State Ex Rel. First National Bank v. Melville

If the writer understands defendants' oral argument (inter alia) it challenges the validity of the Bancroft Bonding Act, because nowhere in the act is the power of cities restricted in the matter of taxation, borrowing money, contracting debts or loaning credit.

Unquestionably, Section 5, Article XI of the Constitution of Oregon, imposes a limitation upon the authority of the legislative assembly. It provides that:

"Acts of legislative assembly incorporating towns and cities shall restrict their powers of taxation, borrowing money, contracting debts, and loaning their credit." (Vol. 1, Oregon…