The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1874-01-09
THE PRESS.
FRIDAY MORNING, JAN. 0, 1874.
Governors Address.

by our fellow-citizens, it is fitting that we
should recognize our dependence npon that
Being who is over all and above all. We
have cause OF devout gratitude for the Divine
favor which has been shown towards the
State and the Nation during the year which
has just closed. In no period of the history
OF either, has our advance in population, ma
terial prosperity and other conditions of true
greatness, been more conspicuous. We may
| well congratulate ourselves that so marked
progress has been made in healing the wounds
of the terrible struggle for national existence,
and in re-uniting all sections of our beloved
country in a.common devotion to a Republic
preserved from enemies without and within,
redeemed from the curse of slavery, and con-
secrated to the grand work of maintaining
the equal rights of every citizen.
| NECESSITY FOR ECONOMY.
The financial panic which so recently
threatened to cause serious arrangement to
the business of the country, has not been
without its influence for good. 1t has given
| new emphasis to the great economic law,
that the savings rather than the incomes of a
| people, are the measure of their material
prosperity. The careful observer of the ten
dencies to extravaganza so notable every-
| where can but recognize the truth that econ
ony is the one word which needs to be spok-
en- and put in practice in private as well as
| PuDHS SiISiCos fOIGuuduSly the wave OF 6X-
travagance has not been felt in this part of
the country with so much force as elsewhere.
Although the public affairs of the State have
been managed with such exceptional pru-
dence and integrit,, that the opportunities
for retrenchment are few; yet you will, un-
doubtedly, consider it an imperitive duty at
this time to study the closest economy and
to confine your preparations within as mar
row limits as is consistent with the public
In, o1v oarsI~ H.
public expenditures, and in determining such
cases of compensation of public officers as
may arise, you cannot fail to recognize prn-
ciples which are at once the safety and glory
Qf popular government,-that frugality and
simplicity are essential characteristics of free
institutions; and that official positions should
be sought less for the salaries attached to
them, than for The satisfaction and honor
which come from faithful public service. In
every endeavor to maintain and promote the
highest efficiency, economy and integrity in
all the departments of the State government.
you will have my earnest cooperation.
THE STATE FINANCES.
The report of the State Treasurer shows
That the receipts of the State Treasury dur
ing the year ending Dec 81, 1873, including
1919, 762.0S on hand Dec. 31st, 1872, was
81, 79S, ,SS4.45, and the expenditures during
the same period 81 1862, ,453.7 leaving bal
ance of S436, ,430.6S in the Treasury at the
close OF the year, most of which will be need
ed to meet obligations of the State that will
mature at an early date. OF the receipts,
S131 ,293 was the tax on Savings Banks. S3,-
666 interest on deposits, 50, $50 duty on com
missions, 81, Ill balance paid into the State
Treasury by the Insurance Commissioner.
1868 license fees from hawkers and peddlers.
and nearly all the remainder, reaching about
million and quarter dollars, were from di-
rect taxation. Of the expenditures. $43O.-
566 was on account of interest, and S214.7OS
on account Of sinking fund and principal of
public debt; and about $4,000 for pensions
OF soldiers and aid to soldiers orphans, MAX
ing direct expenditure of about $685., PA
arising from the late war. The sum of S374.-
97S was also paid from the State Treasury to
towns for common school purposes, and re-
duced municipal taxation to that extent.
This left about 100000 as the expenditures
for general State purposes.
THE STATE DEBT.
The portion of the public debt which came
due in 1873, and was presented to the Treas
ury, amounting to 1000, has been paid and
the sinking fund for the redemption of the
debt as it shall become due, has been increas-
ed during the year to $1,255, ,746.' After de-
Quoting the sinking fund, the State debt On
the 1st of Jan. 1874, was S., ,SS2, 1854, a reduc-
ton OF S2S4,499 during the past year and OF
81, 1866, ,746, or more than one fourth, since
the close of the war. At the present rate of
accumulation of the sinking fnnd, the State
debt will be met as it natures, and entirely
extinguished in 1889. As the sinking fund.
invested in United States and State securities,
is already over million and a quarter dol
lars, and is constantly increasing. 1 suggest
whether some additional provision for its
oversight and security would not be adyis-
able.
SOURCES OF TAXATION.
1t will be observed that up to the present
time, almost the only resource of the State to
meet both ordinary and extraordinary expen-
ditures, has been direct taxation. The State
tax last year was five mills on the dollar, but
it is the judgment of the Treasurer that the
tax may be reduced the present year to four
and a half mills, provided the legislature shall
make no unusual appropriations. 1 most
earnestly urge, however, that you should con-
slider whether. it is not advisable to devise
some method other than direct taxation to
secure a part of the revenue required for
State expenditures, so that the rate of taxa
tion may be still further reduced. Pennsyl-
vania finds no difficulty is securing sufficient
receipts from Indirect taxation to support the
State government. A large share of the
State expenditures of Massachusetts, is met
by the proceeds of State tax upon the valu-
alton of the corporate stock of railroad and
other corporations over and above municipal
taxation for real estate and machinery, and
upon the business of Fire and Life Insurance
Companies. Without indicating more in de-
tail what sources of revenue may be made
available to this State, desire to call your
attention to the subject, and to suggest a
careful inquiry and investigation, with view
of devSing methods of lifting some portion
of the burden of taxation from real estate.
Such policy would give needed encourage
ment to our agricultural interests, and pro-
mote the development of the resources of the
State.
INSURANCE DEPARTMENT.
Although the object sought in establishing
Department of Insurance, was simply to
secure such supervision of the business of
insurance as would protect the public inter-
ests, yet the fees received for licenses have
not only paid the salary and expenses of the
Commissioner, but also yielded to the State a
revenue of about eleven hundred dollars, for
the year ending July 1, 1873. The indlca-
tiOns thus far are that The revenue for the
present year will be as much The DEPART
ment has conferred great benefits upon the
public by preventing many doubtful compan-
les from doing business in the State, and sup
plying needed information on insurance top
ic, by mcane of its an.lnal rapnrts
STATE INSTITUTIONS.
The reports of the Inspectors of the State
Prison and Trustees of the Reform School,
which will be promptly laid before you, con-
tain information and suggestions of mu h i'm
portance. The report of the Trustees of the
Insane Asylum has not yet reached me. For
the highest success of these important State
institutions, it is important that, through
your several committees intrusted with their
interests, you should make your oversight of
them not simply brief, formal visitation.
but thcrongh and careful annual inspection
and investigation, in the early part of the ses-
sion when at least port on of the members
of each committee could give the time neces-
sary for this work. Thus you would bring
the people into closer relations with these in.
stitutions, remove abuses, if any had grown
up, disarm criticism and inspire that gener-
Gus confidence on which their success so
largely depends.
THE STATE PRISON.
According to the report of the Inspectors,
the earnings of the convicts have betrayed
the expenses of carrying on the State Prison
during the year ending Nov 80, 1873, and
yielded to the State net profit Of $6,544. .9S,
which has been added to the working capital
of the institution. The salaries of the War
don md Tpcnanforc ~,