REPORT OF THE COMPTROLLER OF THE TREASURY. XV

so advised by me. While the question of "good roads" appeals
to every intelligent citizen, and wisely so, yet the means to
provide for their construction is the vital one for your consider-
ation. The State cannot meet this appropriation now with its
present revenues and obligations. Therefore, it is for your
Honorable body to provide other sources of revenues or
materially reduce the present level of expenditures.

In my judgment, it would be unwise to levy a direct tax,
which means at least an addition of 3 cents to the present 23 1/2
cents. Unwise, because the present State tax is now too high,
and for the further reason it would be manifestly unfair to
Baltimore City. While the said City enjoys the benefit of the
very large appropriations to the various institutions within and
near its borders, yet its people have contributed of their
substance, and willingly so, far more towards maintaining the
Public Schools than they have received, and to call upon them
now to contribute more than half of the expenses in building
highways throughout the counties of the State, while they
receive nothing in return for their own streets would, in my
judgment, be manifestly unfair. Therefore, to make this Act
effective, you must either provide other sources of revenue, by
direct or indirect taxation, or reduce expenditures.

. CONCLUSION.

If, in your judgment, you deem it wise that the State tax
rate should be changed, permit me to respectfully offer this
suggestion:

Under the new Charter of Baltimore City, the tax levy is
made up and imposed in the month of December for the year
succeeding, while a large percentage of the taxes is paid in the
January following. Inasmuch as the State taxes are levied and
collected at the same time, it therefore becomes manifest that
the City authorities might levy a tax the rate of which the
next. Legislature might change. This condition did occur in
December, 1903, the City levying at that time and collecting in
January the State Tax of 17 cents for the year 1904, while the
Legislature in March passed a different tax rate—22 1/2 cents.