USA > Illinois > Cook County > History of Cook County, Illinois : being a general survey of Cook County history, including a condensed history of Chicago and special account of districts outside the city limits : from the earliest settlement to the present time, volume II > Part 41
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During the year 1889 a considerable decrease in the price of
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gas was secured by the city government. The price previously ranged all the way from $1.25 to $2 per thousand feet, but at this date the price throughout the city was reduced to $1.25 per thousand cubic feet. During 1889 the controller announced that there was due the city from the street railway companies for the use of the LaSalle street tunnel a total of $57,833. From 1887 to 1889, in- clusive, arrangements to ascertain the damages resulting from the construction of viaducts were made and accordingly numerous suits against the city were brought by private parties and corporations interested. A grand total of $1,459,663 in suits was thus com- menced.
An important question before the City Council was the disposal of the interest on the public funds. Reform in this matter was demanded. It was believed that the existing system was wrong in practice and an injustice to tax payers. Public officials who loaned the city funds and drew interest thereon were declared to be acting without legal authority, and the public insisted that principal and interest on public money should belong to the people.
Mayor Cregier, in 1890, called attention to the importance of se- curing greater revenue either by increasing assessments or by re- moving the tax limitation. This was a matter that demanded early attention unless the people desired serious trouble in municipal affairs. The great increase in territory and population and the multiplication of departments and expenses demanded a greatly in- creased revenue.
Another important occurrence of the year 1889 was the passage of the famous Chicago sanitary district law. Extracts from this act will be found elsewhere in this work. It made provisions for the drainage in this portion of the city. Additional tunnels and the immediate reconstruction of dock lines were now demanded. The vile condition of the upper branches of the Chicago river were duly considered and bemoaned. A considerable improvement in transit and in cheap fares on the city railway was made.
Among the assets of the town of Jefferson, which was annexed to Chicago, was a toll road which was kept in operation. The im- portance of simplifying or consolidating the various governmental heads then existing under the city government was admitted. So far as possible, it was stated, they should be united under one general head. Notwithstanding that Mayor Cregier during 1889 was vilified and abused unstintedly by partisan antagonists, he still retained the good will of the people generally and his administration in some respects will bear comparison with any up to that date, and in moral- ity and progress surpassed any other. He was peculiarly unfortunate in being obliged to suffer from misrepresentation. His motives and objects were constantly disbelieved and his efforts for improvement were ridiculed and misstated with deliberate and studied purpose by partisan enemies. But there is no question that he permitted the
GEORGE H. WHITE.
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ALBERT F. KEENEY.
HARRY A. LEWIS.
J. H. WILKERSON.
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same reign of vice, extravagance and crime suffered under the Harri- son administration.
The mayor, in April, 1892, recommended the adoption of a law amending the existing method of assessment, taxation and collec- tion. Under the existing system the seven townships which main- tained a separate existence and withheld annually from the city treasury immense sums collected for the use of the municipality could seriously injure the municipal government. The abolishment of the township system and the centralization of control under one set of officers would effect the needed improvement. The mayor said, "It might be mentioned that with our city and county limits so nearly identical, the abolishment of city and county lines and the union of both under one municipal form of government would result in a great benefit to the community." The mayor deprecated the criticisms of the building department and declared that Louis O'Neill had conducted this department honorably and creditably. The press thought otherwise. It was shown that 11,805 buildings costing $45,000,000 the largest number in the history of the city, were erected during 1891. It was the opinion that the Pearce street disaster could not be charged to the building department. During 1891-92 the total receipts for the fiscal year were $29,550,560.29 and the total expenditures a little less. At this time it was shown that a centralization of governmental authority would decrease ex- penses and increase receipts; that the building department, though criticised, deserved credit for its accomplishments; and that the Department of Public Works accomplished more in the same time than ever before.
