Henderson Daily Dispatch

Diversion Is Gain for Assembly

Daily Dispatch Bureau, in the Sir Walter Hotel.

BY HENRY AVERILL.

Two schools of thought are developing here over diversion of highway funds which has been the center of attention in numerous sessions and which is certain to come up in some form or another. As the opening session of the General Assembly approaches, observers are wondering if Governor-elect J. M. Broughton is going to make good on his campaign promise to fight against the existing "diversion" section of the law, while at the same time going ahead on his even more ambitious program of a retirement plan here and for other activities which will take money from the general fund. Those in this group are inclined to believe that some sort of diversion clause will, after all, be written into the 1941 legislation. They expect that more restrictions will be placed on what funds and possibly omitted only under emergency conditions.

A new view held on the diversion is that the Federal program of building highways is going to make it
Diversion Is Issue
Again In Assembly
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necessary. If any diverting at all is
done, to divert funds from other
sources to the highway account.
This view is based on the questionable belief that the Federal government
will continue to require that
the State match road funds dollar
for dollar. If this should turn out
to be correct, then of course North
Carolina is going to be called on to
spend many millions more on roads
-if it is to get the defense highways. There are many, however, who
feel that the Federal Administration
is going to relax its require-