, 1876-05-29

THE CITY CERTIFICATES.
Thore arc Just two problems which will
confront the Council Committee and the
Committee Of Citizens who hold confor-
ence this morning on the municipal finances
Ono il tho best disposition to mako Of the
claims which ato in the shape Of city certifi-
catcs maturing from month to month there
arc a little over Sc, 900, 600 OF these outstnnd-
ing. Tho second is tho necessity for providing
for tho current expenditures since April and
from now on. In thu effort at solving both
problemB these gentlemen will bo met by the
stubborn fact that tho g ity Treasury is out
Of funds, and that it's assots in the Bhapo Of
taxos cannot be imrnsdintely collected by
computation. Ali that is left to do, then, is
to seek some fuir and practicable means OF
converting these assets. There are two
ways, and they may DO worked out together.
One is offsot, whereby the city shall offer to
deliver over it's claim for taxes in exchange
for certificates OF indebtedness held against
it. The other is to o1er Inducements for tho
payment of taxeH, OF the exchange Of certii-
Gates for taxcs due, by reasonable discount
for speedy realization on the various tax
claima. This general principle may bo ap-
piied both to tho past olRima and future
claims.
l. III to the pass.-There Is = growing in
disposition on tho part Of tho present City
Government to issue new certificates in e1-
change for those now outstanding, because
tha decision of tho Court does not seem to
warrant any such erchange. THERE'S nlso an
indispos;tion on the part Of bankers and
othcs persons who hold these old certificates
to give them up in exchange for now ones,
bocause the old ones were issued to innocent
purchasers before tho recent judicial con-
sl1uction of the Law, and are more apt to be
lawful and cn}}cctablo than new issue in
exchange for them al the present time. It is
better for both parties, therefore, that tho
old certificates should be held until they can
be paid or exchanged for taxes, and they
may be givon new value by resolution Of
tho Council TINT they shnM DO paid ON OF be-
fore fixed dnto and draw per cent interest
until redeemed. This resolution shall also
set forth that these old certificates will bo re-
ceiyed by the Comptroller at any timo for
the payment Of taxes for tho year 1878 mud
previous years, allowing interest on them
up to the timo Of their receipt for
taxes. These conditions having been
inlorscd on the outstanding certificates, they
will have Bteadier yaluo than new cortih-
Gates issucd in exchange. They will be legal-
tsndor for taxes past-due and unpaid, and,
when received for these unpaid taxes, it will
simply be a fair exchange Of mutual obliga-
tions, whereby both tho city and the tax
payer discharge somo old debts. There
could be no simpler nor fairer way Of ro~
doe,ning the old certificates, aud undoubtedly
a largo part Of tho back taxes will bo paid in
this way that would otherwise be allowed to
rum There might and should bo still further
efforts to reduce the amount Of tho outstand-
| ing certificates The money now collected
for taxes il Oh the tax-ievy Of 1a75 null it Is
proper that, aftor paying up the policemen,
fremcn, school-teaohora, clerks, etc., Ut tho
city 10 April /, 1876, tho residue OF tho
money should DO, ~ far as possible, used for
the redemption OF the certificates Ut 1876.
Money can bo secured also by offering
q rebate Oh the premiums due upon
the ta1-certifcatcs which have l,ocn
bought in by tho city at tax.salcy, mud which
amount to about $l,U0,0 0al0; and the
money received on these should likowise be
employed in tho liquidation Of tbs oatstand.
ing certificates. With these three resources,
viz: the acceptance Of old certificates ir
payment Of old debts. the money coming ir
from the taxea of 1875, and tie money TIM
may be obtained by the surrender Of ta.
certificates at discount on the largo pre-
MUM or intesest they bear,-wo believe thu
the old certificates may be wiped out withil
years time.
=. IA to tie Juturt.-Thsro ID no question
about the authority OF the city to issue mes
certificates drawn ahainst the tax-leyy OF th
present year, which amounts To abou
| 1000, 900, and to bo used in the disoharg'
Of the current expenditures Of the year. Bu
the question has boon asked: Who will bu.
these new certificates in the face OF the p1otes
Of the old paper9 The answer IL tlat tht
protest referred to amounts to little TIM
shortly provision will be mado for tho ok
certificates Which will 10 satisfactory 10 th
holdors; aud that a{ter tho taxes of this SUN
1aeE nre paid they will be able to redeem then
al tso1 o1 seet!se tAeuss ~ 6u68eateup III l!Iu1
datioa Of back taxv&.s But tin sails OF thus
new certificates may be made certain by III
sertipg in ivory oue that it will b. receive,
in payment for taxes OF 1876 ut it, jiice pa!u
and TIC tattFest at maturity dtttiel. This con
dition will insure a local demand for the ne,
certificates, for tho parties purchasing then
with view to paying taxes herewith wi!
enjoy virtually q discount ut tia rata NJ 2 nt
cent per annusn. Thus one million Of ce,
siticascs may safely be issuet! against thu pei
sonal taxes which will full due aud must b
paid hefors Apzil !. 1871. Make them r.