Whenever any person, firm or corporation, who or which owns property subject to taxation under any provision of RSA 72, files a petition in bankruptcy, or is adjudicated bankrupt under any chapter of the federal bankruptcy laws, thus causing a substantial delay in or impediment to the payment or collection of property taxes assessed thereon by the city or town in which such property is located, such city or town, if the locally assessed value of such property of the bankrupt taxpayer exceeds 5 percent of the total locally assessed value of all taxable property within the city or town, may borrow money from time to time to meet any such deficit by issuance of its notes in such amount as may be approved by majority vote of its legislative body if a city, or of those present and voting at any
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Whenever any person, firm or corporation, who or which owns property subject to taxation under any provision of RSA 72, files a petition in bankruptcy, or is adjudicated bankrupt under any chapter of the federal bankruptcy laws, thus causing a substantial delay in or impediment to the payment or collection of property taxes assessed thereon by the city or town in which such property is located, such city or town, if the locally assessed value of such property of the bankrupt taxpayer exceeds 5 percent of the total locally assessed value of all taxable property within the city or town, may borrow money from time to time to meet any such deficit by issuance of its notes in such amount as may be approved by majority vote of its legislative body if a city, or of those present and voting at any annual or duly called special meeting, if a town. The discretion of fixing the date, maturities and denominations, interest or discount rate, the form and other details of said notes and of providing for the issuance and place of payment thereof shall be deemed delegated to the selectmen or the treasurer, unless otherwise voted by said legislative body or town meeting. The issuance of such notes and the provisions thereof shall also be subject to the approval of the commissioner of revenue administration, who may approve the same upon a finding that the proposed borrowing complies with the provisions of this section and is in the best interests of the municipality. The provisions of RSA 31:5 shall not apply to action by special town meetings under this section. Such notes may be renewed subject to the provisions of this section and subject to the approval of the commissioner of revenue administration. Indebtedness incurred under this section shall not be subject to the debt limit prescribed by RSA 33:4-a and shall be excluded from the definition of net indebtedness in RSA 33:1. All taxes recovered from the bankrupt or through the bankruptcy proceedings shall be promptly applied toward the reduction of notes issued under this section. The commissioner may, from time to time, require reports from any such municipality as to progress in retirement of such indebtedness. All notes issued under this section shall be general obligations.