The Waterbury Democrat., 1939-06-07

an error?
 A. No, I don't. @. You don't think you made an error?
 A. No, don't. Asked to Figure O. Will you please take piece of paper and pencil2 Then put down on that paper the amount of appro- priation for the budget. What is the total amount of money expended during that period?
 A. 39,S81, ,289.92.
 o. Now, MT. Brown, the total amount of appropriation less the total amount spent gives an over- expenditure of how much2
 A. $1Q,652,502.82.
 e. But because of these salary donation this budget-the original appropriation was reduced, wasn't it2
 A. No. The original appropriation contained the full appropriation of 100% of the salary.
 Further on:
 @. Now, MT. Brown up to this point we have agreed that the King sley company audit reports and your schedule are in agreement so far as the appropriations are concerned. Is that correct? A. Original appropriations, yes. @. So that bearing in mind the first column and second column where I put the $1,000, you're both agreed on that. Is that rightp A. Yes.
 Kingsley Company o. Now, in the first column which is the Kingsley company audit column, Kingsley company adds $100 as an additional appropriation which you have excluded because you said that it was illegal; so therefore, Kingsley company shows SLIGO and you still only show $1,000. A. That's right. Q. But you and Kingsley com- pany also are agreed as to the amount of money spent2 A. Right.
 O. So that Kingsley company shows $1,200 spent; you show $l,- 200 spent, so that you have an over- expenditure of $200 and Kingsley only has an over-expenditure of $100. Correct? A. That's right. Q. So that the net result based on this sample illustration is that by excluding this $100 item that I referred to the Kingsley company shows in their reports of additional appropriations $100 less over-expen- diture than you do. Now, will you refer to that surplus resource sink l ing fund illustratoin gave you? You both started out with $5,000. Correct?
 A. Yes.
 @. Kingsley company has trans ferred out of surplus $100.; You say it is not legal so you don't do that. So, therefore, when you come to the end of the year. you have S20O over-expended and Kingsley company only shows $100. But that over r-expenditure under the charter must be paid out of surplus. Is that correct?
 A. Yes.
 @. And isn't it true, MT. Brown that if there is 8 $200 deficit which is made up of the over-expenditures as shown by you, you take $200 out of surplus, you have $4,800 left? A. Naturally.
 Deficit Is Less
 @. Isn't it true thatt he King sley Co.,, audit reports which starts out with the same surplus you do but by reducing over-expenditures by $10o by making transfer during 1 the year, their over expenditure is less, their deficit is less. they come | to the same balance of surplus as you do?
 A. Naturally. That isn't my point @. I'm asking you a question. A. You illustrated yourself per fectly.
 O. Thank you. The point I make is that the surplus resource sinking fund is the same. Using your figures you come to the same conclusion with reference to the balance in the surplus whether you use that over expenditure in one total or whether you would make a transfer during the year and show a lesser sum o1 over-expenditure. Am correct?
 Question Correction | A. That is your point. Now, may I give my point?
 O. I'm asking the questions here MT. Brown. Is that correct? . A. That is correct. so far as Il goes.
 O. So that 1t makes no difference in the surplus resource sinking funo balance at the end whether you transfer during the year or whether you permit over-expenditures to ac- cumulate and use that surplus te wipe out the deflct at the end.
 A. It should make difference Surplus shows that it should be reduced. The surplus resource sink ing fund says that no portion o1 that shall be used to pay current expenses. That is my point. Int Kingsley audit report figures bal ance and they have got to balance of course.
 o. The point is. MT. Brown, tha' conceding that the charter says tha' they are not permitted to make these transfers, conceding the fac that they are not to make payment! for current bills out of surplus, Tn asking you this: Whether or no they do, isn't it true that at thu end the balance and the surplus vii be the same?
 A. The balance must be tn I same. If you concede these points why then, of course we are in agree ment.
 | e. It is also true that the var ious transfers of the additions C appropriations which have beei made in every instance we hav shown you-minutes of the Boar AA /@AkAK