USA > Massachusetts > Essex County > Saugus > Town annual report of Saugus 1932 > Part 3
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The Selectmen were appointed to act as appraisers of town property.
ARTICLE I. Charles E. Flynn, Chairman of the Sewer Commissioners asked permission to submit his commission's report at the time when Article 24 is taken up. This was granted.
The Finance Committee report was received and placed on file.
Report of the Finance Committee to the Representative Town Meeting, 1932
Alexander S. Addison, Chairman
Paul A. Haley, Secretary
Frederick R. Sharp
Charles T. Anderson
Edward Gibbs, Jr.
Bertrand D. Westendarp
Charles E. Stillings Frank F. Humphries
BY PRECINCTS
Precinct I. Bertrand D. Westendarp
2. Paul A. Haley
3. Frederick R. Sharp
4. Edward Gibbs, Jr.
5. Charles E. Stillings
6. Charles T. Anderson
7. Alexander S. Addison
8. Frank F. Humphries
43
ANNUAL TOWN MEETING.
1932]
To the Representative Town Meeting and Citizens of the town of Saugus :
The Finance Committee presents herewith its annual report to the members of the Representative Town Meeting and citizens of the town of Saugus on the warrant for the annual Town Meeting of 1932.
Probably never in the history of the present generation has a Finance Committee been face to face with the unusual problems which has confronted the reporting body. Faced on one hand with the urgent need for maintaining the integral departments of the town at their highest point of efficiency and on the other with the equally outstanding necessity for a radical curtailment of the town's expenditures, the Finance Committee has been forced to devote weeks to a reconciliation of both factors.
We have taken the position at the outset that the great need of 1932 in Saugus is a radical cut in the tax rate. Last year the town of Saugus had to assume virtually $1,000,000 worth of property for the non- payment of taxes. This constituted approximately one fifteenth of the entire valuation of the town. The town, to couch the situation in different language, appropriated and spent last year $40,000 which was levied against property but not collected. To make the situation worse, the town borrowed this $40,000 to carry on the adminstration of the town. The money was borrowed in anticipation of taxes. But there are no taxes collected. Instead of money the Town Treas- urer has a fine collection of tax deeds in his office con- stituting a lien on nearly $1,000,000 worth of Saugus property.
This situation is grave ! To make matters worse it is con- servatively estimated that the town will fail to collect $60,000 this year, or another $1,500,000 worth of property. How long $12,500,000 worth of property can continue to carry the burden of $15,000,000 is a moot question particularly when there is no certainty that an additional million or more will not be added in the spring of 1933.
What constituted this situation ? The depression is, of course, chiefly responsible. People forced to live off the Board of
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TOWN DOCUMENTS.
[Dec. 31
Public Welfare cannot continue to meet tax bills. But there are many others who would have been able to meet their obliga- tions if the burden had not been so crushing.
The Finance Committee firmly believes that the worst thing which could happen to Saugus this year would be another tax rate approaching the $40.90 of last year. Again and again representatives of the Finance Committee arose on the Town Hall floor last year and warned members of the Representative Town Meeting that the town was headed for a $41 tax rate. Various political leaders, anxious to maintain political promises made to residents in various sections of the town, countered with the charge that the Finance Committee was unable to predict the tax rate. The orgy of spending continued. The Finance Committee begs leave to report to the citizens of the town that their prediction of a $41 tax rate was just 10 cents too high. We leave the verdict between the contentions of the Finance Committee and its opposition solely in the hands of the citizens.
But whether the citizens of Saugus want a lower tax rate or not they must curtail spending. Banking houses in Boston have served notice on the Town Treasuer that unless an economy wave is put into effect that no loans will be made during the coming year. From January to November the finances of any town are controlled by funds borrowed in anticipation of the tax levy. If the town of Saugus cannot obtain such loans it cannot continue to operate. Town departments and employes who are opposed to economy are merely breeding a situation wherein they will find their budgets not curtailed but eliminated and their salaries stopped.
Banking houses have insisted that the town cut its appropriations by $100,000 and maintain a surplus of $50,000. The Finance Committee has achieved both aims.
