Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-03-29

CITY FINANCING
HIT BY BUREAU
Municipal Research Bodys
Charter Bulletin Raps
"Tin-Box'' Methods
URGES MAYORS BUDGET
Plan Now Is of Receipts and
Disbursements Instead OF
Revenue and Expense
URGES MAYORS BUDGET

ThS third of the series of bulletins
on charter revision being issued by the
Bureau of Municipal Research has to do
with "tin-box financing" and suggests
metropolitan purse strings for the city
SO that It can keep it's Expenses within
its income.
Methods by which the city can keep
closer track of revenue and expenditures
are outlined. Financial legislation, un-
der which Philadelphia has operated
since 1879 is condemned as setting up
a standard of receipts and disburse-
ments rather than one of revenue and
expense.
The pamphlet calls attention to the
fact that while operating on the cash
receipts and disbursement basis the city
has failed to live within its income. and
has, as result borrowed on bonds mil
lions of dollars for policemen's and fire
mems salaries, pens, pencils, soap, coal,
junkets, etc.
Mayors Budget Remedy
The remedy in the charter revision
bill Is pointed out to be a Mayors bud
get in exhaustive detail, a later audit
of the budget by the City Controller and
its final submission to Councils with final
power in that body. In referring to the
charter provisions. the bureau says:
THE article finds way oat IF a diff
fculty under which cities have labored
from time immemorial-namely, the
practical impossibility of trying to set
tie in advance upon all the details of a
years financial program or to. foresee
all the needs of each OF the departments
during a coming year. Appropriation
ordinances therefore have worked great
inequalities by giving some departments
too much and others too little for their
actual needs.
"The charter revision bill makes it
unnecessary for Council, so long as 1t
has adopted general program for the
year, Immediately to settle all details.
The authorizations to the several de-
partments to incur the liability incident
to the carrying on of their work may
be made from time to time and for
whatever length Of time it, seems de-
sirable. The expectation is that Council
will keep within the program it has
adopted.
"if it fails to keep expenses within
revenues a deficit results, and the bill
provides that the amount of the dehclt
shall be set forth in cold figures in the
next years budget estimates ana snail
have priority over the next years eN-
penses. Deficits are therefore prevented
from accommodating and the public Is en-
abled to Judge each deficit on its merits
and to know definitely to what year
and what administration a dehcit Is
chargeable.
Other Benefits of Plan
at is also made possible to begin
niece of work or enter into long-term
contract without having to provide FOR
the whole cost in the first years tax
lew. and 1t is made possible for the
fiscal officer of the city to pay, when
they fall due, any bills that have been
legally incurred, with any money that is
then available, without any special
transfer by ordinance. thereby opening
the way to the cutting down of unneces-
sary interest charges and the elimina-
tion of the expensive process of buying
against hoped d-for future appropriations
Frequently now, when department
appropriation for given purpose Is eX-
hausted, the only way an article can be
obtained is by asking the dealer to de-
liver it at his own price, in the hope
Of getting his money in the future-a
species CT government by donation
that costs Philadelphia considerable