The Birmingham age-herald., 1915-02-03
GOVERNOR WILL PAY
 ALL OLD DEBTS FIRST
(C0ntinued from Page One)

I hope that conditions will soon be such
 that we can meet every obligation" 1 The order will have the effect of hold l ing up $500,000 worth of state war rants on the first of next month, in- cluding the salaries of teachers, amounting to approximately $500, ,0O0 | the salaries of all officials, Legislative expenses, and all other current ex- penses.
 Governor Henderson issued the above | irnstuctions immediately upon learning early this morning, that the legislature IS planning to adhere to its origina, purpose of adjourning on the twentieth legislative day, without giving him as- surance of passing an adequate revenue | measure by that time, or of making financial arrangements to cover the | heavy deficit in the treasury. Opposes Adjournment As announced in today's Age Herald, the governor is opposed to an adjourn ment of the legislature before that body has made some financial provi- sions for the state. Twenty senators had given him their assurance that 1 they would oppose adjournment until dehnite fiscal arrangements had been made. Therefore when he learned that the rules committees of the house and senate were determined to adhere to  tieth day, he at once took steps to prevent that action
 The governor threw down the gaunt- let and, though he adopted the most drastic course that he could have pur- sued, he, nevertheless, made 1t plain that he was determined to fight in the most vigorous manner possible.
 Considered Wise Course
 The action of the governor in in- structfng the state treasurer to refuse to issue any further warrants for cur rent expenses until the legislature has made provision to take care of the heavy deficit in the treasury is con sidered wise
 The books of the auditors office show that the total receipts from all sources since october 1, last, have been, in round numbers, $3,0O0, O0o. The disbursements have been s4.OO0. 0OO leaving a deficit of $1.OOO, 900 in four months. The large deficit accruing in Tour months is due. in part to the fact that the former governor, b. fore retiring from office released a num- Der of conditional, or contingent ap- propriations made by the legislature of 1911.
 Figures of the state auditor show that the amount of outstanding war rants on January 30, last, was $194O.- 40768, or nearly $2.00O,000, while there was considerably less than 1.OoO 0oD in the treasury.
 While these outstanding warrants nave priority over ai1 new claims against the state. the governor would not have instructed the treasurer to honor them first had the majority leaders of the legislature assured him that provision would be made looking to the financial relief of the state
 Compulsory Action
 Governor Henderson, realizing that the legislature was about to adjourn leaving him with an empty purse to hold, resolved upon what might be considered compulsory action
 As indicated in todays Age Herald the members of the legislature offered to pass the old general appropriation bill and at the same time agreed to arrange with a Baltimore bank to car ry $500,0O0 worth of state warrants. In addition to this, the two bodies passed a bill authorizing him to borrow seOO,- 000 making in all $S00,000 with which to take care of the states financial obligations during tho next five months.
 But as already outlined there has heen deficit of S1.000,000 since last October and, with that heavy deficit staring him in the face, the executive was unwilling to take the chance of protecting the states credit while the legislature was idle.