Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1916-12-16
If NOT ANOTHER
bond ISSUE
WHAT Then?

Following a portion Of the pamph-
let by Hon. Lyman Nelson which we
published this week. the third article
Of series by Prof. George T. Files Of
Bowdoin College, Is doubly interesting.
Prof. Files opposes bond issues and
clings to the pay as we go" principle.
This week he writes:
There are at the present time a
small group of men who advocate a
new and entirely unattached bond is
sue, olive will say-$4,000,000 to
Sc, 000, 900 to be used in the completion
of our trunk lines. "Other states are
doing this, why should not we?" they
say. We have abundant examples be-
fore US which might serve as q prece-
dent.
Now. It Is probably true that the
proponents Of this plan have. in some
way or other, failed entirely to proper
ly gauge the temperament Of the
Maine people and to understand our
constitutional limitations.
! First, the laws of our State actually
forbid the issuing Of bonds by the
State for any sum in excess of $780,
900. Our forefathers did not propose
to permit this State to burden itself
with heavy debt which posterity must
pay. Of course bond issue is entire
ly possible. If the people need 1t or de-
sire it; 1t is only necessary to amend
our constitution. And indeed this was
done four years ago when our $1,000
900 bond issue was granted by our
Legislature and accepted by referen-
dunn of our citizens. The proportion
I~Q e. % TO A IN
But that was different-entirely differ
ent The whole voting population of
Maine understood clearly that that
bond issue was exceptional and I'M
usual. The adoption by the State of
the amendment to issue the 100000
was the exception which proved the
general rule, for this issue was to be
capitalized and the interest assured
for all time by the proceeds from the
automobile tax and license fees. Not
one dollar was to be raised by direct
taxation. Hence this tentative amend
ment to our constitution was felt to be
entirely in accordance with the spirit
of our constitution and the tempera-
ment of our people. u.
If, now, a general bond issue should
be seriously proposed, the interest and
retirement fund for which was to be
paid by direct tax. the result of the ne
cessary referendum vote would I'M
questionably be totally different. The
proportion of to 1 would probably be
reversed. For there is a general desire
among the citizens of Maine to do
what we can afford to do-and pay as
we go. We do not want to have
burden, of debt for our descendants
especially if that debt were incurred
for something that they cannot enjoy.
Accordingly, if these assumptions are
right, let us neglect entirely all argu-
ment either in favor or against new
bond issue.
We have now left for our considera-
ton only two serious propositions
two definite plans for the raising of
sufficient funds to complete our high
way construction. And, in reality,
these two plans are quite similar in
character. The only marked differ
ence between the two is the method to
be employed to raise the money. 9th
erwise they amount to the same thing.
The two proposed plans are:
! /. To raise the necessary sum of
100000 annually by direct grant from
the Legislature.
H. Tosraise this sum by the mill
$4,000 for Annual Use.
| While, on the surface of the thing,
this plan appears easy and practicable.
those familiar with legislation would
shun this plan with exceeding caution
And the difficulty lies not in legisla-
tive enactment and practice theoreti-
cally and per Sc, but rather with legis-
lation and legislatures considered from
their practical side. AS popular as the
cause of good roads is in the State of
Maine, the old and wise heads know
that it would be exceedingly difficult
to obtain a grant of 100000 for
period of two years, to say nothing of
| the difficulty of obtaining this sum for
| a period of six or eight or even ten
successive years. Conditions and ext
gencies arise which materially effect
the temper of legislative bodies in
sudden and unexpected ways, and
when one of these arises what becomes
of your appropriation. We need to
seek no more pertinent illustration
than the well known instance at the
last session of our Legislature in 1915.
Bills with Recommendation for appro-
priation of money in enormous
amounts had been flowing in for weeks
in spite of the warnings of Governor
Curtis. 100000 or $1,500,000 was re-
quested for bridges alone. Wings for
hospital buildings, homes for aged,
etc. etc, there was no end of such, and
each proponent was dangerously &C
tive in the promotion of his plan.
Something certainly had to be done,
and Governor Curtis did it, wisely and
well. He said to the legislators:
t"Gentlemen as you are going now. the
State will be bankrupt for the next
two years. We raise so-and-so many
millions of dollars for State purposes
and that is exactly what we have to
spend. Now scale down your demands