The Chronicle-star combined with the Moss Point advertiser., 1949-11-18

THE BOARD OF suPERvIS-
ORS CT JACKSON COUNTY.
MISSISSIPPI TO REScIND
ACTION TAKEN BY THEM
ON OCTOBER q. l949 AND
TO ADOPT APPROPRIATE
RESOLUTION CERTIFYING
THE COLLECTION OF THE
TWO MILL TAX CONFORM
ABLE TO LAW AND THEIR
PLEDGE SO TO DO.
WHEREAS, the Board of Sup
ervisors of Jackson County, Mis-
sissippi. on the 2lst of March,
1919, adopted a resolution pledg-
ing the proceeds of the two mill
state tax TO the servicing of Pas
cagoula Port Improvement Bonds
and pledging themselves to adopt
proper resolution. when taxes
were levied, directing the Clerk
to certify the collection Of such
tax to the Sheriff and Tax. Col
leetor of Jackson County: and
WHEREAS, the City of Pasca-
goula issued said bonds conform
able to Chapter 200, Laws of Mis-
sissippi Of 1884, and dedicated
the entire proceeds of the said
two mill tax to the servicing Of
said bonds, which proceeds can
be used for no otherApurposeS and,
in SO doing, relied on the official
pledge of the Board of Supervis-
ots; and
WHEREAS. said bonds were so
issued and the proceedings issu-
ing said bonds with the irrevoca-
bic pledge of the Board of Super
visors were submitted TO the
Chaneery Court of jackson Coun-
ty and, no protests having been
filed. were validated and con-
firmed by said Court; and
WHEREAS, on the 4th day of
October, 1919, on motion of Mr..
Edward A. Khayat, with Messrs.
Khayat. Cumbest and Cruthirds
voting yea" and with Mr.. Krebs
voting may" and with Mr.. Moran
present and not voting, the Board
of Supervisors declined to certify,
for collection, the two mill state
ad valorem tax on all taxable
property in Jackson County, Mis-
sissippi for the purpose OF paying
the principal and interest of out
standing Port Improvement Bonds
issued by the City of Pascagouia
pursuant TO Chapter 200 Of the
Laws OF Mississippi 1884: and
WHEREAS, this Port Commits
sion feels that such action on the
part of the Board of Supervisors
was a Reputation of their formal
and official commitment made by
resolution unanimously adopted
By the Board on March 81, 1919:
as recorded in the Minutes Of
the Board in Book %, at Pages
395-400; that such action was in
defiance Of Chapter 209, Laws of
Mississippi, 1884, now Sections
7577 to 1889. both inclusive, Code
of 1912, as interpreted by the At
torney General in an opinion
which was referred to in the
order of the Board; and which
opinion held definitely that in
the port counties this state tax
levy of two mills is a bond tax
and not a maintenance tax, and
that no homestead s exempt from
the levy thereof, and that it is
the duty of the Tax Collector to
collect said tax; that the action
of the Board is in violation of
Section 1877 of the Code of 1912
which leVies said tax and pro-
vides that it shall be collected
and which further provides that
the provisions Of this act shall be
deemed to be d contract with
the holders OF any bonds or other
obligations issued pursuant to this
act,' and is in reputation and
breaking of the formal contract
with the holders of the outstand-
ing Port bonds; and
WHEREAS, the Port Commits
sion notes that Board Member
Edward A. Khayat, who is as
sistant vice-president Of the Pas
cagoula-Moss Point Bank, filed,
in writing, with his motion which
the Board adopted, a statement
setting out his reasons therefor,
numbered ! to V, inclusive, and
WHEREAS. this Port Commits
sion deems it necessary to com
ment on the enumerated reasons
set out by Mr.. Khayat in his
statement, using the same num-
bers for convenience:
I. Mr.. Khayat says herein that
it is not necessary to cause a
collection of this two mill tax,
even though he admits that tho
Attorney General has ruled that
the two mill tax levy IS a bond
tax and not a maintenance tax.
but maintains that the Board does
not violate its solemn obligation
and contract because the collec-
ton of the tax from a part Of the
property holders would still give
sufficient returns TO service the
bonds. He sets out the amount OF
the assessment for the year 1949,
then the approximate amount of
the valuation of the hometseads
on the same assessment roll, and
then makes a mathematical cal
culation by multiplying the as
sessment by two mills, which he
either knows or should know was
an erroneous and incorrect cali
culation.
II. Mr.. Khayat quotes Howard
Ivy. q representative of one OF
the security dealers who pur-
chased the bonds. to the effect
that the bid on the bonds was
based on the present revenue,
exclusive of the levy on home
steads, and pretends that such
statement from NJ. Ivy would
relieve the obligation to collect