Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1913-12-20


Of the people in inserting this clause
in the constitution was to enable those
charged with the duty Of providing
necessary funds for the maintenance
Of the government to exercise some
discretion in distributing the burden OF
taxation, in event unusual or extraOrdt-
nary expenditures are deemed neces-
sary beyond tho period for which ordi-
nary revenues are provided. To meet
expenses not otherwise provided for
that, not made available on some other
or different way or manner-the gem
eral assembly Ia authorized to incur an
Indebtedness to a limited amount pre-
cisely as is done in the exigencies OF
private business. In other words. the
state. is not denied the advantage OF
postponing payment Of expenses which
may be extraordinary or UNI
usual which are found bene-
fetal in the ordinary enterprises Of
life. The objects for which expenses
may be incurred are net defined but left
to the discretion OF those en-
dowed with the power OF mourning
them. Expense is defined in Websrer's
dictionary as meaning that which is
expended, laid out or consumed out
lay; and hence the burden Of expendi-
ture; charge, COST And price Is said
to be synonym. Expenses when in
CURED is evidently what Is meant, for
there could be no expense by the state
unless made in pun suance of law and
the debt authorized may be created TO
meet such expenses. Manifestly the
levy of a tax collectable in the future
would not constitute a provision for
expenses presently created, and the
collection of these may subsequently be
available to discharge the obligations
assumed in the present expenditures.
does not obviate the right to create
debt therefor. In ether words, a stat
ute may authorize expenses to be in
Cured and at the same time direct the
issuance of evidence of deht in the way
of bonds, warrants or certificates, to
meet such expenses and in the same
act provide for taxation out of which
to extinguish the debt The act under
consideration directs the executive
council to purchase the grounds about
the capitol and thereby to incur an
expense For this purpose the levy
Of one half of a mill on all taxable
property OF the state is ordered for
each OF the years of the biennial period,
1914 and 1915. Whether the revenue
Tor these years available for the pur-
chase of the grounds will be sufficient,
was not known. Were this inadequate
however, there would be no fund to
meet this deficiency and such detic-
iency might not be anticipated, az VII
hereafter appear. without mourning an
Indebtedness by the state. True. the
levy OF taxes sufficient to provide $780,
600 per annum thereafter is authorized
by the act but this might not be avail
able for the purpose Of accomplishing
the earliest possible completion of the
work contemplated
The manifest design in allowing the
executive council to- issue certificates
payable out of funds other than those
collected during the biennial period
was to assure the earliest possible
completion of the work and we are Of
the opinion that any deficiency in the
revenues collectable within that per-
Tod and available for this purpose would
be an expense to meet which debt
against the state not exceeding $3.50, 900
may be incurred by the issuance Of
certificates or warrants in pursuance Of
the last four. sections of the act under
consideration"
1t will be seen from the above that
the position taken by the cour: is much
| broader than that which was taken by
the council itself, in that 1t is declared
to be legal to issue certificates which
might be a charge against the general
revenues Of the state rather than
against the special fund created by
the tax levy. In other words, even tho
there should be failure or refusal to
make tax levy beyond the biennial
period. any certificates issued would
be payable from the general funds OF
the state UP to the constitutional limit
or Indebtedness. This will make the
security back of any certificates issued
doubly good. AS to the effort of the
compliments to force q construction
which would preclude use OF the money
In sight from taxation as mourning a
debt. the court said:
Certificates or warrants issued in
anticipation of revenues collectabie
within the biennial period and payable
therefrom do not create debt within
! the meaning Of that term as used in
! the constitution. The general assem-
/ bly, convenes on the second Monday or
! January of the odd numbered years
and provides for revenues necessary
to the performance of the different
governmental functions during the en-
suing two years. Its power Of taxation
| ID u1A1LlIteu ana the taxes authorized
| to be levied and collected are legally
certain to reach the state treasury and
therefor are as certainly available to
meet the expenses authorized as are
those collected annually by a munich
| pality. Warrants issued in anticipation
of taxes are held not to constitute a
debt on the theory that moneys. the
receipt of which is certain from the
collection Of taxes are regarded as for
all practical purposes already in the
treasury and the contracts made upon
the strength thereof are treated as
cash transaction. The anticipa-
ton, then, by the issuance OF warrants
or certificates to be paid therefore is
in the nature Of a previous appropria-
tion Of funds subsequently to reach the
treasury. the setting apart q portion
thereof for specified purpose rather
than the creation Of an Indebtedness
against the state"
AZ to the contention Of the opponents
Of the capitol extension as to the IL
legality Of the whole act because the
council might issue certificates in vlo-
! lation Of the constitution the court
said:
"The members of the general assem-
bly, which enacts and the governor who
approves a statute have sworn quite al
solemnly to support the constitution as
the members Of this court and are to
be assumed to have intended to con-