REPORT

OF THE

COMPTROLLER OF THE TREASURY

OF THE

STATE OF MARYLAND

December 1, 1938.
To the Honorable,

THE GENERAL ASSEMBLY OF MARYLAND:

In compliance with Section 9 of Article XIX of the Anno-
tated Code of Maryland, which directs that the Comptroller
submit an annual report of the fiscal affairs of the State, this
report is handed herein to you.

I call your special attention to Statement "D", the balance
sheet for the year ended September 30, 1938, from which
you will observe a general fund surplus of $3,241,645.63. We
have made a careful and conservative estimate of income
anticipated for the fiscal year 1939, and have taken into
account appropriations contained in the 1939 Budget, and
estimate that the general fund surplus on September 30, 1939,
should be increased to $3,679,375.82. This amount is shown
in Statement "KK" of this report.

I am directing your attention to Statement "U" represent-
ing the funded indebtedness as of September 30, 1938, and I
think it is but fair that you should be reminded that the
Emergency Bond Issue of 1935 of $8,500,000, as authorized
by Chapter 91 of the Acts of 1935, $331,000 of which was
retired on April 15, 1938, is the one obligation of the State
serviced other than by direct property taxes, same being
serviced from the direct and collateral inheritance taxes.

I call your special attention to the Table of Contents in the
front of the, report, which will give yon full knowledge of the
various detailed statements and reports contained in the
general report.

I want to thank the General Assembly, as well as the
various departments of the State, for the. co-operation ex-
tended to our department in the performance of our duties,
and to further assure you that the Comptroller's Office will
be at your command and it will afford us great pleasure to
extend our fullest co-operation at all times.
Respectfully submitted,

WM. S. GORDY, JR.,

State Comptroller.