Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1897-02-18

l
Indebtedness against the city Of abb
lene.
Cities are organized for public pur-
poses, not to enter into private bust
ness ventures. The Abilene Natural
Gas company seems to have been or
ganized for the purpose of carrying on
the business Of mining gas, coal, oil,
salt and other minerals, and for SELL
ing the same for profit. 1t was not
organized to supply public need Of
the city, but contemplated by its
charter the carrying on Of private
business for profit. The main pur-
pose would seem to be to produce
minerals for sale on the market for
profit.
The legislature Of this state can not
authorize city Of the second class to
issue bonds or in any manner loan its
credit and to take the property of the
citizens under the guise Of taxation
to pay such bonds, and use it in aid
of enterprises of Others which are not
Of public character, thus perverting
the right Of taxation, which can only
be exercised for public use, to the
aid of individual interests and per-
sonal purposes Of profit and gain.
City Of Geneseo Us. Gas Company,
So Kan. 1853.
THE REFUNDING BONDS.
A municipal corporation is a sub
ordinate branch OF the domestic gov
eminent of the State. 1t is instituted
for public purposes only and has none
Of the peculiar qualities and char
acteristics Of trading corporation
instituted for purposes of private
gain, except that of acting in corpo.
rate capacity, its objects, it RESPONSE
bilities and its powers are different.
As local government institution it
exists for the benefit of the people
within its corporate limits. The leg
islature invests it with such powers as
it deems adequate to the ends to be
accomplished. The power Of taxa
ton is usually conferred for the pur-
pose Of enabling it to raise the neces-
sary funds to carry on the city gov
eminent to make such public i'm
provements as it is authorized to
make. As this is power which i'm
mediately affects the entire constitu-
ency Of the municipal body which ex-
ercises it, no evil consequences are
likely to ensue fer its being conferred;
although the legislature has seen
proper to limit the power of the city |
council to tax for these purposes.
The power to borrow money, or to
create legal obligations against the
city is different. When this is exer-
cised the citizens are Immediately
effected only BY the benefit arising
from the loan, or from the obligation
incurred; Its burden is net felt until
afterwards. Such a power does not
belong to municipal corporation as
an incident of its creation. 10 be
possessed 1t must be conferred by leg
islation, either expressed or implied.
1t does not belong as a mere matter
of course to local city governments to
raise money, or to issue negotiable
securities for Indebtedness, or sup
posed Indebtedness of the city. Such
governments are not created for any
such purposes. The power to raise
oans, or TO issue negotiable securi-
lies, not being an incident of NUM-
,ipal government, the power there
or must be conferred by special leg
Station. And the party dealing with l
he corporation in relation to such 5
oans or securities must rely upon and |
ire charged with notice of all pro-
'isions required by such legislation. ,
Again, in cases like this, the bond |
holder is not the only party who can /
ightfully press the demands of good i
aith. The taxpayer is entitled to r
qual consideration. He is guaran- i
eed protection in property as well as f
,erson. He may not be heard in the f
ourts to restrain the issue of these v
ecurities. If the authorities, through C
or collision, are placing t.
'urden upon his estate, he is power C
ess to prevent it. A new election Ii
nay enable him to change these Off a
ials, but the wrong is already done. C