The Pleasantville press. (Pleasantville, N.J.) 1912-1929, 1921-12-31
OF AUDIT
AND RECOMMENDATIONS,
EGG HARBOR TOWNSHIP
Philadelphia, Pa.

have made am examination of your accounts
and records for the two years ended Decem-
Der 31st. 1920.
DELINQUENT TAXES AND TAN LIENS,
We understand that it was arranged by
your attorney. Mr.. Champion. with the Com
missioner of Municipal Accounts that il
would be agreeable to the Commissioner II
the tax duplicates were examined and placed
upon record as far back as and including
the 1916 duplicate. This work has now
been completed and the resulting figures,
comprising Delinquent Taxes and Tax Liens
as shown upon the Balance Sheet and de
recorded upon your books of account.
ASSETS TO BE APPROPRIATED FOR.
1t is necessary that these balances be car
ried forward to the year 1921 accounts as
Deficit Assets to accord with the rulings
of the Department of Municipal Accounts,
and it will be necessary in the coming year,
when preparing your budget, to appropriate
sufficient funds from your Surplus Revenue
to eradicate such Deficit Assets from the
Accounts of the Municipality.
In addition to the Assets shown on the
Balance Sheet there were certain Physical
Assets owned by the Township, such as
scrapers, tools, etc. of which no list wars
available. We would suggest that a list of
tools in the hands of each road supervisor
be prepared and kept on file.
There were no ledger accounts to show
the Liabilities of the Township, with the ex-
%eeptlon of the Bank oyerdraft, but we were
assured that there were none other than
those shown on the Balance Sheet.
SURPLUS REVENUE.
The composition OF this account is shown
in Exhibits e and "F."
REVENUES mi EXPENDITURES
1919 AND 1920.
1t will be seen from Exhibits &C" and
ID" that certain Miscellaneous Revenue has
been treated in both Years as not being an
ticipated. This is for the reason that the
copy of the budget as supplied us by your
Secretary did not contain any such items.
Owing to the above circumstances II was
necessary to credit these items of Miscel-
laneous Revenue to the Surplus Revenue Ac-
count in order to comply with the Depart
ment of Municipalities rulings.
We would draw your attention to the fact
that whereas it was necessary to provide in
taxes for the year 1920 $14,013.2S, you only
levied $l1,4S1.1S. the difference of $2,531 go
having to be carried as a Deficit Asset at
December 31st. 1920, and which has to be
provided for in a subsequent budget. This
condition should be avoided in the future by
a more careful preparation of your budget
and by the inclusion in anticipated revenue
an estimate of any miscellaneous revenue
such as Franchise Tax. Gross Receipts Tax,
Poll Tax and Dog Tax, if possible on a
In this connection we wish to point out
that monies borrowed on notes secured on
Delinquent Taxes can be repaid out of col
lections of such Delinquent Taxes without
the inclusion for appropriation in the Bud
get, it being necessary only to budget for
that sum which 1t is estimated will not be
tollttleu lTuun Sntu DtliuQutHt TAXES.
Transfers between appropriation accounts
have been recorded upon the books. but are
not authorized by the minutes. This pro-
ceedure is strictly contrary to the law, but
on our being assured by your Secretary.
Treasurer and Chairman that such transfers
were approved by yourselves and that the
omission of same from the minutes was in
error, we have allowed the same to stand
upon the accounts.
In connection with Exhibit ID" you will
observe an over-expendlture on account of
sInoidantaluf uuhfpb will hava IN ha nrpvfdad
for in your next budget. In addition thereto
there was a refund to the Collector of 1914
which was not covered by an appropriation,
but which will have to be also provided for
in the same manner.
SURPLUS REVENUE ACCOUNT.
This account has increased from $20,
99S.75 at December 31st, 1918, to $33,-
652. 32 at December 31st. 1920, which in
crease has been mainly caused by two
factors. as follows
ID The inaccuracy of anticipated Mlscel-
laneous Revenue in the budget has resulted
in considerable sums being credited to Sur
plus Revenue and not being available for
current purposes.
(2) The inclusion of a considerable appro-
p~riation each year for reserve for non-eol-
lection of taxes. Unfortunately. this condi-
tion cannot very well be avoided until such
time as the property from which no revenue
is realized Is either sold or becomes the
property of the Township.
Sufficient of this surplus revenue should be
appropriated in your next budget to take
care of the Deficit Assets now standing on
your books.
RECEIPTS AND DISBURSEMENTS OF
COLLECTOR.
The receipt of all money by the Collector
for the years 1919 and 1920 as recorded in
the duplicates have been accounted for by
payments made by him to the proper au-
thorities. receipts for such payments being
produced to ns
We would draw attention to the law that
requires the Collector to submit a list OF all
Delinquent Taxes each year, which list
should show not only the current years de
linquencies. but all delinquencies to date.
RECEIPTS AND DISBURSEMENTS OF
TREASURER.
The receipt of all monies from the Collee-
tor have been correctly recorded in the Cash
Book. Since the Delinquent Tax Collector
and Collector of Dog Taxes did not keep a
Cash Book. it was impossible to verify the
sums turned over by him to the Treasurer.
This condition should be remedied by the
keeping of such Cash Book and obtaining of
receipts by the Delinquent Tax Collector for
all monies handed by him to the Treasurer.
The receipt of $12.76 interest on Bank
Balance was not recorded, but this omission
has since been corrected
Al disbursements of the Treasurer were
made by cheques signed by the following
officials, Chairman. Clerk and Treasurer.
We wish to draw your attention to the
fact that payments to the amount OF So
705.57 do not appear on the Minute BOOK as
having been authorized by the Township
w 'th hhi' 1900 - ''
your Treasurer and Secretary and were as
sured by them that such payments were duly
authorized by the Committee, but were
omitted from the Minute Book in error.
Such payments have been made therefore
without legal authority, but in view OF the
assurance obtained as above stated we nave
spread the same upon the books, and would
suggest your confirming such payments on
the minutes of your next meeting. This
condition of affairs must not occur in the
future.
No invoices and paid bills TO substantiate
the payments made by the Treasurer's
cheques were produced. it being stated that
it has been the custom in the past to de-
stroy such al the end of the year. These
Invoices and paid bills are the permanent
records of the Township, and should Mt all
times be carefully guarded from loss or de-
The destruction Of same is illegal
and must not occur in the future. as they
are the only proof to be shown as the au-
thority for such payments as are made by
the Township.
According to the law Cash Receipts of
Miscellaneous Taxes not anticipated in the
budget cannot be used for current purposes
notes payable being executed aud re-
by appropriations made the GLOWING
year. 1t r. evident therefore in this connec-
ton that $552.92 Of such collections In the
years 1919 and 1920 have been improperly
used and that notes should be issued cover
ing same and redeemed by an appropriation
in your next budget.
In the year 1920 previous years taxes
were collected amounting to approximately
IS. 200. 90 and notes were paid off out of this
account amounting to approximately 81
600. 90, which should have left a cash fund
on hand of 100000. 1t Is apparent. how
ever. that this money has been used for cur
rent purposes, which should be evidenced by
the issue OF a Note Payable. as though Dor
from an outside source such note to
be redeemed by an appropriation in your
next budget. The use of previous years
taxes for current years purposes Is Illegal.
RECONCILIATION OF TREASURER.
The balance standing to the credit Of the
with the First National Bank of
Pleasantyille at December 3lst. 1920. was