New-York tribune., 1915-03-16
mo DIRECT TAX
NEEDED" "-CLYNN
Ex-Governor Says Whit
man Can Prevent 1t by
Use of Veto.
CALLS $1S,000,000
IMPOST AN OUTRAGE
Also Attacks Prendergast State
ment as Attempt to Save
Governor.

Ex-Governor Glynn in this city yes
terday got into the dispute as to
whether the condition in which he left
the states finances warrants direct
tax Of S18000,0 600 or any other amount.
This is the way ne summed up a long
statement on the subject:
"No direct tax iS necessary for this
year. 4 judiciouS use OF the veto
power can prevent a direct tax alto
gether next year, or at least cut 1t
down TO an insignificant amount.
"A direct tax Of $1SO00,000 would be
an outrageous imposition upon the
taxpayers Of the state. | predict that
the powers that be in Albany will not
dare to levy IT, According to the re-
ports Of the State and City Controllers,
Governor Whitman will have a cash
surplus Of about S5.000,000 on hand on
October ], 1918. For this period he
certainly needs no direct tax.
After that, whether the direct tax
is nothing. or s5,000,000, or SlS,00O,000.
or SS0,0OO,OOO, depends solely on Gov
crnor Whitman himself. He has the
power Of veto.
"Thc prevention Of any direct tax
would reflect great credit upon Gov
erHor Whitman The imposition OF q
heavy direct tax for political expedi-
cncy would dim the honors he has al
ready won in public life"
Earlier in the day Controller Prem
dergast had said:
"To those opponents of Governor
Whitman who CAIN TO get some com
fort out of the statement OF the state
finances submitted by me Sunday, J
would call attention TO another set OF
deductions which can be made from
the figures of that statement"
The Controller went on to say that .
corporation as large as the State Of
New York could hardly be expected to
DO business on a debit balance; that,
IN his opinion, there should be 4 bal
cnce Of at least S10,O00.00O at the start
of each fiscal year. He called atten-
tjon 10 the fact that the balance on
which Governor Glynn started his fiscal
wear was S14370,000 Continuing, the
Controller asserted the figures Of his
accountants showed that or October l,
1916. there would be unllquidated APP
propriations Of S12,4j9.7l516 and over
drafts on the bank account Of S53OS,-
573.32-a total Of $l776S.2SS.4S.
In his opinion, the Controller said, II
was not safe 20 carry over uneXpended
balances of appropriations. depending
on tie next years income 10 liquidate
the debts.
"In New York City" he added eve
would absolutely reject any such prop
osition. To what extent the Legls-
lature will want TO provide against
these irremovable liabilities ! do not
know, but that it viii be necessary to
provide something, and considerable
amount, must be plainly apparent"
Il make no complaint Of the work OF
Controller Prcndergasts experts" was
the reply of former Governor Glynn TO
the city official. 81 object strenuously,
however. TO the strained unfair and H.
logical conclusions which Controller
Prendergast draws from this work. Eyi-
IDENTIFY he thinks more of saving the
reputation of Governor Whitman than
of saving $l3,0OO,O0O for the taxpayers
Of New York City.
an advocating a large surplus he ad-
vocates a new political theory. Unnec-
essary surpluses mean unnecessary tax
alton. While Governor of New York !
treated the surplus as Governor Hughes
treated it. No harm has come from his
policy, and no harm has come from
mine