During 1892 the city won the lake front litigation cases in the United States Supreme court. The health department cleaned the city after a fashion and thus probably prevented an attack of the cholera. The following improvements were noted: That much to prevent grade crossing accidents was accomplished by the elevation of railroad tracks; that the White City was built; that the four- mile tunnel was completed December 7, 1892; that gambling, in- cluding the operations of the Garfield Track Racing association, was ended; that building regulations, smoke law, etc., received due at- tention ; that the bonded debt of the city on December 31, 1892, was $18,476,450, and in addition $1,560,000 was owed on other obliga- tions; that special improvements for the year 1892 amounted to $14,505,701.79, nearly $6,000,000 larger than any previous year ; that the collection of water taxes was simplified and improved ; that the Purchasing Bureau was in operation at a great saving to the city ; that city health was greatly improved ; that the prosecuting at- torney's office and the special assessment attorney's office were con- ducted with great credit; that the House of Correction should be enlarged; that the enrollment in the public schools was 157,743; that many new school buildings were opened in 1892; that a milk
Vol. II-25.
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ordinance much needed was passed; and that free baths, cleaner streets and alleys, removal of garbage, isolated stabling, etc., added to the order and appearance of the city.
In April, 1894, Mayor John P. Hopkins said that the three most important questions were finances, franchises and track elevation. The finance committee recommended a general reduction of salaries, but this was deemed unwise. The mayor recommended that the matter of assessments be placed under a bureau; that heads of de- partments or towns be no longer permitted to retain city funds for purposes of gain; that the assessed valuation of city property for 1893 was $245,790,351; that trouble was occasioned by the anti- quated and inadequate system of bookkeeping in vogue; that the expert previously appointed discovered the defective water assess- ment by which the city had been defrauded annually of thousands of dollars; that there should be a city paymaster ; that city pay rolls should be published ; that adequate compensation for city franchises was demanded and exacted; that limited franchises were the policy of the administration; that the fee offices of oil inspector and boiler inspector should be made salaried offices; that steps to elevate grade crossings were taken by two large South side railways; that the police court system was remodeled and rearranged; that the ques- tion of clean streets was duly considered; and that city revenues should at once be increased.
John P. Hopkins in his annual message at the close of 1894 stated that his administration had been hampered by an insufficiency of revenue, loaded down with enormous obligations contracted dur- ing former years, and drained of its resources by a rapidly growing and expensive city government. The drain upon the city was fur- ther augmented by unexpected emergencies, such as the labor trou- bles, the smallpox epidemic and the absence of a civil service law, all of which rendered it extremely difficult to secure satisfactory help. He complained that political influences wholly antagonistic to each other and to the proper progress of public affairs still further complicated his administration. He pitifully stated that the wonder was not that his administration did not get along any better, but that it managed to get along as well as it did. On the other hand there was great encouragement in the rapid growth of the city and in the celebrated name it secured by having made the World's Fair such a splendid success. While admitting the shortcomings of his administration he disclaimed responsibility and expressed regret at being compelled to turn over to his successor the city in bad financial condition. He stated that this condition was due to three principal causes. 1. To the insufficiency of the city's resources. 2. To the absurd condition by which the city's revenue was expended before its collection. 3. To the decrease in the revenues of the city from sa- loon and other licenses due to the depression caused by labor trou- bles. The municipal revenue bore no comparison to the rapid in-
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crease in population. The taxing system was wholly wrong in principle and utterly rotten in its administration, producing a shrink- age instead of an increase. The fiscal year began on the first day of January, but the bulk of the taxes for that year were not collected for many months afterward. In addition, the city was heavily in debt, which was increasing through judgments, etc.
