, Taliaferro ALLEN P. ROPER Greensboro Twentieth DistrictWASHINGTON, Baldwin, Hancock JOE N. LANIER Harrison Twenty-First DistrictWILKINSON, Johnson, Jones A. T. LAND Allentown Twenty-Second DistrictLAMAR, Monroe, Butts JOE B. ADAMS P. O. Box 186, Barnesville Twenty-Third DistrictTAYLOR, Crawford, Peach R. C. BROOKS Reynolds Twenty-Fourth DistrictMARION, Muscogee, Chattahoochee ELDRIDGE WELLS PERRY Buena Vista Twenty-Fifth DistrictTALBOT, Harris, Upson JOHN H. WOODALL, SR. Woodland Twenty-Sixth DistrictFAYETTE, Spalding, Clayton HARRY H. REDWINE Fayetteville Twenty-Seventh DistrictOCONEE, Jackson, Barrow WILLIAM H. BREEDLOVE Watkinsville Twenty-Eighth DistrictPUTNAM, Morgan, Jasper ASA M. MARSHALL, JR. Eatonton Twenty-Ninth DistrictMcDUFFIE, Columbia, Lincoln H. EULOND CLARY Thomson Thirtieth DistrictHART, Madison, Elbert JOSEPH S. SKELTON Hartwell Thirty-First DistrictFRANKLIN, Stephens, Habersham PARKER PURCELL Carnesville Thirty-Second DistrictWHITE, Lumpkin, Dawson CLARENCE E. BARRETT, SR. Cleveland Thirty-Third DistrictBANKS, Hall, Forsyth R. J. MARSHBURN Shalom Farm, Homer Thirty-Fourth DistrictROCKDALE, DeKalb, Gwinnett CLARENCE R. VAUGHN, JR. Conyers Thirty-Fifth DistrictNEWTON, Walton, Henry C. O. NIXON Covington Thirty-Sixth DistrictPIKE, Coweta, Meriwether REV. C. P. WATSON Concord

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Thirty-Seventh DistrictHEARD, Carroll, Troup FRANK L. GEARRELD Franklin Thirty-Eighth DistrictPOLK, Paulding, Haralson DR. D. M. LIVINGSTON Cedartown Thirty-Ninth DistrictCHEROKEE, Douglas, Cobb THOMAS A. ROACH Ball Ground Fortieth DistrictRABUN, Towns, Union R. E. CANNON Clayton Forty-First DistrictFANNIN, Gilmer, Pickens C. W. KIKER, SR Blue Ridge Forty-Second DistrictFLOYD, Bartow, Chattooga BARRY WRIGHT, JR. Box 268, Rome Forty-Third DistrictMURRAY, Whitfield, Gordon CHAS. A. PANNELL Chatsworth Forty-Fourth DistrictCATOOSA, Dade, Walker JOHN B. BUFF, JR. Ringgold Forty-Fifth DistrictTELFAIR, Irwin, Ben Hill WALTER W. BARRETT McRae Forty-Sixth DistrictCOFFEE, Pierce, Bacon NOAH HOLTON, SR. Box 466, Douglas Forty-Seventh DistrictTURNER, Colquitt, Tift T. E. KENNEDY, JR. Ashburn Forty-Eighth DistrictWILCOX, Crisp, Dodge NORMAN B. DOSTER Rochelle Forty-Ninth DistrictCANDLER, Evans, Bulloch RUSSELL J. MERCER Metter Fiftieth DistrictWILKES, Oglethorpe, Clarke SAM P. McGILL Washington Fifty-First DistrictBIBB, Twiggs, Houston J. DOUGLAS CARLISLE Macon Fifty-Second DistrictFULTON CHARLIE BROWN P. O. Box 30, Atlanta 1 Fifty-Third DistrictCOOK, Brooks, Berrien E. M. LINDSEY Rt. 2, Lenox Fifty-Fourth DistrictAPPLING, Jeff Davis, Tattnall DR. J. T. HOLT Baxley

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MEMBERS OF THE GEORGIA HOUSE OF REPRESENTATIVES ALPHABETICALLY ARRANGED ACCORDING TO NAMES, WITH COUNTIES AND POST OFFICES, FOR THE TERM 1959 - 1960 Representative County Post Office Allen, Francis W. Bulloch Statesboro Andrews, Robert E. Hall Gainesville Arnsdorff, B. Frank Effingham Springfield Bagby, George T. Paulding Dallas Ballard, W. D. Newton Covington Barber, Mac Jackson Commerce Barnett, J. L. (Leckey) Baker Rt. 1, Elmodel Barrett, Carl Cherokee Holly Springs Baughman, Leon Hodges Early Cedar Springs Birdsong, Frank G. Troup LaGrange Black, J. Lucius Webster Preston Blalock, D. B. Coweta Newnan Blalock, Edgar Clayton Jonesboro Boggs, Harold A. Madison Danielsville Bolton, Arthur K. Spalding Rt. B, Griffin Bostick, Henry Tift Tifton Bowen, A'Delbert (Dell) Randolph Cuthbert Bozeman, J. W. (Jim), Jr. Thomas Meigs Brackin, J. O. Seminole Iron City Bradley, W. H. Bartow Cartersville Branch, W. Frank Tift Tifton Braswell, Oris Wheeler Alamo Brennan, Edward T. Chatham Savannah Brooks, George B. Oglethorpe Crawford Brooks, Wilson Fulton Atlanta Budd, Roger M. Lowndes Valdosta Busbee, George D. Dougherty Albany Bynum, Knox Rabun Clayton Caldwell, Johnnie L. Upson Thomaston Callier, H. Chris Talbot Talbotton Campbell, Albert Walker LaFayette Carr, Buford W. Dooly Vienna Carswell, Geo. H. Wilkinson Irwinton Carswell, Porter W. Burke Waynesboro

