Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1915-06-30
STATE FINANCES
UNDER HARD STRAIN
Treasurer Young Calls Condi-
tions Alarming" Because of
Depleted Revenue.

HARRISBURG, June SO.-The condi-
tion of the State Treasury is alarming,
according to formal statement issued
today by State Treasurer Robert X.
Young, relative to the financial condition
of the State, and intended to be a warn
ing to department heads to make as few
expenditures as possible.
Mr.. Young's warning follows the letter
of Governor Brumbaugh to State officials
preceding his reductions of appropria-
tions.
The statement in full follows:
1.-THE failure of the Legislature to pass
any law for increasing the States reve-
nues, except the anthracite coal tonnage
tax which is not at present available and
unlikely to be for a long time to come,
and the customary appropriation by the
Legislature of sums In excess of probable
revenues amounting to millions. has
caused the condition of the Treasury to
be alarming. 1 shall not be surprised if
before the end of the present calendar
year appropriations will have to be paid
by the fiscal officers not as fast as they
become due as heretofore, but with a
view of the pressing necessities of the
institution or department entitled to the
same.
"The Treasury is even at this time
short of working capital and the General
Fund in the Treasury will be very greatly
diminished in the near future by putting
into operation the various acts passed by
the last Legislature, creating separate
and distinct funds for specific purposes.
mot only the General Fund, but the
Sinking Fund is affected by recent legis-
lation and n quite general withdrawal
of deposits in inactive banks throughout
the State will be necessary in connection
with the creation of these various dis
tlnct funds. The revenues at this time
of year are at the lowest ebb, while pay
ments are very high. The activities of
the great departments OF the State gov
ernment are naturally at maximum at
this season. For instance, the Highway
Department is now requiring 100000 a
month. During the last two days l have
found It necessary to transfer from in
active to active banks in order to meet
current demands $s65.000. But such are
the demands at present that even with
these transfers the balances in active
banks are low at this moment. BY active
banks are meant those designated by
the Board of Revenue Commissioners
upon which checks are drawn daily to
meet current payments. The diminution
in the General Fund of the Treasury has
steadily progressed ever since I have
been in this office when considered, say,
by quarter-yearly periods The balance
at the end of one particular month may
be slightly above that of the preceding
month, but this Is only temporary.
IT am glad to have opportunity OF max
ing this statement not only for the in
formation of the public generally, but es-
pecially for the bankers throughout the
State by way of explanation of the neces-
sity for constantly closing accounts OF
inactive State repositories. The number
of banks having deposits OF State funds
has diminished by more than so per cent.
during the last two years. Unless the coal
tonnage tax should reach the treasury
sooner than expected, see no prospect
for any relief from the present pressure
upon the treasury"