Evening journal., 1909-01-07
Continued From First PaGe)

fund certain payments were made during /
the course of the past year This fund was /
On deposit in the State depository, and was
not drawing interest IT was deemed wise /
10 invest said funds in interest bearing
securities We therefore purchased, at rea-
sonable price, S2O.OO0.0O of our own State
bonds 1t was impossible to secure
statement Of the full years work from the
State Treasurer as his term expires the
same day on which this message reaches
you Full and detailed statements of the
finances will be found In the reports of
the state Treasurer. and State Auditor.
.srhese reports contain all the facts and
Information necessary to give you COM
prehensive grasp of this important sub
ject. / feel called upon to renew the sug-
gestions made in my message of 1907 con-
cernlng the State deposits and depositor-
les. / have not heard any convincing argu-
nent offered against the proposition that
the state deposits should be treated with
the same liberalty which is accorded the
individual depositors. I suggest the pro-
prlety of onacting a State depository law
which shall provide, among other things,
that the State funds should be deposited
i'm certain designated National and State
banks and trust companies having bank
ing powers; that such designated deposit
tories should be required TO give good and
So. Gent bond. containing warrant of at
torney to confess judgment in favor Of the
State in double the amount Of the deposit
which may be made therein; that such
designated repositories should be requir-
ed to pay interest to the State at the rate
of two per centum per annum upon the
daily balances the credit Of such interest
to be made semi-annually. The subject of
nppropriat on of public funds win demand
your careful consideration. The general
appropriation bill, conta ming all the fixed
charges against the State. such as the
salaries and expenses of the several state
departments and officers, the usual appro-
priations for educational, scientific, chari-
table and benehcient purposes, should be
enacted by YOU early in the session. Hav-
ing ascertained the probable income for
the two succeeding years, and having dis
posed of the general charges against this
fund, you win be prepared to adjust the
sums which may safely be specially appro-
priated and save the State deficit.
II renew the suggestion contained in my
last biennial message that Rigid economy
IN public affairs would receive a healthy
impulse if the General Assembly would
exercise the greatest care in the appropri-
alton of money and advocate only those
measures involving the expenditure of
public funds. which would commend them
selves to the approval and public spirit OF
the citizens Of this State
Every encouragement should be given
by the State and its people to the deevlop-
ment and improvement of its inland water
ways especially the ship canal connecting
the Delaware and Chesapeake BAYS.
'The proposition Of STRENGTHENING and
deepening our yivers inspires a lively in
terest in the minds OF all our citizens and
the promotion of which should be fosteret
and furthered by every legislative enact
ment consistent with public policy anc
the State finances.
without reference TO the extension oi
non-extension of the Local Option law
believe the license tax should be material
~ increased.
Inheritance Tax.
I'VE now have q statute which levles
Mnder. certain conditions, a collateral in
heritance tax. The propriety of levyini
also a direct inheritance tax may we'll en-
gage your attention. l do not look upon
tax OF that character as a method for tn
reduction OF swollen fortunes. 1 view
solely as another effort to equalize tn
burdens of society. 1t should not be levie
upon small inheritances; but after tn
proper limit is passed there is no reaso
which justihes the collateral inheritanc
tax which win not also sustain one upo
direct inheritance. ! trust that you wi
interest yourselves i'm the subject, an
take such action as the best interest Of IN
State requires.
Treasury Warrants.
"The want Of proper legislation upo
this subject enables certain Appropriation
TO be drawn from the State funds in bul
upon Gling with the treasurer certai
statements or requisitions. among thei
the appropriation to the State Board
Agriculture the Peninsula Horticultur;
Society and Farmers Institute.
Good business judgment would sus
gest that voucher duly approved by Il
officer or officers contracting the del
should accompany the warrant and III;
the check Of the treasury therefor be i
sued and forwarded TO the creditor direc
The State appropriates 5000 annually to Il
Farmers Institute in each county. No "a
counting Of these funds TO the State h;
recently been made. on calling for Il
statements / ind there is to the credit
the Institute Of New Castle county. S699.
on the lnliu cay OF feDluafNs lWo IN
balance is largely in excess of the amour
appropriated and represents an accumul
ton which should have reverted to Il
State treasurer. If the use of warrants
suggested above had been in force IN
accumulation would have remained in Il
state treasury. The proposed method
applicable to all funds except the appr
priation to the Organized Militia Of Del
ware. The expeditions movement of q
troops i'm case of riot or on functional q
casions necessitates the funds being I'm Z
hands of the authorized officers of the q
ganizat'on. / recommend your carei
consideration OF this measure.
Taxation and Revenue Commission.
Pursuant to the recommendation in r
biennial message Of 1907. the General a
sembiy created a revenue and taxati
commission the said comm ssion was a
thorized and directed to make a stu
OF the underlying principles Of taxatiC
10 inquire into the methods adopted
our sister States and to recommend dc
mite legislation which would raise I
needed revenue for the State. withc
resorting to = direct tax, and still
based upon consistent and understar
able system.
The report of this commission will
nroeenfed AZ fhfe session for vour inf