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Chance, Homer L. Twiggs Danville Chandler, Philip M. Baldwin Milledgeville Cheatham, Frank S., Jr. Chatham Savannah Cheek, Hugh G. Taylor Butler Coalson, Elmer John Polk Rt. 3, Rockmart Cocke, Steve M. Terrell Dawson Coker, Robert E. Walker LaFayette Conner, Jimmy Jeff Davis Hazlehurst Cox, Julian H. Clarke Athens Craven, S. P. Carroll Rt. 1, Carrollton Crummey, Cecil D. Wilcox Rochelle Deen, Braswell Drue, Jr. Bacon Alma Denmark, Roscoe Liberty Hinesville Dicus, Harry Muscogee Columbus Dilworth, Anderson Franklin Royston Dorminy, A. B. C., Jr. Ben Hill Fitzgerald Duncan, J. Ebb Carroll Carrollton Dunn, Lamar E. Pike Williamson Echols, Talmage B. Upson Thomaston Edwards, C. W., Sr. Richmond Augusta Ellis, S. Thomas Henry McDonough Fitzgerald, Byrom M. Long Ludowici Fleming, William M., Jr. Richmond Augusta Floyd, James H. Chattooga Trion Flynt, Wales T. Taliaferro Crawfordville Fordham, Wiley B. Bulloch Statesboro Fowler, A. A., Jr. Douglas Douglasville Fowler, Wyman Treutlen Soperton Freeman, William Bradford Monroe Forsyth Fuqua, J. B. Richmond Augusta Goble, Ed Gilmer Rt. 4, Ellijay Gowen, Charles L. Glynn Brunswick Green, Harry E. Laurens Montrose Griffin, R. A. Cheney Decatur Bainbridge Gross, Frank L. Stephens Toccoa Hale, Maddox J. Dade Trenton Hall, H. G. Lee Leesburg Hall, J. Battle Floyd Rome Hedden, Edward Towns Hiawassee Hill, Render Meriwether Greenville Hill, Wilton Tattnall Reidsville

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Hodges, Ben A. Ware Waycross Holcombe, Eugene W. Cobb Marietta Hollis, Howell Muscogee Columbus Hood, Tom C. White Cleveland Horton, N. Dudley, Jr. Putnam Eatonton Huddleston, Grady L. Fayette Fayetteville Hudson, D. D. Irwin Ocilla Hurst, Joe J. Quitman Georgetown Ingle, Buford A. Gordon Resaca Irvin, Thomas T. Habersham Rt. 1, Mt. Airy Jessup, Ben Bleckley Cochran Johnson, M. Merrill Jenkins Millen Johnson, Spencer H. Butts Indian Springs Joiner, Francis Washington Tennille Jones, Clarence C. Wayne Jesup Jones, David C. Worth Sylvester Jones, Robert W. Union Blairsville Jones, Thad M. Sumter Plains Jones, W. T. Crawford Roberta Jordan, Luther Banks Star Rt., Lula Jordan, W. Harvey Calhoun Leary Keever, Henry A. Bartow Cartersville Kelly, Roy R. Jasper Monticello Kidd, Edwards Culver, Jr. Baldwin Milledgeville Killian, William R. Glynn Brunswick Kimmons, W. H. Bill Pierce Blackshear King, Joe N. Chattahoochee Cusseta Kirkland, Joe Atkinson Rt. 1, Pearson Lam, C. O. Troup Hogansville Lancaster, Ulysses S. Jones Rt. 1, Gray Lanier, William L. (Bill) Candler Metter Larkins, J. Floyd Brantley Hoboken Lee, William J. (Bill) Clayton Rt. 1, Forest Park Loggins, Joseph E. Chattooga Summerville Lokey, Leonard N. McDuffie Thomson Lott, H. W. Berrien Nashville Love, John W., Jr. Catoosa Ringgold Lovett, W. Herschel Laurens Dublin Lowrey, Sidney Floyd Rt. 1, Rome Mackay, James A. DeKalb Decatur

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Magoon, Harry Hart Hartwell Mann, James C. Rockdale Conyers Massee, R. C. (Bob) Pulaski Hawkinsville Matthews, Chappelle Clarke Athens Matthews, Dorsey Rhudolph Colquitt Rt. 1, Moultrie McClelland, Ralph Fulton Atlanta McCown, W. T. (Bill) Polk Cedartown McCracken, J. Roy Jefferson Avera McGee, Norman A. Chatham Savannah McGibony, T. Hamp Greene Greensboro McKemie, Henry G. Clay Colemank McKenna, Andrew W. Bibb Macon McWhorter, W. Hugh DeKalb Decatur Melton, Quimby, Jr. Spalding Griffin Milhollin, Henry R. Coffee Rt. 2, Douglas Miller, Dr. J. H. Elbert Elberton Moate, Marvin E. Hancock Sparta Moore, Henry W., Jr. Lumpkin Dahlonega Moorman, Warren S. Lanier Lakeland Morgan, Handsel Gwinnett Buford Mull, Reid Fannin Blue Ridge Murphy, Harold L. Haralson Buchanan Musgrove, Downing Clinch Homerville NeSmith, Jimmy D. Meriwether Manchester Newton, David L. Colquitt Rt. 2, Norman Park. Odom, Colquitt Hurst Dougherty Albany Odom, John D. Camden Kingsland Orr, Wilbur A., Jr. Wilkes Washington Otwell, Roy P. Forsyth Cumming Palmer, Tom C., Jr. Mitchell Pelham Paris, James W. Barrow Winder Parker, H. Walstein Screven Rt. 6, Sylvania Parker, Thomas A. Ware Waycross Parker, W. C. Bill Appling Baxley Payton, Henry N. Coweta Newnan Pelham, B. E. Schley Ellaville Phillips, Glenn S. Columbia Harlem Phillips, John Lee Walton Monroe Phillips, J. Taylor Bibb Macon Pickard, Mac Muscogee Columbus

