New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-01-25
RAPID TRANSIT PROBLEM.
MEMORIAL FROM THE COMMISSION TO
THE LEGISLATURE.

MORO POWER TO FINANCE THE PROJECT
ASKED AND COMPREHENSIVE REA.
SONS FOR IT GIVEN.
Albany. jan "A (SpcciaD-The memorial to
the Legislature which has been drawn up by the
New-York City Rapid Transit Commissioners
urging the necessity Of charging their powers in
order that they may resort TO new financial
means for the construction Of the proposed I'M
derground railroad. presented TO the Senate
ana Assembly to-day. The memorial points out
that the possibility Of obtaining the requisite
carital TO build the road from the city is ex-
treney remote in view OF the Indebtedness OF
the, greater metropolis and the pressing need OF
carrying out numerous public improvements
which have been projected.
In the face Of this situation the Commissioners
susgest 10 the Legislature three alternative
courses that may be adopted The first alterna-
tive il to wait until the city's borrowing capac-
fly is 90 Increased. either by reduction Of the
present debt or by an increase Of assessed valu-
ations of real estate or by both, as 10 enable It
20 borrow the necessary funds. But, the
Commissioners desire to proceed with the tunnel
scheme without further delay. It is not believed
that this course will fnd any place In the bill
which will shortly be introduced into the Legis-
lature.
TWO WAYS REALLY OPEN
The other two alternatives. which were fore
casted In The Tribune some time ago. provide
for the completion OF the proposed railroad
either by the issuance OF bonds by the county
OF New-York or by private capital. The merits
and dement's of both Of these substitutes are
clearly and comprehensiyely set out In the
memorial.
1t is known that the Commissioners favor the
MA x,.hfi
representative Of the city government on the
Board. has consistently contended that the only
feasible method is to make the contemplated
railroad private enterprise Although the
Commissioners look with regret upon the pro-
posal 10 surrender 10 individuals n property
which might ultimately become a valuable pub
lie asset. the opinion is widely held that the
Board III its anxiety to see some speedy. prac-
tcal result Of its long and earnest lab ors. will
probably finally agree 10 the Introduction OF
bill based upon the third alternative
EFFORTS THAT HAVE FAILED.
The memorial at the outset describes at some
length the purposes for which the Commission
was appointed, and goes on to narrate the
efforts Of the Board 70 devise an adequate scheme
Of rapid transit. which ultimately took he form
OF an underground railroad. After pointing out
that the oty's Indebtedness prevented the mu-
ncipal.ty from financing the work as the act
prescribed, the memorial goes on to show how
the desired railroad may be acquired as fol-
lows
Three courses sugges, themselves
First-To wait until the borrowing capacity OF the
city is SO enlarged by reduction Of It's present
necessary funds
Second TO obtain legislative authority to issue
bonds Of the county Of New-York for tho con-
struct!on OF the proposed railway.
franchise for building and operating the proposed
railway TO private enterprise.
CONSTRUCTION BY ISSUE OF CITY BONDS
II the existing statutes are permitted to remain
IN force unemended the only means Of obtaining
adequate and permanent relief lies IN the enlarge
ment OF the ctys capacity 10 ihcur debt The last
assessed valuation Of real estate In the city OF New
York, as stated by the Department OF Taxes and
Assessments was 81 5Ss.4il The net funded debt
OF the city Of New-lork on January !, 1899 az re-
corded on the books OF the Department Of Finance.
was sz44A2SS59 q. There arc also bonds which have
ppessn a for to sssy but SsS S 6on6
not approved as TO legality. sSss4o5 IS; proportion
OF tne debt of Queens COUNTY claimed in suit now
1eTf Is rs q The debt Of d the
T Ing TO ,t oe Of ne DEBT 6 the city of New
Of the assessed Valuation Of real estate in the
s 81 ne ., ne a'{ lana nha me he ne
imposed by the Constitution on the extent to which
purpose or in any manner renders it UNNECESSARY to
discSs the question as 70 whether, and II so. 10
suc as s6y oH conrs or Which me ne pro-
vision has been made by the sale Of honds judg
ion proceedings constitute Indebtedness within the
purvlew Of the constitutional inhibition, Not only
say yhs FOR h sTse eysn but
a prl,r determination Of ditflcut questions Of law,
son. Of which have never been presented TO the
On January ., 1899. however, the Tax Commits,
:ioners MADE public The assessed v9lu9ions Of real
5sss These new Valuations showed an nsrease OF
resents the amount by which the city's debt-incur
ring capacity could be thereby increased. These
e IL not y thai he assregae tSereet Win be
mate tally changed before their final confirmation
view of the fact that under the most favorable
issue bonds for rapi,;rsnsit purposes before July
lsss the changed financial conditions which these
the purposes Of this discussion, as presently exist
whole truth of the situation on the one hand, the
underssnsd Recognize me fact i6at hSweYeT I'M
may be 10 the citizens OF New-York, and espe-
bronx there exist other claims for public improve
ments Throughout the whole city Shieh cannot
Tor new school buildings lie urged The two eastern
boroIghs Of Brooklyn and Queens demand the con
the Borough Of Manhattan. The infringement Of
,he S d 9S
Of the water supply system may be regarded as
constant source OF proper and necessary eNnendi-
turc
SINKING FUND REVENUES.
On the other hard the enormous revenues OF the
sinking funds tending constantly toward redemp-
ton OF the otys bonded cations enable the city
10 issue bonds 10 the amount o. about N2"o0n
annually without any resulting increase In the net
funded debt In the former city OF York these
revenues for many years were sufficient during
periods OF normal financial activity 10 offset rev
Issues ~ bonds so that the net debt remained prac-
tcally stationary Thus. during the I'VE years fron,
January / 1880 10 January l. 1895. the net fnnded
debt Increased only 81 s7, aS5 70. although the new
issues OF bonds during this period aggregated s52-
oas rs a.: while during the ten preceding years
from 1880 70 1890 the net funded debt actually de-
ga $50 CO although the new Issues during