The Jersey City news., 1899-06-13

water supply from the contractor for a
term of twenty-five years, and to pay
Therefor at a fixed price. is the option
given the city to purchase and own the
works and plant, and the agreement OF
the contract or to give the city good IT,
tie, also to water, water supply and wa
ter rights, to the extent of fifty million
or seventy million gallons daily. This
contract is impossible of performance.
The last point raised by Mr.. McEwan
is that Jersey City has no power to en-
ter into said contract for the reason that
the contract provides, in case the option
is exercised, for the expenditure of from
| 81, ,5O0, 900 to s9,50OOOo, for the raising of
which there is no legal method provided.
First 1t provides for the expendi-
ture of money in excess of moneys
appropriated and for the payment of
which there is no appropriation. This
violates the provisions of section 201 of
Title Crimes Act making misden,oa nor
to incur obligations in excess of the ap-
preparation and limit of expenditure
Second. The act to enable cities of the
first class to issue bonds in order to pro-
vide and maintain a supply of pure and
|
unconstitutional
The act of 1889 to authorize cities to
issue bonds to secure new water sup
ply does not apply to Jersey City, for
by section 972 its operation is limited 10
cities which have less bonded indebted
ness than Is per cent. of the value of the
real and personal property therein, in
cluding the issue of bonds thereby au-
thorized, and Jersey City now has such
an Indebtedness in excess of Is per cent,
and with the water bonds it would ex-
ceed 25 per cent.
The percentage that the debt bears TO
the ratables is shown to be more than
15 per cent. by the report of the State
Comptroller to the Legislature prepared
by legislative authority under statutory
enactment.
This contract provides for an absolute
payment in cash which differentiates 1t
from the Newark contract upheld in the
case of Slingerland VS.. Newark, where
the contract provided for payment in
cash or bonds and the Court says that
the city may issue nom negotiable instru-
ments under seal showing that 1t owes
the stipulated price, and such instru-
ments would be the bonds called for by
the contract. In this Flynn contract
there is no provision for bonds and
therefore such instrument as described
by Judge Dixon in the Slingerland case
cannot be issued.
At the opening OF the Court this morn
ing the Hon. Thomas went to the bat
and began to slash around in lively fash
ion. He said that he felt as though he
was there by invitation of the Court it
self When the first application for Ger
tiorari was made the Court said, I'VE re-
fuse the writ on the grounds assigned"
In those words, Mr.. McEwan said. the
Court invited some public spirited citizen
to come forward and save ''poor, weary,
worn Jersey City, AT this point Mr..
McEwan assumed the voice of the old
fashioned camp meeting exhorter as he
implored the Court to save poor strug
Cling Jersey City, from ruin. He said
this contract called for an expenditure CT
eight million dollars for the purchase of
a plant which added to the seventeen
millions of debt which the city now has
would make twenty-five millions which
would bankrupt the city.
In reply to Justice Gummere's question
yesterday, as to how long these applica-
Evan said that certiorari was like nom
suit, and if denied did not prohibit an
other application. He claimed that delay
by litigation could not affect the contrac-
tor, as he was protected in that point by
the contract.
At this point Justice Depue significantly
asked when the contract was awarded.
He was told and he impressiyely wrote it
down.
Mr.. Charles Corbin, counsel for Mr..
Flynn, next spoke and claimed that the
resolution awarding the contract was the
vital thing which should be attacked. If
the contract is set aside there was the
resolution of the Street and Water Board
under which new contract would be
made. He then accused the other side of
laches and claimed that they should have
taken out the certiorari at once when
the contract was signed by the Mayor.
He read from an affidavit by Mr..
Flynn's superintendent which stated that
as soon as the contract was signed work
was begun on the plant There had been
expended s15O,000 and the contractor had
obligated himself to the extent of one
and half million dollars. He referred
to the implications which Mr.. McEwan
had cast upon the contract and said
that such implications were easily made,
but more open contract was never made.
Mr. McDermott, in behalf of Jersey
CITY. said that Mr.. McEwan, in his zeal,
had made a plea to the Court for mercy.
If there was any danger of Jersey City
going into bankruptcy there might be
some ground for such an argument. The
contract price for the plant, Mr.. McDer--
mott said, was not eight millions, as Mr..
McEwan said, but seven and half mill
IONS
eff we were to buy water from Flynn
for the next twenty-five years It would
be a saving to Jersey City" declared Mr..
McDermott s'The purchase price is 81
1000. For that Jersey City gets COM
pleted works and plant to furnish fifty
millions gallons at gravity, thus doing
away with the expense of pumping. For
this sum we also get water shed capa-
BILE of furnishing twenty millions more
year"
Mr.. McDermott then showed how by
the contract Jersey City would save six
ty-five thousand dollars per annum over
the present contract, which Mr.. McEwan
so eulogized. Mr. McDermott next spoke
of the public meeting of prominent
members which was held in the City Hall
and said only one voice was there raised
against the contract. Then he showed
&I-1