Martinsburg independent. [volume] (Martinsburg, W. Va.) 1875-1900, 1880-05-08
CORPORATION AFFAIRs.

Eds. Independent !.


few words in regard to what deem
the best interests of the whole peo-
pie. BY reason of having been cali
ed to represent the Corporation in
the matter of funding the debt at a
lower rate of interest, / became
thoroughly acquainted with the A.
nancial condition of the Corporation
at that time. l have taken much
interest in, and watched its manage
ment ever since. Hence, | feel com
petent to say a word to the tax pay
ers OF the Corporation in regard
thereto, on the eve of an election for
Mayor and Council.
When the present Mayor and
Council came into office, the finances
of the Corporation were ina deplora-
BILE condition. No interest on the
bonds had been paid for eighteen
months, thereby creating in that
time an Indebtedness of $4,000 from
this source alone. Besides this there
was a floating debt of several thous-
and dollars, principally held by the
banks. The Corporation had COM
pletely exhausted its credit. Suit
had been ordered by foreign bond
holders on their overdue coupons, and
the claims were in the hands of attor-
neys in the town. Bankruptcy stared
the Corporation in the face. The
condition of the finances was enough
to appal the new administration on
entering upon it's duties.s But the
Mayor and Council did not shrink
from the responsibility. They decided
upon the only seemingly practicable
and feasible plan-that OF funding
the bonded debt at lower rate of
interest-and at once set about the
work. The Mayor summoned the
bondholders to meet a committee
composed Of citizens and members of
the Council, to talk the matter over
and hear propositions. I had the
honor to attend those preliminary
meetings. 1t was a delicate matter
to handle, and the holders of the
bonds were at first 10th to remit 8 Of
the s per cent interest. A careful
and fair statement Of the financial
condition Of the Corporation was
submitted to the meeting, and the
Mayor and Treasurer Of the Corpor-
tion demonstrated in the clearest
manner the utter impossibility of the
Corporation getting out OF its diff
culties unless the holders of the
bonds would agree to the funding of
the bonded debt at per cent, and
give an extension of IL years on
the overdue coupons. They showed
that it would be better for the hold.
ers of the bonds to have a prompt
paying s per cent. bond than q non-
paying 8 per cent. They demonstra-
ted by facts and figures the embar- |
raised condidition of the Corpora. |
ton, and its utter inability to pay, |
unless some such arrangement was
had. After several meetings of the
bOndh0lders, and a vast amount of |
correspondence on the subject, the
arrangement was effected to fund
the debt at 5 per cent, with a IL |
years extension on the overdues. |
This first act of the present Mayor |
and Council saved 10 the Corpora
tion THREE THOUSAND DOL
LARS year until the bonds are re-
deemed. The arrangements were |
all made and legally entered into. /
and from that moment the credit of |
the Corporation began to look up. |
The coupon interest has been |
promptly met on the first OF January |
and July Of each year under. the |
present administrations, and one
twelfth of the overdue ceupou debt |
paid Off. Beside this th6 indeb ted- |
ness in the banks has been paid, |
amounting to several thousand dol |
lars, and all In TWO .YxARs. The |
bonds Of the Corporation, which had |
gone down until they could not be |
sold at fifty cents on the dollar, are |
now nearly par. TO accomplish this |
great work, the Corporation had to |
be run In the most economical man |
ner, and 1t was 30 run. But we have |
all the while had good government. |
The town has been kept quiet and
orderly ct the least possible ex-
pense. We have never had q better !
administration under al the circum- |
stances. This, / believe, so Ear as 1 !
can learn, is the unanimous opinion !
of all onr people. Certainly, With
..ty8a1E a93UgA {
& 8A acEs48kN
l I'M !; ! : A J Dr. Frazer