The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-11-04

TRAINERS AIMED NOT TO IN.
CREASE BONDED DEBT LIMIT.
The Only Limitation on the Bond Issues
at Present Are Those Of the Revised
Laws of Minnesota Which Would Not
Be Affected by New Charter.
To the Editor of The Journal.

Some objectors to the proposed new
city charter seem to claim that Its
adoption will work large increase in
,.ne limit ard purposes for which city
bonds can be issued and assuming that
this claim is true, they prophesy disas'
tiers of many kinds to the city if the
how charter is adopted.
The charter commission in framing
the charter were of the opinion and still
maintain that its adoption will not at
all increase the power or purposes for
which the city is authorized under the
present laws to issue bonds.
The subject is somewhat complex.
This letter is intended for those who
wish to give the matter some careful
and patient consideration.
The provisions Of the new charter
relating to the limit of bonded indebt.
edness are sections % and 90 Of chapter
Xiii. They read as follows:
"Section 22-The city of Minneapo.
lis may issue bonds for the purposes
for which cities are authorized to issue
bonds under chapter x. of the Revised
Laws Of Minnesota, 1905, and in the
issuance Of such bonds shall be gov.
erned by the provisions of said chap
ter and Of this charter.
"Section 23---No bonds shall be issued
In any manner or for any purpose so
that the net Indebtedness of the city as
defined in chapter X. of the Revised
Laws of Minnesota shall exceed per
cent of the assessed valuation of the
taxable property of the city,
Chapter x. of the Revised Laws of
Minnesota referred to in the previous
sections is entitled "Public Indebted
ness.' 1t should be examined by every
voter. 1t defines the bonded indebted
ness and the net Indebtedness of cities.
rants payable forthwith, certificates
issued for the creation or maintenance
Of permanent improvement revolving
fund, obligations incurred for streets,
parks and other public improvements
which are payable from assessments,
bonds issued for the purpose of the con-
struction of waterworks, lighting, heat
ing and power plants, street railways,
telegraph or telephone lines and other
public conveniences from which revenue
may be derived and lastly sinking
debtedness so defined to per cent Of
the assessed valuation of the city
But it places no limit upon the other
Indebtedness of the city. 1t requires
all bonds issues to be approved not
only by the city council. but by a ma
iority of the voters of the city.
The Revised Laws of Minnesota
were enacted at the last session of the
legislature and went into effect last
March. They have ever since been and
are now in force. They are general
laws.
The legislature having authorized the
issuance of city bonds and having
fixed the limits of bonded indebtedness
and having done this by general laws,
the charter commission claims that the
adoption of a new. charter will not and
could not affect such limit in any man
ner, either to increase or decrease The
same, and that consequently the city
could today as we'll as after the adop-
or. all Of the purposes and for the
amount specified in the general laws