The San Francisco call., 1897-04-29
A SETBACK
FOR THE
TEACHERS
The New Annuity Law
Said to Be Uncon-
Stituticnal.
AUDITOR BRoDERICK TO
FIGHT IT.
Declares That the Act of the
Legislature Will Not Hold
Water.
IT Is DISCRIMINATING IN ITS
EFFECTS.
The Watchman of th- City Treasury
Will Not Turn Pub ic Funds
Into Private Hands.
IT Is DISCRIMINATING IN ITS
EFFECTS.
The Watchman of th- City Treasury
Will Not Turn Pub ic Funds
Into Private Hands.

The Teachers Annuity and Retirement
Fund Commissioners, recently organized
under the law passed by the last Legisla-
ture, will run against snag when it at
tempts to carry out the law passed by the
State solons.
Auditor Broderick has been giving the
matter serious thought for several days
past, and has come TO the conclusion that
the law is unconstitutional, and that he
cannot conscientiously carry out the part
assigned TO him, that of signing q certain
demand for the transfer of a portion of
the School Department funds, as contem-
plated by the law.
81 am sorry to put this bar in the way
of the commission said the Auditor yes
terday, ''for it appears that the teachers
are very much IN favor of the new law,
but l cannot see my way clear, and I can
not afford. as the Auditor of this City,
and responsible for the demands on the
treasury, 10 DO anything that will lay my
bondsmen liable to an action for the re-
covery Of the funds paid out under an ille-
gal act.
Il have given this matter serious con-
sideration, and | find 1t 10 be full OF flaws.
In several of its sections it IS discrimi-
mating, and l do not think that it Will
hold water. The main trouble is that
while the funds to pay the teachers re-
tired annultleS come partly out of the
School Department appropriation, the
commission is placed outside the au-
thoriIy OF the City government and is
therefore in the position OF a private body
gaining a portion OF its support from pub
lie money. This is, of course, an absurdity.
This matter appears in sec ton 10 OF
the act, which reads as follows:
Sec. 10. The public schooIteachers' annuity
and retirement fund herein provided for
shall consist OF the following, with the III
come and interest thereof 1) Twelve dol
lars C$12) per school year OF the salaries paid
TO all those subject TO the burdens of this act
in each counsy or consolidated city and
county shall be deducted IRON the warrants
for salary and paid by the Treasurer OF the
county or consolidated city or county TO the
public schoolteachers' retirement fund COM
missioners OF said county or city and county;
ana ii shall be The duty OF the secretary OF the
Board OF Education IN every incorporated city
or town consolidated city and county and
the secretary of the board of trustees of every
school district outside OF such city and town
or consolidated city and county to note IN
each warrant the amount TO be deducted by
the treasurer. QD All moneys received
from gifts, beQuests and devises, or from any
other source. UlI) All money, pay, compen-
sation salary forfeited, deducted or with
held from the warrant demand Tor salary
OF any teacher or teachers for and account
OF absence from duty from any cause, which
the Board OF Education OF every incorpora ted
city or town, or the Board of Trustees of eyery
school district outside of SUCH city town,
may appropriate and set apart for the afore-
said fund; and said Board of Education or
Boards OF Trustees are hereby empowered 10
appropriate such moneys or any part the reof
for such fund; provided, that in consolidated
cities and counties, after the establishment of
an annuity fund therein, it is hereby made the
duty OF Boards of Education to appropriate
monthly, at least one-haf of such MONEYS
for SUCH fund.
This, you see. provides that half of the
money that is gained by the City and
County through the deductions from
teachers salaries because of absence must
be turned into the annuity fund. These
are clearly public funds and must, if the
law holds, be turned over to the private
body. 1t cannot be done legally, and
when the warrant for the transfer of that
money comes down to me, as it must
will refuse to sign it and test the law in
that way.
Section OF the act discriminates be-
tween teachers now in the department
and those who may come in later, and
believe that also renders it unconstitu-
tional.
Then there is section 6. tha: provides
for the appointm ent of com mittee OF five
to pass on applications for retirement
The commissioners must act as this COM
mi:tee desires, and it gives a chance for
com binatlon by which the friends of a
majority OF the committee may help their
friends in very substantial way. OF
course L do not say that such a thing
would occur. but it might, and we cannot
take chances.
There are other sections to which
serious objection might be made, and on
the whole l do not think the law will hold
water. 1t will have to be tested by the
courts and upheld before l will sign any
warrants transferring the funds"
The Teachers Annuity and Retire m en- [
Fund missioners are Mayor Phelan,
president City Treasurer Wldber, treas
urer and Superintendent of Schools Web
ster, secre tary.
At the meeting of the Board of -Educa-
ton last evening Chairman Waller of the
Finance Com ttee, in his estimate of the
appropriation necessary for the coming
fiscal year, placed the amount to be turned
into the teachers retirement and annuity
fund at $14, 400