Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-06-11
ROCKER IDEA
WILL NOT HOLD,
OPINES ASHBY
If Contention Is True Taxing
Units of State Would Be
Bankrupted.

| Corporation Counsel Samuel Ashby
does not believe the courts will uphold
w. V. Rocker. attorney, in his contention
made in Circuit Court last Saturday, that
taxing units of Indiana have been rails
ing and expanding money illegally under
the new State tax law.
Mr.. Rocker contends that the tax law
of 1920, passed in the special session of
the Legislature abolishes the so-called
general fund by providing that every
item of expense for the year must be in
Guided in the annual budget and the
money raised by tax levies for every
single item, the proceeds from which
levies are inviolable trust funds which
can neither be added 70 nor substracted
from by subsequent appropriation or
ira nsfer ordinances
SAYS Law IS NOT
AS ROCKER CONSTITUTES 1T.
Mr.. Ashby has taken no notice of the
Rocker contention further than to read
news accounts of 1t. he said.
81 am not afraid of that" he COM
mented, stating that he did not believe
the courts would uphold Mr.. Rocker for
the reason that the intent of the law
was not as Mr.. Rocker sees it.
1.-The State tax board" he said, wrote
the law. TIE city has proceeded under
Interpretation of the law generally recog-
nized throughout the State, namely that
the budget merely is intended to be
guide in the preparation of the tax levies,
and there are no more Ievies than there
were before the tax law was changed.
The present levies are fourteen in num-
Der and are based upon specific laws
passed prior to 1920. If the Rocker inter
probation is upheld and there is a levy
for every item in the budget the number
will run into the thousands.
FOR instance, If the city intended to
spend a certain sum for brooms with
which to sweep the city hall during the
ensuing year, 1t would be necessary to
have a separate levy to raise the money
for this purpose and so on for every
class of article the city buys"
PRESENT LEVIES
WERE APPROVED.
In support Of his argument Mr.. Rocker
says that the law intends that every
item shall be covered by a levy because
the law provides for a public hearing
upon the budget and tax levies and that
once the hearing has been held and the
budget and levies approved they can not
be changed. In other words. the law in
tends that the public shall have some
thing to say about how its money shall
be spent and no official has the right to
change the decision, once it mas been
made.
The present levies, having been made
under the old laws, were submitted to
the State tax board and approved by It
under the provisions OF the new State
tax law, Ar. Ashby said. This, he in
sisted, proves that the State tax board
intended the law as 1t now is being con-
strued.
IF the Rocker Interpretation were to
prevail 1t would bankrupt every taxing
unit In the State of Indiana" Mr.. Ashby
said.
I'm case a fund runs short before the
end Of the year It now is replenished
by transfer from another fund or by an
additional appropriation out of the gen
eraI fund. The Rocker idea prohibits
this, leaving as the only possible method
Of adding to a fund the Segotiation Of
a temporary loan. However. Mr.. Ashby
believes that a temporary loan can not
be made under such circumstances for
the reason that such loans can only be
made in anticipation OF the receipt Of
money from taxation during the same
year. II fund is entirely used up and
there can be no appropriation to 1t from
the abolished general fund, there can
be no more money In that fund during a
given year. This being true, no tenn
porary loan can be made because there
will be no anticipated revenues upon
which to base It.
BASED ENTIRELY
UPON IMPLICATION"
Mr.. Rockers contentious are based
entirely upon implication and not upon
any specific statements In the tax law"
the corporation counsel said. land there
fore I am not afraid of his proposition
The situation Is not what it would be
II the law set out in 50 many words Just
what the budget and its purpose is to
be-"
He said that the law only states that
there shall be a budget, leaving the form
Of It to the State board of accounts.
The State board Of accounts has never
prescribed a budget form under the new