The San Francisco call., 1898-03-28
Many Leaks Result in a Deficit of Six Thou
 sand Dollars.
A State institution That Is Ruled by BIunderers and Bad
 Laws.

terials made by machinery in the East.
 "The high prices paid for raw mate rial and the shrinkage in the price of the manufactured article are responsi- ble very largely for our deficit" said MT. Hayes last night. Continuing, he said that the place was economically managed. 'We feed the inmates at a cost of 25 cents per capita per day, and feed them well. I file away all bills of fare and the food list shows such things daily as oatmeal mush, boiled ham, toast and eggs for the sick, roast nut ton, potatoes, beans, fruit and tea, cof- fee and milk. 1 defy any one to show that there is any extravaganza or sui fering, but the simple fact is that the brooms which we are obliged to sell at 90 cents cost us, when freight is added. $1 31, and this will net loss right along"
 A summary of the figures now in the hands of the State Board of Examin- CTS shows the following: Cash receipts from factory from July l to March 16, S11. .276 13; balance on hand, SSH 94; un- paid bills, $70S1 IT. bills receivable. S29S2 57; raw material, $500, showing a total deficit of s19S7 26.
 Speaking of the situation last night Secretary of State Brown said:
 'In the first place there are quite a number Of people maintained there by the State who should not be there. As I entered for instance, l saw one of the inmates reading paper without glasses. Now I believe that there should be no one admitted there who is not to- tally blind. In the next place there are several of the inmates who have money deposited in the bank. One of them is worth $40,000, and yet he is fed and cared for by the State without cents cost to him. There should be such a change in the law as would enable the Directors to compel people who are able to pay something for their keep ing. Of course so far as the indigent are concerned the State always has and always will provide for them.
 Tn the next place there is a total lack of discipline The inmates go and come as they see fit without even giv- ing notice when they depart So far as the management of the broom fac tory is concerned, there is certainly a chance for some decided Improvements. They are now paying $50 a ton more for their broom straw than private fac tories pay. When 1 asked about this strange and unbusinesslilSe state of af- fairs they informed me that it was due to a combination made among the bid derS. An Eastern firm offered to fur nsh them with broom corn for S6O L, and the contract will run until next June. On the other hand, there is not an item about the institution which is not paid for almost in the same pro- portion. I do not want to be under stood as claiming that there is any thing like a concerted plan to rob the State, but I do claim that some very decided changes should be inaugurated in the management of the business portion of the concern or there is no telling where the drain will finally flow.
 'They are now s6OoO behind in their broom fund and that after operating but ten months. To be exact, there are now on file in the office of the State Controller claims to the amount of $6270, and there is not a dollar in the fund to pay them. I believe there is something like few hundred dollars worth of stock on hand, but it is not enough to pay the inmates the back pay which is due them.
 There was once system there by which the inmates were not paid a very fancy price for their labor. but no charge was made for their board and lodging. The new board raised the compensation of the inmates 30 per