ECOISrOMIC" SURVEYS OF COUNTY HIGHWAY^ IMPROVEMENT. 55 



as the bonds are serial in character. The principal and interest are 

 to be paid out of the ta:^ levied especially for that purpose. This 

 tax is assessed against aU of the property in the county, including 

 incorporated villages. 



During the year 1911 the county issued $33,000 of bonds with 

 which to pay the county's share of the cost of county highways, 

 amounting to 20 per cent of the total cost, thus making the total 

 bond issues $583,000. 



In order to meet the interest charges and take up the bonds as 

 they mature, the average annual outlay, covering the 50-year period 

 from 1912 to 1961, inclusive, will be $21,735. The county will then 

 have paid out a total of $1,068,500, of which $500,000 is the original 

 principal and $568,500 the total interest charges. If the sinking- 

 fund plan had been, adopted instead of the deferred serial method, 

 and 3 per cent could have been reahzed- on the sinking fund, the 

 average annual outlay for interest and sinking fund would have 

 been $27,432.74, or a total for the 50-year period of $1,371,637, 

 thus showing a total saving by the adopted plan of $285,137 over the 

 sinking-fund plan. It is probable that the county would have found 

 it more economical, however, to begin payments the fifth year 

 instead of the tenth year, and to distribute the payments over 25 

 years instead of 50 years, as the life of the bonds would then more 

 nearly approximate the duration of the improvements. Under such 

 plan the average annual outlay would have amounted to $34,660, or 

 a total for the 25-year period of $866,500. The average annual pay- 

 ments would have been $12,936 more than under the plan adopted, 

 but the total amount paid out would have been $220,000 less than 

 under the plan adopted, and the roads would have been paid for by 

 the generation which receives the greatest benefit from them. To 

 raise the $21,730, which will be the average amount required for 

 interest and principal under the plan adopted, will require an annual 

 levy of 1.72 mills on each doUar of the 1915 valuation, but if the 

 bonds had been paid for by the 5-25 year serial plan the rate would 

 have been 2.74 mills on the doUar. Furthermore, the 1.72 mills, or 

 its equivalent, must be levied for 50 years, whereas the 2.74 mills 

 would have been levied only 25 years. All highway taxes are levied 

 of town valuations, and the rates vary in each on account of the 

 variation in assessed values. In 1911 the rate varied from 4.95 

 mills to 19.1 mills, an average for the whole county of 8.37 miUs. 

 In 1913 the rates varied from 4.26 mills to 16.49 mills, an average 

 of 9.39 nulls. 



ASSESSED VALUATION. 



The equahzed assessed valuation of property subject to taxation 

 for road purposes in 1910, not including bank stocks, was $12,338,080, 

 and in 1915, $13,201,055. The assessed value of real estate in 1910 



