The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1902-01-11

The second annual report of Comptroller
Herring was submitted to the Legislature on
Tuesday, and makes very gratifying showing
of the financial condition of the State. The
Baltimore Sun thus summarizes and comments
upon the report:
The report of the Comptroller of the Treas
ury of MARYLAND is most encouraging to those
persons who desire to see the State free from
debt. The public debt is now reduced TO
small compass. Itconsists of the 81 per cent.
loans of 1896 for the penitentiary and insane
asylum. aggregating $500, 900; the 8 per cent.
consolidated loan Of 1898, $5, 401, $685. 10, and
the 8 per cent. State building and improve
ment loan of 1900, $500, 900. In addition to
these loans there is 81, 400 of the exchange
loan of 1899 still outstanding, making the en-
tire debt of the State Sc, sos, 826. 12. OF the
State building loan all except about $69, 600
is owned by the State and is in the sinking
fund. OF the consolidated loan 1916, 1897 is in
the sinking fund. Other securities and cash
in the sinking fund bring the amount up to
81. 7O9, ST.. a. After deducting the live assets
Of The State from the debt the net amount of
Indebtedness is found to be 81, 662, S44.29.
But the actual value of the assets, it is be-
lieyed. would extinguish the entire debt.
Among the assets is the annuity OF $50, 600
secured by mortgage on the Northern Cen
trail Railway. This is put down at 81, 500, 600,
although when Mr.. Shryock was Treasurer he
found a purchaser for it, as he announced at
the time, for So, 000, 600. The proposed sale
was prevented BY the railroad company, which
claimed the right to extinguish the annuity
upon payment Of 81 500, 900. The State Off
cifals refused to receive that amount, and the
corporation took to the courts. The Baltimore
court and the Court of Appeals both decided
against the company, and il has now gone to
the Supreme Court of the United States. In
the meantime the Northern Central Company
has defaulted, according to the Comptroller's
report, in the payment of the annuity since
April. 1900. the amount in default up to the
9th of the present month being $157, 500.
The Treasury officials appear to be main
tanning the sinking funds most faithfully.
These funds are invested. whenever 1t IS prac-
tieable. in the States own securities Ut the
consolidated loan of 1899 1876. 887 is in the
sinking fund, and of the building and improve
ment loan of 1900 the funds hold Sal, 200
The remainder of the fund is composed of
Frederick county bonds, $50, 1000; Laurel
bonds. S41 200: Baltimore city stocks, $4O,-
900. and cash, 1921, 924.S4. Nearly all this
cash has since been invested mainly in Balti-
more city stock.
Governor Smiths administration found a
deficiency in the oyster fund, which had to be
made good out of the Treasury. Under the
operation of the Oyster law of 1900 revenues
have increased, the deficiency has been made
good. and there is now surplus.
gratifying feature of the Comptroller $
renort is that announcing an increase of ST.
O92. 626 in the basis of taxation. The basis is
now S64s, BIZ, 408. By reason of this increase
tba ravenue from direct taxation is as great as