ROAD BONDING ACT
House Hill 550, referred to the oo
ple at special election Juno 4, 1917.
An act to provide for the construc
tion of roads and highways in the state
of Oregon; provide for the issuance of
bonds by the state of Oregon to raise
money to carry out the purposes of
this act; to authoriie the State high
way commission to take such action
and perform such duties as may bo
necessary to meet the requiremnts of
this act; to designate and authorize
the construction of certain hard-surfaced
highways and certain roads and
certain forest roads, and to provide for
other post roads anil forest roads ; to
provide for the letting of contracts for
the construction, paving and mainte
nance of roads and highways; to make
the surplus arising from the fees col
lected under House bill No. 509 of the
present legislative session a fund un
der the jurisdiction of the State high
way commission with which to pay in
terest and principal on bonded indebt-
etiness oi me state, eontrneieii oy me
state for road purposes, and
other
lawful claims incurred by said com
mission, and to provide for modifying
the terms of House bill No. 21 passed
by the 29th legislative assembly of the
state of Oregon, and to provide for
submitting this act to the people and
for the calling of a special election
therefor, and declaring an emergency.
Be It Enacted by the People of the
State of Oregon :
Section 1. The State Highway com
mission is hereby authorized, empow
ered and directed, during the next five
years, to sell the bonds of the state of
Oregon as hereinafter provided, in an
amount sufficient to raise enough
money to meet the requirements of
this act.
Provided, that not more than $1,
000,000 in bonds shall be issued here
under during the year 1917, and that
not more than $2,000,000 in addition
to any surplus unissued or unexpended
out of the $1,000,000 authorized for
the year 1917, shall be issued during
the year 191S.
Section 2. The State Highway com
mission is hereby authorized, empow
ered and directed to enter into such
contracts, appoint such officials, and do
any other act or thing necessary to
fully meet the requirements of this act.
Section 3. The attorney general
shall, under the direction of the State
highway commission, prepare a form
of interest-bearing gold bond of the
State of Oregon, to be sold in order to
provide funds for the carrying out of
the purposes of this act. Said bonds
shall be numbered serially, beginning
at Number 1, and shall be payable in
the order of their issuance. Said State
Highway commission is hereby author
ized, empowered and directed to issue
bonds of the State of Oregon for the
purpose of carrying out the provisions
of this act in an amount not exceeding
$6,000,000.00, of which sum at least
$600,000 shall be issued in denomina
tions of $500 each or less. The bonds
issued in any year under the provisions
of this act shall be payable one-twentieth
each year, commencing with the
sixth year after the issuance thereof. I
One-half of the bonds payable each !
year shall be payable on the 1st day of ,
April and the other half on the 1st day ,
of October. Each bond shall bear upon
its face a statement showing the date !
of its maturity. Said bonds shall bear ;
interest at the rate of four per cent
per annum, payable semi-annually on i
April 1st and October 1st. Principal
and interest on said bonds shall be ;
payable at the office of the state treas- i
urer at Salem, Oregon, and if said
State Highway commission shall so
direct, said bonds may also provide for
payment at some other place. Said
bonds shall be in a form embodying an
absolute promise of the state of Ore
gon to pay the amount thereof in gold
coin of the United States of America
of the value and weight and fineness
of the date of such bond, and shall be
in such denominations as the State
Highway commission shall elect. They
shall be signed by the governor, secre
tary of state and state treasurer. Said
bonds shall bear coupons evidencing
the interest to become due thereon for
each installment of such interest, upon
which shall be printed the facsimile of j
the signature of said officers. Said
commission may, at its option, cause a
part or all of said bonds to be payable
to the purchaser thereof and register
the narno of such purchaser in the
office of the state treasurer and pro
vide an appropriate endorsement upon
each of such bonds to the effect that
the same will be paid only to the
owner appearing on the register there
of, and providing a method lor re
registering the same as the title may
be passed, and it may also provide that
a part or all of said bonds shall be pay
able to bearer and not subject to regis
tration. Not less than ten days before
the payment of the principal or in
terest falls due on any of the bonds
provided for in this act, the State
Highway commission shall certify to
the state treasurer the amount neces
sary to meet the payment thereof.
