The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1903-03-06
THE LOAN BILL.

No more important subject Is before
the Legislature than consideration of
the proposed loan bill, which. according
| To the plans of the Senate and as well
| of a minority Of the House, will be
taken up after the county law, carrying
as il does provision for the expenditure
Of s.. 600. 900 for public works. The
idea Of raising revenue by the issuance
OF securities of this nature. is not I'M
der question, but rather the expediency.
The items of the loan bill are specific
ally set forth and the monies to be
raised by the sales of the bonds can
be used for no other purposes 1t will
be provided as we'll that any OF the
projects inaugurated under the Depart
ment Of Public Works must be carried
through to completion by the Territory
and then turned over TO the county in
which the road or similar improve
ment is located. According to this.
then, the provision would be that such
works inaugurated during the six
months between July ! and December
81 VI tiiS year. NOuiu NC Shoi 6So"Ae
to the Territory. though for the use
and benefit of the counties
The revenues of the Territory, after
the counties become entities. except the
less than half a million a year which
will come from the several taxes which
are purely and simply of Territorial ma
ture, will be derived from the percent
age of tax laid on the counties for Ter
ritoriaI benefit. Therefore the inter
est charges and the sinking funds
would be in a direct way, raised only
through the laying of an added per-
centage on the several counties. BY
the same sign the issuance of Territor-
ial bonds and the spending of monies
for county improvements. would be in
effect only the loaning of money. to the
counties without holding them respon-
sible in the strict sense for the loan.
The Territory may issue bonds to sew
en- per cent OF the taxable value Of its
property. while the several counties
cent of the values. But if the Terri
tory issues the IS. 900 as contempla-
ted, and virtually loans the money to
the counties, by performing work which |
Is for their benefit and use the county !
not only benefits, but as we'll is en-
couraged to make further loans to car
ry out works within its boundaries, and |
thus receives not only a larger amount |
of money worth, but must bear larg- |
er share of the burden of interest. 1t |
would seem that the result of making |
the counties large beneficiaries of the
Territorial bounty would result in the
end. of laying upon all share of char
ges which would be out of proportion
to the benefits.
Not that there is not field for the
from loan bill. There are harbor
works, insane asylum and penitentiary
and other forms of i'm
provement which are pressing needs.
There has been outlined a plan for the
making of the water front OF Honolulu
into modern and money-earning in
stitution. by the cutting into the lots
on the Esplanade of slips. which would
afford room for many ships. This
would be well a dividend paying
in the end. Bonds for such
would be met with the
revenues derived from the charges for
use. But when it comes to issuing
bonds for the payment of roads and
IailS. bridges and trails which will be-
fore another year be the property of the
will be under their complete
and control. the propriety
would seem to be at least question.