Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1885-04-10
COUNCIL CRITICIZED.
A Merchants Suggestions Regard
ing Municipal Affairs.
A Law Which Has Been Systematically
Disregarded - One Way Of
Looking at the Debt
Question.

"WeD L see Council is working slowly
along toward the point where a new loan
ordinance viii be placed before the voters Oh
the city" said a merchant yesterday.
The reporter admitted that some little
progress was being made, and the gentle
man continued:
al think the members are going to make
a mistake. and that the ordinance will be
defeated. For the life of me | don't see
why our city government can't be run on
business principles and according to law.
The members of Council don't seem to
have courage enough TO take hold of the
financial muddle in the way 1t should be
taken hold Of The whole financial policy
the CITY has been a burlesque for | don't
know how long, and for that reason our
bonded debt hi 8 been, and will continue to
be, a source Of constant trouble and ex-
pense."" a,
what is your idea of a proper poicJY
"Why, simply this: Stop endeavoring to
nav of the bonds of the city out OF current
revenues. That is the whole secret of our
trouble. The law authorizing the issuing
of bonds by incorporated cities and towns
never contemplated such a procedure. 1t
is expressly laid down in Section 8, OF
Article 10, Of the Constitution, that. No
county, city, school district, or municipal
corporation, except in cases where such
corporations have already authorized their
bonds to be issued. shall hereafter be al
lowed to become indebted, in any manner,
or for any purpose, to an amount, including
existing Indebtedness in the aggregate, ex-
ceeding FIVE per centum on the value OF the
taxable property therein, to be ascertained
by the last assessment for State and county
taxes, previous to the mourning OF such
Indebtedness; nor without, at the
some time, proriding for the collection Of
a direct annual tar sufficient to pay an
nually the interest on such debt. and the
principal thereof, within, and not exceeding
thirty.four years Now, that section has
been Systematically violated by our city
Council for the past thirteen years, and the
consequence is, that in the endeavor to
make our ordinary annual revenues pay In
terest on our bonds and maintain our sink
ing fund, in addition to running the city
government, we get stuck. We try to cover
too many eggs"
But isn't our bonded debt gradually be-
ing re~ducedY'
"Oh, yes, and at the same time we rapidly
incur a floating debt, which is, generally, a
little larger in amount than the bonds paid.
This floating debt runs along, until 1t
amounts to a hundred thousand dollars, a
hundred and fifty thousand, or even over
two hundred thousand, as at present, the
banks refuse TO pay any more city orders,
the municipal machinery, comes al
most to a stop for want OF money, and
hen a loan ordinance is asked
for. After q delay, longer or shorter as the
case may be, one is prepared, with agreat
accompanying show Of economy and reform
by Council, and it is ratified by the people.
We borrow the money, take up our orders,
and forthwith commence giving new ones
until we have the same state OF affairs
again. The people are beginning to see the
supreme foolishness Of this course, and, IN
nv opinion, no more loan ordinances will
be ratified until Council shows a proper
spirit. As it is, we are only impairing our
credit in the eyes Of our ~neighbors, and
wasting our substance in paying heavy in
terest charges"
"But would not your plan of levying a
special tax to ~extinguish bonds add to our
annual burdens"
mo, sir! But, in the first place, it is not
my plan,' but the law of the State. Now
as for its increasing taxation, | think it can
be shown that the difference in cost to the
city, between the present city order system
ard The system contemplated by the Consti-
tuition, would pay the loans within the thir-
ty.four years. The city order method an
nually robs the people Of large sum in in>
terest, discounts, and in other expenses, be-
sides giving US a bad reputation, and put.
ting us to no end of embarrassment. l
don't know what the banks have made out
of the city in the past three or four years,
but | know it is a pretty penny-far more
than what the expenses to our people of a
direct tax, running for t~hirty-four years,
would amount to in the same time"
~ 1.nnl l,- Elaotr,o Lob 4