, 1876-04-19

ApF!!, l6T62
Tho isa.te Of certificates for temporary losns
Nh. elcary authorized by tho ohartor ct 1865.
and by another chAr.or Of 1869. Tho form Of
tho certificates wa1 innnscrshl, II thoy were Tor
tllc ktnd OF loans authorized bv law. Hch \
Corporate ilfe. and innaspepssbio for The admin
tesraston Of lIn corporate Kosernment. aud nvon
had it not boon expressly given II would hAvo
boen implied. Was that power then taken away
by thn 12th scctIon of the 9th article Of the Cou
stltu.son of 1902 That Consti.utsou
nfp NOT FoSnip
municipal corporations from doing anything
tlIoy could do before. It was aoleiy addressed
10 tho General Assembly. and cnJoIned on II oot
to certain oxtsnt. Tho law Of 1917, passed. Ia
accordance with this ptoh!bfsofy clauao contain.
ing restriction On tho power Of municipal cor
porations 10 create debt, expressly continued It,
forcn all previous ohArtor acts not Inconsistent
with It's pro7ielous. Tho acts Of 1865 and 1869.
passed. prior 10 the Constitution OF 1870 aud
conferring tho power to mako temporary loans,
nefe not inconsistent with tho provisions Of tho
MAS we'll settled that change in Tho form OF Rov-
ernn,ent did not abrocato pre-oxietinG LAWS.
WHAT Kind or nEBTt
then woro prohlbitele Only suct obligations ~
ing such irrosictoe temptations to municipal ox-
travagancca ~ to reguftoa constitutional reserc-
tiou on tho power and the opportunity to con-
tract thom. Euoh wcto debta to aid the building
OF IAHfQKHbt UGQLd tpI GEs0Hg6s NdLCT-HuEAos
colleges. academies. and patks. Thoae were tho
kinds Of indebtedness cties wote enJoined from
contracting. Tho mischief OF sucn dobta lay,
not in tho amounts or character Of the projects,
but because thcJ woro foreign to the purposes
for which the corporations wero created, which
1as not tho case In tho rroseut instance. It was
only tho purpose Of the Constitution to forbid
municipal corporations from mourning debts
which wcre 10 run for o long time, such as were
known -
II any other construction should be permitted,
tho prohibition would nmount to law impair
lag tho validity Of contracts. E1igoncios would
always a1!ao at ono time or another when city
ming oxpensos. 10 Insist that no debt whasever
could be incurred beyond tho por cent. would
mako it necessary TINT city Toutd hAro to atop
all work, md would Icmand man to thetr natural
Hucl construction Was not intended, but that
Il mas only purposcd 70 prolibst such mis-.
chieyous nnd permanont debta ~ had been
alsenay mentioned, And TINT such temporary
debss a. those for cleaning OF repairing atsoetc,
or carrying On tho ordinary courao Of business
and governmont, wofo both proper and loyal.
At tho conclusion Of Judge Morso's argument
rocess WAS tskon until O'Clock.
Nh. FRANK ADAME,
acting Corporation Counsel, appeared for Mt.
Hayes and in tho afternoon opened his arRu-
mant. lIe Hatd hls position was somewhat
peculiar, nd ho was not an advocate ou either
aide. Tho petitioners asked IT.. Hayes to draw
his warrant for the payment Of dobt, but tho
latter bad deemed Il bost, notmitbssaniing bis
own opinion, In dcfcronco to the opinion OF tho
public, tho prcHs. and largo number OF lawyers,
to rofuHe to draw the warrant.
Tho only question xas whether tho city had
the power to anticipate the appropriations uRae
by the Common Council which that body had
tic power to make until tho collection OF tho
appropriation could be made. That question
was OF great fmportaucc. but ho did not propose
IL lin Fir 4tAt n11y-
SON., a largo propc1ts..ho!dor.. Ind given An
opinton which was undoubtedly sincere. Mr.
Adams then proceeded to read tho opinion Of
Mr. jackson. given In February lat to J. Il.
Hammond. President Of ths City Savings BANK,
aud published al tho tmo IN full iu TIE TRIBUNE
sn. OBADIAH JAoKsoH
followed. lie said TINT, In hiB opinion, tho Con-
stltuton wna quite plain in requiring that
municipal debt should be limited to por cont.
II tho monoy was in the Treasury: theEo WAS no
objection to issuing ccrtfcatoa. The certificate
Was nothing but promtssory to,-Wiat Has
1t but debt7 Tho Comptroller would prob
ably admit that tho certificates were not to pay
any particular porson, but to bo sold In tho Nor
York market. II tho certificates wose baacd on
necoasity simply, they should state what thoy
woEe issued for. They should DO founded on =
certain spcciflo appropriation. Tho city WAS paJ.
!ug interest On n, Tho certificates but re-
o., and 1t was gradually running
behind The courts should Interfere to compel
tho municipal officers to keep within tho limita
Of the appropriation. 1t was 10 thoir powor to
put q stop to such practices. Thore wets three
classes Of mon hanging around tho Gty-IIall.--
dead-beats, who alept nhore night overlook
thon, contractors fighting for fat 1obs. and
epecuiatosa tu real estate who were continually
Such poraona should be got, rid Of rs soon IS
possblble for tho good of tho community, and
tho soonor tho better.
Mr.. HAYES
then made another stasomen., IN which
pape1s. quite sharp'y: Dc considered
except the proper administration Of the finances
Of the city. Ho did not wish anything contrary
to law. and would not signn, warrant Il It we're
papnra had boon clatnorinH agalnst the payment
Of tho certificates, whilo he vas In Nsw York
trying to ra(so money, but no ono had applied
for an. injunction. There WAS .S1600.0o0 OF
ta1es tied up in tho Supreme Court. Tho auea-
tion Vas as to what tbs law Of tho case was, and
ho had therefore called In the aid Of tho Cou,t.
1horo was dangerous power growing up In
tho shape OF sensational prean, Which had
popular mind first one Way nud then another.
Tho Practice OF imporBonal journalism prevailed
30 that no responsibility could be found. lie
bad therefore deomcd it necessary to appeal TO
Alter further dsasrloo agsinat newspapers. Mr.
11Ryes said ho would submit tho question to
the Judge, confident that il would be dooidod On
itn real uori!s.
THE CLOSING ARGUMENT
for tho petitioners Was made By Mr. ". G,
lou1y. In his opinion there was but ,
a!ugle quostlou presented, and that vas as
to whothcr tho Comptrollor, with the
sanction Of tho Mayor and Common
Council, had tho power to borrow money to pay
auch claims ~ thoso set out In the petition, that
vas for stsoet-!abor for tho month Of March last.
Tho paY-roll had beon sont TO tho Comptroller
the claim allowed. but the Comptroller had ro-
fused to lssue Ills warrant On the Treasury for
the bmount~ 1t had been admitted that tho
Comptroller ought TO issuo ths warrant II he
had tho power to borrow tho money. Not eTdry
liability constituted d dobt within tho moaning
OF that term and Of tho Constitution. Every
obligation 1osting on a contract which might end
tn an Obligation to PAY money was In
one scnso debt, but In another sense It was not
until the money was duo and payable. 1n QUO
sanae, the employment Of policemen. school,
teache1s and contractors. to bo paid out Of tho
Treasury, made u debt, but in tha present case it
nonr Il of 1uA !,