The New Orleans bulletin. [volume] (New Orleans [La.]) 1874-1876, 1875-03-21
THE CITY DEBT.
Meeting Between the Administra-
tors and City B0ndholders.


On the 9th inst, at regular meeting of tn,
City Council, the following resolution wal
adopted
ReSolred. That The committee appointed under
ordinance No. 2S97, Administration series, be au
thorlzed to confer with the holders Ct city bond;
| ID view Of an adjustment Of the city debt
In accordance Herewith an invita- ton was ex
| tended TO a number Of the holders of city bonds
to meet the committee.
The meeting was held last night in the Mavor's
parlor, City Hall, and was largely attended.
Mayor Leeds called the meetlng to order and
by way Of announcing the object, said we have
called this meeting with view of showing the
situation of the city, and to consult with you as
to what is to be done under the circumstances in
which we find ourselves.
! He then submitted an estimate Of the receipts
and necessary expenditures Of the city Tor in
terest, the various departments, etc, which
showed % deficit og over half ID million of dol
| lars
He said il the city called upon to continue
N the course 1t was now compelled to follow
that the result would be that after a time tn,
ely would be without the means to run the gov
ernment. The amendment to the constitution
prevented the borrowing Of money, or from
creating any new dept, and in the end the gov
ernmcnt would be compelled to suspend opera
tons for want OF means to contluue.
The question, he said, is what arrangement
can be made, or rather, can arrangements be
made, whereby the city can preserve itself? The
question is one OF advice and consultation to-
gether, as it Is one Of great interest to every
citizen.
There are the wharves, If they are not kept in
order the city is liable for damages. The same
with the streets, if they not kept in order the
city is liable to be called on for damages by those
who have paid licenses for the of them.
When Mr.. Leeds had concluded very ami
mated and interesting discussion Of the financial
condition of the city and Of measures for relief
was entered into.
Judge J. n. Lea desired to know if the Coun-
Gil was prepared to submit any plan for the re-
demption Of the debt, that might be discussed,
objected to or amended.
Mayor Leeds said that no plan had beAn de-
termned upon that the desire was to ascertain
what would be acceptable to the bondhoIders
NJ. NJ Simpson, Esq., expressed himself as
believing that no plan could be presented that
would result in anything practical without legis-
lation that would abolish the obnoxious laws
which surrounded and tied down the alministra-
tors. After hard struggle the people had placed
III Office men Of ability and integrity, and if there
was an assurance that they would not be disturb
cd, and they were untrammeled confidence
would be restored, and the first and great step
for the redemption of the city would have been
taken.
Insure the stability Of the government and
gam the support OF the people, and confidence
would follow.
Alter some further remarks to the same effect
as those made by Mr. simpson, Administrator
Burke called attention TO the programme adopted |
by the City Council at its last meeting, which |
was to urge on the Legislature the passage of |
the following, VIZ
!. An act to authorize and enable the CITY |
Council OF New Orleans to reduce the tax for |
payment Of interest ON the bonded city debt at |
least onehalf.
q An act tn regulate the organization OF the |
Police and to reduce the Expense |
IF same TO sum not exceeding $50 000, and to
provide for the prompt payment of the same.
3. An act to limit the expenses of the public
schools Of the city Of New Orleans to q sum not !
exceeding 100000.
4. An act authorizing the City Connect Of Neg
orleans - regulate the lax foE City Park pur-
5sCs.
>. An scs authorizing the City Council Of New
orleans 10 limit and regulate the charges Of
'heritts. Recorders. Coroncrs, ana Board a..
Health of the city Of New Orleans.
g. All act to authorize and enabHs qhe CITY
'ouncl Of New Orears TO retire the bonded debt
u the city, and reduce the volume Of the same
* a uniform rate OF interest thereon and for
his object only to issue new funded bond at
hrty Years, bearing five per cent Interest," to an
mount not exceeding Si60G000. {
He explained the benefits that would accrue
0 the city, and demonstrated that the tax could
g reduced one per cent and there would be but
small deficit.
In response to an inquiry in reference % the
Of the bonded debt he stated that
here no intention of sealing the principal: f
hat the jdea was for the city 30 buy up the J
onds L
The proposed plan was discussed at length i
he debate was very interesinS0 but want of q
pace prohibits a synopsis. /
Judge J. n Lea then gave his opinion as to
ne proper cour c to be pursued by the city and a
ne bondholders to preserve the credit of the e
ne and secure the other. His idea was that t
ne interest should be scaled and that matured C
onds should be extended. t
After considerable discussion 1T was decided
y the meeting to submit this plan to the City a
administrators for consideration I
The meeting then adjourned untS Saturday t
eNka L