The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-08-06
.STIMSON PLAN APPROVED.
SAVING STATE $50, 900, 900
Constitutional Convention Advances Article to Third
Reading and Defeats Senator Wagner's Amend
ment-Prominent Democrats Vote With Majority.

ALBANY. Aug 5.-The Stimson plan
now and the time the highway and cana
bonds are retired was advanced to a
third reading by the Constitutional Con.
ycntlon to-day after an all day debate
mittee on finance, of which Henry l.
Stimson is chairman. had given the
plan long and mature consideration. re.
fused TO permit n amendments to the
mittee at every point.
The Stimson plan provides hat bonds
not yet issued but authorized shall be
serial instead OF sinking fund bonds, In
Guiding the s27. 900 900 canal terminal
bonds to be voted upon by the people
this autumn. 1t Is also provided tina,
serial bonds may be exchanged for the
nifty yea bonds outstanding. which bear
an average interest rate OF "A per cent
And to make the exchange attractive to
the bond investor the interest Is to be
increased to Az per cent
For the first time a provision is to
be inserted In the Constitution giving
a bondholder the right by mandamus to
compel the State Comptroller to sci
aside each year the i.incipdl and in
tertst of the bonds, II the Legisla-
ture should fail to appropriate the mon.
eys and the Comptroller should then fail
to act. Another provision is that nc
honda Qhall ha tgattaI fp. n nartaI lnpuar
than the probable life of the improve
ment for which 1t In issued. There is
"A surplus of $40, 600. 900 IN the sinking
funds now in excess of actual require.
ments and this money Is not disturbed
by the Stimson plan.
Stimson Explains Plan.
Chairman Stimson outlined for several
hours the work OF his committee and
explained the conclusions which re-
suited In the drafting of the articles
submitted to the convention. He was
aided in analyzi the effect OF his
plan by III. Leroy Austin of Albany,
his coadjutor in framing the project.
Perhaps for the first time since the
convention met. nearly all OF the dele.
gates were in their seats and close at
tention was paid to Mr.. Stimson, ths
u'leEdteS rtallElNR tnat TINS. pernap
more than any other section Of the Con.
%stitution. would bring popular support
TO the revised Constitution at the polls
IN November.
Several attempts were made to amend
the Stimsou proposal. but the delegates
would not listen. This was in marked
contrast to the manner ~ which the
delegates have been tearing into shreds
the taxation article submitted to this
convention by Martin SAKE. who Is
chairman OF the convention committed
on taxation and president of the STATE
Tax Commission.
Senator Robert +. Wagner made the
strongest attack upon the propositions
when he insisted that his generation
should get the benefit OF the $50. 900. OOO
excess in the sinking funds and he
moved an amendment permitting the
utilization of this surplus I'm reducing
the contributions t. the sinking funds
each year and in paying interest on the
bonds.
senator Wagner insisted this surplus
should he used to Va interest on the
bonds and thus relieve the present New
York city taxpayers of that much of "A
direct State tax.
IL am pleading" said Mr.. Wagner. for
the follow who gets up at : o'clock in
the morning and works until 6 AT night
and not for the fellow who has his
breakfast at IL n quits work when the
stock exchange closes at g."