The Birmingham age-herald., 1922-05-21

The school revenue for
 1921 amounted to. sl,343,244.S The amount expended for
 schools for f92l... I,316,670.Gi
 The available building funds on hand are approximately s1.s50,0 ,0o0. This includes the s1.ooo,000 of unsold school bonds. which as before stated, are to be sold about october 1. this year. This sf.650.000 is to cover various projects under way, includ-. ing several elementary schools and the first unit only of the Phillips High school
 Tax Limitation and Sinking Fund
 The constitutional tax limitation Is $1.50 per $100 over and above the special school district tax The pres ent tax levy is s1.2o per s1oo and if both of the proposed tax increases are voted. the tax levy will be s1.50 and no further increases in same can be made under the present state con stitution.
 The interest and sinking fund levy during the past has varied. but at present and for some time, has been 50 cents on each $10o. The proposed increase will provide for levy of s5 cents on each $100
 Bonded Indebtedness
 If the bonds and the additional sinking fund provision is voted, it is pointed out that the 15 cents per $100 will yield on present values a little In excess of $21o,0o0 year, while per cent interest on s7.000,0o0 of bonds would be s35o.o00 per year. It Is pointed out that the city ordinance calling this election does not propose that this Is cents per s10o for sining fund purposessis to be particularly ap- rlied to these bonds. but states that 1t is to bo used in addition to the amount already levied for sinking fund pur- poses, making a total of 65 cents and your committee finds that this 65 cents provision Is sufficient to retire at maturity all of city's bonded indeb- ecness, including the new 37,000,ooo provided there is sufficient in- crease in tax values. The 65 cents on basis of the present tax values with cut any increase whatever would produce more revenue than necessary to pay the interest on all bonds, but there would not be a sufficient mar gin for retiring at maturity all the bonds. in which case they would have to be refunded. The statement recent ly issued and appearing in the news papers of the city assuming an annual increase in tax values of $7,00o,00o Would provide sink1ng lund revenue sufficiently to pay all interest and retire at maturity all bonds including the s7,000,00o and in 30 years time, would accumulate balance of many of dollars in the sinking fund.
 Your committee further finds that the s5 cents sinking fund provision would pay all interest and retire at maturity all of city's bonds and leave a small balance in the sinking fund if the tax values did not Increase an rually more than S3.000,0oo except during tho years 1880, 1881. 1932 and 1883. when there would be small in the sinking fund nec- essitating the refunding of small part of. the maturities in those partic- ular years; the maturities in 1850 alone amounting to S1.671.500. After that time the sinking fund would speedily re-ertablish itself. adding very substantial amount each year to its reserve.
 Provisions For Further Issuss
 advocates and opponents of this bond issue alike agree that $7,0o0.- 900 may not be sufficient to take care of all the needs of the city for