St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1890-03-16
Sound to the Core Is the Con-
dition Of the City in a FL
naneial Way.
Its Bonds More Marketable
Each Year at Lower In
tereSt Rates.
A Stability That the Business
Interests Will See Per-
petuated.

eminent of st. Paul, and to the eXcep-
tionally fine record made by the success
Siye Democratic administrations. The
city and county have been Democratic
from their inception, and it is with no
small degree of pride that st. Paul may
refer to the fact that its government is q
model far and wide. Never in its his
tory has an official been found derelict
to his public duty: not one single act of
misconduct or malfeaSance in Office may
be charged to Democratic official: rot
cent of the public money has ever been
miSappr0priated. and never has the
stigma of dishonesty attached to Dem
ocrat placed in Office by the voters of St.
Paul. Methods may be criticised, but
results count. And the Democracy, in
seeking to renew its long lease Of con-
troll of the public machinery of st. Paul,
confidently refers to the record it has
made as utterly unassaila BILE.
The financial conduct of the city is a
subject of the warmest commentator.
st. Paul bonds have history of their
own that carries with it the applause
and approval of all good citizens. AS
gilt-edge security there is none better
known to the market. Twenty years
ago st. Paul issued bonds bearing per
cent interest, and was glad to float them
on the market at discount of 20 per
cent. To-day city bonds bearing but
per cent sell at a premium of SO per
cent. This is an absolute and clean cut
premium of that amount, without cost or
commission. The bonds are delivered
in st. Paul at that price, upon opening
the bids, without the cost of carrying
to market in an Eastern city. The
value of the bonds is but
an index of the credit they
represent and the credit of st. Paul is
but the exponent of the administration.
Its financial management has inyaria-
bly, been of such good repute that capt.
talists ana investment companies Of the
East compete for the possession of its
bonds. In fact, it is probable that the
next large issue will bear still lower
rate of interest, and that ST Paul bonds
at SO per cent will still command
premium in the money market. The
Democracy pledges itself to maintain
the present solid credit Of the city by
the continuance of a policy that guards
the finances and protects the sacred
honor of ST. Paul.
The total bonded debt of ST. Paul at
this time is $7,016,090, upon an assessed
aluatiOn-eStimated at so per cent of
the actual value-of S120,0O0,000. OF
this amount, $2,360,000 represents the
purchase. charging and extension of
the water works owned by the city,
leaving the issue for general city pur-
poses S4,G56, 900, or considerably below 5
per cent of the assessed valuation. The
water works, with its valuable land and
franchises, is all asset that at the mini
mum estimate would pay the entire city
debt, besides being self-sustaining. 1t
is perfectly proper to deduct the water
bonds from the total OF the general city
issue, as there is no tax levied for their
interest and they are paid with inter
est out Of a sinking fund created from
the water revenues, The total lbstan-
tial assets of the city are conserVa-
lively estimated at S10,000,000.
The bonded debt is no distress what
ever upon the people, as 1t requires but
two mills OH each dollar of the assessed
valuation-being about 80 per cent of
the actual cash yalue-to pay the annual
interest, as shown in the present tax
levy, now in process of collection. In
fact, it is doubtful if there is city in
the Union of the size and Importance Of
st. Paul where the general tax is as
low. We pay but IS mills on the as
Sessed valuation. fOrall purposes, state
county, city and school, and this too
upon rate of assessment lower than
generally obtains. Theinancial stand
ing Of st. Paul advanced so rapidly dur
ing the year 1889, from Jan. to May l,
making difference of over per cent
premium on each dollar, for a AZ per
cent bond, running thirty years, that
the city was compelled to reduce the rate
to per cent, and even at that figure
realizes premium of SO per cent.
This is the financial record of st. Paul.
This is the direct result of the thor
oughnesS and efficiency of the fnan-
cial branch of the present administra-
ton, displayed in the appreciation of
city securities. in the firmness with
which the city's commercial standing is
maintained, and in the sterling credit
st. Paul enjoys in every money center
of the world. This record is a part of
the Democratic history of st. Paul and
belongs to the successive Democratic
administrations for the past twenty
years. What business man, with every
investment in st. Paul and every inter-
est bound up III st. Paul, would care to
chance the hazard of a change?