Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-03-03
Following is the paragraph to
which Prof Burr alludes.
Wants Uniform Accounting
To the Editor Of the Daily kennebec
Journal

10 the Editor Of the Daily kennebec
Journal
The recent recommendation of
Governor Baxter before the Maine
Legislature advocating uniform
system of accounting for the cities
and towns of the State should re-
ceive the favorable consideration of
that legislative body and also of
every citizen of the State. The av-
eraSe official in charge of the finan-
cial operations of a town is not an
expert accountant and moreover is
not expected to be. but the installa-
ton of comprehensive system of
accounting which would not require
the services of an expert to main
tain and which would be readily
understandable to the average citi-
zen. would do away with the I'M
certain methods now prevailing in a
great many of our cities and towns.
Uniform methods of municipal
accounting simply means a common
system OF classifying receipts and
expenditures and the charging of all
IKE expenditures under the same
general classficaNons by all the ci-
'leS and towns. AS the financial OBJ
eratlons of all the cities and towns
of Maine from kittery to Ouoddv
Head present practically the same
problems. a uniform system of class
lflcations coupled with a simple sys
tenn of control accounts could be
easily devised which would take care
OF the operations of the smallest
town as well as the largest CITY. This
would enable the smaller towns to
set up financial statements on a par
with the larger cities and surely a
h statement of its assets and liabilities
rs Just as important to town or
CITY as 1T is to any other business
corporation. Another factor enters
INTO this in the shape of the perma
nent investments made each year by
the cities and towns. Under the
present methods Of accounting. no
provision is made by the majority of
cities and towns for the segregation
OF monies expended each year for
permanent improvements. public
buildings, etc, these simply being
charged Off each year as current or
Grating expenses. This is a grave
mistake as monies thus expended
create proprietary interest and
should be included in the financial
statement for that year.
The advantages of a uniform svs-
tom Of municipal accounting are
readllN seen when one considers the
great value of comparative ANALYSIS
OF dl11erent financial years of a mn
hiclpalltN or between those of differ
eht municipalities. Under a uniform
system of classifications, towns and
cities will not only be able to com
pare their own costs of government
IN the various departments for any
gwen period but also to compare
.nelr own costs with those of other
towns ana cities of about the same
size and general character. The
great volume of dependable financial
statistics thus created would be in
Valuable to the Commonwealth or
Name. In this connection. if the
Legislature acts favorably on the
recommendation of the Governor. II
would seem to be desirable ia
change the fiscal years of the various
cities and towns to conform to that
under which the State now func-
tlons viz--from July / to June 10
inclusive. This would have a tend
ency to eliminate the confusion
when might arise from the fact that
so many OF our cities and towns are
operating under different fixed
periods as their fiscal years.
This seems to me to be one of the
most important matters which has
.oihe up lof the consideration of
the present Legislature and it is to
be hoped that before any definite
legislation is enacted. the matter
VIII be thoroughly gone into and
system prescribed that will not in
hict a hardship on our already over
taxed municipalities through the
fact that it imposes the obligation
TO retain the services of a high
priced accountant to maintain an
elaborate and intricate system of
accounts. In this connection, it
would seem that the accounting sys-
tenn OF the City of Auburn might
well be used as a model in drafting
any bill designed to carry out the
recommendation of the Governor.
The largest city in the State can do
no more for its citizens in the way
OF presenting intelligent financial
statistics than Auburn is doing and