Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1882-05-28
THE 5O-CENT ACT
Is the Result OF the Manipulation Of a
Little Gang Of Spectators Who Want
10 Fill Their Own Pockets.
But the People, as the Interviews Below
Show, are Opposed to 1t, and the
Council will Not Ratify 1t.

Council will Not Ratify 1t.
The APPEAL man continued his researches
| into the city debt question yesterday, but
| confined himself to a mere-mention system,
after he had got through with
Mr.. j. H. Goodwin,
who said, 1 can perhaps make more
| by stating very briefly some facts con-
nected with the repeal of the old city
charter and the creation of the new gov
| eminent. j viii commence with the year
| 1873, az this is the time it Is said the city
| first failed to pay the interest on her public
| debt. 1t will be remembered that during
| this year we had yellow-fever, cholera and a
sprinkle Of smallpox; besides the most dam
| aging financial panic this country has ever
/ experienced. And yet amid these scenes of
distress the records show that the citizens Of
/ Memphis paid on od u1lorem tax alone
| $685. 100, the total assessment being for this
wear 81 089, 000 about ope-twenty fifth OF the
entire taxable property. Notwithstanding
| these vast amounts assessed and collected
! the interest on the immense debt could not
| b. paid, and from this sad year dates the de-
cline in property values, loss of population,
and decrease of material prosperity-until
| 1873, when it eliminated in an epidemic
| lHdL ClNlliLcu WOTlu, dHC Drought
DIsMAY AND DEATH
| to almost every household, causing the peo-
pie 10 scatter in every direction where they
| could find shelter and safety from the plague.
During these years of adversely the cred
| itors were not idle. They were pushing their
claims into Judgments and obtaining writs
of mandamus, TO force the collection as
speedily as possible. Either from the i'm
perfection of the law, or want of proper ef-
-. 3 IL.
merchants, the small property and
those who had personal property were forced
to pay these frequent levies, while the large
real estate owners, and especially those
living outside of the corporation, would not
| pay. By this process the merchants were
compelled TO pay often two, three or more
times to settle the same debt. To illustrate
more clearly the working of this vicious sys-
| tenn | will give one single instance.
T. E. BROWN RECOVERED A JUDGMENT FOR
1864, 1855
against the city in 1873 To pay this iudg-
ment there was levied at different times
1924 304 rs, and yet in 1873 S91 900 of this
debt was unpaid and S417, 422 of the levy
uncollected. This was so manifestly unjust
and became SO alarming to merchants, pan
| ufscturers, and in fact all whose personality
conld be readily reached that they determined
| to seek relief from any quarter, knowing that
| compelled to leave the place, or have their
entire business capital consumed in paying
| these frequent levies of mandamus taxes and
| still be unable to extiDgush the debt. To
add to the discomfort of all classes of tax
! payers il ascertained that population
/ 10 1870 OF $4,000 was reduced to 80, 000, that
! the taxable values of the city had shrunk
FROM $50, 600 IN 1866, TO $4,000 900.
Under these circumstances and many others
| equally Encouraging, which would require
| volume to recount and which / have
neither time nor space to give in this con-
nection, influenced by these grave embar-
easements the citizens determined to ask the
| Legislature to abolish the charter of Mem
phis and resolve its population back TO the
body of the State, which was done in Janu-
uary, 1879. After repeating the charter and
creating other governing agencies for the
people embraced in the old city limits,
| Joint resolution was passed by both houses
for the appointment of a commission of five
| persons, whose duty it should be to look into
] the condition OF the old city ndebtedness,
confer with the creditors and report to the
next General Assembly what ought to be
done with said Indebtedness. What 1 wish
10 show is that the conditions we're extraor-
binary under which
THE CHARTER WAS REPEALED;
that the merchants were the prime movers in
| Tue lOE tue -cdfOun 81 ven dpONtJ
that the business and commerce of the city
was in very great danger of being totally
destroyed. The efforts of the merchants
were heartily seconded by, think, at least
nipe-tenths Of the best citizens. Now, if it
had been the purpose or desire to repUdiate
/ this debt by this legislation it would only
have been necessary TO let it alone. II i1as
very dead. But not 50; the plan was to settle
the debt as early as it could be dope consist
ent with the pressing needs of the city, and
| hence the Legislature was asked to provide
this commission to take the initiatory steps
| looking to that end. At the last regular
session Of the Legislature this commission
reported. and after long discussion and care
fui consideration the Legislature created
THE LIoUIDATING BOARD,
and clothed it with power to settle this debt
on basis of thirty three and one-third cents
On the dollar This legislation was pro-
cured by the taxpayers for the sole benefit of
| the creditors. How could any sane man
| think this would have been done if repudia-
ton was sought by the repeal OF the charter.
| But some have said the courts would create
machinery by which the debt could be col
lected. We will hear the boHdholder on
that subject. quote from printed pamph-
let, styled the creditors petition to the Legis-
lature for relief, and signed by William NJ.
| Randolph, Myers q Sneed and other attor-
neys Hear them; "The constitutionality
| of the act repeating the charter Of
THE CITY OF MEMPHIS,
as we'll as the oonstitutionalIty of the act
creating the Taxing District governments,
has been sustained by the Supreme Court of
the State, and the Supreme Court of the
United States has decided that the only way
in which the money with which to pay the
debts Of the city of Memphis can be COL
lected "a through the power of taxation, and
that the power Of taxation for the purpose of
collecting the same can be exercised only
under the authority of the General Assem-
bly,, there is no doubt but what these gen.
tlemen told the truth in this instance As
evidence Of it their nimble lobbyists camped
at Nashville during regular or extra sessions,
and while they have, I think, succeeded in
inducing the Legislature to commit a very
silly error by interfering with the settle
ment eight months before it expired by linz
itation and before they could possibly know
whether 1t would be accepted or not, my
opinion is that
IF THIS SETTLEMENT BILL
as passed at the regular session, had not
been interfered with at the called session. a |
large amount il not all the debt would have
been funded before the LIST of December
rext, the time fixed for the law to become
imperative by limitation. The LiquidatiDg
Board has had the opposition of little gang
OF spectators, whose hope has been if they
could defeat this thirty. -a-third set
Element or delay 1t, they might lobby the
Legislature to such an extent they would OBJ
tain something better, and thereby make
handsome turn and fill their own pocket |
Well, admit that these gentlemen have
perfect right to speculate even on the misfor- |
tunes OF the community, but l regret exceed |
ingly that they have the disposition to do so |
under present circumstances, because ! am |
anxious to refund this debt, and am willing |