Thus as a whole the financial condition of the city was a matter for serious consideration by all thoughtful citizens. Something to clear the administration of confusion and distress should be done. During the campaign Mr. Hopkins promised that if elected he would inaugurate and establish a system of bookkeeping that would at all times show the true condition of the resources and liabilities of the city. In accordance with this promise he secured an expert ac- countant, who made a thorough investigation of the system of ac- counts kept in every department. This course resulted in placing the accounts of the city in better condition than they had ever been before. It was provided that each department should check up monthly and start each year with a clean balance sheet. The police court methods of accounting were also thoroughly investigated and put in much better condition. The inspection thus instituted prom- ised to check the practice of professional straw-bailing. Having been elected on the agreement that no franchise should be granted to corporations without adequate compensation, the mayor, during 1894, frequently exercised the veto power to prevent any inroads by the traction companies upon the rights of the city. He boasted that during his term of office not a single corporation secured a fran- chise without the payment of compensation to the city. This course supplied considerable additional revenue. During 1894 the question of grade crossings engrossed the attention of the city administra- tion. The number of accidents previously was the cause of great anxiety on the part of public officials. There was a general reluc- tance of the railroads to cooperate, due not to their disregard of hu- man life and security, but to the enormous cost of track elevation and to a possible decrease in railroad earnings. Civil service was not observed by the city administration because there was no law requiring its adoption. Public places were filled as a reward for partisan service just as they had been from time immemorial. The police department was not divorced from politics, though such had been the promise of the mayor. It was found impossible to ac- complish this reform in the absence of a civil service law. The city administration and the newspapers became clamorous that the next Legislature should duly enact a civil service law.
During 1894 serious labor troubles disturbed all business opera- tions. Differences which had slowly arisen for twelve years cul- minated in the most serious strikes, clashes and riots which ever occurred in the West. The police department was taxed to its utmost. The State troops were called out by the mayor, and force
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was used to prevent serious damage to the city. As it was, a large amount of property was destroyed by mobs, and for a time in July it seemed that the city might be set on fire and sacked. Enormous damage to railway property was done by mobs in spite of the efforts of the police and the militia. The question immediately arose, To what extent is the city liable for the damage thus done?
The great strike of 1894 was inaugurated by the American Rail- way Union at Pullman on May 11. The storm center was at Chi- cago, but the trouble extended like a tidal wave over the whole country. The railway companies offered determined and effective resistance to the demands of the labor leaders. The great burden of protecting property and preserving order fell upon the police de- partment, which was wholly unequal to the herculean task. The city contained over 186 square miles of territory with several thousand miles of railway track to be patrolled and property of every descrip- tion at hundreds of points to be guarded and protected. In this emergency three brigades of State troops were called out against great and menacing opposition. Daily rioting in all parts of the afflicted districts occurred. The police department was blamed for every infraction of the law. All things considered, the wonder grows that there was not wilder disorder and a greater degree of outlawry and destruction of property. Serious trouble in the city proper did not occur until June 27. On that date the General Rail- way Merchants' association asked for police protection for their tracks and trains. Partial relief was furnished and no extensive damages resulted until July 4, when a serious clash occurred at Blue Island. The police were charged with deliberately siding with and assisting the strikers. On the night of July 3 United States troops arrived in the city in response to demands from the marshal. The presence of these troops proved a firebrand to the excited pas- sions of the working classes. Much violence had already resulted. So great was the hostility to the troops in the disorderly districts that they had to be protected by the police on their way to camp. Trains were prevented from proceeding, train hands were assaulted and immense crowds of strikers and the curious gathered and ob- structed the dispatch and progress of business.
