The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1903-06-23
Over One Hundred Thousand
Dollars Worth on Hand.
DRAW FIVE PER CENT.
Nay Be Sold in Small Lots to
Local Investors.
The General Improvement Work
Is Being Pushed.

All the paving contractors in the city
Of Topeka can be forced to accept as
payment for their work. in lieu of cash,
the Improvement bonds which the city
has issued and which it has so Tar been
able to sell.
This is a provision of law which has
been almost forgotten. but it is in the
new city charter act ia the following
terms.
Sec. 1874 ** Such bonds may be is
sued to the contractor constructing the
improvement. in paymen thereof or the
mayor and council may sell the same
and pay the proceeds thereof to the
contractor"
Heretofore. the city has always pre-
ferred to sell The bonds. and pocket the
neat little premium which the bond
buyers have been willing to pay. This
year things are different Not a single
bid was received for the 1922, I65.0S
which the city has for sale. Unless
some one can be found who will buy
the bonds, the city will have to dump
the entire lot into the hands of the con-
tractors. and let them dispose of them
as they see fit.
Ramsey & Ramsey. John Richie. j.
Il Maxwell and Wall K HanIey VIII
she bonds. and the rest viii be divided
among minor contractors.
There is still possibility that the
bonds VIII be sold. For some time a To-
cal bank has been meditating on the
advisabiity of submitting a proposition,
and has not yet arrived at d definite
conclusion. The reason for the diff
Guilty in selling the bonds is not the
fault Of the bonds, and is not because of
the North Topeka food as some people
have imagined. Lit is all because of the
stringency i'm the eastern money mar
kets. A Topeka man well posted in
bond matters said today:
The fact of the case is that money
is very tight IN Wall street. New York
is having more of a squeeze right now
than 1T openly admits There is no
money floating around hunting invest
ment in bonds, and bonds of all de-
scriptons are a drug on the market.
The recent flood here has no influence
on the situation whatever. The people
back east are not worried by that flood
1t VIII not affect the sale of the bonds. :.
IL the contractors are paid in city
bonds. they can do one of three things.
either sell the bonds for whatever they
can get. borrow money on them as col
lateral. or hold them and collect the 5
per cent interest as an investment.
The latter course is not very likely
one for most of the contractors can not
afford to keep so much capital tied up
in bonds They need the bash to pay
their labor and material bills. 1t has
been The custom of the city to help the
contractors along by paying over money
Tor their work as it progresses.
The contractors would therefore have
TO sell the bonds. or borrow money on
them either of which would proba bly
be easy to do BY scattering the bonds
around IN $4,000 lots, ii makes them
easier to dispose Of Many banks or
private investors who can afford to in>
vest $4,000 in per cent securities
could not conveniently tie up enough
capital to absorb the whole issue of
Si2z,eO0. as it would have to do if it
bought direct from the city
The greatest hardship on the con-
tractors would be that the city might
not be able to turn over the bonds un~
I'll their work had been completed
City Engineer McCabe thinks that if
tne weather is good the rest OF the sum
mer and fall. the contractors Will be
able to nearly complete the paving
work which is laid cut for this season.
The brick men are busy hauling brick
now, and great deal Of the curbstone
is on the ground ready for use Max
well has his grading gang at work. and
everything is ready TO move on except
for the lack of sand. The high water
washed out the sand dredges, and until
the Kansas avenue bridge is made
ready for use, it will be Impossible for
teams to haul sand from North Topeka.
lt is thought that hauling Will begin
Thursday.
Two big brick lzilns at the Capital
City brick works were washed out by
the food, and this will perhaps delay
to some extent the work of supplying
brick, but for the present. the Capital
City plant and the old Blackman plant
both have a large supply of brick which
is being brought TO town as rapidly as
possible.
Ramsey & Ramsey are having some
trouble 20 get brick for their work
They do not belong to the ring" OF
combine, and the brick makers do not
favor them if they can help it. For a
time before the flood it looked as though
the pavement combine" might succeed
in enecdng a freezeseut on the Ramsey
firm. and absolutely prevent them from
getting brick in time to fulfill their
contracts.
PLAYED PEEPING TOM.