The Detroit times., 1911-04-03
z PER CENT TAX
LIMIT, SAYS AALlY
This Includes Bond Issues, and Means
That 81, 500 900 Must Be Cut
From Budget.

An opinion of far-reaching import
ance TO taxpayers by Corporation
Council Hally TO Mayor Thompson
Saturday The opinion points to the
$3.50 tax rate demanded by the may
or in a message 20 the common couh-
Gil. IL also points out that some sew
ers and many other improvements ap'
proved by the cosnCil Will have 10 90
cut out because OF the appropriations
exceeding the limit allowed by the
law.
According 10 the opinion, the city
is empowered TO raise Tor annual
maintenance and improvements, only
two per cent of the assessed Vaiua-
ton This includes both taxes ana
bonds. Ii does not include primary
school money and liquor taxes, when
i'm 1910 amounted to $1,065,000 and are
estimated at 81. 100000 this year. This
means that at least 100000 must
be cut from the budget. The law.
Mr.. Hally says, limits the amount
which can be spent in one year for
sewers TO 100000. so that OF sl,O4O,-
600 appropriated by the council this
year for sewers including the big
east and west side turnk sewers.
$40 must be cut on.
Discussing the opinion, Mayor
Thompson said.
1T has been my ambition TO keep
a low tax rate without Gripping any
departments or retarding improve
ments. With this end in view. re-
quested the corporation counsel TO
L. ~ sall A, hNNx
much can be raised for running the
city
Under the facts presented in the
opinion, IL is easily seen that the de-
partments must all be economical.
They will get as much as they did
last year, and while they will not get
as much as they wish, they will set
as much as they need
The biggest job is for the board OF
estimates TO cut S2.500,00O from the
budget. Based on last years assess
ment of 1912 900 900, the maximum
that can be raised is about $1.44O,0 600,
OF course this will be somewhat in
creased by the new assessment
figures. The receipts from other
sources. such as primary school and
liquor tax, were Sl,065,000 last year.
and am looking for them TO be ST.
$50 900 this year, which makes about
$S,T00,000, all that can be raised by
taxation and other means for running
this city for the year ending June 30.
1912 That is $350,000 more than was
allowed last year. The total amount
last year was $s,357 900, OF which So
S37 900 was raised by taxation, ST.
065 900 by liquor tax and primary
fund. and SASS 900 raised BY bonds.
The common council has authoriz-
ed $1,040.000 for sewers. Under the
opinion. Commissioner Haarer can
spend only 100000 a year for sew
ers, and City Engineer Mccormick
tells me that that is all that can prac-
tically be expended in work with
present facilities, so $4,000 VIII
need TO be cut of in that one place
alone. Special authority has been
given at times TO issue bonds for sew
ers. but the limit OF this special auth
ority has been reached.
What il means Is that the board
of estimates must cut of everything
that is unnecessary The people have
gotten along for years with limited
sewers. and think they can go slow
" now. There are many other things
which have been asked for which we
can do without II s2,500,000 bonds
are Issued, We shall see the $3.50
tax rate"