In this emergency the mayor called on the Governor for five regi- ments of State troops. There was an immediate response and the troops arrived. They were placed on duty throughout the city where disorder was greatest and danger most imminent. A seri- ous conflict between the troops and the strikers occurred at Forty- ninth and Loomis streets on July 7. It was necessary for the troops to charge the crowds with fixed bayonets and finally to fire several volleys, resulting in the killing of four men and the wounding of about twenty. This act infuriated the strikers. Violent conflicts of a similar nature occurred in all parts of the city. The maddened strikers began firing the cars and other property of the railroads
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and soon hundreds of thousands of dollars' worth of property were blazing along the lines. It was impossible to extinguish the flames, owing to the hindrances presented by the strikers. Criminals and the lawless everywhere took advantage of the confusion to ply their desperate occupations. During this violent and revengeful period squads of soldiers here and there were compelled to fire upon the strikers with the result that innocent men, women and children were sometimes shot and either killed or wounded. Thus the trou- ble continued for more than two weeks. Gradually the soldiers and the police cleared the tracks of the railways and slowly enforced order. More than 100,000 persons were affected by the strike. The railways lost in property and expenses of various kinds nearly $700,- 000. Employes at Pullman alone lost in wages at least $350,000. About 100,000 men employed on the twenty-four railroads centering in Chicago lost in wages, it was estimated, about $1,389,000. Dur- ing this period twelve persons were shot and killed or fatally wounded. Hundreds were more or less seriously injured.
During 1894 numerous paving frauds were practiced upon the city, and investigaton instituted by the Commissioner of Public Works showed that pavements laid during several previous years were short in material and extremely defective in construction. Under the law contractors were required to make good defective work. Accordingly the commissioner demanded that such contrac- tors should live up to their agreements. Several made good, but others refused. There thus resulted a deficiency of about $300,000. In a test case under these requirements the city was defeated. Judge Smith held that where one party accepted as satisfactory work done by the other the acceptance was conclusive. During 1894 great ad- vance in the construction of sewers, sidewalks, and tunnels was made. The Sixty-eighth street tunnel extension was completed; the Lake View tunnel was expected to be completed in October, 1895; and work on the four-mile crib was finished in December, 1894. The latter had taken nearly five years to construct, but the time and the money for this improvement were well invested. There was noticed an immediate improvement in the city water. The Sev- enty-ninth street extension was an important improvement just pro- jected. Numerous bridges and viaducts were built and repaired during 1894. Notwithstanding the deficiency in revenue the city progressed at a surprising and satisfactory rate. The following parks were under control of the Department of Public Works dur- ing 1894: Jefferson, Irving, Holstein, Congress, Oak, Lakewood, Green Bay, Washington, Shedd's, Douglas Monument Square, Al- dine Square, Bickerdike Square, Gross, Eldred, Ellis and East End. It cost nearly $13,000 to keep them in suitable condition.
The controller in March, 1895, called attention to the fact that in 1869 the assessed valuation of Chicago was $266,920,000. In 1894 it was $247,425,442. In other words, the assessed valuation in
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1894 was nearly twenty millions less than it was in 1869 when the city had a population of only about 250,000. Now the population was estimated at 1,567,727. No wonder the city was heavily in debt and did not know which way to turn to secure revenue to pay ordi- nary current expenses, to say nothing of retiring the city indebted- ness. The accounts showed that the city had purchased and added to its permanent assets since 1871 property valued at $49,000,000. . This was nearly three times as much as the total funded debt. How- ever, regardless of the indebtedness and the low assessed valuation, the city was in a solvent condition, and there was in the treasury ready money sufficient to meet current expenses. The council dur- ing the year publicly questioned the authority of the city to borrow money, which indiscretion caused the banks to refuse loans to the corporation until that question should be settled. The city authori- ties thus had great trouble to secure money for current expenses in view of the fact that the collections were not made until long after the assessment was levied. The controller called. attention to the necessity of correcting the law in this regard at the earliest possible moment. There was a large increase in judgments against the city, owing to defective sidewalks, insufficient appropriations for gas and an insufficient city law department. The assessed valuation in 1894 was declared to be absurd. The actual value was placed at ten times the amount of the assessment. Property owners expostulated, begged and lied. Great trouble resulted from the acts of the town authorities in withholding from the city taxes long past due. The controller recommended the abolishment of town offices and the con- solidation of the town organizations within the city.
