Section 18-1802. Taxes to pay interest and principal of town highway bonds

The board of trustees of a village which has had or may  hereafter  have
  its  boundaries  extended  when  authorized  by  a  majority vote of the
  electors thereof at a referendum duly called therein, in behalf of  said
  village,  may  by  contract with the town or towns in which said village
  lies agree to assume and pay that part of the town taxes to be levied in
  future years by such town or towns to  pay  principal  and  interest  of
  obligations  sold  to  improve  and  pave highways in said town or towns
  which taxes will, when levied, become a lien upon property in  territory
  annexed  to  said  village,  and  to the extent contracted for, the said
  taxes shall be collectible by the town or towns from  said  village  and
  become  a  general village charge, and when said village shall have paid
  such part of said town taxes  the  property  in  the  annexed  territory
  subject to such levy shall be relieved from paying the part thereof paid
  by said village.