The Waterbury Democrat., 1938-02-28

1 of sinking fund commissioner l which comprises the members of
 the board of fiance, shall ap-
 propriate the money in the re-
 source sinking fund, on or before
 June first of each year to pay the
 cash deficit of the city.
 All money derived or collected from sources of revenue of 1887
 and prior years is required to be
 paid into the resource sinking
 fund, and can be used by the
 board of sinking fund commission
 CTS to pay the floating indebted
 ness of the City of Waterbury,
 which by law is made 8 prior
 claim on the resources of the
 fund.
 I do not wish to create the im- pression that the board of sinking fund commissioners must wait until June l, 1888, to reduce all or any part of the cash deficit. This re- duction can be made at any time the board sees fit, and when there is money in the fund to reduce the deficit, but the funds appropriated must be from money derlved or col lected from sources of revenue for 1937, and prior years. "Ehe city clerk shall notify the controller to prepare an order pursuant to such vote, and said clerk shall promptly send the treasurer of said sinking funds a certified copy of such vote and mo- tify the treasurer to deposit with the city treasurer such funds as shall have been called for by such vote, whereupon the treasurer of said sinking fund shall make such deposit with the city treasurer. The treas urer of said sinking fund shall honor no order drawn upon him except pursuant to the provisions hereof. A certified copy of all resolutions providing for disbursements from the sinking funds shall be filed with the controller by the clerk of said board of sinking fund commission ers." The city clerk shall draw check to cover the same, and when countersigned by the mayor and controller, the bills shall be paid by the controller.
 Section 99 of the charter specifies that the first claim on the moneys in the surplus resources sinking fund is payment of the cash deficit and payment of floating indebtedness. No restrictions are imposed as to the time when such moneys may be used to pay off floating indebtedness. Moneys in the surplus resource sink ing fund, then can be used through out the year to pay of floating in- debtedneSS and the payment of floating indebtedness automatically reduces the cash deficit.
 It has been called to my attention that the board of finance and the board of aldermen in adopting the budget for 1888 set up as resource $300,000 to be obtained from the re- source sinking fund. l am of the opinion that this cannot be legally done because the amendment to Sec tion 99 of the charter states that no appropriation shall be made from the sinking funds to pay cur rent expenses during any fiscal year"
 The board of finance and the board of aldermen, no doubt, were under the opinion because Section 99C of the charter provided that If there be no floating indebtedness to make available for the appropriation in the budget of the ensuing fiscal year for the redemption of bonds of the city which shall have been sold to pay or fund any of the floating indebtedness of the city or the in- tereSt thereon or both, all sums that shall have been paid into said sink fund from May to Nov. l of the current year" the money in the re- source sinking fund could be set up in the budget as resource to re- duce these bonds or pay the interest thereon, not realizing that the cash deficit and the floating indebtedness had a prior claim on the resources of the fund.
 The proper procedure to follow ill the future is not to set up any money in the budget from this fund as resource. If later in the year it is determined that there will be no cash deficit or floating indebted ness, the board of sinking fund com missioners can appropriate money from this fund for the redemption