Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-10-11
INCREASING STATE DEBTS


nights planning great undertakings
for the State. bcsicSing legislatures
Tor appropriations for this or that
realize that the cost of state govern
ment throughout the Union has more
than doubled since 1919 and has
quadrupled since 1913? But that is
what William Z. Helm, Jr.. writing
in the Budget, declares an ANALYSIS
of the census returns shows.
The states. the returns of which
had been tabulatcd and from which q
basis of estimate was made, are:
Colorado. Delaware. Illinois. Ken
lucky, Maine, Michigan, Minnesota,
Nebraska, New Jersey, Ohio. Rhode
Island, West Virginia, Wisconsin and
Wyomins.
AS To- the purposes for which
these expenditures were made, de-
tailed information, it is said. is
available with respect to Colorado.
Illinois, Maine, Minnesota, New Jer-
soy, and Ohio only. In these six
States. with a combined population
of c0,25L229 and total government
cost of s24o.1l5,73S, tie cost of
road building was s53.0O0.O00 TAX
ing the per capita cost OF govern
mont as a whole and the per capita
cost Of road building in these States
as basis, Mr.. Helm gives the ratio
of highway cost to total government
cost as so percent in Colorado, B.
percent in Illinois. ~ percent in
Maine, % percent in Minnesota, IA
percent in New Jersey. and Is per-
cent in Ohio.
"Assumin2," he says, IAN average
of five members to a family. the con4
struotion of highways in 1922 cost.
in taxes, in each family in Colorado.
$3.50; in Illinois. s12.65; in Maine.
S19.25: in Minnesota, S2O.25; in New
Jersey, s12.05; and in Ohio, $3.50.
These figures represent only tax pay
mcnts on actual construction and do
not include interest payments on
bonds issued TO cover Highly ay con-
struction.
"a weighted average Of costs for
the six States places the per capita
cost at $3.50 and the cost of con-
structing highways at s2.6l. 1t will
he seen that the percentage of
State taxes going into roads in these
combined communities was about u
per cent. In other words, approx
mately. one dollar out Of every five
collected by the six States went for
road building in 1922"
The article states that Nebraska
has no debt. but the other thirteen
states considered increased their in
Gcbtedness between 1917 and 1922 by
about S160.000.000. or this increase
about Il percent is accounted for by
bond isues to provide funds for
soldiers bonuses and highway con-
struction. Eight of these thirteen
States floatcd issues for these pur-
poses during 1922.
Here" says Mr.. Helm, 'is total
of $67 600. 900 Indebtedness for soldier
bonus and si7700,000 for highway
construction. TIE former item alone
being sufficient to increase almost
threc-fold the Indebtedness of the
entire thirteen States in 1917. the lat
ter sufficient alone to more than
double it And the movement TO
build highways is hardly launched
at the present time. The Bureau of
Public Roads estimates the past
fiscal wears road-building program
20 have cost. all told. about 1851
100000 To this sum the Federal
Government. the States. the counties
and the municipalities contributed.
This year the cost probably ~fll
run TO the same figure, making a
close approach to $1,000, 100000 as
the annual cost Of construction and
maintenance of our new network OF
motor systems.