The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1899-08-31

fund during the years which will
elapse before any of the bonds shall be-
come payable. The Tenth section OF
the act provides that the treasurer
shall be liable for the sinking fund and
the money levied for the sinking fund
and provides that this money shall be
kept invested in a certain designated
manner and used for the payment OF
the bonded debt. Severe penalties are
imposed upon any officer who may de-
part from the provisions OF the act.
While the bonds cannot be made pay
able in less than ten years and while a
provision for redeeming portions Of
them within that period cannot law
fully be inserted in the ordinance, yet
the legislature seems to have had In
mind that so much OF the annual tax as
should exceed the interest on the bonds,
might perhaps be utilized yearly IN
taking up portion Of the bonds, for In
the tenth section of the act II Is pro-
vided that the money levied for the
sinking fund may be invested either In
United States bonds OF in the bonds OF
the city as the council may direct. This
investment may be in any of the bonds
OF the city, and not merely in those be-
longing to the issue for which the par
ticular tax may have been Issued. This
DEONlhluu ID u NEAg lAllAuENuthNG anu AlA-
satisfactory substitute for n provision
that some OF the bonds might be re-
deemed annually within the ten years.
An effort to invest the annual tax in
the bonds of the city would subject the
city to the fluctuations OF the market,
for 1t could only buy such Of the bonds
as the holder might be willing to sell
and at such prices as the holders might
be willing to take. But 1t seems to be
the nearest approach which the statuta
will permit to nn annual redemption Of
the bonds Yours truly,
HENRY NJ. RUSSELL.
This preclpItated a lively discussion.
The electric light loan, on which the
principalwas paid in less than ten years
was cited in opposition to the legal ar
gument.
Mr.. McMechen said, in his opinion,
there was never before a time so ia
vorable for the refundIng of the loan.
Never before has there been so much
idle money in Wheeling,
Mr.. Chew said he had talked with a
Wheeling banker who had made a
100000 loan at three per cent, and he
would assuredly invest in three and
one-half per cent Wheeling bond.
Mr. Maxwell asked II the people OF
Wheeling would vote for a refund in
which the principal is not to be re-
deemed before ten years.
"Thers's no use talking about 1874
loan" said Solicitor Nesbitt.
The solicitor said the act OF the
legislature provides that the water
board be empowered to expend all its
revenues. No rule Of council can
change this enactment of the legisla-
ture
With the understanding that the wa
ter boards Indebtedness. the electric
light and stone bridge bonds are not to
be included in the refund, Mr.. Maxwell
believed 1924 refund would be re-
celved with favor by the people.
Solicitor Nesbltt said II refund is
made there must be a sinking fund
during the first ten years.
Members Of the committee believed
the sinking fund should be invested in
bonds OF the city.
II a refund is attempted Mayor swee-
ney said he would favor blackboard
ward meetings at which to thoroughly
explain to voters the saving in interest
that would come to the city by It's
adoption.
Mr.. Maxwell suggested that the So
lctor be instructed to go ahead and
prepare refund ordinance, without
the water board Indebtedness. stone
bridge and electric light bonds. His mo-
ton to this effect prevailed without OPP
position.
The solicitor asked whether a serial
bond is wanted. The committee was
united in the affirmative.
As will be seen by the following, the
amount of the refund would be $425,2OO:
City's indebtedness..... $685., zoo
Bridge bonds. $3.50
Electric onds......."....... l6'OS A., %,
| Water board. 1000 257S97
Net ...............'.'..'.''S2 ''2O'
The city solicitor was instructed to
prepare a draft of refunding Ordi-
nance.
Mr. Maxwell said In his opinion one
of three things is necessary:
First-The issuing of new bonds next
year;
second-An Increased tax levy; or
ThIrd-A refund.
The committee adjourned to meet
again at the call Of Chairman swee-
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