Last year the operating expense of the town of Saugus totalled $727,022.67.
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ANNUAL TOWN MEETING.
1932]
$34 Rate Possible
The recommendations of the Finance Committee for 1932 including an appropriation of $25,000 to be placed into surplus and unspent, supplementing an equal sum now in the surplus account, total $607, 479. 15 .
This we believe to be the most radical cut in the his- tory of Saugus.
The sharp decline of $119,521.92 in the operating expenses of the town, exclusive of the $25,000 to be unspent but placed in surplus, means that no less than $S should be cut from the present tax rate.
If the members of the Representative Town Meeting will back the recommedations of the Finance Com- mittee on the Town Hall floor, Saugus can have a tax rate of approximately $34 in 1932 against $40.90 last year.
This unusual cut should place the town of Saugus in the fore- front of the communities of the Commonwealh of Massachusetts. It will doubtless aid scores of Saugus people to pay their taxes and bring into the town thousands of dollars in revenue instead of the useless tax liens which are now cluttering up the treasurer's office.
We believe that the $34 rate is possible. Despite drops in the returns from the state income tax which the citizens must expect, the increase of new property built last year should care for any depreciations in town income which occur.
No Panic
The Finance Committee sincerely hopes that the members of the Representative Town Meeting will not attempt to further cut the recommendations of the Finance Committee. There should be no panic. Carrying the sword of economy too far may well ruin departmental plans which have been carried on successfully for years. The recommendations of the Finance Committee have been achieved after deep study. They are not political. There has been no favoritism. There has been, on the contrary, a determined effort to cut every budget as deeply as possible without interfering with departmental activities to the extent of crippling the department.
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TOWN DOCUMENTS.
[Dec. 31
Department heads will doubtless claim that they have been cut to the quick. This is to be expected. The majority of the departments of the town have cooperated heartily with the Finance Committee. Others, how- ever, have felt that holding to their last year's budget represented real economy. A glance at the manner in which town expenses have jumped over the past five years, however, will convince even the most particular that the town has increased the appropriations of many departments two and three times over this period.
The Salary Question
Due to the refusal of the School Committee to cooperate and their open declaration that they would close the schools rather than curtail activities, the Finance Committee felt the need of additional revenue to accomplish its desires. It asked the employes of the town to cooperate to the extent of making a voluntary donation of their salary of five per cent when they received from $1,000 to $1,500 and of 10 per cent when they received from $1,500 upwards.
This was not in any sense a wage cut. It was stressed as merely a voluntary donation for one year. It would have saved the people of Saugus $22,000, or $1.50 on the tax rate, and the plan was to use the money in the public welfare department and cut that budget a corresponding amount.
The Finance Committee feels that the request was just. Town employes have certain incomes which are not affected by depressions. They are, to use the vernacular, sitting on "top of the world" in this depression.
To make such a system effective, however, it had to be will- ingly accepted by all. We would not accept the voluntary donations of some and use force on the remainder.
After a period of two weeks of explanation, the Finance Committee became convinced that certain town departments, would not willingly accept the dona- tion plan. The Highway Department, Water Depart- ment, practically every town official, and many other
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ANNUAL TOWN MEETING.
1932]
isolated employees accepted it almost at once and made public their willingness to cooperate.
The Finance Committee abandoned the plan when it became obvious that it could be enforced only by the "big stick."
Other General Policies
The Finance Committee has put into effect two other minor general policies which have effected savings. We have abolished the practice of the town paying for the home tele- phones of town officials. Persons earning excellent salaries at the present time should be willing to pay for their own 'phone service. We have also cut from $150 to $100,the allowance granted certain town officials for the use of their cars. Gasoline oil, and tires have dropped in price.
In Conclusion
We wish to draw to the attention of the Representa- tive Town Meeting and citizens of the town, in closing, that we have endeavored to present a budget which will care for all of the more urgent needs of the town. We have felt that retrenchment was necessary and have eliminated all special work for this year. We have recommended a budget which will care for all of the town's essential needs and reduce the tax on the small home assessed at $4,000 by $32. We believe this to be the most distinct contribution which any Finance Committee could make in this year of grave necessity.
