The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1899-01-28
Mr.. MELVIN'S PLAN
FOR CITY LIGHTING
CALLED TO MIND BY PROPOSED
ELECTRIC SYNDICATE.
Ordinance to Be introduced by Mr..
Melvin Has Been Drafted - Pro-
vides for an Issue of $4,000 at
4 1-2 Per Cent.-Measure Lacks
Any Provision for Special Elec-
tion Authorizing the Increase, but
the Contention Is Made That the
Law Offers Ample Direction.

Attention to the city electric lighting
plant advocated by Select Councilman
Melvin was suggested yesterday by
The Tribune's publication of the pro-
posed combine of the electric lighting
companies. "A Tribune reporter called
on Mr.. Melvin at the st. Charles hotel
and was shown a copy of the proposed
city plant ordinance.
Though the estimates and statistics
procured by Mr. Melvin indicate a cost
ranging from $4,000 to $40, 900. his
ordinance provides for bonds to the
amount of the latter figure. The meas
ure does not contain any reference to
the special election necessary TO au-
thorize the issue OF the bonds, but Mr..
Melvin explained that the law made
ample provision on that point after the
ordinance passed councils.
According to law, councils can au-
thorize an Indebtedness to only such
an amount as shall equal per cent. OF
the last assessed valuation. The last
valuation was about $22, 900, 900, allow
ing for generations and reductions by
court. Two per cent. Of that amount
is 100000. The city now has bonded
Indebtedness of about that sum.
VERY SPECIFIC.
The title of Mr.. Melvin's ordinance is
very specific in it's provision "for the
sale of city bonds and appropriating
the money derived from such sale for
the construction of an electric light
plant to provide electric light for the
city of Scranton"
Section 1 contemplates the issue and
ga lp Of pitN. common hnn1S N tho
OF $4,000. The bonds are to be of the
denomination of 81 900 each and dated
June /. 1899. The interest rate is to he
Az per cent. ana taxation is to be eX-
empt. the city assuming the same. In
terest is to be paid semi annually. The
whole number of coupons or any por-
tiOn Of them may be made payable at
the office of the city treasurer or at
the offices of one or more banking IN
stitutions in New York city or Phila-
delphia.
Section II. provides for the usual or
der of redemption according to num-
bers, beginning June l. 1910. to June 1,
! 1925.
According To Section V. the mayor
and city clerk are authorized to sell
! the bonds, and Section VI. that the
| premiums obtained, or as much as may
| be necessary, shall be appropriated to
| the payment of expenses incurred in
| placing the loan, the remainder to he
| placed to the credit of the general sink
| ing fund
The city clerk is directed to adver-
| tise for proposals to purchase, the ad-
vertisements to be made in New York
| city, Philadelphia and Scranton news
| papers.
For the purpose of paying the prin-
| cipal and interest, the ordinance levies
for the year 1899 on all property tax
able for city purposes a tax Of fifty
| four hundredths of one mill on the dol
| lar valuation, and every year there.
after a sufficient tax to pay the inter-
est and principal.
MANNER OF INTRODUCTION.
1t will be necessary to introduce the
| ordinance at a stated meeting of COM
| mon council After this Introduction
| it must be published in two Scranton
newspapers once a week for four weeks
| before final passage in common coun.
ell. The ordinance must not be con
sidered i'm the select branch for at least
one week after final passage in the
| lower body. To become operative the
i measure must receive in each council
a two-third vote OF all the members.
Before the bonds are issued state.
ment of the financial condition of the
city must be filed in the office of the
clerk of the court of quarter sessions
| of Lackawanna county.
Following are two extracts from the
! law in relation to the increase of q
city's Indebtedness:
The Indebtedness of a city may
be authorized to an amount eX'
ceeding two and not exceeding I
per cent. upon the last preceding assessed
valuation with the assent Of the
electors thereof, duly obtained at n pub.
lie election GAct of April 90 1874
Sec. 81.
Whenever the corporate authorities ot
any city by their ordi.
nance or vote shall have signihed a de-
sire to make such increase or indebted
ness they shall give notice (by advertise
menD during at least thirty days of al
election to be held on the day
to be by them fixed for the pur
pose Of obtaining the assent of the elec
tors thereof to such increase of indebt
edness. TACT of April 90, 1874 Sec. 81.