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On motion of Senator Mulkey, house joint resolution No. 4 was taken from the table.

On motion of Senator Mulkey, the amendments were adopted.
Senator Mulkey moved the adoption of the resolution.

On this question the roll was called and the vote was:
Those voting aye were-

Senators Adams, Bates, Brownell, Cameron, Clem, Daly of Benton, Daly of Lake, Driver, Dufur, Fulton, Haines, Harmon, Haseltine, Howe, Josephi, Kelly, Kuykendall, Looney, Mackay, Michell, Morrow, Mulkey, Patterson, Porter, Proebstel, Reed, Selling, Smith, Wade and Mr. President-30.

Nays-None.

So house joint resolution No. 4 was concurred in as amended. Unanimous consent being given, Senator Michell introduced senate resolution No. 23.

SENATE RESOLUTION NO. 23.

Resolved by the senate, That the pay to be allowed the clerks of the engrossing and enrolling committees of the senate at this session be as follows: Chief clerk of engrossing committee, $6 per day; assistant clerk of engrossing committee, $5 per day; all other clerks of the engrossing committee, $4 per day; chief clerk of enrolling committee, $6 per day; assistant clerk of enrolling committee, $5 per day; all other clerks of the enrolling committee, $4 per day.

Resolved further, that committees of the senate where only one clerk is employed, shall be deemed a chief clerk and shall receive $5 per day.

Senator Michell moved the adoption of the resolution.

On this question the roll was called and the vote was:
Those voting aye were-

Senators Brownell, Cameron, Daly of Benton, Dufur, Fulton, Haines, Harmon, Michell, Mulkey, Patterson, Porter, Reed and Mr. President-13.

Nays-Senators Adams, Bates, Clem, Driver, Haseltine, Howe, Josephi, Kuykendall, Looney, Mackay, Morrow, Proebstel, Selling and Smith-14.

Absent-Senators Daly of Lake, Kelly and Wade-3.

So the senate refused to adopt senate resolution No. 23.

Mr. President:

MESSAGE FROM THE HOUSE.

HOUSE OF REPRESENTATIVES,
SALEM, Oregon,

February 18, 1899.

I am directed by the speaker to inform you that the house has concurred in senate concurrent resolution No. 15, providing for a

conference committee of house and senate relative to the disagreement of said bodies on house bill No. 383, and has appointed on the part of the house Messrs. Beach and Flagg.

And the same is herewith transmitted to you for the consideration of the senate and for enrollment.

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I am directed by the speaker to inform you that the house has adopted house concurrent resolution No. 23, fixing the compensation of the joint committee to examine the books and accounts of the secretary of state.

And the same is herewith transmitted to you for the consideration of the senate.

A. C. JENNINGS,

Chief clerk.

HOUSE CONCURRENT RESOLUTION NO. 24.

Resolved by the house, the senate concurring, That the clerks employed on the joint committee to examine the books and accounts of the secretary of state and state treasurer be allowed seven ($7) dollars per day.

Senator Selling moved that the senate do not concur in house concurrent resolution No. 24.

The motion prevailed.

Unanimous consent being given, Senator Brownell introduced senate resolution No. 24.

SENATE RESOLUTION NO. 24.

Whereas, many petitions of resident tax-payers of Multnomah and Clackamas counties have been introduced at this session of the senate relative to the state investigating the advisability of purchasing the Mount Hood and Barlow Road from the stockholders of the Mount Hood and Barlow Road Company, and making it a public highway for the use of all; therefore, be it

Resolved, That the president of the senate appoint a committee of three senators to investigate as to the advisability of the state of Oregon purchasing said road and making it a free highway over the Cascade mountains, and report their findings at the meeting of the twenty-first biennial session of this senate; said committee to serve without compensation or expense to the state, now or hereafter.

Senator Brownell moved the adoption of the resolution.
The motion was lost.

Unanimous consent being given, Senator Looney, chairman of the committee appointed under house concurrent resolution No. 1, to examine the books and accounts of the state treasurer, submitted the following report:

Mr. President:

REPORT.

SENATE CHAMBER,
SALEM, Oregon,
February 16, 1899.

Your special committee appointed under house concurrent resolution No. 1, to examine the books and accounts of the state treasurer, having performed the duty assigned us, beg leave to submit the following report:

The resolution under which we were appointed delegated us no further authority than to examine the books and accounts of the department without reference to dates. Inasmuch, however, as the books for the two years ending December 31, 1896, were, by reason of the nonorganization of the legislative assembly of 1897, never examined, and the requisite clerical assistance having been accorded us, the examination was commenced with the term beginning January 1, 1895, and carried through systematically to the close of the biennial term ending December 31, 1898, thus covering a period of four years, or two biennial terms, and we herewith submit our findings, in accordance therewith.

Acting under the authority of your resolution, we employed competent and expert accountants, who, by our direction, and under such personal supervision as our other legislative duties would permit us to give to the investigation, have ascertained the following facts.

Commencing with the detailed statement of receipts of January 1, 1895, after carefully checking the duplicate receipts issued by the state treasurer, as filed in the office of the secretary of state, in accordance wtth law, with the entries in the state treasurer's cash book of receipts, as well as the corresponding entries in the ledger, we have found all items correctly entered, and the footings correctly figured in every detail, and have detected no errors in the receipts of the department.

