Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1919-08-07
AUDITOR SAYS.
CENERALF FUND.
IS ABOUT GONE
Townleyites Say the New
State Bank Will Stand the
Burdens of Expense.

Bismarck, N. D.. Aug. THE state
OF North Dakota Is practically broke,
with only $4,000 in its general fund.
The state Of North Dakota is not
broke-it has nor than 100000. the
largest amount in years. In its general
fund.
State officials will go without their
salaries for the next three or four
months, md current accounts will be
allowed to slide:
State officials and employees will re-
ceive heir salaries promptly, and the
state will meet her bills when due.
The state has no source Of funds:
collections at this time of year are
almost nil; there's no solution for
North Dakota.s present difficulties.
The state has back of it the Bank
OF North Dakota, with the authority
and the funds to finance the state
government, If necessary. Everything's
lovely, except for this man Kositzky.
Well have to look into his case. He's
throwing monkcy-wrenches in the
machinery. :
These are the anti-Townley and the
Townley views Of North Dakota's
present financial situation.
State Auditor Kositzky insists the
state is within $4,000 Of being broke,
this very moment. He declares that
today he found it necessary to cancel
$4,000 of warrants already issued.
would have been paid must wait, he
saya.
Fortified with an opinion from the
attorney general. to whom he appeal
ed for advice. the state auditor today
transferred from the general fund
$4,000 to the state hospital for the
insane; $500 to the institution fol-
thu P~Ah1> -S-l.S t>-A . nnn - A.
tuberculosis sanitarium. These funds
are represented in fees paid by the
several counties for the maintenance
OF charges at these institutions. Here.
tofore they have been retained in the
general fund until the institutions
found Eeed for them. and salaries ana
other expenses have been paid from
them during the summer months
Convinced that this practice was il.
legal, the state auditor yesterday ap.
pealed to the attorney general for his
opinion, and Mr.. Kositzky was in.
formed that the law supported the
stand he had taken. The transfers
were therefore made: $4,000 in war.
rants already issued were Cancelled
and there was left just $4,000 in the
general fund.
Bank viii Finance.
A for the money we need in oul
! operations, and for the general ex'
penscs of state government. If the
general fund is entirely depleted, the
Bank of North Dakota will take care
of us. The bank has the means and
it has the authority. 1t is in position
to carry the whole state without strair
until this years. tax payments come
in"
Overstcpped. Says Koeitzky.
The whole. trouble is that the .levie.
of the last assembly exceed the avail.
able income of our state" said Mr.
kositzky today in explaining the
shortage. Expenditures were multi.
piled; half a million or more was Sc,
aside for emergency appropriations
l can't produce money from thin air
My duty is to carry out the law an6
to safeguard the interests of the PEG.
Pile.
1--WE have just $4,000 in the genera,
fund today. L don't know what col.
lections will be this month. Out o.
the money on hand salaries will be
paid in their proper order-first, the
governor and his department, then the
secretary of state, state auditor, state
treasurer and on down. When the
MONEYS gone We'll issue warrants"