New-York tribune., 1919-03-10
Citizens Union Sees
"Deception'' i'm New
Tax Rate Reduction
''Searchlight'' Charges De-
ductions We're Carried
Over From Last Year and
Higher Tariffs Certain

The Citizens Union, already termed
by Mayor Hylan "a bunch of fakers." is
prepared to arouse his honor's wrath
still more by an article on the tax rate
for 1919 which it viii publish this week
IN "The Searchlight," the official organ
of the union
THE Searchlight" charges the four
point reduction in the new tax rate is
AN illuminating example of dcception
and manipulation" and "the result of
fantastic. sleight- of-hand financing"
1T Is" the magazine says, "a mere
bookkeeplng victory. In one aspect it
hoids the promise of temporary benefit,
the cost Of which, for the most part.
VIII have to be paid later. In another
aspect 1t represents the flching of
sums Tor the reduction of taxation this
year which should have been applied
Tor the reduction of last years taxes
by the present administration. Bv this
purposely delayed credit the admin
lstratlon awarded itself double prize.
Deduction Not Made
The 1918 tax rate, the article as
serts,, was charged by Mayor Hylan
ana ms associates against the Mitchell
ndminlstration, which had prepared
the budget for that year. Mitchell and
nus aa,,,at admlnlstration were not able to
deduct from the estimate the sums
available. The Hylan administration.
1t is said, should have done this, and
lower tax rate for 1918 would have
resulted. 1t did nothing of the kind
II Is alleged, but was content to base
the tax rate on the Mitchell budget esti-
mate. without any reductions.
"Ihus,' THE Searchlight' says, "thc
present administration last year
planted the seeds which yielded the
bouquet it now hands itself"
Hylan's administration, it is charged
has, increased the assessed value of
real estate ! per cent and the assessed
value OF personal property about "A
per cent. 1t has decreased the tax
rate about IT. per cent, after having
increased assessed values almost 5000,
100000.
Higher Realty Taxes
Applying the tax rate to this in
creased valuation of property" the
article continues, at is plain the citv
ADMINISTRATION, simply by lacking up'
valuatlons here, found about S4,5OO,-
ooO. Despite the lower tax rate, many
owners CT real estate nevertheless will
have to pay higher taxes.
Besides this simple manner of the
cretlcally deriving additional revenue.
to tax deficiencies (Which will have to
be made up in later ycala), the city
Administration increases the estimated
general fund for the reduction Of tax
alton by s5,598. .774.31.'
-, The Searchlight" points out that
the charter Of the ci.y 1eouires the
controller to furnish the Board Of
ALDERMEN with an estimate of the
probable amount of the receipts into
the city treasury for the coming year
1t is also provided that this amount
IS then to be deducted from the
amount to be raised by taxation. 1t
then takes up "convcnlcnt additions
and inf1ation' by Controller Craig.
1t charges he included the $2,3OO,OOO
from the State of New York to the
Board Of Education in .he list of rev.
enucs, although this money can only
be devoted to the purposes of the
board.
"This money" ii continues, the dis
position of which is now before the
courts, if held to be applicable only to
teachers salaries, as the law appears
TO provide, will result in the taxpayers
in 1920 having to meet the $500 900
obligation wrongfully deducted from
the amount Of money to be raised by
taxes in 1919"
The article then points out that the
Controller might have included this
revenue in the fund to reduce the
amount of taxes to be raised in 1918,
but, of course, rcfraned from any
such attempt because the 1913 tax rate
reflected the budget made up by the
proceeding administration"
1t also attacks the Controller for
crediting to the fund for the reduc-
ton of taxation $l,200,000 left over
from previous appropriations.
"a law passed in 1911" it says, "re-
quires that this money be credited to
the tax deficiency account. 1t is there
fore contrary to law to credit this sum
20 the general fund for 1919"
1918 Revenues Underestimated
1t is also charged that Controller
Craig underestimatcd the amount of
city revenues in 1918 by $1,000 ,ooo
This amount, the $1,2OO,OO0 left over
from previous appropriations, the So
100000 given the Board of Education
by the state and $195,9S131 derived
from increased estimates have swollen
the general fund, "The Searchlight"
points out, by $5,598, ,744.31. 1t CON
tinues:
adding the two sources of imitation
100000 estimated increased taxes
due to higher valuations and S5.59S.-
744.31, the total estimated increase OF
the general fund for the reduction of
taxation-it becomes plain that the
round money, amounting to more
than s10,0o0,000, is more than the in
crease in the 1919 budget, which in
crease was s9,901 .675B8. This indi-
Gates how n lower tax rate may be
fixed despite an increased budget mere
ly by making estimates conveniently
optimistic and by devoting funds to
purposes for which they are not au-