entitled to do business in its home State; and that he holds on deposit, for the benefit of policyholders of such company, good securities, in which insurance companies are allowed by law to invest their capital, amounting to not less than one hundred thousand dollars; but any company not having such deposit in the State where it was organized, may make such deposit in this State in the manner and subject to the provisions of this subdivision applicable to companies organized under the laws of this State. A copy of the application for membership or insurance, and of each form thereof, if more than one form is used; a copy of the form of certificate of membership or policy and of each form thereof, if more than one form is used, a copy of the constitution and by-laws, and of each and every addition thereof, which must show that all indemnities to beneficiaries are in the main provided for by assess ments upon all surviving members. The certificate of authority herein authorized may be withheld from any such corporation or association, whenever it may appear to the satisfaction of the commissioner that the affairs and business of such corporation or association is in an unsound condition, or its business not carried on within the limits and restrictions of its organic law, or that any of the terms, conditions or by-laws have been or are being violated, or that said corporation shall refuse to permit a full examination of its affairs to be made when deemed necessary by the commissioner.

"The provisions of the foregoing sections as amended shall not apply, to fraternal orders or so-. cieties, and shall only apply to corporations, associations and societies organized under the laws of this State, and to foreign corporations, associations and societies coming into this State for the purpose of

doing the business of life or casualty insurance, or both life and casualty insurance upon the co-operative plan.

§ 3. All laws and parts of laws now in force, which conflict with the provisions of this act are hereby repealed.

Approved March 23, 1916.

CHAPTER 57.

AN ACT to amend an Act entitled "An Act creating boards of education for cities of the second class, providing for the election thereof, defining their powers and duties, and repealing all laws in conflict therewith," passed and approved by the General Assembly of the Commonwealth of Kentucky and approved by the Governor on the 19th day of March, 1912, being Chapter 137 of the Acts of 1912.

Be it enacted by the General Assembly of the Commonwealth of Kentucky:

§ 1. That Section 2 of an act entitled, "An Act creating boards of education for cities of the second class, providing for the election thereof, defining their powers and duties, and repealing all laws in conflict therewith," be and the same is hereby amend ed by adding to the end thereof the following:

"To aid in the purchase of real estate for school purposes, the board may acquire said property by deed with purchase money lien retained, or it may mortgage the property so purchased to secure a balance of purchase money or to raise funds with which to effect the purchase and may refund, renew or extend any encumbrance on school property by executing a new mortgage on the same property for a less amount."

So that said section when thus amended shall read as follows:

"Section 2. Every such Board of Education shall have general and supervising control, government and management of the public schools, including kindergartens, night and normal schools and high schools as hereinafter provided, and public school property in such city, with the right to use said property to promote public education in such ways as it may deem necessary and proper; shall exercise generally all powers in the administration of the public school system therein, appoint such officers, agents and employes as it may deem necessary and proper and fix their compensation and term of office; shall have power to fix the time of its meetings, to make, amend, and repeal rules and by-laws for its meetings and proceedings, for the government, regulation and management of the public schools and school property in such city, for the transaction of its business, and for the examination, qualification and employment of teachers, which rules and by-laws when not inconsistent with the general law of the State, shall be binding on such Board of Education and all parties dealing with it until formally repealed by an affirmative vote of four members of said board; to provide for special and standing committees; to provide for the appointment of a medical inspector for the schools and to take such other steps as may be proper and necessary to secure and maintain the physicial welfare of the pupils therein; to certify to the general council or the board of commissioners the amount of money necessary for the maintenance and improvement of the schools as hereinafter provided, and to purchase and hold all property, real and personal deemed by it necessary for the pur

poses of public education, or for the investment of the public school funds, to build and construct improvements for such purposes, and to hold or sell the same. To aid in the purchase of real estate for school purposes, and to hold or sell the same. To aid in the purchase of real estate for school purposes, the board may acquire said property by deed with purchase money lien retained or it may mortgage the property so purchased to secure a balance of purchase money or to raise funds with which to effect the purchase and may refund, renew or extend any encumbrance on school property by executing a new mortgage on the same property for a less amount."

§ 2. That Section 22 of said act be and the same is hereby stricken out and the following inserted in lieu thereof, viz. :

"Section 22. The board may, if it prefer, contract with the city within which it operates, to act as its treasurer for such time not exceeding four years and upon such terms as said board and the governing authorities of said city may agree.

"If the board of education desires a bank or trust company to act as its treasurer, it may by resolution fix the term, which shall be not less than one nor longer than four years, for which it shall so act and may then advertise for bids from the banks and trust companies for the best terms upon which they will act as treasurer, and receive and safely keep the deposits of the board. The bids shall specify the rate of interest, if any, to be allowed the board upon its deposits and the terms, if any, upon which same will. be allowed, and the rate of interest, if any, to be charged for loans, and the terms upon which same will be made, and the nature of the security offered by the bidder on its bond.

"That bid shall be accepted from which the board will realize the most money, considering the interest to be allowed on deposits and to be paid on loans, if the bid is otherwise satisfactory, and the board shall have power to reject any and all bids.

"The board shall then enter into a contract and bond with the successful bidder to act as treasurer for the term so fixed, the amount of said bond to be fixed and the surety approved by the board.

"In letting and contracting for its treasureship, it may do so jointly with the city within which it operates, or separately, as it prefers.

"All moneys due the board shall be paid to the business director and, by him, deposited daily with the treasurer so designated."

§3. That Section 24 of said act be and the same is hereby amended by inserting after the word "departments" the following:

"Including the current expense funds, the insurance or restoration fund and the side and building fund."

And that it be further amended by adding thereto the following:

"If in any of the current expense funds (not including special funds such as sinking fund, trust fund, insurance or restoration funds, site and building funds and those realized from the sale of bonds), there remain at the end of any fiscal year a surplus apportioned but not used or needed for the purpose for which it may have been set apart, the same may be carried into and set apart as a portion of the permanent "site and building fund" and accumulated and used solely for the purchase of sites, or the erection, remodeling, rebuilding, or improvement of school buildings, or put into and set apart as a portion of the insurance or restoration fund to be used