The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-07-23
THE MAYOR AND THE TAX LEVY.

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THE MAYOR AND THE TAX LEVY.
Mayor Bookwalter's statement regarding
city finances and the necessity OF in
creased tax levy 10 meet the obligations Of
the city and maintain its credit should COM
mand the approval Of all fair-minded bust
ness men. 1t shows that the mayor knows
the difference between a condition and a
theory. and that when he is confronted by
a disagreeable business condition he is
capable Of dealing with it as a business
man. 1t is never pleasant for the executive
head of a government 10 recommend an in
crease Of taxation. but there times in
the history OF all governments when 1t is
necessary TO do so. It is always necessary
after long period Of shystering finance
and hand-to-mouth administration. in
which taxpayers have been made TO believe
that 1t was money In their pockets not to
meet current expenditures and that the
postponement OF an obligation was as good
as canceling 1t. This was the policy of the
successive Taggart administrations. and it
was accompanied by the extravaganza that
usually goes with living on borrowed
money and piling up present obligations to
be paid out OF future revenues. Year after
year Mr.. Taggart fooled the people with
the idea that he was running the city gov
eminent on business principles while he
was really running II into debt. He actually
made some people believe that he was do
ing them favor by recommending a low
tax levy and borrowing money on interest
to piece out an inadequate revenue. In the
fall OF 1899 he pointed with pride to the fact
that the tax levy had been reduced to SO
cents. and he said In a public speech: 81
will run the city on a 59-cent tax levy and
will not make any temporary loans,
either" Within two years he had made
temporary loans TO the amount of nearly
$4,000, and then he said in a communica-
ton to the Council: II believe that a low
tax levy. even though a temporary loan is
occasionally necessary. is proper and just
to the taxpayers. and is the businesslike
way OF managing the financial affairs of
the city" In other words it was a bust
nesslike way Of managing the financial af-
fairs of the city to ''jolly3 the people with
the assurance that they were highly IA
vored by a low tav levy. while money was
being borrowed at interest TO meet current
expenses. and the disagreeable duty was
left to some succeeding administration of
raising the tax levy sufficiently to meet
principal and interest. After me the
deluge." was the keynote of municipal
| hnanciering during the Taggart regime
The result of this policy, together with that
of allowing municipal assets and properties
to deteriorate through neglect thus making
additional drafts on the future, is we'll
stated by Mayor Bookwalter:
This administration received a ship that
was scuttled. II came into authority with
a depleted treasury and deteriorated prop
erty. This condition was caused by the
memorable 59-cent tax levy of the preceding
administration, and the effect of this act is
still felt in all its force. By IL the city lost
the income It should have had from IA cents
charge against the taxables which amount
ed to more than 100000. Thus crippled, the
| city was forced TO meet the problem of
| bridge repairs and reconstruction, the i'm
proyement of the fire and police depart
ments and the burdens assumed by an
nexed territory. The condition Of the cty's
bridges is we'll known. They have been
| neglected and improperly repaired, when
| they were repaired at all, and the city has
/ found Itself, by reason OF the acts OF the
| preceding administration, unable TO i'm
| prove them. We are now facing needed
| improvements in the fire and police depart
! ments, because the apparatus is ruined
| through past misuse, and because OF the
| large of territory annexed. and a hun
/ dred things that the growth and progress
| OF this city require. 1t would take much
| time and space to state them I'm detail. but
they are pressing and must be cared for.
| This administration has not only had 10
/ make up the loss in revenue caused by the
| 59-cent levy, but has had TO carry the
| burden OF years of neglect of the city's
/ property.
In view OF the present obligations and flu
ture necessities of the city. the mayor be-
| lieves that a tax levy OF So cents will be
necessary. He is we'll aware that this
adds: II feel II to be my duty, regardless
of whatever political or other consideration
may be involved, to say to the people just
what they will have to pay to put the city
in proper business condition" The pro-
posed rate OF IS cents would include 81 cents
for direct city purposes. instead of a. as
now. and 1 cent each for police and fire
mems pension funds and cents for sinking
fund. making So in all. With the pros
pective obligations of the city and the in
creased expenses OF all departments,
caused by the natural growth OF the city
and by the annexation Of new territory. the
mayor believes an increased levy has be-
come a necessity and that it is the only
way to meet a business emergency. He de-
serves credit for treating the question in a
frank and businesslike way.
| NONE nEnOCn ATTIC REOuCaNI1.