Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1898-01-07

uIoi' All iiiuiN"itiai exceed his annual
income and revenue, he cannot be
said to be prosperous or gaining in
wealth. A city which annually send,
away more money than is returned for
goods and products exported. can
hardly hope to increase in wealth
prosperity or population.
The revenue Of the city must be
largely derived from taxation. But II
tax that is large and excessive on.
presses the people by taking the saw
lnSs OF the taxpayers for the spendings
OF the Council. An excessive tax car.
rles with it excessive valuations and
too often lavishness and extravaganza
When once started, the excuses of one
year become the rule for the next, and
having once overpasscd the limits OF
safe and economic expenditures, few
Councils have the courage to return
to safe and prudent expenditure of
public funds. No wisdom can make
the burdens and benefits of taxation
fall with exact equality upon all and
to all; but steadfast regard for the
good OF all will i'll the end compensate
minor Irregularities; a true public
good is, in the end, universal private
good.
1t must be evident that there is a
limit, beyond which the people could
not, or would not, continue to pay
taxes. This limit must be within
their annual net production or even
within their annual savings; for the
people cannot be expected to produce
and save when they have to contribute
all or nearly all of their annual saw
ings as tax. When savings are made
impossible the spirit of frugality and
industry is destroyed.
1t has been computed that the aver
age annual savings out of the annual
productions of the United States are
not more than 5 per cent. A tax that
would average 5 per cent. of the pro-
ductiOn would therefore forbid any in
crease in wealth unless it be by specu-
lation or enhanced valuation. No tax
should be allowed to diminish or pre-
vent production. A thrifty people
will make up for moderate tax by
extra economy and industry. But
when the tax is greater than they can
meet in this way, and they find their
savings lessened below their sense of
security and need. they will seek to
change their employment or location.
Taxes on future savings or produc-
ton, by the issue of bonds to be paid
in subsequent years, are often n means
of over taxation. The 100000 bonds
issued by this city are likely to give
us much anxiety before they are fully
paid and cancelled.
A bonded debt is always an addition
to the current taxation of the future,
and is liable to 60 beyond the limit
the taxpayers can endure. A bonded
Indebtedness should never be created
except for general public improve
ments of large extent, wherein it is
evident that such public improvement
will in the future contribute to the
earnings, benefit or production of the
people of the city, over and above
their present earnings and production,
an amount equal to the sum necessary
to pay such bonds and interest on the
same. To issue municipal bonds I'M
der any other conditions, or for other
purposes is merely an attempt to pro-
long credit, which is the same thing
as exhausting the future and in the
end is likely to prove ruinous by ex-
cessive taxation.
The total tax levy for all purposes
in Olympia, for 1893, was 37.1 mills
on 81; for 1894 it was 1854 mills; for
1895 the levy was 31.8 mills, and for
1896 the tax levy was 1916 mills. AS
far as / have been able to learn, this
rate of tax levy in Olympia is higher
than the tax rate in like cities in ad-
joining counties in this State. These
tax levies in Olympia average rs high
or higher in mills than the tax levy in
many of the Eastern States.
Property in this State is assessed at
its full cash value. In most of the
Eastern States property is assessed at
one-third of its cash value. 1t will be
seen that when the same number of
mills on the dollar is levied in Wash.
ington as is levied in the Eastern
States, the amount of tax required to
be paid in this State is three times as
large as the amount required to be
paid in an Eastern State, when the
property taxed has in fact the same
valuation.
The reports Of the City Clerk show
that there was outstanding city war.
rants on the General, Street and
RawpP Eunda nyn =
Municipal bonds. ................ 10000 %
Totalcity indebtedness Dec 81. o.. . 239.42s %
December 81. 1893. outstanding city
warrants on the General, Street and
sewer ruuus ....................S 1917 ~
Municipal bonds. .... ......... 100000 90
Total city Indebtedness Dec. 81, 49, .$g79, 237 A
The Clerks report shows that during the
year 1898, the total amount covered into the
city treasury was $l3,290D.
December 81, 1894, outstanding city
warrants on the General, Street and
sewer runus 9,o5S 81
Municipal Bonds. ............... 100000 90
Total city Indebtedness Dec. 81, '0i. sass 6S3 SO
During the year 1894, the total amount GOV
Into the city treasury was So, 655.SS.
December 81, 1895. outstanding city
warrants on the General, Street and
sewer funds ......................t S46l 10
Municipai oonus....'.. .......'... sVVo W
Total city Indebtedness Dec. 81, 's5.. s2s7 46l Sc
During the year 1895, the total amount covered
into the city treasury was $50, 446.27.
December 81, 1896, outstanding city
warrants on the General, Street and
Sewer Funds .....................$S 81, DOL "a
municipal bonds. ..................... 0O0O W
Total city indebtedness Dec. 81, s6. $ssl ,o9l 81
During the year 1896, the total amount COW
cred into the city treasury was 81 ,ls400.
December 81, 1897. outstanding city
warrants on the General, Street and
Municipal bonds. OBSERVATION-DISCLOSURES. 100000 ~
Total city indebtedness Dec. 81, 81. $27s,6 1888 90
During the year 1897, the total am cunt Gov.
cred into the city treasury was ga, 02S.7s.
! call your attention to these facts
from the Clerks reports to show that
during the last three years, when the
most stringent parsimony has been
the rule for current expenses of the
city, the Council has not been able to
reduce its Indebtedness. The reduc-
tions of outstanding warrant indebted
ness for the wears 1SQ5-Q6-Q7 ara more