Daily Kennebec journal., 1925-08-26
Auditors Affidavit
Continued from Pace One)

Auditors Affidavit
Continued from Page One)
the end of the fiscal year because of
the exhaustion of the appropriations.
4. That there was at no time any
prospect of an overdraft upon the
Contingent Fund.
1t was also alleged that the insin-
cerity of those responsible for the
emergency appropriation was shown
by the failure to include this appro-
priation in the tax bill thus indicat-
ing that it was realized at the time
that there was no real need.
That these statements are absolute
ly contrary to the facts is shown by
the following affidavit of the State
Auditor responsible for the disburse-
ment of the public funds and for the
settlement of the liabilities of the
State: !.
Augusta, Maine,
August 10, 1925.
Honorable Ralph o. Brewster.
Executive Offices,
Augusta. Maine.
In accordance with information
furnished to the Executive Depart
ment in February 1925, this will cer-
tify:
/. That there were at that time
existing overdrafts in the sum of
90.102.75.
That there were bills Immediately
payable for liabilities contracted un-
der the preceding administration m
the sum of $56,44796 for which there
were no appropriations available.
8. That the balance in the Contin-
gent Fund at that time was not slffi-
cient to settle these charges and OBJ
legations of the State and there was
no other way Of providing for their
paymen except by Legislative action.
4. That there were in prospect ad-
ditional expenditures in the estimated
sum of S247,470.25 to carry on exist
ing departments and institutions
during the current year for which
there were no funds available owing
to the exhaustion of the appropria-
tions.
S. That the emergency appropria-
ton of s296.S3370 was placed in the
tax bill by the last Legislature and
the one responsible for recent
statement regarding State Finances
was advised of this fact prior to the
issuance of a statement upon this
subject.
IN
drawn out of the State Contingent
Fund by executive order the sum OF
$3,668, ,S70.05.
This fund is created from lapses In
Legislative appropriations of funds
that are not used and from surplus in
the revenues above such legislative
appropriations. 1t may be expended
only upon order Of the Governor and
Council and may not legally be drawn
upon in excess of the balance which
it may at any time contain.
On July 1, 1921, the balance In the
State Contingent Fund amounted to
S1,551,447.61. On July I, 1924 there
was a balance In the State Contin-
gent Fund of s1S1.o29.31. During the
next six months there were no credits
to this fund until the date of Decem-
ber 31st, but there were meanwhile
charges which must be cared for from
the Contingent Fund to the amount OF
S436,119.68.
Ebert D. HAYFORD,
State Auditor
State of Maine
Kennebec SIS:
Personally appeared the above
named EIbert D. Hayford. state
Auditor. and certified the above state
RAYMOND FELLOWS.
Justice of the Peace.
The Emergency Last February
This affidavit makes it abundantly
clear that over 100000 was imme-
diately necessary last February to
carry the State to June.
Itfhas been naively suggested that
consideration of these obligations
might have been deferred until
June. The State Of Maine main
tains an elaborate system of courts
to compel people to pay their bills.
With what grace could the State of
Maine ask it's creditors in January to
wait until July in the hope that there
might then be funds available to
settle their bills which would be six
months overdue.
Funds to settle these obligations
must be provided Immediately by the
Executive or Legislative depart
ments.
An order by the Executive Council
to take the necessary funds from the
cash in the Treasury, which was
then s351,0 short of the sum ne
cessary to cover the trust funds re-
serves, was both illegal and i'm
proper.
cred the situation and decided that 1t
would be impradent to rely upon
lapses or excess revenues to supply
this need in June and so provided
the money in the tax bill.
The Emergency Appropriation
If it had not been for the emer-
gency appropriation which went to
the relief of the Contingent Fund
and emergencies had continued to
occur at the same rate as in the first
six months of the fiscal year the
State Contingent Fund would today
be existent. For the almost
entire absence of emergencies in the
last six months, the preceding ad-
ministration would not seem to be
responsible.
The following quotation from the
special message on State Finances to
the Legislature last winter seems to
epitomize the problem that we then
faced:
expenditure Of legislative appro-
prlatlOnS may be Curtailed and tha