Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1873-05-05
HISTORY OF THE DEBT OF ALEXANDRIA,
The debt of the town in March 1919, as report
ed by the Finance Committee, March list, in

HISTORY OF THE DEBT OF ALEXANDRIA.
The debt of the town in March 1919, as report
ed by the Finance Committee, March list, in
that year was as follows:
Corporation tickets (notes) ........... $50 GS2 %
Due the treasurer. $3.50 81
Duo Bank of alexandria,. 70O 90
| Due Bank of Potomac. ............... 500 90
Total debt. 6Gl "a
We raise about t,Oice this amount now cuGy
gear by direct taxation, and if the people Of
the town in 1919 had paid one half the tax VIC
will pay in 1873, they then would have been
free Of debt at the end of the year, but they
did not do it they; funded.
| The funding act authorized the issue Of
$50, 900 of stock, and was expressed to be Tor
the payment OF the debts due the banks and
the redemption Of the corporation due bills.
The rent rate of the city was created into a
sinking fund for its payment, and the stock
ton of the public debt in 1873. The sinking
fund was the antelope Of all the sinking funds
created since. The practical operation Of all
We have had has been to sink out OF sight at
once The public have alrcady paid an inter
| est three times the amount of this debt.
| On the 9th day Of January, 1922, a fur
thcr issue of $4,000 corporation stock was
authorized. A siuking fund was created to
pay this debt in 1929 The sinking fund sunk,
but the debt did nt and it is part Of it STILL a
portion of the public debt, and our taxes this
year will 20 to pay interest on it. Yet this
debt too has been more than twice paid in the
interest which the people have paid upon it,,
In October, 1924, SIS, 900 Of city stock,
payable in 1885, was authorized, the object be-
ing to consolidate the two issues OF stock OF
1919 and 1922 This stock had also sinking
fund, but nevertheless was not paid, and was
exchanged for new stock III 1887. Had halt
our present tax, paid year after year, been
levied for any one year only during thus period
this debt would have all been cleared off.
The Alexandria canal project was then in-
argurated, and on the 18th Of November, 1881,
the town subscribed $4,000 to that work, the
Potomac, Alexandria, Mechanics aud tarnl-
ers' banks taking city stock ut five per Ct, re-
4 deemable on the lst of July, 1911, tor the
whole amount.
On the I'd of May, 1885, another subscrlp-
ton to this stock OF $5U,O0G was made, the
stock for this purpose bearing SIX per ct. inter-
est, redcemablc at the expiration of ten years,
uS45.) This stock was secured by the pledge
of the result Of a tax OF twelve cents upon the
hundred dollars of real estate and the canal
stock subscribed for The stock was directed
to be placed in the hands Of commissioners, and
the dividends thereof made the basis OF a
sinking fund. When dividends come from the
Alexandria canal that sinking fund will 30 INTO
operation. . :,
A town meeting was held carly in 1886, and
in accordance with resolutions passed thcrcat,
the CITY subscribed, on the 9th OF July, $500
600 to the Alexandria canal. This stock was
made redecmablc in twenty-five years, and Sc
cured by pledge ola tax on real estate sui
icicnt to pay the interest. The canal stock
dividends were made sinking fund tor this
stock
The stock issued in 1S2l-'5 became due in
1885. 1t had been issued to pay debts due in
1919 and 1922, and yet, when In S35, the
town was far less able to pay the debt than
ever before, on the I'd of April, 1888, this
stock was exchanged for a like amount Of anew
stock, made payable on the lst of April 1850.
At this time the town borrowed $500 to
subscribe to the Chesapeake and Ohio canal,
from German merchants, at Amsterdam, but
as this loan was guaranteed by the United
States, and is no part of the present debt there
is no need to do more than audc to it here.
The five per ct. stock ($5O,0O0) already men
toned, issued, bought by the banks in 1881,
became due in lS4l, and on the. Goth OF July,
in that year, Council authorcd its exchange for
like amount Of six per ct. stock, payable IN
1916. All the stock issued up TO this time
seems to have brought par.
On the Sd of May, 1913, another issue OF
stock ($lOO,0O0) was made, i'll payment OF
subscription Of that amount to the Alexandria
canal. The issue was made directly to the
canal company which suffered whatever loss
occurred by the sale of bonds below par.
On the 10th of November, 1874, $4,000
more was subscribed in stock to the AIcxan-
dria caual, redecmabc in twenty-five years,
and secured by the pledge Of az annual tax of
twelve cents on each hundred dollars OF real
and personal property.
The $4,000 stock issued in 1885 became
due in 1915, when the town was in debt many
fold more than at the time the stock was Gre
ated, and therefore much less able to pay it
than it would have been 10 have paid the origi-
nal subscription in ease; instead of funding it,
it was exchanged by act of the Council Of the
23d of July, lS45, for a like amount Of stock,
redeemable on the lst of January, 1870.
A loan Of 5000 was made to the canal CON-
pauy soon afterwards. So that on the lst of
March, lS47, the city debt stood as follows:
Stock issued to date. 1888, GOO OO
Due bills 1S45--' ~ 20 ~
Due bills previous to 1Si4.............. LID %
Balance. 4o'oo' %
Total debt March l, lS47.... .....SG'o, l63 %
l-Firgiaaia Sentinel.
~ N,oto,