The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1878-01-30
THE CONSOLIDATED BONDS.
Proposed bill to Authorize an Equitable
Settlement.

| settlement.
| An act to relieve the taxpayers In the city o.
New Orleans. to authorize the city OF New
Orleans to form a contract with holders OF
bonds issued by said city under provisions
OF section 81 of act No II of 1862, as amended
by section of act No. ~ of same year for a
temporary suspension of the tax In their
| favor. and to provide for the terms and condi-
| tons OF such contract: to authorize the city
| of New Orleans to issue bonds bearing in
terest in exchange of unpaid coupons and OF
certal n coupons to mature. on funllment OF
eertai formalities. and TO levy special tax
for the payment of other coupons subse-
duently maturing to postpone the payment
Of original bonds and of those issued under
this act; to issue coupons for the term of
extension OF payment and to continue said
section 81, as amended. in force until pay
ment OF ell The bonds and coupons thereof;
to provide for the mode of enforcing the
levy. collection and application OF the spe-
cia1tax In favor of holders of all said bonds.by
summary proceedings: to secure the pune
tual and final payment of all such bonds and
coupons: to provide for the appointment OF
commissioners by the court, In case of fail
ure on the part OF the eity or its officers to
comply with the mandamus to levy collect
and apply the special tax In favor Of said
bondholders and for the compensation OF
said commissioners.
Whereas, to relieve the taxpayers of the CITY
of New Orleans from the onerous burden,
| which, though for awhile actually suspended
| holders Of the bonds issued by said city under
the provisions of section 81 of act No. H. of 1852
as amended by section of act No r. of the
hancement Of real estate in said city to arrive
| at an honest and reasonable understanding
with said bond51holders. which while fully seeur-
which liz reduc ton of taxation:
u SECTION 70 l. BE i enacted ~ Me Senate and
ana m General Assembly convened. That within
fifteen days after the passage ofGhis act 1t shall
De the duty 81 the Gommissioners Of the Con
g, Debt. VIZ: the Mayor and the Admin
of New Orleans. to ascertain. as exactly as
practicable, The amount. of matured and unpaid
coupons of the bonds aforesaid whether linui-
dated by judgment or not. as well as of he cou-
pons thereof maturing in the course of the year
1878, and, within the month following. to issue.
change of said coupons, and to represent the
debt evidenced by them, negotiable bonds for a
similar amount VI the denomination of Ave
hundred and one thousand dollars EACH as
may best suit public convenience, In the judg-
ment Of said officials. Said bonds shall be
ture at the time ut which the bonds, the coupons
OF which they shall represent. shall mature
They shall bear per cent interest per annum.
falling due semi annually. at the time ct Shich
the coupons of the bonds just mentioned shall
mature The said bonds to be- issued shall be
identified by proper recltas therein, with said
section 81. as amen ded, and with this act The
payment of said bonds and coupons thereof to
be issued. shall be secured in The same man
ner as are tho original outstanding bonds and
coupons. and shall stand Herewith on footing
OF perfect equal ity; provided that no such bond
shall be issued in exchange of and to represent
said coupons. unless the bond from which de- |
tached be countermarke6, to identify the same |
with this act; such countermark to establish
an ts Of the terms and
future holders thereof the city and the State as
a legal contract. O
SEC. Q. Be it further enacted ETC., That during |
the course of fourteen years. which will expire |
in 1892, no special tax shall be levied under the
terms of section 81 aforesaid as amended, for |
sinking fund purposes: but that the Council of |
said city. shall annually, in the month of Jaru- |
airy. beginni ng in January. 1879. and every year
thereafter, levy special tax. at a rate amply |
maturing in said year. provided that the city |
of New Orleans shall. previous to said January |
1879. have on hand, in readiness, the sum re-
January 1879. including those of the bonds |
to be issued under this act when the same shall
0G sne e ana RRe epast sad etc. rb. from
and after the first January. 1879, the provisions
Of said section 81. as amended. shall be faith
cept as to the tax for sinking fund purposes.
and that the term for the payment of all the
bonds, as well those originally issued as
by virtue of this act. be extended for such time
~ may be necessary-after 1s92-for the gradual
exiting ulshment OF the same, under said section
he, provisions Of said section 81, as amended,
and those of this act. for the enforcement
n shall be- carried out until said bonds
axes raised under the provisions of section 81
rs amended and under the provisions of this
md distinct fund, to the credit of the old city
consolidated debt Of 1852" and shall be exelu-
lively applied TO said debt, by the. commission
RS of consolidated debt: the Mayor and Ad-
aforesaid. and all checks there
gainst shall be drawn by at least two of said
Ulcers. and all payments and exchange Of
,onds shall be made by the Administrator of
Finance.
SEC. s. Be it further enacted. etc, That the
onds, the coupons whereof shall be presented
or exchange. and shall be represented by the
ct shall be stamped by said Commissioners of
he Consolidated Debt. as follows: Ne rdrietur.
inject to TIE terms and conditions Of act No. =.
;sis , 'ehich is contract bet,nee" the hobr Of
nd shall be signed and dated by one of said
officially. whose signature shall
g authentic; provided, that when the bonds
oupons detached from such bonds shall be en-
tiled to be exchanged for bonds to be issued
nder the provisions of this act, only on pro-
uction OF the certificate of the United States
onsul or legal representative, at the place
here the bonds may be- TO the effect that he
as countermarked and signed them. describ-
ng, them infinitely by letter, date and amount,
,rmark and signature shall in that case be
inclusive. in the event only Of an actual ex-
1ange of the coupons for the bonds aforesaid.
Sec. 6. Be it further enacted, ETC., That the
Or the term of fifteen years. from and after the
rst of January, 1892, during which time the
hid bonds shall bear six per cent interest per
nnym. payable emi-annualiy as before: pro
New Orleans shall, through said Commits
oners of the consolidated debt. issue. upon
le production OF every original bond, coupons
feen years from 1892. Of which issue, mention
lall be made on the face OF the bonds SO ex-
lifted. but that the bonds issued under the