The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-10-05

based This would serve illustrate connvanccs at i'm
proper CLAIMS Ut their beginning, and to nix the respos
bihy Of attempts at fraud collision where justly be-
! Longs.
10 show the practical working OF sucl, auditing bu
reau as have suggested plan tofnder the conviction
i,at must become prominent feature N any Well con
sdered system conducting efficiently the affairs OF the
Finance Ic,a,nert--I will its application 10 class
81 accounts which seem IN the light VI recent dcvciope
mes to have afforded peculiar temptations to aud Gac
TICS frauds. refer TO those connected with assess
mcnis fer stree. improvements have experienced great
difficulty in Exing the responsibility for the numerous
errors, allowances and irregularities which have
traced in these accounts In the absence or any auditing
accounting worthy the name, alterations contracts
ard certificates, in extensions footiDgs tran
scripts efasufs nternings and ovcrwritngs although
Of frequent and designed occurrence always de-
6nitey traced TO the cuale srties-ench department
acting independently CT in with Others as sell
fish interests might dictate Responsibility thus shifted
| the case
When tho contract for given awarded and tn,
contract drawn up for execution the first auditing should
commence, ami the auditing accountant should make the
requisite examination to enable him 10 certify to its
fcrmy 70 the terms OF the accepted bid estimate
the Specification upon which il is founded.
Three copies from the origna! contract duly certified,
should be Furnished fer the Of the Comptroller Sur
veyor and Board OF Assessors The Surveyors return
should be furnished TO the Stree, Commissioner anil in
duplicate to the Comptroller and Board Assessors The
surveyor should be required to certify that his return in
cudcc no work not embraced in the contract, any
which was not performed in conformity to its specific
dtons The assessment list when completed should no
certificate to the correctness Of the computations and foot
ing and to its agreement with the contract, be required
Upon the confirmation OF an assessment list a certified
copy should be furnished the Finance Department when
proper account should be opened by the bookkcepcr with
the Improvement for which the assessment is authorized,
TO which shonld be charged upon the Accounting Audit
ors Certificate the payments made by the Controller to
contractors, surveyor &C. the accounts of warrants
drawn and assessment bonds being credited according
the nature of the payments To this account with the i'm
pfovemcns should be credited all collections thereon
made by the Collector of Assessments and Clerk OF Ar
rears and receipts from sales OF the property by Clerk Of
Arrears for delnquenciesthe Chamberlain being at the
same time charged Herewith.
The ledger containing these accounts would show the
amount paid the collected and the amount due on
any assessment list at any given date. The Collector
should be charged with the amount of each list placed
N his hands, and an account TO be styled Assessment
Account credited with the same As collections
are made they should be charged TO assessment ac-
count and credited to the Collector Athe end twelve
months from the date Of the confirmation auditing
Of the Collectors account each list would determine
the amount proper to be charged TO the Bureau of Ar
ears the Collector return for which should he accepted
by the clerk OF that bureau upon the certificate Of its ac
curacy by the auditing accountant.
On this nnal auditing the Collectors account with each
improvement should balance The balance OF the assess
ncnt account would always show the uncoeced
assessments and the balance OF that compared
with the balance OF the assessment bonds would
always show TO what extent outstanding bonds
were in excess Of unooleced assessments at any time
such should be the fact.
the Collector should receive payment for assessments
and fail to discharge them OF record pay the money
TO tho Chamberlain, and should include the same in his
return to the Bureau OF Arrears tho notices the
apparent dcinqucns would be pretty to bring tho
fact OF prior pay ment to light.
Every discrepancy between tho records payments {,
Chamberlain and return TO Bureau Of Arrears would
certainly detected in the final auditing referred TO-
This method Of auditing and recording should be applied
to the accounts Of every collecting officer varying the de-
tails to meet the pecaiar requirements Of each, and
once inteligcnty established and persisted in could
fail OF the most sautary results. Tho auditing and book
keeping OF the Finance Department are closely related du
ties. II the first neglected the last Is pretty certain TO be
nesliseny performed and the establishment OF system
OF enectual checks such mns result from careful
dng Is hardly more necessary TO assist in redeeming
from the prevailing disorder, than that ineligible
Of books be kept which shall afford the evidences Of
the proper recording Of the city officers transactions that
tho books OF bank do Of the financial transactions Of its
officers.
