Upon the occasion fixed in the notice a meeting of the municipal council shall be held for the purpose of determining the sufficiency of the petition and action thereon shall be taken at such meeting or some adjournment thereof. If the municipal council shall find: (1) That the petition is signed by a majority of the freeholders of the municipality; (2) That it seeks the issuance of bonds for corporate purposes of the municipality; and (3) That it seeks the issuance of bonds in an amount not prohibited by any constitutional limitation; The municipal council shall order such an election.
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