Section 2
SEC. 2. It shall be the duty of the Director of Public Works to make an examination of streams, springs, lakes or other possible sources of supply for waterworks to be constructed under this Act and to make surveys and investigations for the purpose of determining the feasibility of carrying out any project and recommend to the National Waterworks Board, through the Secretary of Public Works and Communications, the construction of such projects which, from the results of the said surveys and investigations, would produce sufficient income to repay their cost of construction within a period of not more than twenty years: Provided, That the cost of the preliminary surveys and investigations shall be borne by the municipality or province concerned. Whenever the National Waterworks Board should deem it advisable to construct any project recommended by the Director of Public Works, it shall authorize the release of such sum or sums from the revolving fund herein created as are necessary for construction purposes: Provided, That the province, municipality or municipalities concerned in a project shall appropriate such part of the estimated cost thereof as in the opinion of said Board the condition of its finances warrants: Provided, further, That the construction of a project shall not be started until the provincial board, municipal council or councils concerned shall have adopted a resolution guaranteeing the annual payment of such amounts as are calculated to reimburse the funds invested by the National Government with interest at four per centum per annum, within a period of not more than twenty years: And provided, finally, That if the regular income of a municipality is not sufficient to warrant such guaranty, said municipality shall levy a special assessment upon the real estate especially benefited by the waterworks, pursuant to the provisions of Act Numbered Three thousand nine hundred and ninety-five, as amended, to provide a part of the funds required for that purpose.