The Mankato free press., 1909-10-22
CALL FOR BOND bids.
PROPOSAL RECEIVED BY COUNCIL
rs REJECTED.
Money Loaners Demand a Higher Rate
of Interest; Aldermen Pass Reso-
luton to Extend Sewer and Water
to Ladies' Seminary; Claims for
Damages Turned Down; Automobile
Travel Too Fast on Streets.
From Saturdays Daily.

bids for the sale of $4,000 of water
works refunding bonds, to bear four
per cent interest and run twenty
years, but only one bid was presented,
as there is no sale at present for
municipal four per cent bonds. The
law requires that these be sold at
not less than par, so the bidders were
barred, and the one that bid got
aronud the law by exacting very
large attorney fee.
The only bidder was F. H. Rollins
and son of Chicago, who bid par and
accrued interest, and asked 81 100 for
attorney fees and for furnishing the
blank bonds.
letter was received from the Ma
tional Citizens bank of Mankato, say
ing that it would submit bid if
higher rate of interest was allowed,
but that it could not do so on four
per cent basis, with no discount al
lowed.
A representative of the Minnesota
Loan and Trust company of Mime
apolis stated that it was hard even
for the twin cities to sell four per
cent bond at present, but that he
would bid on four and one-half per
cent bonds.
The representative of another COM
pany said that all five agents pres
ent would bid on four and one half
per cent bonds. If the council would
pass the necessary resolution the bonds
could be put on sale at auction i'm
mediately, and doubtless considerable
premium would be realized.
The council took recess and talked
the matter over with city Attorney
Schmitt who held that inasmuch as a
sale of four per cent bonds had been
advertised it was not safe to under
take to sell bonds bearing a higher
rate of interest, without advertising
it for two weeks. The local banks
agreed to carry the city from Nov.
until the money from the sale of
bonds came in
The council on reassembling, voted
to reject the bid.
City Attorney Schmitt then pre-
pared a new resolution, calling for
bids for the bonds. to bear four and
stated Dec. l, interest payable semi
annually in Chicago, bids to be re-
ceived Monday, Nov l, at 1880 p. m.,
at an adjourned meeting of the coun-
ell. Each bid is to be accompanied
by a certified check for 81 800 as
an evidence of good faith. This was
carried.
A liquor license was ordered granted
to Charles r. Guth, and his bond,
with George H. Hoerr and H. Himel-
man, Jr., as sureties, was approved.
A liquor license was ordered granted
to Joseph Stahl and his bond with j.
i. Seidle and Sch Zimmerman as sure
ties, was approved.
Sewer and Water Promised.
A resolution was presented, binding
the council to extend the sewer sys-
TEN and the water mains to the prop
erty of the Evangelical Lutheran Edu-
cational association on McMahan's hill,
where the ladies' seminary is to be
constructed. Aid. Hampl moved that it
be adopted.
Aid. Pass asked what complications
would arise, owing to the city having
no money to do it with.
Mayor Meyer said that it would not
have to be done until next year.
City Engineer Wilson was asked
what plans he would propose, and said
that the city could benefit the water
system by having second reservoir,
to he held in reserve, and to be so
arranged as to hold the precipitation
of iron, which in the present reservoir
goes down in the water mains and
the people think the water dirty when
it is not An electric booster pump
could be used to fill the reservoir
and furnish pressure. With two reser-
voirs, it would be the same as in
creasing the city's pumping facilities
when more water was needed. One
could be used while the other was be-
ing cleaned.
The resolution was passed unani-
mously.
A resolution was presented, provid-
ing for the vacation of portions of
Glen avenue and unnamed streets. 1t
was adopted and the hearing on the
petition set for Nov. S. The streets
to be vacated are where they cross
the. seminary grounds.
Claims for Damages Disallowed.
A claim for $1,000 damages was re-
ceived from Frank B. Rollins, for in
juries sustained Sept. when the fire
team that was running away dashed
into his wagon and resulted in his leg
being broken and other injuries.
City Attorney Schmitt held that
the city was not liable for damages
done by the fire teams, and upon
his advice the council voted to dis
allow the claim.
Aid. Pass went on record as favor
ing a settlement out of court, as he
felt sure that the city woul dlose if
litigation resulted. This brought up
on him the censuro eff the mayor
and other aldermen for making such
a statement.
The council voted to disallow a bill
of $l04.65 from L. c. Diamond for
damage to his horse and wagon in the