The Omaha morning bee., 1924-02-24
3Proposals to
Amend Charter
Before Council
Real Estate Board Endorses
Plans-Commission May
Act Monday-Vote
in Spring.

an important step for progress of
Omaha last week, according to Chair
man +. J.. Heyn of the taxation conf
mittee, when the board unanimously
endorsed .the three charter amend
ment ordinances recently introduced
in the city council.
These ordinances will probably be
acted upon Monday. II passed. they
will be voted n accordance with Oma
has home rule charter at the city
election May 6.
The ordinances have already re-
ceived endorsement by many improve
ment clubs, the civic affairs commit
tee of the Chamber of Commerce, of
which John Rine is chairman, and
many property owners.
Street Extensions.
The first ordinance would make as
sessments and taxes for street widen
ing and extensions payable over a per-
iod of 10 years in manner similar to
the present method of paying paving
taxes.
Under the existing law the entire
assessment becomes delinquent in 30
days and thereafter draws interest at
one per cent per month. In any con-
siderable improvement this works a
hardship on small property owners.
The present law increases the diff
ficulty Of making civic improve
ments.
Omaha has fought for this legisla-
tion in the legislature for many years.
Through the home rule charter the
voters Of Omaha now have the op-
portunity to pass this law.
Bonds SeIf.Retiring.
The second ordinance provides. that
all bond issues Except certain public
utilities issuesp after passage of the
amendment shall be self-retiring
through a fund accumulated year by
year.
The ordinance as amended carries
the provision that this bond retire
;nent fund shall be invested in in
terest bearing securities of the United
States. bouas of the state OF Ne
brasl<a. Douglas county. or the city of
Omaha
This amendment Is supplemental to
the present charter provision. where
by l mill per year. or about $4,000
on the present basis. is set aside as
sinking fund to retire bonded In
debtedness. The ordinance Will not ef-
feet bonded indebtedness now exist
ing.
Example Of Wording.
As an p,ustration OF the working
Of the law. Mr.. Heyn presents the
following example:
Give bond Issue OF si.000.00 to
run 80 years bearing IL per cent
Interest on this issue would amount
to $4,000 per year.
However. assuming the amount
paid into the sinking fund yearly 10
be invested at 1.2 per cent and
compounded over a period Of 80 years,
the total amount of principal and IN.
terest necessary to be raised each
year In order to retire the issue at
maturity would be only SCI 400. or
about one-sixth OF a mill on the pres
ent basis.
In other words, the issue would re-
tire Itself ut maturity with n small
difference. In taxes over period Of
years.
Optional Paving.
The third ordinance provides that
the city commission may, at its option.
pave boulevards within a radius OF
one and one-half miles OF the city
hall. This ordinance places the CLOSE.
IN boulevards on the same basis as
the close.in streets and has received
general endorsement.
Property owners and organizations
interested In the amendments are
urged TO attend the public hearing
in the council chamber at the city
hall Monday morning at 10.