Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-01-06

md Senate. is as follows:
Ladies and Gentlemen Of the General !
Assembly:
LET not him that girdeth on his har-
ness boast himself, but he that putteth
t Of"
Under our Constitution, it is the duty |
Of the outgoing Governor to lay before |
the General Assembly an account Of the
condition of the state, together with
such recommendations as he may con |
clude to be in the public interest.
The administration covered the World |
War period and the beginning Of the ,
more trying readjustments following the
war. At its beginning. affairs not only
In the State but in the Nation were al |
ready unsettled by the war in which all
civilized nations Of the world, except our
own, were engaged. At that time 1t was
thought that We would not finally be-
come involved in the war. The General
Assembly IN 1917, therefore, made no |
provision TO meet the unusual conditions
created By our becoming a party to the
war.
The rise in prices, the scarcity of labor
Bnd It's high cost and efficiency, the
shortage of cars and the congestion of
the transportation lines in the country,
made 1t impossible correctly to Innate
the exact needs Of the various State in
stitutions.
To meet this situation, the General
Assembly of 1917 created, for the first
time, what was known as the emergency
contingent fund to be expended by the
Governor for the purpose OF meeting any
deficits in the operation Of the various
State institutions.
This fund was again created by the
General Assembly of 1919 and provision
was made at the special session Of 1920
to meet the deficit in the current 3ppro-
priabons of the State institutions. OF
this 1917 fund $142 $3.50 was used to
meet the current deficit Of the fiscal year
ending Sept. 80, 1917, and the following
amounts were used each year thereafter
down to the close Of the fiscal year end
ing Sept. 80 last:
For the year ending Sept. so,
1918 ......... S2O7 O3S.T0
For the year ending Sept. 80,
191S ..-.-........ ..--...... 0Ob,OOOOp
J'Qr the year ending Sept. So
1920 ......-....... .........-. 156, 3O1.9S
The full effect Of rising prices was not
felt until 1920. When the General
Assembly met in 1919, convinced that
prices would decline, again it failed 20
make sufficient appropriations TO main
tain the various State Institutions. Prices
instead Of declining rapidly, advanced
and reached their highest point in the
spring Of 1920.
On account Of the unsettled condition
it was not thought advisable during the
war and the period Immediately follow
Ing TO embark on any new construction
not imperauvely demanded.
The activities Of this administration
have been directed, therefore, along other
lines than that Of new construction work
The only new buildings that have been
added to the various State Institutions
during the past four years have been
the construction Of the boys group and
part Of the wOman's group ut the Epilep-
tie village; farm colonies at the Eastern
and Southeastern Hospitals for the In
sane and the new buildings at the Re-
formatOry and the Feeble Minded Colony.
Taking advantage OF the low price Of
lahd IN lylli and again in 1912 at the
request of the executive, the General As
sembly placed under the control Of the
Governor and the legislative committee
fund for the purchase OF real estate
and for making extraordinary improve
ments that might be needed by the
various Institutions.
5.155 ACRES OF
LAND BOUGHT.
Acting under this authority, there has
Deen purchased for the State during the
past Tour years 51I5 acres of land at a
cost of S5I1,SOS. The real estate is worth
To-Day at least one million dollars This
legislation has justified every expectation
OF those who proposed il. Under the old
plan, specific appropriation TO purchase
real estate, was notice to every owner of
real estate in the neighborhOod of the
institution that the State was in the mar
ket Tor land. The result was that IF y-as
difficult to purchase land at a fair price
Cnder the plan adopted during the
past -FOUR years, il has been Dossibla
Tor the executive, with the concurrence
" Ihe committee, to exercise the same
Judgment and freedom Of action in the
purchase of land that APPLIES To an in
ulsIcual IN his own private interest
II VIII not De necessary in the future
70 purchase much additional real estate
bo-o o.ate INSTITUTIONS. Several of them.
however, VIII need to make such nur
activities VI IHeE
therefore recommend that fund NJ
!east SSOOoOO be placed at the disDosaI
" Ihe executive and the Legislative f.CI'1
mIttee Tor the purpose of 9couirir,,- -
estate by this method ie'i
ar - VII De necessary to make additional
lions "a ION 90 enable the State institu-
Inc period of rising prices due 10 fbs
var Is at an end, however Prices ~
neeln s5 more than 40 per cent within the
past SIX months and further declines sro
undoubtedly before us a4e
I'll. AZ Is very important that we should re-
~ SsR4 40 70 our pre-war policy Of living with
IN the appropriations made. De2ciencv
appropriations invite deficits. Emergency
contingent funds to meet deficits e1cour-
ase exravaganee, Appropriations suff-
80. 70 run an institutions and depart
E-eHts shOuId De made and then II shouId
De Understood most clearly that the law
letter. Gu 70 the
A glance at the large deficits in o+bo-
sIageaf the huge deficits at washington
Win the disregard Of legislative Jf1ita
tlon on expenditure and the attendant
exuaVagance, should impel us to return
az once to our pre-war policy of living
within the appropriations made.
Inc state tax levy was reduced in 1917
from 4O.4 cents upon the hundred dollars
TO 1885 csnts and to IS cents in 1910
lt was increased to 20 cents in 1921 on
account OF the State colleges and the SOL
diers' memorial Even with the Increased,
valuation OF property there has been col
lected from the taxpayers of the State to
support all the activities Of the State
government, except the highway depart
ment, an average of $3.50, 092.1 70 less per
year than was collected for the fiscal wear
ending Sept 80, 1915.
PURDUE PAID
s67e,5O0 BY STATE.
At the beginning of this administration
the State owed two obligations-one of
$4,000 to Purdue University and fine
other Judgment that had been obtained
against the State in favor Of Purdue Uni
!stration, from which judgment Governor
Ralston had appealed. The Supreme
Court decided this case in favor Of the
university and the State was required to
and did pay during this administration
by reason Of that decision S6765O
Under the direction of the General As
sembly we have invested the $4,000 in
Liberty bonds and now hold in the treas
ury OF the State as trust fund to meet
the Purdue debt when due S4OO, 900 fac
value OF these bonds, the interest upOn
which will meet the interest due Purdue
and when paid viii show a profit to the
State Of 100000.
The inheritance tax fund, the eollec
tons Of which have amounted during
the past four years to S1S43, 1882. and
which, under the previous administra-
ton, went into the general fund, was By
legislation transferred to the new high
way department 1t has been used for
tho purpose OF building and maintaining
the State highway system