Arizona republican. [volume] (Phoenix, Ariz.) 1890-1930, 1894-05-16
WE'RE In LUCK.
An Extended Provision
of the Funding Act.
ArizOna's Floating In
debtednesS Until 1896
To Be Covered by the Extension
Which Has Been Assured.
The Bill Carries Promise That Con
gress VIII Never Again Be
Asked to Help Us Out.

ASKED TO Help US OUT.
G. M. Bruce, secretary of Arizona,
was visited yesterday at his Office by a
REPUBLICAN reporter and requested to
state in detail what had been accom-
plished by him in Washington in rela-
ton to the extending of the operation
of the funding act.
Mr.. Bruce said: Son March II the
Loan Commission of Arizona, of which |
am member passed the following reso-
luton:
On motion of the territorial auditor,
Ell. G. Boone, it was ordered
"That the secretary of the board. Territorial
Secretary Z. NJ. Bruce, be authorized and di-
rected to proceed to Washington to aid in secur
ing the necessary legislation from congress for
the funding of all the floating Indebtedness OF
the territory incurred subsequent to Dec. 81,
1902
AS the expense of such a visit to
Washington on my part would
involve considerable cost the board
requested the opinion of the at
torney-general of the territory as to
its right to make such an expenditure.
In reply TO q resolution of the board
calling on the attorney general for his
opinion the following letter was re
ceived:
OFFICE OF THE ATTORNEY GENKRAL,l
TUCSON, ARIz March IA, 1894.
Governor L. q. Hughes, Ex oticio Chairman
Loan Commission, Phoenix, Ariz:
DEAR SIR:-1 beg to advise the commission
that IL has no power to pay the expenses of any
person to go to Washington, d. G., for the pGr-
pose of securing favorable legislation extend
ing the provisions OF tle Arizona ''Funding
Act" The authority of the commission to ex-
pend money is limited to the cost of transmit
ting funds and interest and the cost of sngrag
Ing bonds advertising the sale of the same aid
the Incidental expenses necessary thereto.
FRANCIS ]. HENEY,
Attorney General of Arizona
As it was matter however OF suen
extreme Importance to the territory
that legislation be secured as soon as
practicable extending the funding act
OF Arizona, Secretary Bruce decided to
undertake to secure the necessary legis-
lation at his own personal expense.
Soon after his arrival in Washington he
was joined by Attorney General Heney,
W
The following bill drawn up by Attor-
ney General Heney was submitted to
congress.
bill to amend section fifteen of an act ap-
proving with amendments the funding act of
Arizona approved June 25, 1890.
Be II enacted by the senate and the house of
representatives of the United States of America
In congress assembled that an act entitled IAN
act approving with amendments the funding
ArlZOuap nj
paragraph 2052 (section l5) of said act be and
the same Is hereby amended by adding thereto
as follows:
Provided further however, That the present
outstanding warrants, certificates and other
evidences OF Indebtedness issued subsequent to
December l3, 1890, for the necessary and cur
rent expenses of carrying on the territorial
government only, together with such warrants
rs may be issued for such purpose for the year
ending Decent Der 81, 1894 and December 81 !,
1895, may also be funded and bonds issued for
tne reaemptlon thereof; and thereafter no
warrants, certificates or other evidences OF in
debtedness shall be allowed 10 issue or be legal
where the same is in excess of The limit pres
cribed by the Harrison Act"
SEC. 2. That all acts or parts of acts in con-
h1ct with this act are hereby repealed.
1t was referred by congress to the
committee on the judiciary, and by it
referred to q committee. Secretary
Bruce and Attorney General He ney ap-
peared before both committees making
strong arguments in favor of the bill.
The following is the report of the SUBJ
committee, to whom the bill was re-
ferred:
April 30, 1894.
Chairman Judiciary Com mittee of the House:
S1R:-1o our subcommittee in charge of House
Bli No. beg leave to respectfully report as
The Harrison Act limits the power of the
Territory OF Arizona to create Indebtedness in
any amount exceeding one per cent upon the
assessed valuation of all property in the Terri
tory. This limitation has been greatly ex-
ceeded by the Territory at the time of the pas
sage OF the Act just mentioned. An Act en-
tilted "An Act approving, with amendments,
the Funding Act of Arizona," approved June
Doth, 1890, authorizes the funding of ali Terri
torlal Indebtedness then existing by the issu-
ance of bonds bearing per cent interest, to be
sold at no less than par, and also authorizes the
funding OF all warrants Issued by the Territory
for necessary and current expenses thereafter
until December 3lst, $780, and expire ssly de-
cIares that no Indebtedness Shall thereafter be
created by the Territory in excess of the provis-
ions of said Harrison Act, and that no Warrants
or :, other evidences of Indebtedness
shall thereafter be issued by the
territory except to pay interest upon said
bonds or to meet cash deficit in the revenues.
The entire territorial Indebtedness created
prior to December 8, 1891, has already been
FUNDED under said act, but unfortun tely no
steps were taken by the territorial legislature
towards placing the affairs of the territory for
the future upon cash basis. The total as
sessed valuation of property in the territory Is
s2oOO0,OOo. territorial statute limits the
power of the board of eqslization to levy
assessments for the general fun1 for territorial
purposes to 30 cents on each one hundred dol
lars OF property. The total amount that Can
be raised at this rate is demonstrated by d
simple arithmetical calculation, to be s9S,0O0.
It is customary to estimate that Is per cent OF
the taxes will go delinquent and remain un-
paid; thus leaving but sS3,3O0 as the probable
amount that can be collected. AS a matter OF
TACT during these stringent times, more than
| able
The cost of maintaining the two most i'm
portant public institutions, the territorial
prison and the territorial insane asylum, Ii
respectively 100000 per year and $4,000 per
year, making a total of 100000 per year
Itisapparent, therefore, that in ordinary time:
there is certain to be deficit of $5,OO(
in addition to the cost of maintaining the Ter
r4torial Government by the payment of sal
aries of its proper and necessary officials, the