New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1872-12-01

/ OuS OALLut' W z Ct&I uUt UULIOh L4UES L1OLS.
from those who think that We already oWr
more than we can pay promptly and will
certainty. Deprecated public credit has
disastrous effect upon the general credit @
individuals. Where the double public deb
Of city Is more than one-fouTth Of it's prop
erty assessment and many times moro thar
the value Of all the available property
owned by the corporation, strangers must
draw an inference disparagiDg 80 the saga
city Of our citizens and Of our rulers and
legislators.
Beginning cur labors at such a time, viii
an exhausted treasury, with trammeled re
sources, with declining property, with
clouded public credit, surrounded by eager
claimants. and after many years CT profuse
! expenditures, it Is well that We make known
to the public the real condition Of our at
fairs, in order that expectations Of reform
may net be too sanguine. and that we may
not bear a responsibility which does not be
| long to US. therefore recommend that Won
prepare a fun and explicit statement Of the
condition OF your respective departments
| and Of the resources and condition of the
city. to be published end remain as official
evidence OF the situation Of our municipal
| affairs.
The total expenditures Of the city for the
past twenty years, including interest on
funded debrand 5he redemption Of bonds,
have been as follows:
In 1852, sI,333 ,G0o; 1853, $2,8Eo,000: 1854,
s. 687 600; 1850, s. 905, 00o 1856, S., 332, COO
1851, $2,2I6,0aQ; 1873, s2,476,0O0; 1852,
So III 900; 1850, S., Q2S 09G; 1861, $3.26t 600;
1862, S., & 900; 1863, $2,94l,ooo; 1864,
S., l08 000; 1863, S, 3D. 600; 1866. $4,30t coo;
1867, $685. 600; 1863, s. ,Q62, COO; 1853,
$4,9S6000; 1870. last nine months, about
s., 800 900; 1871, $5,634, 5G4; 1872, approved
budget or official estimate, s., 20i .38i.
The total valuation Of property in New
Orleans in l8J? was SCI, 63I eco; in 1850,
&1I,l28, 900; in 1860, $I-I ego, 000; in 1867,
$3.50, o., 600: IN 1859, $l27 81, o00 in 1871.
the State assessment on which the present
State tax is based, $Ij3,2l4Go0. Although
the area Of the city has been greatly e1-
tended since 1852, and the present assess
ment was made at currency values instead
Of gold. believe the valuation greatly OK
eeeas the actual present worth. Il may he
assumed that the taxable property in the
four districts 10 1892 was worth far more
than half Of the similar property in
the enlarged ciry in 1872, but while
our capital Las scarcely been doubled
our expcn ,as nave been increased
~. = 10
sides paying moro than SIX times as much
into the State treasury each year. Our
budget for tie current year calls for nearly
seven millions o. dollars. in addition to We
rious bonds issued or contemplated for paw
ing, drainage and cmbankments to the
The expenditures Of 1870 and 1871, and Of
the first nine months Of 1872. give reason TO
fear that tie actual expenditures Tor the
current year VIII at least equal the budget
for that year. Tie budget adopted Eovem-
Der 70, 1870, for the year 1871, called for
$J,5iL,2S3, bat The aatual disbursements eX-
ceeded that amount,
/ conceive that the financial er!bagrass-
Inents OF our oorqoTat ton are due in great
part 10 the practice Of making appropria-
tions and issuing certificates for the same
before uonev Las been received wish which
10 meet such payments. These certificates
have thus become . species o. city scrip,
bearing no interest, payable at no certain
date and having no fixed value. Divided
INTO small SUMS and issued for services CT
materials to those who are not able to wait,
tley are sold u the street at an enormous
discount Those who have money 70 spare
speculate upon the poverty or necessities of
IaeritoIious Iab0reTs, mechanics and teach
ers, who must loss one-tLiri or ono-haIf Of
their wages, although the wealthy COZ
tractor charges il advance fo9 the autici
pated loss uvon his certificates. with
wide margin in his OWE favor for
changes III the market values. This reacts
upon the corporation IN the form Of ex-
travag4nt prices for all purchases. The
greater tie volume Of outstanding certif-
Gates, the lower thev fall in market value,
and the more Of them are required for
future services. Depreciation thus accel-
Ierated, al length suggests the empirical
and shallow eypedient Of funding the float
ing certificates in city bonds payable in
gold at some distant date, the city often
giving premium 10 the holder Of certiG-
Gates which bear no interest for taking in
exchange interest bearing bonds Thus
the city bonds issued during the past four
or five years may have cost to the holders
an average Of less than seventy cents in
the dollar, though bearing large interest
and redeemable in coin or its equivalent
Every increase in the amount Of the
funded Debt OF the city proportionatoly
depresses the market value of all its
bonds, new and old, 50 that the extrava-
gance OF tLe present will impose vast bur
5ens upon the future, while damaging the
general credit Of The people Can we put
On end to lie pernici0us practice OF autici-
pating receipts b. certificates OF appropria |
ton The public demand this reform at
our hands, and l trust that their hopes will |
not Be disappointed. But, whatever tinau-
,iaI policy tie incoming administration may
pursue, I can with confidence assure the |
holders Of certificates Of appropriation that |
heir pay Ii ut Will not be jeopardiZed or
deferred. If they viii pa |
ieutIy wait until the system Of cash pay |
nents and receipts can be established, they |
will he paid in full, thereby saving the !
Ieavy discounts which they have hereto |
ore been ComDeIlod to suffer The cash |
;ystcm r9H-c prove benefit to the creditors |
If the city, az well as to the corporation at |