viii REPORT OF THE COMPTROLLER OF THE TREASURY

given two years ago comes with greater force today, when the
State is facing a large deficit. The fact of other States being in
the same position is of little comfort to us. This situation has
been brought about by the importunities, indeed I might say,
needs in many cases, of worthy charities and increased govern-
mental expenses, but the fact remains that due economy has not
been practiced in many ways. Retrenchment must be made. The
State cannot afford to permit its expenses to exceed its revenues.
If additional revenues cannot be had, then prudence and wisdom
each demand that those expenses shall be kept within its in-
come.

DISBURSEMENTS.

In Statement "B" will be found the disbursements by the
Treasury during the fiscal year, amounting to $11,263,751.09,
wherein is clearly set forth the character of such disbursements,
segregated into General, Special and Loan Funds, with the
amounts paid and the Acts of the General Assembly authoriz-
ing the same.

STATE DEBT.

Statement "J" shows the gross debt of the State as of Sep-
tember 30, 1915, to be $22,785,880.55, or an increase of $3,100,000.
During the year there was issued the balance of the State Roads
Loan of 1914, amounting to $3,600,000, but by reason of the ma-
turity on July 1st of the State Building and Improvement Loan
of $500,000, the gross debt is shown to be, as above stated,
$22,785,880.50. After deducting the securities and cash in the
Sinking Funds of $6,210,584.35 and the mortgage of the North-
ern Central Railway of $1,500,000, the net debt is shown to be
$15,075,296.20 as against $12,219,576.01 for the year previous.

SINKING FUNDS.

The operations of these funds for the fiscal year will be found
in detail in Statement "E,'' while Statement "F" exhibits the
stock account and cash balances of the several Sinking Funds
on September 30th, 1915, aggregating $6,210,584.35.

The cash balance of $756,384.35 was carried down into the
next fiscal year by the Treasury officials after consultation with
his Excellency, Gov. Goldsborough, in order that the State might
be in better position to buy its own bonds. It is a difficult mat-