A regular meeting of the Town Board of Grand Island, New York was held at the Town Hall, 2255 Baseline Rd., Grand Island, NY at 8:00p.m. on the 21^st of May 2007.

Present: Peter A. McMahon Supervisor

Richard W. Crawford Councilman

Mary S. Cooke Councilwoman

Gary G. Roesch Councilman

Susan J. Argy Councilwoman

Patricia A. Frentzel Town Clerk

Peter C. Godfrey Town Attorney

Supervisor Peter McMahon called the meeting to order at 8:00p.m.

Supervisor Peter McMahon gave the Invocation.

Councilman Richard Crawford led the Pledge of Allegiance.

PROCLAMATIONS:

VFW Buddy Poppy Days – May 24, 25, 26^th

Safe Boaters Week – June 4^th

Retirement of Chris Affuso – US Navy

PUBLIC COMMENTS:

This is an opportunity for residents to comment on any matter regarding the meeting agenda items only.

Speakers: Nan Hoffman Re: Waterford Park Subdivision

PUBLIC HEARING:

$400,000 Improvements of Consolidated Sewer District (Replacement of Existing Force Main & Associated Appurtenances at Sewer Pumping Station No. 9)

A public hearing was held at 8:00 P.M. for purpose of hearing anyone who wanted to speak in favor of or in opposition to $400,000 Improvements of Consolidated Sewer District (Replacement of Existing Force Main & Associated Appurtenances at Sewer Pumping Station No. 9).

Speakers in Favor: None

Speakers in Opposition: None

Supervisor McMahon declared the Public Hearing closed.

A motion was made by Councilman Crawford, seconded by Councilwoman Cooke to adopt the Resolution and Order After Public Hearing relating to the Increase and Improvement of Facilities of the Consolidated Sewer District at Sewage Pumping Station No. 9 as follows:

WHEREAS, the Town Board of the Town of Grand Island (herein called “Town Board” and “Town”, respectively), in the County of Erie, New York on behalf of the Town of Grand Island Consolidated Sewer District (the “District”), in the Town, has directed the Town of Grand Island Engineering Department, competent engineers licensed in New York, to prepare a map, plan & report for improvements for the District’s sanitary sewer system, including, but not limited to: the excavation and placement of approximately 2,400 lineal feet of 10” diameter PVC pressure pipe, 3 road crossings by boring, 2 stream crossings, modification to piping inside the pump station, connection to existing facilities, temporary facilities, and restoration, all of the forgoing to include all necessary site work, equipment, apparatus and other improvements and costs incidental thereto, (the “District Improvements”); and pursuant to the direction of the Town the Engineer has completed and filed with the Town Board such map, plan and report for said increase and improvement of facilities of the District and has estimated the total cost thereof to be a maximum amount of $400,000; said cost to be financed by the issuance of serial bonds of the Town in the amount of $400,000, offset by any federal, state, county and/or local grants; and

WHEREAS, the Town Board has given due consideration to the impact that the increase and improvement of the facilities of the District may have on the environment and on the basis of such consideration, the Town Board found that no substantial adverse environmental impact will be caused thereby; and

WHEREAS, the Town Board and the Town have complied in every respect with all applicable federal, state and local laws and regulations regarding environmental matters, including compliance with the New York State Environmental Quality Review Act, comprising Article 8 of the Environmental Conservation Law and, in connection therewith, duly issued a negative declaration and/or other applicable documentation, which has been filed in the office of the Town Clerk.

WHEREAS, the Town Board issued an Order at its May 7, 2007 meeting calling for a public hearing to be held at the Town Hall, Grand Island, New York, on May 21, 2007 at 8:00 P.M. (prevailing time) to consider said increase and improvement of facilities of the District and to hear all persons interested in the subject thereof concerning the same and for such other action on the part of the Town Board with relation thereto as may be required by law, and further ordered the Town Clerk to publish at least once in a newspaper designated as an official newspaper of the Town for such publication, and post on the sign board of the Town maintained pursuant to subdivision 6 of Section 30 of the Town Law, a copy of this Order, certified by said Town Clerk, the first publication thereof and said posting to be not less than ten (10) nor more than twenty (20) days before the date of such public hearing; and

WHEREAS, said notices of the public hearing were properly published and posted and the public hearing duly held at the time and place stated in the notices.

