The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-04-30
THE STATE CAPITAL.
A Rumpus Over the Sinking
Fund Veto.
HINTS OF HOSTILITY.
His Excellenoy as a Bull in the
Political China Shop.
O T. H e r. We L O T. s..
Another Measure to Regulate Savings
Bank Receverships.
HINTS OF HOSTILITY
O II H E r VETOE s
[DY TELEGRAPH TO THE HERALD. I


Governor Robinson's veto OF Comptroller Koiy's
Sinking Fund bill. which tho Assembly
tonight caused altogether tho vclost uproar OF tho
season Il not believed, and certainly
was not predicted except in the Albany
despatch tho HERALD that the Governor
would venture upon this course. or give
such explicit and cosent reasons for II
those which appear In hts message telegraphed to-
night. Tho political calculations OF democrats and
pubiicans are alike confoundod and tho astonishcd
men Of Tammuny, together with tho republican
brethren associated with Them predict thnt HIS Elk.
ccliency is better than Duii In China shop.
and bound to upset all tho pct bills OF tho
Tho Finance BILL tho Dock Department bill. md
oven the Public Burdens bill. amended though u
has bcen In the Senate, are all given up In sudden
despair by tho Tammany leg isators who sit placid
wander about crashing their teeth That tho torpedo
which tho governor has tossed forward need not
cause all this dismay, acquainted with him
who roads his veto Of tho Sinking Fund bill cooliy
tho morning will need to DO told. Tho message
summarized is that tho prcjudices OF tho Governor In
favor OF the measure had been overcome by an
animation which showed that nothing now could DO
accomplished by II; that u was obscure ana would
operate to divert the sinking fund from the uses 10
which II was sacrcdly pledged with no other result
than TO introduce obscurisy accounts and imperii
the faith Of tho metropolis
HINTS or wAR.
Tho first attack on tho veto was BY M Fish. and
was extremely bitter. tho message being denounced
by him rs false In logic and extremely sophistical
mr. Brooks attacked with equal 1erceness citea tho
unanimous appeal Of tho Common Council OF New
York ana the arguments Of tho councils polsical
and municipal reform In favor Of tho bill,
ADD produced a long array OF figures relative
to tho DEBT Of New YORK; which was controverted BY
Ms nafu uho hold In h.uA tS,n
Ely for 1873 commended that Mr.. Brooks had UNDER
stated the debt by sS2 100000 rhs message was
finally ordered printed and laid on tho table,
Mr.. Fish's motion to make II . special
order being disposed Of by tho decision that
Il could DO called up at any time. Tho Sinking Fund
bill 10 undoubtedly Tammany strong point, and its
adherents viii rally upon II a. their hope for the
sion Is, however, In tho opinion Of neutral men,
bers rather question OF figures than OF iaolon& Tho
veto read 40 follows:-
srArE NEW York.
EXECUTIVE CHAMBER. ALBANY. April q, 1878
To THE AssEMBLy:-
l return without approval Assembly bill No. loo
entitled IAN relating TO certain indebtedness oil
tho CITY OF New York and 10 provide for tho pay
msns and ca, Sanco S o. Inc s,m rs. have
! IN IT'S favor !. Is commended By 'tbs Mayor
sud Comptroller OF thc city Of New York o
Chat viii asimpiify tho nnsnc,ai snairs OF tho city,
prevent tho futuro augmentation OF its debt and pro-
bonds at maturity" Ny own exnminatIon OF il has
led mo that II enacted, win II accomplish notn-
attained the financial affairs Of the city arc Io. to
DO regulated BY tho existing ordinance and laws A
+ SO obscure ana ia voivo that IFS copsruc.on viii
be dtnicult and uncertain. trusts 80 enormous
those affected by this bill ought not 70 DO subjected 10
statutes wanting In precision.
