Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1880-01-15
IOWA..
Biennial Communication Of the Governor
to the General Assembly.
Condition OF Public Instilu.
ttOns and the State
Finances.

GENTLEMEN OF THE GENERAL. ASSEMBLY:
In pursuance Of custom, call your attention
to the reports Of the several State officers and
institutions, which show in detail the condition
of the affairs of the Stale for the biennial Pc
riod which has just closed; coupled with such
recommendations as seem to me to be for the
advantage Of the State, and for the interests Of
her people.
THE FINANCES
The Auditors report is herewith submitted,
showing detailed statement of the receipts AID
expenditures Of the State for the biennial
period; also the condition of the banks and
insurance companies doing business in the
State, together with his suggestions in regard
to the revenue taxes, ETC., etc.
The rece pts Of general revenue were 81
143, 077.99; the dshur .emento by the Treasurer,
including 1928 81 of interest paid Oh war
rants. amounted to S., l43, Us 81; exceeding the
receipts $25. So, just the balance on hand al the
beginning Of the term. The receipts of the
period exceed thu Sc of the one before by $780,
6U734. The principal soui ces of this increase
are foundi in the tax levy, which, int ludnS IN err
est thereon, shows an augmentation Of $53, 4f9 =
90: in the counties insane dues, where the gain
is $lG1 ,59717; in receipts from the Fl. Madison
Peniteutiary, new item, Of $l5,OO1.40; and
in Orphans Home dues from counties, now
item also, of 10,S4a.95 A heavy falling off
in taxes from insurance companies, amounting
to $23,62891, with decrease in few other
items, somewhat offsets the gains, 30 as to
leave the net increase as indicated.
The expenditures proper of the term are
shown in the warrants issued-$1 ,944, 992 AZ
and in mileage and other expenses of getting
the revenue to the State treasury-$l, 5lI 10
amounting to 81 ,945, 500 81. the interest paid
on warrants redeemed-s27 ,32S 36-added,
makes the total cost of the State Government
R1, H. -nI, ntsr <r1y,,
that Of the previous biennial period of $3.50, =
959.46, and less than that of any preceding
term for the past ten years. The amount of
warrants issued was $274, S13 40 less than in
the previous term. OF this decrease, 1927,
907. 10 was in expenditures for buildings and
Improvements, and s46 $685. in ordinary ex-
penditures.
The Auditor estimates the receipts Of the
State from all sources for the current biennial
to be 81, 039 $50, which includes the payment Of
the $500, 0OO war and defense bonds maturing
July |, 1881. This will leave only s37, 995 with
which to meet $96 81 of outstanding war
rants, to say nothing of special appropriations
for public buildings, repairs, etc. If such ap-
preparations are made, it will be necessary for
your honorable body to make provision to
meet the same, otherwise the treasury will not
be in funds to honor the drafts made upon it.
The fact that the treasury is not in funds at
all times to pay warrants on presentation COM
pels the State to pay large amount of inter
est, and in addition the warrants are at more
or less discount, and contra rtors and others
furnishing supplies to the fl rent institutions
charge higher prices to reimburse themselves
for any depreciation to which they may be
subjected by reason of the discount on the
warrants. If the motto "Pay as you go" is
good policy for an individual, it is certainly
good policy for the State.
The report shows the gratifying fact that the
taxes, during the past biennial period, have
been much better paid than in former years,
which denotes returning prosperity among the
people.
The law for the assessment of the property
of the State requires all property 10 be assessed
at its cash value, and. if put in force as it
should be, would accomplish the result intend
ed The assessment of property has been for
many years but about 40 per cent of its real
value. On this assessment of Less than one
half of its real valuation the taxes have been
levied; and the proc eds of the taxes levied
have been, as rule, ample to meet the current
expenses of the State, counties and municipal
tiles. The present mode Of assessing has been
the practice for SO many years that it would
seem almost impossible to correct the abuse of
the law. If the property Of the State were to
be assessed at its real value-a contamination
most desirable for her reputa ion both at home
y,
quite, to double the taxes, not only OF the
State, but Of the countless cities, and lesser tax
ing districts, by reason Of the factsthat the law
permits the county and city authorities 10 levy
a certain percentage of taxes which is usually
done in most cas- to the maximum limit. II
the percentage of taxes now auth rzed by law
were decreased about one-half, the result, in
my opinion, would be that the next assessment
of property would be at, or nearly on a basis
Of its cash value, while the aggregate of taxes
would not be increased thereby.
Az amendment to the law requiring each As
SCISSOR to make oath to the Board of Supervis
ors that the provisions of section S24 of the
Code had been carried out by him, and pro-
vision that failure on the part of the Assessor
to comply with the requirements of this section
should debar him from receiving any compen-
sation, would have tendency to better enforce
the law.
Your attention is especially called to that
portion Of the Auditors report regarding the
assessment of the personal property of the
in order to secure more equitable return and
assessment of this class of property
For reasons set forth in the report, incline
to the opinion that it would be good policy to
make the taxes ayabie semi annually. This
practice has been in operation advantageously
for many yearsin some o'her States
Owing to the difficulty experienced by many
Of the counties in loaning the school fund at
over per cent l concur in the suggestions OF
the Auditor that section $50 of the Code
should be amended, allowing to the counties
all surplus of interest over per cent, in order
that the counties may have some compensation
for the trouble of supervising the loans, col
lecting interest, ETC.
THE FUNDS.
The State Treasurer's report shows the re-
ceipts and disbursements of the s ate for the
1nnrI oil 1nI n1vaof ,,rv ral
temporary school fund, swamp-land indemnity
fund, Agricultural College endowment fund,
and miscellaneous
The receipts from the above-named sources
have been g., 260, $500 which, with the bal
anoe of S73 1879, on hand Sept 80, 1877,
make total of s2,3334 ,0.8 The disbursements
for all purposes for the biennial period have
been SO 259 9l063, leaving balance in the hands
OF the State Treasurer of S74, 1871. Of the
balance on hand 81, 2226 Is belongs to the per-
manent school fund, S2l7 S. to the coupon
fund, and the remainder, 81. ,742 81, is in in
terest-bearing bonds, being trust funds held by
the State for the benefit of the Agricultural
College.
The report shows the State finances to be in
much better condition than at the same time
two years ago, the amount of warrants out
standing Sept 80, 1877, being 1867, 1861, and
the amount outstanding Sept 30, 1879, to be
only 500 995 81, being a decrease of s170,
1927. Since the close Of the fiscal term, the
amount of outstanding warrants has increased
until, on JaD 5, it reached s13D, 36l.42 Two
years ago, at the same date. it WAS $40, $40 Sc;
decrease in the two years, S2lO, 465. a.
By reference to the Auditors report, page
three, it will be seen that the State funds in the
hands of the respective County Ire ,sure' Of the
State, on Sept. so 1879, amounted to SIG, Sl709,
more than sufficient, when paid in, to meet the
outstanding war; ants at that date This graft
flying Improvement has been accomplished by
the reductions made by the Seventeenth Gener-
al Assembly, in the allowances for support
funds to the State institutions, by reductions
in salaries, in incidental additions to the rev.
enues Of the State such as taxation of tele-
graph lines, and by the repeal of the law
allowing County Treasurers mileage for paying
funds into the Suite treasury, etc.
The report shows that the State has paid,
during the last biennial period, the large sum
of S27 sos Sc interest on State Warrants for