The weekly miner. [volume] (Butte, Mont.) 1878-1881, 1881-10-04
MUNICIPAL DEBTS

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The question Of municipal debt and finance
IL one upon which the mass Of the people
cannot be too fully informed. At the Social
Silence Association recently held At Saratog q
q paper was read In which 1t was stated that
the writ Of mandamus Is Of no practicable
use Is . means Of compelling q city to pay a
debt where the annual burden is 30 great as
to trench upon the bread and butter Of the
people. This IL . statement that must be
sorrowfully admitted to be true. No people
will tar themselves upon any abstract senti-
menss Of public honor, to the extent Of de-
populasing their region, checking immigra'
ton or distressing themselves. Bradstreet's,
one Of the highest and best recognized ALL
thorities on financial matters, comments up
on this matter - follows: "The country has
In some dagree learned the wisdom Of exper-
fence, and Il Is seen that . community, as
we'll IA an individual, can be burdened with
debts beyond ability to pay. 1t is, in fact,
illogical to Expect the taxpayers Of . city TO
stand up under crushin, burdens while soci-
ETY. has evolved bankrupt laws to forgive the
debts Of individuals. Properly understood,
this does not flavor in the least of repudia-
ton. Instead, 1t argues in favor of warding
OF all danger OF reputation and its democrat
iziae influences by keeping debts at the MIN
imum." This is no doub. true; but where
the injunction Of keeping debts at a mini
mum has been violated and municipalities
have become hopelessly bankrupt, it does
seem that there should be some method Of
municipal bankruptcy.
The experience of the past few years has
taught many of the cities and counties In
various parts Of the country that 1t is possible
to become % hopelessly in debt that the edu-
cation Of the masses, the repair Of highways
and bridges, the administration Of justice,
and the proper discharge of the legitimate
functions Of government, are impaired
through an effort to pay interest and consti-
tute . sinking fund for local debt. 1t is an
evil to which the energies Of statesmen have
been directed for its correction. In the early
days of tho republic, and in the experiment
OF launching Al untried form OF government,
the attention Of the earlier statesmen was
directed more TO the consideration Of ques-
tions Of representation and civil rights than
finance. Although the debt-incurriug pro-
pensities Of humanity were not then rigor-
ously guarded, the spectacle of g~rievous
municipal debt was not witnessed anywhere
until within a few years. The plausible sug-
gestion that public improvements were for
the benefit of succeeding generations as we'll,
who ought in justice to bear a just share Of
their cost, has been the origin Of all local
debt. 1t has been delusive and fatal In every
instance. The court houses and jails that
serve the purposes Of this generation are not
suited to the next. Every age has its Owl
wants to supply and its obligations to dis
charge, and there has now been set up in
many places . constitutional inhibition
against the creation OF municipal debt. And,
as singular as 1t may seem, The localities
where such Inhibition exist seem to be get
ting along better than they did under the cd
credit system. The pay-a ;you-go system in
public business 10 vastly more important to
local governments than it Is to individuals;
and the mon charged with the administra-
ton Of affairs in our midst, although not
hedged about with restraints, cannot do bet-
ter than 70 heed the lessons Of experience
gained frsm others.