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Pickett, W. Hays Pickens Jasper Raulerson, Louis T. Echols Haylow Ray, Jack B. Warren Norwood Reed, Raymond M. Cobb Smyrna Rodgers, H. Ben Charlton Folkston Rogers, J. Artie Heard Franklin Ross, Ben B. Lincoln Lincolnton Rowland, Emory L. Johnson Wrightsville Rutland, Guy W., Jr. DeKalb Decatur Saffold, R. E. Toombs Vidalia Scoggin, Robert L. (Bob) Floyd Rome Scott, W. Fred Thomas Thomasville Sheffield, John E., Jr. Brooks Quitman Shuman, Jack W. Bryan Pembroke Singer, Sam S. Stewart Lumpkin Smith, Geo. L., II Emanuel Swainsboro Smith, George T. Grady Cairo Smith, J. R. Lamar Barnesville Smith, M. M. (Muggsy) Fulton Atlanta Smith, Virgil T. Whitfield Dalton Souter, J. Lester Macon Montezuma Steis, William Burton Harris Hamilton Stevens, E. C. (Hamp) Marion Buena Vista Story, Earl P. Gwinnett Lawrenceville Strickland, Ernest W. Evans Rt. 2, Claxton Stuckey, W. S., Sr. Dodge Eastman Summers, Marvin Lester Crisp Rt. 2, Cordele Tabb, Buck Miller Colquitt Tamplin, Howard H. Morgan Madison Taylor, Henry Dawson Star Rt., Gainesville Taylor, John L. Decatur Attapulgus Terry, A. F. Murray Chatsworth Thornton, Richard B. Bibb Macon Todd, W. G. Glascock Gibson Tucker, M. King Burke Waynesboro Twitty, Frank S. Mitchell Camilla Undercofler, Hiram K. Sumter Americus Underwood, Joe C. Montgomery Mt. Vernon Walker, Fred H. Lowndes Valdosta Walker, Wimbric Telfair McRae

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Watson, R. Herman Houston Warner Robins Wells, D. Warner Peach Fort Valley Wells, Hubert H. Oconee Watkinsville White, Daniel H. McIntosh Darien Wilkes, Wilson B. Cook Adel Williams, George J. Coffee Rt. 1, Axson Williams, W. M. (Bill) Hall Gainesville Willingham, Harold S. Cobb Marietta Winkle, Homer E. Whitfield Dalton Young Clyde S. Turner Rebecca

Page 1552

MEMBERS OF THE GEORGIA HOUSE OF REPRESENTATIVES BY COUNTIES AND POST OFFICES FOR THE TERM 1959 - 1960 County Representative Post Office Appling W. C. Bill Parker Baxley Atkinson Joe Kirkland Rt. 1, Pearson Bacon Braswell Drue Deen, Jr. Alma Baker J. L. (Leckey) Barnett Rt. 1, Elmodel Baldwin Edwards Culver Kidd, Jr. Milledgeville Baldwin Philip M. Chandler Milledgeville Banks Luther Jordan Star Rt., Lula Barrow James W. Paris Winder Bartow Henry A. Keever Cartersville Bartow W. H. Bradley Cartersville Ben Hill A. B. C. Dorminy, Jr. Fitzgerald Berrien H. W. Lott Nashville Bibb J. Taylor Phillips Macon Bibb Richard B. Thornton Macon Bibb Andrew W. McKenna Macon Bleckley Ben Jessup Cochran Brantley J. Floyd Larkins Hoboken Brooks John E. Sheffield, Jr. Quitman Bryan Jack W. Shuman Pembroke Bulloch Francis W. Allen Statesboro Bulloch Wiley B. Fordham Statesboro Burke Porter W. Carswell Waynesboro Burke M. King Tucker Waynesboro Butts Spencer H. Johnson Indian Springs Calhoun W. Harvey Jordan Leary Camden John D. Odom Kingsland Candler William L. (Bill) Lanier Metter Carroll S. P. Craven Rt. 1, Carrollton Carroll J. Ebb Duncan Carrollton Catoosa John W. Love, Jr. Ringgold Charlton H. Ben Rodgers Folkston Chatham Edward T. Brennan Savannah Chatham Norman A. McGee Savannah Chatham Frank S. Cheatham, Jr. Savannah Chattahoochee Joe N. King Cusseta Chattooga Joseph E. Loggins Summerville

