The Newtown bee., 1905-11-24

had some very extraordinary expenses during the year 1898 and doubt not but it would incline to the opinion that it also had some very extraordln- ary bookkeeping. From the index 1t appears that these orders which Gill not inconsiderable sum of $6, 61l 95. Surely these orders were of sufficient importance to occupy few lines of space in the Selectmen's journal. These orders were in fact the largest group of orders ever drawn by the Sel- ectmen on a single day. In the an nual Town Statement for the year end ing September 16, 1898, 1 find the statement: "Outstanding Orders-in- terest bearing at four per cent," and under this head I find record of all the above mentioned orders which "ti.l in missing numbers" but two, and these two l find by the TreaSurer'S s books were paid, From this it appears that the orders mentioned were issued for borrowed money. It surely would not have required any expert knowl- edge of bookkeeping to have recorded the simple fact that the orders were issued for borrowed money. In this annual town report to which l have just alluded I find the statement that in addition the above interest bearing orders there are but two other out standing orders, one of S1. .00 and one of S3. .OO, S4 % in all. As matter of fact at that time there were other out standing orders amounting to $122. 75. While there is nothing on the books which clearly shows it, it appears that at that time large number of small orders were called in and loans in large amounts were negotiated to simplify the accounts and to ascertain the towns indebtedness. It is to be re- towns accounts were not cleared up in a more buSineSSlike manner.
 At the present time l find that your Board is using instead of the old jour- nal-ln use for so many yearS-a book prepared especially for the purpose by MT John B. Kendrick of Wallingford, Conn. By the use of this book it is possible to group the expenditures, each under it's appropriate heading in a very simple manner. It can easily be- ascertained at the end of any month, or after any monthly meeting of the Sel- ectmen, the exact amount which has been expended since the last annual statement for ,rOa6s, schools and all kind. This is by far the best system of recording the Selectmen's tranSac- tiOnS which l have seen and l know of no way in which it can be i'm proved.
 All of the books of the town, both of the Treasurer and the Selectmen, have been kept with scrupulous honesty, though not always in accordance with businesslike standards of bookkeeping Much progress has been made in the last three years. It is but fair to say that during the administrations Of your Board of Selectmen (the admin iStratio in which James B. Allen and F. P. Hayes were first Selectmen), the Board of Selectmen have accom-
 pliShed: The substitution of town notes for interest bearing orders where
 by the running expense account ano
 The borrowed money account are kept entirely distinct and separate. (2) The
 payment by the Selectmen of interest
 by means of orders instead of the ole
 method of payment by the Treasurer
 without order or voucher from any source. (3) The calling in of all out
 standing interestGbearing orders anc
 issuing in exchange .therefor towr
 notes and the recording of all towr
 notes in book kept especially for that
 purpose and lastly they have begun
 the recording of the Selectm en's tisca
 operations in modern and up-tO-date
 book. Much credit is due to these two gentlemen for bringing the town books from their former chaotic condition uI to their present standard of accuracy and completeness. With the books a: they are kept at present by your Boarc of Selectmen l have no word of criti ciSm whatever to offer.
 AS to the treasurer's books: While for the purpose of your town l do moi recommend any elaborate system 0l bookkeeping yet there are some simple improvements which can easily be
 made. A Town Treasurer's book
 should be arranged somewhat after
 the following manner: "JOhn Jones
 Treasurer, in account with the TOwI
 of Bethlehem, should be the heading
 written across the top of both pages O1
 the Treasurer's book. All items with
 which the Treasurer charges himself should be entered upon the left hand
 page. All debit items would, of course
 include every receipt of money by the Treasurer. On the right hand page should be the credit side of the account
 this would include all moneys paid out by the Treasurer, whether upon the Selectmen's order, Justice order O1 whatever the case may be. Each re- ceipt of money should be entered with full and accurate description of the source from which the money is re. ceived. For example, if the Treasurer receives money from the Tax Collector he should record the year of the list on on which the rate bill was laid. These entries should not be abbreviated for the sake of saving space. In bookkeeping economy of space counts for nothing; complete ness and accuracy count for every thing. The treaSurer's book should be balanced each month; this would entail but little labor and would greatly improve the condition of the
 books Many of the treasurers of the town have never balanced their books from the time they entered office un-
 til the time when the office was turn ed over to their successors. On many of the pages the nearest approach to a balance is d footing in lead pencil at the bottom of the page. It appears to have been the custom to record the credit side of the account, page after page, and to sandwich in the debit side of the account in any place which seemed convenient. Some pages of the accounts of previous treaSurerS do not even contain a statement of the year in which the financial tranSac- tionS took place. Surely this was an unsatisfactory and slnvenly method of keeping the books. It is but just to state that the books of the present town treasurer are in good condition as regards accuracy and completeness, very marked improvement