New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1875-02-24
CITY CoUNCIL-OFFICIAL
REGULAR MEETING.

1 O~~ASAA
o'clock NJ. in regular session.
Presentation. Charles j. Leeds, Mayor
presiding, and Administrators Bertoii.
Brown, Bouny, Landry, Mccarthy and
Pilsbury.
The minutes of the previous meeting
were approved and their reading dispensed
with.
Communications from the Mayer and Adj
ministrators.
The Mayor presented the following com.
muncation from Thomas Layton. Esq,
which, being read, was ordered to be spread
upon the minutes and referred to the Ad.
ministrator of Public Accounts:
New ORLEANS, February @, 1875.
To the City Council OF New Orleans:
By ordinance lately passed by your hon
Orable body, certain back taxes are made
payable in warrants, certificates and other
obligations of the city of New Orleans.
This ordinance is clearly viOlative of the
vested rights Of the holders of old cOnsOlid.
ated bonds of the city, and should, there
fore, be promptly rescinded.
Under the acts of the Legislature of
1852, and subsequent acts, it is made the
obligation Of the city to levy a special tax
consolidated bonds, which when collected is
to be set apart as special trust fund for
the benefit of the holders of such bonds.
Under these acts, q special tax has here
tOfore been and still continues to be levied.
The tax bills past due are made up In
part of this special tax, levied for this
specific purpose. That part of the back
bonds, and must be collected in currency
and deposited. as collected, for the benefit of
the holders of such bonds, and the same
can not be otherwise collected.
Ifcollected az proposed by the ordinance
in question, it would be an illegal diversion
of the fund and violative Of the vested
rights of such holders of consolidated bonds.
Der of these bonds, and will be compelled
by legal action to protect their interests in
the premises if the city proposes to persist
in this ordinance.
G. BERNOUDY,
THOMAS LAYTON.
From Mr.. Bouny, and appointment con-
firmed:
DEPARTMENT ASSESSMENTS.
February %, 1875.
To the City Council Of New Orleans:
l beg to submit Tor your approval, the
appointment made by me OF Mr.. Charles
Roman, as clerk in this office.
p. L. BOUNY, Administrator.
Financial and Other Business on Final
Passage.
Mr.. Brown called up the ordinances de-
scribed as follows, which, having been read
twice, were now on third reading, and they
passed unanimously, the yeas and nays
having been called on each and all the
members present at roll call voting:
An ordinance providing for the payment
of the several accounts therein named,
beginning. B. Simon g. Cohen. repairing
office clock.
An ordinance appropriating 5000 for one
years rent Of office for storing notarial
records.
Reports of Committees.
The Mayor on behalf of the special COM
mittee reported as follows:
The committee appointed under ordinance
No. 1897, have had under consideration the
matters committed to their charge, and sub
NIT the following report, viz:
1t is manifest that with a debt-bonded,
certified and hoating-Of. over $24,OOO,OOO,
with an annua! interest on the bonded debt
of nearly 81. 500, 900, with several millions of
unpaid taxes, which a FRUSTRATED and i'm
poverished community is unable to pay;
VAIL y COuSUAub ucpAcCl0tkOn Ill LILO t0AuO VI
every species of property, it will be impOs-
sible, even with the most rigid economy to
provide for the current expenses of the city,
and still continue the payment of interest.
The tax payers are so much exhausted by
previous exactiOns that it will be impossible
tor them to meet the. tax which the laws
have compelled this Council to levy.
With all the machinery of tho courts,
with the known repugnance of property
TO- solo hut 1iftlo
one-half the tax of last year has been col |
lected, and the ability to pay will be less
this year than last.
This administration has reduced the ex-
penditures over which it has control to the |
lowest point commensurate with the proper |
conduct Of the cIty's affairs. Any further |
reduction must come from such favorable |
legislation as will restore to the city gov
eminent the management Of its own affairs. |
At present, it has no control over the |
amounts which are to be levied for the |
police, the schools or the park, nor the |
interest, but is required by law to impose |
the tax at the demand of those who are in
no way responsible to this people, or their |
duly elected representatives. The Council
has no power TO fix the fees and salaries of
many of the officers who are paid by the
city, nor in many cases Of reducing the
offices, which it might be we'll to dispense
with.
Of the tax of two and half per cent
imposed for the year 1875, the city govern
ment receives but little over One-half per
cent for the expenditures committed to its
charge. Il
Nearly two per cent is to be collected and
paid out by it without the power to reduce
in any manner the expenditures to which it
will be devoted. OF the half per cent
levied for general expenses q large sum
must be paid for court charges, sheritfs'
feee, recorders, courts, cOroners' and Board
Of Health expenditures, ETC., which being
fixed by law, can not DO changed by the
action of the city officials.
1t appears, therefore, that this Council
can not any further reduce the burden
unless the public creditor comes to their
relief Unless there is a m aterial reduction
Of taxation the city government must stop
Tor want of means to carry on its functions,
.hus bringing destruction alike to citizen
md bondholder. 1t is apparent, therefore,
that the latter must yield something to the
necessities of the case, and We have pre-
pared the following proposal which we
suggest as a remedy, viz:
/. That the bOndhOlders shall form an
association under the banking law to be
styled the City Security and Banking
Company, or such other title as may be
deemed proper.
2. That the capital of said association
hall be based upon all the city bonds, rated
It their present market value, together
With say five per cent cash.
3. The city to transfer to said association
III the available property and franchises
which can be properly leased or disposed
# for term of years.
First-The Waterworks and material for
period Of years. IL
Second-The pubic markets for period
# years.
Third-The wharves and landings for a
v;r,1 of