The Waterbury Democrat., 1937-02-11
Commission Proposes
New Financial Set-Up
Governor to Be Held Personally Responsible For Dis
bursement of Funds-Favor Longer Term
pend.tures at least once annually.
, .TYvsn AVA "a lnvvrs ant

pend.tures at least once annually.
Unemployment
almost fifty-two million dollars,
including thirteen millions for fed
eral funds for unemployment re-
lief,' the commission states, were
expended for the conduct Of the
state government during the fiscal
year ending June 80, 1885. This Is
a large business and one which in
wolves unusually difficult problems
Of financing"
mo private enterprise" the COM
mission contends, lis confronted
with financial problems Of equal
completely because Its financing can
be directed by the measurable
standard Of profits, its expenditures
and income are mutually and in
herent!y inter-related, and its prod
ucts and services are less diverse
than those Of the state.
ITO expect the maximum returns
In service from each dollar of taxes
paid from a state government which
fails to provide adequate and eff
fective procedures for planning and
executing its financial operations is
folly. It involves the all too COM
mon dclusion that a government will
automatically run itself. 1t must In
evitably result III q substantial
squandering Of taxpayers money.
State Fails
1.-THE state has failed to estab-
lish and maintain, an effective sys-
tenn of financial administration be-
cause Of its unwillingness to define
clearly the proper Jurisdiction Of the
executive department In financial
administration and to place directly
and unqualifiedly upon, the governor
full responsibility for the exercise OF
that Jurisdiction. Instead, 1t has
adopted policies which have diffused
responsibility. have prevented sys-
tematic planning and execution OF
a financial program, have resulted
In duplication. of service and ef-
fort, and have hampered by unnec-
.sary red tape the efflcient conduct
Of the states business.
1.-THE commission is certain that
two basic policies must be applied
If the financial administration of
the state Is to be made effective.
First, the essential activities Of this
function should be separated from
other extraneous activities now per-
formed by the fiscal agencies and
ther' fiscal activities should be care
fully classified anT assigned to the
fiscal agencies in manner to es-
tablish clearly and unmistak-
ably the Jurisdiction Of each. Sec
ondly, direct and full responsibility
1or the preparation Of work and
financial program for the state and
the execution If such program as
Is authorized by the General AS
sembly should be placed upon the
governor.
Executive Status
"The governor alone enjoys a
status within the executive depart
ment which Is necessary to establish
and to resolve conflicting demands
L. the state agencies In accordance
with those policies.
"The general assembly should ex-
ercise such supervision and control
over the execution Of the budget as
necessary to assure itself Of COM
pliancc by executive ofiicers with its
instruction and to obtain the es-
sentie.l information required for fu-
ture action. This requires. first. ade-
uuate auditing and secondly. ac-
curate, ineligible and verifiable re-
ports OF the activities and financing
Of all state agencies"