Savannah morning news. [volume] (Savannah) 1868-1887, 1886-12-20

In the debate upon the bill in the House,
Ii was shown by the Finance Committee
that the cash balance in the Treasury on
Oct. l, 1886, OF about $3.50, COO, was far
more than Offset by the 1886. 600 of unpaid
appropriations of the year 1856. This
$736,00O includes the S3l1, 900 belonging to
the school fund, which the State has been
using during the summer months. This
fund has been used in this way for years,
although such use is positively forbidden
by the constitution.
| The debate also showed that the re-
sources of the State from SAID cash
balance of $250,000 and $526, 600
raised by specific taxes and the amount
raised by the State tax levy OF 1886 which
was .OO350 mills would leave on Oct. l.,
| 1887, deficiency of about $4,000.
This deficit can only be covered by an
extra tax, which. to the extent OF 100000
mills, the Governor has authority to levy,
or it can be covered by a temporary loan,
which, to the extent OF $200,000, the
| Governor has authority to make.
But the authority to make such loan is
sp ecifically granted only to meet sudden
and unexpected emergencies, such as a
failure OF the States depository or
| money panic, and the extra tax is only
| authorized in case the Legislature,
| through mistaken estim ates OF what is
| needed, levies tax too small to meet the
| States requirements.
Is it right for the Legislature deliber-
ately to fix tax levy so low as to create
an emergency, and thus force the Cover
nor to resort TO either of these alterna-
| tiyes, which are intended only for a con-
dltlon OF affairs that cannot be toreseenf
The debate in the House clearly showed
that the tax LEVIED in 1S87-the rate being
.00260 mills-which furnishes the revenue
for 1888, will meet the States requirements
and also pay up the deficiency OF $179,-
| 600, but it will leave the Treasury on Oct
l, 1888, after all taxes are collected and
| all appropriations paid, with cash bal
ance OF only$709.
The debate in the House also showed
that after all of the taXes-the rate being
.OO26O mills-ior the year 1888 are COL
lected and all the appropriations paid, the
Treasury will on Oct. l, 1889, have cash
balance of about $106, 900.
IL may be argued that it is unwise or
unnecessary to levy tax that will leave
at any time a cash balance in the
Treasury, but it must be remembered that
there is to be an adjourned session in
July when other appropriation
may have to be made. For instance,
the constitutional amendment, passed
at the last election, gives
TO all Confederate soldiers of the State
who were permanently isabed in ser
vice the. same money allo wances that
have heretofore been granted to Con-
federate soldiers who Iost limb. The
estimate, with a rate of .00260 mills, of the
amount required for these new bene-
| iciaries is $4,000. Is lt not possible, is
it not even probable, that double or even
treble that amount will be needed!
If so. and If, owing to a reduced levy,
there is no money in the Treasury to
meet these requirements, what will be
the position of the Governor when the old
soldiers call for their money? The only
answer he can give them will be some
thing like this: Eyes, the people of Geor-
gia, by an almost unanim ons vote, said
you must have this money, and the Legis-
lature arranged the machinery for getting
it, but the same Legislature most unac-
countably decided to reduce the tax levy,
although fully advised that 1t thereby
made it impossible to pay you your little
pension, except at the expense of other
vital requirements of the State"
But in addition to the possibility of ad-
| ditional appropriations and the certainty
| alunnGt fhat a 10 otIu W. ha
| for disabled soldiers than is provided for
in the estimates, is it not wise that the
| States finances should be arranged upon
| the same basis and system as those upon
which any practica. man OF business
| regulated his own affairs? Does not ex-
perience prove that an estimate Of what
ones own assets and liabilities will be in
| years time is seldom correctf The
| assets are almost invariably less and
liabilities greater than was expected
| Would any conservative financier make
estimates for two years, involving about
| 100000 annually. and feel secure
from all dangers unless he left some mar
| gin in his favorf
Is 1t not safer and better for the State
to run the risk OF having a cash balance
of 100000 on Oct. l, 1889, than for the
| Governor and Treasurer to be constant
and persistent borrowers? These officials
have occupied that unpleasant position
for about four years past.
Those who favor a lower tax fail to
| recognize in their calculations that the
railroads prepaid about $4,000 Of their
taxes before Oct. 1, 1885, and that there
fore that money will not be again availa-
BILE from the taxes OF 1886. The 20-100
mill-which their reduction from .00260
to .00240 mills amounts to-yields $66 900
per annum, so that the omission above
referred to proves the impossibillty OF
their reduction for one year at least. 1t
may be said that as che railroads prepaid
their taxes in 1886 they will do so in 1887
and 1888 and 1880; but suppose they don'ti
Is it safe, or wise, or businesslike to ar
range the budget upon the presumption
that these corporations will be as obliging
in the future as in 1886? Is 1t fair to pro-
vide deliberately for an occasion forcing
the state officials to beg as favor that
which at date Of maturity they can de-
mand as rightf
The Inaccuracies in the estimates OF the
| lowar tax advocates for 1919 consiat ~