NOW THEREFORE BE IT RESOLVED AND DETERMINED BY THE TOWN BOARD OF THE TOWN OF GRAND ISLAND, based on the information provided at the public hearing, as follows:

DETERMINED, that it is in the public interest to increase and improve the facilities of the District as hereinabove described and referred to at the estimated maximum cost of $400,000; and it is hereby

DETERMINED, that the parcels and lots of the District shall be benefited by said increase and improvement of the facilities of the District; and it is hereby

DETERMINED, that all parcels and lots benefited by said increase and improvement of the facilities are included in the District; and it is hereby

ORDERED, that the facilities of the District shall be so increased and improved and that the Engineer shall prepare plans and specifications and make a careful estimate of the expense for said increase and improvement of the facilities, and with the assistance of the Town Attorney, prepare a proposed contract for the execution of the work, which plans and specifications, estimate and proposed contract shall be presented to the Town Board as soon as possible, and it is hereby

FURTHER ORDERED, that the expense of said increase and improvement of the facilities shall be financed by the issuance of serial bonds of the Town in an amount not to exceed $400,000, said amount to be offset by any federal, state, county and/or local grants, and the costs of said increase and improvement of facilities shall be annually apportioned among the District by the Town Board, and the amounts so apportioned shall be paid by the assessment, levy and collection of special assessments from the several lots and parcels of land within the District, which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on said bonds as the same shall become due and payable, except as provided by law, and it is hereby

FURTHER ORDERED, that within ten (10) days after adoption of this Resolution and Order, the Town Clerk shall record with the Clerk of the County of Erie a copy of this Resolution and Order, certified by said Town Clerk.

APPROVED Ayes 5 Cooke, Crawford, Roesch, Argy, McMahon

Noes 0

A motion was made by Councilman Roesch, seconded by Councilwoman Argy to adopt the Bond Resolution for Improvements of Consolidated Sewer District at Sewage Pumping Station No. 9 as follows:

A BOND RESOLUTION OF THE TOWN OF GRAND ISLAND TOWN BOARD DATED MAY 21, 2007, AUTHORIZING THE INCREASE AND IMPROVEMENT OF FACILITIES OF THE CONSOLIDATED SEWER DISTRICT AT A MAXIMUM AMOUNT NOT TO EXCEED $400,000, AND AUTHORIZING THE ISSUANCE OF SERIAL BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $400,000, OFFSET BY ANY FUNDS RECEIVED FROM THE UNITED STATES OF AMERICA, THE STATE OF NEW YORK, THE COUNTY OF ERIE, AND/OR LOCAL GRANTS FOR SAID OBJECT OR PURPOSE OR REDEMPTION OF THE TOWN’S OBLIGATION ISSUED THEREFOR, PURSUANT TO THE LOCAL FINANCE LAW TO FINANCE SAID PURPOSE AND DELEGATING THE POWER TO ISSUE BOND ANTICIPATION NOTES IN ANTICIPATION OF THE SALE OF SUCH BONDS TO THE TOWN SUPERVISOR.

WHEREAS, the Town Board of the Town of Grand Island, Erie County, New York (the “Town”), has determined to proceed with the Increase and Improvement of Facilities of the Consolidated Sewer District (the “Improvement Project”); and

WHEREAS, the Town Board desires to undertake the construction of the Improvement Project, including, but not limited to: the excavation and placement of approximately 2,400 lineal feet of 10” diameter PVC pressure pipe, 3 road crossings by boring, 2 stream crossings, modification to piping inside the pump station, connection to existing facilities, temporary facilities, and restoration, all of the forgoing to include all necessary site work, equipment, apparatus and other improvements and preliminary costs and costs incidental thereto (the “District Improvement”).

WHEREAS, the Town Board desires to issue obligations of the Town to finance the costs of the Improvement.

