Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1880-11-21
$47,5O0
Leaves

Leaves. ....,.......,..,--.-.. $4i ,oOu
to go on the floating debt.
III such an exhibit could be mace
the interest accruipg and the present
floating dett could be nearly Iiqdi-
dated in two years. AS soob Is tals
was done we could reduce the rate OF
taxation to 12k mills on the dollar, III
crease the annual expenses SiO,Voo,
meet all accruing interest anu
have in the treasury at tue
end of each year over $zo.VOs'
which by 1885 would make sum sur
ficient to pay off the bonds tnen ma
turing. This st.tsment Will appear
from the following figures:
Income from taxable prop 90
erty @fos 90 20
Income from other sOurces... io'Ooo.VV
$5S, $50 90
Daducs for sxnendit lree,.. $4,000. 90
S2S, 10000
Deduct for annual interest, 7,S6O.e0
Surplus ........ ......... $50 800. 90
Operating within these figures after
1855 we could easily meet the annual
interest and the principal OF tbs bond
ed debt maturing in 1890, thus:
Annual surplus. $28 7oO.OO
Deduc. annual Interest,". $4,000
Leaving........''.'''''. ~z5. 44o- UV
which in four years would be $685.
100 90. lH
There can be NO error in the forego-
ing calculations unless it be Ia suppos-
nf hn
city NAV be reduced to SIC, 600 q year.
If this cannot be done We should come
ss near to it as possible, 80 as not to be
under the necessity of refunding any
considerable POI ton of our debt.
But some may say that ID make the
result above given, the rata of taxation
will have to be kept at too high a
figure. There is forcs in this, and in
considering how we may avoid high
taxes and yet meet our obligations
NEW PLAN '-
ia suggested. Let US secure from the
approaching legislature general al t
authorizing counties and municipal
corpOrations to fund their indebteG-
ness. with provisions for creation OF
sinking funds, and then by an ordi-
nance carefully prepared let our coun-
Gil fund $4,000 of our fl oating debt, Is.
suing Dor ds maturing at 20 years, pro-
viding that 81 600 be Get apart from the
annual revenns to con. tut a sinking
fund Such action would give great
reaIief, as will be seen from the follow
ing estimates: sr
The assessment now made on
property, with the revenue
and receipts from other
sources, as shown by the fig
ures In former part of this
article will give......... ............ $67, 900
Allow for expenses for l88l..... Is, 00C
Leaves $42. SOC
which is sufficient t, pay off the re-
mainder Of the floating debt r(aftsI
funding $4,000 thereby and the inter
est accruipg on the entire bonded debt
leaving nearly 81 900 for sinking fund
After one year of the present tax
(being for 188O) we could drop down tt
10 mills on the dollar, with the follow
ing result:
Income from all sourcs ........ :. $50, 00(
Annual expenses. 27,O0(
1923 ,OO(
Annual interest .................... 10. 86(
$12, 14(
Set apart for sinking fund. $780,. 1.00(
burplus"...." ...".........."....., $ll Ia
Making in 4 years a sum more
than suff1cieLt to pay eff th'
debt maturing in 1885. AfteI
1885 we would have TO raise tn,
tax again t, 123 mills in order t, met
TIE expenses, interest and principal
of the debt falling dne in 1890. Suct
tax would provide $27 900 for expenses
| SIS. 900 for Interest, 81 GOO for sinking
fhnd, and surplus annually of $22,
400. f7.
In all the above calculations no FL.
lowance has been made for increase in
population or value of the property o
the city. LEWIS TILLMAN, Jk. E