The Leader, enterprise and press. (Fitzgerald, Ga.) 1915-1921, 1917-06-29
States Financial Condi-
ton Main Subject For
1917 Legislature

Atlanta, Ga, June 26.-Sentiment is
growing in the Georgia legislature in
favor OF the establishment of the
budget system for appropriations and
expenditures, and the present condi-
ton of the state treasury can afford
the advocates of the system made
to-order argument showing the ne
cessity for some thorough, business
like reorganization of the states fl
nancial affairs.
Appropriations for 1917 already are
nearly $4,000 in excess of estimated
income, and the end is not yet in
sight, for there will be numerous pro-
posals for special appropriations for
the current year, az >the demands for
appropriations e 1918 and 1919,
which the legislature this year will
make, are growing by leaps and
bounds
Pensions in 1917 exceeded those in
1916 by 100000 Pensions in 1918
will exceed those in 1917 by $4,000
and pensions in 1919 will exceed those
in 1918 by. $4,000 The common
school fund this year was increased
Sl50,000 over last year, and there will
be demand for still greater increase
in the future.
Other stares in a financial condition
similar to that of Georgia have found
the remedy in budget system, which
simply applies to state finances the
iron-clad rule Of keeping within ones
income. Maryland has recently
adopted the system. President Will
son has urged its establishment in the
making of federal appropriations.
Progressive cities throughout the
country have used it for years. The
system consists, briefly, in casting up,
on the income side, an estimate of the
states revenue; and then, on the eX-
penditure side, in fixing appropra-
tons within the limit of income IN
der the system, all funds of every kind
collected by the state, and the va
rious departments, are paid into the
treasury. All departments pay out
their funds on vouchers to the treas
ury properly certified, and no couch
or is honored by the treasury, Cor
treasurer until it has been audited
Each department. has ceratin appro-
prlation for a certain purpose and is
not allowed to go beyond it.
Under the present haphazard sys-
tenn of appropriations, the legislature
makes up a bill to cover the fixed
charges of operation, plus the increase
from year to year, and then makes
4 raj VI special appropriations, with
out regard to what the states income
is going to be. AS natural conse-
quence, there is always deficit. A
ton bill as a whole or veto it as a
whole He cannot exercise any au-
thority with reference to any par
ticular appropriation.
In spite OF the states finances,
there will be another attempt to re-
peal the tax equalization law, which
has increased tax values nearly $780,
100000 by compelling the return of
property for taxation, The inheri-
lance tax law, passed also in the Sla-
ton administration, has brought thous-
ands into the state treasury. The es-
tate of j B. White, of Augusta, alone
will pay $l50000, which is equivalent
to the tax on $30,000,000 worth of
farm land. These two measures have
enabled the state to keep its head
above water. Without them the state
would soon be ready to go into the
hands of the receiver, since it is gen
orally admitted that a repeal of the
tax equalization law would immedi
ately result in a shrinkage OF values.
because tax dodgers would again be
able to escape the payment of their
Just proportion of the cost of gov
eminent.
The states financial condition will
be the main subject OF consideration
before the 1917 session of the legisla-
ture, and rightly so.
LEGAL NOTICE