Evening star., 1932-05-12
WATER SYSTEM FUND
CUT, DESPITE TAXES
LEVIED TO RAISE IT
Continued From First Page.)

tSOIlIlIlueQ FTO1Q FuSL HdBe.J
more serious and adding to the ultimate
cost of the improvements.
Position Reversed.
Another strange factor in connection
with the reduction in the water funds
is that the House completely reversed
the position it took two years ago when
1t raised water rates to enable the
Water Department to modernize the
distribution system. The progress that
has been made with the added revenue
is now destined to be stalemated be-
cause the House wants to create a sur
plus in the water fund under the guise
Of an economy move
Twenty-Five thousand dollars of the
80,550 Topped off the funds sought
by the Water Department came out OF
the maintenance item-a continuing
item essential to the proper operation
of the water system. This item includes
funds for the maintenance and opera
ton of the distribution system, the
purchase of equipment and materials
and the payment of per diem wages.
The House gave as its reason for
cutting this item that it was in line
with the policy to require economies
where large quantities of materials and
supplies are to be purchased. Cast
iron pipe and lead are the chief supplies
purchased by the Water Department.
and the prices of these materials, it is
pointed out, have been so low in the
last year that further reductions cannot
be made without the manufacturers
virtually giving these materials away.
Mostly for Labor.
The maintenance item, on the other
hand, Is expended almost entirely for
labor Records of the Water Depart
ment show over a period Of years that
expenditures from the maintenance
fund average rs per cent for labor and
rs per cent for supplies.
Following this proportion In absorb
ing the $25, 600 reduction, District off,
cials explain it would be necessary to
reduce the labor cost $18,750 by dis
charging skilled employees and by $3.50
in the purchase of supplies.
The seriousness of the cut In the
maintenance item is further emphasized
by the fact that the Water Department
Is now behind on its maintenance work.
This is due to the near depletion early
last Fall of the maintenance fund ap-
propriated for the current fiscal year,
CSuAICQ LII l4lC AOANC VA AeAHON - -
being put on a five-day week schedule.
Another reduction of $25,000 was
made by the House in the item for ex-
tension of mains into newly developed
sections. The cost of this work Is
borne largely by the property owner,
since approximately SO per cent Is re-
turned to the Water Department as a
result of assessments. Moreover, the
extension of mains makes 1t possible
for the Water Department to increase
it's income through the increase OF water
consumers and water taxpayers.
Cut by $4,000.
Yet the House saw fit to trim $25,-
600 from this item, although 1t had
been previously reduced by the Water
Department under the appropriation
for the current fiscal year in anticipa-
ton of the lack of demand for new
services in 1888 because of the lull in
building activities.
A third cut of $25, 1000 was made in
he item for replacement of old mains,
the amount having been reduced from
the $150,000 recommended by the Bud
get Bureau. This fund is used princi-
pally for the replacement of old mains
generally of small diameter, which have
been in service for a number of years
and whose capacity in many cases is
exceeded by present-day demands. In