On January 1, 1894, the funded debt of the city amounted to $18,426,450. The annual interest upon this large amount was nearly $1,000,000. During the year 1894 this debt was considerably decreased, resulting in a reduction of over $84,000 in the annual interest. In June, 1894, there was received from the World's Co- lumbian Exposition the sum of $500,000 with which bonds were purchased and retired. The controller called attention to the fact that nearly $3,000,000 in bonds would fall due on July 1, 1895. During 1894 election expenses increased greatly. The total re- ceipts during 1894 were $32,263,948. The total expenses were $34,359,300.
Mayor George B. Swift, in his annual message to the council in May, 1896, stated that the chief difficulty during the past year was to administer the city government upon an inadequate income. The new civil service law was put into partial operation with excellent results. The dispute between the Illinois Central railway and the city concerning the lake front was finally settled. Many miles of surface railways were elevated. The finances of the city were so deplorably insufficient as to cause the greatest distress and incon- venience. While the expenses of the city were vastly increased ow-
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ing to the advance in population, the revenues were really reduced, thus entailing hardship on the city authorities in their effort to con- duct public affairs along satisfactory and economical lines. In 1895 the total excess of expenses of all kinds over the actual income for corporate purposes amounted to $564,509; the judgments against the city, wholly unprovided for on January 1, 1896, amounted to $1,155,922. These judgments were entered mainly by confession of the city. Unquestionably a large portion of them could have been defeated had contests instead of confessions been the pro- cedure. Nearly every city department showed in a striking way how inadequate were the resources to meet the padded and blown- up expenses of the city under this extravagant administration. The legal contests were partly due to the insufficient income brought about by the inequalities of taxation. Instead of cutting down ex- penses and operating within the revenue, the administration multi- plied expenses and then called frantically for help. The bonded debt of the city was reduced during 1895 only to the amount of $534,000. On January 1, 1896, the total cash deficiency of all outstanding liabilities other than the bonded debt amounted to $5,597,847. Prior to this date the County court had adjudged the paving of street intersections to be in the nature of a public benefit, and therefore the tax with which to build the same had been levied against the city and not against individual property owners. Under this rule there had accumulated to the credit of the special assess- ment bureau about $1,000,000. The total bonded debt of the city on January 1, 1895, was $17,722,950.
The debt of the city was limited to 5 per cent of the assessed valuation, and therefore the present era was compelled to bear the whole cost of permanent improvement which posterity should assist in sustaining. It was demanded that the assessment should be in- creased or the limitation should be removed, in order that greatly needed public improvements could be advanced. The water works alone yielded an annual revenue of more than $2,000,000 above its operating expenses and this revenue would be further increased when the new tunnel and pumping stations then under way should be completed. The Department of Public Works was well conducted and more than half a million dollars was taken from its expenses by a decrease in the pay rolls, etc. The building department was likewise conducted. It had to meet a deficit and at the end of the year had a small surplus. The health department accomplished great improvement by placing proper safeguards around food sup- plies such as milk, ice, meat, etc. The medical staff used the anti- toxin treatment for diphtheria with excellent effect. Under the management of the municipal laboratory, which examined im- pure milk and cream, there was shown a reduction of from 60 to 65 per cent impure to 8 and 10 per cent impure. It was the opinion of the medical staff of the department that the lives of not
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less than 700 children were saved from October, 1895, to April, 1896, by the use of antitoxin. The police department was not con- ducted upon the merit system, and no serious and honest attempt to introduce civil service was made in any department. Complaints concerning the working of the special assessment system were made daily by the newspapers. Mayor Swift endorsed and partly en- forced the policy of requiring due compensation to be paid to the city for the use of street franchises. A fair degree of success was thus far reached. The same was true of track elevation. Several railways had already carried the measure into partial effect and others were thus engaged or had the matter under consideration. The final settlement of the lake front controversy was regarded as a great victory for the city. It settled the ownership in the city to property roughly estimated to be worth $8,000,000.
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