The Sunday morning news. [volume] (Jersey City [N.J.]) 1886-1891, 1891-03-15
NEW WATER SUPPLY.
MIR. MuIIone's Scheme to Provide
for Its Cost.
Special to the Sunday Morning Mems.


TRENTON. March IA, 1891 The bill in
troduced by Mr.. Mullone Monday night
authorizes any city which proceeds under
the act TO secure new water supply by
condemnation of water works, through
its Finance Board to borrow money for
the purpose of defraying ali the expenses
of the condemnation. for the construction
of all additional works necessary to the full
accomplishment Of the purpose for pro-
vidlng such new or additional water sup.
ply. The bonds of the city are to be
issued to bear ~ per cent interest. and
mature in not more than thirty years from
date, and to be sold at not less than par
These bonds are to be known as aque-
duct stock
The limitation upon the amount of
bonds to be issued Is that they shall not
increase the total bonded indie btedness of
such city SO that the net amount thereof
shall not exceed fifteen per cent OF the ag-
gregate value OF the real and personal
property of such city returned for taxa
tion, including the real estate of railroad
or canal companies separately assessed
In such city by the State Board of As
SCISSORS
The net amoupt OF bonded Indebtedness
is to be determined by deducting from
the aggregate amount of bonds of such
city of every kind outstanding, including
temporary loan bonds and Improvement
certificates first, the full amount of cash
and securities held in the sinking fund Of
such city at their par value; also the full
amount of taxes and assessments adj
justed under the Martin act, but not yet
collected; and, second, two thirds of
the amount of all indebtedness due
said city on account of unadjusted
i
made on account of street and sewer i'm
provements In course of construction.
The taxes for city purposes which have
become due within the fiscal year, in
which such aqueduct stock shall be
issued, are not to be counted in the aggre-
gate OF indebtedness due the city for tnis
purpose
HOW THE BONDS ARE TO BE PAID.
The second section of the act provides
that all the water revenue due said city
in any fiscal year after deducting the
amount needed for current operating ex-
penses OF the water department, but not
for extension of the water works, shall be
devoted and set aside:-
First. to the payment of interest on the
bonded water debt, including the bonds
authorized by this act.
Second, to the creation of sinking
fund for the redemption of the water
debt to the amount of per cent Of the
bill. "-'s~'
Third. to the creation Of surplus water
fund TO be drawn upon for making nee
essary extensions Of the water works and
to meet future deficiencies in watar rev.
enue.
In case the water revenue in anrs wear
shall net be sufficient to paw the interest
and provide the sinking fluid with the
aid or the money in such surplus
fund to meet the deficiency, sum
equal to the deficiency shall be put in
the tax levy Of the following year. But
in case any other fund or revenue OF any
city is lawfully available to make up such
deficiency in the water revenue in whole
or In part, the city shall not be Obliged to
raise the amount by taxation to the
extent that such other fund or revenue is
so used.
THE AMOUNT FOR WATER WORKS.
The Sinking Fund Commissioners are
authorized by section 3 to take charge of
the sinking fund created by the act, and
incites where there are no sinking fund
commission, the Board having charge of
the finances shall act. The ACT provides
that nothing therein shall deprive any
Board OF a city of any concurrent power
possessed by it in the expenditure of
money or contracts relating thereto. 1t
also provides that any sinking fund
previously created for the payment of
any portion of its water debt shall be
SOHeihuCd ao q coDhItlC SiuhiuR luuQ aC-
cording to the terms of any obligation
hitherto entered into by auy city.
A glance at a statement of the indebt-
edness will give a better idea of the scope
of this bill At the beginning of the
present fiscal year, December /, 1890, the
total bonded Indebtedness of Jersey City
was SIS, 5z5, 739. 35, which was made up of
general debt. s7.163, 239.35; assessment
debt, s., 473. 500. water debt, "a, 7S6, 600:
temporary loans. $3.50, 600; improvement
certificates, 1888, 000 There Were offsets
to this amout which reduced the debt to
Sl2, AGA, 90. SO.
These assets were:
Assets in sinking funds. 81, 726, 1856 IS:
adjusted assessments (unpaId), S115, 495 %;
adjusted taxes (unpaic). s675, 276. 62; total,
$50, I'LL 81; unadjusted arrearages OF
assessments, 81, 033, 1861 o.; unadjusted ar
rearages of taxes, 50, 076. 4l2.92; advances,
account OF Improvements, $235, 583 90;
total, S., 345, AS. 25; deduct one-tnird,
81, 7Sl, S2T. 40; 50, 563, 654 So.
According to the assessments made by
the tax board the property in Jersey CT "
was returned at s7S,957,415, of which
amount IS, s..9. $50 was personal property,
and the railroad and canal property was
valued at $2l ,059, AL, making the total
valuation S1O0.0l6, S56. Fifteen per cent.
of that amount would be $4,000. SOS. 40.
and as the total Indebtedness is
ST., 464 7S3, there would remain 50 537,-
60l07, which can be raised under Mr..
Mullone's bill for obtaining the new
water supply.