Tho financial condition OF the city 10 this stated
In tho memorial OF it's authorities recommending
this biiI:--lts funded debt Is sl2i, 40. 1888 rs;
It's temporary debt, pay able from special as.
scssments, Is $2l, 800, 300 Tho revenue bonds
OF taxos Tor the year are omitted from this
For tho pay ment OF tho bonds the
collected aud 10 DO collected from assessments nov
form spccni and appropriate fund. Tho bill pro-
poses that these temporary assessment bonds shall
be mixcd up with tho funded debs aud that the cx-
OF the funded debt shall 30 made liable TOR
those temporary bonds II provides, II Is true, that
on account OF assessments for local and
oil moneys that suall be collected hereafter
Of assessments for local improvements now begun.
shalt DO PAID into Tho sinking fund, 30 that only the
doilcency Ia The collections Tor these assessments
VIII In fact DO paia out Of tho sinking fund.
pcity. nor is u consistent with good faith.
The sinking iund was established for and Is
pledged TO the protection OF certain long bonds IL
Is obvious that these assessment bonds arc made
charge upon the sinking fund, they having shorter
time run viii PAID earlier ana have preference
over the bonds 70 which tho sinking fund belongs and
is pledged
Another class OF bonds amounting to $1,000, ooo Is
bonds OF tho towns annexed TO tho city OF Now York
from wcs,chcsicr county: Those, BY section =,
SINKING iund not originally pledged TO them.
these Wcstchcstcr bonds have already boon assumed
DO left TO get benefit tho sinking iuad IN COM
mon with tho rest Of tho funded debt their proper
iurn Moreover, white the b,ll Processes to pay into
the sinking fund tho whole sum TO DO collected
from assessments II provides that all tho as
s sss; due s, from .ao CITY itself on rs
increasing tho burdcn unjusty Inposcd on tho
sinking fund for this class OF bonds With regard TO
the assessment bonds, tho simple aud course
Is to apply to their pay tho moneys properly
pertaining 10 them that Gao DO collected. When a
deficiency Ia collection Is asccrtn med such de-
1cicncy Of course must be assumed by no c,ty and
Will then become part Of the funded debt and receive.
In common with Other Indebtedness, tho ben
efts OF tho sinking Iund. There Is not nov
the slightest Dccd Of mixing tho accounts OF tho
sessncns with those OF tue funded debt or with those
plighted faith to do so Any change IN this respect
which rs not necessary Is likely to DO OF injury. II
woId serve TO conceal from public observation tho
deficiency likely result assessment collections
Section oil tho bill provides tnat whenever In
shall certify that tho denominations In tho SINKING
fund are not tufcient to tho stocks and bonds be-
coming duo IN tho next calendar year. tho city
snail levy tax toward tho payment OF such bonds
or stocks, provided thnt such tax shall not
exceed In any QUO yoar Sl,Oo0.o00. This
and cancellation Of The city debt, which tho ilo OF
tho bill proclarns as It's Object, IN TACT, restraints tho
city IRON paying i,s deb, as comes duo, however
this restriction 10 that II will DO too burdepsomc
the taxpsyers 70 exact from them each year tho whole
81 the principal that falls duo the The amount
OF principal that falls duo 10 the ten years including
the period from 1878 to 1887 makes an average Of
S2,S35 COO FOE each year. THIS 10 the aver
age amount or principal to DO paid beyond
that witch tho sIuking fund has provided iorthat
to soy, rs tho amount OF tho principal debt which
must DO paid by taxation or By issue OF bonds
Tho differences between tho share Of tho State paid
by the city IN 1873 and tho share paid by u In tho
present year 10 almost double the average sum which
the city would DO obliged 10 raise annually " Tor tho
above pcriod OF ten years u met all tho maturing
principal OF It's dobt by taxation.
The debt OF the city must DO paid by taxation
or later, and the provision this section would buvo
boon wiser ~ Instead OF restraining tho city from
tnSing itself beyond million Ia any rear, u had re-
CURED taxto be levied every ycar OF least milton
Tor the payment OF the principal VI the debt,
whether the sinking fund was equal 10 the de-
maud Tor the yoar or not Tho sinking fund
for tho redemption OF tho city debt was
established many years ago BY ordinance Of the Com
moo Council IL 10 dangerous Tor the Legislature to
NEEDLE IA any degree with It's original plcdgcs 10
was established TO provide for tho payment OF certain
wb m MI IN