Action of the Finance Committee on the General Budget
Assessors
The Board of Assessors expended in 1931 a total of $7,745.63 from an appropriation of $7,755. The request of the board for 1932 totals $7,728. The Finance Committee recommends the appropriation of $7,100.
The items deleted or reduced in the budget of this department follows :
SEARCHING THE RECORDS-The Board of Assessors spent $403.75 for searching the records at Salem in 1931. Their re-
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TOWN DOCUMENTS.
[Dec. 31
quest to the Finance Committee of that year and the amount allocated at the Annual Town Meeting was $300. The Fin- ance Committee believes that it should be possible for the board to obtain all necessary legal work of this character for $300 and has reduced the board's request of $400 to this total.
DEPUTY ASSESSORS-Last year the board spent $1,200 for deputy assessors. The men were paid on the job basis rather than hourly. The committee believes that the payment was ex- cessive and is of the opinion that there are countless unemployed and capable men in the community who would be willing to do the job for less. The Finance Committee has, accordingly, deleted $300 from this item.
AUTO HIRE-Continuing its general policy of cutting the sum allowed town officials for auto hire from $150 to $100, the Finance Committee has reduced the total of this item by $50.
TYPEWRITER-The board requested $125 for a new type- writer. The Finance Committee cannot approve the purchase of any new equipment this year and has deleted this item from the budget entirely. The committee has since been informed that a machine in the possession of the board can be repaired for a small sum and recommends that this step be taken.
From other small segregations in the budget the Fi- nance Committee has deleted sums bringing the total recommended to the Representative Town Meeting to $7,100.
Board of Appeals
The Board of Appeals expended $198.17 of an appropriation of $200 in 1931. The request for this year is $200.
Of this total $150 is for the salary of the secretary. Printing, postage, and stationery comprises the remainder.
The Finance Committee recommends a total of $200 in 1932.
Board of Welfare
The expenditures of the Board of Public Welfare totalled $61, 110 in 1931. The request for 1932 is for $71,980.
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ANNUAL TOWN MEETING.
1932]
A large part of this increase is due to the Old Age Pension. This assistance did not start last year until Sept. I and cost the town $3,733.50. This year it is necessary to provide for an entire year.
The Finance Committee believes, however, that the Board of Public Welfare can well function for less money. The price of food and other commodities has dropped and it ought not to be necessary to give as large grocery orders as formerly. The city of Lynn is finding that a substatial cut in this direction will save the city $40,000. Certainly Saugus ought to be able to effect a saving also.
Last year the Board of Public Welfare asked for $90,000. Their actual expenses are shown to only $61, 110.
The Finance Committee believes that even with the large in- crease in the old age assistance item that the Board of Public Welfare can function this year at $62,000. This is the figure recommended.
Building Inspector
Of an appropriation of $1,305 in. 1931, the Building Inspector expended a total of $1,230.20. The request for 1932 is for $1.256.
From the item of transportation, the Finance Committee has deleted $50, bringing the total to $100. This is in accordance with a uniform policy established earlier in the season. A re- quest for $50 for office supplies has been cut to $25. The salary of $1,000 remains stationary.
The total recommendation of the Finance Committee to the Representative Town Meeting is for $1, 135.
Cemetery Department
As an example of the spirit of co-operation displayed in this year of stress by some town departments, the Finance Com- mittee points with pride to the budget of the Board of Cemetery Commissioners. The commissioners expended $7,666 in 1931 and request for this year $5,600. Even this total was voluntar- ily lowered by the department when the Finance Committee re- quested voluntary salary donations, Superintendent Charles E.
4
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TOWN DOCUMENTS.
[Dec. 31
Light offering to take a reduction of $200 in compensation and the laborers to take their proportionate reduction. Since this policy, unacceptable to some, the voluntary donations have not been deleted from the budget.
