The Birmingham age-herald., 1915-01-17

times sell at a slightly higher rate of in terest than large issues, they cost tn city no more than the present practic
 of buying on part payment notes O ! options, and meeting the maturing pay
 ments by loans from the banks.
 The policy which has been pursued
 arose, no doubt, from the mistaken idle. that the purchase Of a park distribute over several years in small payment was as well provided for as if paid fo in bonds; but the citys present statu: in the eyes of the citizens, proves tn, falacy of the policy The real deficit then. of the city treasury for the thre, years ending September 30, 1914, shoul, have been about S525,000, instead O $SS0,00O, and that includes $100,000 in terest on bills payable, part of whici was paid to the banks to take up note. issued for time payments on purchases and part of which was paid upon thes, payments themselves, when such DOT tions of the interest would have beer carried by the interest fund if tho purchases had been made with bonds a the time, thereby both relieving tho general fund.- and also avoiding the in clusion of any intrest in the principa of the bonds when eventually issued.
 But it is just to the city commission to observe, that they did not inaugurate this policy of making investments or time payments. They found the custom thoroughly in vogue. and in some lfi- stances could not correct 1t at once, even had they tried, because the notes were already issued and to substitute bonds for them before maturity would present legal difficulties.
 The conclusion must not be formed, however, that because some of the city S deficit could have been avoided. all CT it was unnecessary. The operation of municipal corporations involves what are called ordinary running expenses and in addition what are called extra . ordinary running expenses, the Whoie being styled governmental cost. For the last fiscal year, the ordinary current expenses exceeded the revenues by about S15O.000, and doubtless unavoida- bly,; but during the two preceding years the ordinary revenues and expenses were not materially apart.
 We will, therefore, point the way where can be made with the least apparent harm to the general welfare, and it is for the public to say whether they desire it instead of any plans for re- lief which may be presented.
 Reduction of Salaries
 First, of course, some salaries would have to be reduced; and that would re- quire beginning the reduction at the com missioners themselves, whose salaries, though not large as elective offices with the attendant expense of campaigns. are out of proportion to other elective of- fees in the state. By reducing the com missioners' salaries to s5000 each, some- thing over $5000 year would be saved. Next the salaries of all heads of depart ments should probably be fixed at the same salary as that of the head of the legal department S3600 a year, making ! saving of S2600. Then in the license de- partment there might be saving of $lS0, and in the engineers office an assistant might be dispensed with at a saving of S2200. Then the offices of city health off ger and that of city physician might be combined at a saving of S1201. Then, if he revenues cannot be increas sed there might be cut of 10 per cent on all sal iries of $lO0 and over, in the fire depart nent, thereby saving about s4O00, not to mention possible cuts of some salaries in other departments. Thus the salary sav- ng would be at least s15000.
 If the salaries of the commission were educed to $5000 the salary of the super ntendent of schools ought probably to De reduced to something below 5000, which it is at present; but in that event, hat officer should be furnished an auto
 
 iuties in his own car So the reduction 'n his salary would not be an important saving, If any. In that department a arge saving could be made, however by lbohshing all free school books, costing ast year $16,S15.17. Free school books cost l ,6oW in 1913, and about $630O in 1912 They began in 191l Thus about $17,0OO could be aved in the educational department.
 Then if the people desire to rein tate the tuition of S2 a month Der pu- 'il formerly charged in the high chools an emergency revenue of at east S1S,000 might be added from that ource
 Departments Might be Suspended
 coming then to the departments which might be temporarily suspend d, or thrown upon popular support for xistence. we would begin by cutting ff the city beautiful planning depart nent at saving of $1200; then cut ii all aid to charities together with he welfare department thereby sav- ng $2l,0OO; then cut off the play rounds, $500; then the Avondale zoo, l775; then all attention to the parks eyond keeping them generally clean, hereby saving about $20.0O0; and, astly, cut 5000 of the $15,00O now ap- ropriated to the libraries.
 These suggestions, If adopted, would void about $107,000 of the current ex- eEscs, without considering the saving fhich might be made if every economy observed in extraordinary expenses 0 be met during the coming year, and ihich of course cannot be estimated in dvance.
 We may also note that the city might ave an additional $24,OO0 a year in he annual ordinary expenses of wa. CT from fire hydrants by accepting he urgent offer of the Birmingham Vaterworks company to re-enact the l optract for reduced rates which was epudiated by the people before the | resent litigation was started.
 The offer seems to be conditioned l pon the city's withdrawing It's pres mt litigation against them involving | heir franchises; and the merits of lit- satfon we do not pretend to decide. l 'ut. of course, the offer should be | arefully considered if no increased | avenue is obtained and since the cffer | eems to be urged as a compromise for | cod of the city finances as we'll as | CT the water company, we presume | hat it will not be withdrawn before l he city's financial situation is deter lined.
 We must remember, moreover, that | me of the present sources of revenue | lay be soon cut off. During the last | seal year the city received about | nd it appears that wide prohi- ition will be in force by July !, 1915.