Phillipsburg herald. [volume] (Phillipsburg, Kan.) 1882-1905, 1888-01-20
Apis, TIN TYPES.
"a Soft Snap for Phiuipsburg
Banks at the Expense Of the
Tax Payers Of Phillips
County"


The above is part Of a sensational
heading Of a lengthy article in the In.
dependent, Of KirwiD, last week, in
which that paper endeavors TO make i,
appear that the Board of County Com.
missiOners and County Treasurer have
done a terrible wrong in depositing the
County funds in the two banks OF this
city, for which the county receives but
one per cent per annum for the use OF
the funds. Now what is the unvarn-
ished truth in the matter. Let US see.
The last legislature enacted the follow.
ing law (See chapt, 1873. page 1874, OF
the Session Laws Of 1850.
Be il enacted by the Legislature Of the state OF
Kansas:
sEcTIoS /. That in all counties having popu-
latlou OF over seven thousand and less than
twenty-five thousand inhabitants the county
treasurer shall deposit daily all public money in
some responsible bank or banks located IN the
county seat, 10 DC designated by the board OF
lfcr as such officer which bank shall pay such
interest on average daily balances as may be
agreed upon by the toard OF county commission
ere, and such bank OF hanks shall credit the
same monthly 70 the account Of said treasurer;
and before making such deposits the said board
l shall take from such bank or banks ro0d and
sufficient bond in sum double the largest ap-
/ prgZimate amount that may be on deposit al any
one time. conditioned thai such deposits shall be
/ promptly paid ON the check draft of the trea-
ruref OF Haid county; and such bank banks
7-i'4i on the nrst Monday OF each month, Tile with
! the county clerk a statement Ui the amount OF
money ON hand at clos. of business each day dur
ing the previous month. and the amount OF inter
erl ACQUIRED thereon 10 said date.
Thus il may be seen that the Com
mi>siOners and Treasurer have no dis
cretionary power. for the law says the
Treasurer ''Shall make the deposit
Now that much is settled. As to the
amount Of interest that the Banks shall
pay, that the county officers could not
control. The two banks insist that
they cannot afford TO pay more.
County CLERK Hartman informs US that
since this order to deposit was made,
the average daily deposits Of Treasurer
Nipps in the Phillips Co Bank were
for November, 1887, Sj.44O.2O, and for
December, 50 ,8OO53. That the aver
age deposits in the First National Bank
was 1854. for Nov. and SI3 ,I3I,58
for Dec. Both Banks are re luired 20
give a bond of fifty thousand dollars
each, which they have executed con
tanning a number of the strongest men
financially, in the county, for the faith
full handling of the money. The
money is subject to Treasurer's check
any day, and the bankers say they dare
loan out only a comparatively small
amount of the county funds The
bulk Of the taxes come in and are paid
out again between the 10Th of Dec. and
the middle Of February. Cashier
Strain says there is much trouble con-
nec'ed with the business. First; The
Treasurer draws a great many checks
which they have TO redeem almost daily:
then it is a custom of non-residents to
send drafts and checks to pay taxes on
property owned in this county. These,
the county treasurer deposits at the
bank the same as cash, and the banks
have TO write TO the eastern houses that
issued them, for the redemption of the
same, all OF which requires expenditure
of much time aud no inconsiderabIe
ont lay for postage. Mr.. Strain says
the National Bank cannot afford to pay
the county oyer one per cent for the
money. principally for the reason here
in stated. that it being subject to the
treasurers check ut any time, they must
keep it or the bulk of it constantly on
hand.
The Independent, It would seem has
been too hasty N its sensational article /.
denouncing the commissioners and the /
county treasurer for dong what the
law commands they shall d., and for
its severe arraignment of the banks for |
not allowing more interest on money /.
left in their vaults which they say they /
cannot in any considerable amount
loan out.