The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1898-04-15
The Bond Question Considered at
Some Length.
THE PLAN AS PROPOSED
PROBABILITY OF WAR CUTS AN
IMPORTANT FIGURE.
It Is Considered By the Committee as
Inevitable-Record Backman to
Correspond With Eastern Bond
Buyers-For Defending Devine-
Electric Light Bill.

Mayor Clark and Councilman Wal
lace, Barnes, Romney and Buckle
met in total darkness in the
mayors office last evening TO consiuei
the advisability of issuing a refundlne
series of city bonds, sold in 1888, and
for which, il the plan under considera-
ton fails TO mature, the creation Oh
sinking fund will have to be COM
menced this year. In caucuslng Ioi
over an hour in inky darkness the
solons fooled the reporters, but the
trick won't work again. Nevertheless
The Herald man learned what was
done at the meeting.
THE SCHEME PROPOSED.
The proposition considered is to sell
a. series of gold bonds, bearing per
cent or less annual interest, redeem
able at the option of the city after ten
years and maturing in 20. The purpose
of the issue is to redeem the S5Oo,OOu
bend issue of September, 1888, which,
at per cent annual interest, means
yearly outlay of $4,000. To start a
sinking fund this year of $5O,O0O, con-
tinuing for the next ten years ana COM
mencing in 1901 to create a like fund
for the redemption of the city's second
bond issue, would preclude the posi-
bility of decreasing this years CITY
tax levy, as it has been hoped could
be done. 1t was reasoned, moreover,
that with a new 4 per cent bond, sell
ing at a premium, saving OF over
S. 600 annually in interest would De
effected, an important item IN view OF
the fact that the city now pays yearly
$127, 400 for interest on its total bonded
debt of 50, 54S, 900. All these figures
were carefully weighed in darkness by
the committee.
But the stumbling block was the fear
of war and no market Tor bonds.
Opinions varied as to how long the
disturbance would continue, but all
agreed that war between Spain and the
United States seemed inevitable. 1t
was believed that if the war troubles
do not end in time to advantageously
sell city bonds this summer the
financial centers would be easily ap-
proachable next year on favorable
terms. but all hoped the necessity OF
starting the sinking fund this year
and the levying of the tax in accord
ance with skeptical calculations would
be aVerted.
tiations all depending. of course, on the
daily war news, it was resolved TO in
struct City Recorder Backman TO write
to the eastern bond buyers, who nave al,
ready made inquiry about the proposed
refunding issue, soliciting from them an
opinion on the question as to how much
lower than a per cent gold bond can
be sold at 4 premium to the cityS ad-
vantage and also for information on the
present and probable future condition of
the bond market.
OTHER COMMITTEE AFFAIRS.
The committee on municipal laws con-
sidered the claim of Judge Judd. in the
sum of $50. for services rendered, on the
order of eX-Mayor Glendinning, in the
prosecution of Fire Chief Devine, on
charges tried a year ago by the defunct
board of police and FIRE commissioners.
The committee also considered, Chief De-
vines claim of S125 for the fee paid by
him to Attorney Frank b. Stevens for
defending him. The preceding council
mittee voted to recommend disallOwance
again.
The committee also discussed the draft
of the new dog tax ordinance and con-
cluded to have another bill drawn which
would place the collection in the city
treasurer's office.
A. 3. Sawyers proffer to sell the city
the old Mountain Ice company'S prop
erty at the mouth of Parleys canyon for
between the city and his client. was par
TALLY considered by the committee on
public grounds who sat under the full
glare of the electric lights. Before agree
ing TO report the committee will con-
fer with the city attorney.
While the lights were out for a couple
of minutes. Chief Devine as inspector of
sent to Councilman Patrick. chairman of
the committee on improvements, for re-
porting TO the council. the March bill of
the Union Light & Power company This
bill called for $2,436. less S75. 06. deducted
for ''outageS' during last month.