REPORT OF THE COMPTROLLER OF THE TREASURY ix

but at the close of the fiscal year over and above its expenses to
care for its loans, thereby relieving the taxpayer of this burden ;
hence the low tax rate for 1907 and 1908; but that time has
passed and we are confronted with the very serious condition of
our revenues not being sufficient for our necessities. Had it not
been for the very free use of the Executive veto by the present
Governor and his immediate predecessor, our financial condition
today would be far from comfortable. Of course this in no man-
ner affects our bonded obligation or the revenues to the public
schools, since they are eared for by direct taxation, but it has a
very serious bearing upon the appropriations that shall come be-
fore your honorable bodies. * * * *

"Let me urge upon you the strictest economy. The condition
of the Treasury, as it has been my endeavor to show, will not
stand any further strain, and I view with alarm the demands
that are now being agitated for increased appropriations and
bond issues. We are going through a period of contraction and
not expansion. Our tax rate is now so high as to be burden-
some, and any additional increase should be most seriously con-
sidered, if considered at all. * * * *

"I cannot close this report without again calling attention to
the fact that unless additional revenues are derived from some
other sources than are now in view, the ordinary receipts of the
State will not stand even the additional demands that now seem
unavoidable in order to carry to successful completion the work
already under way, or the obligations already assumed by the
State, and even these obligations cannot be met or maintained
except by the exercise of the greatest economy and care of those
entrusted with the expenditure of the State's money."

DISBURSEMENTS.

In Statement "B" will be found the disbursements by the
State, given in detail, showing the character, amounts and the
Acts of Assembly authorizing the same, aggregating $12,999,-
561.18, leaving a balance in the Treasury proper September 30th,
1914, of $1,076,962.19. These expenditures are the largest ever
made by the State, while the balance carried down is the smallest
for years. It is true that these disbursements were largely in-
creased by bond issues, but it is equally true that this alone does