The Municipal code and the Provincial government act, being Act no. 82, entitled "A general act for the organization of municipal governments in the Philippine islands", and Act no. 83, entitled "A general act for the organization of provincial governments in the Philippine islands" as amended by the acts of the Philippine commission down to and including May 31, 1905, revised and codified by the Committee on revision and codification appointed by the governor-general. Published by authority of the Philippine commission.

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APPENDIX.

reasonable regulations for this purpose by the municipal council
and the provincial board.
-seventh. Seventh. That no franchise shall become operative until the
same shall have been approved, first by the municipal council,
secondly by the provincial board, and finally by the GovernorGeneral.
-eighth. Eighth. That failure to build and maintain any part of the
lines granted without the consent of the municipal council and the
provincial board shall, if approved by the Governor-General, constitute a ground for forfeiture, at the option of the municipality.
-ninth. Ninth. That no franchise shall be granted until after the applicant shall have deposited, in cash or in negotiable bonds of the
United States or other securities to be approved by the GovernorGeneral, in the Insular Treasury, a sum not less than ten per
centum of five thousand dollars in case of telephone or electric
light or power lines, and not less than ten per centum of fifteen
thousand dollars in case of electric street railways, as an earnest
of the good faith of the application. Within six months after the
franchise shall be granted the ninety per centum of the sums
above stated shall be deposited, and the whole deposit thus made
shall be retained in the Insular Treasury as security for the completion of the work to be done by the applicant within the time
specified in the franchise. The amount of the deposit, either as an
earnest of the good faith of the application or as security for the
completion of the work, may be increased by the municipal council,
the provincial board, or the Governor-General over and above the
sums in this section mentioned. In case the ninety per centum
of the whole deposit is not made within six months after the franchise is granted, the ten per centum already deposited shall be
forfeited to the province or provinces in which the road was to
be constructed. In case, after the deposit of the ninety per centum
of the sum or sums above mentioned, the work to be done under
the franchise is not begun within the time specified or is not
completed within the time specified in the franchise, the whole
deposit may be forfeited, at the option of the municipality, provincial board, and the Governor-General, to the province as liquidated damages for the breach of the contract involved in the
acceptance of the franchise: Provided, however, That provision
may be made in the franchise by which, after work shall be begun,
the money or funds deposited may be delivered to the grantee of
the franchise as the work progresses, monthly or quarterly, in the
proportion which the work done bears to the work to be done.
-tenth. Tenth. That no franchise shall be operative for any purpose
until the same shall be accepted in writing by the grantee thereof
and the acceptance filed in the office of the Secretary of Commerce
and Police. But this provision shall not be used as a defense by
the grantee where he has begun to exercise the privileges conferred
by the franchise and has incurred liability by forfeiture or otherwise to the municipality or province.
Additional con- SEC. 3. In addition to the conditions above required as part of
ditions. every granting of a franchise, the municipality or the provincial
board may stipulate for such additional conditions, in favor of
the public, as may seem to it wise.
Public letting. SEC. 4. In cases where, in the opinion of the Governor-General,