The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1921-08-09

Commissioners has repeatedly urged
them to hasten their work. 1t now
seems probable that this work will be
completed sometime during the month
Of August.
During these negotiations it develop
ed that Wood & Oakley would APP
prove the legality of only such por-
ton of the 100000 bond issue, as
had been authorized for sale by reso-
luton Of the County Commissioners
and for which the County Commits
sioners had provided means to care for
the interest and sinking fund charges
as they accrued.
In view Of these facts il was i'm
possible to issue 100000 Of Bonds on
January 1, 1921, as was expected could
be done at the time of the bond cleo
ton and in consequence the entire
schedule as contemplated at the time
of the campaign was disrupted.
The question before the committee
therefore was what can be done now,
if only 100000 were issued and sold
at this time. If such action were taken
the County Commissioners would not
be in position to let any project in it's
entirety to contractors and 1t was
therefore decided that at least $500, 900
should be issued and sold now to oh
viate this difficulty.
The issuance of this 100000 under
the present budget, of course means
that the tax payers of Escambia Coun-
ty will be obliged to raise $4,000 for
interest and $4,000 for sinking fund,
or total of $4,000
While this appears to be a heavy
burden upon the tax payers, the fact
must be taken into consideration that
about so per cent of the cost of road
construction is composed Of labor, and
If 100000 is spent during the coming
year for new construction, approxi-
mately s250.00o of this amount will
come back to the people Of Escambia
County in the form of wages to labor
employed. The committee therefore
believed that It was first necessary to
provide at least $500, 900 and then ana
lyzed the situation to discover whether
or not this amount would put the
County Commissioners in position to
handle the entire program to the best
advantage of the tax payers of the
county.
At the time of the bond election it
900 could be obtained by the county
through the Florida State Road De-
partment from the Federal Govern
ment. In order to complete the ar
rangement for Federal aid it Is neces-
sary for Escambia County to be in
position to match same, and 1t was
therefore realized that if only $500, 900
| of bonds were authorized at this time,
and all or a greater portion of same
went in to completion of one road
there would be no further moneys
available to match Federal Aid money.
The committee realizing this situation
then considered the advisability of
placing the County in position if neces-
sary, to include in the budget the tax
levy needed to cover interest and sink
ing fund charges on $1,000, 900 of Road
Bonds instead of $500, 900. This means
an expenditure under the forthcoming
budget of $500 additional taxes to
cover interest on the second $500, 900
or a total of $50 900 for interest and
s65, 900 for sinking fund. or a total
aggregate of $4,000 It will be noted
that provision for an issue of $1,000, 900
instead of $500, 900 of Road Bonds will
mean an increase in taxation for the
fiscal year, of S30 900
If it Is found that Federal Aid is
not Immediately forthcoming it will
not be necessary to sell over $500. 900
of Road Bonds at this time, in which
| case, the additional 100000 of taxes
protecting the second 100000 will re-
main in the hands of the Bond Trus-
tees for disbursement when the County
Commissioners sell the second $500, 900.
Furthermore. the $4,000 received
! from taxes to cover the interest
| charges on the second 100000 of
bonds, If same shall not be immediate
ly sold. will be offset by the interest
accruing from the $500 600 received
| from the sale of the first 100000 of
| bonds, and which moneys will be in
! possession of the Bond Trustees and
| by them placed in an interest bearing
account.
In the meantime the fact that this
money is available will place the Coun-
| ty Commissioners at all time IN posi-
| ton to match Federal Aid at any time
that they may be able to successfully
conclude their negotiations for same.
It is therefore decided by this COM
mittee to recommend to the County
| SOHlIIllSSIOHSfS IIldL lnGN pIOVlOe IN
their budget for the coming year for
the necessary interest and sinking fund
to take care of the $1,000, 900 of bonds
The committee believes that it will
] be possible under the circumstances
and the facts adduced during the hear
! ings held the past week that the bonds
authorized under the budget can be
| placed during the month of September.
1921. and that the bids can be asked
simultaneously with the placing of the
bonds for sale, and if the bonds are
sold in accordance with the advertise
ment and satisfactory bids are received
! from contractors the committee be-
| lieves that work can be started during
October and November, 1921.
Conclusion
The committee believes that the
County Commissioners are acting in
entire good faith in this matter, and
while there have been delays, these
seem to have been unavoidable judg-
ing from the facts as presented