Page 1553

Chattooga James H. Floyd Trion Cherokee Carl Barrett Holly Springs Clarke Julian H. Cox Athens Clarke Chappelle Matthews Athens Clay Henry G. McKemie Coleman Clayton Edgar Blalock Jonesboro Clayton William J. (Bill) Lee Rt. 1, Forest Park Clinch Downing Musgrove Homerville Cobb Harold S. Willingham Marietta Cobb Raymond M. Reed Smyrna Cobb Eugene W. Holcombe Marietta Coffee George J. Williams Axson Coffee Henry R. Milhollin Rt. 2, Douglas Colquitt Dorsey Rhudolph Matthews Rt. 1, Moultrie Colquitt David L. Newton Rt. 2, Norman Park Columbia Glenn S. Phillips Harlem Cook Wilson B. Wilkes Adel Coweta Henry N. Payton Newnan Coweta D. B. Blalock Newnan Crawford W. T. Jones Roberta Crisp Marvin Lester Summers Rt. 2, Cordele Dade Maddox J. Hale Trenton Dawson Henry Taylor Star Rt., Gainesville Decatur R. A. Cheney Griffin Bainbridge Decatur John L. Taylor Attapulgus DeKalb James A. Mackay Decatur DeKalb W. Hugh McWhorter Decatur DeKalb Guy W. Rutland, Jr. Decatur Dodge W. S. Stuckey, Sr. Eastman Dooly Buford W. Carr Vienna Dougherty George D. Busbee Albany Dougherty Colquitt Hurst Odom Albany Douglas A. A. Fowler, Jr. Douglasville Early Leon Hodges Baughman Cedar Springs Echols Louis T. Raulerson Haylow Effingham B. Frank Arnsdorff Springfield Elbert Dr. J. H. Miller Elberton Emanuel Geo. L. Smith, II Swainsboro Evans Ernest W. Strickland Rt. 2, Claxton

Page 1554

Fannin Reid Mull Blue Ridge Fayette Grady L. Huddleston Fayetteville Floyd J. Battle Hall Rome Floyd Sidney Lowrey Rome Floyd Robert L. (Bob) Scoggin Rome Forsyth Roy P. Otwell Cumming Franklin Anderson Dilworth Royston Fulton Wilson Brooks Atlanta Fulton M. M. (Muggsy) Smith Atlanta Fulton Ralph McClelland Atlanta Gilmer Ed Goble Rt. 4, Ellijay Glascock W. G. Todd Gibson Glynn William R. Killian Brunswick Glynn Charles L. Gowen Brunswick Gordon Buford A. Ingle Resaca Grady George T. Smith Cairo Greene T. Hamp McGibony Greensboro Gwinnett Earl P. Story Lawrenceville Gwinnett Handsel Morgan Buford Habersham Thomas T. Irvin Rt. 1, Mt. Airy Hall Robert E. Andrews Gainesville Hall W. M. (Bill) Williams Gainesville Hancock Marvin E. Moate Sparta Haralson Harold L. Murphy Buchanan Harris William Burton Steis Hamilton Hart Harry Magoon Hartwell Heard J. Artie Rogers Franklin Henry S. Thomas Ellis McDonough Houston R. Herman Watson Warner Robins Irwin D. D. Hudson Ocilla Jackson Mac Barber Commerce Jasper Roy R. Kelly Monticello Jeff Davis Jimmy Conner Hazlehurst Jefferson J. Roy McCracken Avera Jenkins M. Merrill Johnson Millen Johnson Emory L. Rowland Wrightsville Jones Ulysses S. Lancaster Rt. 1, Gray Lamar J. R. Smith Barnesville Lanier Warren S. Moorman Lakeland Laurens W. Herschel Lovett Dublin Laurens Harry E. Green Montrose

Page 1555

Lee H. G. Hall Leesburg Liberty Roscoe Denmark Hinesville Lincoln Ben B. Ross Lincolnton Long Byrom M. Fitzgerald Ludowici Lowndes Fred H. Walker Valdosta Lowndes Roger M. Budd Valdosta Lumpkin Henry W. Moore, Jr. Dahlonega Macon J. Lester Souter Montezuma Madison Harold A. Boggs Danielsville Marion E. C. (Hamp) Stevens Buena Vista McDuffie Leonard N. Lokey Thomson McIntosh Daniel H. White Darien Meriwether Render Hill Greenville Meriwether Jimmy D. NeSmith Manchester Miller Buck Tabb Colquitt Mitchell Frank S. Twitty Camilla Mitchell Tom C. Palmer, Jr. Pelham Monroe William Bradford Freeman Forsyth Montgomery Joe C. Underwood Mt. Vernon Morgan Howard H. Tamplin Madison Murray A. F. Terry Chatsworth Muscogee Howell Hollis Columbus Muscogee Mac Pickard Columbus Muscogee Harry Dicus Columbus Newton W. D. Ballard Covington Oconee Hubert H. Wells Watkinsville Oglethorpe George B. Brooks Crawford Paulding George T. Bagby Dallas Peach D. Warner Wells Fort Valley Pickens W. Hays Pickett Jasper Pierce W. H. Bill Kimmons Blackshear Pike Lamar E. Dunn Williamson Polk Elmer John Coalson Rt. 3, Rockmart Polk W. T. (Bill) McCown Cedartown Pulaski R. C. (Bob) Massee Hawkinsville Putnam N. Dudley Horton, Jr. Eatonton Quitman Joe J. Hurst Georgetown Rabun Knox Bynum Clayton Randolph A'Delbert (Dell) Bowen Cuthbert Richmond C. W. Edwards, Sr. Augusta Richmond William M. Fleming, Jr. Augusta

