Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1872-08-21
Letter from Hon. ID. Hall
Editor Waterloun Republicans

"
of whom have stood by the city in its struggle
with the bondhoders, with unfincbing courage
and Mt great personal risk. 1t is matter Whlcn
deeply concerns the public welfare, what views
so aige and respectable body of our 1eito"
citizens entertain. and that they should favor
the most efficient measures for protecting the
people and Kidding the city from this deot. ,1
To this end it is essential to get at the I9al
Situation without favoring any ones pecalar
views. For the truth ard the actual facts are
too potent to be turned aside by any or all OF US
from their legitimate effects. They Will IN the
end "a their supremacy ever tho oisPoaaii "
every G lestion involved in the case, "heIheI
clearly perceiving, we shall accept them ana
nroit thereby. or whether blinded by prejudice,
we shall reject them, to waste our energies IN
vainly contending with relentless fate. ;,
The situation being alarming, led to the hoia d
ing of the Linden House meeting IN sept. loo9
My position then was that the courts mao he; GA
municipal bonds issued pursuant to law IN aio
of Railroads. to be constitutional ana Vaiu
that litigation could never settle our deot' anu
asits amount was beyond our ability to coilec'
by taxation and pay, the only way open lG U.S.
was to seek compromise
Tba Man then and subsequently adopted, and
still adhered to with great unanimlty by our
people was to offer the bonahoiders 0V per CENT
of the principal in full settlement OF the primer!
pal and interest of our entire debt. The pfIncl
pal being some $3.50 goo, our offer was ABOUT
$3.50 900 in new bonds. payable in fifteen equai
annual installments with annual interest," 1T
Sc ven per cent. This, after dedrctlng the Chica-
90 & Northwestern Railway aid, if at once aco
cepted would have added to our taxes SIi 'oVo
the first wear to be lessened each year thefesl-
tel, at the rate of $500 annually until the nj
teentb year when the last payment would De
s9.1OO.
This we thought and intended as liberal Of
fer in the hope that it would be accepted IN the
same spirit and end the conflict. But up TO me
present time only one seventh 81 the 'ieoU lons
been COMPROMISED, essening 1t nearly STU oo5
Rnt still with its ever incT easing interest i Will
amount the first Of January next to very pear
| ly S750eQ0. ,m
at once arose
! First. The exchange was to be at 81 per cent
! in full of bonds with all unp0ad c0up0nS II
was we'll IN derstand that the Raihoad 'omp"n-
| les had paid and satisfied the first coupons ma
turing as they became due and were presented.
| in compliance with the ponds OF indemnity
which they gave the city But tins city has no
record on the subject and these Railroad com
panies have gone out of existence, leaVlh2 40
| means of determining what was paid WIN ap-
| solute certainty. Hhis lett no alternative but 70
| 90 mon the evidence and notoriety OF tie facts
in the case all effort at comproni re, great OF
small, must be entirely abandoned. Inc cl'y
officers became satisfied that all coupons were
| promptly paid or Cancelled down TO 1888 and q
| few of them for that year. In all exchanges we
have all coupons which became due since 1888,
and most of them for that year. This subject
| has been treated with great care, and from the
fact that after the most careful investigation, it
does not appear that any coupon OF any bond
| exchanged, has ever been sued or put in Judg-
| ment and in view of the evidence of payment
there is every to believe that the interests
| of the city have been fully protected, and the
| lawi exactly complied with. If there ls any ex-
ception it would seem as if it could be only in
case of q stray coupon, which the holder through
accident or negligence, did not present tor pay
ment and that the amount must be tritiing 10
| oppose The taking of so small risk OF mere
posi- Utility, vast to be hostile to any settlement
whatever. The man who demands IN human
affairs that every doubt shall be removed before
| he acts at all, will never do any thing for the
| city or for himself.
lSsc0s,d. 1t was my opinion that we should not
! make apy exchange untila large share. say four
! ffths of the bondholders in amount, accepted
! orr Offer assigning a reason that our new
! bonds mi ght not be accepted, except as part OF
a general compromise which should restore our
credit. This difficulty we had to meet and over
come it by offering to pay at the outset the hrst
installment This gave credit to ours new bonds
so that they have since been receive nearly the
same as cash.
