Shoshone journal. [volume] (Shoshone, Idaho) 1884-1931, 1921-07-15
WHAT CONSTITUTES A
FINANCIAL REPORT


The Utah and Idaho laws requiring
the publication of complete financial
reports Of the transactions of various
boards, as city village, county and
highway district boards handling pub
lie money. 1t is quite a prevalent Gus
tom for such boards to try to econom-
iZe in the expense of such publication
by making a general statement, which
they claim is a 'substantion compliance
with the law" A suit was recently
brought in Utah to determine if gen
eral statement contained the informa-
ton required by law, or if il was man
datory on the various boards to make
a complete detailed statement The
case was brought against the school
board Of Carbon county, Utah. The
district court decided against the claim
Of the board. The case was appealed to
the supreme court and that court up
held the decision OF the district court.
We give below that part of the deci-
sion which defines the manner in which
the publication must be made:
Defendants contend that the state
ment as published by them was sub
stantial compliance with the statute.
We deem it unnecessary TO set forth
in this opinion the statement as made
and published. Suffice to say that the
statement contains nothing more than
a general statement of the receipts and
for the year ending
June 30, 1920, without giving any infor-
nation in particular called for by the
plain and positive provisions of the
statute as complained Of by the plain
tiff. 1t is apparent from a reading Of
the statute that it was designed for the
benefit and interests of the citizen tax
payers, so that they may be Informed
as to whether or not the financial af-
fairs of the school district each year
nave been properly and lawfully con- .
iucted on the part OF the board of ed
lcation. 1t is one of the cardinal rules
# construction that a statute must be
construed with reference to the objects
sought to be accomplished by it. The
mere general statement that certain
sums of money were received and GER
tain sums paid out on account Of the
support and maintenance Of the pub /
lie schools affords no information to
he taxpayer and subserves none or the
purposes intended by the enactment OF
he statute under consideration.
"As illustrative of the non-compli-
ince with the statute on the part OF
he defendants, the statement COM
,lained of shows that during the school
-ear ending June 80, 1920, the follow
ne disbursements were made: Admin
strative and general expenses. exclu-
i've OF bond interest, S1S,022.61. School
urniture and apparatus. s5,S45.7S. In
uries to employees, $132.75, and moth
NC more is stated for the information
( the taxpaying public, whereas the
statute expressly providess that the
tatement published shall show the {
noneys paid out, to whom and for what
aid In not a single instance does the
tatement published show to whom and 8
or what the moneys were paid The G
tatement is also deficient in all the {
ther particulars complained Of by the
laintiff. Numerous cases are etted)
SO think the statute is mandatory IN
= requirements and that its plain anc f
ositive provisions manifest its pun !
oses so clearly that the contention
,.,de hN The defendants that thsy ofNe {
n stantially complied with it must "a
Ill
..Tt follows from what has been said p
,at the plaintiff in this action has the
cal right to sue. The complaint f
early and specifically pointed out the e.
,rticulars wherein the defendants IN
eir official capacity failed TO publish t'
statement Of receipts and disburse- Il
ents of the moneys of Carbon county O
.hool District for the year ending June n
4. 1920, In conformity with law. Ihe N
atute invoked by the plaintiff was not 1
in the particular pointed out in the
mplaint- t--substantially compiled with. in
is therefore ordered that the Judg- 9
ent of the District Court beand the fo
me is hereby affirmed. with cists to &C
plaintiff"
d,
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