Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1880-12-30

70 the condition and expenditure OF the lnStltu-
ton the only item anywhere appearing with re-
2ard 70 TINS new barn, IS one charge of Sl21.56.
these figures in themselves present a surprising
commentary on the financial management of the
hospital, the blame of which must rest alike on
the superintendent and on the board.
THE CROSS WINGS.
In 1879 the board authorized the construction
Oh Tour cross wings, or additions, to the hospital,
without any authority or appropriation from the
legislature These were put up, and s debt of
some $1,000 incurred on the part of the hospital,
Tor the construction and necessary furnishing and
equipments, which was provided for by the last
legislature These additions greatly improved the
hospital building and increased its capacity, and it
may perhaps be admitted that they were needed
and greatly relieved the county jails and hospitals
which had been crowded with insane but your
committee must unhesitatingly condemn the prin-
| clple upon which the board acted. There can be
no doubt that they transcribed their legal author
| ity. We can hardly conceive of a case where
board Of trustees would be justified in making any
| given improvements involving the outlay of
money, without consulting legislative authority.
The principle, if carried out, would allow the
boards OF our several charitable and penal insttu
| lions o run the state in debt to any amount, and
Tor any purpose. The authority which furnishes
the appropriation should always have absolute
control OF the channel of its expenditures.
PETER. GARDNER (sTEWARD.)
Again we find that one Peter Gardner was stew
/
stewardship in 1876. At the time of his with
drawal he was short in his accounts in the amount
| OF 81 ,904.S5. The greater part of this shortage
arose from his having deposited Sl,707.35 of the
! funds IN his hands as steward in the Bank of
Madison, which became insolyent. The hospital
| has received IN dividends from this broken bank
S6439O, leaving an absolute loss Of 81 25S.95. The
board knew that Gardner had given bonds Us stew
| ard to faithfully account for all money. They
| knew that his accounts were short when he left
bUlt tha hut +hayrh
taken any steps to prosecute his bondsmen or to
| recover any part OF the shortages neither have
| they ever reported the shortage to the governor,
| or TO the legislature. but the entire matter has
/ been suffered to remain unrevealed, when your
| committee called, but the bond of Peter Gardner
no record or trace of it could be found and no OF
icer of the hospital that knew anything about it,
and it was only brought to light by search on the
part OF a member of the committee, among lot
| of old papers in the back office of citizen of
| Madison, who had formerly been officially con-
| nected with the hospital. This transaction must
also receive the positive dsapproval of your COM
mittee. If any of the debt of Peter Gardner was
TO be forgiven, it the clear duty OF the board
to report the facts to the legislature and for the
legislature to act not for the board to assume the
| authority, give any color TO the charge of COW
ering up.
UNAUTHORIZED EXPENDITURE.
| We find that the tendency to spend money in
authorized ways has BEN constant, The energy
of the superintendent and the lack of sharp over
sight on the part of the board has led to eXpen-
ditures not authorized by the Legislature and of
doubtful legality or propriety. For instance
there has been constructed in front of the hOsp-
tai large artificial lake reservoir, which must
have cost quite a sum, for which there was never
| any appropriation and no record that the board
ever authorized it or that it cost dollar in money.
| The superintendent saws he was authorized to do
| his work by individual members of the board in
| conversation with them which converse lions are
! positively denied by the members referred to.
The result Is that the stat has paid for the con
structlon of large reservoir OF doubtful utility
| and of extravaganza cost to maintain, the
SpOnsidility for which the superintendent puts
| the board and board shifts back on the superin-
| tendent. Again we find that the superintendent
| has been accustomed to exceed in expenditure
specific appropriations made by the legislature
| taking the balance to do the given work or pay
| for the specific article from the general fund. To
illustrate, the legislature at ono time appropriated
81 200 far the purchase of stock and the supern-
tendent Immediately invested over $4,000 in such
purchase. We think the board have been in fault
| for not stopping this practice. They have known
| this tendency on the part of tie superintendent
and have evidently given it a quasi sanction,
whereas on its first occurrence they ought to have
| taken sach steps that it would never have been
| repeated The board is the lawfully constituted
authority appointed to control the superintendent
| and they not to be excused for neglectng this
| duty however unjustifable the course of the
superintendent may have been.
| NIsAPPLICATION OF APPROPRIATIONS.
| 1t has also been customary for the hospital au-
th0ritles to use money appropriated Tor one specific
purpose in entirely different direction. For in
stance, in 1878 appropriation of $4,000
made to construct the bed of branch railroad
track from the depot to the hospital engine house
| This was never built and what became of that
| specific 50 900 no one knows. There has been no
| report of the matter to the legislature and no
action by it on the subject 1t seems to your
committee that such appropriations are placed in
| the hands of the board rs Il trust fund to eXpend
| in particular way and when it is expended in
| different way it becomes breach of trust which
cannot DE approved. These irregularities show
the need of chapter 2S9 of the laws of 1880.
| INTEREST AND INDEBTEDNESS.
We find that it has been usual on the part 0
the board to permit the hospital to run to debt
and borrow money to meet the Indebtedness and
pay interest ON the same out state funds. During
| the time covered by our investigation the state
| has paid over 50 500 interest on money borrowed
! for the hospital. We much doubt the authority
of the board to borrow money, and must posi-
| lively condemn the practice in all cases. The
| hospital can and should be supported on its APP
preparations. We also find that the indebtedness of
the hospital instead of being $50 oil reported
to the Legislature last winter, when chapter 295,
| laws of 1880 was passed, amounted actually to
| S4S 900, on which the state then paying in
terest. Mr.. Giles of the state board of charities
in his testimony, gives in detail his efforts to find
| out the exact Indebtedness so as to report the
same to the legislature, but he was unable to
| certain the amount taken from the reports OF
the hospital required by law to be made to the
| board of charities from the superintendent or
treasurer of the board and finally fixed it near
as he could and put It at the sum provided for in
said chapter 259. Of this matter and where the
| additional SIS 900 had been expended, your COM
mittee have received no satisfactory explanation.
| 1t claimed that the construction of the cross
wings above referred to, together with the neces-
sary furnishing and the cost of maintaining the
| additional patients taken in after their compile
ton and not provided for by the previous year
appropriations, made debt of some $4,000 but
the hospital authorities ought to have shown that
their Indebtedness was $4,000 more than that
sum, and ought to have frankly so stated to the
| legislature.
| PRINTED REPORTS.
The annual printed reports of the hospital is
| sued over the names of the board and superin-
| tendent, we have found entirely unreliable. The
information they purport to give is not accurate.
This we found true in very many Instances, and
is eXemptifed by the new barn account referred
to above to illustrate further. In 1877 the re-
! port of gardeners and farmers wages is S94S, too
small, and that of attendants S94S too large.
In the same year, teamsters wages were reduced
$500 from the actual amount and the miscellane-
Gus wages increased this sum. The attention OF
the superintendent called to these Irregular
ties, when he was the witness stand but he
was unable to give satisfactory explanation.
The books of the hospital plainly showed the COR
rect amount chargeable to these several items,
and the committee are forced to the conclusion that
increased figures were given for some improper
purpose. The board claims that as matter of
fact, they knew nothing of the report until they
saw it In print, while the superintendent asserts