Perth Amboy evening news., 1922-02-08

SOUTH AMBOY, Feb. S.-The
public hearing on the approved bud
get of the city for the fiscal year
beginning January 1 created quite a
little controversy in the council
chamber last night and brought
about the reviewing of some of the
history OF the doings of recent coun-
ellis. A large number of taxpayers
were present at the meeting.
Philip Downs was the first speak
er. Mr.. Downs freely quiZzed the
president of the council, laying par
ticular stress on the water works
situation of the city.
Twill the high rate on water at
the present time make the new plant
a paying proposition ," was one of
the questions asked by Mr.. Downs.
He also asked if a surplus revenue
were found at the end of the year.
would it be applied to paying off
debts outside of the water depart
ment or continue the water depart
ment and tend toward reducing the
rate for the coming year.
Mr.. Stanton answered him as fol-
lows: BASED on last years con-
sumption at the present rate es-
tablished the water department
should show n surplus revenue.
There is no way of telling what the
consumption of water will be this
year and circumstances might alter
the case to a great degree"
In explaining several items on the
budget Richard L. Carroll said the
reason some of the improvement
cause little effort was made to col
lect outstanding taxes. The council
went to the banks and borrowed and
used the money to pay off other
peoples d~elinquencies and that the
bond money vas used to pay Oft
current expenses. That is one rea-
son why the Main street improve
ment notes are on the budget, Mr..
Carroll said. He cited the law with
regard to appropriations. Another
instance where money figures is the
case of fourteen officers to police
one square mile of territory.
At this juncture Mr.. Stanton call
ed attention to the fact that the
former city auditor shared also in
an appropriation not anticipated.
The matter of 5000 paid the auditor
last year was what Mr.. Stanton had
in mind. Continuing Ifr. Stanton
called attention to the fact that Mr..
Carroll had not completed his year.
ly audit statement.
On motion of Councilman Lovely
the council proceeded with the reg
ular business of the evening. On
motion of Councilman Delaney the
budget as presented was adopted.
The item $42,335.00 inserted in
the budget as deficit in taxes from
1908 to 1921, was the next item
carefully considered. MI. Downs
stated he had not a clear conception
of the origin OF this amount. He
asked if there is not q law with re-
gard to the o~verdraft of %appropria-
lions. Mr.. Stanton said he was not
familiar with the law and the city
solicitor stated that there was a law
covering overdrawn appropriations.
Mr.. Downs continued with a series
of questions, which Mr.. Stanton con-
tinued to answer:
"In 1917, there was a law passed"
said Mr.. Stanton, compelling all
municipalities burdened with heavy
notes in banks, to add to the yearly
budget an amount covering the can
collation. of such notes. Consider
able opposition was received with
regard to the immediate payment of
such notes and the law was amend
ed to allow one-fourth of the
-
amounts paid off each year until
entirely free. In many cases other
municipalities took advantage of the
time and paid off the accumulated
debts in four years, this city did not.
Now the time OF grace has expired,
and it must be made up at this time
hence the S42,335.00 in this city's
budget"
Asked why such a deficit should
exist, when the amounts computed
for the maintenance of the city are
based on anticipation of money due,
or taxes, MI. Stanton claimed that
moneys received as interest on GER
tain improvements instead of being
used to pay off notes in the banks,
were used in cases where %overdraft"
occurred in departments of the city.