REPORT OF THE COMPTROLLER OF THE TREASURY. ix

only $100,000, the amount above mentioned, at par and $50
premium, for the reason that this sum would be amply suf-
ficient to meet the needs of the Commission until the next issue
of Bonds of $1,000,000, February 1,1909.

While the gross debt of the State has increased $100,000, yet
by reason of the purchases during the year, for the Sinking
Funds, the net debt of the State, after deducting the stocks and
bonds to the credit of the Sinking Funds, as well as other
securities of the State, the market value of which is far in
excess of their par value, is only $366,643.91.

PUBLIC SCHOOLS.

Statement "L" shows the receipts and disbursements on
account of the Public School Tax. The receipts accruing to
this fund were increased during the year by virtue of Baltimore
City paying into the Treasury arrearages of taxes for five years
upon the taxes upon its Stock, amounting to $83,186.30, suit
for which was successfully maintained by the State.

In said statement you will find no mention of the distribu-
tion of the $150,000 for free books. This fund has been
apportioned heretofore by the Comptroller during the month of
July and paid the following month, as required by the then
existing statute, but the Act of 1908, Chapter 635, changed the
times of distribution and payment to September and October
1st, respectively. Therefore, this fund was not paid during
the fiscal year, but on the first day of the next fiscal year, viz:
October 1; hence the large amount—$627,277.54—carried over
to meet this appropriation as well as the quarterly distribution
due the Public Schools as of that date.

FEE AND EMOLUMENT REPORTS.

I respectfully call your attention to these reports as con-
tained, in statements "A" to "E" inclusive, subtitle "Statistical
Reports." .

Section 1 of Article 15 of the Constitution provides, as you
well know, that every person holding any State office, whose
pay or compensation is derived from fees, must pay into the