Under such method Of auditing and bookkeeping as
have matured, not only would the liability losses by
negligence and fraud be greatly csscncd- entirely
rcmovedbut balance sheet from tho principal ledger
would be seexplanaory report, showing at glance
the expenditures IN every department Of the city govern
ment under proper captions, the amount Of collected
from every source, the amounts uncoiected
who held responsible the all accounts for
which appropriations have been authorized the
the city property and the amount Of the ciys
nebtedness whether in floating or bonded debt Such
exhibit ia short as every prudent merchant require
10 expect from the chief officer Of tue finance department
Of the city u New York.
Unless the revelations which have been made, and
which have formed tho groundwork OF these suggestions
shall be deemed Of importance enough 10 induce action
the part OF those concerned In having more cfedtsble
financial history In future fear some future explorer IN
the mines of official corruption will gather materials for
another volume, which, u II do not surpass that now
being written in tho value Of its teachings will at eas
equal in the record OF startling and dsgrscefu facts
The public convenience and interest would doubtless
be promoted radical change mode OF collecting
assessments and other by the presen
division Of tho collections among several collectors having
strict supervision from central bureau or chief and
conducting the Affairs OF their respective Offices without
unity Of plan and in buildings apart from each other very
considerable Inconvenience is occasicned those having
payments TO make for several descriptions Of dues,
much time being consumed in searching for the different
oces and in tho delay incident TO periods Of activity in
delay being liable 10 every Office
We're the collections all placed under the charge Of
collector, with corps 81 competent clerks, the duties u
the bureau could he allotted and the routine &c labor
n M thec
under the ready oversight Of the Collector and the bust
ness q The payers Of city dues he greatly facilitated by
with much despatch az Is now practicable for any
| Of them.
ton H. 80 much dirnsedthe public moneys reach the
treasury through 90 many channes-ihat the difficulty OF
fixing the responsibility for negligence serious
faults Is much greater than would be the all the
collections subject to uniform PLAN and placed un
tho control Of collector who could neither eyade
| nor divide the responsibilities Of his position.
To the books and accounts o this officer access should
q, ~ times be bad by the auditing accountant Of the Fl
Department, who should also be permitted under
the Jomptroller sanction t. prescribe such books and
foim q accounts would best promote clear ana
accounting aud thorough auditing. II the public
news withheld from the treasury under this plan nf
collecting there would he little difficulty In fastening the
| ,mbczzcmCnt upon the guilty party
Checks could be established in cnnceng liens that
world render the Withholding Of moneys very hazard
Gus and difficult mater, especially The auditing account
ant Of tho Finance Department performed his duty fire.
/ queni and critical examinations.
The receipts 81 money the discharges Of cns and the
book entries 81 these transactions three distinct duties,
should be assigned ~ many clerks separate desks
and the receipt given the discharge o every lien should
bear upon H. face the evidence that the payment had
been made that had been discharged Of record aud
that the proper credit had been given in the cash book Of
| tho hookkeepcr.
Such state 81 affairs as now exists could not possibly
under this regulation. This transfer OF all the col
lccops 20 one bureau Is also recommended IA view Of lie
greater economy.
Tho expense q collections by collector with ample
cerce al, allowing literally for the compensation of
| competent need not cxGcd twenty I've or thirty
thousand dollars por annum and tho saving eomp~ed
with present EXPENSES. he fairly estimated at seven
\ iy-fve thousand dollars pcr annum
For the interest have manifested IN tho work am
conducting will pleascs receive this expression &c my
thanks When shall have finished n shall bc able 10
give 10 the public tho Of tho accounts of the
vcra collectors from 1858 10 1859 Considerable time will
be required. hut being assured Of the appreciation Of its
importance by The public. and having the confidence and
\ n NJ IA Interested