BE IT RESOLVED, by the Town Board (by the favorable vote of not less than two-thirds of all the members of the Board) as follows:

SECTION 1. The specific purpose (hereinafter referred to as “purpose”) to be financed pursuant to this resolution is the Increase and Improvement of facilities of the Consolidated Sewer District (the “District”) in the Town of Grand Island. The maximum cost of said purpose will not exceed $400,000.

SECTION 2. The Town Board plans to finance the maximum estimated cost of said purpose by the issuance of serial bonds in an amount not to exceed $400,000 of said Town, hereby authorized to be issued therefore pursuant to the Local Finance Law, said amount to be offset by any federal, state, county and/or local grants. The cost of such improvement is to be paid by the issuance of serial bonds, and by the assessment, levy and collection of assessments from the several lots and parcels of land within the District which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on such bonds as the same become due and payable, except as provided by law.

SECTION 3. It is hereby determined that said purpose is an object or purpose described in subdivision 4 of paragraph (a) of Section 11.00 of the Local Finance Law, and that the period of probable usefulness of said purpose is forty years.

SECTION 4. Current funds are not required to be provided prior to the issuance of the bonds authorized by this resolution or any notes issued in anticipation of the sale of said bonds.

SECTION 5. It is hereby determined the proposed maturity of the obligations authorized by this resolution will be in excess of five years.

SECTION 6. The faith and credit of said Town are hereby irrevocably pledged for the payment of the principal of and interest on such bonds as the same respectively become due and payable. An annual appropriation shall be made in each year sufficient to pay the principal of and interest on such bonds becoming due and payable in such year. There shall be the assessment, levy and collection of special assessments from the several lots and parcels of land within the District which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on such bonds as the same become due and payable, except as provided by law.

SECTION 7. Subject to the provisions of this resolution and of the Local Finance Law, pursuant to the provisions of Section 30.00 relative to the authorization of the issuance of bond anticipation notes or the renewals of said notes and of Section 21.00, Section 50.00, Sections 56.00 to 60.00, Section 62.00 and Section 63.00 of the Local Finance Law, the powers and duties of the Town Board pertaining or incidental to the sale and issuance of the obligations herein authorized, including but not limited to authorizing bond anticipation notes and prescribing the terms, form and contents and as to the sale and issuance of the bonds herein authorized and of any bond anticipation notes issued in anticipation of said bonds, and the renewals of said notes, are hereby delegated to the Town Supervisor, the chief fiscal officer of the Town.

SECTION 8. The temporary use of available funds of the Town, not immediately required for the purpose or purposes for which the same were borrowed, raised or otherwise created, is hereby authorized pursuant to Section 165.10 of the Local Finance Law, for the purpose or purposes described in Section 1 of this resolution. The Town then reasonably expects to reimburse any such expenditures (to the extent made after the date hereof or within 60 days prior to the date hereof) with the proceeds of the bonds authorized by Section 2 of this resolution (or with the proceeds of any bond anticipation notes issued in anticipation of the sale of such bonds). This resolution shall constitute the declaration of the Town’s “official intent” to reimburse the expenditures authorized by Section 2 hereof with such bond or note proceeds, as required by United States Treasury Regulations Section 1.150-2.

SECTION 9. The Town Supervisor is further authorized to take such actions and execute such documents as may be necessary to ensure the continued status of the interest on the bonds authorized by this resolution, and any notes issued in anticipation thereof, as excludable from gross income for federal income tax purposes pursuant to Section 103 of the Internal Revenue Code of 1986, as amended (the “Code”) and to designate the bonds authorized by this resolution, and any notes issued in anticipation thereof as “qualified tax-exempt bonds” in accordance with Section 265(b)(3)(B)(i) of the Code.

SECTION 10. The Town Supervisor is further authorized to enter into a continuing disclosure agreement with the initial purchaser of the bonds or notes authorized by this resolution, containing provisions which are satisfactory to such purchaser in compliance with the provisions of Rule 15c12-12, promulgated by the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934.

SECTION 11. The Town Board has determined that this project is a Type II action under the State Environmental Quality Review Act (“SEQRA”) regulations and no further SEQRA review is required.

