In order to facilitate the preliminary work, which shall include, but not be limited to, the preparation of the official plan, the appraisals and the cost of administration incidental thereto, the board, by resolution, may borrow money at a rate of interest not exceeding six percent (6%), per annum, evidenced by interim bonds or notes of the district payable not later than five (5) years from the date thereof, which resolution shall provide for the levy and collection of an assessment against all property included in the district for the payment of the principal and interest on maturity. Provided, the total amount of money so borrowed with interest shall not exceed twenty-five cents ($0.25) per acre of all lands embraced in the project, and any such interim bonds or notes issued in excess thereof shall be void, but such board shall not issue interim bonds or notes to borrow money as provided above, until such board has been authorized by the court having jurisdiction of such district, after a public hearing, to issue such interim bonds or notes. Notice by publication, setting forth the purpose, time and place of said hearing shall be given by the Clerk of such court. Upon said hearing if it appears that it is necessary to fulfill the purposes of such district to borrow money as set forth in the application to the court, the court shall enter an order to such effect. If said interim bonds or notes shall not have been paid, or refunded by the issuance of bonds or notes for completion of the project prior to the time for the levy and collection of the assessment for payment of the principal and interest thereof, such an assessment shall be levied and collected to pay said principal and interest as hereinabove in this title provided.

Added by Laws 1923-24, c. 139, p. 184, § 44. Amended by Laws 1959, p. 378, § 7; Laws 1963, c. 271, § 12, emerg. eff. June 13, 1963.