The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1876-12-07


payment. The existence Of the considerable
DaIances, since discovered to be due from
the general treasury to the school fund was
not only unknown to the board, but even
the Auditor of Public Accounts and the SID.
perintendent OF Public Instruction were igr
norant. OF their existence until their discoy.
cry more than half o year afterwards. All
the otheroficers here referred to could have
known the existence OF those balances limo
way except through the Auditor, who him-
self did not know 1T until long after the in
terest had been paid.
That such balances have accrued ut ali Is
due, not to any suppression OF facts or con-
scious error in the management of his Office
by the Auditor, of which there is no ground
of suspicion, but solely to the methods by
which he hasscontinued, with the apparent
sanction Of successive LegIslatu orat least
OF their examining; committees, tokeep this
branch Of his accounts ever since, their irf-
ception in 1870. For the system observed
in keeping the accounts OF bis Office the
Auditor is directly responsible to the Legisla-
ture, and the Executive has no authority TO.
change 1t. 4. Ina former message argued,
unavailingly; the existence Of grave defects
in the accounting system Of the government,
and urged its Reorganization.
In stating how these balances. arose it is
proper to premise that OF the property tax
revenues, %hich are statedly collected, the
Auditor has regularly paid tothe school fund
its full proportion with liberal measure; for
.one-tiith Of such revenues has been paid to.
the school fund in money, whereas other
important interests were forced to accept
reduced payments from the remaining four
,1fifths,3 which consisted in large part OF lcou-
pons. In, this respect the school fund is
especially favored, as it suffers no loss or
abatement by reason Of the receipt of cou-
pons for revenue. e. 80 t.E "
4 But yitfnow appearssth the balances.
which have been oyer-stated, grew out OF
the delinquent revenues such as were due
by defaulting oficers-in which the proper
ton of the school fund could neither be
ascertained nor collected except after many
delays, often extending Through several
years. am informed that the Auditor duly
instituted suits against the defaulters, but
that recovery was usually subject to the
delays incident to litigation in the courts,
while in some cases delinquent officers and
their sureties proved partially or wholly in
solvent, and in others they were allowedyb
special acts Of, Assembly, to pay the State in
its own bonds. 1t thus happened that the
delinquent revenues, when collected 1t all,
were usually received long after they had
become due, and often in irregular install
ments and small sums. In general, the costs
and expenses of collection in such cases
could not be known until the last instaIment
was received; and q division OF such receipts
between the school fund and the general
treasury was delayed until final settlement
was reached which would showthe net sum
I to be so divided. Thus itiwas that these
small balances, while awaiting the data
needed for, an accurate settlement and ,diVi-
sion, grew to their present size imDercepti-
bly, and unconsciouslv to the officer who
had them in CHARGE ,-..sf-t
In explaining the operation OF this sys-
tenn do not intend to be understood as APP
proving it.. On the contrary, it is, in my
opinion, wholly unnecessary and fruitful OF
representation and confusion in the public
accounts. The result OF it is that the balance
due the school fund on the revenue of 1870
was ascertained and reported only few
months ago. So insidiously has 1t worked
that, although nearly all the arrears to the
school fund accumulated before my term OF
| Office began, our predecessors do not appear
to- have suspected their existence. With the
best intentions on the part Of those who
conduct the system, its results surprise even
them. Unless changed by legislative action
it may produce like results in future. AID.
vocating reforms which Hacked authority
to enforce, I have: urged, ever since the
discovery OF these balances, that always
on the receipt Of any part OF the property
tax, great or small, or from whatever
source, it ought at once to be divided II
the due proportions between the schoo
fund and the general treasury, so that thu
several funds should never be intermiXed
IF, after thus dividing any sum received
from delinquent reFenue,i it should appear
from . subsequent ascertainment OF the eN
penses Of its collection that too much haG
been paid the school fund, then such over
payment should be. entered as a charg
against that fund to be liquidated in tn
next settlement. i But better way to keel
the school fund separate is to have 1t col
llected and accounted for separately by TIL
| tax collectors.
The following revised statement Oh tn
Auditor shows all the arrears due to tn
school fund, from first to last, also tn
separate balances for the years in which the.
respectively arose:
Balance due OH the revenue of 1870. s57,l03 9:
| Balance due on the revenue of 1871. 9G.55l e
| Balance due on the revenue Of 1872. 92;lS2 "
Balance due on the revenue OF 1873. lQS,7l4 9.
Balance due on the revenue Of 1874. 2s,179 o.
.@. 49, - -
Whole amount DUE. ................s3S2,7322 ~
There are no such arrears either for TIT
last or the present year. In short tlm
and without difficulty the whole amour
can be discharged out OF the incoming reve
| nue..
In disposing OF this subject by legislation
I submit that it will be pertinent to deter
mine these questions: Is it not in contic
with the design, both OF the Constitution
and the funding act, to collect any portion
of the school fund in taX-receivable cou
pons +? Inasmuch' as the coupons art
valueless when once paid into thu
treasury as part OF the revenue, ant
inasnuch as they had neither actua
nor prospective existence at the date OF, TIM
Constellation, could it have been the design
of that instrument to permit the collection
OF the school-tax In these or in any othel
funds except such aswould be! available fol
the support OF the schools? In providing
for this specific purpose !" an allnua! ta2
upon the property Of the State OF not les
than. one mill nor more than five mills OF
| the dollar" does not the Constitution IN
Il. $50 ,l.,l>l