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A New Railroad Aid "dodge."

A New Railroad Aid "dodge." image
Parent Issue
Day
28
Month
February
Year
1873
Copyright
Public Domain
OCR Text

The following bilí is pending in the House - at Lansing - for the "relief "of cortain toTvnships in thia State : A bilí to Toliore the T.ownships of St. Joseph, Lincoln, Lake, Chikaming and New Buifalo, in tho County of Berrien and tëtato of Michigan frora tho payment of certain bonds issued in aid of the Chicago & Michigan Lako Shore Rüilroad Coiupany, and to relieve all other towntthips in this State whioh have outstanding bonds voted in aid of any railroad company, whoso bonds are outstanding. Soc. 1. The Chicago & Michigan Lnke Shore Kailroad Cornpany sh;Al have a credit on the Books of tho Auditor General for a gum oqual to the bonds and ocrued interest thereon, voted in aid of its construetion by the towuships of St. Joseph, Lincoln, Lake, Chikaming and New Buö'alo in the County of Berrien, and delivcrüd to s.-.id railroad compauy by the Treasurer of the State (exoepting $1,000 heretoforo paid by the Township of St. Joseph). Sec. 2. The speciiic taxes duo from gaid railroad coinpany aanuaily shall bc chargcd to &aid company by the Auditor General u-nlH ihe amonnt of taxES ao charged shall equal tho ahora named crodits. And no rnoriey fihall be collected from said company for epeciiic or other taxes uïitil lifter said crédita have been absorbed in pursuance of lawa uow in force and of this act. Seo. 3. Tho Auditor General shall requiro of said railroad coinpany interest coupons of said bonds to be deposited with him to tho amount of said speeific tax, unnualiy, or in lieu of coupons aforesaid, original bonds, or both coupona and bouds, as said railroad coiupany may olect. übc 4. The Auditor General shall, after osacoling said bonda or coupons, or both, return thora to the rownship to which they belong. Süo. 5 Any other township in Michigan, or ar.y ether railroad compmiy raay avail itself of the provisions of thia act, under such regulafciona as the governor, Auditor General and State Treasurer roay diroct. Bec. 6. Any railroad corapany may deposit, at once, all the bonds so votcd in its aid, or any part of thein, in pursuance roí'iho provisiona of this act ; and when so deposited tbey sfaall bo cancolod and turned to thc reapoctive townships that issued íbera. Sec. 7. Any railroad company accepting the provisions oí' thi3 act may add to its first mortgnge bonds a Bufficient amount to enable it to purchase townsbip bonds or exchange one bond lor anothor as way be for its interest. There is a very lingo obstacle in tho way of carrying out this nioo littlo écheme, ingcniously as it has becn devised. When Mr. MoiiElsoJí indited Lis memorial and drai'ted his bilí he must have ovcrlooked section 1, article XIV, of the Constitution. We quoto : "All specific Slato taxea, exoept those recoivod from tho mining conipanies of the Upper Península, ehall bo Bpplied in paying the interest upon, the primary school, Univcrsity and other educational funds, and tho interest and principal of tho State debt, in tha order herein recited, until tho extingnishment of the Stute debt, othor than the amountsduo to oducational funds, wrhcn such speeific taxes shall bo added to, and constitute a part of the primary sohool interest fuud." Comuient Í3 certainly uunecessary.

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Subjects
Old News
Michigan Argus