Council Proceedings: March 6 and March 30, 1903

FILED 3/6 1903 Jno T. Montgomery City Secretary

Whereas the bondholders of the City bonds of the City of Fort Worth, Texas, no have a judgment against the city in the sum of about $41.000.00, and have instituted mandamus proceedings to compel the payment of same; and

Whereas, including said judgement the City owes to its bond holders on past due interest the sum of to-wit about $170.000.00; and

Whereas, the said City has not sufficient funds on hand with which to pay said past due interest; and

Whereas, it is the sense of the City Council that the said City should pay said interest and procure the dismissal of said suits; and

Whereas, it has no funds with which to pay the same, but that there will be collected taxes sufficient to pay the same within the current municipal year; and

Whereas, the city has solicited the State National Bank, of the City of Fort Worth to advance money with which to take up the interest coupons; and

Whereas, the said funds are on deposit and will be deposited by its Treasurer W B Harrison with the State National Bank;

Now, therefore, for the purpose of inducing the said bank to take up said past due coupons, it is the sense of the City Council that said bank should hold said coupons as security for the money by its so advanced, and to hold all funds now in is possession, or which may come into its possession by virtue of its being the depository of the city Treasurer, until it has received sufficient of the taxes to pay off and discharge said coupons, save and except such funds as may be necessary in the judgment of the city council to pay the operating expenses of said City; and such other claims and appropriations as the city council may direct to be paid

Whereas, the City is desirous of avoiding any further raise in its rate of taxation:

Thefore, be it resolved that the Said National Bank be and it is hereby requested to pay and take up said matured interest coupons & hold the same with the money now on hand belonging to the interest

fund, and by advancing such money as may be necessary therefor, and the said City doeshereby agree and binds itself to pay to the said Bank the said money so advanced by it at the rate of six per cent per annum from the date of advancement of the same, and agrees that the funds now in the possession of said bank, and that may come into its possession, and that may hereafter be deposited in said bank by its said Treasurer shall remain in said bank, until the money so advanced by said bank for the purpose of taking up said coupons shall have been paid off and discharged save and except such funds as may be necessary in the judgment of the city council for the running and operating of said City. and such the claims and appropriation as the City Council may direct to be paid

WM G Newby JF Henderson Q.T. Moreland

Claims Committee

FILED 3/14/03 Jno T. Montgomery City Secty