The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1856-06-27
CoUNcIL Roox, !
June %, 1856. !

Council met.
Present, the Mayor, Aldermen Billings,
pittman, Patterson, STARTS, nnt Taylor.
The special committee to whom was refer
red Ordinance No. ST, entitled an Ordinance
providing Tor, ani authoriz ne the issue OF
the sum of :Sl0) 900 of bonds of the city OF
k,okuk, in payment of subscription 20 the
capital stock of the Mississippi and Wabash
Railroad Company, made the following re-
port:
The committee to whom was referred Or
dinance No. Sc, authorizing the issue OF the
sum of 100000 10 the Ms ,issppi and Wa
bash Ealro ID, have had the same ualer con-
sideration, and recommend an amendment,
and also the passage of a resolution directing
the Mayor TO re,aia the bonds until they are
required to pay for the iron on the western
section OK that road.
The committee has examined the question
MS TO whether tie city is bound in law, equity
and honor, to carry out this subscription.
These are the facts tho city after a vote Of
the citizens, subscribed for this stock with
condition attach ed, requiring the whole road
to be under contract. subsequently there
was commission appointed to secure a
western section Of this road, so as to secure
a connection with another eastern road.
| This commission was raised vt the instance
of keokuk, and for our benefit, which seems
to your commit e TO have been a waiver or
change Of the conditions, which seemed I,
require n contract for the uhOie road. If
any doubts remain on this subject, they are
removed by a res ,luti u OF the last Couneil,
passed June 10Th, 1858, winch provides
.sTLat the Repi sentative OF the city in the
executive committee of the Mississippi and
Wabash Railroad, he, and his hereby author
izei to act in siid committee, with the a.-
sueance that tn subscription Of the city Of
keokuk for 100000 would be carried out
in good faith. and the bonds issued, ms re-
CURED, TO build the western section OF this
road
This resolution clearly authorized the ex-
ecut!ve colnnittce to contract for the work,
and bound the city to carry out tho suhscrip-
ton in good faith, aud justides the expecta-
| ton that the bonds will be 8 issued as may
be required to build the western division OF
this road." The contract it appears has
been made, and ths Ordinance here present
ed is in exact compliance with the resolution
of June, 1855, under which contract has
been made and equities created.
There has been law of the Legislature
passed. since tho subscription Of this road
which restraints cities and counties in their
right to subscribe; but that law provides
against all interference with subscription.
which had been previously made. The sub
sciption, therefore, is not affected by ih..
law, and the change or waiver OF certain
condition which Was removed or efectuasiy
i satisfied by proposed connection with othe
roads, does not in the opinion Of your commit
tee change the validity Of the subscription
or bring ii within the order Of y new sub
scription. On the contrary, such condsio
to the subscription Of stock is often waived
/ and never regarded but as protection whic
! may be otherwise secured.
As this road is IN another State, your com
m,tce think more caution should be taken {
, guard the city interests, and therefore con
siier mai the restrain; saS5s y saaS PIC
posed amendment is Unsuitable.
They arc suggested to guard the city, an
we therefore THAI IA the bill the ward
: in SEQ. 3, which read . Railroad Company q
their agents." shall be canged TO the /" Con-
! missioners Of the western division, and tina
d the words :" for the payment be inserted IL
: stcad Of "to PROMISE" SO the bonds vi
> have to be advanced only TO pay for th
). iron.
It Respectfully submitted,
r SAIL r. CURrIs,
j. NJ. BiLLiAGs,
WV. PATTERSON.
Keokuk, June 18th, 1856.
., On motion, the report of said committe
! was accepted, and the said Ordinance N.
30, WAS amended and passed.
The following resolution also reported b
!, said committee was adopted:
J. Resolved, That the city bonds to be issue
!. in accordance with Ordinance No. Sc, sr
:. to be retained BY the Mayor and delivered I
> the Commissioners OF the western division .
i the Mississippi and Wabash Railroad, when
ever the aafae may be reuuired for the nav