Show i COURT UPHOLDS GRANGER BILL Sustains Right of Cities to Exceed Bond Debt Limit Opening the way for tor construction of more than of ot public works projects in irl the slate state the thc Utah supreme court Thursday upheld constitutionality con conS of the Granger bill and the right of Utah municipalities to exceed their bonded debt limits In a divided opinion the court ruled that under the home rule amendment to the state constitution adopted last year borrowing power of cities can exceed limitations Imposed Im ha posed in another section of the constitution con con- I providing that action is sanctioned sanc sane I Ii by a vote of the taxpayers The majority opinion was written by Justice W. W H. H Folland and concurred concurred concurred con con- in by Justices Justices' Elias Hansen and D. D D W. W Moffat Chief Chic Justice D D. N. N and Justice Ephraim Hanson dissented The ruling was made in a case against the city of ot Santaquin which proposed to issue ue revenue bonds to secure a public works loan to construct construct con con- a water works system A group of Santaquin taxpayers testing testing test test- ing the constitutionality of the Granger er bill opposed the move Joining in inthe inthe inthe the case Ogden city petitioned for fora a rehearing on a supreme court decision de dc of ot last year holding it could not borrow R F C funds to improve its water system This petition also was denied The majority oP l O that the city of San Sant ot made a proper v of luin of its water water- wor works system so U revenues could be segregated to ret retire re bonds Both the thc Ogden and Santaquin 14 1933 C cases Ules were filed September and argued and submitted on October 9 Governor Henry H. H Blood told of the ruling praised the speed with which the C cases were decided and expressed ex cx- pressed gratification that Utah's public public pub pub- lic tic works program could proceed legally le Ie le- le gally gaily at once |