Page 1556

Richmond J. B. Fuqua Augusta Rockdale James C. Mann Conyers Schley B. E. Pelham Ellaville Screven H. Walstein Parker Rt. 6, Sylvania Seminole J. O. Brackin Iron City Spalding Quimby Melton, Jr. Rt. 3, Griffin Spalding Arthur K. Bolton Rt. B, Griffin Stephens Frank L. Gross Toccoa Stewart Sam S. Singer Lumpkin Sumter Hiram K. Undercofler Americus Sumter Thad M. Jones Plains Talbot H. Chris Callier Talbotton Taliaferro Wales T. Flynt Crawfordville Tattnall Wilton Hill Reidsville Taylor Hugh G. Cheek Butler Telfair Wimbric Walker McRae Terrell Steve M. Cocke Dawson Thomas J. W. (Jim) Bozeman, Jr. Meigs Thomas W. Fred Scott Thomasville Tift Henry Bostick Tifton Tift W. Frank Branch Tifton Toombs R. E. Saffold Vidalia Towns Edward Hedden Hiawassee Treutlen Wyman Fowler Soperton Troup C. O. Lam Hogansville Troup Frank G. Birdsong LaGrange Turner Clyde S. Young Rebecca Twiggs Homer L. Chance Danville Union Robert W. Jones Blairsville Upson Johnnie L. Caldwell Thomaston Upson Talmage B. Echols Thomaston Walker Albert Campbell LaFayette Walker Robert E. Coker LaFayette Walton John Lee Phillips Monroe Ware Ben A. Hodges Waycross Ware Thomas A. Parker Waycross Warren Jack B. Ray Norwood Washington Francis Joiner Tennille Wayne Clarence C. Jones Jesup Webster J. Lucius Black Preston Wheeler Oris Braswell Alamo

Page 1557

White Tom C. Hood Cleveland Whitfield Virgil T. Smith Rt. 5, Dalton Whitfield Homer E. Winkle Dalton Wilcox Cecil D. Crummey Rochelle Wilkes Wilbur A. Orr, Jr. Washington Wilkinson Geo. H. Carswell Irwinton Worth David C. Jones Sylvester

Page 1559

RESULTS OF REFERENDUM ELECTION STATUS OF REFERENDUM ELECTIONS FOR YEARS 1953-1959 AS OF MAY, 1960 Georgia Laws Referendums Proposed Status Unknown Not Held Final Result 1953 (Jan.-Feb.) 14 2 2 10 1953 (Nov.-Dec.) 21 4 ..... 17 1955 17 1 1 15 1956 39 4 1 34 1957 24 ..... 1 23 1958 46 3 2 41 1959 35 ..... 1 34 TOTAL 196 14 8 174

Page 1560

REFERENDUM ELECTIONS1953-1959 The Act, approved March 4, 1953 (Ga.L.1953, Jan.-Feb. sess., page 523), provides that the results of all referendum elections which are provided for by any local or special law enacted by the General Assembly of Georgia shall immediately be certified, by the authority holding such election, to the Secretary of State. In addition thereto, the citation of the Act involved and the purpose of such election shall be sent to the Secretary of State at the same time. Georgia Laws 1953, January-February session: County Page No. SUBJECT Date of Election Result Carroll 3012 Town Mt. Zion 3-21-53 For 55 Agn 30 Chatham 2538 Taxation Not held DeKalb 3249 County Commissioners 5-13-53 For4445 Agn8483 Franklin 3030 County Commissioners 11- 2-54 For1152 Agn 565 Gilmer 3103 City of Ellijay 6- 1-53 For 69 Agn 151 Gilmer 588 City of Ellijay 6- 1-53 For 69 Agn 151 Gwinnett 3187 City of Lawrenceville 6-27-53 For 55 Agn 61 Irwin 2495 Tax Commissioner 11- 2-54 For 568 Agn 694 Mitchell 2577 City Treasurer of Camilla Not held Murray 2458 Town of Spring Place Status unknown Murray 2340 City of Chatsworth Status unknown Murray 2444 Tax Commissioner 4-21-53 For 553 Agn 261 Troup 2276 City of West Point 4- 1-53 For 250 Agn 112 Whitfield 2128 City Court of Dalton 3-26-53 For 210 Agn2613

Page 1561

Georgia Laws 1953, November-December session: County Page No. SUBJECT Date of Election Result Burke 2049 County Commissioners 9- 8-54 For1833 Agn 648 Cherokee 2668 Certain county officers on salary basis 11- 2-54 For 913 Agn 674 Clayton 2855 City of Forest Park Status unknown Clayton 2029 City of Lake Tara 12- 9-53 For 64 Agn 229 Clayton 2064 City of Lake Tara Status unknown Coweta 2040 City of Newnan 2- 6-54 For1406 Agn 603 Crisp 2407 City of Cordele 10- 5-54 City vote: For202; Agn132 County vote: For 23; Agn252 Decatur 2197 City of West Bainbridge 1-11-54 For 200 Agn 527 DeKalb 2578 City of Decatur 10-21-54 For 466 Agn 827 Early 2282 City of Blakely 4-19-54 For 45 Agn 82 Elbert 2987 City of Elberton 3-23-54 For 958 Agn 248 Forsyth 2674 County indebtedness for building purposes Status unknown Greene 2455 County Commissioners 3-23-54 For1637 Agn1807 Habersham 2745 City of Clarkesville 2-16-54 For 154 Agn 164

Page 1562

McDuffie 2584 City of Thomson 3-12-54 For 253 Agn 290 Miller 2814 City Court of Miller County 9- 8-54 Status unknown Richmond 2610 City of Augusta Status unknown Richmond 2476 City of Augusta 11-17-54 For 259 Agn 189 Sumter 2972 Tax Millage 1-12-54 For 382 Agn 431 Troup 2858 City of West Point 1-27-54 City vote: For140; Agn 6 Outside city vote: For 64; Agn 53 Twiggs 2570 County Commissioners 11- 2-54 For 161 Agn 626 This is a summary of the results of referendum elections which are of file and record in the office of Secretary of State. Referral to the page number, indicated in the second column, will enable the reader to determine the results of the individual referendum elections. Georgia Laws, 1955: County Page No. SUBJECT Date of Election Result Baldwin 2830 County Commissioners 4-20-55 * * Special election held May 31, 1955 and 2 additional members elected. For1079 Agn 716 Clarke 3057 Merger city and county school systems 5- 4-55 For1124 Agn 564 Clayton 2781 City of Morrow 4-16-55 For 75 Agn 30 Clayton and Fulton 2884 City of College Park 5-14-55 For 46 Agn 13

