The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1897-01-07

demand fer, these newer forms OF taxation
s snsfe At tmss In the most progressive
TOT q thorough revision OF laws and the con-
stiturional provisions regulating the same.
o %in tbass mas e limited extent made use
mas, to q limited extent, made use OF these
modern forms of taxation. But there many
onrnEs Spout tnsfrs operation as well as CON
corning the general subjact OF taxation which
the people OF the stats Discussing, They
wish to know more fully than they now do.
on certatn@ corporations call for as heavy q
relative contribution from them as the old
tax levy does from the MASSES of our citizens.
They do not ssk nor wish their legislative
and executive. officers to lay unjust burdens
upon any one, neither they willing that
any, and especially the rich and great cor
porattons, shall be relieved from any OF their
Just share of the public contributions. They
desire to know the facts and then have laws
framed to correspond Herewith.
This condition OF affairs has repeatedly
arisen In the older states To meet the ne
cessities of that condition. several OF these
states have at times created temporary tax
commissions committees to investigate the
subject Ia all its bearings. Such commits
sions or committees have ascertained how
old methods of taxation can and should be
modified to meet new conditions. They have
also gathered a great variety Of facts not
obtainable by the ordinary equalization
board, concerning the relative ratio OF the
assessed to the real value of the property
in the various sections of the state. To aid
In securing greater equality of taxation
In the several counties of our state and To
gather the information that may assist In
framing schemes OF taxation that will re-
lieve the Industrial classes by methods that
shall be best for the state and just to all
concerned. l would suggest the advisability
of some general investigation of the subject
Of taxation by the creation Of tax commits
sion or the appointment of joint committee
OF your honorable bodies to sit after the close
OF the regular session. The commission or
committee could then present the facts OBJ
tanned by it for the use Of the next eauali-
/ ri md i%o Rr1I
next session of the legislature.
Els Inmates for Buildings, Equipment
and Repairs for State Institu-
lions.
In past years estimates have been made to
the legislature of the cost Of erecting new
buildings for various state institutions and
appropriations have been made on the basis
OF those estimates. Later, when the au-
thor1ties have proceeded to construct the
structures authorized by law the appropria-
lions are found barely sufficient to erect the
buildings, but not properly to equip the same
The equipments must then await the action
OF the next session of the legislature or be
paid for out of the fund for current ex-
penses, thus seriously interfering with the
operation of the institution as contemplated
by the law making power. This opens the
way for suspicion Of bad faith or poor man
agement. Possibly this condition cannot al
ways be prevented, but in the interest of
sound business management, it should be
guarded against as fully practical. To
this end recommend that state institutions
asking for appropriations for new buildings
be required to submit detailed estimates for
the same, always including proper equip
ments. In estimates for current expenses and
appropriations for the same, the cost of need
ed repairs and of new equipments of per-
manent character should be stated as a
separate Item, and a more rigid system of
accounting insisted upon. Such a system
should limit the use of funds appropriated
! by the legislature for current expenses from
being applied for repairs and equipments that
can be foreseen and brought to the attention
of the law making power.
School and University Funds.
My predecessor, two years ago, called at
| tent1on to the defective constitutional and
statutory provisions regulating the inveset
ment of school and university and other
funds under the control of the state He rec
/ commended that constitutional amendment
be prepared and submitted to the people, au-
thorizing the investment of those funds in the
bonds of the various municipalities of our
state Such an amendment was prepared and
was adopted at the last election. Appropriate
| legislation IS now needed to make the new
constitutional provision effective.
Defective Titles of State to Real Es-
tate of State Institutions
In his report. State Treasurer Koerner calls
attention to the facts discovered by him of
the defective titles of the state to several
state institutions are located He recon-
mends the appropriation of money to clear
t ti Titles. This recommendation is most
timely one, and 1 trust will receive proper
consideration at your hands.
Public Examiner.
The duties Of the public examiner have
with the passage of years. grown in extent
and Importance. That Office now has SUI
! pervisfon of the treasury Of the state of
sixteen stete institutions eighty-one coun-
| ties, one city, one hundred and fifty-four state
| banks thirteen savings banks nine loan and
trust Imocpanles, twelve national and forty
seye local building and loan associations
| and fre companies, or total of 1884 distinct
| interests. In his report he makes a number
OF recommendations, of which 1 call your at
! tention especially to the following:
! The law regulating the management OF
| county moneys should be amended as to
| secure better supervision Of the officials in
control OF the funds and the use of more and
| petter records Of its disbursement. The law
should require all receipts issued by the
treasurer to be presented to the auditor for
signature and registration before delivery,
and treasurers should be required to deposit
daily all moneys received by them and make
! all payments by checks, and those checks
snoulo state upon their face the number Of
| issued.
The law authorizing the expenditure
e OF smaaa sums OF money, less than $500, by
town off1cers on roads should be so amended
as to forbid the county commissioners to ex-
! pend such moneys, except in cases where the
i quired by statute
Financial Institutions.
The public examiner makes number Of
| wise recommendations concerning the laws
regulating the management of our financial
| institutions l call your attention to the fol-
| lowing:
| The banking law should be so amended as to
| require all private banks to indicate by their
names that they are not Incorporated, and
| also provide for periodical publication Of their
| condition. The importance of this recon-
| mendattcn can be seen from the fact that
these these banks. banks in Minnesota number 2O6, and
The laws governing loan and trust COM
panleS should be SO amended as to limit the
liability which such companies NAV assume
as fndorser or guarantor. The permission to
issue debenture bonds should be restricted TO
| the security Of such mortgages as the COM
pany may have in excess OF those in tho
guaranty fund.
| The law regulating national building and
loan associations should be SO amended as To
| permit the stock of borrowing members To
| have dividends credited to the same TO the
extent that would accrue, If computed at the
rate which the member is paying in interest
and premiums. This would leave the earn
lngs OF the non-borrowing member to be
charged with the expense of administration
| which would not be fnequitable when it Is
| considered that the borrowers pay all profits
| which the non-borrowers receive The change
| is recommended to assist in securing great
| err economy of management, as well as
! greater equity to the borrowing or debtor
! class of members,
| The affairs Of four Of the national building
| associations are being wound up through the
| courts. Owing to the nature of the business
SO much delay and expense is met with in the
] process as to maks the situation serious one
Tor all concerned 1t Is hoped that some
scheme may be evolved and embodied In law
by your honorable bodies by which liouida tion
of such concerns may be permitted in an
equitable manner and also avoid the present
expense ana serious delay In final settlement