The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-03-31
KERST REPORTS ON
ACCOUNTS OF CITY
IRREGULAR DETAILS OF BOOK
KEEPING ARE POINTED OUT.
State Official Finds that Council and
Executive Officers of Municipality
Follow Many Methods Which Are
Contrary to Charter-No Evidences
of Fraud Are Discovered.

of Fraud Are Discovered.
Numerous faults in the city's method
Of doing business and many irregular
practices are indicated in the report on
the first examination Of the city's &C.
counts by Public Examiner p. M. Kerst,
submitted yesterday to the mayor. The
new system of accounting is commended
as meriting appreciation and all the
but many methods and practices are
criticized as being contrary to the city
charter and other provisions. A sum-
mary of the report follows:
City Treasurer.
The accounts are correct and well
kept. The following recommendations
are made: Payrolls and other items
e CASH. Gont n If' Should q be snpplied
with interest statement from banks. s..
City treasurer g bond to school board
contains Objectionable clause tending
pany from liability in case of bank
failure. The city treasurer should be
required to give larger bond, at least
100000. No advances on salaries
should be allowed. Receipts on pay
rolls should be required. Council should
not require city treasurer to advance
funds for purchase of supplies.
The city treasurer should give give bond I'd
certificates already paid should not be
| listed as cash. City bonds should not
be purchased in anticipation Of wants
of sinking fund.
City Controller.
The new system of accounting is
briefly reviewed and approved as the
proper system and decided improve
ment over the former indefinite and
complicated and practically meaning
less system Of former years. By the
present uniform and interlocking sys-
tenn the annual balance sheets now have
a real value.
The controller should exercise original
| jurisdiction over all interest payment
and his miscellaneous receipts Journal
should contain all cash receipts.
Tie statement Of bonded indebted
ness should show certificates of in
debtedness issued by the courthouse and
city hall commission and bonds of
School District t, No. 1872 absorbed by
is thus $40 1882, 1857 instead Of $9,984
OOO. Liz C1Cy Is "lCu1u IGS 1CSdl Hill
however.
not being properly itemized or are irreg-
ular in other ways, but the showing is
most satisfactory in view of the amount
of business transacted.
The council should require the con
troller to notify heads of departments
when an appropriation is exhausted in
order to prevent deficits.
The council should not order improve:
ments in anticipation Of payment OF
assessments, but should comply witt
the charter and wait until the funds
were actually in the hands of the city
treasurer.
Deficits are reported as follows: Cur
rent expense fund for years 1904 anC
, 1905, $36,325.18 Of which more thar
$4,000 is in lighting fund; ward, street
ng faad 1885, for ieo6 !3 es
timateG $40, 1856. Reference is made
to the old deficit Of $685., 077.36 due tt
various irregular proceedings during
the last twenty years.
Double Salaries.
The superintendent Of the poor draw:
- a salary Of ST 200 as secretary Of tn
( board Of charities and corrections, ant
3 5000 superintendent. He earns thu
joint salary, but it is not legal.
The deputy assessor draws $1,000 al
= deputy, $3.50 as clerk to the board O.
o sprinkling contract in the fourth ward
! The sealer of Weights and measure
{, draws $1,000 as sealer and $3.50 a
: clerk Of the board Of equalization.
: The license inspector draws from $2
| to $50 per month for overtime.
Thirteen street. commissioners draw
y 5000 per year as commissioners an
u from So to $50 per month for supervis
: All these payments are in direct vic
~ ~ lation Of the charter.
u Rebates on Special Assessments.
!. This subject. is rather exhaustivel
= treated. Claims aggregating $61, 90
'. have already been made and these pay
II ments constitute great injustice to tn
\, taxpayers as they are collected by ger
n era1 taxation. Unpaid claims aggregat
n $17S, 11SO2 for which $4,000 has Bee
" v. provided, not counting $4,000 recentl
u transferred to the revolving fund fro1
20 20 the sinking fund Further 9d payment
~ Attention is called to the fact that 8
~ per cent of the claims are filed by G. 4
II Nimocks, the applications containing a
. assignment Of the claim or power {
a, whether there is any excess for sewe1
ID levied anywhere in spite Of the Pill
T, bury decision. The engineer is justife
IL in arriving at the cost Of sewers, |
e. take into Consideration the cost, Of tt
10 sewerage system of the city, which COS
le trife over $5,000,000 for 100000
H. feet Of sewer, or an average of SIS pt
" foot.
ar Streetcar License Receipts.
Considerable attention is given to tt
in matter Of recei pts from streetc;
70 licenses of $25 per annum for the GA
ne erage number Of cars operated' II
as company paid a license on l81 cars
IL 1902. The next year the number W;
&c reduced to 164, then to ISL, and la
v. year to 145. "In view Of the increase
" mileage and shortened time schedule
al the new lines opened and new rolli1
IN stock, vastly Increased traffic earning
an the returns of the company showing a
n nually decreased number Of cars, appe
to require investigation. It is e
planned that the controllers difficult
in arriving at the average number
cars Operated could be obviated bv I