The Laurens advertiser. (Laurens, S.C.) 1885-1973, 1922-12-06
CITY FATHERS
DISCUSS FINANCES

WaOUUOO gAIYHlYUEO
JOINT MEETING OF CITY COUNCIL
AND TWO COMMISSIONS HELD
MONDAY NIGHT.
IN Joint meeting of city council,
the water and light commission and
the bond commission in city council
chamber Monday night financial af-
fairs OF the city were discussed with
a yiow Of arriving at definite plan
Tor retiring the outstanding bonds
when thoy become due. Some pre-ar-
ranged plan for dealing with this
phase OF city finances, explained
|LMayor Dial in opening the meeting,
became necessary when it was point
ed out to the city council by MI Wal
lace, who recently audited the city
BOOKS, that through failure OF past
city councils to lay aside the annual
sinking fund a deficit in the sinking
fund had been created which would
prevent the full payment Of the bonds
when they became due unless a large
appropriation was made yearly for
thls purpose or unless refunding
bonds be issued at maturity
Mr Wallace was present at the
meeting Monday night. Asked as to
the amount necessary to be appropri
ated each year to meet all Of the bonds
when they became due, he said that he
estimated the annual amount to be in
the neghborhood Of $4,000 On fig
ures presented by Mr. McCuen, of the
water and light commission, it was
shown that the appropriation would be
approximately $4,000 if the original
schedule We're adhered to and the
present deficit be ignored. Under that
plan no attempt would be made to
make up the present deficit in the
sinking fund, but refunding bonds
would be loated to make up the deficit
when the bonds became due The ex
act amount of the deficit was not dis
closed at the meeting. The total bond
cd Indebtedness was brought out as
$296,5O0.
MIR. NcCuen. said that the present
bond issues had been provided for un-
der suggestions from the Business
League and that he felt that the league.
should be consulted as to what meas
ures are to bo taken for their retire
ment in view Of the fact that to retire
all OF the old and new bonds at ma
turity might require a larger levy for
the next few years than the league an
ticipatcd when the bonds were recon-
mended. The view of Mr.. McCuen was
acquiesced in and the matter carried
over until another meeting.
Council and the water and light COM
mission also discussed the question
or the commission assuming respon-
slbility for payment Of interest and
sinking fund for past bonds for wa
ter and lights as well as the new
$oo,ooO issue. An animated discus
sion of this question: took place. The
commission took the position that it
could not meet these payments in cash
while the city was only having a
"book-charge" made against it for the
water and lights it was using. AS a
matter of accounting, it was decided
that book charges should be made
against the commission for these items
and that settlement in cash be post
poned until the commission is able to
meet the payments. Members of the
commission intimatcd that this might
be very long wait as the water and
light department was showing an an
nual loss of around $4,000 before the
commission took charge.
Action on the disposal OF about
$4,000 In accumulated interest and
premiums on the bonds recently sold
was postponed. Mayor Dial recon-
mended that no expenditure Of this
money be made, but that it be placed
in the hands Of the sinking fund COM
mission to apply on future payments
| Of interest. al