Evening journal., 1893-03-16
USED NO UNDUE HASTE
State Treasurer Burnite Re-
plies to Criticisiug Rumors.
THE CAUSE OF THE DEFICIT.

The Report That the Shortage In the
General Fund was Caused by the
Treasurer's Action in PrematureIy Re
deeming Bonds Denled-A Quarry for
Conviots-Legisiative Notes.
staff Correspondence Evening journal.
DOVER, March 16-For several weeks
there have been rumors current that State
treasurer Burnite had caused the short
age in the general fund by redeeming
unmatured bonds Yesterday afternoon
the EVENING JOURNAL correspondent
called at his Office and asked him for a
statement He took an EVENING
JOURNAL editorial for the basis Of his
interview, and said
''Yes, | am perfectly willing to make a
statement. My attention has been al.
rected 10 an editorial in your issue Of
Monday, in relation TO the condition Of
alarm about the financial situation Of
Delaware, in which, whilst you pay me
very great compliment as 20 my
efficiency as state treasurer. the implica
tion exists that have used undue haste
in redeeming unmatured bonds The
amount named Is 5000, 600 aud 10 Ia
such haste The facts are that the
state received in part payment of the
Junction and Breakwater Company mort
gage the sum Of S2l5. GOO. The act
authorizing this payment provided
that so much as may be neces
sary for the payment aud re-
demption Of bonds of the state shall
be used for that purpose This act was
passed in May. 1891 We had due on July
J. 1891. bonds amounting TO $50 90 and
there was in the sinking fund applicable
TO this purpose 5 . 500 This wss so
used, and the remainder necessary to
meet the maturing bonds and to redeem
the balance Of Series @. amounting to
$l65, 600, which were specifically men
toned in the act, TO be redeemed, was
applied to that purpose
whilst plead guilty TO worthy am
btion of keeping the expenses within the
smallest limit possible, and also to pay
a large amount of the bonded debt,
would prefer not TO be charged with
parsimony, nor to be accused Of pro-
ceediug too hastily in retiring unmatured
bonds.
1.-The cause of our present financial
condition was correctly portrayed In your
|
questions the wisdom Of the General
| Assembly at its session of 1889 I'm estab-
| fishing the insane asylum, and all agree
/ that the uufortunates should be
humanely and comfortably cared for;
but the mistake was in not providing
sufficient revenue TO meet the additional
expense.
cat the close Of the fiscal year, 1890
there was in the treasury, to the credit
Of the general fund over S8j, COO. aud th,
appropriation 10 the hospital named wal
sl4. OOO In 1891 an appropriation Of
81, 600 was passed for the benefit of the
| Insane Hospital to meet a deficiency, anC
an annual appropriation of $4,000 wa.
enacted To this amount was afterwards
added $5 600 annually, and a payment
ordered to be made for the Sussex county
asylum Of nearly $1,000. In addition
i thereto there was an appropriation made
for improvements amounting to $50 600
These several items, together with the
interest and expense connected with tn,
issuing Of bonds for the payment of tn,
asylum, amounts TO over SIG 600. Thus
you will see, the gradually increasing
| surplus belonging 10 the general funC
has been wiped out, and the present
condition of our treasury is not due e
the over anxiety OF the present stat'
treasurer to reduce the bonded indebted
ness. In noticing the editorials referre.
to l have been thus explicit in my state
ment in order that the matter may b.
clearly understood, and that the presen
General Assembly may not be hastil!
criticised for providing, in some way
for the maintenance Of an institution
In which all feel a kindly interest AM
for a gradual increase in our revenues
which will enable us to meet our matur
indebtedness, and thus maintain on
established credit which is not surpasse
by any state in the union.
"Well, you know that the rumor ha
been current here that you paid bond
which had not maturedg" suggested tn
correspondent.
yes, know it, he replied, 'but
originated with men who did not knO'
| 4Iarr rrraro ta1hfnr about -