The Paducah evening sun. [volume] (Paducah, Ky.) 1906-1929, 1909-01-22

owe all the merchants Is your floating
debt The floating debt OF a city is
no different, and II is to be dis
tinguished from bonded indebted
ness against the maturity of which a
sinking fund is accumulated.
Let us stick to our Illustration.
How long can YOU maintain and in
crease a floating debt? Just as long
as your credit lasts. II Is exactly
the same with a city.
How long will your credit last?
Just as long as you pay your debts,
or are considered able to. II is exact
ly the same way with a city.
When you can't pay your debts
promptly, but desire time for liquida-
ton, what do you do? Give notes.
So does a city.
| When you give notes for short ex-
tensions of time, what do you pay
besides the original debit Interest,
So does a city.
| Eventually what must you do?
Pay the debt. So must a city.
With what do you pay the debt?
Money. So does city.
| What would you use IL you paid
cash? Money. So would city.
What is the difference between
paying cash and giving notes? The
interest.
Where does a city properly get its
money to make improvements? on
the other fellow
That is all there is TO that floating
debt proposition. 1t is just as alb
surd to talk about a city getting
ahead by running behind, as to talk
of business man doing II that way
Another fact is, that credit gives out
when debts are not paid, and then
come lawsuits and accumulated in
terest--and the same people have TO
pay them all finally. You can't run
city without money.
The News-Democrat says "a city
out of debt is always found at a stand
still Better increase the
floating debt and bring about more
Improvements"
II you should push the News-Dem-
ocrat for examples. it would point out
cities that have created BONDED
debts to build streets and sewers and
sidewalks. Now, IL there is any
sense in that old organ at all, it
knows you cannot build streets and
sidewalks and sewers ION tick"
Private property owners pay for such
improvements. and, thereby Is the
wolf of private greed fould in its
sleeps clothing OF public enterprise.
The News-Democrat Is terribly exer-
cised over the fact that few of its
stockholders will have to pay $40
more license than last. years. but il
never lifts its voice in behalf of the
small home owner, who pays fifteen
OF sixteen cents for concrete side
walks, similar to those laid In
Brookport for nine cents. It could
dig up sure enough oppression, If IT
would talk about that for awhile.
Let us settle this thing once for
Jail: the city doesn't pay for building
streets and sewers and sidewalks.
Property owners go down In their
own pockets for that expense, and
they need protection more than do
the payers of occupation licenses.
Those little home owners bear their
full burden OF taxes, and they pay
thirty and forty per cent more for
their sidewalks, sewers and streets
than people elsewhere pay.
about cities in debt, it refers to cities
that have created bonded debts for
public improvements. But il cannot
point TO Kentucky cities with pride
They are restricted to ten percent of
their assessment and cannot issue
bonds for street work without a popu-
lar vote.
II the News Democrat is in earnest
about improving the city, let 1t join
The Sun in a fight to secure an
amendment to second class city char
tiers, allowing city councils to issue
ten year street, sewer and sidewalk
bonds. providing for liens on abut-
ting property and the reimbursement
of the city by the property owners in
20 semi-annual installments. In |
that way the city could pay cash for
the work. and get it done forty per
cent cheaper than at present. while
property owners would have ten Years |
in which to pay for II at three or four
per cent interest, less than the nat |
ural increase in value of the property |
by reason of the improvement.
AS to paying off the floating debt |
That is nearly all wiped out. But.
there Is a contagious hospital to be
built for the benefit of the poor con-
sumptives of the city, who are suffer-
ing in novels and spreading the
plague among the rest of us: there is |
substantial bridge to be built over
Island creek, so that Mechanicsburg
citizens will have safe communication
with the city at all times; there is
fire protection to be secured for the
west end: the maintenance OF the