English v. Bd. of Supervisors of Sacramento

Citations

• 19 Cal. 172

Syllabus

<p>The Act of 1854, entitled, “An Act to Fund the Floating Debt of Sacramento County and to provide for the Payment of the same ”—authorizing the issuance of bonds, payable in ten years, for the indebtedness of the county then due, and making it the duty of the county authorities to assess annually, in addition to the taxes then authorized by law, a tax of one-fourth of one per cent, upon all the taxable property of the county as a Sinking Fund for the gradual redemption of the bonds issued under the act—when executed by the county creditors, by accepting the bonds in lieu of their former claims, became an inviolable contract, and the county authorities are bound to levy the tax for the Sinking Fund.</p> <p>This provision in the act, for assessing an annual tax as a Sinking Fund, becomes, upon the execution of the bonds and cancellation of the original claims, a part of the contract, and is the sanction and security provided by law for the performance of the contract. This annual tax is a fund pledged.</p> <p>The case might be different if the bonds had been executed before the passage of the law, and then provision had been made by the act for levying the tax for their payment. The act in such case would be an ordinary act of legislation, subject to repeal—a mere voluntary provision by the debtor, or on his behalf, for payment of his debt.</p> <p>When the county issued the bonds and received therefor the evidences of its original indebtedness, the county made a contract with the creditors to collect this tax; and this contract can be enforced as well as the claim of the creditors to the money, if it were collected and in the treasury, could be enforced; and such a claim would be perfect.</p> <p>The facts that the Act of 1854 cast the duty of levying this tax upon the Court of Sessions, and that by the General Act of 1855 the powers, other than criminal, conferred on such Court by any law were cast upon the Board of Supervisors, do not impair the obligation of the p