The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-12-07
BY RAY BLACK
United Press stan Correspondent
fCOpvright. 1872 by VInited prcsea

Copyright, 1882. by United Press
CHICAGO, Dec. 7.=Chicago is
winning its battle with tax strikers.
after a fight that finally reached
the United States supreme court.
For more than two years, the I'm
ancial ~predicament of the nations
second largest city has been acute.
In that time, school teachers.
policemen, firemen and other en-
ployes of county and city have gone
unpaid for months at a time, or have
been paid in scrip, which they could
cash only at heavy discount, when
at all.
The story about Chicago is
broke" went over the world. It was
easy to believe because everyone be-
lieved anything can and does hap
pen in Chicago"
Because no taxes were being col
lected, municipal funds dwindled
away, and, finally, the banks re-
fused to lend the city any more
money until the tax muddle was
Strengthened out.
IeHuuium swinging Back
NOW the pendulum begins to swing
back. Long lines of property own
ers stand in line at the county trea-
surer'S office paying their 1890 taxes.
Eventually, those for 1881 and 1882
will be paid, and the county and
city governments can meet their
pressing obligations, and begin to
reduce their debts.
No one in Chicago minimizes the
seriousness Of the immediate fnan-
cial difficulty. Cook county is five
months behind with its paw rolls.
The city is three and a half months
behind. School teachers have re-
ceived no cash for months.
Those who work for the city and
the schools have exhausted their
savings, borrowed to the limit of
their credit, and suffered actual p-i-
walton because the city could not
pay them.
The Chicago tax strike has been
one Of the most astonishing phen-
omena in American municipal his
tory. 1t dates back to a reassess-
ment of Cook county property be-
gun in 1923, but not completed until
1880.
Even today, only a percentage of
taxes for the last four years have
been collected.
Widow Loses Battle
Mrs. Lillian Cisar. an Oak Park
widow, refused to pay the tax on
her home on the grounds that the
reassessment set its taxable value
too high. The case dragged in the
courts. Other property owners
Joined the strike, determined not
to pay taxes until the legality of the
reaSSessment had been passed on.
The Illinois supreme court re-
Gently decided against Mrs. Cisar.
County officials then declared that
if taxes were not paid property
would be seized.
County Judge Edmund K. Jarecki
co-operated by reducing delinquency
penalties for those who would ~ct-
tie. Receivers for big properties are
being compelled daily to turn over
their available cash to satisfy tax
claims.
The United States supreme court
refused to review a similar case.
The tax levy for the local govern
mentS for 1880 was $500, 283, ITO.
Slightly more than As per cent of
that remains uncollected. A citi-
zens' committe headed by Fred W.
Sargent, is recommending that the
1888 tax levy be slashed drastically
and kept under 5000, 900 COO if pos
sible. That would be nearly one
third under the 1880 levy.
Getting on Feet Slowly
Through this economy, Sargent
believes, the city can get back on
its feet financially.
IF those who spend the taxpay-
ers' money will cooperate, we can
trim our budget. 1t is not so much
a matter of choice as of necessity
he said.
Mayor Anton j. Cermak plans an
attempt to reduce the 1888 city cor
porate budget below $48, $4,000,
estimated as necessary by the city
controller.
Thus, despite the fact $4,000 pub
lie employees in the Chicago area
are owed some $4,000, 900, despite
the fact taxes have not been paid
for several years, despite the fact
tax anticipation warrants have sold
recently for as low as 48 cents en-
the dollar, Chicago is setting its
house in order, and calmly prepar-
ing for the era Of prosperity that
the Worlds fair is expected to usher
in.