know, as Governor I have a constitutional obligation to present a
budget in which State expenditures are balanced by State income.

My first budget as Governor, presented to and approved by the
General Assembly last winter, appropriated some $205 million in
general funds and was balanced without the necessity of imposing
new taxes or increasing the rates of existing ones. It offered a fiscal
program demanding a strict economy in the operation of governmental
agencies and functions, but in no case was there impairment of State
institutions and agencies or curtailment of services and programs.
Maryland today finds itself in a most enviable position financially in
comparison with most of the states of the union....

This is no more than a summary of the program we have under-
taken in your State capital. It is a program that is to be intensified
and expanded as time goes on. We must remember, as Democrats,
that the people of Maryland will demand an accounting from us at
the end of this term, and at that time we must be able to show them
by our performance that they were justified in the confidence they
reposed in us in the election of 1958. We will, indeed, face a reckoning
sooner than that, for the crucial national election contest of 1960
may well be determined by the achievements of state and local
governments which our party controls. There are indications all about
us today that a great majority of Americans are weary of Republican
blundering and misrule and are eager to return to power the party
of all the people. But our opposition is rich, resourceful and cunning,
and we cannot expect a Democratic victory in 1960 without a major
effort.

I know that we can rely on all loyal Democrats in Maryland to ex-
pend that effort next year. Meanwhile, I think we should concentrate
our energy upon giving the people of Maryland die kind of state and
local governments they want and need, showing them, through our
action, that the Democratic Party once again is prepared to assume
the leadership of the nation. All of us are well aware of the growing
influence of women in American politics. Those of us who ran suc-
cessfully in the campaigns here in Maryland last year are conscious
of the invaluable contribution made by the women of Maryland.

Without your assistance, the cause of our great Democratic Party
would be hopeless. We know that we can continue to rely upon you
next year, and all the years of the future, just as we have in the past,
and with your help we are sure to attain the victory all of us so
earnestly desire.

133