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Veto by the Mayor of H of D Bill No 60 February 27th 1891 To the Honorable the House of Delegates Gentlemen, I herewith return to you House of Delegates Bill No 60 entitled: AnOrdinance authoriaing the redemption of warrants hereto fore issued by the City of Seattle for work done and material furnished in the opening grading and general improvement of streets of said City under ordinances creating special assessment districts and of the issuance of coupln bonds in line thereof without my approval, with the following objections. The Proposed issue of bonds as set forth in this ordinance is in effect, the unconditional issue by the City of Five Year bonds, and allowing street assessments to stand as collateral security for the payment of same. Section 6 provides that any amount due and unpaid on any bond isues under the provision of the Ordinance at the date of the maturity thereof, shall be paid by the City of Seattle out of its General Fund. It is also provided in Section3 that said bonds, upon the face thereof shall bear the following language: "This bond is payable out of -----Street Improvement Fund, under Ordinance No----- not otherwise appropriated, provided, however, that any balance due and unpaid thereon at the date of the maturity thereof shall be paid by the City of Seattle out of its General Fund as provided by Ordinance No---- of said City under which ordinance this bond is issued." The amount of street scrip outstanding, including including accrued interes is estimated to be $700,000 We have no power without the Consent of the people to issue bonds conditioned on otherwise payment of the same. (signed) Harry White mayor

11 Message Mayor's Office Seattle Washington March 2d 1891 To the Honorable The Board of Aldermen and the House of Delegates In Council Assembled Gentlemen I take advantage of the priviledge accorded me by the Freeholder Charter to respectfully submit for the consideration of your Honorable Body some of the subjects which seem to me to call for the special attention of the legislative branch of the City Government. I recognize the serious responsibility resting upon the members of the City Council, and the difficulties with which the inauguratin of a new system of government was surrounded. I had the honor to work for a time under hardly less trying circumstances with other members of the Old Council, and I consider that the present Council has benefitted greatly by the presence of the distinguished President of the Board of Aldemen whose conspicuous ability has been supplemented by long and intimate experience in municipal affairs. No popular body, such as this is emphatically intended to be, can fail to be characterized by a difference of opinion on the conduct of public affairs. I have every confidence, however, that the interest of the City at large will always be your paramount consideration; and that a want of strict agreement is policy and methods may not be attribute to a lack of conscientious performance of public duty. It is the function of the Legislative branch to make the laws; that of the executive to administer them, and so long as I have the honor to occupy the office of Mayor I shall not shrink from strict compliance with the will of the people, as expressed by constituted authority, even if I do not alltogether approve of the expediency of their legislation.

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The City is passing through that condition which was long forseen as inevitable after a periodof such intense and exceptionsl activity. It is not necessary to be alarmed as to the future but it is the part of prudence to take all precautions against extravagance in the administration of the City's offices. Two problems are presented to the legislative body, one is the funding of the indebtedness incurred under the old system of gevernment and the other is the reduction of current expenses from abnormal to within normal limits. There are three classes of indebtedness. That bonded, amounting to $975,000.00; floating indebtedness, amounting to about $605,463.00; and a conditional indebtedness, that which is a secondary to the liability of property owners for street improvements, amounting to about $700,000.00 Placing the City's business on a balance sheet, such as private business would use, it will be seen that the following is the actual condition of the City. Bonded Indebtedness Assets: Water Works System $1,000,000.00 Liabilities: Bonds for Water purposes $ 845,000.00 An estimate of $1,000,000 for a system which yields $15,000. or $16,000 a month profit as the water works will do when the amount of work possible under the bond proceeds is done will not be considered too high by any competent authority. Sewer System Assets: Sewers built $300,000.00 Cash on bond $110,000.00 [total] $410,000.00 Liabilities: Bonds $110,000.00

13 Floating Indebtedness Assets: Real Estate Lake View Park(40acres) $80,000.00 Seattle Park(5acres) $50,000.00 Kinnear Park $75,000.00 Somerville Park $ 4,000.00 N 1/2 of SW 1/4 of Ne 1/4 of NE 1/4, Sec 24 Tp 25 R4E $ 2,000.00 Lot 2 Block16 Maynards $40,000.00 Block 39 Boren $35,000.00 Lots 5&6 Block "B" Bells Third $10,000.00 Lots 9&12 Block 52(Third & Pine) $20,000.00 West 90 Feet of Lot 2, Block 47 Terrys 1st Addition $ 6,000.00 Lot 40x90',Lots 5&6 blk 57 Maynards $ 2,000.00 South 1/2 Lot 1 Block "M" Bells 5th $ 3,000.00 Triangular Block, Broadway & Terrace $ 2,000.00 [Total] $329,000.00 Buildings Fire Headquarters $27,000.00 Battery St Engine House $13,000.00 Third & Pine $ 9,000.00 Main St Engine House $ 8,000.00 Broadway & Terrace $ 7,000.00 Jail, Police Court etc $ 6,000.00 [Total] $70,000.00 Miscellaneous Slips, Scows, etc $ 5,000.00 Street Implements & Stock $ 4,500.00 Furniture, Safes etc. $10,000.00 [Total] $19,500.00 Fire Department Fire Boat $65,000.00 22 Horses $ 8,375.00 Fire Apparatus $30,000.00 Hose $ 7,830.00 Fire Alarm System and Salt Water pump $20,000.00 [total] $131,205.00

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Recapitulation Assets: Water Works System $1,000,000.00 SewerSystem $ 410,000.00 Real Estate $ 329,000.00 Buildings $ 70,000.00 Fire Apparatus etc. $ 131,205.00 Miscellaneous $ 19,500.00 Liabilities: Water Works Bonds $845,000.00 Sewer Bonds $110,000.00 Grant St Plank Road Fund Bonds $ 20,000.00 Floating Indebtedness $ 605,463.00 Balance $ 379,242.00 Total $1,959,705.00 $1,959,705.00 This shows a balance in favor of of the City of $379,242.00 The City is therefore in a perfectly solvent condition As T the Floating Indebtedness, I recommend in order to avoid any doubt of the legality of the action that one set of bonds be issued to the amount of $325,000 If is not doubled that the City has the power to incur an indebtedness for general purposed up to five per cent of the property valuation. That would on the last assessment be $1,300,000; deducting $975,000 the amount of bonds already issued, there is left an available margin of $325,000 Under the validating of that amount would be placed beyond all question. In the meantime, the value amount of indebtedness should be accurately ascertained and preparations made for the simutaneous buy district issue of bonds for the remainder in a sum sufficent to clear up the entire liability. This should include not only the amount outstanding in the comptrollers books, as presented in the accompanying statement but the Yesler, Rimehart and other warrants of the kind, the amount estimated to be necessary to pay for straightening streets as suggested elsewhere and the proportion payable by the city for Street work in Special Improvement districts on State City and other except land, These latter amounts are inconsiderable but should be provided for. The advanteges of this course are that a bond issue, limited to absolutely certain validity.