The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1893-08-05
NEW CITY HALL PROJECT.
The Finance Commissions
ers Forced to Abandon
1t For the Present.
COULDN'T SELL THE BONDS.
Needless Expense of Continuing th
City Hall Commission-A
Financier's Views.

It has been definitely decided by the
Board of Finance that no further action
in connection with the new City Hall.
will be taken until on or after December
Is. This will be news of decidedly dis
couraging nature to those contractors
who have bids for the erection of the eW
building now in the hands of the City
Hall Commissioners aud also to residents
surrounding the site VINO now characterize
it, and justly, an eyesore and something
Bordering on nuisance. The abandon
WAS an actual necessity. But
now many serious questions are
arising. Some of them are of this nature,
Is it necessary for the Commissioners to
draw salaries while rendering no services
tosthe city in return Is it not possible that
owners of property on the northern end
of the site will sue the city for damages
in being deprived of rentals for a term OF
more than one year? Aud ts it not pos
siDle that by the time the city is ready to
erect the building that contractors Will ba
unwilling to perform the work at prices
now named in their bids? These ques-
tious were fully considered by the
spoken of above was decided upon.
THE REAL CAUSE OF THE DELAY.
One of the Finance Commissioners,
who, by the way. is democrat and q
good one, said:-"I5 is an easy matter to
issue bonds The old Board of Finance
issued plenty of them, but their rademp-i 7
tion was to all appearances a secondary.
consideration. 1t is a fact well known
that the reduction of the tax rate in this
city has become political issue. much to
the dlscredit of both parties. This year ]
the rate was lowered, but l can assure /
every one that although it is lower this
year, it will take bas few years when |
up it will go, and no power will stop it.
In the first place the county is demand
ing from the city each year an
enormous sum of money. The
city is compelled to pay it.
Then follows tie current expenses of
the city, which, of a necessity. increase
each year. If any big improvements are
made, bonds are issued. That is all right.
but where is it going to end? Those
bonds draw interest. If they are not re-
deemed, the interest account increases.
and so it is going until plainly see thal
fearful day of reckoning is approaching.
It is all right to keep down the approDria-
tions of the city boards and thereby keep
down the tax rate. but when this Is done
things go to rack and rnin. Once let the
cltY's credit be attacked, and there Will
be crash that will surprise people. The
banking Institutions OF this city have
been liberal 10 a remarkable degree to the
city, but now bonds are not being grabbed
but peddled.
The City Hall project this year has
had to be abandoned. The reason for 1t
but few know. The trush is that the
bonds could not be disposed OF. The
local banks didn't want them. and owing
TO the scarcity of money New York IN
yestors don't want them. There was
scheme proposed to pay the contractors
, with bonds at par. When the matter
| was before the Board OF Finance / fought
| against it for the reason that such move
would beyond all doubs tn my mind de-
| stroy the city's credit"
1T what way?" asked.
"Well if the bonds were given to prop.
| erty owners for their property in the first
| place, it would be all right. Those peo-
| pie would hold them. Pay the contrac-
| tors with bonds at par and they would
| build until they needed money. Then
| they would sell them. and il they could
not dispose of them at par. they would
| let them go any where's from 500 to S15.
aud then where would our credit be
| Does anyone imagine that banks will pay
| par for bonds when they are on the mar
| ket at S75? All of these things have to
| be considered. or else there will be
| trouble ahead for somebody.
MUST GALL HALT.
"Pu bile improvements ara all well
! epoug h. but unless Il halt is made soon,
| our city will be showed to the wall. The
| City Hall Commission has done good
| work, out for my part | would rather see
| it abolished until operations are again
begun. 1t is a useless drain upon the
| city's treasury. l prefer saving money
| in such a manuer, to reducing the salary
| of our CITY Collector, who is a heavily
bonded official, and earns every cent of
the $1,000 year paid him. This City
| Hall Commission is on smooth
water. bat it is my opinion thaE
| it is going to involve the city In a NUM-
! Der of law suits. Property owners will
| sue for damages. 1 imagine, and Inspec-
tor Tallman will sue for his. pay, which,
| l understand will be $1,000. next Mon-
| day. As whole, that Commission is
a luxury that but few of tbs taxpayers
! are aware exists"
81 am for reform, hrst. last and all tbs
| time. and those otiIclal ara gnod ones To