Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1912-02-02
FRIDAY FEBRUARY 2, 1912.
KEEP OUT OF DEBT

KEEP OUT OF DEBT
The business affairs of cOmmun.
ity are not different from those OF an
individual.
A community may be wasteful, lux
urious, extravagant, spendthrift, in
the same manner as an individual.
The result of wastefulenss and ex-
travagance are the same with a CON-
munity as with an individual.
The man who spends money beyond
his revenues, and mortgages his fut-
ure for unnecessary Injuries, reaches
a time when he is in need, hampered
for funds, and in the end he "goes
broke"
1t is possible for a community to
go broke, in the same manner as an
individual.
There are certain wise expenditures
that a city may make. There are
others that are unwise and not in
line with public policy.
The maintenance OF good streets,
sidewalks, drainage. sanitation, neces-
sary public utilities, and the construc-
ton Of schools and their maintenance
are in line with good public policy.
Every bond issued by city be-
comes mortgage upon all the prop
erty In the city.
The tax paying property in the city
is pledged for the payment Of princi-
pal and interest.
Taxation in city, after it reaches
a certain point, becomes a burden
and hampers the growth Of the munich
pality. ',TWxi
The fixed charges against property
determine the rentals that must be
paid, fix tho probable profit Of invest
ment and in nearly all cases are the
deciding influence with those who
build business places, homes and
other buildings.
The Tribune believe, that the best
interest of city are subserved by
the same good sense and conservation
in the expenditure of money that
characterize the individual in making
his investments and spending his
money.
An extremely high tax rate is not
conducive to growth. A continually
increasing tax rate means 4 reduction
in the building investment in a city.
An increasing tax rate means higher
rents, higher fixed charges, smaller
profits and greater caution in build.
ing.
Rents, which are determined by
the cost of building and the rate Of
taxation, have a high point beyond
which they cannot go without harm
to city's advancement.
The Tribune does not believe it is
good public policy or wise business
management to engage in the build
ing of a municipal auditorium to cost
$4,000 or $4,000.
1t does not believe there is a
business necessity for such a build
ing, or that the sums added to the tax
rolls Of the City for sinking fund, in
terest and maintenance would be
wise expenditures.
1t does not believe the returns of
such an investment would justify a
substantial increase in taxation.
1t believes that if such sums are
continually added to the tax rolls we
Shall discourage the building of
homes-the first essential of grow
ing city.
When it becomes cheaper to pay
rent than to own a home, We shall
find a city Of rent paying tenants,
and We shall find cheaper houses and
inferior structures, lesser investment
and advancing rents
Reasonable tax rates means moder-
ate rentals and city of home owning
people. (,
There are communities In this state
which have gone the limit in bonding
and borrowing money, and the short
crops of the past two years have