St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1888-04-02
THE PUBLIC DEBT.
1t is Offset Easily by the Large
Assets of the City.


Assets of the City.
The public debt of the city is S5,225,-
900. The assets of the city are estimated
without imitation at over SS,0OO,000.
This SS,OOO,OOO worth of city property
is ample security for the city's liabili-
ties, and represents what has been ac-
complished in providing the facilities
and governmental machinery Of the adj
miniStratiOn.
Behind the city'S assets is private
property of an assessed valuation, at
present, of about S140,OOO,OOO. But how
does the capitalist look at the debit
He puts this debt, s., 225, 900, down on
paper From it he deductS about 81 $780,
600 water bonds, already issued, be-
cause that is easily offset by the prop
erty of the water works department,
and it is said upon good authority that
were the water department to be turned
over to-day to private corporation, the
proceeds of the sale would more than
Liquidate the City Debt.
Therefore, these SO-called liabilities
actually represent big assets. The trial
balance of the water board on Deem
Der was 1881, 04S.4S, estimating the
value of the plant at only $4,000, the
tracts 100000, the Como park bonds,
for the 260 acres out there at the lake
are easily worth that sum. He SUBJ
tracts another item of 100000 or so, to
offset the fire department and other
property, estimated to be worth about
100000, and so on, item by item, until
there isn't any real debt left!
And the other items of bonds that
may not represent available assets, for
instance the S525,000 given as bonuses
to railroads, how do they effect the
city's credit?
This is easily explained. The bonuses
given to the railroads have induced
those great highways to enter the city
and some to make their terminal points
here. This enhances the value of all
tax paying property. If something over
100000 worth of bonds have been
issued for sewerage expenses, it has
Enhanced the Value
of property owned by every taxpayer
in the city, for this is public good and
it must benefit all, if not directly. then
indirectly. The bonds issued for the
bridges1 across the riEAr, for street
bridges have enhanced the value of
property in their identities directly, and
everywhere else indirectly, more or
less. The big items stand out grandly
to the credit of the city government
the Robert street bridge and the up
town bridge. No one will deny that
the small debt incurred for the
carrying out of these improvements is a
mere bagatelIe compared with common
benefit enjoyed by the city at large and
the special benefit conferred upon the
Sixth, Fourth, Fifth and Third wards.
The rapid building upof West st. Paul,
and phenomenal evolving of Sonth st.
Paul and the stock yards, out of mere
farm acreage, has been due largely to
the building of the Robert street bridge,
and surely the business center in the
city has enjoyed corresponding bene-
fit; so much so, indeed, that concern
recently purchased piece of property
at over 81, 400 per front foot, where, &C
cording to its own figures year or two
ago, it could have been able to secure it
at 5000 per front foot. And this is the
kind of property which bears the heavy
burden of taxation-the rich and valu-
able property.