The validity of said serial bonds or of any bond anticipation notes issued in anticipation of the sale of said serial bonds may be contested only if:

(1) (a) Such obligations are authorized for an object or purpose for which said Town is not authorized to expend money, or

(b) if the provisions of law which should be complied with at the date of publication of this resolution are not substantially complied with

and an action, suit or proceeding contesting such validity is commenced within twenty days after the date of such publication; or

(2) Said obligations are authorized in violation of the provisions of the Constitution of New York.

SECTION 13. This Resolution is effective immediately.

SECTION 14. The Town Clerk is hereby authorized and directed to publish this resolution, or a summary thereof, together with a notice in substantially the form provided by Section 81.00 of said Local Finance Law, in a newspaper having a general circulation in said Town and designated as the official newspaper of said Town for such publication.

APPROVED Ayes 5 Cooke, Crawford, Roesch, Argy, McMahon

Noes 0

$870,000 Improvements of Consolidated Sewer District (Replacement of the Overflow Retention Facility (ORF) Basin Liner at the Wastewater Treatment Plant)

A public hearing was held at 8:00 P.M. for purpose of hearing anyone who wanted to speak in favor of or in opposition to $870,000 Improvements of Consolidated Sewer District (Replacement of the Overflow Retention Facility (ORF) Basin Liner at the Wastewater Treatment Plant).

Speakers in Favor: None

Speakers in Opposition: None

Supervisor McMahon declared the Public Hearing closed.

A motion was made by Councilwoman Cooke, seconded by Councilwoman Argy to adopt the Resolution and Order After Public Hearing relating to the Increase and Improvement of Facilities of Consolidated Sewer District at the Wastewater Treatment Plant as follows:

WHEREAS, the Town Board of the Town of Grand Island (herein called “Town Board” and “Town”, respectively), in the County of Erie, New York on behalf of the Town of Grand Island Consolidated Sewer District (the “District”), in the Town, has directed the Town of Grand Island Engineering Department, competent engineers licensed in New York, to prepare a map, plan & report for improvements for the District’s sanitary sewer system, including but not limited to: the replacement of the Overflow Retention Facility (“ORF”) Basin liners at the Wastewater Treatment Plant and the installation of a new wash down system, including the existing liners in both basins, some minor regrading to the west basin, the installation of new liners in both basins and the installation of a wash down system that includes the installation of 6 water cannons, two pumps in the filter building and some new piping to the basins to obtain the pressure and supply required for the water cannons, and some minor modifications to the return line piping, all of the forgoing to include all necessary site work, equipment, apparatus and other improvements and preliminary costs and costs incidental thereto, (the “District Improvements”); and pursuant to the direction of the Town the Engineer has completed and filed with the Town Board such map, plan and report for said increase and improvement of facilities of the District and has estimated the total cost thereof to be a maximum amount of $870,000; said cost to be financed by the issuance of serial bonds of the Town in the amount of $870,000, offset by any federal, state, county and/or local grants; and

WHEREAS, said notices of the public hearing were properly published and posted and the public hearing duly held at the time and place stated in the notices.

NOW THEREFORE BE IT RESOLVED AND DETERMINED BY THE TOWN BOARD OF THE TOWN OF GRAND ISLAND, based on the information provided at the public hearing, as follows:

DETERMINED, that it is in the public interest to increase and improve the facilities of the District as hereinabove described and referred to at the estimated maximum cost of $870,000; and it is hereby

DETERMINED, that the parcels and lots of the District shall be benefited by said increase and improvement of the facilities of the District; and it is hereby

DETERMINED, that all parcels and lots benefited by said increase and improvement of the facilities are included in the District; and it is hereby

FURTHER ORDERED, that the expense of said increase and improvement of the facilities shall be financed by the issuance of serial bonds of the Town in an amount not to exceed $870,000, said amount to be offset by any federal, state, county and/or local grants, and the costs of said increase and improvement of facilities shall be annually apportioned among the District by the Town Board, and the amounts so apportioned shall be paid by the assessment, levy and collection of special assessments from the several lots and parcels of land within the District, which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on said bonds as the same shall become due and payable, except as provided by law, and it is hereby