In the matter of disbursements we have carefully checked every state warrant paid by the state treasurer with the entries in the cash book of disbursements, and from thence to the ledger, and have been unable to detect any errors that would in any way affect the financial department of our commonwealth.

Every item, with the single exception noted below, has been correctly entered, and every footing correctly figured.

The disbursements from the various trust funds, as made by the board of school land commissioners, are accounted for, either by notes and mortgages, representing loans, or by the official receipts of the county treasurers for the apportionment of interest arising from the investment of the common school fund.

Your committee finds, however, that the printed report of the state treasurer to the legislative assembly of 1897, page 253, shows that under date of August 23, 1895, a loan of $200 was made from the agricultural college fund to one Z. S. Derrick. The amount was correctly entered in the cash book of disbursements, but the note itself was inadvertently filed with those of the common school fund. Interest payments having since been received and credited on the note, and the amounts placed to the credit of the common school fund interest, necessitated the transfer on the books of the de

partment of the amount of the loan ($200) from the agricultural college fund to the common school fund. The necessary transfer has been properly made on the books of the department.

We have also carefully checked the balances as carried forward from the biennial term of 1895-'6 to that of 1897-'8, and find them correct.

Commencing next with the biennial term of 1897-'8, we have followed the same system of comparison and checking, and are pleased to report that we have been unable to detect an error in the books of the department.

All entries have been accurately made, as evidenced by checking the same with the duplicate receipts, on file in the office of the secretary of state, and the state warrants; and the amounts correctly carried forward to the ledger, and accurately footed therein.

We have, also, made a careful examination of the notes and mortgages, covering the loans made by the board of school land commissioners from the various trust funds, including the common school fund, the university fund, and the agricultural college fund. We find that the various payments of principal and interest on those now in the custody of the department, have been correctly indorsed as shown by comparison of the same with the duplicate receipts, and have also been correctly entered on the cash book of receipts, and from thence carried forward to the ledger. All notes reported on hand in the biennial reports of 1895 and 1897 have been duly accounted for, and a detailed history of the same entered in the "note register" of the department. The biennial report of the state treasurer for the term ending December 31, 1898, shows in detail the condition of the trust fund notes now in custody of the state treasurer, together with a list of notes in course of collection, or upon which a settlement has been effected by order of the board of school land commissioners.

The transfer of funds and securities from the retiring to the incoming state treasurer was satisfactorily effected on the ninth of January, and the duplicate receipts covering the respective amounts have been filed in the office of the secretary of state.

A few unimportant errors, typographical and otherwise, have been discovered in the printed report. They do not, however, affect the accuracy of the books of the department, and the balances on hand, December 31, 1898, are found to be correct as shown by the printed report.

We find the books and records of the office neatly and accurately kept, and in every detail creditable to the officer in charge as well as to those in his employ.

In conclusion, we can but acknowledge the courtesy and kindly assistance rendered your committee and the clerks in their employ by the officers and clerks of the treasury department, who have offered us every facility for a careful and conscientious examination of the books and records of the office.

Very respectfully submitted,

N. H. LOONEY,
J. W. MORROW,

Senate committee.

R. E. MOODY,

W. A. MASSINGILL,
D. A. MCALLISTER,
House committee.

By direction of the president, the report was received and placed on file.

House bill No. 382 coming on for second reading, Senator Kuykendall moved that the rules be suspended and that the bill be read second time by title only.

On this question the roll was called and the vote was:

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Those voting aye were-

Senators Adams, Bates, Brownell, Cameron, Clem, Daly of Benton, Daly of Lake, Driver, Dufur, Fulton, Haines, Harmon, Haseltine, Howe, Josephi, Kelly, Kuykendall, Looney, Mackay, Michell, Morrow, Mulkey, Patterson, Porter, Proebstel, Reed, Smith, Wade and Mr. President-29.

Nays-Senator Selling.

So the rules were suspended and the bill was read second time. by title only.

Senator Porter demanded a call of the senate.

The roll was called, and those present were Senators Adams, Bates, Cameron, Daly of Benton, Daly of Lake, Driver, Fulton, Harmon, Haseltine, Howe, Josephi, Kelly, Kuykendall, Looney, Mackay, Michell, Morrow, Mulkey, Patterson, Porter, Proebstel, Reed, Selling, Smith, Wade and Mr. President-26.

Absent-Senators Brownell, Clem, Dufur and Haines-4.
Senator Clem was noted present.

On motion of Senator Selling, further proceedings under the call of the senate were dispensed with.

On motion of Senator Kuykendall, the senate arose and resolved itself into a committee of the whole for the consideration of house bill No. 382.

Senator Michell was called to the chair.

The committee of the whole arose, and, after the senate was called to order, Senator Michell, chairman of the committee of the whole, reported progress and asked for further time, which was granted.

Senator Fulton moved that the senate rescind in its former action on house concurrent resolution No. 23, and the same be taken from the table.

The motion prevailed.

Senator Kuykendall moved that the senate concur in house concurrent resolution No. 23.

Senator Fulton moved the previous question.
The motion prevailed.

On motion of Senator Fulton, the senate concurred in house concurrent resolution No. 23.

MESSAGE FROM THE HOUSE.

Mr. President:

HOUSE OF REPRESENTATIVES,
SALEM, Oregon,

February 18, 1899.

I am directed by the speaker to inform you that the house has adopted house concurrent resolution No. 25, that the matter of

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