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<br />As per the request or the uivic uommittee ana the uouncil of tne-municip'aiity of ;joutn bena i
<br />have made a thorough- study of the ability of the city of South Bend to incur an indebtedness,
<br />wither in the nature of bonds or assuming-the debt-and beg to submit the results of my findings
<br />as a result of the examination of the various debts pending against the City, outstanding bonds
<br />and claims of questionable character.
<br />The Controller has.-submitted this evening, I understand, a statement showing that we have a the -
<br />oretical -bond availability of approximately $196,000.00. From this must be'deducted. the water
<br />bill of the -city which- has been construed by a court of law to be a valid and smbeisting indebt-
<br />edness in the approximate sum-of $60,000.00. And -for the purpose of determining such availabili y
<br />all of the figures mentioned- in- his- report should be construed as-actual indebtedness-although t e
<br />city does not-recognize liability by reason of no appropriation in those cases which would make
<br />an additional sum of approximately-$10,000.00 or a possible availibility of $126,000.00.
<br />However it must be borne -in mind that there are in litigration in the various courts of the coun
<br />claims in the following amounts:
<br />James Hatt and other police end fire employees claims aggregating $60,000.00
<br />Theresa Mooney for damages, 45,000.00
<br />A judgement of Charles Burns, former City Sealer now appealed in the Supreme Court in the
<br />of $2,000.00.
<br />Anthony_Korpal, a claim of $5,500.00.
<br />Northern Indiana Wholesale Grocery Company, a claim of X30,000.00.
<br />Anthony Bu.choltz, n claim of $5000:00.
<br />Altogether these claims in litiation totel-$115,000.00.
<br />For the purpose of this review -_L don.'t.. believe any of- these, claims would be valid and aub-
<br />sisting until reduced to judgement, however that is nay own personal opinion.
<br />1t has been held by e number of the leading bond attorneys_of the state that -under the ex-
<br />isting Dollar and a Half -Law no bonds msy be issued where -a murricz ality -such as South Bend has
<br />budgeted with otherr corporations of the county a sum of excess of $L 50 excluding the amount go-
<br />ing for bonded indebtedness.
<br />Bearing in mind- the foregoing -and- if this council -may-e xclude the question of emergency, the
<br />question of the Dollar end Half -Lew and the various litigettons pending the city would be, in my
<br />opinion, in a position to beer a possible bond availibility or debt 2vailibility in the sum of
<br />approximately 4126,000.00.
<br />Respectfully submitted,
<br />Edwin W. Hunter-
<br />City Attorney
<br />South Bend, Indiana
<br />Mr. Hunter reed sbtd letter - and -was ordered to be placed on file. Motion carried.
<br />Chairman- Goetz, ord -ered - Committee of the Whole to take - a recess -often minutes to 'give nor. Huntez
<br />end the 'Qviation- Committee time- to formulate Couneilma:n James' motion into a- resolution.
<br />Councilman Chambers moved that the Common Council meet immediately after the Committee of the
<br />Whole adjourned. Carried.
<br />Councilman Hull- moved that the City Attorney-draw a speciel call for this meeting. Tf
<br />Committee of the Whole adjourned at 9:50 P.M.
<br />SPECIAL MEETING FEBRUARY 17th, 1936
<br />Be it remembered that- the Common Council of the" City of South--Bend, Indiana, m-et in the Special
<br />Session in the-Council Chambers of the City Hall, Monday, evening- February 17, 1936, s.t the hour
<br />of 8:51 o'clock P, M. All members were present. President Fish presided.
<br />- South Bend,'Indiana
<br />Feb. 17, 1936
<br />Mr. George Hull 8 :50 P -M-
<br />George Goetz-
<br />Mr. Wm Bierwagen
<br />Mr: Wm. James
<br />Mr-. -. Fred Kerner
<br />Air. Guy A Fush
<br />Howard--Chambers
<br />William Rasmussen
<br />Max Palicki
<br />You and each one of you are hereby notified that there will be a special meeting of tr
<br />Common - Council -tn the Chambers -of the City Council forthwith to consider the pe_ssage of the att-
<br />eched resolution and for that purpose only.
<br />Fred -G.
<br />Kerner
<br />Geo. F.
<br />Hull
<br />M.
<br />J. Palicki
<br />Geo. W.
<br />Goetz
<br />Howard
<br />L. Chambers
<br />-Wm.
<br />Bierwa:gen
<br />Wm.. S.
<br />James
<br />Guy A.
<br />71 sh
<br />Wm.
<br />Rasmussen
<br />The report of- the -Call for Special Meeting of the Council was accepted by the Council and order
<br />to be placed on file. Motion carried.
<br />RESOLUT TON
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<br />Be it resolved that because of the inability of the city to- purchase the Bendix Airpor
<br />it is-the sense of the Common Council that -the necessary stepsbe taken by the several city unit
<br />involved -to turn over to the St: 'Joseph County all equities and liabilities now held by the,dity
<br />of South Bend in connection with-the Ben n
<br />dix Airport, if and when the St -. Joseph County Council,
<br />County Commissioners snd State Tax Bosrd approve and consumnte the outright purchase by the County;
<br />provided the County start legal action for the purch ?se within 30 days.
<br />Wm. S. James
<br />Councilman Hull moved that the resolution be adopted. Motion carried.
<br />Resolution -was-paseed by the following vote Hull, Goetz, Bierwagen, Kerner, Fish, Rasmussen,
<br />Chambers, James and Palicki. Ayes 9 Nays 0. Resolution adopted.
<br />Councilman Hull moved that the Council adjourn. Council adjourned at 8 :53 o'clock P.M.
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