The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1897-08-03

So since 1891 ratableS have increased
$5,311, S31, while the tax rate has decreased
$1.00 per thousand; an annual average IN
crease of less than 100000, in ratables
and of .16 per thousand of assessed valua
tionS. During the same period the
Building Inspectors reports show that
the increase in the value of new and i'm
proved buildings was upwards of S9,000,00
Therefore your charge that the tax rate
has been decreased by increasing valua-
tions is not sustained and the taxpayers
have not been deluded and the reductions
have been accomplished in way praise
worthy and lawful. Millions have not
been added to the ratables by raising
valuations as the figures already quoted
prove beyond dispute. 1t is but another
of the series of abSurdities with ,Whch
your Honor's communication glitters 1t
is clear then that to operate the city
government it is necessary that every dol
lar of taxes should be paid into the City
Treasury annually. If the whole OF the
taxes are not collected there must be a
deficiency. The obligations have to be
met and the money must be found with
which to meet them AS matter OF TACT
not more than seventy-five or eighty per
centum is collected, SO that late in August
or early in September annually the City is
short of cash, and temporary loan bonds
are issued in anticipation of the collection
of taxes unpaid up to that time. The
money obtained from the sale of these
temporary loans is used to maintain the
city government and to Hquidate its OBJ
ginning of the succeeding fiscal year. At
the end of the year of their issue, or soon
after, these temporary loans are merged
into tax arrearage bonds of that year
and have a term of not less than five
years. All taxes of that year unpaid at
the time of the issue of these bonds if
subsequently paid, go INTO fund which
is Immediately created and become tax
arrearage funds of that year to be used
for the redemption of these bonds at ma
turity. If the taxes continue unpaid for
taken by the city under the Martin Act
to realize upon these assets and the
amount obtained becomes part of the tax
arrearage fund for the year. The tax
arrearage bonds cannot be redeemed un-
til they mature and the fund being in the
control of the Board of Sinking Fund
Commissioners is invested by them in or
der that it may earn money until the
maturity of the bonds. So that it can
readily be seen that even though the city
did collect 81, 234, 0S73 of taxes and as
sessments under the Martin Act from De-
cember |, 1892, to May l, 1897, the city
grossdebt might not have decreased one
dollar, but if the money stands to the
credit of the Sinking Fund while invest
ed in securities easily convertible into
cash at any time to be used for redeem
ing bonds at maturity, the city is equally
as well off.
Your play upon the word leash, in com
nection with the amount of sinking funds
is not only unbecoming but from busi-
ness man is beyond comprehension. Be-
fore your retirement from business did
you consider your credit to only equal
the amount of cash you had upon deposit
without any consideration for the capital
invested in your business and stock? If
invest in the city securities who will?
The charter stipulates that as Mayor you
are an ex-officio member of the Sinking
Fund. If you had attended one Of their
that they have 81 258, ,695.57 invested in Sc
curities as follows:-