The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1914-02-04
rHG DETROIT TIMES. WEDNESDAYS FEBRUARY 4, 1911.

per cent, or 10000. 600 can be- issued.
regardless OF other bonded indebted,
ness. and this Si0,000,000 must be
used Tor acquiring street railway
system and can be used for no other
purpose.
The old plan does not provide for
paying the bonds for which the city
Is liable at maturity, but leaves that
10 the discretion OF the commissioners
This would probably make the bonds
invalid; AT least. il would make them
unsaleable.
THE new plan requires that these
bonds shall be paid at maturity.
THE old plan provides that the
bonds shall be- secured on the physi-
cal property, but does not state how
THE new plan says that first lien
mortgage shall be given. This pro
vision is necessary in order 10 sell the
bonds.
THE Verdier act requires that the
voters must approve OF condemnation
before legal proceedings are insti-
tuted such provision Ia not In the
old plan, but IL Is in the new
The Verdier act also requires that
any IiiuH VI iVnHAl uAAAAA6 a iiSM 1NA tCl
railway system must first be approved
by The voters. Such provision ls
not la The old plan. but il In the new
The old plan required the city TO
at once acquire a street railway sys-
ten beneath upon and above the sur
face OF the streets.
The new plan requires the city 10
acquire or construct street railway
system upon the surface OF the streets
only
Both plans contemplate that Che
street railway commissioners viii
mortgage the system they are author
tied 10 build. This would. under the
old plan, necessitate the commission
ers mortgaging the subway to build
the surface lines. which is not de-
srnble. The subway should be I'M
dertaken separately and the large
sum Of money required to build II
should be a first lien upon IT, The
two could be operated together but
they should be financed separately.
one section OF the old plan says
that the commissioners shall acquire
a public street railway system in the
city of Detroit and within 10 miles
outside That section is of doubtful
validity and dangerous uncertainty.
The new plan divides this section
into two. One says that the commits
sion shall acquire street railway
system within the corporate limits OF
the city. and the other that the com
mission may acquire lines outside OF
the city. This complies with the re-
quirements OF the Verdier act.
The new plan makes il the duty
OF the commissioners, as Well as OF
the common council, 10 enforce all
franchises. ordinances, rules and regu-
lations governing, and collect all pen
alties against privately owned street
car lines in the city. This is not in
the old plan.
The street car sinking fund is not
kept separate from other sinking
funds OF the city under the old plan,
but is under the new.
There are numerous other defects
making the old plan still more unde-
slrable and dangerous.
Each bill passed by the legislature
varied from its predecessor and the
plan has 10 be altered 10 meet these
changes.
The Nerdier bill was passed short
~ DtlOit Allt ApAli tAtNAlOiA ohQ bAEA0
was not sufficient time TO compare the
details OF that act with the then pro-
posed municipal ownership plan, and
II was stated at the time that the
plan submitted gave the people an
opportunity 10 vote on the principle,
and the plan would be carefully re-
vsed in the new charter This re-
vision has now been made by the
charter commission. The lawyers de-
voted considerable time 10 revising
and then discussing 1t. section by sec
ton, before the committee, resulting
in this new form Of which all the
attorneys and the committee ap-
proved.
In word, the old plan is fatally
defective. The new is as nearly per
feet as a careful, industrious commit
tee and four lawyers acting together
can make. and the only safe course Is
To secure this new plan by adopting
the new charter
Ralph Hall Ferris said:
IF Mayor Marx is so sure that his
municipal ownership amendment has
been made legal by the supreme
courts decision in the Verdier mat
ter. why doesn't he take some action?
Why doesn't he go ahead with his
bond issue? Why does he waste
time. IL the city has full power? Is
1t because he is afraid that there
would be no buyers for his bonds. be-
cause the municipal ownership amend
ment is not good? IL IS two weeks
now since the decision OF the supreme
court was handed down. and the