The Parisian. (Paris, Tenn.) 1907-1962, 1921-05-20
COUNCIL SAYS
Why issue OF
BONDS SOUGHT
Bond Issue Ordinance Is Passed Sec
ond and Final Reading
Friday Night.
w. C. JOHNSON WANTS AN
INCREASE IN TAX RATE
Addresses Council Suggesting In
crease Tax Rate From so
Cents to One Dollar.

4
Cents to One Dollar.
Friday night the city council met
in special session to pass the bond
issue ordinance and other ordinances
on second and final reading, and to
| take up other unfinished business
| from the Tuesday night regular
meeting.
/ Among the details of new bust
ness, a side walk was ordered con-
strueted on the north side of the
levee on Depot street between the
end of the present walk and the
Preston Hotel. Sewer extension was
ordered on East Wood street for
/ some two blocks towards Blakemore
street. The report of the fire and
water committee was submitted and
will be passed to the state fire de-
| partment looking towards preclud-
ing an advance in insurance rates
here.
! When the bond issue ordinance
was called up on second and final
reading Mr.. w. C. Johnson, being
present, was invited to address the
council in connection with q letter
ana program which he had addressed
to the mayor and members of the
board of aldermen that afternoon,
and following his address was hand
ed a reply from the mayor, which
was subsequently formally endorsed
by the co ,ncil. Mr. Johnson's letter
is as follows:
Paris, Tenn, May 13, 1921.
To the Honorable Mayor and Mem
bers of the Legislative Council of
the City of Paris.
Gentlemen:-
My interest in the City of Paris
and long experience prompt me to
submit the following for your serious
consideration before final action is
taken on the proposed bond issue.
| Be it remembered,
That $3.50, 100000 bonds to
run thirty years at 8. per
/ cent is interest $4,000 90
| Tie bond issue .-- 250,000.00
Total debt so contracted,
bonds and interest $500, 900. 90
This is equal to one-fourth of the
entire taxable value of all real estate
within the city and means mort
gage on all real estate of every kind
and character.
Personal property is transient and
cannot be counted on or specifically
! pledged.
If interest is computed semi-an-
nually as to be paid, this together
with the bonds would amount to the
enormous sum total of approximately
81, 900, 100000, or two-thirds of the
assessed value of all real estate in
the City of Paris.
If only $150,000.00 of bonds are
issued, then the interest and princi-
raj would amount to $420,00000, or
o>relseventh of the total assessed
value of all the real estate.
IN view of the above and the con
stantly increasing number of unem
| ployed and decreased earnings of
| every institution and receeding
I values, can you afford to at this time
consider either bond issue?
l would suggest instead the fol
| lowing:
First, as provided in the new char
| ter borrow, from the local banks
preferably as usual, or issue short
term bonds sufficient to fisish the
negro school building and to do the
actual needed repairs to the streets
and water and light plant.
Second, raise the present tax rate
| for the two year period from soc to
| $1.00, to earn revenue Of
| (A) On real estate. value approx
mately $S,000,0 100000 at $1.00,
100000.
(B) Personal property (get it alD
| approximately $1,000, 100000 al
$1.00, 100000.
| Co Advalorem and privilege (get it
alb approximately $6,5O0.00.
| Cd Tax each motor driven vehicle
for pleasure or profit, and each
horse drawn vehicle for profit,
to raise approximately 100000.
(E) Assess a poll-tax OF $500, APP
proximately $4,500.0O.
Total annual revenue approximate
ly 100000
Or for the two year period $780,
10000.
| This amount, $55,000.O0, annually
is four times the revenue of the city
a few years since and will give all
the revenues that can under present
day conditions be wisely and eco
Ironically expended.
Third, for the present keep in
force the present water and light
rates, operate the plants as eco
Ironically as consistent and so as to
pay all running expenses and 5 per
cent interest on the city's bonded
Indebtedness up to the value of the
the water and light plant and the
sewerage system, and to create
sinking fund to retire such amount
of bonds
This is common justice to all
alike.
Re it further remembered that not
only the proposed bonds and interest
must be paid to the amount of
sac, o00.00 or $500. 10000 as the case
may be, but a tax revenue equal to
the above S55,O00.00 must be raised
annually. to take care OF the interest