Page 1563

DeKalb 2806 Form of government 5-18-55 (1) Single Com. For 750 Multiple Com. For5013 (2) Co. Exec. For2728 Co. Manager For2733 Elbert 2117 City Court of Elberton 3- 7-56 For4471 Agn 522 Fulton 2650 City of Hapeville Status unknown Gwinnett 3163 City of Lawrenceville 3-19-55 For 25 Agn 89 Hall 3040 Tax Commissioner 11-28-55 For2163 Agn 775 Hall 2627 Certain county officers on salary basis 11-28-55 For2144 Agn 826 Houston 2093 City of Warner Robins 4- 5-55 For 234 Agn 547 Jackson 2853 City of Commerce Not held Laurens 2620 City of Dublin 5-10-55 For 582 Agn1327 Lumpkin 2892 County Commissioners 4-13-55 For 337 Agn 109 Rockdale 2428 Certain county officers on salary basis 4-16-55 For 610 Agn 877 Tift 2344 City of Tifton 4-27-55 For 764 Agn 270 Wayne 2858 City of Jesup 4-27-55 For 383 Agn 206 This is a summary of the results of referendum elections which are of file and record in the office of Secretary of State. Referral to the page number, indicated in the second column, will enable the reader to determine the results of the individual referendum elections.

Page 1564

Georgia Laws, 1956: County Page No. SUBJECT Date of Election Result Baldwin 2725 County Commissioners 4- 3-56 For1394 Agn1385 Baldwin (1 of 2) 2865 City of Milledgeville 7-18-56 For 107 Agn 58 Baldwin (1 of 2) 2865 City of Milledgeville 10-15-56 For 463 Agn 243 Baldwin 3003 City of Milledgeville 7-18-56 For 12 Agn 51 Banks 2056 Supplemental salary for Sheriff 3-14-56 For1054 Agn1378 Barrow 3100 City of Winder 5- 4-56 For 13 Agn 103 Carroll 2797 Judge, City Court of Carrollton 11- 6-56 For1305 Agn2344 Carroll 2877 Police court of Whitesburg Status unknown Chattooga 2899 County Commissioner 9-12-56 For2142 Agn1167 Clayton (1 of 2) 2040 City Manager, City Forest Park Status unknown Clayton (1 of 2) 2040 City of Forest Park Status unknown Clayton 2518 City of Mountain View 3-24-56 For 341 Agn 44 Clayton 2744 City of College Park 4-28-56 For 28 Agn 22 Colquitt 2399 Certain county officers on salary basis 2-28-56 For3864 Agn2411 Colquitt 2403 Tax Commissioner 2-28-56 For3939 Agn2540

Page 1565

Colquitt 2830 City of Moultrie 10- 1-56 * * City vote: West Moultrie Area: For1986; Agn169 Colonial Heights Area: For2002; Agn159 Crestwood Gardens Area: For2005; Agn167 East Moultrie Area: For2004; Agn165 Tifton Highway Area: For1989; Agn173 Sylvester Drive Area: For1976; Agn175 Area vote: Area 1-West Moultrie Area: For 99; Agn 57 Area 2-Colonial Heights Area: For145; Agn 83 Area 3-Crestwood Gardens Area: For 27; Agn 87 Area 4-East Moultrie Area: For 41; Agn147 Area 5-Tifton Highway Area: For 29; Agn107 Area 6-Sylvester Drive Area: For 78; Agn144 DeKalb 2932 City Court of Decatur 5-16-56 For 12,520 Agn 5,846 DeKalb (1 of 2) 3237 Multiple commission form of government 5-16-56 For 18,393 Agn 2,001 DeKalb (1 of 2) 3237 Commission Chairman 5-16-56 For:(a) 4,743 For:(b)15,300 Fayette 2022 Tax Commissioner 2-25-56 For 292 Agn 37 Glascock 3507 Traveling expenses for Sheriff 3-14-56 For 498 Agn 227 Gwinnett 2502 Tax Commissioner 11- 6-56 For 3383 Agn 1641 Hall 3166 City of Lula 3-27-56 Belton vote: For64; Agn2 Lula vote: For35; Agn3

Page 1566

Houston 2510 City of Warner Robins 5- 8-56 For 215 Agn 30 Jackson 2887 City Court of Jefferson 9-12-56 For 972 Agn1556 Laurens 3267 City of Dublin Not held Miller 2799 Voting machines 9-12-56 For 231 Agn 580 Murray 3476 City of Chatsworth 8-25-56 For 77 Agn 109 Muscogee 2386 City of Columbus 9-12-56 City vote: For6179; Agn2356 Outside city vote: For 516; Agn2070 Newton 2507 City of Covington 5- 1-56 For 109 Agn 90 Richmond 2406 Sale of Allen ParkCity of Augusta 4-18-56 For7769 Agn3734 Spalding 2412 City of Griffin 4-17-56 City vote: For948; Agn595 Affected area: For365; Agn400 Thomas 3159 Certain county officers on salary basis 4-24-56 For 902 Agn 939 Thomas 3510 Tax Commissioner 4-24-56 For 876 Agn 957 Troup 2827 City of Hogansville 7-18-56 City vote: For216; Agn117 Outside city vote: For 41; Agn159

