Aberdeen herald. [volume] (Aberdeen, Chehalis County, W.T.) 1886-1917, 1915-01-05
WARNS OF PlLlNC.
UP PUBLIC DEBT.
State Auditor Clausen De-
clares 1t Is Time "The
Brakes Should be Set"
SHOULD PAY AS WE GO
Total Obligations Of Cities
and Towns Of State Are
$7o,ooo,ooo

OLYMPIA, Jan. At is time "the
brakes should be set," says State Audi
tor c. w. Clausen in the foreword Of
his biennial report touching on the
debt-incurring facilities Of municipal
corporations. He urges that legisla-
ton be enacted looking toward re-
duction of the enormous debt of the
various municipalities and toward pre-
vention of it's future acquisition.
I'VE should pay as we co." says
Auditor Clausen.
Various Schemes Outlined
Indebtedness of municipal corpora
tions has been increasing by leaps and
bounds" he says in his report, land
when constitutional limits have been
reached, interested bodies have come
to the legislature and had measures
adopted creating new municipal cor
porations, either within or embrac-
ing other municipal corporations, by
which they could again increase their
limit of debt, and when this source
failed they have resorted to the in.
genious device of issuing bonds against
the revenues of their public utilities.
We believe. the time has come when
the brakes should be set, an effort
made to pay off the debts and current
expenses limited to current revenues.
Bar to Tax Reduction.
"The total debt of cities and towns
in the state Of Washington on Janu-
ary l was approximately $70,000,000.
So long as this debt is outstanding, so
long will it be impossible to material
ly reduce the tax levies. We believe
it would be for the best interests Of
all cities If we were to return to the
provisions of section s, article 8, of
the constitution relating to debt, and
in future prohibit the mourning of in
debtedness against revenues of depart
ments or utilities and require the fix
ing of rates and charges of such util-
tiles sufficient to meet their operation
and maintenance, the capital invest
ment to be met from general taxation.
Opposes Public Ownership
Better have privately-owned,
regulated public utility working on it's
own capital and paying taxes than a
publicly-owned one which does not pay
, when the public have supplied the
capital, and no taxes.
when bonds are issued for any pur-
pose the terms for which they are to
run should be regulated by the life
of the function for which they are is
sued, and payment provided for so
that those using the function should
pay for it. We have no more right to
pass these dead horses on to pos
terity and require them to pay in many
instances for public structures long
since extinct.
Long Time for Bonds.
Bonds issued for real estate, for
park, public building sites, power and
water sites, could we'll be extended
over a period of over thirty or forty
years, redeemable after five years, pay
ments gradually increasing until the
entire debt was paid.
I'VE would also recommend that
each city or town prepare detailed
estimates showing the needs of every
department, Office or officer, and in
stitution, also the amount of esti-
mated revenue from different sources,
then after public hearing adopt the
budget for the ensuing year, deduct
ing the estimated revenue from the
amount of the estimated expense and
levying tax to meet the remainder
Would Impose Penalty.
"a severe penalty should be impos-
ed on any officer, board or council
creating any debt in excess of such
budget and any such attempted incur.
ring of debt should neved be grounds
for claim against the city or coun-
| ty. This would obviate the issuing
of bonds to pay current expenses. We
should pay as we CO."
Auditor Clausen also advocates the
repeal Of the animal bounty law; the
confining of expenditures by eXamin-
ing and inspection boards to the rev.
epue taken in by them; the payment
to the state by the relatives or the
estates upon whom inmates of the
charitable institutions are dependent
of the cost of the maintenance of such
inmates; the creation of a state pur-
chasing agent and property custodian
whose duty it shall be to make all
purchases of supplies and maintain