Toledo union journal. [volume] (Toledo, Ohio) 1942-current, 1948-06-04

The payroll tax ordinance originally set up for
possible collection of three million dollars annual
y The collection has reached about million annually
yond that original figure ordinance was drafted with al
locations of the proceeds aside definite
The final ALLEGATION for surplus and above the
amounts needed for the other ALLEGATIONS was to be added
the second ALLEGATION the bond retirement fund Since the
ordinance referred the people voted on by them the
Council has ordinance in any respect
Inc present discussions are for the of preparing
poal to present to the people the election
The Toledo Blade cynical attitude toward the
discussion and has created confusion the public
II the Blade would set forth what their idea might for
plan even 1t be for retention of the etup
IL would receive thoughtful consideration think that this
point all criticism should be O constructive nature
In this issue there two defined schools of thought
mere is plenty to be said for the logical arguments
sides Because there is logical reasoning in both spheres
OF opinion good compromise probably the most logical
answer The two schools of thought first those who believe
that after all inside debt requirements are met surplus should
be applied to financing of public improvements
second those who believe that all surplus applied
the city's outside debt.
think that here should pause in our discussion for
definition of what is meant by outside debt and
public Improvement programs There has been much confusion
and about the meaning of these terms which
the business of city finance
The city has three kinds of outstanding debts over and
above current bills This derives the fact that the CITY
must operate financially under the provisions the
constitution and statutes These debts all
bond issues There inside debt bonds outside
debt bonds, and mortgage bonds.
Inside debt bonds those which by
outo of
the regular ALLEGATION to the city general operating
from real estate tax The constitution
Vdes that real estate leves operations of county
townships Schools and city combined
OF taxation $1,000 thousand dollars During
the depression heavy demands upon
relief and WPA sponsorship Taxes being collected
the city had to borrow the the citizens
This resulted in debt of millions dollars which
only be paid from general operating funds legislature
did allow, by the terms of the the refund these
bonds they due each This
tnuation of the debt with no real write off
Outside debt bonds those were issued by author
W of vote of the people for financing public improvements
These paid special outside the mta
toon and these eVes authorized
themselves Many millions of dollars outstanding
these bonds but the people have their payo
Sons The borrowed these projects
the Anthony Wayne HiLevel Bridge the cys
Anthony Wayne Trail various grade crossing elmnaons
many other like projects
Both inside outside bonds are full maturity bonds
and not caabe In other words pay
the full period of the bonds penny by calling
them in.
Mortgage bonds which were to
finance city owned and producing
paid for out of the of the operation
paid for from form of taxation direct
mortgage against the property of that particular operation
encumbrance upon general obligations
the city The outstanding bonds in this category which
financed the Lake Water Supply
and Improvements of the Water Department which
financed the improvements on the present airport
Space will not permit to finish this in full
SO will sign off for this week and all of you
this same space the editor permitting.