Upon receipt of such certificate by the
state treasurer he shall prepare and
verify a claim for the amount men
tioned therein, attaching thereto said
certificate, and present the same to
the secretary of state, who shall nudit
such claim in like manner as other
claims against the state are audited,
and pay the same out of any moneys
provitled by law for the payment
thereof. The state treasurer is au
thorized and directed to make any such
payments of principal or interest on
said bonds at such places, other than
at Salem, Oregon, as the Statu High
way commission may provide. All
Kinds and interest coupons upon pay
ment shall be deposited by the state
treasurer with the secretary of state
to be attached to the original claim of
the state treasurer for the jmyment
thereof. "
Section 4. The State Highway com
mission shall provide such method as
it may deem necessary for the adver
tisement of each issue of said bonds
before the same are sold, and shall
also require such deposit with bids as
may be required, and generally shall
conduct the sale and issuance of said,
bonds under such rules and regulations
not inconsistent with this act as shall
be adopted by said commission.
Section 5. The money arising from
the sale of each issue of bonds shall be
! deposited in the state treasury to the
credit of a special fund, winch shall be
used in carrying into eiTect the provis
ions of this act. The secretary of
state is hereby authorized and directed
to audit all claims incurred in carrying
out the provisions of this act in the
same manner as other claims against
the state are audited, and pay the
same from any moneys provided by
law for the payment thereof upon the
submission of duly verified vouchers
therefor approved by the commission;
provided, that bonds and coupons shall
be paid as is provided in Section 3
hereof.
Section G. The highways described
in Sections 6 and 7 of tins act are
hereby determined to be highways of
first importance to the general public
of the state of Oregon. It is hereby
determined that the following high
ways should be permanently con
structed and finished with a hard
surface.
1. The Columbia Hiver Highway
from the Multnomah county line to
Astoria, Seaside, and south in Clatsop
county to the Tillamook county line.
Inasmuch as the counties of Columbia
and Clatsop have already exended
large sums of money in constructing
the said Columbia Highway through
said counties and in doing so have
practically exhausted their ability to
raise money by an issuance of county
bonds, the State Highway commission
is hereby authorized, from the funds
arising under this act, in addition to
paving said highway, to use from said
funds sufficient to provide for the prej
aration of said highway through said
counties for the paving thereof.
2. The Pacific Highway from the
Multnomah county line through Wash
ington county and Yamhill county by
way of Hillsboro, Forest Grove, Mc
Minnville to Dallas, Monmouth and
Independence, in Polk county; to Cor
vallis and Monroe in Benton county,
and through Eugene to the north line
of Douglas county.
3. The Pacific Highway from the
Multnomah county line through Os-
wego, Oregon City and Canby in Clack
amas county, thence through Marion
and Linn counties, to a junction with
the highway at Junction City,
4. Such portions of the Columbia
River Highway between the Multno-
mah county line easterly through the
city of Hood River and Hood River
county and through The Dalles and
Wasco county, through Sherman coun-
ty, through Gilliam county, by way of
the town of Arlington and up the Co-
lurnbia river to the confluence of the
Umatilla river with the Columbia
river, thence up the Umatilla river
through Hermiston, Stanfield, Echo
and Pendleton, and thence by such
route as shall be determined by the
State Highway commission to I,a
Grande, Baker, and to the Idaho line,
as the county courts of the various
counties affected shall agree to prepare
the road ready for paving. Provided,
that inasmuch as the county of Howl
River has raised by a bond issue and
expended upon said Columbia River
Highway practically its full constitu
tional limit, said commission may ex
pend on said Columbia River Highway
in Hood River county, such portion of
the money arising under this act as it
may deem proper in preparing said
Columbia River Highway for paving.
The various county courts in said coun
ties in Eastern Oregon through which
said Columbia River Highway is pro
jected shall agree with the State High
way commission upon what portions of
said highway are to be paved with a
hard-surface paving and what portions
are to be constructed as post roads, and
whenever any of said counties shall
have prepared a portion of said high
way ready for paving, then the State
Highway commission shall proceed
promptly to pave the same under the
provisions of this act, and the remain
der thereof shall be improved as a post
road undor the provisions of this act,
and such portion so improved as a post
road shall not bo eligible for paving at
the expense of tho state under the pro
visions of this act.
