The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1880-02-11
NeueaeSfcrss Debt.

HbbIlNG OF VIE BOADBcLDERS YRS1ERDAY~-
sTATENEnT or THE CONDITION OF tai
CITY BY Mr.. 1ERDUg-TBs wATER-PowgR-
NO ACTION TsSES-A PROPOSITION pRor
THE COUNCIL cc~AITrEE, &C.
A conference ot the CREDITORS OF the CIV
or Manchester was seld yesterday Afternoon,
at the Merchants ant Mechanics Insurance
CompaEy's office in tsis city. Ir. Herbert
A. Claiborne, Of Riehmond, ws ealIed to
the chair, and Mr.. j. n. Pattesoa ,.oi Man.
chester, elected secretssy. The amoant OF
bonds represented was asout $685. .0sb.
Mr.. PerduF, on behalf Of the meri5ers Of
the Manchester Council COMMITTEES. said
that as Pie conference was- called by- tsem
the boDdtoders would naturally e.rvcct
the Mancbe TteF committee 20 make a rtste.
ment. Mr.. Perdne then said sast owing 9 the
| financial embarrassment wh.efs has recently
come upon Manchester she is unable to msst
all Of ber oblleaeions. he .9phesitatingty
said that Manchester acknov sedged owir .
| the heavy Gsbt which resfs- upon her
but said that ig was pnnecessary for him to
go into details is 10 how % Is owed.
In order to pay tne'debt it was resessary to
increase taXatio1.- On account of this in
crease Of taXatioa the water -powcr has been
lying dormant b,culisc capitalist 4 will not
invest where the taxes are so Igh. He
stated, however, t.Iat the lessesss on the
water-lne do noe pay city ta.-es. The
me mbers OF the City OoWDcil OF Matehester
have done everythiU,in their power. They
have consciousnesaosi having done III they
could Tor the bOndhoiders, and it is indeed
bumifiating to him to state the fnanc;sl con-
dition OF his city. Nh Perdue next read
the resolution adopted BY the CITY c 'ancl
OF Manchester at meeting beld November
I, 1879, when a cOnferen Ce OF the bono Sold
ers was determined upons
He also said that the Manchester commit
tee do not want to make propositics to
the city's creditors, but W W leave the :-sat-
ter with the bondbOlders. tn answer to a
question Mr.. Perdue said snt the eXces;5of
liabilities at the present race OF taxation iis
So, 900 per year. II Manchester could set
temporary relief from her pyesent financial
condition she would eventually be able to
pay her entire debt. The scntimcnt OF tie
people fav0rs the paying offthe debt. az
that the Readjustcrs there were remarkably
fair. IL the floating debt could be wipe.s
out be thought it would place the city all
right again. The creditors Insisting uDor
q proposition from the Manchester commit
tee the following was presented:
FEBRUARY 10, 1880.
III - DlOtOStu ny lut Iil1 tndb tuC iOhH
known as the ",Jacquelin Taylor loan," OF
$50 600, be left as at present; that the re-
mainder OF the bonded debt, amounting TO
5000 700, be taken in bv the city and new
bonds issued in substitution therefor, said
new bonds to retain in the matter OF mort
gage the same security as those surrendered.
Said new bonds TO be dated July 1, 1880,
and to run thrty-fOur years, and to be re-
10 Ia oft ho ay niratinp ~ ton
at the pleasure OF the city. Interest upon
said new bonds to be at the rate Of 4per cent.
per annum for the first ten years. and per
cent. per annum thereafter. All interest
unpaid to 1st July, 1880, and all interest ac-
crung to 1st July, 1888, to be funded into
like bonds as the foregoing stated, instead
Of being paid.
The floating debt it is proposed to pay,
and for this purpose it is asked that the
holders OF bonds fund their aceruing in
terest for the stated period of three
wears, it being estimated that under this
arrangement it will require that length OF
time to pay said floating debt. Ths-it il
asked TO be done for the reason that for'the
floatng debt OF the city It's bonds are
pledged as collateral, and il some satlsfac-
tory arrangement towards its payment be
not effected it may result in the hypothe-
Gated bonds being sacrificed TO the preln-
ace or Dotn the city and its creditors gem
orally.
Should the foregoing stated arrangement
he consented to on the part OF the bond
holders OF the city, it shall be with the un-
derstanding and agreement on the part oil
the holders OF the floating debt that they
agree to renew the loans as they become
due, as may be necessary. until their Dnal
payment, charging on such renewed loans
per cent. per ansllm. II is to be further
agreed on the pant OF the holders OF the
floating debt that they shall surrender Ia
the city upon every payment on account Of
said debt an amount OF the collateral held
in proportion TO the payment made
The foregoing stated arrangement OF TN
debt OF the city is, in the opinion OF th(
committee, the best that can be offered by
the city, it being the most that can be paIo
under a rate OF taxation that will give toth(
city any chance for future growth and III
proyement.
Very respectfully submitted.
j. II. PATTES0N,
J. Il. PERDUE,
II. b. SINS,
A. FsYALL,
B. W. NUNNALIY,
CommAtee.