Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1877-10-18
Ehc s!isy Debt-Mcasins ct Committee
Nnd5 Creditors.


pointed by The Couucil TO adjust the municipal
debt, the creditors; and committee met in the
Couacil chamber at II clock IL. to-day.
The following of the committee were pres
eut: Mayor kemper. Hugh Latham, Lewis
McKcpzie, Charles h. Stuart, NJ. r. Harlow,
Henry Strauss I:aac Iichherg anh Rofcrt
Portner.
Thtr, was large attendance OF boniho'dc's
and Influential citizens.
Mayor Kemper presided, and Auditor +. il.
Crockett acted as secretary.
Mayor Knmper, On Is king the chair, made
statement of Tie orig n and growth ol the cry
debt
Secretary Brcckc,t then real HE circular
aud plan OF adjustment.
Mr., III, Il D. Lewis said the hundlcdClS had o.
had al opportunity for consultation, and n"h-
ing could be done unit they had adopted soma
plan among themselves lie proposed thtt 2
recess be taken until 0 clock.
| Mr., Mckenzie moved that the b1nGhojCr3
retire to the room Of tic Board Of Aldermen.
Mr.. La ham suggested that The h0nIhOIiGrs
remain in the CouIcil chan.trr, wIrh VA
agreed to.
\ bau,ihoIdcr moved that The conference rh.
assemble at > clock, as that would riGc suil
cicnt time for the bon,lholdcrs to frame their
plan. Before The COMMITTEE retired,
Mr.. Stuart, Corporation attorney, addressed
the bondholoIs in favor Of the c5nprorilsc
and showed the liabilities and assets Of the city;
that the city could not bear the burt h." Ct
taxation to psy the interest; that III, Flan ct-
lcrcd Inducements 10 the creditors, btcail53
under the present state OF the law the creditors
could not enforce payment, ana quoted from
Supreme Court decisions to sus;aln the propo
sitGn, hut this plan provide! q method !"r CD.
lcctiug the tax il it was accepted
The committee then retired, and
Mr.. G.. L. Lee moved that Jotlriau y heat,
esq, be declared chairman Of the bondhodcrs
meeting, which WIS carried an,! Mr.. " h2a:
took the chair.
Mr.. Edmuul Burke was elected secretary.
Mr.. Lee addressed the meeting, aud claimed
that the CORPORATION affairs were conducted ID
an cytragagant manner. The expenses CT the
CORPORATION Court were entirely unnecessary.
By reducing expenses tire CITY c}u!,i easily pay
the interest.
Mr.. Ice offered The foiloSpg resolution, aai
urged its adoption:
Resolved, That with the vioS Ct enabling tho
CORPORATION of Alexandria to pay >h2 interest
on th2ir bonds, the honGhoiders here present q"
agree to receive on their bonds 4 pc: cent In
time 6 per cont. to bo pail rs now Gala! for
J by the bonds.
Mr.. LEWIS seconded til, proposition, and
claimed that the bonds he represented (kis
mothcr'S) had been paid dollar Tor dollar.
Mr.. Mckenzie replied to Mr.. llca Oh The
question Of expenses OF the Corporation Court.
hIr. Mckenzie claimed that this is the cheapest
managed corporation il cXisicn2c. The officers
were paid less than in any other, OTlng to
| H., IT. LOTT, la, ~
rcrsos OF the police force we're niorc than should
oriioalily be Necessary. \ large charge was
that OF the free schools Mr. Mckenzie cnu
mcrated the small salaries paid officers, and
said it was The cheapest managed town IN the
ljnitcd States.
Mr.. Lewis Inquired Ct Mr.. Mckenzie il he
was not benefited by this proposed arrange
mcnt? pii not the gentleman own real estate?
Mr. Mex. replied that he had never thought
Of his own personal interest 10 this connection
! lie was put on the conmit!c.: without any
knowledge on lIls part.
DR.. INl1g, OF Washington, sid tllrt the seek
taken by The city 10 the Manassas Railroad was
piece OF useless cxtrayagancc. He bad seen
specimens Of The patch work between here aud
| Fairfax Court House.
Mr.. MEEK. replied thu: lie had opposed that
schcmo, but ii was carried through unlcr the
drum and file, and his opposition wia laughed
at. lie thought the proper way would be to
meet this question. Banks and other corpora
lions had been compelled by circumstances to
cor,orornsc, and it was often wise ana ncc2s
sarv, IIc could sec no objection TO the same
course in this instance.
Sir. Lee said it waa not lair to aSi, the bond
holders to take 80 c,nts in the dollar on debt
that will not b. duo for 30 years.
Mr.. Janncy said the proposition to pay 80
cents was as lair as to offer them 4 per cent as
proposed by Mr.. Lee. This proposition OF COM
promise had been fairly made. The city was
unable 10 pay, ani vas liz n condition OF q bank.
rup.
surrendered ell his estate by becoming bank.
rupt. IL would ask Mir. ]anney if the city
was willing to do that.
Mr.. Janucy said that could be the case il
the city would be Forever discharged, but the
ohiccs was to get the debt down to such figure
that the city could pay its interest. Reduce the
debt and it would be one OF the grandcst things
that could happen to The city. Prosperity and
enterprise would revive.
DR.. King, OF Washington, asked if Wh;n
the city funded It's debt there was not e con.
tract 10 pay the interest thcn ? And now comes
another proposition that We shall give up one
half, and that without any schedule Of the as.
sells. and Without any guarantee Whatever. Ii
the city would give the bondhcldcrs the power
of taxation they would undertake to pay all the
| debts, and the interest on tic bonds too.
MIR. Lambert said the bondhodrs residing
ia Alexandria were placed in rather peculiar
position. if this proposition was accepted to
pay fifty cents on the dollar it would be of great
benefit to US, but if it was not accepted what
would be the result The city was gradually
| ro;,o dawn ihr warehouses; wore deserted and
going into decay, the grass growing in the Streets
and there was no hope for the city for the future
! if Mr.. Lees proposition was adopted. Mr..
Lambert criticised the manner in which the
| subscription TO the Manassas Railroad had been
made, and he advcrted to the cmbarrassments
! to communication from Alexandria to the VAL
| ley. lie contrastcd the condition Of Memphis
| and Alexandria to the advantage Of the former.
lie did not believe that reputation would en-.
suo either in State or municipal Indebtedness.
The chairman, Mr. Wheat, called Mr.. Janney