Page 1567

Troup 3078 City of Hogansville 7-18-56 For 257 Agn 276 Troup 3423 City of North West Point 4-25-56 For 34 Agn 111 Walker 2995 Town of Linwood Status unknown Whitfield 2093 City of Dalton 3-15-56 For 985 Agn1831 This is a summary of the results of referendum elections which are of file and record in the office of Secretary of State. Referral to the page number, indicated in the second column, will enable the reader to determine the results of the individual referendum elections. Georgia Laws, 1957: County Page No. SUBJECT Date of Election Result Bartow 2048 City of Cartersville 3-12-57 For1010 Agn 314 Bulloch 2877 City of Statesboro 7-26-57 Area 1: For312; Agn14 Area 2: For312; Agn14 Area 3: For313; Agn13 Chatham 2003 City of Port Wentworth 3-20-57 For 422 Agn 128 Clarke 2033 City of AthensMayor and City Council 2-27-57 For 617 Agn2112 Clarke 2036 RecorderCity of Athens 2-27-57 For 714 Agn2047 Cobb 3020 City of Acworth 5- 4-57 For 73 Agn 181 Coffee 2833 City Commissioners of City of Douglas 5-29-57 For 485 Agn 99

Page 1568

Colquitt 2205 City of Moultrie 3-11-57 For 25 Agn 53 Cook 3253 County Commissioners 5- 8-57 For 227 Agn 364 Dougherty 2595 City of Albany 5-20-57 For 325 Agn 720 Douglas 2358 City of Douglasville 5- 3-57 City vote: For50; Agn 53 Affected area: For 2; Agn164 Emanuel 3317 City of Swainsboro 10-14-57 City vote: For: Area 1 and 2 Outside city vote: For: Area 2 Agn: Area 1 Gwinnett 2669 City of Lawrenceville 3-23-57 For 27 Agn 4 Hancock 2341 City of Sparta Not held Henry 2121 County Commissioners 4- 6-57 For 784 Agn 924 Miller 2194 County Commissioners 4- 2-57 Majority vote for $5 per meeting Pickens 2332 Town of Jasper 4-17-57 City vote: For78; Agn 12 Outside city vote: For15; Agn213 Pickens 2400 Town of Jasper 4-17-57 For 75 Agn 10 Polk 2185 City of Cedartown 5- 8-57 For 656 Agn 934

Page 1569

Pulaski 3353 City of Hawkinsville 4-30-57 For 115 Agn 266 Spalding 2809 City of Griffin 4-30-57 For 552 Agn 317 Twiggs 3002 County Commissioners 5-22-57 For 156 Agn 174 Walker 2419 Town of Linwood 4-27-57 For 71 Agn 29 Wilkinson 2383 Town of McIntyre 5-25-57 For 49 Agn 18 This is a summary of the results of referendum elections which are of file and record in the office of Secretary of State. Referral to the page number, indicated in the second column, will enable the reader to determine the results of the individual referendum elections. Georgia Laws, 1958: County Page No. SUBJECT Date of Election Result Bacon 3378 City of Alma 7- 2-58 For 206 Agn 197 Baldwin 3302 County Commissioner 11- 4-58 For 932 Agn 717 Barrow 2338 City of Winder 6- 4-58 For 131 Agn 229 Bartow 2683 Tax Commissioner 9-10-58 For3590 Agn1254 Bartow 2866 Certain County officers on salary basis 9-10-58 For3462 Agn1356 Brooks 2859 City Commission of Quitman 5-27-58 For 173 Agn 74 Chatham 2617 Town of Thunderbolt 1-20-59 For 291 Agn 115 Chatham 3337 City of Savannah 5-27-58 For4024 Agn2283

Page 1570

Chattahoochee 2554 Compensation of Sheriff 11- 4-58 For 55 Agn 30 Cherokee 2437 City of Canton 5- 7-58 For 119 Agn 483 Cherokee 2661 City of Canton 5- 7-58 For 223 Agn 37 Clayton 3022 City of Mountain View In litigation Clayton 3397 City of Forest Park Status unknown Clayton and Fulton 2309 City of College Park 5-19-58 For 2 Agn 0 Clayton and Fulton 2363 City of College Park 5-14-58 For 10 Agn 0 Colquitt 2441 City of Moultrie 7-14-58 (Area 6) For 53; Agn 1 7-21-58 (Area 7) For110; Agn79 7-28-58 (Area 8) For 31; Agn27 DeKalb 3318 City of Chamblee 5-10-58 City area vote: For41; Agn 1 Affected area: For91; Agn41 Dodge 2207 County Commissioners 3-18-58 For 571 Agn2997 Early 2829 City of Blakely 8-12-58 For 59 Agn 96

Page 1571

Emanuel 3143 City of Swainsboro 10-13-58 Parcel # 1-City vote: For227; Agn15 Outside city: For143; Agn54 Parcel #2- City vote: For229; Agn15 Outside city: For 39; Agn40 Parcel #3- City vote: For230; Agn14 Outside city: For 24; Agn28 Fannin 3353 City of Blue Ridge 5-17-58 For 162 Agn 282 Franklin 2644 City of Carnesville 4-22-58 For 33 Agn 21 Fulton 2721 City of College Park 6- 3-58 For 738 Agn 340 Fulton and Clayton 2453 City of College Park 5-19-58 For 2 Agn 0 Fulton and Clayton 2854 City of College Park 5-14-58 For 0 Agn 0 Fulton and Clayton 3212 City of East Point 7-16-58 For 63 Agn 28

