The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-04

only in salary increases but also in inn
provements asked for. All except an
solutely emergency building probably
will be postponed.
AS nearly as can be figured the ten
tative budget as ii stands to-day, eA-
elusive of the direct State tax ana the
debt service (Which are not counted IN
figuring the 2 per cent limit, would De
responsible for q tax rate of 2.25. ms
extra 25 points would be Illegal and
must be avoided.
The State tax and debt service will
account for a tax rate or about l.oS'
This cannot be reduced. The items are
fixed.
had Outlook for Salary Raises
The Board of Estimate has decided
that all requests for salary increases
above the figures fixed on August ~
will have to go by the board TINS lu
spite of the reputed desire OF Mayor
Hylan to placate the policemen lor Pc
litical reasons by granting their eN-
treme demands. The department budget
asks $4,000 a year for first grade pa
trolmen. instead of S2,2S0 (August
scale). and increases in proportion loi
other grades and ranks.
While the Police Department allow
ance of ten years ago was less thail
half of what is asked for lSzl, u
in the Department of Public WeHare
(untll recently known as the depart
n,ent of Public Charities) and in the
Department of Education. where the in
creased cost OF running thls Town 10
most strikingly shown.
The budget of Charities In 1910 was
s2629,014 Welfare asks Sll,V- go
for 1921 A good part of this Is pau
10 private institutions for the care OF
the city's dependents.
Education spent S2s,S99,679 year
decade ago. Its budget request Tor next
wear totals $50 ,026.4 62, exclusive or the
SAL, 900 900 for new buildings and sites.
And Education Is likely to get the
amount it asks, as laws obtained from
the Legislature this year practically
give the Department of Education the
whip hand in its old financial fight with
the Board OF Estimate.
The accompanying table gives
graphic picture of the successive jumps
of the budgets of the more important
departments. OF the county governments
and the steady increase in the dept
service. Also it gives an idea or the
tremendous amounts of special revenue
bonds and tax notes issued this year
10 see the various departments through.
All this money has to be met in the
debt service item of the 1921 budget
Although there is n limit of S2,OOO,0OO
n year on the issuance of special revenue
bonds for purposes which might nave
been foreseen IN making up the annual
budget, n total of s25,635,5S2 has been
authorized this year, to say nothing OF
tax notes to the extent OF nine and
half million dollars The budget must
carry a total Of about s46.000,00O In
the debt service to see the city through
it's short term borrowing before the next
years taxes begin TO roll in.
Special Acts Relieve situation.
BY two special legislative acts the city
was empowered to increase its issuance
OF revenue bonds by 10000. coo for this
year. Half Of that amount was TO finance
the salary increases from August to
January next. The other was to meet
the increased cost OF coal and other sup
plies not anticipated in making OF the
budget. II is contended that the remain
der of bonds are Of character not In
cluded in the $4,000, 900 limitation. such
as paying prevailing rates OF wages,
which have reached unheard OF heights.
snow removal and the like.
Some Of the departments resorting
most heavily TO special revenue bonds
we're: Education, $7.500.000; Street
Cleaning, $4,000. 900 Police. S1.700.000 !;
Fire, sf.500,000. Borough President
Manhattan $780, 600; Borough Presi-
dent Queens, $1,000. 900.
Requests for non-revenue producing
improvements that stand out, In addi-
ton to the $4,000 900 of Education. are :;
welfare, ss.300.00O; Street Cleaning,
s., 900, 900: Parks. Brooklyn. s5.30O,00o (;
Borough President OF brooklyh'
sc. soc. 900.
How steadily the budget OF the City
OF New York has grown year by year
A. clearly indicated In an accompany
table. which includes also the yearly tax
rate for Manhattan. Rates for other
boroughs are always higher because or
added county charges dating back be-
fore consolidation. Unusual increases
in real estate assessments In some
wears are responsible for some OF the
tax rate decreases. Back i'm 1903 the
budget was just under the S1OOVOO'OVV
mark, the tax rate was 1.4l. the total
funded debt S3i,S39.605 and the totai
real estate assessments roughly S,-
ISL 100000.
In 1910 the budget had increased TO
s1e3.12s.27O. the tax rate 20 LIS. the
funded debt 10 s7s4,g30.2sS The as
sessnents on real estate were $685.
600. 900.
Funded Debt faNNta bftt""'
Half decade passed and in 1915 the
budget had almost topped the two hun
dred million, mark. II was slsssSs 1862.
Tho tax rate was tS7. the funded debt
81, i24. 02O.22i, passing the billion mark for
the first time.
on January Of this year the funded
debt was 81. 2aS, 260.5s7. on the fret of
July Il had increased 10 si.2is659.93'.
BY law the city may not become in
debted in excess Of 10 per cent OF the
assessed valuations of It's real estate.
But TO arrive at this indebtedness
within the debt limit there must be
deducted from the total funded debt
an sinking funds and all bonds issued
for purposes that are self-supportlng.
TO this amount Is then added all con-
tract liabilities.
Taking account OF the moneys set
aside for various purposes the debt
margin on July / was only S32, $50, 40.
Since then Il has shrunk TO barely 500
GOO. 900. which might leave the city serl-
I ousiv embarrassed In case OF n grave
emergency
However by January l the margin
should be Increased by si2.000.oo0 or Sis.-
| Ooo. 900. This will come. ca. two or three
millions from interest onEonds held in
/. the sinking funds OBJ about the same