New-York tribune., 1911-01-11
NEW BOND ISSUE SOON
Controller Will Offer $6O,000,-
600 of Stock at 4lN Per Cent.
SALE ON JANUARY "a
Water Development Gets S21,
100000 and Subway Con-
struction $8,500,0O0.

Controller Prendergast made formal an
nouncement yesterday that on January "a
he would sell an issue OF $50, 900 900 ~ per
cent corporate stock bonds. The an
nouncement was made after a meeting OF
the Sinking Fund Commission. at which
the plans OF the Controller for the sale were
formally approved. The bonds will be
issued so as 10 mature on September ],
1860.
This is the first issue OF bonds since last
March. when an issue of f50,Oo0,0 600 was sold
At that time 1t was thought another would
be Forthcoming in the fall, but II was not
found necessary.
OF the total amount 100000 will be set
apart for the following purposes: Bridges
| ,2. 900 900: docks and ferries. 100000; IL
nance. 5000 900; hospitals, 100000: lands,
buildings. etc. sl5OO0.OcO; parks, sl,0o'0'
schools 100000, and streets, N.D,c'
For developing the water supply system
81, 10000 is to be set aside, and for the
construction OF rapid, transit railroads w.
SOC. 900
Regarding the latter .,ems Controller
Prendergast said in a formal statement:
The amount involved I'm the present sale
makes il evident that expenditures cannot
be kept down to the minimum OF the pre-
cedng year This IS que narser4 R4oapd ~
a.
Water Supply in connection with ltS Work
and for additional rapid transit facllltleS,i
AS these two classes OF bonds eNentuaily
will be self sustaining, the returns from me
eypenditure In each case will greatly en-
hapce the city's assets, The demahu loI
water outside of the city limits during the
last season. particularly In NeStcheslei,
County, indicates what NaluduIe tbe
the CITY ultimately will acquire III tiie
water supply from the Catskill Watersheu'
Before the last bond sale the Controller
announced his intention OF funding 5000"
from the two bond sales OF 1910. lie luhu-
ed 100000 from that sale. The addi'ioi'ai
sum Of 100000, which was not funded pe-
cause there was not a second sale IN 1910
will be included in funding operations III
1911.
The Controller said that because or MS
experience this year he did not thihh
wise to announce time for the next oo,'u
sale. II being hoped that 1t may not DE
necessary to have another Issue uhul wen
alcng toward the first OF next year
In announcing the sale the Controller sal"
he wished to call attention to the following
facts:
The total amount Of bonds now held py
tho Investing public is only Ss9.Uooo'e' OF
which amount slS9, 9,I319tS VirtualIy are 81
sustaining. leaving net amount VI 'Vii
in the sum of 499.9-5,5io which are ASH
carried both as 10 reduction OF pilnclpaI
and the payment of interest by h,oilc
other than that which emanates from 'aAa-
tion. , H.. rro,,
The miscellaneous income Of the city rom
sources other than taxes has been growing
rapidly during the last few years and shows
an advance from A12O,Dc IN 100 10 "a; "a;
900 900 in 1910, constituting an amount SUM-
cient at all times TO pay off all the ponds
held by the public I'm about thirty-hNe yeaLS'
II need be and 10 meet all demands for IN
terest, without dollar Of tax collectlohS
being used for that purpose. II mas peen
the practice, however, 10 transfer the hldyo,
portion Of these revenues to the genera
fund TO be used, together with tax coilec-
lions. to meet budget expenditures each
year. ,, 49,.
The increase in the net funded debt of the
city in 1905 was &6.Sl9553. in 1903 H59.Ol5,"'',
while in 1910 il was only $il,5ol2H. during
this period bonds TO the amount Of 81
500 900 matured and were paid. Included in
the Increase In the funded debt during 1910
is the sum OF 10000 Of bonds issued by
the present administration 10 tund uncol-
lectible taxes which are an Inheritance from
the past No bonds were issued for this
purpose during 1908 or 1900. therefore. on
fair basis Of comparison the increase in the
funded debt for 1910 was only S3S.sDr0. as
compared with $50. 10000 for the preceding
year making relative difference Of go
10000 for the same class Of expenditure.