of Governor Herbert R. O'Conor 345

in 1942, and $113, 193. 00 additional in 1943. An analysis of appropriation figures
for 1941 and the increases for 1942 and 1943 show that the latter is due entirely
to the increased force and the operation of the teletype system.

STATE ROADS COMMISSION

The allocation of highway income and income from all other sources,
primarily Federal allocations to the State Roads Commission, after distribut-
ing gasoline tax and income from the Commissioner of Motor Vehicles in
the manners prescribed by existing laws, shows the appropriation of these
funds to the Road Agency of the State, as $14, 811, 019. 69 for 1942, and $15, -
185, 121. 64 for 1943, a total for the biennium of $29, 996, 141. 33.

In the preparation of the budget for the State Roads Commission, I have
caused it to be calculated in such a manner that the entire product of the 4
cent gasoline tax and the whole of the income from Commissioner of Motor
Vehicles have been dedicated to road purposes. In this respect, I have faithfully
adhered to my sound conviction and promise that all road incomes shall be ap-
plied to road purposes and that none shall be diverted to other uses.

Experience during the past years has shown a decided annual increase in
revenue from the gasoline tax, and similarly in the Income from Commissioner
of Motor Vehicles. Consequently, the gasoline tax, at the present rate of taxa-
tion, is expected to produce relatively an increase in 1941 and 1943, and the
expected income from these sources is calculated on an increase of 4% over the
expected gross receipts for 1941, and 3 1/2% for 1943 over the expected gross
receipts for 1942. The calculated income from Commissioner of Motor Ve-
hicles has been established at an increase of 2l/2% for 1942 over the expected
gross income for 1941, and 2 1/4% increase in 1943 over the expcted gross in-
come for 1942.

From these estimated incomes, of course, there have been deducted those
items of departmental expense of the Department of State Police, expense of
the Office of the Commissioner of Motor Vehicles, expense of the Traffic Courts,
expense of the Office of the Comptroller for the collection of gasoline taxes,
and Debenture Reserves and Debt Service costs applicable to State Roads Com-
mision Bonds. These deductions are authorized by existing laws.

The total amount of expected net revenue to be derived from the 4 cent
gasoline tax and income from Commissioner of Motor Vehicles, after providing
the funds for the purposes outlined immediately above, indicates that in 1942
there will be available for distribution to the State Roads Commission, the
counties and Baltimore City, entitled to a distributive share of these incomes,
the sum of $16, 085, 947. 16. The distribution of this total, based on existing
laws, will allocate to the State Roads Commission as its distributive share, the
sum of $8, 251, 581. 44, or 51. 30% of the total net income; to the Counties for
administration by the State Roads Commission, the sum of $3, 196, 888. 28, or
19. 87% of the total; to Baltimore City, based on existing legal authorized alloca-
tion, the sum of $4, 637, 477. 44, or 28. 83%. For the year 1943, the total dis-
tributive amount expected from these sources, will be $16, 535, 048. 08, of which
the State Roads Commission share is calculated at $8, 446, 189. 34 or 51. 08%; the
counties, $3, 322, 429. 11 or 20. 09%, and Baltimore City, $4, 766, 429. 63, or 28. 83%.