The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-03-05
rAcoMA's HEAVY DEBT.
Judge wicsersham's Plan OF Meeting
the Interest Charges Sustained.


Tacoma March 4-Special.-- John
g. Stallenp handed down a most important
decision TODAY. in which he Sustains city
Attorney Wickershan and the administra-
ton OF Mayor orr I'm the proposed assign
nlents of - per cent of the tax levy IN
payment of the interest charges and cur
rent bills OF the city. The opinion was
rendered i'm an action brought by Fred
Eidemliler against the city, asking for an
Injunction restraining the issuance OF as
signfnents on the tax levy, aud seeking 10
have the current tax collections applied TO
the payment OF the outstanding warrant
Indebtedness Mr.. Eidemiiler owns gem
eral fund warrant issued september -, lssS,
for sass
In nutshell. the issue raised was
whether the city had right 10 levy taxes
for specific purpose. which are to be dis
trlbuted among certain funds, for the pay
nent of the interest charges, salaries and
current expenses. In addition 10 the city y
bonded tndabtedncsss amounting 10 $1.soes-
600, there is outstanding about Ssssos1 IN
general fund warrants. of which large
part are held 10 be illegal, having been. II
Is claimed, issued over the constitutional
limit of Indebtedness. The present tax
levy, amounting 10 s291. 80. was appor-
toned 10 the interest, salary and general
expense funds, no provision being made
for the repIenshment of the general fund.
Plaintiff sought TO compel the city TO ap-
ply its current revenue 10 the liquidation
Of the outstanding Indebtedness.
The vital points In the decision. which
uphoIds the city attorneys plan of issuing
warrant assignments OF taxes, are as fol-
lows;
1t appears from the admitted facts that
the city IS beyond its debt limit as laid by
the constitution OF the state. In this con-
dition II has no right or authority TO Is
sue any warrants whatever except on cash
IL may have on hand with which 10 pay
the same or upon uncoliected hut collect
ille tax levies, and such warrants must
he addressed TO such moneys or tax levies
in such way as 10 assign the same 10 the
liquidation Of such warrants.
Finding itself in this financial stress,
the city council enacted certain crdi-
nances by which Il created three special
funds, by name interest fund salary fund,
general expense fund. and likewise ordered
a levy of II mills and appropriated the
revenues thus levied to said three funds
5g5 mills TO the interest fund Al mills
TO the salary fund. 1.sS mills 10 general
expense fund, leaving nothing 10 the gen
erai fund except the delinquent taxes and
some Of the revenues from licenses. etc.
being insufficient 10 meet the warrants
against the general fund.
II Is insisted THAI plaintiffs warrant
cannot be postponed 70 the payment of
asy subsequent warrant. IL may be con
eeded that II may not he postponed 10 tie
l1ayment of any other subsequent &arf ant
on the general fund. But that the city has
the right and power 70 specify certain gov
ernmental necessities and create a special
fund for the same and make special ievies
therefor and make special assignment or
such revenues thereto cannot be doubted
II follows that while no necessity wiil
Justify violation of the constitutional
limit 10 debt making. vital necessity viii
Justify a preference Of the revenues 10
expenses essential 10 the life Of the mu-
nieipal government, te the postponemsnt
Of othar claims against the city, when SO
ordained ly ordinance.