The Waterbury Democrat., 1939-01-04

rom government ana Ine lIlpOSl- ton of ever increasing taxes and unreasonable regulations.
 Industry Suffers
 Connecticut industry suffers be- cause of conditions that exist generally throughout America. It suffers also for lack of protec- tion against foreign goods pro- duced with cheap labor. The watch and clock industry of Bris- tol offers but one example. Con- necticut industry suffers also be- cause seemingly more favorable conditions for some of our oldest industries, such as textiles, have been created elsewhere. Wherein the remedy is nationwide in scope our delegation in Congress must protect Connecticut and preserve her equality with the other states. This we know they will do. There is opportunity for us work ing together here in the General Assembly to help Connecticut in- dustry and Connecticut agricul- ture. We can encourage the in- dustries which we now have to remain and new ones to come here and find a friendly soil for honest effort. We can best en- courage business in Connecticut by demonstrating that in the op- eration of our state government and indeed, in the operation of our city and town governments, honesty, efficiency and economy prevail. We must balance our budget and all of the departments of the state must live within that balanced budget.
 Mortgage on State
 There is a mortgage on the state, a bond issue, for 25 mil lions of dollars. The proceeds from these bonds were used to pay off a deficit accumulated dur ing the last eight years in the amount of $12.172, ,564.41. The sum of $12,827, ,435.59 remaining is being devoted to expanding and improving our humane institu- tions. proper and needful pro- gram, the complete fulfillment of which lies yet ahead. This bond ed indebtedness will have to be paid at the rate of $1 ,250, ,000 each year. In addition thereto inter- est must be paid thereon, de- creasing, of course, in amount as the years go by, but in this next biennium at the rate of $396,- 625 in the first year and $368,- 750 in the second year. In ad- dition thereto the enlargement and expansion of our humane in- stitutions, nearly doubling in size the plants which the state heretofore has had, will, of course, nearly double the cost of main tenance and operation. The addi- tional cost is estimated by the Budget Division to be $872,- 736.45 and $1,792, ,139.87 respective ly in each year of the next biennium. These obligations as well as others which will be dealt with more fully in the budget message, are fixed, and cannot be avoided. We should remember this principle, however. The tax dollar must be more care- fully spent than any other dol- lar. It is the dollar which, the working man, the business man, all of us, earn, but which we cannot spend for our wives or our children. It is the dollar which business cannot have to divide fairly between the jobholder and the stockholder. The state spends 1t for us. The citizen has a right to expect and to demand that 1t be carefully and honestly spent.
 Retrenchment
 A program of economy will for the time being seem hard to fol- low. We must always remember this. An increase in the services furnished by the state in develop ing whatever program you may name is dependent entirely upon the ability of the citizens to pay the taxes necessary to support the state in carrying out such a pro- gram. Therefore, unless the citi- zen is able to pay the increased taxes required (and he will be both able and willing, If fairly dealt with) we cannot place any expansion of the present services of the state upon that firm foun- dation necessary to successful fulfillment. It may become neces- sary to curtail some of the pres ent services, if we are to open and maintain our new humane institutions and pay the interest upon and retire the principal of our mortgage, without levying ad- ditional taxes. Work upon the budget thus far reveals fixed charges and commitments in the way of grants, impossible to re- duce without legislative action. The revenue going into the Gen. eral Fund is estimated to be low CT than during the last biennium. $2.5OO,O0O in bond retirement, $765, ,375 interest, and $2,664 SIT .32, cost of operating and maintaining a greatly enlarged system of hu- mane institutions, all entirely new items of expense which the state has not heretofore had to pay, must come out of the General Fund. We begin this administra- tion with lower estimated rev. enues and an increase of six millions in the cost of government. Any increase in the services now performed by the state must carry with it the necessary appropria- ton and provide for the necessary taxing or financing to meet that appropriation. The peoples rep resentatives must decide whether we will balance our budget, pay our bills, and thus encourage business, or whether we will go along spending and adding new taxes. %
 Unemployment = jobs-recovery present our most pressing prob lem. We can do our full share toward a solution if we demon- strate to the people of this state that our state government can AA