The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1909-04-13
SENATE


motion II Ihillingw ofih
House 1911 No 81, the measure 10
alloe the Territorial Treasurer 40 de-
post funds IN private banks, came up
on third reading. Senator Moore %
posed the provision 81 te btu that al.
lowed the deposit Of ah'unlimited pof.
ton Of government funds IN the banks.
Moore argued that the amount 20 he
deposited should be limited 90 30 per
cent. lie declared that the Territory
should be protected in time Of sirin.
gency, and ought TO have nj least half
Of its cash on hand to meet the demands
OF an emergency. lie argued that the
Legislature would be taking an unwar.
ranted chance, and that registration Of
warrants, with accompanying ills, would
follow in the wake Of financial
stringency.
Senator Knudsen opposed n so per
cent. limitation. He said that the
most important preventive measure of
financial stringency was the free eircu.
lation Of money. He urged that an un-
limited amount he allowed to 20 into
the banks and circulate.
Replying to an observation of Sena.
tor Moore, Fairchild stated that dur.
ing the recent panic the local banks
were very near the "buzz saw and
that il was only by the bankers taking
great chances that the panic on the
mainland was not felt in the Territory.
Defer Depository Bill.
Senator Fairchild admitted that the
points raised by Moore seemed TO be
well founded, and he asked that the
bill be deferred until today. when
those interested in the measure could
be heard from.
Senate Bill No. 1873, providing for
the creation of a separate fund from
the receipts for the maintenance of
the waterworks and sewer system of
Honolulu, was taken up on third read
ing. (
Senator Makekau objected to the
clause in the bill that placed full dis
cretionary power in the expenditure of
the money in the hands of the Super
intendent of Public Works, with the
approval of the Governor. He said
that it would allow one official TO have
unrestricted control of the improve
ments and extension of the water
works system. Makekau moved to
table the bill.
Senator Moore supported the meas
ure, declaring that it was strictly a
county measure, and would tend to-
ward simplifying an ultimate transfer
of entire control of the waterworks
system over to the county.
Senator Mccarthy opposed the bill
on the ground that it placed too much
discretionary power in the hands of
one official He added that there was
no specific provision for a sinking
fund, and that the bill as it stood
meant that the wateworks be "taken
out of the hands of the Territory and
placed in the hands of the Superin-
tendent of Public Works.
Senator Fairchild defended the bill.
He said that it was intended to give
the City and County of Honolulu the
direct and sole benefit of its water
works system. He added that the
passage of the bill would make it un-
necessary to bond the Territory as a
whole for the improvement of public
work from which Honolulu was to de-
rive the only benefit. Fairchild adj
mitted that the bill was placing I'M
desirable power in the hands of the
Superintendent of Public Works, but
said that il was one of the weaknesses
that would he more than outweighed
by the benefits of the bill.
Support for Bill.
President Smith took the floor and
supported the object of the bill. Sen
ator Knudsen thought all objection
could be met by the insertion of an
amendment providing that not less
than 10 per cent. of the gross annual
receipts should go toward the creation
of sinking fund and payment of the
interest on outstanding bonds.
Senator Smith opposed the amend
ment. He stated that the fixing OF
the percentage to go for the creation
of sinking fund should not be done
arbitrarily, but should be carefully
considered. The amendment was
adopted. Senator Robinson had an
amendment for the insertion of the
phrase "actually necessary" before
the clause allowing the Superintend
emit of Public Works discretion in the
extension and Improvement of tn,
waterworks system. The amendment
was lost, and the bill passed on sec
ond reading, Senators Makekau, Rob
inson,. Brown and Kaama voting
against il.
On Final Passage.
IlOuse lDlii nv. 100 pioHipib'h6 bh'
sale of certain kinds of iced fish, pass
ed third reading with one dissenting
vote, that of Senator Knudsen.
House Bill No. 173, authorizing pub
4 lie accountants to deposit funds il
banks designated by the Treasurer o.
i the Territory, received final indorse
ment, after Senator Baker had re
ceived needed enlightenment.
N 1,
problem of the restraint of person
accused of insanity and providing TO
the appointment of lunaey commits
sion, was considered on second read
ing. Senators Fairchild and Knudsel
objected to some of the provisions o
the bill. pointing out number of oh
yious defects. AS chairman of tn
Health Committee, Coelho produced
number of communications he has re
ceived dwelling upon the unworkabl
provisions of the measure.