New-York tribune., 1910-02-07
left GAYN0R A
BIG DEBT BURDEN
rrTY,s FINANCES FOR
1909 JUGGLED-
rontro7lers Annual Report
Hi Prore Illegal
Bond Issues.

Z
Is -everue bonds issued by the last
u...[L'.-,s.-ation IN violation of the CITY
This 3 one Of the legacleS
-, 3:.,. controller Netz's financial mis-
-.--sr- has left TO Controller Prem
se-esst ..o+
.,o-So,s attained from the sale of cor
-o-ate stock has been misused' and tha'
s. Means Of 2 policy Of robbing Peter to
..~ paul budget accounts are made TO
- s,lrrlus q SS.S07.S92 for the
twelve months.
with the amount illegally taken from
,o,oarate stock proceeds and the fctl-
..,-,s s,,-pl,ls Of budget accounts that
,,o,,y5 rsve been used 70 pay budget
Nils the citv's floating debt in the shape
# ynpald revenue bonds was reduced
4-o-, e. N0s.Sn0 at the end OF 1898 10
',so "a 300 = the end Of 1909. This re-
s,,c-.or Of s13.6S9. so in the city's reve-
me- bond DEBT Is nothing more 5han
shif-ing of the burden 10 the shoulders
of The present administration. for every
dollar taken from corporate stock pro-
resi5s viu have 70 be returned and the
hrdge1 hills evaded last year to create
s1-rlus viii have TO be paid during
-be present and future years
SURPLUS At YEARS END.
The rortroIler-s report viii show that
49, rssb ~acefpts Of the city treas for
r.nq were S375.IS7.I1G. The balance OF
,seb -rs+ came over from 1908 was S23.-
e9-=.z. 81. tf7at 1lle total available reve-
-,yes for 1909 we're S39e. .124.572. The
actual cash expenditures for the twelve
months we're S3S6 53S.545. leaving a bal
sn6e Of cash TO the credit Of The city
treasury of Slc.5S6.o .o2s at the end Of last
ysaT
The weekly cash accounts Of the City
chamberlain. published in me City Rec
ord demonstrate that the receipts from
he sale o. corporate stock assessment
bonds and sr7ecial and trust revenues
-rs-e g95.e72.5aS. The part OF the cash
bs slqrce that came over from 1908 which
belonged u these accounts vas SS,524.0Sl,
50 that the total available receipts OF
permanent Improvement accounts in 1909
we're sos. 7as. .53s. The expenditures on
permanent improvements and the dis
aursement Of special and trust revenues
-rarg So. So. .4e5. 50 that there was a cash
balance 70 the credit Of these accounts
n The enc Of last year amounting TO SIS
25lo44
The receipts Of budget accounts from
taxes oII4cted from the revenues of the
oil f G-,5-
.iaI revenue bonds we're So79.914.6o4. The
Tart of the cash balance that came over
from 1905 which belonged 10 these ac-
counts v-es SI5.412427. 50 that the avail
sble revenues Of budget accounts in 1909
we're See-.G2S. .032. The expenditures on
budget appropriations and for emergency
budget accounts We S30l.706,050 so
that there vas a debit balance Of *6.37S,-
fi5 against budget accounts al the end
of 1893 This deficit was met by divert
ing S6.2-S.o1S from the surplus receipts
of permanent Improvement accounts and
using i for that purpose. This was
n absolute violation OF the explicit
terms % the charter Details Of the
receipts and expenditures Of these ac-
counts show that the amount was taken
fr9m thc proceeds Of the sale # corpo-
-ate STOCK bonds during the yes..
The method by which -. ts>- city
7a-nint~tration sought to make i appear
hat the city's revenue bond debt had
been reduced .bv 1859. SO during 1903
IS revealed by the figures given in the
Chambcrian's cash accounts. These
AgUres prove that tho apparent reduction
'ss nothing more than Q shifting Of the
a=bt burden 50 that It wilI have TO be
met by tho present administration. Ex-
Guiding al revenue bond transactions, the
receipts # budget accounts IL 1909, in
Guiding thc cash balance that came over
rom th@ year previous 70 their credit.
"e-e S167.421.S42 Tho expenditures upon
nucget appropriations and emergency
budget account were sls0.sl2.e5o. From
'helr own legitimate revenues. therefore.
budget accounts not only net al pay
rnen1s On account Of the cost OF. civ gov
Frnr1en', hut had q cash balance NJ Sc
f''5s- 70 their credit u the end Of the
--Asr
IIRACLE X FINANCE
ne manner III winch this miracle in
flgh finance vas accomplished is de-
r'castrsted by The official records. There
were unpaid at TIE erd Of 1907 only So
's-s-'s of that years budget apnropria-
n5ns There we're unpaid al the end Of
-.9s ONLY $9,522.9el Of that wears budget
appropriations. But Il the end of 1909
Mere were stiI unliquidatcd s15.al7572 of
ne years budget appropriations. Every
'sl!ar q these unpaid appropriations will.
u course. have 10 be met by the new cjt,-
administration during the present and
1'ufe ysars The surplus which budget
2eolnts IS represented 70 have had on
IND ~ thc END Of last year was. there
VIC secured by the very simple process
- -eaNlne budget bills unpaid.
ne purpose for which. these r-.o in
gotten surpiuses were used * disclosed
an examination of revenue bopd
Transactions during 1859. as given in the
A9's'berlaln's cash accounts There
Sold Of revenue bonds issued in an
s-Ilpat'on q the collection Of ,l,e ,,ears.
s&eS $lo4.547,5sa. and there Uere re-
s.--eo q the same kind Of bonds s75..
.io.'9o- This produced s2e.03l. .2s0. .not =
'--at o. which vas used to na,, hua,.t
appropriations There We're so1, ,,f -
..oS bonds issued in anticipation Of Tho
-'i''l o. arrears Of taxes levied prj5r
-'v' curing that wear 81 Sh5 Gno o..