Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1914-05-25

Total annual require .
: ments ~. ~. ~. s201, 0aS.44
"As per understanding, the territory
win transfer said water and sewer
works en- June the fifteenth, 1914.
Respectfully, -. ~
tSigned) IL. Z. PINKHAM,
-. PHI Governor of Hawaii"
OFFICE OF ATTORNEY-GENERAL
The Capitol, Honolulu, Hawaii
/ May II, 1914:
Opinion No 374.
Re Act 1913, S. u. 1913, transferring
Honolulu Water and Sewer Works
to the City and. County of Honolulu.
Honorable l.. e. Pinkham,
/ Governor of Hawaii, 4
Honolulu, Hawaii. ,,.1 -
Dear Sir: In reply to your letter
of May II concerning the provisions
of Act 1873, S. L. 1918, relating to the
payment by the city and county of
Indebtedness incurred by the terri
tory In the construction, operation
and extension of the Honolulu water
and sewer works, beg to advise you
that in my opinion the act clearly
provides that an annual sinking fund
sufficient to retire the bonds at their
maturity shall be paid to the terri
tory. '.- s-. ....s-
Section 2 of Act 1873 provides that
upon the transfer of the water and
sewer works to the city and county
of Honolulu, the city and county
shall assume and become liable for
the payment of all Indebtedness in
Cured by the Territory for the oper-
alton, maintenance, construction, i'm
provenent and extension of said
works and the interest thereon and
all contracts and other obligations of
every kind of the territory incurred
by reason of or in connection with
said works to the same extent to
which the territory shall be liable
therefor Immediately preceding such
transfer"
Section 3 provides that the reven-
ues from said works shall constitute
special fund to be used for ~ OPP
Grafton and maintenance of said
works; 90 interest on the bonds is
sued by the territory for the cohstruc-
ton of the said works, and ~ the
payment OF the bonds This section
further provides that the city and
county shall, after such transfer, pay
to the territory interest Ton the
bonds) and also such sum or
sums each year during the term for
which said bonds shall have been is
sued, whether refunded or not, that
the aggregate of the sums so paid
will, compounded annually at such
rate of interest, equal at the expira-
ton of such term, such par value"
That the city and county is under
an absolute duty to pay the interest
on the bonds and set aside the sink
ing fund to redeem them at maturity,
whether the net revenues derived
from the works be sufficient to pay
this amount or not, is shown by the
provision in section to the effect
that the city and county shall pay out
of its general revenues any deficien-
cies in the special fund.
Though, in my opinion, the statute
clearly provides that the city and
county shall, after the transfer of
the works, make the payments into
the sinking fund each year during the
terms for which the bonds shall have
been issued, yet if the revenues of
the city and county are insufficient to
pay the ordinary running expenses of
the city and county and also provide
for the payments contemplated by Act
1873, S. l.. 1913, we are confronted
with a condition rather than a theory
CT the legislatures intent-a condi-
ton Of the impossibility of fully per-
forming the intent OF the legislature
rather than ascertaining what the in
tent is. There can De np question
that ii is equally the legislative intent
as expressed in the city and county