Salt Lake Telegram | 1931-06-11 | Page 11 | Ruling Sought on Cure for Deficit

RUliNG SOUGHT ON CURE E FOR DEFICIT Attorney General Asked to Decide on Legality of Profit LQ Loss S A Account c t Whether a a. profit and loss account can be established by the state land board to care for a deficit of 36 in the state school fund was the he question submitted Thursday to te Attorney General George P. P Parker for or an opinion Mr Parker referred the he question to William A. A Hilton HUton deputy After making an audit of state land board accounts deputy state auditors audi- audi tors ors suggested to State Auditor Ivor AJax that a profit and lo loss s account be set up The deputy auditors were of the opinion that after the state forecloses on certain lands they become the property of the state rather than the property of the permanent school und fund WILL END DEFICIT It was pointed out that In some Instances foreclosed land has been sold for tor more than the state had invested In- In ested vested and that this profit should be beet beset beset set et aside in a separate account The auditors said that if this action is isaken taken aken the deficit in the school land fund und will soon be wiped out Governor George H. H Dern already alread has las urged that the law be amended to o permit a profit and loss account The governor however believing that hat the legislature would take favorable fa- fa action on all the recommendation tion lon failed to te provide in his budget an account to take care of the thc deficit in the state school land fund GRANTED LAND i r rUnder Under the enabling act the state was granted a part of the public land landor for or the permanent school fund The proceeds of all the land that has been granted or may be granted for the support of the common schools goes into a perpetual fund the interest of which Is only to be distributed among the he school districts according to withe the I last ast preceding preceding- census It Is also provided that all public school funds shall be guaranteed by bythe bythe bythe the state st against loss or diversion