The Minneapolis journal., 1902-02-20
Says the Law Forbids Creation OF
Deficiency-ApproD atiOn
Imperative.

to the best OF his ability, handicapped as he
was for the lack Of funds
l found that his income for the fiscal year
commencing with Aug. /, 1898, and ending
Aug 1. 1899. including a deficiency appropria-
ton Of $500, showed total Of 5000.
That the total receipts for the fiscal year
beginning with Aug. l. 1899, to Aug. "A, 1900,
were $6,o23.5l, including balance Carried
forward out of deficiency appropriation Of
$9S3.51.
That the total receipts for the year Aug. /,
1909, to Aug. l. 1901, were $7,355, including a
deficiency appropriation of $1,000,
That the total receipts for the year 1901
to Aug. I, 1902, were s5,2236S
Bear in mind IL at the total income of this
Office and all fees which are collected by it,
are available In August, which is the begin
ming Of our fiscal year. Therefore there will
be no more funds available for this fiscal
year. -
The receipts for the year 1901 to 1902
amounting to S5,22S6s, had at the close Of
business, Jan. g. 1902, been expended, except
a balance of s1,151.46, which was the total
amount in sight for the expenses Of this
department, for the balance OF the fiscal year.
ending Aug. !, 1902 .
Work Far Behind.
The work of the department is and always
has been, far behind. During and since the
panic of 1893 much blame has been laid at
its door for the conditions that then MAIN
tanned; another panic may come, shall the
department be better prepared next time:
The commercial banks, which the law re-
qures should be examined cnce each year,
have grown from Is in $780, with about $780,
100000 of assets, to 220 in 1901, with about
$50, 0000 600. the increase since 1893 having
been ST. The present outlook along this line,
is for an increase equal to if not greater
and more rapid. The average time since the
examination of these banks is about twelve
months and some even longer than that. A
large percentage Of this work requires spe-
cial attention and public interest and safety
demand that such work should be performed
without delay. +. &-.. 81. . '... i. .
., Savings Banks.
These institutions, eleven in number. some
Of which have not been examined since 1897,
have millions Of dollars deposit, the saw
ings of the widow and orphan. 1t is impos-
sible with present resources, to give them
the attention tcat it is everywhere recognized
they should have, and their patrons deserve.
Only two of the five trust companies re-
ceiyed any attention last year. These in
stitutions large and have a great deal Of
real estate, and as trust companies are
handling moneys and property belonging to
estates and others who cannot look out for
themselves it is very essential both for
them and the public, that they should have
ferquent and close attention. +.
If the department is to have a salutary
effect on the conduct of these various financial
concerns, it can only be done by close, in
innate and constant contact and familiarity
with each separate institution ~ g.. r
The public institutions have had no atten-
! ton for the past year and although the law
creating the board Of control somewhat SIM
! pliles and condenses these accounts, yet the
! law makes it encumhent upon the public ex
aminer to give them attention, and in view
| of the fact that its system Of accounts is
! new and in measure crude, and to US un-
tried, it would therefore seem that now is the
proper time for the department to ascertain
| the efficiency Of the system. .. f.. =
| Counties Neglected.
But few of the eghty-two counties have re-
ceived the attention required and contem-
plated by law. new system of bookkeeping
for the auditors and treasurers was success
fully introduced, but as to detailed ex-
! aminatons comparatively few have been
made. uniform and efficient system for
1 the regulation of receipts and vouchers be-
tween the various county offices, must have
immediate attention, and almost none of the
county officers outside of the auditors and
treasurers, have had any attention whatever,
and yet, wherever they have been given at
tention, conditions have been developed which
make it apparent that attention should be
given them as required by law. 4s.--. f..
There seems to be a demand from all over
the state that all the county offices Of the
!, various counties should be examined anG
. help given them to inaugurate modern sys.
TENS of accounts and records; yet, under the
circumstances, as you will see, this is i'm
| possible, no matter how much the Officer
pleads or insists that he should have hell
} or that the public interest may demand it.
Then, again, the law makes it obligator!
upon this department to examine the ac
counts of the state officers. The state treas
urer's office. which was checked up one yea
ago, is the only state department that has
been examined for two years or more. Z:
The force provided for by the law to assis
! in the conduct of this office Is: Three ex
aminers, 1900 each; one assistant examiner
$1,000; $500 is appropriated to pay the fou
. ! men, and there is an additional approprla
! ton of $500 which goes into the 'contingen
fund. This, with the $1,000 collected as fee!
from the banks, makes a total contingen
fund available for general expenses Of s., go
to cover all Office salaries, Office expenses
travelling and hotel expenses, postage, teie
phone, kilograms, printing, etc, ETC., all o
which, except $685. had been expended prio
to Feb. 1, 1902. =
MY predecessor, being pressed by an i'm
, mense amount OF work, small amount o
funds and not knowing what my policy q
| plan would be, very consistently and properl.
allowed the supplies of the office to becom
exhausted, therefore a new stock must b
provided
An Estimate of Needs. Z
will in conservative way estimate wha
! will be necessary to, in some degree accom-
plish the work just before us demanding at
tention. If new tax law is, passed, 1t will
for a year or two greatly increase the count
work of this Office. The new books, the clos
1 ing of the old and$,the transfer of account
8 from one officer to another, new forms, etc.
ETC. II no tax law Is passed, careful esti
mate of the work, the time 1t will require t
do each portion Of it, and the class of me-
and help necessary to accomplish it-let VI
do nothing if we do not do it well-at 10y
lestimate, shows it necessary for me to have
Five examiners, 81, 800 each ............ Sc, 90
One assistant examiner ................ 1,50
One clerk or office accountant 5000. 100
iTwo clerks 5000 each ................ 80
+ Expenses Of examiners in field ......., 500
All other expenses, postage, kilograms, Y
telephone, travelling expenses for pub
lie examiner, etc ...................... 100
Total ]. -. $233 SO