Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1916-10-27
DEPUTY AUDITOR
SEES CHANCE FOR
LOWER TAX RATE
Works Out Fis Tres for 1918
and After to Provide for
Public improvements

Possibilities OF decreaae in the tax
rate after 1918 are sect by Deputy
City and County Attorney James w
LLOYD.
Deputy Lloyd. who has been work
ing out with Water Superintendent
Harry Murray figures on the compare
tive necessity al a bond issue and a
tax-rate increase. has also worked out
some interesting statistics on tax
possibilities.
One Of the vital points In his state
ment is that nc assumes that there
can be no change in the tax rate ef-
feetiye i'm 1917, Therefore, while he
indfeat3s a rosy future for public rev
enues az realized from taxes, he does
not argue against the present bond
issue proposal
His statement. authorized for publ
cation I'm the Star-Bulletin, is as fol-
lows:
Should real and property values in
1918 reach the sum of 100000. 000-a
tax OF s1.54S per $100-after deducting
territorial needs for school purposes
and added To present city receipts
from other sources, il would make
available for all purposes a fund Of
s1.2S3, 900.
The city government is run on
practically 100000 year irrespective
OF road work. This would leave bal
ance of $685,000 for all other improve
ments.
By 4 vigorous application of the
frontage tax laws based on say a
third to two-third cost contract with
the city, the construction of rein
forced concrete city streets at $4,000
a mile and up-to-date country; roads
at $4,000 a mile, this fund can be
used TO accomplish the following inn
provements in 1915
Build nine miles of city streets at
a cost of $4,000 to the city.
Build six miles of country roads at
a cost OF $4,000.
Purchase the parks under consid-
GRAFTON and provide for the contem-
plated Improvements to the public
baths, 100000 in ALL
Completes onc,fifth of the water sys-
TEN at a. cost of $4,000. 49,.
Complies one-sixth of the sewer
system at cot Of $4,000.
Leave contingent fund of $4,000,
and
Provide and operate a free sewer
and garbage system at an annual cost
of ST. 900.
Total, s6sS,Oa0.
May Drop In 1919
In the year 1919 this rate can be
dropped mill-that is to say, to 1.44S
should the park purchase program be
completed. Az this rate the same
amount OF road work can be complet-
ed, the same amount of extension
work in both the water and sewer
systems set aside the same amount
for contingencies and maintain the
free sewer aud garbage systems.
This rate should continue in force
for the years 1920, 1921 and 1922, at
the end of which time the extensions
to the waterworks will have been COM
pleted, and the rate could be dropped
to 1859 for the year 1923 to complete
the remaining one-sixth OF the sewer
extensions. For. the following six
years the rate could be lowered to
1856 to complete the street paving
program, aftey which time it should
be lowered to $50 to run indefinitely
TO. run the government, carnage ana
sewer systems. with such additional
as might be required for maintenance,
and upkeep of all improvements.
Need Budget System
To bring this all about the budget
system of taxation will have to be in
stituted, where the tax is levied for
the specific purpose of the budget.
Throughout ting entire program but
$4,000 is set out each year for con-
tingencies. With the lapse of time,
demanding more municipal activities,
this amount might have to be mate
rally increased. An increase of one
mill in the rate during any one year
would result in an additional collec;
ton of 100000, so it is to be seen that
on the basis of a fixed valuation of
s1OO. 0O0. 900 a very slight increase in
the rate would realize any amount
that might be olassed for contingent
expenses.