The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1893-05-25
PINCHHD FOR MONEY.
Jersey City's Depleted
Treasury a Surprise To
the Finance Board.
AVERY SMALL FUND ON HAND
New Bond Issue Must Be Made to
Meet E~xlgencies, and Taxpay-
ers Must Pay Up.
AVERY SMALL FUND ON HAND.

The discovery made by the Finance
Commissioners on Monday last. that the
city's sinking fund, so far as it relates tc
a certain issue OF bonds now nearing ma
turity was depleted, was as much Of a
generally.
The discovery led 20 prompt action be-
ing taking, n the course to be pursued
when carried out will, in all probability.
tide the city over in Inis little pinch. II
is nj a matter of 1925, 900 having to he
collected. and the able fiuanciers now at
the helm hesiLated NOT "a moment before
graphing with the difficulty. On Janu-
airy "a, Comptroller Hougn, IN his annual!
message to the Board OF Finance, said;-
II desire to call the attention OF. -FOUR
board TO the $3.50, 900 of i've per cent.
bonds issued in anticipation OF the COL
lection of taxes for Inc year 1888, aud
falling due May Is. 1894. In my judg-
ment Immediate action should be taken
TO cause to be advertised aud sold the
property now in arrears for taxes OF that
year Q888) to enable the Sinking Fund
Commission to be in receipt OF the pro-
ceeds from such sale, with which TO meet
these bonds at maturity"
WARNING FORGOTTEN.
III II COntAOVSi5J NJ SaptChuoSy Ia ~
Board of Finance. Comptroller Hough' s
warning was seemingly forgotten aud IA o
steps had been taken to meet The matu r
Ing bonds.
Besidey The $3.50. 900 worth Of bonds
which caused the Comptroller uneaStness
as far back as January. are S275.000
worth more, which are wholly dependent
for payment on the tax arrearages OF
1888 and 1889.
The batch of $3.50, OO0worth of registered
bonds we're issued in 1891, on account OF
a loan known as Tax Arrearage (ac-
count taxes 1885," The bonds bear 5 per
cent. interest aud fall due on May 10,
1894.
The second batch of s275, 900 were also
issued in 1891. u were charged TO a Tax
Arrearage'' fund account of taxes of
1889 and are due May Is, 1895, although
the $50. 600 worth are still u year from
maturity. and the $685. 900 worth two
years from maturity. Even tnat is a snort
period in which TO convert land seized
for taxes into money aud meet such bulks
of bonds.
SMALL FUND IN HAND.
On the first day of December last the
Sinking Fund Commissioners had 20 the
credit OF The fund for the redemption OF
the $3.50, 600 worth of bonds the small sum
of $67. sos. Al. OF course. since last De-
cember the fund has increased si ghtiy,
but people N had not paid their 1855
taxes up TO December l last are not apt
to pay them now. The fund, at any rate,
does not equal 500. 900. which Is not one
third OF the sum required one year hence.
With a view to protecting the city's
credit and preventing the issuing OF new
bonds for the $3.50. 900 or any part thereof.
the Finance Commissio ners have directed
that IA list of all property upon which taxes
of 1888 have not been paid, be prepared.
submitted to them. and by them submit
ted TO the City Collector SO that all such
property ma be sold uuder the Martin
Act. and the proceeds, which should ex-
coed $3.50 600 devoted to the redemption
of maturing bonds.
NEW EXIGENCIES.
In case the Martin Act sales do not
produce a sufficient sum to redeem the
DO nds, a new issue will have TO be made.
In the case Of the $275. 600 falling due
two years hence, the Sinking Fund COM
missioners on December l, last, held
S114.611 So toward the redemption. The
properly in arrears for taxes of 1889, will.
as in the former case, be sold, aud the
proceeds devoted to The redemption OF
The bonds.
Comptroller Hough is Of the opinion
that the Sinking Fund Commissioners,
will, long before the time arrives TO meet
the maturing bonds, be prepared fnan.
cially. from the arrearage taxes or 1888
and 1889,
This action had to be taken. however,
to place the city beyond the slightest
peril.