Every evening, Wilmington daily commercial., 1921-03-09
COST OF SCHOOLS
,|S SERIOUS PROBLEM
AND HARD TO SOLVE
Expenditures Under New System
Will Go Above Two Million
Dollars a Year.
VARIOUS MEANS PROPOSED

VARIOUS MEANS PROPOSED
Staff correspondence of Every Evening.
state House. Dover. March 3.
AS n result of conference held in
the parlors of the governor. yesterday
afternoon. by n number of representa-
dive citizens from all parts OF the State
and some members of the Legislature.
Robert II. Richards. attorney OF Will
ulingtcn was named to assist Robert
C. Houston, James II. Hughes and DIR.
r. w Cooper. on making some changes
In the tax provisions OF the new School
bill. The purpose is TO try and word
that provision which is to tax the bus
Gless done by corporations within the
state three per cent on their net in
come. in such way as to not affect
corpora tions that have been inCorpo-
rated under the Delaware law and simply
maintain an office here TO comply with
the general incorporation laws while
their business is conducted in another
State. II is hoped to make IL so alb
solutely plain that ii is not the intent
to tax such corporations that the State
charter business in the future will in
no way be affected. Mr. Richards will
start the work at once and II is hoped
70 have the changes prepared today 50
that consideration Of the school bill
IN the house will not be delayed
II was at first suggested by Mr..
Richards that the matter could prob
ably he best clarified by a separate tax
provision bill. Senator Alice. however
objected To this and gave notice that
he would fight it unless the school and
tax raising provisions for the schools
as one bill. lie explained that
J. was his opinion that if they are
separated and made into two bills one
Of the other would be sure to be
beat and one is absolutele no good
without the other.
II was announced by Governor Den
ney several times that the conference
was called to discuss means of raising
more revenue for all state purposes
but like all other conferences Of any
Kind held in Dover during this session
OF the legislature it was Impossible TO
get away from the school proposition
and consequently school finances were
discussed during practically every min
ute Of the TWO hour sessions
Stin Million Short.
one OF the most important points
brought out during the conference was
dhC fact that the final revision Of esti-
matcd figures by Luther II. Guick the
YAK expert. that what the State would
get. under the 3 per cent corporation tax
1-ovision would be from 5000 600 10
350o.000. The first estimate is said to
have been about a $1,000 0o0. If Nj.
Clicks last estimate is correct ard
d.. r. W. Cooper. who assisted in draw
anS the measure. makes a similar esti-
nla;e. with all the estimated money 10
kz cal 4 ~
pc the bill there Will stiIl remain an
annual deficit Of from $1,000 to ST.
100000. annually 10 operate the schools
II the State. Under such conditions
thore would be nothing left but To ap-
Jroi riate the huge sum from the gen
eral fund.
Governor Denncy, IN calling the meet
ing 10 order in few words explained
tho purpose Of it. Among those present
other than members Of the legislature
were: Robert H Richards. John s
ROssell. former Representative John
=. Nulvcna and Clarence c Killen Of
Wilmington: Henry P Scott Of Della
ware City; Frederick Brady Of Mid
dletown: J. Frank Alice Henry Ridge
ly and W. Watson Harrington Of Dover:
DR.. R W. Cooper Of Newark: Colonel
Robert G. Houston Of Georgetown and
bers of the revised statutes and ap-
preparation committees Of the House
and revised statutes and finance OF the
Senate were also present.
Cost of the Schools.
At the opening Dr. Cooper and
Colonel Houston. two members Of the
executive committee Of the citizens
committee. who with the assistance OF
81 |-.F
figures as TO the cost in the past and
the estimated cost in the future Of
a Grating the public schools. II was es-
fimated that II will cost 81 500 900 10
'orato the schools outside of Whining
!: = and s10Oo.000 for those in VII
! ngton. making q total OF 81 500 900
lis is the estimate under the present
~. The amount raised in the State
l taxes outside OF Wilmington last
car was $3.50 900 and the State ap-
ropriated $685.. 900.
Sena tor Alice considered that without
the carrying charges carried in the
present school budger the schools could
he operated for at least $4,000 900 a
year in the entire State.
Cost Under Old System.
Governor Denney asked for figures
as to the cost Of operating the schools
under the old law for the purpose Of
comparison. These figures were fur
uished by DR.. Cooper, follows: ex-
penditures for year OF 1918. $437,253;
1888. s652 ,49S: 1919-20. $1.059,812.
and the budget for the present school
year calls for an expenditure of S1.462,-
209 and does not include any building
program.
Senator Short inquired what the 25
cents tax real estate would produce
in Wilmington II was explained that
tho total assessment in the State out
SIDE Of Wilmington is about 500. 100000
and in Wilmington about $108 900 900
This tax would produce about s25O.000
a year outside Of Wilmington and
slightly more in that city.
Suggestion of Bond Issue.
John S. Rossell OF Wilmington said
he realized that the people of Delaware
can stand a certain amount of taxa
ton after which il becomes a burden,
especially in the lower part of the State
Ee suggested that the State issue bonds
70 help in operating the schools and call
II investment for the future and
one for the benefit of the State. He
said the idea had suggested itself TO
Inn a method Of relieving ourselves
II The present burden Of taxation.
This suggestion did not meet with ap-
proval, as il was argued such an invest
meat would soon become more of a