Evening capital and Maryland gazette. (Annapolis, Md.) 1910-1922, 1910-06-20
. ON THE BOND ISSUE
City Treasurer w. GOtt Makes
Official Statement.
SOME FACTS AND FIGURES
Tax Payers On $4,000 Bond Issue
Given Food For Reflection.

To the Editor Of the EreHiag CAPITAL:
Kindly allow me a little space in your
paper 10 explain the condition of the fin
ances of the city relative to the question:
as to whether the city can afford 10
carry another bond issue of 1000,
1 without increasing the tax rate
The statement issued and published
/ few days ago IN your paper, by the
/ Finance Commission, shows very clearly
| that the city can carry another bond
! issue without increasing the tax rate,
/ and IL represents the true condition
/ OF affairs almost as well as if can
/ be stated. and it does not seem TO
! me 10 be really necessary to make any
/ further explanation. However, il might
not seem entirely clear to every one who
-has read it, 50 that, being familiar with
/ the statement. and knowing that there
has been no Juggling with finances
I desire to say few words in connection
! Herewith.
| On july lst, 1909, there was
balance in the treasury OF $l,337.39
Back taxes and interest ...... S7.32l.l5
Making a total of .. SS,65S. 81
But only $l,337.39, of this amount was
in actual cash. Against this. however.
there were the salaries Of the City Of
icials for June 1909, of about 81 500.
and the gas bill for jane 1909. of
S4S3.63, and the telephone bill Of Sl3.l5,
besides some other bills amounting To
about S2,400, if not more
Therefore. you will notice that there
was cash deficit of about 81 900, to
meet the necessary expenses.
Besides this deficit in cash the follow
ing notes in bank were due:
Farmers National Bank Dor
rowcd to pay for Rescue
Hose Company 5 quarters) $7.76III
Two other notes for current
eXpenses) NEUTRALITY-SUSPICIOUS.. s.. 10000
Making a total of ...... $I0.56I.4l
Then add to this amount cash
deficit Of NEUTRALITY-SUSPICIOUS.. 100000
Making total of ......... $ll,5Gl.4l
Which the present Administration had
TO look out for.
EX Mayor Claude also saws that the
Engine House note has been paid, but
he is absolutely mistaken; the original
note is still in bank 1t is true that on
September 4. 1909. $1,000 was paid on
IT, which was done temporarily, only, in
order to save interest thereon, until il
would be needed again.
From about the last of August to the
L.. Of December, in each year, there is
in the treasury quite It iaIEv b2i2nce.
and the Finance Commission. last year
thought it wise and proper to pay some
thing on this note, for the purpose of
saving some interest thereon. as above
stated. but on February II, 1910, it was
necessary to borrow the sum Of $4,000
in order to meet the demands on the
city treasury. which would not have been
necessary if the $1,000 had not been
paid on said note, as previously stated
so that the amount now due in the
banks on said note Is $5,1Gl.4l which,
for all intents and purposes, actually
represents the originsl Rescue Hose Com
pany S debt not. except the amount of
$4,000 which has actually been paid
thereon
Besides the $1,000, paid on the Rescue
Hose Company : debt the two notes rep
resenting - 500 levied for, as shown on
the back Of the 1909 tax bills was paid.
1t is true that the debt for the build
ing of the Rescue Hose Company 5 quar-
terS was levied for under Ex Mayor
Claude'S administration, but as he
knows full we'll, il was impossible TO
pay for it out of the taxes collected, and
it was necessary to negotiate the said
note of $7,76l.41 to pay Mr. Skipper
when the building was completed, on
February -, 1909, and he also knows
that If was not possible to pay it, or
even part thereof, during his term of
Office, because the m0ney that was levied
for this purpose was spent at Murray
Hill, on the Memorial Fountain and
fafi.
We're not contemplated when the levy of
1905 was made. Consequently. as
shown above. this Administration had to
try to take care Of this note, which has
done the best it could, and, as is shown
on the 1909 tax bill. there was levied to
be paid on said note, the sum of
S2.76l.4l. bat owing to the fact that the
1909 taxes have not come in lowing no
doubt to hard times with many of the
taxpayerS). as was contemplated. it has
been impossible to pay even this amount
as vet
Tx Mayor Claude also saws there will
be S23,76l.4l. to be spent for making i'm
provements, and if the proposed bond is
/ sue passes the City Council will have
/ about $4,000, with Which TO make spe-
4 Gifted improvements. This j. almost TOO
\ absurd statement 10 contradict, be-
/ cause anybody that has ever read fin
ancial statement Of the city. or a Mayor s
report. knows that such thing is utterly
/ impossible.
He IS mistaken again when he says
! that there j. a balance left over of
1 S7.7G1.4l, levied for the payment of the
Rescue Hose Company 5 quarters during
his administration, which as stated above,
has never been paid. Therefore, when
! he takes the s. ,76I.4l and $1,000 ''noW
in their statement. and in including
| $4,000 uneolleeted (taxes ! suppose he
| means) due the city and adds
So. .761.4l, and SAYS the Council will
have this amonnt to spend. you can see
after moment : reflection that he has
gotten his figures mixed
The statement Of the Finance Commis-
sion which he refers to. does show $4,000
back taxes. that viii be- due July l. 1910.
but after adding all the estimated receipts
for the coming year. including the full
amount OF the levy Of 1910, at the rate
Of 90 cents on the 800. $4,000 is de-
dHcted, thus reducing the balance from
Sl6,492.lS, to $S,4921S. the estimated