APPROVED Ayes 5 Cooke, Crawford, Roesch, Argy, McMahon

Noes 0

A motion was made by Councilwoman Cooke, seconded by Councilman Crawford to adopt the Bond Resolution for Improvements of Consolidated Sewer District at the Wastewater Treatment Plant as follows:

A BOND RESOLUTION OF THE TOWN OF GRAND ISLAND TOWN BOARD DATED MAY 21, 2007, AUTHORIZING THE INCREASE AND IMPROVEMENT OF FACILITIES OF THE CONSOLIDATED SEWER DISTRICT AT A MAXIMUM AMOUNT NOT TO EXCEED $870,000, AND AUTHORIZING THE ISSUANCE OF SERIAL BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $870,000, OFFSET BY ANY FUNDS RECEIVED FROM THE UNITED STATES OF AMERICA, THE STATE OF NEW YORK, THE COUNTY OF ERIE, AND/OR LOCAL GRANTS FOR SAID OBJECT OR PURPOSE OR REDEMPTION OF THE TOWN’S OBLIGATION ISSUED THEREFOR, PURSUANT TO THE LOCAL FINANCE LAW TO FINANCE SAID PURPOSE AND DELEGATING THE POWER TO ISSUE BOND ANTICIPATION NOTES IN ANTICIPATION OF THE SALE OF SUCH BONDS TO THE TOWN SUPERVISOR.

WHEREAS, the Town Board desires to undertake the construction of the Improvement Project, including but not limited to: the replacement of the Overflow Retention Facility (“ORF”) Basin liners at the Wastewater Treatment Plant and the installation of a new wash down system, including the existing liners in both basins, some minor regrading to the west basin, the installation of new liners in both basins and the installation of a wash down system that includes the installation of 6 water cannons, two pumps in the filter building and some new piping to the basins to obtain the pressure and supply required for the water cannons, and some minor modifications to the return line piping, all of the forgoing to include all necessary site work, equipment, apparatus and other improvements and preliminary costs and costs incidental thereto, (the “District Improvement”).

WHEREAS, the Town Board desires to issue obligations of the Town to finance the costs of the Improvement.

BE IT RESOLVED, by the Town Board (by the favorable vote of not less than two-thirds of all the members of the Board) as follows:

SECTION 2. The Town Board plans to finance the maximum estimated cost of said purpose by the issuance of serial bonds in an amount not to exceed $870,000 of said Town, hereby authorized to be issued therefore pursuant to the Local Finance Law, said amount to be offset by any federal, state, county and/or local grants. The cost of such improvement is to be paid by the issuance of serial bonds, and by the assessment, levy and collection of assessments from the several lots and parcels of land within the District which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on such bonds as the same become due and payable, except as provided by law.

SECTION 4. Current funds are not required to be provided prior to the issuance of the bonds authorized by this resolution or any notes issued in anticipation of the sale of said bonds.

SECTION 5. It is hereby determined the proposed maturity of the obligations authorized by this resolution will be in excess of five years.

SECTION 11. Town Board has determined that this project is a Type II action under the State Environmental Quality Review Act (“SEQRA”) regulations and no further SEQRA review is required.

SECTION 12. The validity of said serial bonds or of any bond anticipation notes issued in anticipation of the sale of said serial bonds may be contested only if:

(1) (a) Such obligations are authorized for an object or purpose for which said Town is not authorized to expend money, or

(b) if the provisions of law which should be complied with at the date of publication of this resolution are not substantially complied with

and an action, suit or proceeding contesting such validity is commenced within twenty days after the date of such publication; or

(2) Said obligations are authorized in violation of the provisions of the Constitution of New York.

SECTION 13. This Resolution is effective immediately.

APPROVED Ayes 5 Cooke, Crawford, Roesch, Argy, McMahon

Noes 0

$175,000 Improvements of Consolidated Sewer District (Replacement of Pump

Station 3)

A public hearing was held at 8:00 P.M. for purpose of hearing anyone who wanted to speak in favor of or in opposition to $175,000 Improvements of Consolidated Sewer District (Replacement of Pump Station 3).