Page 1572

Gordon 2131 City of Calhoun 3-26-58 City vote: For234; Agn 75 County vote: For203; Agn256 Hall 2279 Gainesville City Commission 4- 1-58 For 925 Agn 169 Haralson 2820 Millage for education purposes. Not held as of 4-18-60 Henry 3127 Certain county officers on salary basis 5-21-58 For 346 Agn 206 Henry 3132 City of Stockbridge 4-30-58 City vote: For61; Agn 75 Outside City: For16; Agn116 Henry 3200 City of Hampton 4-30-58 City vote: For92; Agn3 Outside City: For37; Agn9 Henry 3367 City of McDonough Status unknown Jasper 2922 City of Monticello 6- 3-58 City vote: For147; Agn107 Outside City: For 15; Agn 50 Jeff Davis 3288 County Commissioners 4-19-58 For1025 Agn 901 Lowndes 2624 City of Valdosta 4-14-58 For 907 Agn 243 Newton 2269 City of Covington 7- 9-58 For 151 Agn 460 Polk 2468 Town of Van Wert 9-10-58 For 7 Agn 57

Page 1573

Georgia Laws, 1958: Pulaski 2826 Tax Commissioner 11- 4-58 For222 Agn235 Putnam 2980 City of Eatonton 6-11-58 For 42 Agn257 Tift 2697 City of Tifton 5- 7-58 For669 Agn 43 Tift 2696 City of Tifton 4-30-58 For333 Agn286 Tift 2930 City of Tifton Commissioners 5-28-58 For338 Agn338 Ware 2763 City of Manor 5-17-58 For 19 Agn100 Wilkes 2091 County Commissioners 11- 4-58 For749 Agn 98 White 3224 County Commissioners Not held This is a summary of the results of referendum elections which are of file and record in the office of Secretary of State. Referral to the page number, indicated in the second column, will enable the reader to determine the results of the individual referendum elections. Georgia Laws, 1959: County Page No. SUBJECT Date of Election Result Bartow 2782 City of Cartersville 4-29-59 For 79 Agn154 Bartow 2793 City of Cartersville 4-29-59 For 3 Agn 21 Bartow 2797 City of Adairsville 5-12-59 For 77 Agn120 Bartow 2907 City of White (Sec. 2) 5-16-59 For 7 Agn 36 Bartow 2907 City of White 5-16-59 For 27 Agn 45

Page 1574

Bartow 2920 City of Kingston 5-16-59 For 49 Agn 2 Catoosa 2161 County Commissioners 3-28-59 For 718 Agn2430 Chattooga 2809 City of Summerville 5-23-59 For 160 Agn 462 Cherokee 2494 Certain County officers on salary basis 4- 4-59 For1522 Agn 509 Clayton and Fulton 2499 City of College Park 5-18-59 For 14 Agn 38 Clayton and Fulton 2508 City of College Park 5-18-59 For 0 Agn 0 Clayton and Fulton 2516 City of College Park 5-18-59 For 5 Agn 0 Clayton and Fulton 2521 City of College Park 5-18-59 For 3 Agn 0 Cobb 3142 City of AustellParcel #2 8-18-59 For 7 Agn 8 Cobb 3142 City of AustellParcel #3 8- 4-59 For 2 Agn 11 Cobb 3142 City of AustellParcel #1 8-25-59 For 5 Agn 49 Colquitt 2397 TaxationCity of Norman Park 5-25-59 For 50 Agn 81 Dougherty 2091 County Commissioners 4-12-60 For 755 Agn 417 Dougherty 3064 City of Albany 6- 8-59 For 1413 Agn 710 Douglas 2871 City of Lithia Springs 4- 8-59 For 241 Agn 569

Page 1575

Douglas 3142 City of AustellParcel #4 * * See Cobb County1 of 4 elections held. 8-11-59 ** ** Certified copy of Order of Ordinary on file in this office, under date of January 5, 1960, declaring the election held August 11, 1959 to be null and void. For 14 Agn 15 Elbert 2627 County Commissioners 4- 8-59 For 804 Agn 436 Elbert 2621 Tax Commissioner 4- 8-59 For 1014 Agn 203 Elbert 2624 Certain county officers on salary basis 4- 8-59 For 1014 Agn 228 Emanuel 2592 City of Twin City 5- 4-59 For 200 Agn 162 Gwinnett 3161 City of Dacula 5- 9-59 For 82 Agn 45 Habersham 2178 City of Cornelia 4-13-59 For 102 Agn 91 McDuffie 2568 County officials on salary system 6-30-59 For 502 Agn 75 Meriwether and Talbot 2534 City of Manchester 4-1 -59 For 109 Agn 30 Newton 2780 City of Oxford 5- 1-59 For 30 Agn 36 Polk 2171 City of Cedartown 5-19-59 City vote: For387; Agn 75 County vote: For 86; Agn291

Page 1576

Polk 2732 Certain county officers on a salary basis 3-16-60 For4388 Agn1624 Toombs 2010 County Commissioners 4- 8-59 For1510 Agn 827 Turner 2575 County Commissioners Not held * * Act declared unconstitutional by Turner Superior Court and no election held. This is a summary of the results of referendum elections which are of file and record in the office of Secretary of State. Referral to the page number, indicated in the second column, will enable the reader to determine the results of the individual referendum elections. Union 2053 County Commissioners 3-17-59 For 810 Agn1629

Page 1577

For any information regarding these ACTS and RESOLUTIONS please contact: BEN W. FORTSON, JR. Secretary of State or JOE N. BURTON Assistant to Secretary of State