Douglas daily dispatch., 1927-02-17

and by those. who testified before
it were:
That the state lost in excess of
100000 last year by reason of hav
ing paid II IL per cent more for
supplies bought on credit than would
have been paid in cash.
That no adequate account books
were kept and the whole accounting
division of the department was
found to be in chaotic condition,
due to improper and inadequate
methods than in the first instance
than to the concealment or de-
struction of records in the other"
That certain unauthorized eXpendi-
lures prior to December 81, 1922,
were fraudulent
That during the period of is
months ending December 81, 1922.
there was $23,720.33 of state money
paid out to employees of the depart
ment or to accounts for which there
was no authority, and for which
there is of record no supporting
claims.
That the department is utterly
devoid of any business head and al
most entirely lacking in business
management. This state of affairs
seems to have existed for many
years.
That the collection of campaign
moneys was made under the direc-
tion of c. M. Zander, secretary of
the board of state institution anc
prior to May, 1924, superintendent
Of the departments equipment.
(Zander on the stand denied at first
any knowledge of his connection with
such assessments then testified that
very likely it was my instructions
to Mr.. Atwood to collect some funds"
E. NJ. Atwood was until recently
district. department engineer).
And that guards at the state prison
in Florence were assessed, en- their
own admission, five per cent of their
wages monthly as contribution to
the governors campaign fund. The
committee report says highway en-
ployes were forced to pay into this
fund on the pain of losing their
jobs.
Atwood and other department EN-"
ployes testified that the state paid
exhorbitant prices for materials and
that Governor Hunt apparently APP
proved such expenditures Other
Testimony was to the effect that in
some instances twice as many men
were employed on a project as were
necessary. The committee estimated
that the combined losses to the
state on four federal aid projects
was $178,235.67 because Lefebvre
elected to do the work under force
account rather than by contract.
Much attention was paid to the
project in Coconino county known
as the Winslow- Canyon Diablo road
on which Atwood testified, the con-
tractors bid was $4,000. He said
further that Lefebvre asked the
board of directors of state institu-,
tions not to accept this bid and to
authorize the work by force account.
Lefebvre told the committee that
an expenditures of $80O,OG0 every
year for several years would be nee
essary to match available federal
aid funds. amounting on January l,
1927 to $2,222,221.57. He said that
on December 81, last, the state had
earned $241,575.01 in federal aid,
payable at that time.
The mileage of roads constructed
by December 81, last as presented
to the committee was 2,033.97, of
which 1927 miles were paved with
asphalt and 1867 with concrete,
and the average cost of maintaing
the roads during six months in 1928,
was $27624 per miles.
The committee found that the de-
partment's accounts payable on De-
oember 81, last for completed con-
tracts, supplies delivered, payroll and
contractors estimates amounted to
se52,131.22: and outstanding purchase
orders $167,879.72, making total
Indebtedness of $82O,O10.94. Addi-
tional items of Indebtedness included
in the accounts ran, in some in
stances as high as $4,000 for sup
rlies and equipment.
Signers Of the report are:
Senator Fred Sutter, Cochise, CHAIR
nan of the joint committee. Sena-
tors Wayne Thornburg, Yavapai and
c. r. Waters, Mohave; Represen-
tftive Norman Abell, Cochise, cnair-
man of the house committee, and
Representative Earl G. Slipher, Co
conino, and Nellie T. Bush, Yuma.