5. Tho Pacific Highway through
Jackson county, whero tho same has
not already been paved, along the
route heretofore adopted by the State
Highway commission. Inasmuch as
tho county of Jackson has already ox
pended largo huius of money in con
struoting said Pacific Highway, and in
paving n largo portion thereof, and in
so doing 1ms practically exhausted its
ability to raise money by any issuance
of county bonds, tho Haid Highwhy
commission is hereby authorized, from
tliu funds arising from this act. in ad
tlition to completing tho paving of said
highway in Jackson county, to use
from said funds sufficient to provide
for completing tlio preparation of said
highway through said county, for the
paving thereof.
t. Commencng on the Columbia
River Highway at or near Arlington,
in Gilliam county, thencu up Willow
creek in Morrow county, through the
cities or lone, Lexington and llopp
ner in Morrow county and through
I Hot uock, rondlcton,, Adams, Athena,
Weston, Milton and Freowator in
Umatilla county, to tho Oregon and
Washington state line.
7. A road from the south lino of
Clatsop county, at the end of its high
way described in paragraph 1 hereof,
south by Wheeler to Garibaldi.
S. A road from tho Multnomah
county line by Tigurd, Rex and New-
berg to McMinuville.
For the purposes of this act the
above highways are to bo known as
hard-surfaced highways.
Section 7. The following highways,
to-wit:
1. Tho road running from the north
line of Douglas county to tho Jackson
county lino over the lino of the Pacific
Highway as adopted by the State
Highway commission;
2. All that (Hirtion of the Columbia
river highway described in tho fourth
paragraph of the description of hard
surfaced roads as described in section
6 of this act, which the county courts
of the several counties through which
the same is located, slmll not deter
mine to prepare for paving hard-surfaced
paving as is herein provided,
shall be considered a post road, and
eligible to improvement as such under
the provisions of this act:
3. A road from Roseburg, by Myr
tle Point and Coquillc to Marshficld;
4. A road from tho Pacific high
way, from a point at or near McMinu
ville, by Willnmina to Tillamook City;
f. A road from The Dalles by way
of l)u fur, Maupin and Shaniko to Red
mond, Rend and from thence to Klam
ath Falls;
0. A road from Head to Lakeview;
7. A road from an intersection
with the Columbia river highway at a
K)int either in Sherman or Gilliam
county, by way of Condon, Fossil and
Spray and thence up John Day Valley
to such point as the highway commis
sion shall elect, and from thence to
Vale and the Idaho line;
8. A road from La Grande, through
Union and Wallowa counties to Joseph;
9. A road from Iicnd, through
Burns and Harney to Vale;
shall be known as post
roads and shall be constructed along
routes between said certain oints to
be agreed upon by the representatives
of the Federal government, and said
State highway commission. Said post
roads shall be constructed according to
specifications agreed upon between the
representatives of the Federal govern
ment and Haid State highway commis
sion. Provided, that if the counties of
Douglas and Josephine, or either of
them, shall prepare any part of the
saiii Pacific highway and make same
ready for paving according to the re
quirements of the State highway com
mission, then said commission shall
immediately pave the road so pre
I pared, and such jAirtion of said road
i shall be expected from the classifica-
I tion as a pot road. If tho county of
i oob shall prepare and make ready for
paving, nrrording to the requirements
of the State highway commission,
twenty or more miles in length of the
post road between Roseburg and
Marshficld hereinbefore described, or
the county of Tillamook shall so pro
pare and make ready for paving twen
ty or more miles in length of tho post
road between Tillamook City and Me-
Minnville, and if such portions of said
roads, in either or both of said coun
ties, are so prepared, that the same
shall he ready for paving according to
the requirements of the State highway
commission nhall immediately pave
tho road so prepared and such portion
of said road shall he expected from tho
classification as a post road, and such
portion shall then be classified as a
paved road.
Section ft. Roads over tho follow
ing routes are hereby adopted and des
ignated as forsot roads, towit:
1. A road from Medford in Jackson
county as surveyed and adopted by tho
Federal government in cooperation
with the State of Oregon, by the way
of Crater Lake, to a point in Klamath
county to ho selected by tho highway
commission and tho Federal officials
representing the Federal government,
operating under what is known as tho
"Shackelford hill."
