Heffner v. Krinn

98 Ohio St. (N.S.) 1
CourtOhio Supreme Court
DecidedMarch 19, 1918
DocketNo. 15571
StatusPublished

This text of 98 Ohio St. (N.S.) 1 (Heffner v. Krinn) is published on Counsel Stack Legal Research, covering Ohio Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Heffner v. Krinn, 98 Ohio St. (N.S.) 1 (Ohio 1918).

Opinion

Donahue, J.

The record in this case presents a single question of law. The court of appeals found as a fact that no ordinance or resolution declaring it necessary to issue and sell bonds of the municipality in an amount specified in such resolution and fixing a day upon which the question of issuing and selling such bonds should be submitted to the electors of the municipality was ever passed by the council or by a vote of the electors of the city, except as the same may be included in the initiated ordinance.

It is contended on the part of the plaintiff in error that such a resolution is essential to the validity of all subsequent proceedings to issue and sell bonds of a municipality for any purpose mentioned in Section 3939, General Code.

Counsel for plaintiff in error cites in support of this contention the case of The Elyria, Gas & Water Co. v. The City of Elyria, 57 Ohio St., 374, decided January 26, 1898.

That case can have no application whatever to the question here involved, for the reason that the statutes there considered and construed are no longer the law of Ohio.

[6]*6Section 2837, Revised Statutes, as it then read, required that before any bonds could be issued under the provisions of Section 2835, Revised Statutes, the question of issuing such bonds should be submitted to the voters of the township, hamlet, or municipality, at a general or special election; and that whenever the trustees of any township or hamlet, or the council of any municipal corporation, shall by resolution declare it necessary to issue and sell bonds of such township, hamlet, or municipal corporation, for any or either of the purposes mentioned in Section 2835, Revised Statutes, in an amount specified in such resolution, and shall in such resolution fix a date upon which the question of issuing and selling such bonds should be submitted to the electors of the township, hamlet, or municipality, and shall cause a copy of such resolution to be certified to the proper election officers, that the question should then be submitted to the electors.

This court very properly held in the case of The Elyria Gas & Water Co. v. The City of Elyria, supra, that under the provisions of this section of the Revised Statutes, as it then read, this preliminary resolution was essential to the validity of all subsequent proceedings. On the 29th day of April, 1902, Sections 2835, 2836 and 2837, Revised Statutes, were amended. (95 Ohio Laws, 318.) Section 2835, Revised Statutes, as amended, authorized the trustees of a township or hamlet, or council of a municipal corporation, to issue bonds for the purposes named therein, provided that the total bonded indebtedness created in any one fiscal year under [7]*7the authority of that act should not exceed one per cent, of the total value of all property listed and assessed for taxation; and provided, further, that the aggregate amount of all outstanding and unpaid bonds issued under authority of that act should never exceed four per cent, of the total valuation, unless such indebtedness in excess of one per cent, for the fiscal year, or in excess of a total of four per cent., should be authorized by vote of the electors.

Section 2837, Revised Statutes, as amended April 28, 1902 ( 95 O. L., 318, 321), provided that before any bonds in excess of the said one per cent, in any one fiscal year, or in excess of, the said four per cent, in the aggregate, are issued, or tax levied, as provided in Sections 2835 and 2836, Revised Statutes, the question of issuing the same should be submitted to the voters of the township, hamlet, or municipal corporation, at a general or special election.

Under these sections, as amended, the council of a municipal corporation or the trustees of a township or hamlet might authorize the issuing of bonds for the purposes named in the statute, within the limitations named, by ordinance or resolution passed or adopted by an affirmative vote of not less than two-thirds of the members of such board of trustees or council, elected or appointed thereto, without submitting such question to a vote of the electors of the township, hamlet, or municipality. Where no election is required, no preliminary resolution is necessary.

[8]*8Sections 2835 and 2836, Revised Statutes, were amended several times (97 O. L., 291; 98 O. L., 63; 100 O. L., 53) before the adoption of the General Code; but these amendments contained the same provision with reference to the authority of the city council to issue bonds within the limitations of one per cent, and four per cent., and requiring that where it was proposed to issue bonds in excess of one per cent, in any one fiscal year, or in excess of four per cent, in the aggregate, the question of issuing the same should be submitted to the voters.

The Codifying Commission divided Section 2835, Revised Statutes, into Sections 3939 to 3946, inclusive, General Code. Section 3939, General Code, as written by the Codifying Commission, relates exclusively to municipal corporations, and authorizes the council of a municipality to issue bonds for the purposes named therein without any limitation or restriction whatever as to amount. Section 3940, General Code, limits the authority of the council to issue bonds under authority of Section 3939, General Code, to an indebtedness not exceeding one per cent, of the total tax valuation of all the property, in any one fiscal year. Section 3941, General Code, provides that when it is proposed to issue bonds in excess of one per cent, the question of so doing should be submitted to a vote of the electors. Section 3942, General Code, provides that the total net indebtedness incurred by a municipal corporation under the authority of Section 3939, General Code, shall not exceed four per cent, of the total tax valuation, unless the ex[9]*9cess be authorized by vote of the qualified electors of the municipality.

Section 2837, Revised Statutes, was also subdivided by the Codifying Commission into Sections 3948 to 3954, inclusive, General Code. Section 3948, General Code, as written by the Codifying Commission, provided, that, before any bonds' in excess of the limitations of one per cent, in any one fiscal year and four per cent, aggregate net indebtedness are issued, or taxes levied to pay the same, the question of issuing such bonds should be submitted to the voters of the corporation at a general or special election.

Section 3939, General Code, was amended at the regular session of the Seventy-ninth General Assembly by Senate Bill No. 281 (102 O. L., 153) and Senate Bill No. 131 (102 0. L., 262). Boththese bills were passed on May 15, 1911. It is perhaps immaterial for the purposes of this case which of these acts is now in force, for in so far as it affects the question under consideration the language of Section 3939, General Code, as found in each act, is substantially identical.

Senate Bill No. 131 also amends Sections 3948 to 3954, inclusive, General Code. Section 3948, General Code, as amended by this act, reads: “The net indebtedness created or incurred by a municipal corporation under authority of sections one [Section 3939, General Code] and four [Section 3942, General Code] of this act and under the authority of an act passed April 29th, 1902, to amend sections 2835, 2836 and 2837 and to repeal section 2837a of the Revised Statutes * * * together [10]

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Bluebook (online)
98 Ohio St. (N.S.) 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/heffner-v-krinn-ohio-1918.