This reduction of 27 per cent over last year's budget is, the Finance Committee believes, indicative of the desire of the Board of Cemetery Commissioners to assist. It might be pointed out that Riverside cemetery last year is entirely self- supporting and has shown a profit in three of the last four years. The receipts last year were $8,692 against expenditures for all cemetery work of $7,666, giving a net profit to the town of $1,027.57. The board of commissioners estimate that the cemetery will take in $8,000 this year. This, assuming that the Representative Town Meeting follows the Finance Committee's recommendation in making the year's appropriation, will show a net profit for 1932 of $2,400.
Old Parish Ground
Last year the town meeting directed that $1,000 of the ceme- tery appropriation should be expended on the Old Parish Burial Ground in Saugus Center. The major project accom- plished was the relaying of the retaining wall.
This year the board wishes to do such work as may be required in this lot from their regular appropriation. No special appro- priation is asked for.
The Finance Committee was unable to find any items in the budget of the Board of Cemetery Commissioners which could be pared without impairing efficiency. The committee recommends to the Representative Town Meeting the appropriation of $5,600.
Engineering Department
The town of Saugus last year appropriated $2,280 for the establishment of an engineering department within the depart- ment of public works. During the past year the engineer has done considerable valuable work, particularly in the plotting of new construction and the location of water gates, and the Finance Committee views with regret a situation which forces them to the conclusion that the retention of the engineer on full time is no longer advisable.
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ANNUAL TOWN MEETING.
1932]
The committee, however, is faced by the fact that the town will do new construction work this year. There are no side- walks to be laid out and no street grades to be attained. If the recommendation of the Finance Committee is adopted by the Representative Town Meeting, there will be no new construc- tion of any nature and the Department of Public Works will de- vote its time solely in repairing streets and caring for the normal needs of the Water Department.
The committee, accordingly, cannot conceive the advisability of retaining an experienced engineer at $40 per week. In the event that any grades are to be established, the Superintendent of Public Works should be able to attend to this small detail.
In considering the abolition of the department, however, the Finance Committee faced two facts which merited their careful consideration. They found that if the department were entirely abolished, that it would be necessary to add $500 to the Board of Assessors' budget to pay for engineering services. They also found that the engineer is now in the midst of invaluable work in water gates and charting them for future reference.
The Finance Committee is convinced that it would be expedient for the town to appropriate $1,000 for use of the Engineering Department, thereby enabling the Board of Selectmen to retain the engineer at suffi- cient periods to enable him to do the work of the Board of Assessors and complete the work on water gates.
As the engineer has been working during the past weeks and it would be impossible to abolish the posi- tion before April 1, an appropriation for salary is imperative.
Finance Committee
The expenditures by the Finance Committee in 1931 totalled $1,151.38. The bulk of this total is consumed in charges for printing the various committee reports preceding each regular or Special Town Meeting.
The request of the Finance Committee for 1932 is $800, of which $250 comprises the salary of the secretary.
[Dec. 31
TOWN DOCUMENTS.
Fire Department
Operating expenses of the Fire Department, exclusive of salaries, totalled $8, 883.74 in 1931. The Finance Committee recommends the appropriation of $4,260 in 1932.
The Finance Committee has made drastic reductions in the estimates of the Board of Fire Engineers. The request of the Board of Engineers for the ensusing year totalled $9,815.
It is the opinion of the Finance Committee, how- ever, that the various reductions in the budget of the Fire Department will not interfere with the efficiency of the department. During the past few years the operating expense of the Fire Department has in- creased by leaps and bounds. In 1927, the total expen- ditures were only $3,600 and the Board of Fire Engi- neers turned back to surplus over $600. This is a year when the town must get back to rock bottom and when many things permitted in prior years must be entirely eliminated.
The Board of Fire Engineers has been acquainted with the action of the Finance Committee on the various items in the budget and has not registered general disapproval. It is the committee's hope that the board will do all possible to carry on the department within the figure specified by the committee.
The committee has made the following major changes in the budget :
Apparatus Repairs
The Board of Fire Engineers requested $700 for apparatus repairs this year. Last year they spent only $107.45. The equipment is believed to be in excellent condition and the board's request includes the cost of installing a booster pump on one piece of apparatus and an improved steering equipment on another. The Finance Committee does not feel that this is a year to purchase unnecessary innovations. That the depart- ment has been functioning successfully without this equipment in the past would indicate that it would be able to do so in the future. The Finance Committee has deleted $600 from this item and recommends $100, which is comparable with last year.
