anaheim-gazette 1958-01-16
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Governor Knight Says No Tax Rate Increase Needed
"Having received complete cooperation from every state department head I shall submit to the legislature on February 3, 1958, a state budget representing the utmost in governmental economy and frugality.
"I am motivated to these objectives by two purposes, first, to render all possible service to the people of California compatible with reasonable costs and, second, to maintain state government on a sound basis without necessity for increased taxation.
"With sympathetic understanding from the members of the legislature in its budget session these desirable objectives can be attained.
Sees Continued Economy
"Each of the budgets I have submitted to the legislature in the last four years was a tight budget with each expenditure item kept to the minimum amount required to provide an essential service. I have re-emphasized the need for even greater economy in the budget upon which I am now working for presentation to the legislature in February.
"Last September, I issued a special directive to every state department head, asking each one to retrench and to cut costs wherever possible. I have had excellent response. Additional economies already adopted will produce substantial savings which will help finance next year's budget."
for presentation to the legislature in February.
"Last September, I issued a special directive to every state department head, asking each one to retrench and to cut costs wherever possible. I have had excellent response. Additional economies already adopted will produce substantial savings which will help finance next year's budget.
No Tax Increase Seen
"I will submit a budget to the legislature in February which will be in balance without an increase in any tax rate or any new tax measures. This has not been an easy task. We are hard put to keep pace with our ever-increasing population and the constant rise in prices. To maintain a high standard of performance of essential public services at minimum costs, requires the most careful and prudent management, with every department exerting its best efforts to conserve the state's funds.
"Our task is complicated by the fact that about two-thirds of the state's expenditures are fixed by the Constitution or by continuing statutes for such important and costly items as support of public school, aid to the aged, blind, and needy children, allocations for county roads and city streets.
"Within the remaining third, we must operate the state institutions for the mentally ill, for juvenile and adult offenders, the university and state colleges, and the many other departments, all faced with increased demands brought about by the state's growth. We are required by law, and of course desire, to pay prevailing wages to our state employees. We must build additional facilities to accommodate a great increase in college students. Similar needs apply to virtually all state institutions.
"I have stressed the need for intelligent, well planned economy as opposed to arbitrary budget slashing which might cripple essential public services.
"Let me give an outstanding example of intelligent economy. By providing modern facilities and staffing, our state hospitals for mental illness have been able to..."
"I have stressed the need for intelligent, well planned economy as opposed to arbitrary budget slashing which might cripple essential public services.
"Let me give an outstanding example of intelligent economy. By providing modern facilities and staffing, our state hospitals for mental illness have been able to put into effect an up-to-date program of intensified treatment for these unfortunate charges of the state.
"The result has been such a dramatic increase in the number of patients dismissed as cured, or improved, and such a shortening of the period of hospitalization, that for the first time in the state's history, we can see a decline in the number of patients to be housed and cared for despite the continued increase in state population. As this trend continues, we will save millions of dollars in hospital operation and in new hospital construction.
"In many respects, our expenditures on the state level have a direct interrelation with national programs. The well-being of our people must not be neglected. But even with these considerations, I believe all government leaders will agree that there are savings to be had in our national budget by the exercise of conscientious care in the handling of the people's money. We can avoid duplication of efforts, we can streamline departmental services, we can, in short, get a full dollar's value out of every tax dollar spent."
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