Los Angeles herald., 1907-06-07

Taxation in Los Angeles is based on
property values. The city resorts to no
per capita assessment to maintain its
government or pay the interest and
principal on it's bonds.
When the Owens river project was
first preached more than two years ago
the large property owners were aware
of this fact. They went to work to find
whether the taxation for the construc-
tion of the aqpeduct was going to be
burdensome- They found that 1t would
not be. In their Investigations they
did find that unless the city could get
q larger supply of water from some
outside source the value of their prop
erty had just about reached the high
mark.
At the top of the column is shown
what they learned. In addition they
discovered that the city is growing in
population so rapidly that the money
derived from the present tax rate will
be sufficient to meet the current ex-
penses; also that this rapid growth
would work steadily to reduce the ad-
ditional taxation for the construction
of the aqueduct.
From the taxation tables prepared by
experts and approved by City Assessor
Walter Mallard this is what the smaller
tax payer learns:
OH The property WHICH I0 VALUES dI
$1,000 for the next five years he will
pay on an average SO cents per year
more than the total amount that he is
now paying.
On property which he values at $500
and on which he now pays $1740 a
year, for the next five years his aver
age tax bill should not be more than
$18.75.
On $4,000 property on which the tax
collector now collects a total of $23.20,
for the next five years he will collect
on an average of $24.9S.
This increase is in the same propor-
tion for property of higher valuations.
When Aqueduct Is in Operation
During the time that the aqueduct is
being built the people will pay interest
on the bonds and then only as they are
issued, because the bonds will be sold
only as money is needed to carry on
the work. This saves a great deal Of
money which otherwise would go as in
terest charges.
When the aqueduct is in operation
then, and not before then-the city will
commence to make payments on the
principal. The city has forty years in
which to pay off these bonds.
In the meantime the aqueduct will
be able to take care of the interest and
principal on the bonds. 1t will be
EcNGllQS enterprise. Inc
city's present water system has been a
financial success. 1t has reduced the
water rates until they are the cheapest
in the state and last year the net reVe-
nue. was $652,000
The Los Angeles aqueduct will be
able to bring in very much larger re-
turns.
There are $4,000 acres of land in the
vicinity of Los Angeles which are now
barren, but which can be put into or
chards and vineyards as soon as water
can be procured for irrigation.
The Los Angeles aqueduct will be
capable Of furnishing enough water
for this purpose in addition to supply
ing the wants of 100000 people within
its own limits, This is one of the great
possibilities of the aqueduct. Even
were the city not to use the aqueduct
for the development of electrical power
or for its own use the results gained
from irrigation would make the under
taking worth the while.
California has brought herself riches
through the horticultural industry.