The Birmingham age-herald., 1913-06-26
REDUCING INTEREST
MAY CAUSEF|GHT
Weatherly Does Not Believe
1t Can Be Done
LANE INVESTIGATING
Possible That Action May Be Taken
On Matter at Meeting TomOr-
rOw-NOt Believed 1t Will
Be Done

Indications are that a very interesting
argument is ahead when the city COM
mission again takes up the matter of re-
ducing the interest charged property hold
ers on city Improvement assessments. City
Commissioner Weatherly states he has
not investigated the matter but that he
does not believe the interest can be re-
duced without the loss of money to the
city, and that he can prove it,
President Exum has stated that city
Comptroller Abbott was in favor of the
reduction, but II was stated by another
city hall official yesterday that Mr.. Alb
bott did not believe the reduction could
be made without the city losing money.
Mr. Abbott refused to make any state
ment in regard to his opinion in the mat
ter
President Exum brought this mater up
at a board meeting some few weeks ago.
stating that since the city was receiving
money for per cent. cheaper than it ever
Had before, that The property holders
should only be charged per cent inter-
est on their improvement assessments in
stead of per cent, as has always been
charged heretofore. Mr.. Exum stated at
the time that he had issued orders to this
effect, and that he had promised several
property holders it would be done. Mr..
Weatherly and Mr.. Lane both objected.
however, and asked that the order be re-
sclnded until they could investigate. This
vas done. President EXum has been con-
fe1ring with Comptroller Abbott about the
matter the last few days, and the COM
II isson will probably hold a conference
soon II is poss that action may be
taken tomorrow on this question.
II do not believe that the rate of inter-
est on these assessments can be reduced
without financial loss to the city, said
Mr.. Weatherly yesterday. Il would like to
reduce them just as much as anyone else,
but | cannot see how we should reduce
them unless we can do so without having
to make up deficit out of the general
fund.
LAS a mater of fact, that feature of the
city's business never has been self sup
porting, even when we are charging per
cent. There are a hundred and one
things which constantly keep bobbing up
IN connection with this money and its
handlng that runs up a large expense. IL
is true, we have never secured as cheap
money as we are doing now, but at that
do not believe that the city Improvement
fund can be made TO more than support
itself at s per cent interest on the as
sessment As | said heretofore, we have
been losing money at per cent. but
with the cheaper rate under which we
now borrow 1t may pay the expenses of
its own administration. To reduce it from
8 to per cent would be to simply keep
1t en- a deficit basis, which would have to
be made up out of the general fund just
as it has been before.
Jrdee Lane stated that he was investi-
eating the matter, but could say nothing
as to how he might vote. The general i'm
preston about the city hall is that the re-
duction of from to per cent VIII not
be made, and also that there Is iSeiy lo
be an interesting session of the commis-
sioners when the question comes up Tor
Sc tttlement, as President Exum Is very
strongly in favor of the reduction.