The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1917-02-06
KANE ANSWERS KEAnNc
Ravalli Senator Gives Fig
ures Ito Prove Auditor
Wrong on Deficit.

Helena, Feb 5.--(Staff Correspond
to a question OF personal privilege II
the senate. took exception to the state.
flecting on the accuracy of the partia
report submitted some time ago by the
special taxation committee, and gave
detailed figures to show the auditor il
wrong and the report Is right. Ht
stated the summary is signed by l.. d
Moritz. clerk of the board of examin
ers; Charles Scharf, state accountant
and T. ]. Hefling, former deputy state
treasurer
Following Is Senator Kane's state
ment:
I'm accordance with n resolution
passed in this body. n committee was
appointed some time ago to inresti-
gate the tax situation in this state.
This committee realized that in order
to have definite working basis. it
was necessary to determine accurately
the true financial condition OF the
state and the amount necessary to
conduct the affairs Of this state for the
ensuing two years. Our accountant
prepared statement which was pre-
scented to this body. showing that the
deficit based on our existing revenues
and expenditures would be approx
mately one million dollars. Tmmedi-
ately The state auditor issued an Of
fetal statement which was sent out by
curacy of the statement. ridiculing the
figures therein. stating that ii was Il
feat at juggling and accusing this
committee of Interior motives. He
further stated that he stood equally
behind his figures previously sub
mitoed and that the deficit as indi-
Gated by him might be still further
reduced. We are willing to accept the
issue as indicated by him and will ad-
rnit that someone has juggled the
figures. | have here a detailed state
ment Of the auditors estimate and our
estimate. They do not materially
differ from each other in the estimate
Of the expense of the various execu-
tive departments except the following
instances. The auditor estimates the
sheep department and stock depart
ment at $4,000 and 100000 respec-
lively. Our figures based on the cost
during the past two years are $4,000
and $4,000. The auditor leaves out
the grain inspection department, which
he estimate at $4,000. based on the
past two years. Judicial expenditures
are identical. except that we allow
$4,000 for expenses Of judges as there
is deficiency at this time Of $4,000
Our estimate of maintenance expense
is $233.172.50. above that of the au-
ditor, our estimate being based upon
report OF the state board Of education
and the cost of the other departments
In the past two years. Our miscel-
laneous is based upon previous expert
ence and exceeds that of the auditor
by $4,000. Legislative expenses are
the same in both reports. The au-
ditor estimates Dur present deficiencies
at s2T,440.55, but the facts are that
the present deficiencies are slOS.1O7.37
and l am informed that the WAYS and
means committee of the house has
been officially informed OF deficiencies
identical with our figures. The au-
ditor states that our estimate Of un-
registered warrants, s326,433, is the ac-
cumulated debt of 20 years. Even if
this Is correct. the fact remains that
these warrants must be paid But the
facts disclose that all warrants pre-
sented were paid to November J. 1915
Further, there was a cash balance
in the general fund on February os,
1913, Of more than STAG. 600 and no gen
eral fund warrants were registered
after that date until March IS. 1913;
and the records further show that all
warrants We're paid without registra-
ton up until January %. 1915.
Now. gentlemen, we were sure OF
our ground when we made our prey
ious report but when our statement