At the first Music Hall meeting in the winter
of 1870 the people settled all the details of the
! compromise act. 1t has not since been amended
or changed. They left the question US to wheth-
err we should proceed as had suggested, or upon
the gradual plan wholly to the discretion of the
Commiss oners. This meeting OF the whole
people called expressly to settle every question
of difference, did to this extent modify the Lin
don House meeting plan.
When the Bond Commissioners frst mot, All
but myself were in favor of exchanging the
bonds offered some for its being continued only
to moderate extent, others for its adoption as
our perm nent policy. TO settle this difference,
i; was decided to try to get at the views of the
neople. At the Insane Asylum meeting they
unanimously approved OF exchanging bonds as
offered as our permanent policy. So far as could
be ascertained this was the prevailing opinion.
II wanted a general settlement, end ii was in
sisted that this was the most direct ana pest
road to it.
Some thought the people should not be con
suited. But it was too obvious that the only
way was to move in harmony with their wishes.
It would Ike years to complete this Herculean
work. 1t must run the gauntlet of many cleo
tons and of every secret, and open effort to de-
feat it. Hence unity and harmony became
more important than the choice of means to the
end sought by all The only way to insure
success was to have nearly every taxpayer and
citizen feel that the course pursued was right,
and in favoring it, that he was defending his
property and earnings, his home and freside.
The gradual plan was then followed openly
and as was believed with the pub JIG approval.
But it is true that there has always been IA dt
ference of opinion upon the subject which has
again become promanent This statement Is now
made to show that the Bond Commissioners
huve done their duty and sought to comply VITA,
the public wishes. But it is Of course compe-
tent for the people to change or restore any
plan at their pleasure.
But what will be the effect of continuing to
exchange as we have begunt If we Can main
tain our present position in the Courts, and i'll
The Legislature, believe it will CIV entually settle
our debt-that the dark cloud which hangs over
us will gradually melt entirely away-suppose it
takes ten years from the time we commenced to
have cur offer accept ed. by the last bondholder.
1ayta no ma q np nd nf
twenty-five years, at an annual average of
about SS000 As the bondhoders widely
scattered, concert OF action is difficult. Hence
the gradual plan is the easiest most conven-
lent to operate. If we were gradually settling,
it is probable that confidence would as gradual
ly return, and that building, business and an
ployment would steadily increase. 1t would
treat FIJI rly all who are reasonable, and con-
stantly make US friends. What we have done,
has been of great advantage to Us ia the Courts
and in the Legislature.
But suppose instead of this we wait unit four
ffths of the bonds are offered us. Before decid-
ing to do this let us count the cost. 1t will GER
tainly make great demand on orr patienc Q
and test our frmness. Probably many years
must then elapse before any more bonds will be |
exchanged. But should hope that in the end
it would settle our debt, provided we keep per- !
fectly united, and stand by it with mistaken |
courage till the last. This is lighting plan and |
stakes every thing upon the hazard OF ultimate |
success. 1t was my idea at the outset that our |
situation was SO desperate TO demand ofus that
we should risk all upon the single chance OF win
ming in the end, and that We should force every
bondholder 70 this issue. But it is now ques-
ton whether in the light of eXper lence this |
course would now be wise towards these Who
may be wiling to treat us with entire fairness.
But what is our status rs to the bondholders
who have not accepted offer Some are
meditating upon it, and undecided, but seem to
wish to treat us fairly. Some of these in 1853
paid nearly the full face of Milwa ukee & Wat
ertown Railroad bonds Others who have
bought them at less rates, some at only a frac-
ton of their par value-to enrich themselves by
cruelty depressing our people, have resorted to
suits at law and ills in Equity to have the |
courts take the property of ci,zens to pay these
deb ts-and such is the deadly nature of the