The times-news., 1936-08-17
REFlJNDINC OF.
DEBT AFFECTS
CURRENT LEVY
Reduction Is Made in Face
Of 100000 Shrink
age in Valuations
2 PER CENT INTEREST
ON BONDS PROVIDED


in tabulated form will be found on
page g. -...
Henderson county's countrywide
tax rate for the fiscal year from
July /, 1886, to July 1, 1887, is
SO cents a $100 on valuation of
approximately $20,200,000.
In announcing its annual budget
estimate today, the board of coun-
ty commissioners pointed out that
the county's refunding plan pro-
mulgated recently becomes effec-
tive this year, and that the budget
includes levy of 2 per cent with
which to meet interest payments.
Last year, only nominal sum was
collected for debt service.
The new countrywide rate is 2
cents lower than last years al
though tax valuations have again
shrunk, this time approximately
100000. Since 1880, the levy
has been reduced from $1.70 on a
valuation of $29,615,7S7-these
reductions totaling 81 cents, or
almost .one-half the 1880 rate,
while property valuations have de-
clined approximately $9,415,000,
or almost one-third.
In addition to the relief afford
ed taxpayers by the new county
wide levy of SO cents, the debt
refunding plan permits q reduc-
ton in the Balfour school district
rate from 16 cents to 10 cents.
Other township and district rates
remain the same as last years, as
these districts are subject to spe-
cial levies for bond retirement
and are not affected by the re-
funding plan. Under the provi-
sions of the refunding plan, only
the interest of the county's bond
ed Indebtedness is required to be
paid at 2 per cent until July l,
1899. The rate then rises to 2k
per cent for 3 years, 3 per cent
for 5 years, and a per cent for B
years, thus completing the period
over which reductions are made:
The interest thereafter until all
bonds are retired will be 4% per
cent, all high-rate bonds having
been retired first. Principal pay
ments on bonds will begin July l,
1888.
Bonds affected by the 2 per cent
rate provided in the current bud
get estimate total $2,848,000, and
there are in addition $160,000 Of
bonds which will be retired with
funds owing by the state, the
county being required to pay only
the interest.
MUCH OF BUDGET MONEY
IS NOT TAX.RAISED
The budget estimate released
today shows total requirements to
be S296,S22 of which $119,500 will
come from sources other than the
tax levy, the principal source be.
ing state payments on bonds and
interest. The 88-cent levy, it is
estimated, will yield approximate
"The 1996-37 tax levy might
we'll have been left at least years
figure, 90 cents, as there will be
difference of only about $4,000 in
actual receipts" a board member
said today, "but the commission
ers felt that since reduction
could be made, even in the face
of reduced valuations, the taxpay-
ers in the county should be given
the advantage Of it."
1t was explained that while a
reduction of 2 cents in the tax
rate should, theoretically, produce
about $4,000 less revenue, anticl-
pated collections of about 75 per
cent will reduce the actual receipts
about $4,000. While tax collec-
tions in recent years have fallen
short of rs per cent, improved
business conditions are expected
to raise the percentage OF collec-
tions to rs per cent this year, 1t
was said.