Iowa state bystander. [volume] (Des Moines, Iowa) 1894-1916, 1898-01-14

asked not to neglect an expression OF
gratitude to the Great Ruler. The men,
bers of the Twenty-sixth general assem-
bly, are commended for their ability and
loyalty to the interests of the state and
for the publication of the magnificent
volume of laws which constitutes the
With this brief introduction the gov
ernor enters upon a statement of the
financial condition of the state, in view
of the fact that the events of the past
usual interest at this time. Briefly, he
1.-THE receipts into the general revenue
of the state amounted during the term
represented by warrants drawn to A,1%l
7G4 80. The expenses We're therefore sou
3S7.49 in excess of the receipts: There
were warrants outstanding at the begin
making the total amount of expenditure,
to be met S4.S05, 7l4.5S. The cash on hand
at the beginning of the term was SUI
S57.41, which added to the amount OF re-
of the treasury A,41423425. Out of this
sum warrants were redeemed to the en-
tent of 81. 35S, 213.S5, and interest was paid
on warrants to the extent or Sl9,a4.;a4
making the aggregate disbursement st..
81, 561 30 The cash in the treasury at
the close of the term, therefore. amount
ed to $685. 9G, and the aggregate Of the
outstanding warrants to $47.5OO: Is: max
ing the net floating debt $llO&L77
''This amount of Indebtedness is largely
the effect of excessive, appropriation
made by the Twenty-sixth general as
sembly. yet not altogether so. This FACT
is well brought out in the report or the
auditor of state But for the destruc-
ton of the main building at the Institu-
ton for Feeble Minded Children, an eX-
penditure amounting to COCO during the
term, and more subsequently, would have
been avoided. The extra session of the
1,n
in my opinion. aundantly justify TIC
cost, entailed an expense, including the
publication of the new code. of Sl1O 497.a',
The advance of one quarters support
for the hospitals for the insane, Il meas.
ure in the interest Of saving expense
took s1O7,S21 more. These three items
make the floating debt greater by 1888.
51S.53 than it would have been, had r. ne
out these expenditures the debt woule
have been only $72.309.24.
1.-THE Twenty-siXth general assembly
made provision for meeting much OF tht
tional levies and levyng certain indirect
taxes not heretofore known in this state
One of these was that on capital stoci
Of corporations: another was that on col
lateral inheritances. Provision was ass
Moreover. the fees for notarial commits
sions and those to be paid by commits
soners Of deeds in other states, were
made much larger. An increase IN th'
amount Of taxes to be collected, from
insurance companies is also made by tn
new code Mainly because of the ia,
on corporations and the increase of tn
fee to be paid by notaries public. the
moneys turned into the treasury by thu
secretary of state during the fiscal tern
amounted to S2S,21G.70. an increase Owe
the preceding term OF more than Sl0:0oo
The auditor estimates that the receipts
from that source during the current tern
will amount to SER ono q gain Of nearly
100 per cent. Other additional take
brought in nearly 5000. AS. most o
these additional receipts came in durin,
the latter part of the. fiscal term undo
review and some of the laws providing
for such increased payments into tn
treasury did not become operative unit
after that term had expired, the addl
lions to the revenue from these sources
may be expected to be much larger II
the future"
Speaks of Appropriations.
Governor Drake does not look upon the
eral assembly as unwarranted. for the
needs were such as must have been met
soone ror later. He further justifies the
action by saying that the. time was q
favorable one for public Improvement
and he is persuaded that the difference
between prices at which contracts were
let during the past two years and those
likely to prevail for some years to come
IS uedIly Sullltlclll Gtll VI tilS I'm
tracts which have been let. to more than
reimburse the state for all the interest
it will pay on the warrants issued since
the last regular session..
He adhereS to an opinion expressed in
a former message that the manner of ev-
idencing interest-bearing indebtedness
through the endorsement of warrant
with the date of presentation. from
which rate they draw interest is open
the amount of the debt of that chnrac-
ter becomes large. In his Judgment
debt should be fully contemplated when
it is incurred and ample provision made
for meeting the same; TO trust to j. re- =.
know they will be inadequate, IS not
good business policy.
II concur, with the spirit of the sug-
gestion of the treasurer of STATE that ne
warrants, although 1 would recommend
as preferable action that the treasurer
be authorized. when it becomes apparent
that the moneys in the treasury arc
obligations. whether in the shape of in
terest bearing warrants. such as were
issued when the war debt was eXtin-
guished in 1851. or of short time revenue
replenishing. the treasury. Such sys-
tenn would have an advantage over the
present plan of contracting indebtedness
because the amount of it and the interest
to be paid. with the time OF payment,
would be fixed and known, and becaus
also that the obligations would draw q
lower rate of interest either directly or
through the premium received from the
sale of the obligations.
Failing the. adoption of this sugges..
ton, I would recommend, as suggested
by the treasurer. that the warrants as
to payment be classified. This could be
done by providing the funds in the treas
ury shall be first used for meeting the
nff hA cfDto rrJoa n
as provided by law. especially giving
them precedence over warrants for pub
lie improvements
Better provision should be made for
ance tax. 1t might be well to give the
counties and interest in 1t and make it
the duty of some county officer to attend
to the same locally as the state treasurer
does at large. 1t is recommended that
steps be taken to bring about the system
of drawing interest on public funds as
another source of revenue. with the ar
gument that the rule which has been
regarded as good financering by success
full business men and corporations should
be applied as well to state funds not
needed.
Against state Board of Control.
All of the departments of state to-
gether with the state institutions are
discussed briefly and all reported in a
condition. The governor en-
leTS Ut leuSlH lutO u ulSCuoS.OH VI III
stitution boards and announces himself
as opposed to the single board. idea of
which there has been 50 much discussion
If late. He discusses the plan as follows:
II cannot bring myself. to believe that
such a consolidation of the existing
boards, and placing all the institutions
under one board. will afford a remedy
in the present system. l find that the
nay and other. expenses of the regents,
r,1ctaoc ar1 1iropfnrS Dm0llnfnH tn SoO
1856 for the last fiscal term: or sA,S0!.SS
for each year; I much doubt noal neither the
troll would be materially less, with its
members paid the salaries that men s,,
such places and who would be expected
Q make the performance OF their duties
But the incongruity of having the
State university and the penitent!aries,
he Agricultural college and the hospitals
or the insane, the normal school and the
institution for feeble minded children,
Ill under the control of one and the
same board. would, in r.Sv judgment.
more than offset any. benent. pecun.ary