Omaha daily bee., 1902-05-06
JENNINGS HAS EYE TO LAW
Discovers Wisconsin Case Which He Con-
siderS Of Local Interest.
DEALS WITH R~EAsSEssMENT OF TAXES
District JudEe HOIus Curative Act
Constitutional, but Intimates
that Reversal May Come
from Supreme Court.

City Treasurer HsnH!ngs has discovered
a decision in a Wisconsin court which he
thinks Of special interest to Omaha, since
this city may find itself involved in similar
litigation within the next few years or
months. The Wisconsin decision was by a
district Judge In La Crosse. and the effect
of It is to declare constitutional a "cura-
tive act passed by the legislature a year
ago, by which several Wisconsin cities were
enabled to reassess taxes for public i'm
provements which had been declared in
valid. Omaha has approximately $4,000, 900
in special taxes which have been held by
the courts to be invalid, and the question
Of invoking a special act Of the legislature
to enable the city to resssess such property
has been much discussed. UNLESS this
is DONE" said Mr.. Hennlngs, $50 that the
individual bene1ciaries will pay for the
improvements, the city will have to stand
good for the bonds"
Statement of the Case.
The Wisconsin case is thus reported by
the American Banker:
The brick paving case decided in La
Crosse by Judge Halsey will be Appealed.
II the supreme court decides against the
city, as the Indications seem to point, 1t
will mean that Oshkosh. Racine, Janesville,
Wi,efst Superior E and possibly s many many p Sdhsr
Improvement work to 60. over again and It
will also mean that hundreds of thousands
dated. The history of this case and sim
liar ones in those cities is interesting and
tRe Wisconsin VIZ mnsR tmf st n9e ie These SESSION. towns IS,
together with La Crosse, a couple of years
ago attempted to make improvements of. a
public nature and charge the. cost to the
abutting property owners by adopting parts
of the general charter laws of the state.
In La Crosse the work was the laying of
500, 900 worth OF brick paving. Here the
proceedings were twice declared invalid
and finally an effort was made to have the
had over half a hundred, cases pending
when the bill came up and West Superior
certed EFFORT a bill was gotten through in
the form of Section l, Chapter TX, of the
laws of 1901.
Right to Renssess.
1t gave the cities the right to reassess
property in such. cases where the previous
assessment had been declared invalid and
have the effect of a valid original assess
passed in 1901 that this present suit as
brought. Judge Halsey decided with the
city, but intimated that under the proper
statement of facts the law might be held
unconstitutional. This point of unconstitu-
tionality will be made the strong point
when 1t comes up in the supreme court.
There is considerable such litigation
going on in different parts OF the country
now" said City Treasurer Hennings. Il
see a master in chancery Of the United
States circuit court has decided against
Sioux City and in favor of a Chicago broker
age firm. which means that the Iowa city
must pay bonds In the sum of $3.50, 900.
These bonds were issued on special assess
ment funds for public improvements be-
tween 1886 and 1891. The city, after re-
funding nearly all. said they were illegally
Issued. The master in chancery found the
bondholders were entitled to face value
on the original boc5s and for the collec-
lions in the funds for the refunding bonds.
"Omaha's situation is similar to both that
of Sioux City and/of the Wisconsin cities.
save that our litigation has not progressed
az far"