Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1899-11-25

l.. s Rowe, professor Of municipal
administration at the University Of
Pennsylvania, said: "On the subject
of Public Accounting the recommended
tons of the committee deal with four
distinct questions:
"First-Tho contents 3nd arrange
ments of financial reports.
Second-Financial control over. re-
ccipts and expenditures.
Notwithstanding of municipal n
dustrial enterprises.
Fourth-Account of grantees Of
franchises.
In the management OF public, as
well as private, corporations the de-
termination of official responsibility Is
largely dependent upon the accuracy.
ready intelligibility and unequivocai
character of the financial statements
The hoplelessly complex reports OF
such cities as New York make It i'm
possible for any one except an expert TO
ascertain the financial situation of the
city. Public opinion uninstructed and
at loss to form definite conclusions
lapses into indifference. In order to
remedy this evil the proposed constitu-
tional amendment and municipal cor
porations act provides for regular re-
ports arranged in accordance with
forms prescribed by the fiscal officer
of the State. The further advantage
OF the uniformity by this system makes
the experience Of every city readily
available and constitutes an invalu-
able safeguard against blunders in fin
ancial policy.
THE provisions for financial control
over receipts and expenditures ere in
tended to prevent collision betwesa
two or more officials in defrauding thu
city. 1t is important to note that The
comptroller is given indefinite tenurs
and stands but second to the mayor IN
Importance. The accounts Of public
works should be completely separated
from the general treasury account.
"On the question of the accounting
of grantees of municipal franchises
your committee has been anxious to
secure to the city the most completes
data concerning the franchises of pub
| lie service corporations. To this end
the comptroller is required to keep .
separate record for such grantes,
which shall contain every item Of In
formation necessary to form an est-
mate of the value of the franchise"
Walter S. Allen of New Bedford
said: ~
"A prime essential of public contSul
Of franchise companies Is an accurats
system of bookkeeping which shall
show every detail in such way al to
enable true value to be placed at any
time upon the business. In order q
secure this, system of bookkeepo1U
must be arranged and It's use enfores1
by some public authority and in'ordaR
to secure uniform methods TIL
should be done by State authority rathr
er than by municipal statutes govern
ing the incorporation of such compan-
les should provide for the super is'on
by the State Of their accounts and .
comprehensive system should be ar
ranged by the State authorities, ~
such broad lines that franchise com-
panies OF all sizes could find in It iden-
teal means Of expressing their ope .
ton.
"The whole subject of accurate meth
DDS Of bookkeeping and Of public 50
pervislon and control of the account
of franchise companies is to secure q
equitable division of profits among u
three parties interested: That Is u
users of the service the investors d
the capital employed and the commune
ty at large"