Northern Wisconsin advertiser. [volume] (Wabeno, Wis.) 1898-1925, 1901-01-17


tention to the problem of taxation. In
part he said:
THE efforts of my predecessor to
introduce better business methods
into the financial system of the state
government has resulted in emphasize
ing many defects and instituting some
improvement in the management OF
state funds. So long as the admin
istrative and legislative departments
persist in attempts to shift, each up
on the other, responsibility for tax
levies to meet deficiencies which both
help to create. there must be abundant
opportunity for improvement. Under
the law the fiscal year of the state
ends September 80, and all regular
official reports are for the term end
ing on that day. This fact, with a
few others closely related to it, be-
lieve to be responsible for much OF the
public misunderstanding of state
finances and for most of the mislead-
ing information concerning state af-
fairs upon which Legislators have
been obliged to rely for guidance. Re-
ports for the fiscal year show balances
upon date within few weeks after
the receipt of large amounts OF reve-
nue. as license fees from corporations,
ETC., but months before the close OF
the administration term-months IN
which extraordinary disbursements,
including legislative expenses in each
biennial term, must be made before
considerable revenues are again re-
ceiyed. The usual and natural result
of this system is found in misleading
official reports, showing handsome
cash balance at the close of the fiscal
year, and four months later new ad-
ministration finds itself confronted at
the beginning of it's term of life with
an alarming deficit as the foundation
for new appropriations by the legisla-
ture and the natural and steady
growth in ordinary current expenses.
Take, for example present condl-
items. At the close OF the fiscal year,
September 30. 1900, the balance in the
general fund was $49o,40S.74. AT the
end of the calendar year and admins
tration term, January Z, 1901, the gen.
eral fund balance was only Sl5l, S3S.I.
OF this last balance. $4,000 is derived
from advance payment of railway IL
cense fees which do not become due
until the month of March. The state
aid to free high schools, amounting TO
S97 .eO7. S3, due December /, 1900, is I'M
paid-although the warrants therefor
are in the treasury department-De-
cause available moneys in the general
fund are required to meet current ex-
penses. These items, when properly
deducted, leave a net balance OF $4,-
1854 in the general fund. Leglsla-
tive and other expenses payable with
in the next few days will aggregate
more than 100000, and there is no ap-
preciable amount of receipts due to
the general fund from any source be-
fore the time for payment OF corpora
ton license fees and state taxes,
which was changed from February to
March by the last Legislature. Besides
this inevitable deficit there is an addi-
tional deficiency of $329,505.74, being
the amount of appropriations by the
last legislature the payment of which
has been refused on account OF lack OF
means in the general fund. In brief
you have legacy OF over 100000 ex'
cess appropriations from the last legis-
lature to take into your considerations
and the administration begins business
with considerable treasury deficit in
sight in lieu of the balance which
might be expected from the condition
of the general fund at the close of the
fiscal year as shown by the annual
oficial reports available to the public
for purposes of information.
Statistics show that in four years
out of the last ten there was an excess
of disbursements over receipts even
at the close of the fiscal year. 1t is
not difficult in view of the system that
has been in use to believe that the
trust funds of the state have been in
reouisition for general fund purposes
during the greater portion of all those
years. 1t may not be practical to
make the fiscal year of the state end
with the calendar and administration
wear. So ldI do blC 6ChCAo ~ Oih~AehA Y
ports are involved. 1t ought to be pos
sible for the legislature to require
complete reports of the financial con-
dition of the state government to be
published at the beginning OF the
calendar year. These will afford
great assistance to legislative com
mittees. In addition there should be
required more accurate estimates for
disbursements, the same to be made in
detail for each department of state
government.
Taxation.
The creation of commission to
make such investigation as the char.
acter and importance of the subject
demand, to report to the legislature
the results of its examination, and
TO make recommendations in aid OF
inst and efficient tax laws. could not
fail Of public approval. Chapter zoe
Laws of 1899, authorizes the appoint
ment of a tax commissioner and two
assistants to the commissioner, for the
purpose Of investigating the tax sys