In addition to this loss no provision had been made by former Councils to meet the interest on these bonds for the past four or five years, and suits had been brought and judgments obtained to enforce payment and other suits were threatened. Under judgments and executions obtained against the corporation, all property belonging to the town, available, was sold at public auction by the officer of the law. Even the chairs in the council chamber, in which the members of the Council sat to conduct the public business of the town, were sold by the constable at public outcry under execution. The members of the Council attended this sale and each one purchased his chair, and thereafter the members furnished their own seats at the council board, while they legislated for the public good, without fee or reward, other than the consciousness of duty nobly done.

The Common Council that took charge of municipal affairs in 1870 had many grave and difficult questions to meet and determine. Debts had accumulated against the city, while the taxable values had greatly diminished by the destruction of property during the war and the emancipation of the slaves. A large portion of the inhabitants had recently returned home—the women and children from refugeeing and the men from the army—almost penniless, to find their homes in ruins or badly damaged and despoiled of what had been left in them. Nearly everybody had to commence life anew.

The Council, therefore, had to provide for these debts, and, at the same time, not place a burden upon an impoverished people, in the form of taxation that they could not bear. It was a trying ordeal, but the members were equal to the emergency. That Council was composed of Walker Peyton Conway, J. Gordon Wallace, Hugh S. Doggett, George W. Eve, Patrick McCracken, Wm. C. Morrison, Joseph W. Sener, John T. Knight, John H. Myer, George Gravatt, Thomas Harrison and John James Young.

The finance committee of that Council, which was expected to provide for the finances and bring before the Council, for its consideration and adoption, such measures as would meet the emergency and not oppress the tax-payers, consisted of W. P. Conway, J. Gordon Wallace and Hugh S. Doggett. With great diligence they applied themselves to their task. A tax bill was formulated and brought before the Council levying a tax, which was adopted, and in a short time money was raised, the debts were paid in installments until all creditors were paid or satisfactory arrangements made with them.

In 1876 the old bonds of the city were funded, by mutual agreement of the Council and the bond holders, at sixty-six and two-third cents on the dollar, the new bonds to bear seven per cent. interest and run thirty years. This was a wise arrangement of the Council, notwithstanding there was considerable opposition to it, the opponents of the measure claiming that the rate of interest of the new bonds should not exceed six per cent., although money was then bringing from ten to twelve per cent., and sometimes more than twelve. The amount of bonds issued under this funding act amounted to $125,000.

By this arrangement of funding one-third of the principal of the bonds was eliminated, the threatened suits for past-due interest were averted, and it put the Council in a position to provide for the interest as it should fall due, take care of the floating debt, and at the same time reduce the rate of taxation, which the tax-payer hailed with delight. Thus the delinquencies of the former years were met and provided for, the rate of taxation was not oppressive, and the town, being under the control of its own citizens, untrammelled by military authority, rapidly moved forward, public confidence in its ability to meet its obligations was restored and thus municipal affairs were placed in a satisfactory condition. The credit of the city is as good at present as any city of the State, and no bonds have been funded or sold in the last twelve years at a greater rate of interest than four per cent., or at any figure below their face value.

PRESENT INDEBTEDNESS, INCLUDING ANTE AND POST BELLUM BONDS.

The bonded indebtedness of the city, and the improvements for which said bonds were issued is a matter that concerns every citizen, and for their information are here given as of 1908:

Five per cent. water bonds, issued July 1, 1895, due January 1, 1909,
coupons payable January and July 1st		$ 30,000
Four per cent. gas bonds, issued January 2, 1900, coupons due July
and January 2nd, bonds due January 2, 1920		25,000
Four per cent. bridge bonds, issued July 2, 1900, coupons due January
and July 2nd, bonds due July 2, 1920		25,000
Four per cent. electric light bonds, issued January 1, 1901, coupons
due July and January 1st, bonds due January 1, 1931		12,000
Four per cent. sewer bonds, issued April 1, 1901, coupons due
October and April 1st, bonds due April 1, 1931		18,000
Four per cent. street improvement bonds, issued April 1, 1901,
coupons due October and April 1st, bonds due April 1, 1931		20,000
Four per cent. water and gas bonds, issued April 1, 1905, coupons
due October and April 1st, bonds due April 1, 1931		20,000
Four per cent. gas and water bonds, issued September 1, 1905,
coupons due September 1st, $5,000 to be paid each year till
paid, $5,000 already paid		20,000
Four per cent. bonds funding the old 7 per cent. bonds, issued May 1,
1906, coupons due May and November, bonds due May 1, 1936		119,400
Three bonds of $5,000, due National Bank of Fredericksburg and
payable $5,000 on November 1, 1908, and yearly thereafter,
bearing 4 per cent. interest		15,000
Making the total bonded debt of the town$304,400

Many of these public improvements were constructed by the authority of the freeholders of the town, by a majority vote cast at special elections appointed and held for that purpose; others were constructed by action of the City Council under authority granted them by the new constitution enlarging the powers and duties of city councils, and appeared to have the sanction of a large majority of the tax-payers of the town.