vi REPORT OF THE COMPTROLLER OF THE TREASURY

$2,273,619.61, the excess of cash over dedicated funds of $640,-
419.84, but also a balance of $372,043.17 in general funds to meet
the obligations of the State, including balances brought down.

ESTIMATES.

In making estimates for the fiscal year ending September 30,
1918, we use the figures of preceding years as a basis, and after
considering each source of revenue and determining as best we
can whether there may be an increase or decrease therein, and to
what extent, we submit the amounts so revised and determined
as the probable amount of income into the General Funds. If
for any reason the General Assembly changes the sources of ex-
pected income, then the estimates which have been submitted
will be augmented or depleted to such extent as the law applies.
I deem it prudent to refer to this so that your Honorable Body
may in case of any changes in the laws affecting State revenues
take such action as will provide for sufficient income to meet the
required expenditures of the General Funds from the Treasury.

SINKING FUNDS.

An examination of Statements " E " and " F " will give you a
very concise and interesting exhibit of the operations of these
funds during, and at the close of the Fiscal Year. The first
Statement will show you the receipts into the Treasury for each
Fund, and the investments made therefor, while Statement "F"
will give in detail the stock holdings for each separate Fund, ag-
gregating at the close of the year $6,873,000, with a cash, balance
of $419,897.67 carried down into the next Fiscal year. While
this balance may appear large, yet the Treasury officials deemed
it wise to carry the same down in order to invest it in the "Sec-
ond Liberty Loan" Bonds, which has been done, the bonds there-
of being now placed with the State's other securities in its safe
deposit boxes.

Permit me to call your attention to the high character of these
investments, $6,873,000, being in our own State bonds, while
$283,000 is represented in the issues of the several municipalities
and counties of this State, as therein set forth.

STATE DEBT.

Your attention is respectfully called to Statement " J," show-
ing the gross debt of the State at the close of the fiscal year, as