The record-union., 1891-11-07
FOOD FOR THOUGHT.
How Taxes Can be Reduced and
Revenue Increased.
A Proposition Which Should be Care
fully Considered at
Once.

Judge H. o. Beatty, the President of
the Funded Debt Commission, has un-
doubtedly given the question ofthe city's
finances more thought and consideration
than any other man in the community.
The RECoRD-UNIoN has not agreed with
him IN some of the propositions he has
advanced, but has always given him
credit for sincerity and honesty of pur-
pose. A short time ago we called upon
the Judge to give US his idea of how money
could be had for needed improvements
and still pay off the bonded Indebtedness
OF the city rapidly. Yesterday he fur
nIshed us with an outline of plan which
he claims will reduce taxation, pay off
the old funded debt (or provide for it) in
about three years, and at the same time
furnish $4,000 for improvements. This
would establish the credit of the city and
at the same time give us good water
works, complete sewage system, fine
streets and levees, and make Sacramento
the most desirable place of residence in
the State
Stated in brief, Judge Beatty's plan is
Tor the Assessor and Trustees to increase
Inc personal assessment roll of the city
sufficiently to make the entire assessment
roll $4,000, 900, instead of S14, 1850, COO as at
present. Then levy a special tax of 80
cents on the Sl00 for the use of the Funded
Debt Commission for each of the next
three years, and in return the commits
sion will loan the city $1,000 per year
Tor the time mentioned, taking the citys
bonds at per cent. interest therefor
These bonds the commission would be at
liberty to float and use the money for the
purchase of old bonds, or hold and use
The interest for the same purpose.
The proposition to raise the assessment
is not new one, and heretofore it has al
ways been met with the objection that it
would give the bOndhOlders more money
each year and would therefore tend to
raise the price of the bonds. This OBJ
lection cannot be raised when there is
connected with the raising of the assess
ment roll the loanlng of $780, 900 each
year to the city, because if the Funded
Debt Commission loans the city that
amount it viii not have as much money
with which to buy up Old bonds as it will
nave under the present system. Beside,
the extra money will be raised for the
use of the commission, and they will not
be compelled to use it in the purchase of
old bonds, and Will not do so unless they
can get them on reasonable terms. In
Tact, the bondholderS Will be in the power
OF the Commissioners, and if they refuse
TO sell their bonds at fair price the COM
mission can lend the whole amount to the
city, and thus give US the improvements
so much sooner
The Judge holds that the personal prop
erty OF the city is not assessed at anything
like what it ought to be, and in this he is
undoubtedly correct. Many years ago the
assessment on personal property in this
city amounted to over 50, 500, 600, and it has
dwindled down to S2,900,00O. 1t could
justly be raised so as to bring the roll UP
TO SlS,000,000 without raising the assess
ment on real estate at all and still it
would not be assessed too high.
Judge Beatty furnishes the following
figures showing the income of the city
under his proposed plan. and what can
be done with it:
Income of Interest and Sinking
Fund for next three years and two
months. ..,,.. $4,000
Three annual receipts of
the 55 per Cent. S279,OOO