Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1911-12-05
Firm of Woodin, McNair &
Moore Will Not Purchase
City Obligations for $73,-
600 Warrant Indebtedness
DAVENPORT FIRM :.
WILL NOT ACCEPT
Negotiations With George
M. Bechtol Co. Come to
Naught; Ottumwa Banks
Must Garry Indefinitely.

Must Garry Indefinitely.
The bond firm Of Woodin, McNalr
& Moore, Of Chicago, has refused to
purchase the warrant funding bonds
Of the city of Ottumwa, in the sum OF
S73,O36.89 despite the fact that the
contract submitted by w. G. McNair
shortly after the firms purchase OF
the waterworks bonds last April, was
accepted by the city council. Since the
approval Of this construct. city otfic'
ials have been endeavoring to secure
it's fulillment but their negotiations
for the past seven months have been
met with delay and evasion until mat
ters were brought down to a point OF q
negative or an affirmative answer.
This answer is refusal to enter luto
the contract proposed.
Immediately upon the receipt OF TINS
communication, city officials who nave
assumed charge Of the disposal OF the
bonds, communicated with the BOND
firm Of the George M. Bechtol Co., of
Davenport. but this firm also refuses
to purchase the bonds. The council
is now where it started last April
with over $4,000 worth of outstanding
city warrants in the hands OF the
banks Of the city. drawing six per
cent interest and no present zpraspec-
tive purchaser OF bonds to fund the
Indebtedness in view. Alderman NC NC
mittea atated today that If the in
llehtedness cannot be bonded the
hanks of the city will find it necessary
70 carry the warrants which they
have taken IN until the city secures
the necessary funds to make settle.
7 ment. Alderman .McDaniel also s.asea = -
es 80 Inc - c,tv must economize contin,,-
aI,vsYcr al s At least fonr wears to get back
i, ~ : fa;r financial condition when ac-
tion i. can @ he started to relieve the in
tlahtodness Tha hanks which will be
neiJs ~ s;x ,ar cen+ interest will have
-, ..navg ldav. until the time OF the
~ adamnt,on mn a. tha warrants held by
thsm The entire interest together
witf tha amount called for on the face
~ tba warrants will be paid at the
sama time The interest now being
naid Nv tho citv or rather the indebt-
p,u ednass - that IL heinp incnrred Through
tha ] n,,tat anding warrants is approxi-
:, ,a+aIv sA aafl ner wear
r. has boon r,,mnred that citizens
,e ottun,wa have greed to purchase
sha honds at 3 Ave Der cent interest,
No uahla senoi.annuaily hut this prop
! ps;+inn has not heen seriouslv consid.
erad hv the of,cials az vet. in antici-
oatior az 4 Favorable reply from the
panhtol "a Further action has not
{ h~sa,,' decided unon hit It ID thought
tha+ an endeayor, will be made to dis
! s,sa of tha shnnds 70 outside parties.
pso Is
History OF Negotiations.
wben the sale Of the waterworks
r,,ndine bonds was completed shortly
.star t6o incantion Of the new admin
a ;st,a+,on ION in AnriI. Mr.. McNair. who
ranresented HIS Arm here in the trans
ect;on was informed that the city had
so,rc s73 OOO worth Of outstanding
warrants to he bonded. This indebted
neas WAS legaUzed by LEGISLATION in
ths state legislature. Mr.. McNair ask
- +hat the council either accent his
,,r,nnsitinn ~ | Of 4 premium Of $3.50 per
3 nnn and interest at four and one
haIs Yner cent or not consider any
Gthar hid nntu after .July Is. He
- statad tl,at his Arm wanted all OF OF
t.nwa civ bonds. After a few days
dai;heration. A. II the council accepted his
nronosition and notified him to that