New-York tribune., 1873-06-19
BROOKLYN'S MONEY WASTED.
OF TAX COILECTING.

INTEREST AND DEFAULTs-A FRANK ADMISSION
BY THE CONTROLLER.
Among the many mysterious departments III
Che CITY Government Of Brooklyn none seems TO he so
mysterious as that OF the Tax Collector In 1884, when
BROOKLYN, wlliamsburgh ana Bushwick were eonsoh
dated the first Collector, j. T. s. Briant was appointed
He proved defauer but OF the amount Of ms default
the general public never informed. His property
was placed in the hands OF OF his suretes, who
disposed OF IT, and 1t rumOred, placed the proceeds
IN the CITY Treasury. The whole matter hushod up
and surred over, but from that time TO the present
though new Collectors have been elected to Office and
one Collector has succeeded another. examination o'
the books in the Tax Collectors Office has ever neeh
made The present Controller, Mr. Schroeder nans"er
20 inquiry, said: Il have doub that an examina
ton OF the books the Collectors Office would show De
faults OF millions. Not that wish 10 declare the actua'
existence such defaults but the books ana accounts
in such state that it would be almost imposDle "
determine whether they really existed OF NOT
This opinion was given by the Controller some tlme
ago and the idea may be found IN the "ors seu
by hlm 10 TRIBUNE reporter. which are given further
on II may not be unlntoresng therefore. to give somo
account OF the Tax Collectors Office, the manner IN
which the duties OF the Office arc performed as well as
the opportuntes presented for pecuatiou and fraud
The Office is salared one, the salary in 1854 having
been 25O0 This amount has been Increased from time
70 time until tIs now about 5000 Under this meagcr
is to collect the city and much OF the state aud
county tax as is apportoned the city, with all Of the
assessments for local improvements lie furnishes Sc
curty 10 the Of $4,000 and i bound to pay over
the money daily as received TO the City Treasurer ln-
stead OF doing however, he deposits II IN bank to
his own credit and keeps IL there fOur days, when he
gives his own check for the sum the Treasurer In
consideration Of this deposit the bank furnishes him with
the security. This deposit, it may be mentioned,
amounts at times, to more than Slo010oo, while the
SUNS placed in the Collectors hands for collection have
aggregated over $lOOOOO 600 in single year.
The Collector appoints his deputies and clerks more
than all and although they wen as himself are
salarcd officers and although the money TO pa them
included in the city budget under the head of salaries
yet there is added TO and included in all tax lists and
sessncnt rolls under the head OF Expense for COoc
uon the OF per cent on the gross sum to be col
iected This is not, however, fee perque Of the
Collector bu should be paid TO the City Treasurer
80 as 10 part Of the city Another portion
Of the city revenue is obtained defaults and from
the interest unpaid taxes and assessments Thus,
taxpayer fails to pay his taxes assessments within
80 days after they are confirmed he thereafter charged
per cent per month additional, and this per cent Is
continued the unpaid aud assessments for ten
months after which period interest is charged at the
OF per cent per aunum until they are paid or the
property is sold for uonpaymcnt Of them. The money
FOR the support of the City Government paid 70
the City Treasurer collected and placed by him de-
positIn the various city divdend-paying banks each
ceving such sum as the Ring designates There 1t
until the city requires the OF it, the banks IN
the meantime using it in Shaving notes" The banks
paw the city per cent per annum for the daily balance
while IL thus remains deposit, and 1t in Wsl-st
at usurOus rates The money collected for county and
State taxes paid daily TO the County Treasurer
who deposits in his bank, while the interest passes into
his own pocket.
when the taxrols placed in the hands OF the Col
lect0r gives receipt for the gross amount O money
there charged Asforexampe in s72 city S469L653;
county 6oO5O; state tax SlfG437; total l14j
To this amount is added three per cent the total
amount fees for collection, giving S2l3C3i Thus. in
this year. he would give receipt for S,5l4I79. This
f. divided between the several wards in proportion
their assessed valuation, and the money IL is COL
lccted from the wards is credited 70 them and paid over,
first 10 the City Treasurer, until SG9iC5 or the amount
OF cv tax is paid and the three per is likewise
paid the City Treasurer It is collected until
the city eventually receives the S113O3l But only
small portion OF the taxes is paid in during the
INST month, the per cent per month
default soon begins 20 accumulate, and this de
fault kcv ise paid 10 the City Treasurer. rather than
iuto the city treasury Thus it, of the s5lLI79 on the
t1xron S254l79 paid in during the first month,
there would remain 5000 which default Of $4,000
had accumulated. Now, n 100000 OF taxes were col
lected during the second month thereoud be collected
tlOOlOlor default r. again. $4,000 were collected dur
default and If $4,000 collected duung the fourth
month there would be sl 800 collected for default This
would give 1850 collected for default for the first four
months during which the taxrOlls remain IN the Col
lectors hands At the end Of this period the Collectors
warrant as Collector OF Taxes" expires and the County
Treasurer makes examination Of his books He checks
OF the amount which has been paid the tax rolls,
pare tins with the paid into the city and county
treasury and they agree he cancels the receipt which
the Collector gave for the taxros, aud returns them to
the Collector collect the unpaid balance as arrears
OF taxes" The County Treasurer takes receipt Tor
them aud makes examination 10 see whether not
the three per cent the per cent per month for de-
faults has been properly paid over. He simply looks
after the principal charged for taxes without any
reference 10 the defaults the three per cent for
collection.
Prom this time as has been stated the tax-ros are
called arrears Of taxes" and collected with the
accumuations Of per cent per month additional for
defaults for months longer. making 10 months in all
since the confirmation Of the Thus paid
the last month Of the period have added TO the original
tax 10 per cent additional default. After the ten
months seven per additional added 10 the 10 per
cent after which the property advertised FOR sale for
n0u-payment OF taxes.
Now no examination OF the tax-rolls, from the time
when they are placed in the Collectors hands 70 collect
arrears Of taxes is or has ever been made since 1854 At
the time Of consolidation there were IS wards; now
there are r. Each Of these wards Is represented by
taxros, the entries in which vary from 1000 10
ccO and in each year there about GOoOO entries.
Each OF these entries represents varying changing
sum Thus. II lot were originally taxed 500 and the
tax remained unpaid for 10 months the amount then due
would be $40 and so, in order 10 the books in
the Collectors Office properly, each days work since 1854
would have be examined, each entry compared with
the tax roll and calculation made 20 II the proper
amount Of default had been charged collected, and paid
over 20 the Treasurer II Is possible for Collector to
pocket half these defaults one being any the WISER
and the defacatOn could only be discovered by an acct
oEa nd ara hal