The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-06-29

sumo OF LHG important features OF the
supplemental report are as follows:
Gives Auditor More Business
me trouble experienced heretofore
IS due to great extent to the system
OF accounting now in vogue, and this
report IS intended to call attention to
certain loose methods, and to suggest
sucn improvements as will enable the
auditor TO have more complete check
on the revenues of the state.
The duties of the state auditor
should be to see that the state receives
moneys to which it is entitled and
that such revenues are properly dis
bursed by lawful authority Under
the present method the records kept by
the state auditor and the state treas
urer are practically duplicates and are
not kept in such manner as will en-
able the state auditor to prepare a
correct statement of the financial con-
dltion of the state upon an asset
and liability basis.
"A system of monthly reports
should be inaugurated whereby the
state auditor should be advised fully in
regard to all revenues due or to be-
come due to the state from any state,
county or township officer, or from
any individual, board or institution,
and he should also receive independent
notice of all moneys RENTED to the
state treasurer by the parties making
such remittances. In this way the
auditors records would contain in
formation whereby he could institute
an investigation If proper returns of
collections were not made promptly by
the state treasurer.
THE report of all remittances made
to the state treasurer should be pre-
pared in triplicate; the original being
sent to the state treasurer with the re-
mittance, the duplicate being forward
ed to the auditor at the same time, and
the triplicate being retained by the Of
f1cer or party making the remittance"
Makes Three Grand Divisions.
The report goes on to say that an
investigation of the revenues and dis
bursements of the state indicate that
they are susceptible of distribution
into three major divisions or series, as
follows:
General series; all receipts and dis
bursements for general state purposes.
Educational series; to embrace all
receipts and disbursements provided
for by the statutes for educational in
stitutions.
Charitable and benevolent series; all
receipts and disbursements for charlt-
able and benevolent institutions.
These major series, under the Has
kins & Sells plan, will be subdivided to
show the sources from which revenue
is derived. and for what account dis
bursements are made.
A general ledger, to be kept in the
state auditors Office, is provided for,
with the controlling accounts therein
supported by details carried in sub
sidiary ledgers. The subsidiary ledgers
suggested are Revenue or Tax
Ledger" Bond Ledger" Gone for each
fund.-, Coupon Ledger tone for each
fund.-, Appropriation Ledger, Land
Ledger" and Real Estate and Prop
erty Ledger
It is also suggested that a warrants
and voucher register be kept, in which
all vouchers after being sworn to,
roI. "a
entered, and the warrants issued to
bear the same number as the voucher
Concerning the treasurer's receipts,
the report says: "A number OF diff
ferent forms of receipts are at present
used by the state treasurer in receipt
ing for remittances made to him.
Three forms of receipts are all that
would be necessary, one for leach
series into which the revenue of the
state would be divided Each of these.
series of receipts should have a dis
tinctive color and be mum bered con-
secutively. and the state treasurer
should be required to account to the
auditor for every receipt.
Looking After the Coupons.
Considerable space in the report is
devoted to a discussion of the proper
way to keep track of the coupons and
bonds of which the state treasurer is
custodian. The suggestion is made
that the state create a coupon sus-
penSe account The opening of such
a set of books is described as follows:
After an inventory is taken of all
coupons, whether matured and delin-
quent, partially matured, or unma-
tured a journal entry should be pre-
pared in which the state treasurer as
custodian is charged, and the coupon
suspense, by funds, credited, the in
ventory becoming part of the journal
entry, from which can be posted to
the subsidiary coupon ledger of each
fund the face value of the coupons
belonging to that fund. An account
should be opened with each munich
pality and the coupons posted to their
proper account.
THE coupon suspense account
should have careful attention, and
owing to the large amount of detail
connected with the proper accounting
/ of educational investments, it would
seem imperative that this work should
| be entrusted to the care of a specially
designated clerk to attend to these
matters. Not only should the books
and records show the, exact status Of
unmatured coupons carried in the
coupon suspense account, but, from
time to time, as coupons mature en-
/ tries should be prepared transferring
these unpaid matured coupons to
matured coupon account to be carried
in detail to a subsidiary ledger"
What Must Be Done First.
The report says that before any cor
rect system of accounting can be in
augurated, these preliminary steps
must be taken:
Il To close and balance the pres
ent general books and through them
verify and reconcile the cash in the
treasury
"2. Ascertain the exact status of all
taxes due the state on account Of pre-
vious years, and also that portion of
! the fiscal year which has been entered
upon
"3. Ascertain the amount Of war
rants issued and outstanding to date
"a. Ascertain the exact status of
all the land accounts. i. e.. school,
university, agricultural, and normal
IS Ascertain by inventory, the bonds,
/ nd other sao17rfffo- 1,olor,erf4,