Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1877-03-12

should fail the city Of Memphis
will at least have power to compro-
mise at ifty-fve and fifty cents on
the dollar, and to hold the threat of
a complete repeal of the city char
ter two years hence over the heads
of our creditors. The bill only
passedin the house by a oonstitu-
tioual majority of two votes. Very
close indeed. Hence you see the
difficulties of securing special legis.
lation and the dangers that beset
all bills from the time they are
placed on their first reading.
THE RECEIVERS BILL.
The difficulties which beset this
bill and render its final passage
doubtful are: First, all the Repub-
licans will oppose it because they
desire to make a high tax and high
credit record; second, many Dem
ocrats do not wish to be put on
record as voting to assist Memphis
in what they are pleased to consider
repudiating her debt. With a
small house thirty-eight votes are
hard to command in favor of any
bill. The following is a copy of
the bill:
An act to enable municipal corporations
having more than thiriy.fve thousand
inhabitants to settle their indebted
ness:
Section L. Be it enacted By the gene.
raj assembly Of the State of Tennessee,
That section "a of ar act passed March
20, 1875, which reads that the lagisla
tive powers OF such cities shall be vested
10 y mayor, a board Of aldermen aud a
board OF common councilmen, who TO-
gether shall be styled the general coun-
ell of such cities, and shall be elected as
shall be hereinafter provided" be and
the same is hereby expressly repealed.
Sec. 2. Be it further enacted, That the
power to levy taxes Of every description
and for any and every purpose whatever
is hereby taken away from said munich
pal corporations aud from every officer
and representative thereof, and said tax
ing power lodged in the legislature of the
State, and not elsewhere.
Sec. 8. Be it further enacted, That
upon the application Of the holder Of any
due and unpaid coupons or bonds OF said
municipal corporations it shall be the
duty of the Chsncery Court to appoint a
receiver for said municipal corporations
who as the officer Of the court, and not
otherwise, shall, under the order and IN.
structions Of the court, act for said mu
nicipal corporations.
Sec 4. Be it further enacted, That
said receiver, together with two other
property.holders to be appointed by the
court, shall constitute q commission to
settle and compromise the ihdeb,edueas
Of said corporations to an amount Of said
Indebtedness not exceeding S, 0O0. 600 By
funding the same, and upon their action
being confirmed by the court it shall d.
rect the receiver 10 execute the neces
sary and proper c9mpronise bonds and
contracts.
Sec. 8. Be it further enacted, That in
order to enable them to make said set
Element it is hereby enacted,
l. That al mat8red bonds aud oou
pons and judgments may De funded a
such q rate and into such time-bonds
bearing not exceeding six per cent inte
rest, Gs may be agreed upon between th'
parties.
2. That all unmatured bonds and cos
! pons land other clains) may be settle,
S by giving therefor new bonds AID cou
pons, on such terms aud conditions as Il
: amounts, time and interest-not exceed
t ing six per cent.-as may be egreed on
or If new bonds are not given, then out
standing bonds and coupons may IN SET
Element or compromise be stamped will
such contracts, bearing not more thaI
SIX per cent. interest, rs nay be agree
7 upon between the holders Of the sam
& and said commission.
3. That ell matured bonds aud oou
9 pous stamped or issued by virtue OF an.
agreement made in pursuance Of thi
act, shall be receivable Tor every kind G
{ city dues.
4. That said municipal corporation
are hereby prohibited from Issuing scri
or bonds while any bonds issued 0
stamped under this act are, ou.staDding
l D. Th,t hereafter for said munieipa
corporations there shall not be levied
higher rate Of taxation Tor general pul
poses than one per cent for the next av
years, and at no time thereafter for sal
III purposes a tax exceeding oae dollar an
d twenty-five cents on the hundred dollar,
10 q. That an ample interest and sinkin
fund tax shall be levied annually. an
collected to meet the maturing interes
# and to retire and pay the bonds; an
that this tax shall be faithfully applied /
lg the objects proposed; the sinking fun
tax shall be paid into the hands o. thre
sinking fund commissioner, and the 4
l terest tax shall be paid into lie hands
Fl three interest Commissioners, all of sat
commissioners, sinking fund and ipt
re rest, shall be citizens Of established i
to tegrity and responsibility, who shall gi,
bonds in sufficient amounts to cover II
DC funds coming into their hands, aud
he faithfully execute their trusts; said bon
to be Fixed by the court.
=, Z. That the provisions Of this act sh,
h be made a part Of the contract With h
holders of any bonds or coupons issu,
or stamped by reason Of any agreeme
r made under this act.
8. That so much of sections S9, 60,
and 66, of an act passed March 20, 1877
n as is in conflict with the provisions
" this act are hereby expressly repeale
, Sec. g. Be il further enacted, Tn
e said court aPPSie the interest comm