2. A road from a point in Lane
county to bo seclected by tho State
highway commission and tho Federal
officials representing the Federal gov
ernment, operating under what is
known as tho "Shackelford bill," by
way of the Siualaw river, to a point in
Coos county (o be. Holoelcd by said
highway commission.
il. A road from Eugene connecting
Willlnmettti valley with Eastern Ore
gon by way of tho McKlnr.io river to
Bond.
4, A road connecting the post road
from the Columbia river highway up
tho John Day valley with tho post road
between The Dalles and Item!.
5. A road from Albany, via Leba
non, Cascadia and Fish Lake, to Rend.
No preference shall bo given in the
construction, improving or paving any
of the roads described herein by reason
of the numerical designation of such
roads.
Tho funds with which to pay the
portion of the expense of tho construc
tion of said post roads and forest roads
payable by the State of Oregon, shall
bo secured from the sale of bonds as Ih
provided in house bill No. 21, passed
by the present legislative session,
which bill Is entitled "A bill for an
act to accept the benefits of the act
passed by tho Sixty-fourth congress of
the United States entitled 'An act to
provide that the United States shall
aid the states in construction of rural
Kst roads, and for other purHsoH, '
and to provide for the issuance of
bonds of the State of Oregon to raise
such money as may be required to
meet the requirements of said Federal
statute, and to authorize tho State
board of Control to take such action
and perforin such duties as may be
necessary to meet the requirements of
said Federal act and Federal officials
acting under said act." Of the fundH
made available by said act for Hint
roads, at least sixty per cent shall be
expended on the above mentioned post
roads, in the counties east of the Cas
cade mountains.
No description of any highway pro
vided for herein, shall be construed to
prevent the State highway commission
from making such local changes in tho
location thereof as they may deem
proper.
Section 9. The State Highway com
mission is also authorized to adopt
such other roads or routes connecting
Hrtiona of the state and to provide for
the construction of post roads or forest
roads over such routes and the im
provement and maintenance thereof.
and to pay for the same from the fund
created by House Bill No. 21, referred
to by title in Section H hereof.
Section 10. The State Highway
commission is hereby authorized, em
iHiworcd and directed whenever tho
county through which any portion of
said hard-surfaced roads may he lo
cated, shall have constructed all or uny
section of any such hard-surfaced road
in accordance with plans and stceillea
tions prepared by the State Highway
commission, along routes prescribed by
said commission, and slmll have pro
vided for suitable drainage of said
roads in accordance with tho require
ments of said commission and shall
have prepared the foundation in ac
cordance with the requirements of said
commission, then said commission
shall let contracts, or otherwise pro
vide according to law for the comple
tion of said hard-surfaced roads by
causing said roads to be finished and
hard-surfaced according to plans and
specifications prepared ly said com
mission, and the funds required there
for shall be derived from the sale of
said Ismds, provided for in Section 3
hereof.
Section 11. The State Highway
commission shall pay the interest iiMn
said bonds as the same shall become
due, from any funds subject to its
control, from whatever source the
same may come, and tho payments
upon the principal of said bonds, as
the same shall become due, shall be
paid by the said Highway commission
from any funds within its control,
without regard to the origin of said
funds.
Section 12. Any surplus or unex
pended balance of the fees received
under the operation of House Bill No.
509, passed by this legislative session,
which bill is entitled "For an act to
amend Chapter 174 of tho General
Laws of Oregon for 1911, as amended
by Chapter 135 of the General I. awn of
Oregon for 1913, and as amended by
Chapter 350 of the General Laws of
the State of Oregon for 1915; provid
ing for regulating the use, registra
tion, license, identification, conduct
and operation of vehicles operated
upon the public roads, streets and
highways of tho State of Oregon; to
regulate and license the persons who
drive the same; to prescribe penalties
for violation hereof and to prohibit the
unauthorized possession or use of a
vehicle and to provide a penalty there
for; to license and identify all motor
vehicles; to limit the authority of cit
ies and towns on like subjects con
cerned with said vehicles; to prescribe
the duties of tho secretary of state as
to certain provisions of this act; to
provide for tho handling and distribu
tion of tho funds derived from tho
operation of this act, and to repeal all
acts and parts of acts in conllict here
with," remaining after tho payment
of all claims incurred in carrying out
tho provisions thereof or estimated by
the secretary of state as necessary
to defray any further administration
expenses for the balance of any license
year, shall bo transferred on tho first
day of April and the first day of Octo
ber in each year by-tho secretary of
statu to an account, to ho expended un
der the. jurisdiction of tho State high
way commission in payment of tho In
terest and principal as sumo shall be
come duo upon bonded Indebtedness of
the statu of Oregon, contracted for
road ptirxiHes under the provisions of
this act or the provisions of (he said
house bill No. 21 referred to by title
In section 8, of this act. Any remain
der of such surplus or unexpended bal
ance so transferred to the jurisdiction
of the Statu highway commission shall
he subject to the payment of any other
lawful claim or claims incurred or con
tracted by said commission.
