The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-09-06
FUNDS OF STATE.
AT Low MARK
Serious Situation COnfrOnts
Present Administration.
Danger of a Shortage in FL
nance This Year.
AUDITOR INFORMS GOVERNOR
But Letter Is Not Made Public
at Once.
May Use Famous Old "Not
Paid" Stamp.
tut Letter Is Not Made Public
at Once.
May Use Famous Old "NOt
Paid" Stamp.
TAX LEVY is EXCEEDED
Democrats May Find Them
selves 100000 Short.
Revenue From Inheritance Tax
Is Badly Missed.

There is grave danger that state
warrants will be stamped mot pajf for
want of funds" before the close of the
present year. Such a situation has not
confronted Kansas since the Leedy ad-
ministration in 1897.
The states general revenue fund is
low. None of the 1913 taxes will be
available before late in December.
And while State Auditor Davis be-
heves that the state will be able to
meet its bills promptly this year, he
admits that there is great danger of a
shortage of finance and the old rub
Der stamp, mot paid for want of
funds" must be dug up after a rest
from the Populist administration of 16
years ago.
letter reviewing the situation has
been sent by Auditor Davis to Gov
ernor Hodges. The auditors office de-
clined to make this letter public and
Mr.. Davis stated that such information
as he gave to the governor should come
from the recipient of the letter. Gov
ernor Hodges is not in the city how
ever, and this letter will probably not
be given to the public until some time
next week.
Appropriations Exceed Tax Levy.
The real cause for the trouble is the
failure to make sufficient tax levies to
| meet the growing state appropriations.
Under both the Stubbs and Hodges
administrations, there was a struggle
to keep down tax levies. Kansas vot-
ers and tax payers groaned under the
existing heavy tax levies and the ques-
tion of state taxes was live issue in
Kansas politics But it was found that
to cut down expenses meant the Grip
ping of state institutions. So the ap-
propriations were made and the sub
SeQuent levies were so low that they
barely raised enough money to meet
the necessary expenses.
Then came new and unexpected ex-
pense items. The 1913 legislature re-
appropriated fees and that action
means that perhaps 100000 in fees
which annually reverted to the state
treasury and have been available for
general revenue purposes, are now
protected for the several state insti-
tutions by legislature enactment and
cannot be touched
Miss the Inheritance Tax.
Again. The Democratic state ad-
ministration is beginning to miss the
revenue from the old inheritance tax
law. Last winter the Democrats re-
pealed the inheritance tax law That
meant loss Of nearly 100000 to the
state this year. And the Legislature
was unable to save that 100000 in
the appropriation items. Instead, they
increased the appropriations about
ations of the 1911 legislature.
There were other disappointments
for the Democrats. They passed the
picture film censorship law and the
sand bill. which they hoped would
bring in new revenue and meet the
losses from the repeal of the inher-
itance tax law. But the constitution
ality of these laws has been questioned
and the suits are now pending in the
courts-with virtually no revenue to
the state from either source.
The corporation tax law was passed
by the Democrats to bring added
revenue and reduce taxes. But there
will be no money from this source
before February, 1914-and money Is
needed to meet the 1913 expenses.
May Be 100000 Short.
In event it becomes necessary to
stamp state warrants mot paid for
want of funds" the Democrats will
probably find themselves about $780,
900 short in their general revenue
fund. 1t all depends, Auditor Davis
says on the manner in which the
state funds are manipulated during
the next three months.
Many of the August bills are yet un-
paid. The September, October and
November bills must be taken care Of
and all expenses of the state met be-
fore one dollar of the 1913 taxes are
available. Progress on new buildings