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ANNUAL TOWN MEETING.
1932]
(jasoline, Grease, and Oil
Although the department spent only $211.97 for gasoline, grease and oil in 1931, they estimate that this expense will total $350 this year. With this reasoning the Finance Committee cannot concur. The committee has deleted $150 from this item and recommends $200.
Beds and Bedding
The board spent only $9 under this item in 1931. They re- quest $75 this year. The Finance Committee recommends $10.
Labor on Fire Alarm
Last year the Board of Fire Engineers expended $81.20 for labor on the fire alarm. The board was unable to tell the Finance Committee how the system was in any worse condition this year than last season. Yet they requested $300 for the item. The Finance Committee has deleted $225 and recom- mends $75.
Fire Alarm Boxes
It has been the custom of the town for several seasons to ex- pend $300 a year in fire alarm boxes. The board of engineers asked the usual sum this season. The Finance Committee, however, believes that this is an item which may well be elim- inated entirely for this year. The town will lose nothing if it installs no fire alarm boxes this year. We have deleted this re- quest from the budget.
Labor on Hydrants
The board expended $59.40 in 1931 for shoveling snow away from hydrants. This year they request $200. The Finance Committee suggests that this work be done by members of the fire department and has deleted this item entirely from the budget. In these days when wages are being cut in all lines of industries, men with steady positions such as members of the fire department enjoy ought to be willing to shovel snow away from hydrants when otherwise disengaged instead of the town being compelled to hire men to do the work.
Equipment for Men
Last year the board expended $110.58 for equipment for men. This year they request $200. No reason has been given
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TOWN DOCUMENTS.
[Dec. 31
for the large increase. The Finance Committee recommends $100.
Fire Alarm System
The department requests $500 for equipment for the fire alarm system and $500 for repairs on the system. The Finance Committee recommends $100 for equipment.
Call Firemen
Chief Mellen R. Joy of the department has informed the Finance Committee that the town's 10 call firemen are of doubt- ful value. He protests against their failure to respond to alarms and has impressed the committee with the need of a radical departure from this system.
The Finance Committee finds that the fire depart- ment is today at its highest point of efficiency. The committee believes that it would entail no danger to the town and would not injure the department's standing to operate a year with fewer call firemen. The present group have only been on the force for the past three years and previous to that time the town operated for some years with only two.
The majority of the Finance Committee recommends that all but three call firemen be eliminated and has included $575 in the budget to pay the salaries of these three men for the entire year and the remaining seven for the month of January. The committee notified the board of engineers late in that month of their intended recommendation and suggested that seven men be dropped as of Feb. I.
On this question Mr. Edward Gibbs, Jr., and Mr. Bertrand D. Westendarp are recorded in the negative.
Fire Hose
The Board of Fire Engineers request $1,000 in their budget for the purchase of hose. The Finance Committee believes that it is sound judgment for the town to purchase this amount of hose annually until its present worn hose can be replaced. This item has been left in the budget.
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ANNUAL TOWN MEETING.
1932]
Sick and Injured
The board requests $1,000 for the payment of sick and injured. The Finance Committee has deleted this item from the budget entirely. Other than those in- jured in the line of duty, the Finance Committee be- lieves that there should be no necessity of the town hiring additional men when someone is sick. Other members of the department, normally enjoying time off, should be willing to fill in. The committee does not feel that the town should be forced to hire men to fill in for those who are ill. If this is to be done, there should be, the committee feels, a definite alloca- tion of the amount of time that department members can draw pay when ill. The committee feels that this system should also be put into effect in the police de- partment. The Chief of Police should not expend the town's money in hiring specials when men are ill ex- cept in cases of grave emergency. These are days when the taxpayer's pocketbook must be protected as far as is possible with good judgment.
Painting Hydrants
This is a new segregation which the board has placed in its budget this year. The Finance Committee does not believe that the request appropriation of $225 for painting hydrants is necessary, however, and has deleted the item from the budget. This, also, could be done by members of the fire department in their spare time.
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