X REPORT OF THE COMPTROLLER OF THE TREASURY.

The State tax for public schools for the year 1906 was 15
eents on each $100, and for the years 1907 and 1908, 16 cents
on each $100, being the entire State tax for the two years last
mentioned. Inasmuch as it became necessary to levy a tax
sufficient to provide for the interest and create a sinking fund
for the State Roads Loan, and the Legislature deeming it un-
wise to increase the State tax rate, but at the same time to pro-
vide against any diminution of the school fund, fixed the tax
rate for the year 1909 at 14 1/2 cents for Public Schools and at
1 1/2 cents for State Roads Loan, and for the year 1910 at 12 1/2
cents for Public Schools and at 3 1/2 cents for State Roads Loan,
aggregating for each year 16 cents. Therefore to recoup this
loss of revenue to the schools of 1 1/2 cents and 3 1/2 cents, the
Legislature of 1908 made a direct appropriation from the
Treasury proper of $75,000 for the year 1909 and $206,250
for the year 1910 under Chapter 254, subtitle "Schools."

But, by such action, the Legislature made a heavy drain
upon the ordinary receipts of the Treasury, especially when
there is considered the further payments of $37,000 to Ap-
proved High Schools, $46,500 to Manual Training and Indus-
trial Schools and $27,500 to Academies and Seminaries, so
that there has been paid during the past fiscal year for the pur-
poses above mentioned the sum of $186,000 without any tax
to meet the same, while like demands for the fiscal year 1910
will exceed $320,000. If it therefore be your purpose to con-
tinue this amount of revenue to the purposes mentioned, you
must levy a tax to meet the same.

During the month of October, 1909, there was paid, in
accordance with law, the sum of $86,500, to Approved High
Schools $40,000 and to Manual Training and Industrial
Schools $46,500. This amount falling due at the very begin-
ning of the fiscal year, at which time- the heaviest demands are
made upon the Treasury, becomes burdensome and, in my judg-
ment, should be made in quarterly instalments, and I therefore
respectfully recommend that an amendment be made to the
statute covering this feature. Indeed, I would recommend
that all appropriations to public or private institutions like-
wise carry this provision. Many officials of our institutions
are of the opinion that because their appropriations for the