New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1875-11-25

'H6 oenoAohey w oe iuuuee ny d suCceeo-
ing administration, was abruptly ,termi-
mated by the Republican Legislature.
This has embarrassed the city administra-
ton very much, and threatens the extin-
gulshment of the public light, the accu-
mutation of dirt in the public thorough
fares and the stoppage of personal salaries.
This system of cumulative Indebtedness
had to be STOPPED some time or other.
We hold the present city administration
innocent of having created this city debt,
and they will not be charged with having
increased it, which will be an honor to
their municipal memories.
The Republican party has offered its
counsel in the premises only to be reject
ed, but if the municipal authorities will
condescend to accept Republican aid, it
will, no doubt, be cheerfully approved.
Assuming the inability of the city to meet
the January interest some arrangement
must be made with the public creditor,
or the public creditor will proceed to test
the actual value of his securities.
Many months since the REPUBLICAN
stated the power of the State over the
obligations of the city. This was done in
argument, and no opinion was advanced
on the subject, The State being a para
mount power, directs its agent, the
corporation, to contract debt in the name
of a portion of the people of the State
The State also contracted, on behalf of
the whole people, debt This debt it
decides the people unable to pay. The
State, as principal, having authorized
its corporate agent to contract debt on
behalf of part of the people, the ques-
ton arises whether, if the State can can
eel part of the debt on her whole people
for inability to pay, the State can not also
command its corporate agent to cancel
part of the debt on part of the same peo-
pie for similar and unstipulated ability
to pay. He who acts by an agent acts
for himself The State can either
command its agent to repudiate pro tanto
for inability, or if the State be responsible
to the creditor of the city for debt con-
tracted upon State assurance and State
authority, then the responsibility of the
State gives it an indisputable right 10 de-
clare the inability of part of the people
for whom it has thus become responsible
as garantor precisely on the same principle
that it declared the inability of the whole
people whom it had financially bound by
its undertaking on heir behalf. Such is an
abstract of the argument which has been
suggested to the city authorities. Should
they, however, still decline to invoke the
exercise OF State cower in the premises,
there will remain but one ostensible alter
native. 1t will be to allow the public cred
itor to exercise his legal rights. They can
only go to subject the vested property of
the city. If all the lots and tenements
and outstanding debts due the city shall
be sold we apprehend it would not satisfy
ten per cent of the city debt. Then the
liability would stop. 1t must be remem-
bered that the power of taxation can not
be delegated nor mortgaged, nor could
a mandamus lie to compel either
the State or municipal legislature
to impose taxes. The right to regu-
late taxation is representative right,
and can neither be restricted nor
prescribed in its exercise. 1t may be
said the public faith is pledged to con-
tinue the municipal or State taxation.
This is a question which every Legisla-
ture must decide for itself. We only deny
that any earthly power can compel
Legislature to tax the people.
IT. then, the assets of the city consist
of the visible and tangible property which
it possesses, the public creditors can get
no more. 1t would certainly be good
bargain 10 get rid, not only of twenty
three millions of dollars for the pro-
ceeds of small annuity for certain cor
porate properties which the city can bny
in at their value, but also to get rid of a
direct tax which weighs down property,
and an indirect taxation which deters and
drives away people from the city Per-
haps our financial authorities have been
little late in calling in the doctor, but
the practice, though heroic, is as obvious
as it is inevi able; it will either precede
dissolution or an autopsy will demon
strate the fact that il Would have saved
the patient.