The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-09-13
TO RAISE THE MONEY.
Tacoma's Council Again Passes
the Funding Ordinance.
THIS TIME At FIVE PER CENT
Whether Turkey rawceet WIN Al
prove This, or Again Veto Il, Il
q vexing Question.


recently oy Mayor Fawcett. by he De-
cIs'Va vote o. II 20 + The ordinance =
rrac'icai.y copy OF snat which the coua-
ca passed before and which failed - pass
over The mayors veto A5oa, the only
difference IS that the bonds viii draw S
per cent interest instead % Z. as vas pro-
vlded n The first ordinances.
BY the terms Of the ordinance the city
wll proceed 70 issue bonds 20 an amount
not exceeding 8. 4seg.o. which covers The
lace or the Outstanding warrants and ~
ierest that has accrued on them since
their Issuance The warrants 70 De funded
are al drawn on The general fund and
were ISSUED IN payment OF salaries and
bills for supplies between August Il. 1se4.
AID June Is. 1874 The plan IS % exchang.
bonds for the warrants and cancel them
The warrants on their face amount 10
sSSa'n". OF which approximately 500, 600
are drawn at Per cent. interest and me
balance ORA. - per cent.
Mayor Fawcett was asked his evening
L ne intended 20 approve the ordinance.
The mayor declined 70 answer the Ques-
ton. RE was then asked II he had ma 1s
up his mind what he was going 70 do in
the matter. and again he refused TO an
sEer. Tae vote on the fnal passage OF
t4e ordinance was: Ayes-BeN. Bulger
Coates, Chandler, HIce. Holgate. Norton,
Sampson. Stevens, Witty and Warner, IL.
Noes-Harris. Hartman. Parker and
ScuAy. !. L, IS believed that the council
VII pass the ordinance over the
mayors veto by this vote. II he should
return II without his approval
TIE ordinance was not passed without
struggle ami considerable debate. n
which some sharp things were said. Coun-
Gilman Harris. Of the First ward. charac-
ter.Zed * Is d steal" and said tha. X the
council passed the ordinance It became an
~ fsa1v all
'Bosgs infamy." ard that the councilmen
VINO voted for IL ought 10 be sent 70 the
penitelt!ary. This was pretty warm lam
suage 10 use, but the First war1ar meant
what he said.
Harris was replied to by Councilman
Norton. Rep, Of the Second ward. Mr.
Norton was elected as business man, All
he mas worked early and late in an effort
10 str4ighten out the city's tinarces. Mr.
Norton mas all along advocated the fund
ing Of the outstanding warrants. and he
declared yehemently today that what the
council was about TO do should have been
done Two years ago, and that for want
OF such action by the council at that
time the city had lost thousands o. doh
lars. He denied that there was anything
OF the sernolance OF g steal and declared
that the First ward man should blush for
What he had said. Mr. Norton character
lied the funding proposition as business
transaction which had every reason OF
policy, business sense and prudence back
OF ii. The city's funds had been tied UP
for months and months. and her citizens
had been obliged 10 pay money out OF
their pockets 10 enable her 10 meet the
interest on the present outstanding debt
No money 10 pay salaries had been avail
able for a year. and all because the out
standing WARRANTS had not been provided
for. These were The reasons that demand
ed that the ordinance should pass.
In Councilman Harris objection to the
ordnance and the whole funding plan Is
bound up the old story OF the Boggs war
rants. with which the readers OF the Post
lnteN gencsr are familiar During Treas
urer Boggs' last term In office he pur-
chased with city money, or redeemed out
OF the order OF their issue as prescribed "
law something over $4,000 OF geneeal
fund warrants Issued between the dates
named IN the ordinance. These warrants
he sold to brokers and others, or loaned
them 20 his frieyjs 10 raise money on as
security. \ large part OF them were &C.
posted as cash" by Bogss Il few weeks
prior 70 the end OF his term Boggs WIS
interested himself IN quite large amount
OF the warrants, ana his friends among
the bankers with whom ne did business.
and who were his bon4smtn. held large
block OF them which were purchased OF
him before the panic which struck Ia
coma IN June, 1898 CITY warrants up 20
that time had been readily salabs a. par
AMI oflen a. premium
The banks In which the city Was sup
posed 10 nave large deposits were holders
% many Of these warrants, and when
the panic came they would have gone TAR
below par rad BoEgs compiled with the
law and indorsed the warrants Not paid
for wan; OF funds" be should have
done. for the reason that there were then.
in June. fS4a. and thereafter. over $50 90
OF general fund warrants OF prior issue
unpaid and outstanding Bur Boggs, I'M
der and Win the sanction OF the ceun-
CT which he obtained by me thods with
which he was familiar. took Up tha War
rants as fast as they were ISSUED with
city funds. and then deposited them as
cash or held them IN the cltys vaults
When he went out 81 Office On April Il.
fs94, Z was estimated that Ne had on hand
s.. go o. warrants. which he deposited n
the German American. the Bank OF Taco
ma. the Commercial. the State Savings
sud TIE Coiuu,oa National banks AL
these institutions have since failed. The
hanks named owed the city as follows
Bank - TacomR......... ..-.-. ..s--s 90
tonueTc lal.s..- -..-.. .-... '----.... e.po
STATE savings. $4,000. .------. S''-'5
Columbia National $3.50. ........-...-. iI+.vsl
German American Savings. 5s.e's)
Total .........s fss 30
II IS claimed BY Councilman Norton.
Mayer Fawce;t and grea; number Of
business men. property owners and law
vers that the ely can not be made % re-
deem the warrants which were deposited
in these failed BANKS as they had been
purchased Nth CITY funds. TAa council
committee on funding Was ab.e 10 find
evidence touching only Sl6o.e9a e the
=41sn 2 "a a -
lief Is mat Eis transactions covered over
s8sa - OF warrants. This IS the meat ot
Councilman Harris hjec1on 10 the Or
dtnarce COuncil-uan %orEou and the ma
tortry CT tAe hosy bel.evs that tha fol-
lowlng claGse in the ordnance VII save
ire city from again paying ihess war
rants.
Section The sinking fund coro mission
0, n. city Of Tacoma Is hereby authorized
ard 6lrecte2 20 Issue sns nego liable coz
pom bonds c. sad city n tae sum az
s. ~ 90. CT 50 many thereof as may
- necessary ana sug1 -senj 10 funa all
o. n. present outstanding warrants Of
said city issued between saa3 dates n -ae
p~eanale hereof rer.te3 wHicn aave not
Seea once PAD and for gaica ne city
has receives valUe. as determines n ia
name hereinafter -. fcrta.
P~esssent Warner, ot tNe couu,gi. IS 70
annolrt . committee u I've from tas
cosn1E os ~hisa Mayer F4Wcetl shall
mana tao. wbic1 committee sa&a pass On
ths validity q a.. Earr&uts caat saa4 -
Offered Ia sx -sarxa for Bonds IL VAS SID
today. IN 90 debate or tAe ordnance
taa: sul; 10 prevent re payment cf any
CO s-s Per cant warrants No-49 -
srsaEnf CT oesalf X - taxpayers. OF
- g~oana IA tnsy aat ones Seen re-
deemed rs cry money. Pres.4ant W avner
-: rAua IS committee a@xt week