Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-01-08

+ CONSERVATIVE QSurlug Will uNuoooteuAJ
make the estimate Of income lower than
| the amount really expected, and. if this
works out true. the consequence will
be a surplus or excess income in the
treasury after the revenue is collected
and the expenditures made according
to appropriations. Also, il the total
amount of the appropriation Is not ex-
| pended the difference would also in
crease the surplus.
SURPLUS Is IMPORTANT
| This surplus is an important feature
| which should be determined each year.
! and specific mention made of it. Sell
dom has this been the case. 1t appears
to be floating commodity of unknown
quantity SO far as the public can easily
ascertain from the reports. There is
strange uncertainty connected with it
which should be cured as far posi-
! bic. and. to my mind, it should be
fastened to something in the reports SO
! that 1t cannot be lost to sight.
! Therefore, it Is recommended that an
account be created which may be called
deficiency, or an equalization account,
! or some other name would do as we'll.
| II you will refer to the appropriation
| bills Of 1913 and 1914, difference in the
wording will be noticed. which appears
to be an attempt to obviate some OF
the difficulties of deficiencies which. of
late. have caused more or less conf
ment
1t is evident that all bills for a Civ
en- year cannot be collected and audit
ed previous to January 1st of the next
year. and. if the accounts are closed on
December 3lst. the unpaid bills for that
year cause deficiency for the following
administration to appropriate and pay
for, although there may have been suf.i-
eient balance of the appropriation to
pay for those bills outstanding
/ II these unexpected balances had
been transferred into an equalization
FUND. the outstanding bills coul. he paid
from it after the books We're closed.
EQUALIZATION FUND.
| Therefore. there is the reason for an
equalization fund. to take effect. say.
on January LIST. 1916. u which all act
ual surplus OF money and income as
sets may be credited after ali appro-
priatlon accounts are closed. except
the so-calied continuing accounts
This would form a basis TO start the
account. and any unpaid bills coming
in after the December warrant is signed
would be charged to the account. ard
so on until the end of the year, when
the accounts will again De closed on
: December 3lst and any surplus be cred
TIED To it. or deficiency charged to il
as the case may be,
! The account might come under the
contro! of tie Governor and Council
or even a committee to act with the
consent Of the Governor and Council:
and should, at any time. an unneces-
sary surplus be accumulated. it could
be transferred to the INCOME account
and make the taxes CORRESPONDENCE
less when the rate is again made.
This would avoid all controversy re-
gardins amount of DEFICIENCIES fer a,v
year. as 1t would all be on record in
this account.
The account Could be used to correct
'''oIs. 10 appropriate for necessary
expenditures not anticipated by the
LEGISLATURE. etc. ans. Of course. to
Make payments on the State debt when
necessary. 1t might also serve as =
more systematic method of curing the
oPJec'lohap.e features OF appropriations
maze from unexpended balances and
also might avoid fiuctuating statements
OF the net debt. which is at times re-
terred to unjustly.
II would also avoid any temytation
10 eSpeAd money because of 2 ,a-ga
c"Sh ha-aEce, as it would Snow lust now
Ia. the balance was encountered
II would avoid any misinter3retatic,
OF the financial wori. OF anv admipis.
tration.
maps you will consider this. or nor
mars not 1t is but recommend j., ,io,,
arguments can be used for and ,oai,..
H. " course, the present nethcd h..
IT'S merits. The danger. of course
would be in the possibility of the acc,,-,,
uia'ion CT large surplus in the f,nd
Out this can be controlled nv 1.o;z,..:11'
surplus may have been in w., ,rooa
uLs many times. but how manE 10.
Mndt II was, or when. and. If 60 - .
u;!seosal Eas made Of it, An e1,,a j. -
ana where 1t goes - eo-'-eS
nave stated there are some neou,;, -
FEATURES in the methods of accoTn, a.
t ai.u IL IS useless to make such a state.
are ana.yZed and explained. ~ ie"3''
II you Will refer to PAGE Is of tha ,rai
toi Report, a compariS IN tail. is noticad
OF the school Fund Mill Tax and Rai,roe "a
lax due the cities and towns sga;re.
me state Tax due the State for Tho ~an
1913 and 1915. You wilt readily po,ioo
mat the wording is ambiguous 70 a go
.alI extent, as 1t seems to indicate IN,
.nese total amounts must be paid Win
.he taxes outstanding ON January Ist ana
mat There will be a surplus of defcienc~
as the case may be >
mere are two comparisons: one Of tho
amount due the cities and towns apains.
the taxes due the State and ano.hsr
| 1916 9''S- the year
The value of either comparison searos
! lmmaterial because the FIRST docs MOI
mean that the amount due the towns aud
cities must be paid by whatever tax may
happen to be due January LIST, but the
real fact is that it must be paid out Of
the tax and receipts set aside for that
purpose, whether it is received by the
| state IN one year or another
| me report shows that the State tav
Tor 1917 was 81, 500 0S1 65, and .nat s216 s,I 81
was collected in that year, leaving a bal
ance due of State tax of 81 5g2 493 o.
Wnlch Is SlS21 Is more than the common
school and mill fund taxes due the cities
and towns.
! The railroad tax of slso.s1o15 has al
ready been received. and should he a
| part or the cash balance on hand to he
sent to the cities and towns on January
| LIST.
But, by adding the school fund and the