40 



Indiana University Studies 



"between the hours of nine a.m. and five p.m."^^ Several 

 other States make some such provision preventing the mem- 

 bers of the board from holding any other lucrative office 

 under the State. West Virginia and Minnesota are among 

 these. In Indiana the provision is constitutional, applying to 

 all State offices. 



Members of supervisory boards usually receive no com- 

 pensation except in a few States, like New York, where they 

 receive a small per diem fee. Members of administrative 

 boards have always received salaries, ranging from $1,200 to 

 $7,500, excepting only in Rhode Island, where the members 

 of the Board of Charities and Corrections have never received 

 compensation. The situation which has just arisen in New 

 Hampshire owing to the creation of a nonpaid central admin- 

 istrative board of trustees, who appoint a salaried business 

 manager and a purchasing agent, is a new departure in the 

 field of administrative boards. ' It is avowedly a device to 

 take the appointment of heads of institutions out of politics, 

 but if the experiment proves successful it may give rise to 

 the question whether it is better to have a small board of 

 business men devote their whole time to the work, at a large 

 salary, or to permit a large, unsalaried board of men inter- 

 ested in charities to exercise nominal administration over the 

 institutions, by the appointment of one or more salaried cen- 

 tral agents who will exercise actual control. 



The table appended at the end of this paper gives the 

 names of the different boards in representative States with 

 the number of members, their compensation, term of office, 

 and qualifications if specified. 



VII. Purchase of Supplies 



The fundamental method by which an administrative board 

 or board of control exercises its control over the finances of 

 the various institutions under its jurisdiction is the estimate 

 system. The superintendents or heads of institutions submit 

 monthly or quarterly estimates of the supplies of food, 

 clothing, etc., needed by the institution during the next period. 

 The central board revises these, either arbitrarily cutting 

 down the amount, lowering the quality, or reducing the price, 



^9 California Statutes, 1911, Ch. 349, p. 591. 



