Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1901-10-10

Chairman JamessB ane of the finance
The Council bases its fight against the
action of the Water Department in pur-
ebasing the Thomas 4. Weldin farm,
0n McKee's Hill, for reservoir, on the
Following section of the act creating
he Water Department, passed at Dover
"a pril 18th, 1888:
IA For the purpose of defraying all the cost
Z i acquiring real estate for reservoirs. lay
! Bug pipe, purchasing and establishing en-
XEines, constructing all the works contem-
{flated by shis act, aud purchasing water
4ights, the city of Wilmington, on the
e ffequisition of said Board OF Water Com
fhiissoners, shall issue bonds, each for the
kpm of $100 or multipes of 500, payable
|'fn not more than 35 years from date of
Issue, to be denominated Wilmington City
,l1pnds,o to an amount not exceeding $780,
10, bearing interest not exceeding 81 per
4 rent per annum, and the Board of Water
commissioners may sell and dispose OF the
<aine on the most advantageous terms pos
fHble, but no commission or other compen-
'pat tion shall be charged or paid to any mem-
M OF said board for effecting the sale OF
( 1Hsgotiation of said boDos. All the aforesaid
fUoDds shall be signed by the mayor, and
'&ountersigned by the treasurer and city
1pditor, In the same manner as other city
Hbnds, Hnd the record thereof shall be made
s 4nd kept by the city auditor and treasurer
1espectively. The said sum of Sl20, 900 shall
ne In addition to and exclusive of the sum
W 100000, authorized to be borrowed tor
the purchase of water rights for said city at
NE present session of the General Assembly,
md In case the said board of com missionerE
4hAll, under the provisions of this act, take
''control Of said Water Department before tie
. 149ue of said bonds tu the amount of $50, LOO,
N'It 1hall be the outy of the City Council to
L f4pmp plete the issue and sale of said bonds,
ard to use the proceeds of the same tor the
{pnrchase Of the water rights contracted for
bY said Council, and the board of COM
tpflesioners shall have no authority to inter
.ft<e with the same.
Mr. KanB's contention is that this
18eotion OF the legislative act is ap-
gapl1oable to all real estate transactions
1oi the department after the law was
9nncted, while other people are of the
qptnion that the act applied only to the
pufchaee contemplated in the act upon
the department assuming control Of
5he water service of the city, and had
mn 4bearing on the future purchases.
AI'h<b latter claim ia born out, many
35rIA by the fact that the issue OF
10nds was specifically limited to $780,
00Q, (which was long since used 10 Inn
proving the water service. In con.
poQtjon with the latter contention the
Following is quoted from the same Leg
islative act:
The whole net income, rents and
xacelpts of said water works, in exeess OF
what may be necessary for completing, con-
d:fucting, operating and repairing the water
works, for extending the water pipes, and
5Rt interest on water bonds, shall be paid
hy said board, at the end of its hscal
wan, to the CouLcil Of the City of Will
E. Mington, y,
The law also stipulates that the
money shall be applied by Council to
the redemption OF water and other
Ponds.
Those who ho.d that the section
1uthorizing loan OF Sl20, 900 applied
only to the Water Departments assum
log original control of the city water
Z service claim that after the money had
Eesp used the department had perfect
rieht 10 use any other money IN its
hnnflE for the purchase Of real estate,
<&c., the first section of the law giving
ii fhe right to acquire and hold
lapds," for the needs Of the depart
1nent
ID engaging the services of ttorney
7yneral II. h. Ward and former City
II 4Holicitor Robert q. Harman, as consult.
Ing attorneys with City Solicitor Rein
NhHrdt, Mr.. Kane says the object of the
finance committee was to get an opinion
which shall represent the views OF the
tnree attorneys, as the transaction under
reconsideration will establish precedent
Although City Auditor Bougbmsn il
Il Withholding his signature from the
4 Water Department check, has been cum
plying with the will of City Coun.
oil. as exptessed by resolution, it is
patent that under the law Mr.. Bough
man is compelled 10 sien the check,
having been ordered to do so by q
unanimous vote OF the Water Com
missioners and Mr.. Kane realizes thai
he must sign. I'VE do not intend Il
compel him to continue Withholding
his signature, Mr.. Kane said ''as w
realize that he must sign. But IL We
find the facts will warrant we will take
other action" Mr.. Kane says it is MOI
question as to whether the Waiel
Department has right to buy lane
outside of the city but whether it car
purchase land without being specially
authorized by the Legislature to mak'
the purchase and issue bonds for th'
purpose.