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Austin Water Bonds & Power Plant Funding Debate

Wednesday, December 27, 1899 special called

Funding Crisis: Mayor McGall urged the council to approve $42,157 in emergency appropriations—$20,000 for water/light services and $22,157 in bond interest due January 1, 1900—warning that delays could damage the city's credit rating.

Split Decision: The council deadlocked 4-3, with Aldermen Dunham, Glass, Mortimer, and Nolen voting to table both spending ordinances, while Fischer, Morris, and Stumpf supported immediate approval despite having sufficient funds ($39,906) in the city treasury.

Steam Power Expansion: The mayor emphasized that approving these payments was critical to securing financing for a new steam power plant to supplement the city's aging water-powered electric system—a major infrastructure upgrade citizens were demanding.

Political Gridlock: Multiple absences and a narrow vote margin left Austin's water and power funding in limbo heading into the new century, with the council unable to reach consensus on basic financial obligations.

Full Transcript

230 Called Meeting of the City Council Austin Texas, Dec. 22nd 1899. Hon. Jno. G. McGall. Mayor presiding. Roll called Present. Aldermen, Fischer, Morris and Stump's. 3. Absent. Aldermen. Dunham, Glass, Mortimer and Fleming 4. The following call of the Council was read. Austin Texas. December 22nd 1899. A special meeting of the City Council is hereby called to meet in the Council Chamber at the City Hall at 5.30 O'clock, P.M. this 22nd day of December 1899, for the following purposes, viz: 1st: To receive and act upon a Special Message from his Honor the Mayor. 2d: To receive and act upon a report from the Finance Committee. 3d: To consider and act upon An Ordinance entitled An Ordinance appropriating the Sum of $20,000. to pay for Water & Light furnished the City; and 4th: To consider and act upon An Ordinance entitled An Ordinance appropriating the sum of $22,157.00. to pay Interest due January 1st, 1900, on the Water and Light bonds of the City of Austin. Jno. G. McGall, Milton Morris, Alderman 2d Ward. Mayor. Joseph Stumpf, " 4th " Francis Fischer. " 3d " Austin Texas. Dec. 22nd 1899. Marshal's I hereby certify that the above call was served, by being read to Certificate each of the following named Aldermen in person to wit: Francis Fischer, H.E. Nolen, P.D. Mortimer, M.L. Glass W.B. Dunham, Milton Morris, Joseph Stumpf. A.J. Throff, City Marshal J. Hurley Police Clerks Call of the Council Alderman Stumpf moved a call of the Council, which was carried. Present: Aldermen. Fischer, Morris and Stumpf. 3. Absent: Aldermen. Dunham. Glass, Mortimer and Nolan. 4. The Marshal was directed to bring in the absentees. On motion the Council took a recess for fifteen minutes. Called to order C. Adjourn On motion, Council adjourned untill 5.20. P.M. Dec. 26d. 1899. Jno O. Johnson City Clerk. --- Page break --- 231 Adjourned Called Meeting of the City Council, Austin, Texas, Dec. 21st, 1899. Hon: Jno: G. McCall, Mayor, presiding. Roll Called Present, Aldermen, Penham, Firsher, Glass, Morris, Mortimer, John & Blumig - 7 Absent, None Call of the Council was made for information. The following, special message from his Honor the Mayor was read. Mayor's Office, Austin, Texas, Dec. 22d 1899. To the Hon: City Council:Gentlemen: The interest due Jany 1st: 1900, on the water and light bonds of the City of Austin, amounts to $22,157 [illegible]. To meet this interest it will be necessary to make an appropriation to pay the same so the money can be in New York, by January 1st: 1900. There is now due the water works, electric light and power plant of the City of Austin for water and light furnished the City to Nov: 30 of 1899, $91,661 25. it will be necessary to make a payment on this amount of $20,000.00. so as to meet the interest due, there is now in the hands of the City Treasurer, $39,906.00, out of which this appropriation can be made and there is no reason why it should not be done. We, as the representatives of the City ought to do nothing to injure her credit; if these appropriations are not passed it seems to me that in this instance our conduct would be entirely inexcusable because the money is in the hands of the City Treasurer to be used for this purpose. It is very necessary to make these appropriations and thus provide for the payment of the interest, as we have the money in hand to do it. Just now the citizens are demanding steam power to supplement the water power. The water and light commission have prepared plans and specifications for steam power and are calling for bids: if there is any delay in the payment of this interest it may injure the City's credit and possibly prevent the water and light Com-mission from making arrangements to supplement the water power. Jno. G. McCall, Mayor. Alderman Glass moved that the Message be received, and filed. Carried. Alderman Blumig for Finance Committee to whom was referred the Ordinances appropriating $20,000.00 to pay for water and light furnished the City, and the ordinance appropriating $22,157.00, to pay the Interest due January 1st: 1900, on City Water and Light bonds, made the following report: Austin Texas, Dec. 19th 1899. To Hon. Jno. G. McCall, Mayor, and Board of Aldermen of the City of Austin. Gentlemen: Your Committee on Finance to whom was referred the ordinance being on Water and Light furnished the City and an ordinance appropriating $22,157.00, to pay interest due Jan. 1st 1900, on the Water and Light bonds of the City. beg leave to report, that we recommend the passage of the Ordinances. --- Page break --- 232 Joseph Stumph } Committee Francis Fischer } on Finance, Alderman Glass moved that the report be laid over to Come up with the Ordinances. Yeas Aldermen, Dunham, Glass, Mortimer and Nolen 4. Nays Aldermen Fischer, Morris and Stumph. 3. C Ord app Ordinance appropriating the sum of $10,000 to pay for water and light 10,000. furnished the City was laid before the Council and read the second time. Wat & lim Alderman Glass moved to lay the Ordinance on the table, which motion laid on the tabl. prevailed by the following vote: Yeas Aldermen, Dunham, Glass, Mortimer and Nolen. 4. Nays Aldermen, Fischer, Morris and Stumph 3. An Ord appro An Ordinance, Appropriating the sum of $99,157 22/100 to pay Interest due $99,157 22/100 January 1st, 1900, on the City Water and light Bonds, was laid before the read 2d time Council and read the second time. laid on the tabl Alderman Glass moved to lay the Ordinance on the table, seconded by Aldr. Dunham, which motion prevailed by the following Vote: Yeas Aldermen, Dunham, Glass, Mortimer and Nolen. 4. Nays Aldermen, Fischer, Morris and Stumph. 3. Adjourned On motion the Council adjourned. Jno. C. Johnson City Clerk.