of Governor Herbert R. O'Conor 17

The practice of mortgaging the future by borrowing to meet current
charges is fundamentally unsound and will inevitably lead to extravagance and
waste. We should not resort to it. This phase of the State's fiscal affairs and
policies should be carefully outlined and I, therefore, earnestly recommend
that any additional State loans be restricted to actual capital expenditures. If
the proposed construction loan of $3,368,000.00 is kept within the total which
I have recommended, it will result in a net reduction in the total Bonded
Indebtedness of the State of $9,671,000.00 by September 30, 1941.

PROPOSED "GENERAL BOND ISSUE OF 1939"

Issue of Issue of Issue of

August February August

1939 1940 1940

The Proposed "General Bond Issue of
1939" to be distributed and appor-
tioned as to time of issue as follows:

To the Hall of Records—for extension
of dark room and equipment ........... $15,000.00

To the Military Department—for re-
pairs, alterations and additions to
armories located throughout the
State, and at the State Reservation,
Cascade, Washington County, $110,-
000.00 ................................................... $55,000.00 $55,000.00

To the Maryland Tuberculosis Sana-
torium—for additions to employees'
quarters and hospital and new Rec-
reation Hall for colored patients at
Henryton providing for 100 addi-
tional beds and for new hospital
equipment $128,000,000. For additions
to hospital and operating room
equipment at Mt. Wilson, and to pro-
vide 40 additional beds, $51,000.00.
Addition for extension of city water
supply system at Eastern Shore
Branch, Salisbury, $4,000.00.............. 55,000.00 128,000.00

To Crownsville State Hospital—for
additional buildings for patients, and
for service facilities and quarters
for personnel, aggregating $500,-
000.00 .................................................... 250,000.00 250,000.00

To Eastern Shore State Hospital—
for the equipment for building al-
ready -completed, $11,000.00; for
alterations and additions to adminis-
tration building to provide for labor-
atories and equipment of same,
$30,000.00; for finishing the base
ment in new dormitory building,
$3,000.00; for sewerage disposal
plant, $25,000.00; for construction
and equipment of cottage for as-
sistant physician, $4,500.00; and for
other miscellaneous improvements,
including equipment and buildings,
$4,500.00, aggregating $78,000.00...... 78,000.00

To Rosewood State Training School
—for enlarging water supply sys-