Specific appropriations made by the last legislature for the Southern Hospital are not available until the beginning of the next fiscal year.

*APPROPRIATIONS-SPECIFIC APPROPRIATIONS MADE BY LAST LEGISLATURE FOR SOUTHERN HOSPITAL NOT AVAILABLE UNTIL BEGINNING OF NEXT FIS- CAL YEAR. April 16, 1907. Dr. C. E. Laughlin, Superintendent, Southern Hospital for the Insane, Evansville, Indiana: Dear Sir-Hon. John T. Stout called to see me a few days since in regard to the specific appropriations nmade at the last session of the legislature for boilers, stokers, new .stack, sewage plant and bakery equipment at the Southern hospital, and asked whether, in my opinion, any or all of these appropriations were available before the commencement of the next fiscal year, which will be the first of October, 1907. I have taken this matter up with the auditor of state and our views coincide that these appropriations cannot be anticipated; however, it is the policy of the auditor's office to suggest, in cases of this sort, that the trustees may proceed to let their contracts and begin the work of installation before the appropriation is available, provided the contractors are willing to wait for their money until the commencement of the next fiscal year. Another method which might be available is to arrange with the contractor that he should borrow money from some bank or individual to carry on his work, the lender looking to the appro- priation for reimb-trsemeunt. This necessarily is a transaction solely between the contractor and the lender, and to it the state or the board of trustees are not parties. Another possible plan would be to .have the governor advance the money needed for such improvements, as cannot be procured on time, by drawing upon his emergency contingent fund; which fund would then be reimbursed from the specific appropriations available October 1, 1907. It would be wholly a matter of discre- tion with the governor whether this advance should be made, and I do not know what his views on that subject are. One thing, however, is clear-that no part of any of these ap- propriations can be drawn from the state treasury prior to Octo- ber 1, 1907.