The Republican journal. [volume] (Belfast, Me.) 1829-current, 1904-09-08
THE STATE FINANCES.

recent interview with Governor Hill on
the financial condition of the State will be
of interest to every citizen ana taxpayer.
The governor likens the State to large cor
pOration and int;mates that what the people
want to know is what the act9aI financial
condition of their business, ttne State) is
today rather than what it was ~ years ago.
He analyzes the tabulated resources and Ii
abilities of the State as they appear in the
treasurer's report for 1903, experimenting
the same with statement OF deDt reduc-
tiOns for the current year. lie argues that
the tax rate should be reduced from Two and
three quarters mills to two mills, unless the
State proposes to continue the program of
buying bonds. 1t is a business mans state
ment throughout and will attract wide at
tention among the people OF Name
After showing concusively tnat the States
actual liabilities amount TO OUT $l,9l5,OOO,
the governor goes on to say:
ssSince January 1st, we have been using a
portion of the S433. 7S2. 90 Current assetsl in
reducing the States bonded debt. The
graduated scale of payments for retiring the
bonded debt calls for payment OF $7OOOO IN
1904. OF this amount ,0o0 came que on the
first day of June This amount was paid
and further bonds were bought to the
amount of $4,000, so that the net Indebted
ness of the State has been reduced to ST.
653, 900. a reduction for the current year Of
S26O,0OO.
"This sum represents the actual indebted
ness of the State today and L have tried to
make my analysis sufficiently clear to be
followed by any business man who wishes
to know Just where the State stands finan-
cially.
cas- l said in the first place, the State of
Maine is in good financial condition.
"There is money enough IN the treasury
so that between now and the first day of
January, 1905, we shall be abundantly. able
to retire another quarter million OF the
States bonded debt, if sufficient bonds are
offered at a reasonable hgure. ms would
bring the total bonded debt down to little
over million and four hundred thousand.
"The necessities of the State are now am
ply provided for and as the necessities in
crease they will be supplied with the neceS-
sary funds b. the natural increase in the re-
sources through established channels. All
this will be done and yet there will be a
cash balance of nearly half a million each
year Now unless the State is going on
buying bonds with this surpluS-and the
State will not find the bond holders anxious
to sell there is no reason for allowing it to
accumulate
consequently, unless bonds are to be
bought, the tax should be reduced so that
not the slightest reason why the State tax
rate should not go to two mills. Unless we
buy bonds, the present rate of two and
three-quarters mills is going to pile up
surplus for which there is no necessity. l
reiterate that this reduction to two mills can
be made without causing the slightest in
convenience to single interest of the
State.
''The people have it always in their pow
er to cut that two mills or two and three
quarters mills to one mill, or to nothing, by
simply withdrawing State support from the
schools, the hospitals, the agricultural inter
ests, the unfortunate and the veterans of
the Civil war. But my knowledge of the
people of Maine leads me to the unshakeable
belief that they will never consent to curtail
wise and liberal appropriations for all these
interests.
"The State is liberal but not extravagant
in aiding these various institutions. 1t dis
burSes its assistance through executive off
GERS who are giving faithful service, and in
many instances, receiving less pay than they
would in mercantile work requiring equal
capability, The State of Maine gets honest
service and conducts its business at cheap
er rate than could be equaled by "a business
concern doing business of equal magni-
tude.
"Once more say that Maine is in good
financial condition.