The News-Herald. [volume] (Hillsboro, Highland Co., Ohio) 1886-1973, 1893-08-24
CITY COUNCIL.
The Members Conclude to Drive
Straight Ahead and Keep In the
Middle of the Road.

All the members of Council we're pres.
ent Monday evening except Pence.
Mr. Mcclure was selected as Secretary
in the absence of Clerk Ayres.
The reading of the journal was dis.
pensed with and the Mayor announc ed
that the only business to be conside red
was that pertaining to the water works.
He further informed Council that he
had had a talk by telephone with Gin
cinnati broker, who was anxious to
meet the Mayor and other representa-
tives of the Council in Cincinnati We'd
nesday in connection with the bond
question. He said he would GO, and
asked if the Council desired to send the
Solicitor and assistant counsel. Mr..
Morrow, as assistant counsel, thought
his presence would not be essential.
Mr.. Hire could not see the necessity
of haste in sending any one as the bonds
could not be sold before October. Mr..
Davis didn't know what the broker
wanted, but it was probably such infor.
nation as would decide him in his pur-
pose to buy and it might be impol tant
! for him to know at once in order to
make preliminary arrangements. He
believed it would do no harm and might
do good to meet the broker as requested.
The Council instructed the Mayor and
City Solicitor to meet the broker, We'd
nesiay, in Cincinnati
Mr.. Hire said that in behalf of num-
OF large taxpayers he suggested the pro-
priety of issuing the water works
bonds in such way as to pay off one
bond each year until all were paid.
Thus he claimed the interest bearing
debt would be annually decreased and
the levy could be made smaller every
year. He claimed also that the ultimate
expense would be much less, while the
cumbersome and dangerous trouble of
large sinking fund would be avoided
He claimed that even should the sink
ing fund be loaned at 6 per cent. there
would be no advantage in it over his
plan, while its handling would be atten.
ed with much responsibility and possible
loss. "
Prof. E. q. Smith favored the original
plan of long time bonds. He felt sure
the money could easily be loaned at 4
per cent. On that basis he had made.
out schedule by which the highest
levy any year on Sl,900,000 duplicate
would be 80 mills and the lowest little
less than 2mills, the average being about
% mills. He claimed that the plan
suggested by Mr.. Hire would require Il
steady levy OF 30 mills.
Judge Gardner was given the privilege
of the floor and made a very forcible
speech in favor of the plan of paying
the water works debt by annual bonds
By means of schedule he had prepared
he showed that this could be done with
a levy OF 29 mills. One tenth of mil
only meant ten cents ON a thousand
dollars and was such an inconsiderable
Y burden that no one would feel it. He
said that after the water works were sue
Il cessfully established there would come
e demand for sewerage. Also, the city
e would probably decide to own its owr
r light plant, all of which would call afo
further bonded Indebtedness. Their,
e was danger of overburdening the cit,
n with taxation and thus killing it. In
It dustrial enterprises would not seek sucl
/. a city. He was therefore opposed t,
y long bonds.
d Prof. Smith suggested that it woulC
If take thirty years to pay out by the an
|, nual bond plan and that the levy wa
n several mills higher than by the lon
?. bond system. He thought the new i'm
provements indicated would be NOR
retarded by the system the Judge advo
Gated.
. Judge Gardner responded that tn
II long bond system levy was based upo
: calculation that there would be cor
4 tinual income OF 6 per cent. from tn
- sinking fund, and there would be no e,
: pense attached to its management c
>, loss by any of it's loans. These thing
he had little hopes of as they were COZ
- trary to the history of municipal sinkin
=, funds. There was no assurance ths
" this fund would not fall into corrupt {
incompetent management, His expe
= fence had shown that very seldom,
y ever, are such funds controlled 10 tn
- best advantage.
. tt..D,, Il 80
= isting ordinance on the subject and tn,
- the Solicitor be instructed to draw on
up providing for a system OF bonds pa,
" able annually.
The vote on this motion showed a
present voting in the negative, excel
n. Mr.. Hire.
N Council then adjourned until ne,