STATE AND LOCAL EXPENDITURES 11
tional expenditures are almost exclusively for two objects,
the operation and maintenance of institutions of higher edu-
cation and the provision of state aid to the public school
system.!
The two governmental functions that have been con-
sidered, construction and maintenance of highways and pro-
vision for education, accounted for almost 709, of the net
expenditures of the state government during the period 1923
through 1928. In no single year of the period did they
account for less than 599 of the net total. On the basis of
funds expended the remaining five functions may be re-
garded as of minor importance. Only one of these, protec-
tion, accounted for more than 109, of the net total for the
period. The other functions ranked according to amount of
expenditures as follows; social welfare, general government,
economic development, and miscellaneous. While there are
variations in the annual expenditures for these purposes, the
variations tend to offset one another, with the result that no
marked trend is discernible. Expenditures for general gov-
ernment show a considerable percentage change from year to
year, primarily for the reason that the legislature meets in
alternate years, and in the years in which it is in session ex-
penditures for general government are naturally augmented.
Interest payments amounted to $3.3 million in 1927 and
were almost as large in 1928. The changes in the volume of
interest payments during the period 1923 through 1928 are
explained by provisions for the issue of state highway bonds.
The $60 million issue previously mentioned was placed on
the market in ten series over a period of almost five years.
The intervals between the several dates of issue were irregu-
lar, and uniform amounts were not marketed on each date of
issue. In addition, certain of the earlier issues bore com-
paratively short maturity dates. As a result, interest pay-
ments on the highway indebtedness were irregular in amount.
Variations in the volume of indebtedness incurred for other
purposes and changes in the rates on short-term obligations
contributed to the fluctuations in total interest payments,
but the irregularity in interest payments on highway bonds
was the principal factor.
1 State aid for public schools will be considered in Chapter VIII.
