Berrien County v. Paulk

• Decision Date: 13 January 1921
• Docket Number: 1949.
• Citation: 105 S.E. 491,150 Ga. 829
• Parties: BERRIEN COUNTY ET AL. v. PAULK ET AL.
• Court: Georgia Supreme Court

105 S.E. 491

150 Ga. 829

BERRIEN COUNTY ET AL. v. PAULK ET AL.

No. 1949.

Supreme Court of Georgia

January 13, 1921

Syllabus by the Court.

The officers charged with levying taxes, contracting debts, etc for a county published a notice for the requisite time in the newspaper designated by statute notifying the qualified voters that on the day named an election would be held to determine the question whether bonds should be issued by the county, specifying the sum of $500,000 as the amount of bonds to be issued, the purpose for which they were to be issued the interest they were to bear, how much of the principal in stated amounts and the interest were to be paid annually, the dates of payment, and when the bonds were to be fully paid off. The election was held at the time advertised, and resulted in favor of the issuance of the bonds as specified in the notice. At the hearing of the proceeding to validate the bonds certain residents and taxpayers of the county were made defendants, and they filed objections to the confirmation and validation, on the ground, among others that a bonded indebtedness of $500,000 would greatly exceed 7 per cent., the constitutional limit, of the assessed value of the taxable property in the county at the time the election was called, when it was held, and at the hearing. This fact the county officers admitted in their answer filed in the proceeding, but set forth that the assessed value of the taxable property in the county would authorize, under the constitutional limitation, an issuance of bonds to the amount of $350,000; and they prayed that the judge validate the bonds voted for to the amount of $350,000, stated amounts thereof and interest to be paid annually as designated. The judge, over protest of the objectors, rendered judgment validating the bonds to the amount of $350,000, as prayed by the county officers. Held:

The constitutional limitation of the indebtedness to be incurred by counties, municipal corporations, or political divisions of the state to not more than 7 per cent. of the assessed value of all the taxable property therein, except as in the Constitution provided (article 7, § 7, par. 1; Civil Code of 1910, § 6563), as well as the statute (Civil Code of 1910, § 440 et seq.) prescribing the manner in which an election shall be held on the question of bonded indebtedness of counties, etc., shall be strictly construed. Applying this rule to the facts above stated, the judgment of the Court of Appeals reversing the judgment of the trial court is affirmed.

Certiorari from Court of Appeals.

Proceedings by Berrien County and others to issue bonds, opposed by J. J Paulk and others. An order validating the bonds in part was reversed by the Court of Appeals (102 S.E. 172), and the County and others bring certiorari. Affirmed.

The board of commissioners of roads and revenues of Berrien county on April 10, 1919, ordered an election to be held in that county on May 14 thereafter--

"to determine the question whether bonds should be issued by the county to the amount of $500,000 for the purpose of the permanent building and improvement of roads and bridges in said county, the bonds to bear date of July 1, 1919, and to bear interest at 5 per cent. per annum, payable annually on the 1st day of January in each year, and beginning with January 1, 1920, and to be issued in denominations of $1,000 each principal, and the total thereof to mature and be paid off as follows: $12,000 on the 1st day of January in each year from 1921 to 1925, both inclusive, being $60,000 in the aggregate; $14,000 on the 1st day of January in each year from 1926 to 1935, both inclusive, being $140,000 in the aggregate; $20,000 on the 1st day of January in each year from 1936 to 1945, both inclusive, being $200,000 in the aggregate; so that the last of said bonds shall mature and be paid off in full on January 1, 1949."

The election was duly held, and the vote was declared to be in favor of the issuance of bonds to the amount of $500,000. On the hearing before the judge of the superior court thereafter had, in a proceeding to validate the bonds for that sum, it appeared that the sum of $500,000 exceeded 7 per cent. of the assessed value of all of the taxable property in the county of Berrien at the time such election was ordered, when it was held, and at the time of the hearing. Certain citizens and taxpayers of the county there objected to the validation of the bonds for this reason. The board of commissioners of roads and revenues, in response to the petition filed for validation of the bonds, conceded in their answer that the taxable valuation of all the property in the county was not sufficient to authorize the issuance of bonds to the amount of $500,000 which had been voted for, but alleged that the taxable value of the property in the county at the time of the calling of the election, when it was held, and at the time of the hearing, would authorize the issuance of bonds to the amount of $350,000; and they prayed that the judge of the superior court on such hearing should grant an order conferring upon them the power to issue bonds in pursuance of such election to the amount of $350,000, stated amounts of such principal and interest to be paid annually. The judge thereupon granted the order prayed for. The parties objecting to the validation excepted to such order and sued out a writ of error to the Court of Appeals, which ...