The morning news. [volume] (Savannah, Ga.) 1887-1900, 1898-11-20
THE STATES FINANCES.
Ex-GOv. Atkinson Gives His View as
to What the Trouble Is.

SAAAS OANNAAOoA CA-LON. ANhiHSOu IdhGS
the position that There is nothing in the
present financial status of the state to
make any one nervous who understands
what that condition really is. The prob
lem presented is not more difficult than
others which have been presented to and
solved by every general assembly for
twenty years" He thinks that the states
financial affairs are being discussed In a
hlshly sensational manner, and from the
statements made-statements which he
characterizes as eXaggerated-he reaches
the conclusion that there is a determined
effort to wage war upon Confederate pen
sloners and common schools, and induce
legislation unfriendly to these interests
which could not be secured by fair dis
cussion and full statement of the facts
In the course of his talk, he saws:
Inc discussion started with the propo-
sition that there was a deficit In the
treasury of $l,500O00 Then the fact came
out that the state had met every appro-
prlation and every obligation, had $4,000
on hand now, and would have, after pay
ing the amounts appropriated for the ball
ance of this year, nearly $3.50, 600. Since
the appearance of these facts the discov-
erers of the $1.5OOOO0 deficit have disap-
peared.
I ut was then claimed that because the
treasurer had submitted an estimate of
receipts and expenditures in which 1t ap-
peared that TO pay the suggested appro-
priahons would require am increase of
the tax rate that therefore, there was a
deficit in the treasury.
TT is at once seen that this imaginary
deficit was the result of imaginary legis-
Iation, that the general assembly might or
might not make the appropriations sug-
guested in the treasurers estimate, that it
would certainly not appropriate more
than the sum it would require to be paid
into the treasury, and that this estimate
of the treasurer for 1899 included about
100000 more than was actually spent dur
ing the last year of my administration,
Having Abandoned the claim that there
was a deficit of $1,500,000
/ in a treasury which had paid every
claim, and had now on hand $2l5,000
in cash, 1t is now said that there will be
| an $4,000 deficit after paying all
claims to July 1, 1899. To find even This
alleged deficit of $4,000 in
midsummer, at the time of the year when
the treasury is poorest, there has been in
/ cluded in the estimate of the amounts to
! be drawn out of the treasury one hundred
| thousand dollars for appropriations In adj
dition to the amount of regular appropri9-
| tons made for 1885, which have not been
| and may not be made. and $267 $50 addi-
| tional which is not payable until after
| that time. This does not take into ac-
count a number of other items which
! should be and by the general assembly
! doubtless will be changed.
| The deficiency in the school fund he ex-
plains as follows:
1.-THE legislature of 1896, in it's tax act
| provided for a levy of 212 mills for the
school fund for each of the years '97-'9S,
| calculating that this would bring into the
state treasury $1000,0O0 in 1897 and $1,000
| 600 in 1898. AS it appropriated only $780,
! 900 for the year 1897 1t was their idea to
/ have the 100000 excess raised in 1897 used
in 1885, and have the 100000 raised in 1893
/ go over to the credit of the treasury for
use in 1899. 1t overlooked the fact that
under the law, unless especially author
lied to do otherwise, the tax levy for 1897
would have to be so fixed by the Gov
ernor and Controller General as to raise
the amount appropriated for that year
only. This special authority was not
| given. For this reason only $500, 900 could
be levied in 1897 for the school
| fund, and on account of this
omission or defect, the 100000 taxes
which it purposed to be raised in 1897
could not be collected. Therefore, when
the million dollar appropriation went into
effect in 1898 we did not have this $780,
/ 000 which it was expected would be
/ brought over from 1897, and We're COM
PEELED to use the $40O, 600 collected in 1898
When this legislative scheme failed its
effect upon the finances of the state was
readily foreseen. The power however to
remedy this after the law had gone into
effect, providing for paying out the $780,
| 900 additional for schools, was in the gen.
eral assembly alone, and there was power
nowhere else to apply the remedy. The
members of the general assembly at it's
| the ineffectiveness of their attempted tax
levy for the extra 100000 for that year,
and the plan was proposed to avert the
| coming trouble by a repeal Of the $500 900
for 1898. This, however, was not done.
! presumably because 1t preferred to leave
to their successors the responsibility of
applying the remedy"
The remedy he suggests for the above
state of affairs is the following: "since
the miscarriage of one piece of legislation
in the interest of the schools has been the
chief cause of the present trouble, and
| since the only very large increase made
for any purpose has been In the interest
of the schools, l think they should submit
to some temporary reduction, which can
not seriously affect them, but one which
will result in ultimately putting them on
a sounder basis. do not advise that the
amount raised for school purposes be re-
payments in 1899 be reduced. The ques-
ton of income and revenue is settled If
the school fund for 1899 from direct tax be
placed at $4,000. which, in view of its
increased income from penitentiary of $780,
Co., would only be a decrease of $4,000
leaving the net income of the schools from
all sources 81, SEQ. 0O0-just $4,000 less than
ian 1898. In order to then put the schools
on a better basis for 1900, think that the
income from property in excess of $412,0OO, b
COO In 1899 should be- added to the school
fund to the amount of $500 900; which
should not be paid out in 1899, but carried
over to 1900, to be added to the $S0O,O00 APP
proprated for that year. Under this plan
we would probably raise as much money
in 1899 as 1898 for schools. although $200, COO
of it would not be expended until the next
year.
DOTS FROM DOUGLAS.