Lancaster daily intelligencer. [volume] (Lancaster, Pa.) 1864-1928, 1883-08-03
The Treasury Balances.

Tie report of the present Republican
state treasurer for the month of July
shows that there is balance at present
in the general fund of 1853, 40G.6S. Be
sides this the sinking fund has in it, no
doubt, million or Two more, at the
very least, so that it is safe to estimate
that more than four million dollars Of
the public moneys are lying idle, or are
distributed around among the favored
repositories of Republican state officials,
instead of being applied to the reduction
of the state debt, or invested in interest
bearing state or federal securities. This
large amount of money, raised by taxa
tion Of the people. is not applied to
public uses, but is given to bankers and
brokers, who lend it back to the tax
payers at their own profit. This kind of
financial management has prevailed at
Harrisburg for years. 1t is neither that
which the law preScribes, nor which
common sense and common honesty y
direct.
In the first place, it is the plain man
date of the law that whenever the
balance in the general fund exceeds
$500.O0O the surplus shall be covered into
the sinking fund This has been habit.
ually neglected. Treasurer Baily has
undertaken to explain that this would
at times have rendered the treasurer
unable to meet the accumulated demand
at certain seasons, but it has been shown,
in utter refutation of this, that at no
time in many years, save once, would
the execution of the law have occasioned
even Inconvenience. Besides, it is the
law and the treasurer has no right TO
ignore and nullify it. Why does not
the attorney general insist on its en-
forcement
Again, there is besides the two mil
lions in the general fund, which belong
to the sinking fund, Il large balance in
the sinking fund itself which the
favored banks of the state treasurer are
using and making profit from. AS we
understand the Humes bill, the majority
of the sinking fund commissioners can
exercise their discretion to invest the
sinking fund moneys in state and federal
securities or not and the Republican
members of this board, Treasurer
Baily and Auditor General Leman.
choose to leave the money where it is, in
the banks and at the service of their
friends rather than invest it in state or
federal bonds, where it might earn one
or two hundred thousand dollars a year
for the state. Quite naturally they pre-.
fer that this profit should go into the
pockets of their personal and political
friends. 1t is very convenient, for in.
stance, for the Peoples bank of Phila-
delphia, a private concern with $1,000
capital, to have steady deposit of $500,
600 from the state treasury, which &C
tually triples its capital with free loan
to it of the peoples money.
This is one of the distinct issues of
this campaign. The Democratic plat
form declares not only that public
moneys are for public uses, but it says ::
The long continued abuses and spolia-
ti0n of the state treasury and the defiance
of law by its management make essential
radical reform, SO that large funds
shall not be accumulated by taxation
of the people to be distributed among the
favored repositories of state officials, but
that all surplus in excess Of the imme-
diate necessities OF the state government
shall be invested in interest bearing state
or federal securities until it may be ap-
piled to the extinguishment of the state
debt.
The Republicans will not be allowed
to get away from this issue.