Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1912-10-02
TOWNS FINANCES
IN GOOD CONDITION
West Orange Has Assets to
Meet All Liabilities,
Auditor Reports.

In a report furnished the West
Orange Town Council last night by
Martin A. Coughlan, an expert ac-
c%ountant, the finances of the munic-
ipality were shown to be in excellent
condition, and in place of a deficit,
as indicated by a report on the town
books three years ago, Mr.. Coughlan
states hat affairs are in a good con-
dition. There are sufficient assets to
meet all liabilities coming due, in
Guiding expenses OF the town up to
the time taxes are due and payable
this month.
The report covers three years end
ing December 81 last, Inc in his sum-
ming up of conditions Mr.. Coughlan
says: with conservative manage
ment and adherence to provisions of
the laws relating to sinking fund the
town should prosper"
But the exhaustive search into the
town accounts discovered some cir
cumstances hat were criticised by
the expert, and he has accomplished
some valuable reforms in %bookkeep-
ing and in carefully tabulating the
towns assets and liabilities. IN four
teen instances he found checks had
passed through the two banks which
hold the town funds without proper
signatures of officials, blu none OF the
paper was for any large amount.
n New Jersey Audit Company, he
finds. in a previous audit failed to
classify an asset of $40, 900 for road
improvements and another item of
81. 6 80 in 1908 should have been re-
corded as liability. Mr.. Coughlan re-
viewed the issuance of 500, 900 bonds
in 1909, adding to the towns fixed
assets and improvements, making the
total of $3.50 bonded against a total
valuation of fixed assets and improve
ments amounting to 1858, 009. 55 on De-
cember 81 of that year.
When the audit was commenced
the assets, in December, 1908, were
figured at s112. GAIT and the liabili-
ties at 1851 1881 a deficit of $685.
527,07. This indicated the need of
bends for obligations for improve
ments and to provide money for the
current expenses up to October, 1909.
There was borrowed $780, 900 from time
to time, and this sun was taken up
in 1911 with an issue of 500. 900.
Mr.. Coughlan also cleared up the
situation with regard to the issue of
$55, 900 for unpaid obligations, uncol-
lectable amounts for dog, pool and
personal taxes and a balance on ac-
count of improvements totaling $685.
1876, For 1909. 1910 and 1911 there
were items totalingS $5S. 500. which Mr..
C%oughlan declared "~unavailable, an
ticipated income and which, had
these been deducted. would not have
made the bond issue necessary.
This issue was freely discussed
early in the year, but Mr.. Coughlan's
figures indicated the necessity for the
action. The experts statement was
to the effect that no improper trans
actions on the part of any officials
were discovered and he has straight
ened out the tangles incident to h
confusion that prevailed up to the
time the situation was clarified.
Summing up the finances at the end
of December, Mr.. Coughlan showed a
total valuation of the towns possess
sions of $578, 645. 10, and for additional
assets this year totaling $28, 500.7 II for
auto fire truck, extension of alarm
service and new playground bonds to
the amount were issued. Figuring a
surplus of $50. 1868 and $73 800 from
bonds the town has an available sur
plus for expenditures of 1892, 6S6, 5S, a
striking contrast to conditions of 1908.
Former Auditor j. Elmer Hedden
comes in for some criticism, specific
instances being recorded, and Mr..
C%oughlan summed up his analysis
with the declaration that 1.-THE audit
ing in general was neglected" Mr..
Hedden. when he quit his position in
1911, complained that he had not COM
pleted his work.
The expert also advised a change
in the police recorders records. but
since the examination in December
there las bean progress made in that
direction. The installation of a build
ing department showed $s0O.0O in
building operations since 1910.
Town Clerk McDonough, Tax Col
lector O'Connor, Treasurer McGuirk
and other department heads. whose
affairs were found in first-class condi-
ton. were praised by Mr.. Coughlan.