Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-08-19

Of regular running expenses, not from
taxation, but by means Of new bond
issues New debts created dur-
ing the year were S2.9S5.9TS in excess
Of all revenue received from taxation
ana s14674.OS2 more than the total OF all
Indebtedness retired He repeated the
warning in his report Of 1919.
In letter written in October, l1-O,
the auditor Of CuyahOga County OF
which Cleveland is the county seat salu
eOur cities are running into debt. pllinG
up deficits which are then funded my
bonds. which in turn sggrayate the nnah
eiaI crisis Of the cities. Inc asIcIt ~ - -.
cftv Of Cleveland last year was S0,f0V'ou"'
Witch was funded into bonds, The year
hsfore il was 81. SOC. 900, and the year be-
fore 81 800 COO. In other words, ire
spectire of tax rates and tax receipts the
municipalities seem TO De speu'''iS
money. running NJ debts, and then Sc
curing the legislative sanction for Iuuu-
ing these deficits
DEBT LIMIT
Is RAISED 49,
II needs no prophet 10 tell that this
mans ruin. Indiana escaped this sccu-
mutation o. debt on account OF her coz
stitutfonsI debt limit Of per cent; but
that Is now made q dead letter by me
dupIicatfou Of municipal units by THIS
means. the debt limit in Indianapolis y
now Is ner cent, instead or per cent
!. Meanwhile. taxes are growing with rem ,
III ranidIr- In 1900 the total taxes COL
Tocted under the general property TAX IN
Tr5fs1a- for 5 ate and local pUrI oses'
Us sol s25. 127. This total increased Al
4 unite regular rate Of about S-uOv.uSo
rer wear until 1918, when &c was So5,4-S'-
an But for the present year u Is Sill
$50, T65. This does not include sPe'l'
assessments for streets. sewers mig
wsvs marks. boulevards. sanitary dis
tricts. drainage districts and the IKE
FOR the rear ending June 20. 1911. IN
diana Maid national income. excess
nrofits and Internal revenue taxes o.
s77 "a 934. The people Of Indiana are
now certainly paving in excess or 80
onOoo0 yearly Of direct taxes ne
amount Of indirect taxes IS no doup'
largely IN excess Of the direct taxes; nul
there is no way OF aseertaining 1t WIZ
ont individual reports from me
r,roffteers. But with all this increase 81
frxe~ there Is steady increase Of public
debts Very few OF our municipalities
make any pretense Of reducing thelf
debts The one question Of interest Is
Hov much margin have We under the
debt limit? The only thing approach
ing this craze in the past was the internal
Improvement craze OF the last centurT
INT that was wise. as compared with
this indiana went bankrupt then: nut II
earaned from frs embarrassment by turn
fnr the unfinished works over 70 IT'S
creditors Eut you cannot turn hten-
WAYS. parks. boulevsrds. plazas. or even
srhooIhouses over TO creditors These
debts have 70 he paid, and paid by
taxation.
DISASTER FACES
STATE SPENnERs-
Is there snv remedy for this condition
x.Iust one. sam Smsus remedy for sin
was Quit your mesnness." The only
remedy for this IS. omit your foolish
extrava rance. and Quit 81 once. ~
Government can Iive continuously beyond
its income without going u disaster. sry
more than an Individual oan do So. ~ IS
very fine % talk a5out doing things for
future generations. but this generation
has done fully - much as ~ is entitled
70 do in the way ~ making debts f0r
future generations 70 psT. There arz
many things that would he pleasant N
have IL we had the money % pay for
item. but in common honesty. We have
no money 10 pay for anything bat
necessities until We set ont n deat-
an svara that this sort ~ talk is not
popular with those vho discourse of
civic -ride~ and public sri-it." but
when anyone tells you what some pro
gressive city IS doing. 8sk him to eur
nish you p statement ~ tha financial rot-
dltion Of that city. 7 am likewise award
that warnings - This character are usual
" treated as pessimistir, and passed IA
Needed They 10 not accord with th'
spirit Of the business world. which ahh0r'
any damper on purchasers. Kiplirc por
trsvs the psychology or IL en- his lines,
When desperate Folly daily lahorerh
To work confusion upon all We have.
When diligent sloth demsndeth Freedom
death.
And banded Fear commanded Honor
grave
Even in that certain hour before the fal