Idaho County free press. [volume] (Grangeville, Idaho Territory) 1886-current, 1921-10-06
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idaho COUNTY
Construction Will Proceed,
Opinion of Engineers, But
Date of Start Not Certain
Salt Lake Firm Takes Secur-
tiles and Will Sell Bonds
to Big New York Concerns

Highway construction by the state
and federal governments in Idaho
county is expected to proceed, with
the sale by the state last Saturday of
the two million dollar highway bond
issue.
Engineers and contractors in Grange
vile are confident work will be re-
sumed on the North and South high
way, but when call for bids will be
made by the Idaho highway depart
ment, they are unable to say.
The two million dollar issue was sold
by State Treasurer d. F. Benks, Satur-
day after four unsuccessful attempts
had been made since January, 1921, to
dispose of the issue which was APP
proved by the 1919 session of the leg
islature, affirmed at the 1920 general
election and for which the 1921 leg
islature voted a fiscal agent fee of
$97, 800 to aid in selling the bonds.
BOUGHT BY UTAH FIRM
The Palmer Bond and Mortgage
company of Salt Lake city was the
successful bidder for the fiscal agency
and the bid was $4,000 or $4,000
less than the appropriation made by
the 1921 legislature. Through the
Palmer company the entire issue of
bonds will be taken by a New
York syndicate composed of five of
the leading bond houses of the coun-
try. The bonds are dated JAN. |,
1921, and mature in twenty years. The
state will receive par and accrued in
terest for the issue from which the
first interest coupon has been clipped
because of the first payment being
due July l.
Crawling of the Boise-Mountain
Home state highway will be the first
act of the state highway department
upon receiving proceeds of the bond
issue, it was announced by highway
Some grading and the
entire graveling of the road will
be carried to the Gilmore county line.
It is anticipated that 100000 will be
for bids will be made
and the contract win be let probab, y
about October Is or 20. The entire
expenditure will be considered as re-
to the county for work
done on the Arrowrock highway.
HOW SCHEME rs PLANNED
When it was found that all bids
were too high the Palmer company
started out on a scheme whereby it
could, in time, take the bonds at par
and also reduce the amount of the ifs
cal agent fee allowed by the legisla-
ture.,
The company went into all parts of
The state buying up state highway
from contractors and any
me who would sell them. at a dis
count. Hundreds of thousands of dol
ars worth of warrants have been
purchased in this MANNER, it is said.
This was done to "take up the slack
n the bond market for, by holding
hese warrants until the bonds were
hem for full value.
Names of the New York bonding
houses which will take up the issue
ire: William R. Mompton company;
Equitable Trust company; Kissel,
& Co.; Eldredge & Co., and
2emick, Hodges & Co.
Several other bids were presented
but all were above the bid
If the Palmer company. The Boise
ity National bank submitted bid
or the fiscal agency Of $95,S60. This
lid also represented a syndicate which
vas to take up the bonds. A third
I'D by Ferris & Hardgrove of Spo-
zane, was not considered because it
vas optional.
Sale of the bonds means a new
ease of life to active prosecution of
tate highway work. The work of
he bureau of highways has been
practically at a standstill for lack Of
unds, save for the completion of
york under old contracts and GER
ain amount of construction and
work. Under the nine-
enths mill special levy the sale
makes possible the retirement of reg
stored warrants drawn and now out
ON the highway fund