Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-02-24
STRICT ECONOMY
T0BE WATCHWORD
Of GOV. HARDW|CK
Declares the State Is in Good
Financial Condition but Is
Suffering From Excessive
Appropriations

A policy of strict economy and re-
trenchment to wipe out the current
deficit in the states finances will be
inaugurated by Thomas w. Hard
wick governor-elect, when he takes
the office the fourth Wednesday in
June.
Mr.. Hardwick made known his in.
tentions in this respect in a discus
sion Wednesday of state finances, In
connection with recent newspaper
disclosures Of the mounting deficit
between appropriations authorized
by the legislature and actual revenue
received by the treasurer.
Mr. Hardwick will take office sic
simultaneously with the new legisla-
ture on the fourth Wednesday in
June. The personnel of the house
and senate underwent a more decided
change in the last general state cleo
ton that it had in several years. The
general opinion is that Mr.. Hard
wick as governor will entertain very
positive views on questions OF gov
eminent and will unhesitatingly as
sert them. The general opinion also
is that his influence with the legis-
lature will be strong. What he has
to say, therefore, regarding state A.
nanees, must be of interest to law.
makers and citizens throughout the
state.
There has got to be a budget sys-
tenn said Mr.. Hardwick, Wednes-
day. 1.-THE current deficit in the
treasury does not mean that the
state of Georgia is bankrupt. On
the contrary, it's financial resources
are among the best of any state in
the country. The deficit in the treas
ury is merely current deficit,
caused by the fact that appropria-
lions have been made without due
regard for what the revenue would
be. A budget system to correlate
appropriations with revenue has be-
come an absolute necessity, and 1T is
my purpose to insist that the legisla-
ture pass the necessary legislation.
1t was a mistake, in my judgment.
when the appropriation committees
| of the house and senate were sep
arated from the ways and means
committee. The. same committee that
casts up revenue ought to cast up
! appropriations.
| tight Squeeze
4 ''My information is that the states
revenue for 1921 may not be SUI"
| ficient to pay the 1921 approprla-
tions authorized by the Legislature.
There seems to be a strong proba-
bility of this. Unpaid appropria-
lions brought over from 1929 can
just about be paid with the balance
of 1920 taxes remaining unpaid, but
it will be a tight squeeze.
"In view of the growing excess or
appropria tons over revenue, 1 VIII
not be willing, as governor, to APP
prove appropriation based upon
anything but the most conservative
estimates of future revenue. First
of ALL we have got to cut appro-
priations to actual revenue, AMI We
must cut to the bone, if necessary.
to accomplish that result Several
heads of state institutions have TAX
en- up with me the subject of deft-
cheney appropriations. have not
encouraged them to hope for a dol
lar. They have informed me that
they would be obliged to close, or
at least to curtail heavily, unless
they got more. My reply han been
that they might as we'll Begin their
preparations now with that end in
view, for would not consent to q
continuance of the pernicious' habit.
which has developed lately, of pass
ing appropriat without regard
to the question of whether they
could be paid.
aside from the necessity of wip-
ing out the current deficit, and es-
tablishing the states finances on b
sound basis, it is useless, as L see
it, to pass appropriation which can
not be paid. A state institution with
an appropriation on which it can
get no money is no better off than
it would be without an appropria-
ton. A small appropriation which
CAL be paid is better than a large
one which can be but half-paid, for
1t is necessary to order the affairs
Of state institutions with certainty
of what their allowances will be-"
Mr.. Hardwick laid particular en-
phasis upon the fact that Georgia's
finances are in splendid condition
AS he pointed out, the state is net
bankrupt or anywhere near it. On
ter condition, fundamentally, than
most of. the states of the 1nion.