Section 13. Tho State highway
commission is hereby authorized and
cuiHwcrod to enter into contracts for
the purjHise of constructing tho roads
provided In this act; provided, how
ever, that all contracts shall bo let ac
cording to law anil in open and public
session of said commission; provided
further, that if, In the opinion of a
majority of tho members of said coin
mission, tho lowest bid for the con
struction of any of the roads or parts
of roads herein authorized to be con
structed, shall be excessive, then and
in that event, said commission shall
have the right and it is hereby em
powered and authorized to reject all
bids and to construct under its own
direction and supervision, all of such
roads or any part thereof, and to this
end to accomplish this puroso said
commission is hereby authorized ami
empowered to purchase or lease all
necessary machinery, equipment, tools
and appliances and to employ all nec
essary help and labor and to do all
things necessary and convenient to
carry out the provisions of this act.
Section 14. This act shall be re
ferred to tho people for their ratifica
tion or rejection at a special election
to lie called In the manner tiriovded by
law, said election to be held on the 4th
day of June. 1917, and shall be in full
force and elfect as soon as ratified by
the people at such election.
Section 15. On account of the im
portance of the early decision of this
matter and the imwirtauce of getting
funds for construction of roads, this
act is necessary for the peace, health
and safety of tho people of the State
of Oregon, and the special election
hereinabove declared should not be de
layed beyond the time hereinabove set,
and for that reason an emergency is
declared to exist, and this act shall bo
in full force and eiroct in accordant)
with the terms and provisions therein
set forth, from and after its piotsage,
as regards saiil special election.
EXTRA SESSION DUE IN APRIL
Authority for Arming Merchant Ships
to Be Asked.
Washiutgon, 1). C. - The senate of
the United States having agreed to
curb filibustering, President Wilson
has determined to call congress in r.
tra session about April 1.
When congress reassembles it will
find that the Preisdeut has acted in the
matter of arming merchant ships. It
will not be requested to confer such
authority Uon he chief executive. It
way lie asked to omower him to em
ploy "such other instrumentalities and
methods" as may in his judgment be
necessary and adequate to protect
American vessels and American citi
zens in their lawful and peaceful pur
suits Um)m the high seas.
It will he asked to mako an appro
priation of $100,0(10,000 for the Presi
dent's use in this connection, tho
money to lie raised, as was proposed,
by the issue of 3 per cent bonds.
In the light of what is happening
throughout tho nation, there is no
doubt that congress will act promptly
and practically unanimously in accord
ing the President whatever power ho
desires and the amount of money ho
lixes.
The way in which tho country has
rallied to the support of the President
and denounced tho "filibustering doz
en," as tho senators who made tho
United States "powerless and con
teiupitablo" aro being called, has con
vinced the chief executive and his ad
visers that the people aro determined
to provide protection for American
citizens and American ships.
Washington, D. ('. - Modification of
tho senate rules, urged by President
Wilson to prevent future filibusters
like the one that killed tho armed neu
trality hill, is virturally agreed upon
by a conference committee of ten sen
ators, five Democrats and five Repub
licans, named by tho parly caucuses.
Storm Swoops Nebraska,
Omaha - A blizzard is prevailing
over Northwestern. Wetsern and Cen
tral Nebraska, according to reports re
ceived hero Thursday. Snow linn
reached a depth of threo feel on the
Alliance division of tho Chicago, Bur
lington & Quincy railroad, West of
Halgler, Nub., to Akron, Col,, a blind
ing storm has caused abandonment of
train service, it iu reported.