Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1917-08-14

| It is to be noted that the date of IA.
sue is mentioned but the due date Is
not mentioned. 1t would not have az.
peared so we'll to have stated that
notes 80, 81. 50, SO, Sc. and 81 became
| due November 81. 1916, and that notes
| 90 to "a inclusive became due Jan. g.
! 1917. 1t would also have made some
| difference If statement had been IN.
Guided stating that the interest had
not been paid on these notes up 10
! and including the time when this ad.
ministration assumed Office. II Is al.
SO not generally known that on March
! Z, 1917, few days after the election,
another note of $4,000 was issued due
in one month at the Peoples National
/ Bank of Waterville.
/ This means that on assuming Office
we found ourselves face 10 face with
the most serious financial situation
! that has ever confronted the city. A
! Bonded Indebtedness of s406000. dan.
serously near the Debt Limit. and a
| Note Indebtedness of $4,000; SEQ.
! 900 due. and $4,000 more due on April
Z, 1917. ct is also worth mentioning
that the interest on this last amount
was not paid.)
! With a borrowing capacity Of SON.
600 and the Boston banks not very well
disposed toward the city owing To the
manner in which the 1916 notes had
been handled. we Immediately had to
turn around and take up the notes In
question with interest. This took up
approximately s145,o leaving us $751;.
600 to run the city for four months IN.
til the time that the taxes of the cur
! rent municipal year became due Dur.
ing these same months in 1916 the
monthly pay rolls amounted to over
$4,000 so that It has only been by
that we have been able to get along
without having to borrow additional
money.
1t is absolutely out Of question now
to finance this growing city under Is
mills, as the increased cost Of ma.
terial and labor demands this increase
Added to this is an increase Of So,
5143s in the State tax. This demands
at once an increase Of over one mill.
The balance Of about four mills will
go to take care Of our appropriation Of
$4,000 to reduce note Indebtedness, this
being absolutely demanded by the Bos.
ton banking interests.
What has been true in Waterville has
been true in other cities and we now
find that Augusta has found itself
constrained to increase its tax rate
from rs to 30 mills. In Lewiston too
we find that the tax rate has jumped
hut
one-half mills.
On July 1 We refunded bond issue
Of $4,000 at the old rate of per cent
Our present Indebtedness is as FOL.
lows:
Bonded debt .....................S SW
Interest bearing notes outstanding
temporary loan in anticipation
of 1917 taxes) ACKNOWLEDGEMENTS. We"
lotal OBSERVATION-DISCLOSURES. '$coV"
The tax assessment for the current.
year is s271,05S.s1.
1t is to be borne in mind, that out OF
the above 5000, 900, $145, 900 was used to,
take up notes carried over from last
year.
In making up this statement II Is mol
our intention to lay the blame for tho
city's present financial situation on any
one administration. The whole story
is that we have been going too fast
pace and the time has now come when
halt must be called.
IT will suffice for me to say in clos
ing that the increase in the tax rate
warranted and with a special appro'
priation to reduce the note indebted
ness $4,000, we feel that we will %
getting somewhere at last.
Respectfully submitted
F. HAROLD DUBORD,
r-aa x,,Yer,