Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-11-21
THE BOND ELECTION.
Mayor Gourley and the Controller
Draw Up an Address to Voters.
OVER HALF A MILLION NEEDED
Chances Of Escape Through the Curative
Act Are Outlined.
NO TIME TO RAISE THE FIRST PAYMENT

Mayor Gourley and Controller Morrow
Yesterday issued an address to the voters of
Pittsburg on the proposed 100000 bond
issue. In it they explain how the debt was
incurred for street improvements, and
could not be collected owing to the late de-
mise of the street act of 1887. They set
forth that the curative act will, in all proba-
bility, provide for the payment of the
bonds should they be issued, but as de-
cision cannot be had in time to raise the
100000 due in 1892 it will have to be
raised by direct tax levy unless the bonds
are issued. The address is as follows:
GENTLEMEN-Under the authority of the
Constitution and laws Of the State, the Coun-
ellis of the city of Pittsburg have designated
Tuesday, December 8, for an election to de-
eide whether or not there shall be an ad-
ditional issue of the bonds of the city to the
amount of 81, 0o0 600 with which to pay an in
debtedness incurred in public improvements
authorized under the acts of Assembly of
1887 and 1889, known as the "Street Laws"
By joint resolution of Councils the under
signed were requested to issue formal ad-
dress to the qualified electors Of the city,
presenting such Information as it may be
possible to give upon the subject to be SUBJ
mitted to your vote.
How the Necessity Arose.
You are aware that very extensive i'm
provements were undertaken and largely
completed under the "street Laws" to which
reference has been made. After very much
of the work had been done, and large sums
of money paid by the owners of property
benefited in the various wards OF the oity,
the Supreme Court of the State decided the
acts etffuffnD a and void
"The SYSTEM" said the Court provided
by the said acts must fall as whole. The
way will thus be clear for the enactment Of
a street law for cities OF the second class.
by the acts of 1887 and 1889, 1t is hardly
necessary to say that its authority cannot
survive for any purpose: All the prelim-
nary reports made by 1t fall, and no i'm
provements can be ordered under them. All
the assessments of damages and benefits
fall, and all the uncollected liens entered
upon these assessments go with the assess
ments; all the work done or to be done upon
these improvements, as the law now stands,
must be paid for by the city. All the dam
ages inflicted upon lot holders must be re-
covered from the city"
Such in brief is the decision of the Supreme
Court. By it all the unpaid assessments
aggregating s., 100000, for the Improvement
of streets and the construction Of sewers
under the street laws of 1887 and 1889 are
thrown upon the city, thus relieving those
directly benefited of the expense of said i'm
provements.
The claims of the contractors have. there
fore, become an obligation upon the city, a
debt from the payment Of which there is no
legal escape.
Under the contract between the city and
the contractor, the cost of each individual
Improvement becomes due and payable two
years after the completion of the work. By
an examination of the statement Of unpaid
assessments accompanying the Mayors
proclamation. now being published once a
aSea eSe osa If ab 81 T Rd tRa R
be due and must be provided tor in 1892.
The totalbalance of 81, ,4OO, 900 will mature in
1898.
Must Raise 5000, 900 at Once.
How shall these obligations be metz Omit
ting for the present the consideration Of the
remedial or curative legislation to which
reference will be made hereafter in this ad-
dress, there are but two answers to this ques-
ton: They must be provided for by direct
taxation or by the issue of bonds. There is
This is question for you to determine by
your votes at the election to be held on Tues
day, Decembers 8.
If the s6OO, 900 maturing in 1892 and the ST.
400, 600 payable in 1898 are to be paid by direct
taxation, it simply means such an increase
in the tax levy of those two years as will be-
come a grievous burden on the property
holders of this city. If the debt is spread
v
of bonds, it will be gradually extinguished,
and the burden will be less keenly felt by
those who pay the taxes.
Cannot the cost of all these Improvements
be collected from the owners of the prop
erty benefited, under the curative acts OBJ
tanned from the last Legislature? This is
question repeatedly asked. In answer, it
may be said that imme mediately on the enact
ment of these remedial laws the city pre-
sented petitions and procured the appoint
ment of viewers to make new assessments
covering all work commenced and not fully
paid for;under the street laws of 1887 and 1889
The view ers have completed their work on
all the various streets, and their reports are
about ready for presentation in our local
courts. 1t is believed that within a period OF
three months the question of the constitu-
tionality of these remedial acts will be
finally decided by the Supreme Court.
Should the acts be sustained, there is no
reason why the entire cost of the improve
ments should not be recovered from the
owners of the property benefited.
One Loophole of Escape.
The ordinance of the city requires that all
collected upon these improvements
shall be paid into the city treasury and kept
sacred for the redemption of the bonds in
case you should authorize their issue. 1t
will be seen, therefore, that the money col
ected under these curative laws can be used
for no other purpose than the redemption of
the bonds issued to meet the liabilities re-
ferred to in this address.
Should the curative legislation prove con-
there will be- in all probability,
no necessity for the issue of any bonds to
meet the obligation of 81 400, 900 payable in
1898. This legislation will be passed upon by
The Supreme Court in January or February,
1892, thus affording a full year in which to
provide for the payment Of this debt by col
ections from the owners of property bene-
flied by the Improvements.
1t is not likely, however, that collections
could be made in time to meet the payment
Of the $4,000 maturing in 1892. If this be
true then this obligation will have to be
provided for by direct taxation, or, should
your authority be given, by. the issue of
bonds. Even with your permission no bonds
,an be issued without an ordinance of Coun-
,lls. which must be approved by the Mayor,
in specific terms for their issue |
Ind limiting their use to the express pur-
pose designated in this address.
These bonds, if issued, must be signed by |
he Mayor and the Controller, and it may
De proper to state just here that these Of
he issue shall be limited to the absolute re-
luirements of the case and confined entirely
% the obligations under consideration.
No Increase of Corporate Indebtedness.
In voting for the issue of these bonds you
ire not increasing the corporate indebted
less 81, because the full amount Of the debt |
s fixed under the contracts, and the con-
racts are binding against the city. tbs not
Is though you were asked to authorize a
arge increase of debt for the purpose of
,ntering upon new improvements. The debt
tgainst you is already fixed and must be |
paid. How shall it be paid? This is ques-
ion to be answered by you at the coming |
election. 1t is not a political question. 1t |
8 q purely business. matter which touches |
The pocket Of every taxpayer in the city. |
should you authorize the issue of the bonds, |
The city is prepared for the emergency. |
means novelty in this State. 1t has |
,een held good and valid in many cases EN- |
,racing many different subjects. 1t is conf |
lently believed by those who have given |
;he matter the most careful study that this |