The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-06-28

way cat OF the financial difficulties that
have so long beset the city has been de-
ciaea upon By the council. Il was en-
bodied In the report Of the ioint commit
tee on finance and judiciary 20 the council
tnss afternoon on the report Of the war
rant Investigation committee. and the let
ter from Mayor Fawcett asking the eoun-
Gil 10 provide ways and means for main
tanning the city government.
In brief. the committee. Of which Coun-
Gilman Norton was chairman recommend
ed that the city council. bv virtue OF au-
thority vested In IL by legislative enact
ment, proceed 20 fund the outstanding
warrants. exclusive OF those redeemed
outside OF the order OF their issuance by
Treasurer B0ggs. II was further provided
tnaf the bonds draw pei cent. interest
and run twenty years
When the report came I'D for action.
Harris. OF the First: Coates. OF the
Fourth. and Hartman. OF the Fifth. oppos-
cd the method recommended of solving
the financial problem Harris wanted
proviso inserted. By which it would be
provided that until the holders Of the war
rants would agree 10 accept the bonds In
exchange for their warrants. the bonds
should not be issued. The report as read
was adopted. the three eouncilmen named
voting against II.
Although neither Mavor Fawcett nor
the councils plan 70 fund the valid war
rants, they will lend all the aid possible
70 further the proposed method of pro-
sniing for the citv's ffoatng debt. The
mayor and the citv's chief legal adviser
would have preferred holding out till some
way was found to apply the money In the
salary fund 10 the payment Of the delin-
upent salaries OF the eitv's employees
City Attorney Jadson said today thar
while the proposed method of funding was
not the method he had in mind for dispos-
ing or the floating Indebtedness yet as
the council had decided in its favor he
Was willing that Il should be given a trial.
There has always been a question as to
the authority OF the council TO fund war
rants and issue bonds to take them up.
a bih passed by the legislature in 1888
gives the council this power. according
10 the city attorney. The question is at
the bottom OF the Kelly suit against the
county. which is now before the supreme
court on appeal. II viii be decided next
week. II Is understood.
As TO where the plan leaves the holders
OF the Boggs warrants. the COMMITTEES
said; Your committee is satisfied that
II can secure within the coming week a
list OF al the warrants deposited by
George w. Boggs. and. with this inforna-
ton IN the possession OF the city, we be-
Leve that. the balance os the debt being
duly funded the holders OF these war
rants cannot estOp the city from paying
out its current funds for current expenses
believing that. should the holder OF one
OF these warrants apply for an Injunction
TO restrain the treasurer from paying out
the current funds. or for a mandamus 10
compel him TO pay one OF these war
nants. the same would not be granted by
any court upon the showing that could be
made by the city with this information
In It's possession"
That the council Is determined to protect
the credit or the city ana at the same time
pay the long-due wages OF the city en-
rloyes Is evidenced by the following clause
IN the report: I'VE believe II IS vital to
the interests OF the city that some prompt
measures be taken teud.ng 10 the unrav-
cling OF the present situation. rather than
further hesitAting and wavering pol
ICY"
There Is no question that the warrant
investigating committee Of fifteen. Of
which Maj. o. II. Hayden was chairman.
has done the city as a municipality and
the people OF Tacoma generally a great
service in aseertaiuing. as it did the city's
condition with relation 10 the floating
warrant debts and SIS investigation Of the
methods pursued by Treasurer Boggs. In
this connection Il may be said that the
Boggs warrants have caused most OF the
trouble. because the doubt as 10 their
legality which existed in the pulilc mind
grew so that Il covered the entire out
standing warrants. The story OF Boggs'
wretched dealings cast a deep shadow OF
suspicion over the 70 per cent warrants,
although the city received value FOR these
Il Will be remembered that the Post-In-
telliRcncer exposed the unlawful charac--
ter OF Boggs' acts nj the time, and every
one comedies now that II "A committee of
ave resoiute men had insisted on a change
Ia the course pursued by Boggs before
the warrants he purchased were sunk in
the banks he controlled the municipality
would have been much better of and the
entsngiements that have since arisen
might have been, 10 a large extent
avoided
Among business mon and bankers there
IS a feeling Of profound relief now that
provision has been made 70 take up the
outstanding warrants, most OF which
bear 70 Der cent interest II the courts
held that the council has power TO fund
without going 20 the people, II is believed
the bonds viii hc readily salafie at or
near par. II this Is accomplished. the
city VIII be ~ n position to apply its cur
rent revenues 10 the payment Of its cur
rent expenditures through the Milroy bin
Il s. The opinion % a Wei posted business
man thaf. - this - accomplished the
city wil enter upon a new era ~ its de-
vs}cpmeut
n the plan fs carried cut the city's
total bonded debt vii reaeh nearly s. s.l.-
sa
At = meeting Of the council tonight the
ordinance for funiinE warrants was read
once and referred.