Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1872-12-24

| in the shape of bills payable, OF Sl5i0Oo
making a grand total of $50, 800, in the
form of bills coming due at various
times. Of that amount, as we have
seen, the sum Of $4,000 is to be pro-
vided for to-day.
Mr.. Kortrecht said that he went out a
few minutes before to get copy Of the
new constitution, from which he read
certain passages bearing upon the issue
of bonds or the lOaning Of money to cor
porations or companies by towns, cities,
counties, etc. He said that he did not
think that the passage had any refer
ence to the school system in Memphis
because the Education Board was pub
lie corporation. He thought, however,
it would be a wise thing to have the cit.
liens vote upon the question OF those
school bonds as the constitution re-
quires, and that at once, as the question
was fraught with much difficulty anC
danger, and it would be better TO have
the matter settled at once.
The President, w. Il. Mitchell, asked
if it would not be wise to refer the bono
question to a special committee witt
Mr.. KOrtrechtas chief.
Mr.. KOrtrecht was of the opinion tha
it would be good idea to have the Ie
gal opinion of gentlemen outside the
board high in the profession OF law
whose opinions would carry weight.
The committee to obtain legal advice
in regard to bonds was then appointed
as follows: Messrs. kOrtIecht, FOntalnt
and Gavin.
Mr.. Gavin suggested taat it would be
a good idea that the committee have
power to publish the opinions 50 obtained
if favorable, and not wait to make the
facts known in the meeting of the Board
Mr.. Fontaine moved to have cal
meeting on next Monday to hear the re-
port of the committee. The motion
prevailed by receiving two ayes and nc
noes.
The question OF bonds in general being
thus disposed of, the matter of provid-
ing for that fifteen thousand dollars
came prominently up. 1t was a stumb'
ling-blOck. Mr.. Council said that Il
the bonds went on depreciating instead
of going up, as they had been led tc
hope, they would be sYamped very soon
and would have nothing to stand on
Gentlemen, you are running too large a
machine for yOar income; you have got
to stop running so many schoolhOuses,
We have opened too big house, and II
will lead Us into trouble.
The Chairman said that the real debt
of the School Board was only thirty
thousand dollars. The bonds were used.
Two hundred thousand dollars were
used for the Market-street schOOlhOuse
and the Peabody.
Mr.. Kortrecht said if they could Dor
row money at ten per cent, they would
be making dollars and cents if bonds
would not decline, and the coupons
were paid by the ty.
Mr.. Gavin again said that he was OPP
posed to selling any bonds at less than
sixty cents. If the levy of taxes fOI
school purposes was collected and
promptly paid, the bonds would be first
class investment at sixty cents. He
was still of opinion that they ought not
to be sold at less than sixty cents. He
anticipated that the ingoing Legisla-
ture would enact law making tax sales
final and without redemption. When
that is done the bonds coupons will be
paid promptly, and then they will GO
up to sixty or sixty-six cents. They
viii be fully worth that figure.
Mr.. Merrill spoke at length on the
nature of the bonds and kindred sub
jects, and then the Chairman called the
attention of the Committee just
raised to certain provisions Of sec
ton ten of the school charter, wherein
it is stated that the semi-annual inter-
est that may become due on said bonds
shall be provided for by the Board Of
Mayer and Aldermen, as may be re-
quired by the Board Of Education, in
addition to the school tax.
Mr.. KOrtrecht said that the tax law
was defective, and therefore the taxes
could not be gathered. When people
feel that q tax sale is not worth the
paper it is written upon, they viii con-
tinue to look on with perfect mdiffer-
ence at the sale going on year after year,
and vet never pay cent of taxes. The
large owners Of real estate who have NO
personal property in the city can smile,
while the small property holders, who
have personal property which may be
levied on, pay their taxes.
Mr.. Fontaine offered a resolution to
the effect that the Finance Committee
have power TO negotiate on the best
terms possible, a loan of ten thousand
dollars for thirty days.
Mr. Mcconnell said that he had the
utmost faith in the ability and wisdom
of the Chairman of the Finance Com
mittee, Mr.. Gavin, and he thought it
would be better to leave the whole mat
ter in his hands without instruction.
Mr.. Fontaine withdrew the resolution,
and, on motion of DR.. Maury, the Board
adjourned