Speakers in Favor: None

Speakers in Opposition: None

Supervisor McMahon declared the Public Hearing closed.

A motion was made by Councilman Crawford, seconded by Councilman Roesch to approve the Resolution and Order after Public Hearing relating to the Increase and Improvement of Facilities of Consolidated Sewer District, Pump Station No. 3 as follows:

WHEREAS, said notices of the public hearing were properly published and posted and the public hearing duly held at the time and place stated in the notices.

NOW THEREFORE BE IT RESOLVED AND DETERMINED BY THE TOWN BOARD OF THE TOWN OF GRAND ISLAND, based on the information provided at the public hearing, as follows:

DETERMINED, that it is in the public interest to increase and improve the facilities of the District as hereinabove described and referred to at the estimated maximum cost of $175,000; and it is hereby

DETERMINED, that the parcels and lots of the District shall be benefited by said increase and improvement of the facilities of the District; and it is hereby

DETERMINED, that all parcels and lots benefited by said increase and improvement of the facilities are included in the District; and it is hereby

FURTHER ORDERED, that the expense of said increase and improvement of the facilities shall be financed by the issuance of serial bonds of the Town in an amount not to exceed $175,000, said amount to be offset by any federal, state, county and/or local grants, and the costs of said increase and improvement of facilities shall be annually apportioned among the District by the Town Board, and the amounts so apportioned shall be paid by the assessment, levy and collection of special assessments from the several lots and parcels of land within the District, which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on said bonds as the same shall become due and payable, except as provided by law, and it is hereby

APPROVED Ayes 5 Cooke, Crawford, Roesch, Argy, McMahon

Noes 0

A motion was made by Councilwoman Cooke, seconded by Councilwoman Argy to adopt the Bond Resolution for Improvements of Consolidated Sewer District, Pump Station No. 3 as follows:

A BOND RESOLUTION OF THE TOWN OF GRAND ISLAND TOWN BOARD DATED MAY 21, 2007, AUTHORIZING THE INCREASE AND IMPROVEMENT OF FACILITIES OF THE CONSOLIDATED SEWER DISTRICT AT A MAXIMUM AMOUNT NOT TO EXCEED $175,000, AND AUTHORIZING THE ISSUANCE OF SERIAL BONDS IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $175,000, OFFSET BY ANY FUNDS RECEIVED FROM THE UNITED STATES OF AMERICA, THE STATE OF NEW YORK, THE COUNTY OF ERIE, AND/OR local grants FOR SAID OBJECT OR PURPOSE OR REDEMPTION OF THE TOWN’S OBLIGATION ISSUED THEREFOR, PURSUANT TO THE LOCAL FINANCE LAW TO FINANCE SAID PURPOSE AND DELEGATING THE POWER TO ISSUE BOND ANTICIPATION NOTES IN ANTICIPATION OF THE SALE OF SUCH BONDS TO THE TOWN SUPERVISOR.

WHEREAS, the Town Board desires to undertake the construction of the Improvement Project, including, but not limited to: the replacement of Pump Station 3 with a recessed wet well mounted pump station, the forgoing to include all necessary site work, equipment, apparatus and other improvements and preliminary costs and costs incidental thereto, (the “District Improvement”).

WHEREAS, the Town Board desires to issue obligations of the Town to finance the costs of the Improvement.

BE IT RESOLVED, by the Town Board (by the favorable vote of not less than two-thirds of all the members of the Board) as follows:

SECTION 2. The Town Board plans to finance the maximum estimated cost of said purpose by the issuance of serial bonds in an amount not to exceed $175,000 of said Town, hereby authorized to be issued therefore pursuant to the Local Finance Law, said amount to be offset by any federal, state, county and/or local grants. The cost of such improvement is to be paid by the issuance of serial bonds, and by the assessment, levy and collection of assessments from the several lots and parcels of land within the District which the Town Board shall determine and specify to be especially benefited thereby, so much upon and from each as shall be in just proportion to the amount of benefit conferred upon the same, to pay the principal of and interest on such bonds as the same become due and payable, except as provided by law.