The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-05-19
BONDS ARE ILLEGAL.
Decision in the Superior Court
on the Tacoma Case.
PETER srANuP DROWNED.


TACOMA, May ix--lsceciA. I-Lisy bonds
20 the exten. Of $2.I0.co. ordered issued
by majority 81 Of. for tie purchase Of
she Tacoms Light and Water Compeny's
water and electric plant. we're today adj
tadeed illegal by Judge Parker. Of the ssi-
perior court The matter viii be appealed
30 the supreme Court. ~ IL voaid have
been even II the bonds had been declared
legal by the lower court An effort viii
be made to get the casa before the SUI
rreme court tomorrow, or st the earliest
moment thereafter that the court can con-
slider IL.
The case came up on demurrer 10 the
answer OF defendant. The court sustained
the demurrer and rendered q iudgmenten-
joining the Issue or sale of the bonds
Gaiusha Parsons, attorney for the Light
and Water Company. did not appear In
the ease here. but he viii make the leading
argument for the waite. company before
the supreme court Other attorneys may
ride into court on the friendly suit begun
By Seymour. Barto 4 o., bond brokers
here, and make arguments setting forth
the iilagality Of the proposed bond issue.
Judge Parker was called upon 70 decide
two leading questions. Wig:
Was the parohsse contemplated "a b made on
basis Of The esty's sssessed valuation for ls2
Or is9z.
Were the notices OF election pub,ished accord.
Ing - law
There were other side issues. bat the
harden of argument was confined 10 these
two points. In general way the law says
the city shall not incur debt in excess OF
per cent. OF ifs assessed valuation. &C.
eosd;ng to the assessment next preceding
the election, for artificial light. water and
sewers. Daring the water campaign the
fosr-IxrxIsIaExcg R called attention TO the
prospect OF fhe assessed valuation OF the
city falling OF some hat in 1893, and
showed II that were tbs case the price
asked for the water and electric light
plants, namely. sz.i5oWo. could not be
legally paid. At tha. time il was set forth
by those interested in the sale that the
purchase would be made upon basis OF
the assessment Of lsse. which WAS $43,-
GA. LAT. Financially tho facts Get forth are:
City's assessment for ls1a 1850. ~. COS. $50 ~
Five per cent. Of valuation, 1903. 2,oso.tos 50
Total OF proposes indsbssdnsss 1,is1,0po %
rive pr cent oi ssssssmsni. iso1. 2.iss.7o7 %
These facts. - regards the finances for
1877. were Get forth In tabulated form in
the Posv-IsTKfliagxcxR on March q,
when II was shown, - many citizens have
since learned, that II the water and cleo
trio light plants were purchased Ut the
price asked there would remain for sewers
the sum Of -, 707. being the difference be-
tween the debt proposed and the s per
cent. limit for last year. and with every
prospect Of falling of in the assessment,
owing 10 . general shrinkags in values
throughout the country.
City Attorney Murray argued that tho
assessment for this year was not complete
and that the city had not been officially
notified that the total assessment was ~
stated BY the plaintif.
The court answered that it had been set
forth by the plaintiff that that was the
amount. and Mr.. Murray. representing
the city, had not attempted to deny It,
Further, the court held that because the
city controller may have neglected to add
up tho totals that was no valid reason Why
the operations OF state law should be
abrogated. II this point were admitted
then city officer could obstruct the oper-
ations Of any law thus limited and coming
within his jurisdiction. In fact tho court
held that tho assessment was fixed when
the hoard Of equalization adjourned, which
IL did March q. Two days later tho city
tho controller. And the election. mt
which the city council was authorized To
go ahead and issue the bonds. was not held
until April II. The court accordingly held
that the basis Of the Indebtedness pro-
posed was the assessment FOR the year isas
Had IL been necessary for ruling on the
point the court would have held that tho
assessment was complete when the assess
ors had completed their work in February.
As IL was. the point king the basis OF in
deh,edness was settled when the court
held that the assessment for this year was
legally finished when the board of euuali-
sation adjourned. The assessment for 1888
being less than the amount necessary To
cover the proposed expenditure the plain
TIL argued that the bonds were illegal and
the coar, 50 held.
As 60 publication. the plaintiff argued
that the thirty days notice in the official
city paper had expired one day previous
TO tho election. while the Law calls for
thirty days consecutive publication next
preceding the election. Again, is vas
held that the thirty days pubic notice
called for by the ordinance under which
:he election was held Was not compsied
With. such notioe being given only twenty
Elk days.
The city replied that such public notice
Was not called for by law. aud therefore
MAS not necessary. rs the city might or
might not abide by its own ordinance, 81
long as IL carried out the state law The
LAW requires thirty days publication In
the official newspaper. however. fer thirty
consecutive days next preceding the eiec-
tioa.
Galusha Parsons is expected 10 mako
strong argument in favor of the entire ie-
gsi,y 81 the bonds before the supreme
court. and II ia also expected he will adj
vance some new and cogent points,
especially rs regards the assessment under
which the Indebtedness ia 30 be Incurred
Mr.. bus! will appear Cox Seymour. Batso
& Go.
WRECK OF ruE 9EtrIAi~ LOOTED
Capt. nenaesay Receivers rtander From
kanch~r strsus.
AssreRFmS. May !s-~lSpecial Yester-
day morning Cant. A. T. iEennessy. Of ,hs
wrecked steamer j. c. Hriitsia. and :. y.
Ahsrnaihy, aren, Of the sua lnsurance