Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1922-03-18
System
Should Reduce
State Expenses
Benefit of Plan Evolved by
Code Officers Shown by
Special Session of the
Legislature.
By PAUL-GREER.

Some families keep a budget. Each
member makes a record of his ex-
penditures, and they are all totaled
up at the end Of each week or each
month. This results in domestic
economy, for when a man or wom-
an knows that he has to report some
where, he will naturally be more
careful.
With statesmen it is the same.
Charles G.. Dawes, as director OF the
federal budget, has made remark
able showing. And, to put it mild
ly, the budget system which went
into full force i'll Nebraska in 1921
has contributed more than the people
realize to the efficiency Of our gov
ernment.
During the special session of the
legislature, A. Z. Buck. a representa-
tive of the New York bureau of mu-
-nicipal research. went to Lincoln. He
watched the process by which state
taxes for 1922 were cut down $2,05l,-
755. He saw a budget. presented
which reduced the prospective state
levy for general purposes one-thrd,
from three mills to two mills. 1t is
his business to study the workings
of government, and he dug into the
causes that made this revised esti-
mate possible. His answer was that
through the operation of the central
lied and responsible system of ad-
ministration established by the code
and the budget the state officials were
able to get at the facts without de-
lay. Through the daily and mosthly
check OF state expenditures it had
become apparent that the state busi-
ness could be run on less money
than had been previously appro-
priated.
vs.. Many Use Budget
Many states are now running on
the budget system. However, III
most Of them the governor is put in
the position of saying to the legisla-
ture that certain amount of money
is needed to support the various de-
partments, and though the legisla-
ture may appropriate it and the tax
gatherers bring it in, there is no CEN
trail control to keep the eXpending
agencies from paying it out too soon
and winding UP with deficiency. In
many budgets there is no provision
for an adequate estimate Of revenues
so that the legislature can know the
states resources as we'll its needs.
Under Nebraska's system. on the
other hand, a uniform method Of
accounting leaves nothing missing.
Every expending agency makes
monthly reports to the department
of finance, These show not only
the actual amount paid out, but out
standing obligations as well, so that
the unexpended balance is always
known. Quartely estimates are sub
mitted to the governor for approval,
and in this way extravaganza is
checked. Before the legislature con-
venes each department submits an
estimate OF its needs, which the chief
executive has power to increase, re-
duce or investigate. This budget is
then submitted to the legislature.
Much old-fashioned log-rolling is
prevented by the constitutional pro-
visions that the legislators cannot
increase the estimates except by
two-thirds vote.
Reduce Deficiencies.
One of the hardships of being a
taxpayer comes from the deficien-
cies which the state departments
often wind up the year. This oc-
currence is reduced to = minimum
by the budget system.
State taxes were high last year
Although they have been cut one
third this year, they are still burden
some. The prospect for further d.
minishing the strain on the taxpayer
is frightened by the fact of the bud
get system. AT the very least this
centralized report from expending
agencies scattered all over the state
fr"ntfrn~n Ease Two, Column T~o.l