Los Angeles herald., 1905-08-24
Departments Hurt by
Lack of Funds
No New Fire Houses Will
Be Built
No Increase for Police
Force in Sight
Tax Of St.2o Per 500 Worth Of Tax
able Property Is Decided Upon
for Old Town Of Los
Angeles

tax rate for the present fiscal year,
and also doled out to each department
its allowance for the coming year.
Chairman Smith and Councilman
Harmon of the finance committee to-
gether with City Auditor Schwaebe and
Deputy City Auditor Bostwick have
been at work on the estimates and tax
rate since the present fiscal year OPEN
ed, July 1. They completed their la
bors Tuesday evening and reported to
the council yesterday morning. The
ordinance fixing the rate was unani-
mously adopted, and the recommenda-
ton of the committee relative to the
allowances to be made to the various
departments Immediately approved.
Officials Are Thanked
The councilmen then extended a vote
Of thanks to City Auditor Schwaebe
and Mr.. BostwiclS for their able assist
arce to the finance committee, and then
the finance committee was also Of
ficially thanked by the city auditor for
the manner in which 1t performed ths
arduous task of trimming the city's
expenses so as to make them fit the
municipal pocketbook. 1t is declared
that never in the history of the city
has committee of the council faced
such problem.
A month ago when the city assessors
figures were in, Chairman Smith of the
finance committee declared that the tax
rate should be lowered this year. Later
1t was discovered that according to
the charter it must be lowered, even
though the cut made necessary by the
terms of the charter would make the
city short of cash.
The tax rate last year was 81. 40 per
$100 worth CT taxable property. The
charter allows levy of 81 per $100 for
general expenses and an additional rev.
enue for the payment of bond issues.
None of this additional revenue car
legally be used for general expenses,
however, and the levy must be just
sufficient to cover the interest and
sinking fund payments on the city's
bonded Indebtedness.
Accordingly the rate this year was
made S1.20 for the old city, Slip for the !
annex of 1896 and s1.1O for the annex |
of 1899. The 81 rate is carried all over /
the city and the difference in the !
amounts carried above this sum is ac-
counted for by the fact that bonds are .
continually being issued and naturally
the older portion of the city had issues
standing out when the annexes were
made.
Committees Report
The report of the finance committee,
signed by Smith and Harmon, states
the position of the committee plainly,
and is as follows:
LOS ANGELES, Aug. %, 19O5.-To
the Honorable City Council: Gentlemen
-One of the most arduous duties de-
upon your finance committee is
the preparation of the annual budget.
Like all former finance committees, we
have been struggling with the estimates
that have been submitted by the diff.
ferent departments, and while the re-
suit Of our labors is unsatisfactory to
us, we believe it is for the best interests
Of the city that the allowances made to
the different departments in the tax
rate hereinafter recommended, should
be adopted forthwith. The data upon
which we place our conclusion are con-
tained in the report of the city auditor
and in the report Of the clerk of the
board of equalization. These reports
show the property valuations of the
city this year to be as follows:
old CITY S136, 294 1872
annex OF 80 ....................... 1S,024342
Annex OF % ..'"""..."......... 1,947375
Total .......................... 1856, ,266,5N9
Under our city charter we are linz
tied to a tax rate of 81 for each 500 of
for all municipal purposes,
other than payments on the bonded in
which would give us
revenue to be derived from taxation of
81 ,562, ,665.09 We have also a revenue
from licenses and from fees collected
by several of the departments of the
city government amounting to about
SS2O,O 900. This, together with the amount
to be derived from taxation, would
make a total revenue of $1,SS2, $50. 90.
The total amount of the estimates sub
mitted by the different departments
was $S,Ss1. 1.7241O. In order to come
within the Limitation prescribed by the
charter 1t was necessary for us to re-
luce the estimates by the aggregate
amount OF s1.990,O59.O1 which would
make the remainder conform to the
exact amount Of of our income, to wit.
u 1882 665.O9. In doing this, we have
been compelled to reduce the estimates
IF some Of the most important depart
nents TO an extent which will require
he utmost care and economy in expen-
iitures in order to avoid a deficit. The
allowance to those departments upon
which we depend for safety and clean
iness has necessarily been reduced to
he lowest possible amount under which
hey could exist.
In order to meet the payments on the