New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-03-19
NO DIRECT TAX
IS JUSTIFIED,
SAYS M'ANENY
Many Other Means of
Providing for Funds,
He Declares.
CITY SHOULD FIGHT,
IGNORING PARTIES
Economy and Proper Financing
Held Sufficient TO Meet
All Bills.

After an exhaustive study OF the fig
ures from all sources on the $4,000, 900
direct tax controversy President Nc
Aneny of the Board of Aldermen in a
statement last night declared his con-
viction that with due economies no
such tax will be justified.
Mayor Mitchell has already asked that
hearings be given the city on any bills
fixing a direct state tax, but President
McAneny believes that city representa-
tives in the Legislature, without regard
to party, should be aroused.
Mr.. McAneny calls attention to the
fact that a direct tax of $4,000, 900
would mean an increase in the tax rate
in this city of l6 points; tax of Sill,
100000 would mean a 10-point raise
here.
New York City is more vitaly in
terested in this matter than any other
part of the state he says. "If, as has
been proposed, a general direct tax of
S1S,000,000 is levied, the taxpayers of
New York City will be called pom to
contribute Sl3,3OO,OO0. If a direct tax
of sl1,000,000 were levied, the city's
share would be S7,700,000. :! though
this or any other graduation downward
would reduce the city's sha corre-
spondingly, we cannot ford to have
one point added to the rate that real
estate is now carrying.
Bigger Than Party.
"a stand should be taken squarely
against the proposed programme, not
only by our representatives in the Leg
islature but within the city govern
ment itself. But, wha. ier the city gov
ernment may do, it is unfortunately
true that it is powerless to act alone
This tax has been proposed at Albany;
it can only be stopped at Albany.
New York City must look first to
its representatives. at the Capitol. They
cannot discharge their manifest duty
if they permit themselves to be in
1uenced ny anv onsideration but that
of the city's good. Democratic Assem-
blymen and Republican Assemblymen,
Democratic Senators and Republican
Senators from New York City must
rise above party and act in concert for
the benefit of the city whose interests
they have been elected to guard.
"Notwith tanding any new twist that
may be given the figures under discus
sion. the facts underlying them are
perfectly clear. The advisers of the
Governor stated that at the end Of the
next fiscal year-if the needs they set
forth were properly provided for-the
state treasury would face "A cash de-
fciehcy of SIS, S,SO0,0OO. Actually, as the
checking up of the city Controllers
accountants has shown, il every item
included in the Governors statement
stands, excepting only the S4,0OO,OOO
proposed for capital outlay on canal
construction, there would be in the
treasury at the end Of the next fiscal
year not a deficiency, but a cash bal
ance of 100000.
Should Issue Bonds.
"ConceoirC that there should be
something more than such a sum TO
provide a safe margin of surplus from
the beginning of another fiscal year,
the problem becomes one merely OF
cutting appropriations down to actual
need. II can, | think, be shown that
the S4.C00,O0O for shortage in the fund
for canal building can and properly
should be covered through a bond
issue and that the question of issuing
such bonds can be submitted TO the
voters in November. On the authority
of a referendum vote this money could
be provided by December | next,
though the estimates of the State Engl-
neer do not call for il until February.
"As the problem then would be pure
ly that Of raising the indicated balance
of September 80, 1916, TO a higher fig
ure, the natural method would be TO
pare down the appropriation and sup
ply bills as they are now pending IN
the Legislature.
Finally. there is the strong prob
ability that a sufficient part of the sur
plus of S27,000,000 in the state sink
ing funds-unnecess sarily collected in
the past and now lying idle-may be
released to Offset next years sinking
fund charges. If this can be done, the
S9.0OO.000 required for this approprla-
tion may come out altogether.
IF by any chance any necessity ior
a direct tax remains after the proc
esses OF retrenchment have been COM
pleted and these other opportunities
for reduction tried out, what - lett
could easily be cared for through the
new indirect taxes that Senator Brown
has proposed, the annual yield oil
which. he says, will be not less than
$1,000, 600"