The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1912-04-16


fore the fourth annual meeting Of the
North Dakota State Tax association,
by Hon. J. q. Gunderson Of Aneta,
member of the twelfth legislative rs.
sembly:
Efficiency and economy are the
watchwords Of successful business
men, and their means OF arriving at
them is through their ability at ali
times to have an intelligent knowledge
Of their affairs. The c~urtailing OF ex-
pense is not necessarily an economical
move, as it may impair efficiency, and
the impairing of eff1ciency is general
~ more serious than the wasteful use
Of funds.
The question then arises what are
the means by which a legislative body
can i~ntelligently distribute the funds
Of the state, in such a way that they
may be diverted to the most economi-
cal and efficient use to the people Of
the state as a whole.
The first, and an absolute necessity,
Is a scientific and uniform system Of
accounting and reporting for all de-
partments and institutions; second,
a clear and concise budget for each
institution prepared by a board of dis
interested persons required to perform
this duty from personal observation
and examination, with detailed ac-
counts and reports supporting it, and
a well digested statement showing
conditions existing. whether or not
funds previously appropriated have
been economically spent and as to the
efficiency with which departments and
institutions have been run. I believe
that the present duties Of our board
Of control should be enlarged to this
extent acting as an advisory board
to the legislative assembly as to the
finances and wants of state depart
ments and educational institutions,
not with power to control expenditures
as in the case of charitable and penal
institutions.
1t has generally been assumed that
the average citizen has little interest
in how the revenues of the state are
spent. What little public attention
has been given to our finances has
been the sum total of the appropria-
tons made, and this, as a rule, a
matter of political cause and effect.
Since our state has now passed it's
pioneer stage with its population in
creasing at a high rate and with the
realization that proper development is
essential to public welfare, it becomes
more and nor apparent that the pub
lie will demand economy and efficiency
in the spending Of it's funds, to the
end that it may receive necessary and
substantial returns therefore.
Responsibility Scattered.
In our state the responsibility rests
upon our legislature to make proper
appropriations, on the state auditing
board for allowance of expenses to
carry on the executive branch Of our
government and on the state auditor
to adjust, approve, or reject each
month the expenses of institutions.
Politics but No Business.
The usual way for preparing appro-
priation bills in our state is for the
head Of a department, the head of an
institution and trustees thereof, to
agree on what request should be made
from the Legislature for funds. On
the basis Of such conclusions bills are
prepared and introduced by the mem
Der or members from the district
where such department or institution
is located. The success of the bill or
bills at times depends on the party
introducing it and the political stand
ing of the community where the insti-
tuition is located. Members are re-
quired to act on these bills and the
usual information they have to guide
them, is an explanation by some one
connected with the department or in
stitution, as the case may be, gen.
orally the head thereof, and at times
biennial reports which in most cases
are both incomplete and indefinite and
nearly all of different forms. This
leaves our legislative members in a
position where they have to attempt
to perform duties imposed on them
without having reasonable information
as tt the conditions existing in the
agencies through which the work of
our state is done and its moneys
spent, making their acts really the
performance Of a stunt and not
action based on comprehensive in
formation and known facts. Nc fault
Of the individuals themselves. but Of
the defective system Not hat our
state is any more defective in this
respect than most other states are,
but apparently has followed the same
course, since very few have enacted
laws providing for the preparation and
consideration OF appropriation bills on
the basis of a budget. In some states
there is no law governing the prepare
ton of such bills, nor an established
system therefore.
Need Of Change uruaent.
Today if our departments and in
situations are TO be properly sup
ported, the expense is large and out
of all proportion to such financial
needs as were originally expected when
the state established them and under
took their support. From this natural
~ follows the necessity for increased