Staunton spectator, and general advertiser. [volume] (Staunton, Va.) 183?-1849, 1840-12-10
to answer the immediate demand of the treas

y
red by an act OF the last session, TO furnish
means of paying the interest on the public
debt, Ill specie or its equivalent, when dcman-
dea by the public creditors. So far as this
demand was made, they were subjected TO a
loss of the difference between specie and cur
rent notes, and as it was incurred for the ac-
commodation of the State, submit whether
it is not proper to relieve them from it.
The public warehouse at PeitrS5urg. the
property of the State, is represented as being
entirely unproductiye, and charge on the
treasury. ] suggest therefore whether it be
not eXpedient TO authorize its sale. 1t is eli
gibly situated and may command its value.
recommend to your consideration the bill
prepared with great care by our experienced
first auditor, and submitted to the general as
sembly at its last session, on the subject of
our revenue laws.
In 1887 the executive loaned sos, 0G5, S3.
part of the federal surplus, to the Richmond
and Petersburg railroad company, reserving
the right to adopt certain precautionary mea-
sures to ensure the payment of interest, &c.
The attention of this company was called du-
ring the past year to the amount in arrear,
when a proposition was made for the eXecu-
tive to accept draft on the board of public
works for the amount of 100000, THAT sum
| being the balance of loan of $150,0O0, au-
thorized by the act of March 30, 1893. to he
made from the board of public works To this
company. This arrangement was acccded to
| by this department, which leaves balance of
ST. 1898 sc still due to the commonwealth
| from the company, and gives the common
wealth her own bonds to the amount ofSlCO,-
600.
The advantages of an energetic and judi
cious system of internal improvement have
been too long and too extensively felt through
| out the Commonwealth to require any specu-
lative recommendation TO your attention.
This may now be regarded as part of the set
lied policy of Tirginia, and it only remains
for us to reap the fruits of our experience, and
render our future efforts mere practical, by
supplying those defects which have become
apparent either in the design or the execution
of our plans. The large fund which at an
early period was set apart and dedicated to
this purpose, though it has received consider
able accessions from time to time, has been
found inadequate to the demands ofour State,
and series ofioans have been authorized, to
enable the State to meet its engagements as
stakeholder in joint stock companies, or as
sole proprietor of these works. The aggre-
gate OF these loans now negotiated in one
form or other amounts TO S6.2S6,2 S1. Au-
thority has been given TO negotiate loans to
| the amount Of So, 1877 500 II, which has not
been applied for, and considerable part of
which Will probably never be required. The
actual fund for internal improvement now pro-
ductlve, may be estimated at S2,7l4,21S Al.
The interest paid during the last fiscal year
on loans for various objects of internal i'm
provementw was S3I7 1872 65. The actual pre-
duct of internal improvement companies du-
ring that period was $I9,327 O3, or about four
per cent. on the sum Of S479,662, held by
the State In thirteen companies. The act of
April 9, 1888, provides that the stock procur-
ed by the State In any company by means of
loans, with the dividends on it, and the in
come from State works executed by means of
loans, shall be considered fund for the pay
ment of interest on the loan, and Tor its ulti-
mate redemption. And if the income from
these sources, together with the income ofthe
fund for internal improvement, should be in
adequate to pay the interest on such loans,
the auditor is directed, on the application of
the board of public works, to supply the def
cheney from the treasury. And if the treasu-
ry should be insufficient at the time to meet
the demand, the board of public works are au-
thorized to borrow the necessary amount from
the banks. 1t will be perceived that our pub
lie works and the general fund have not been
sufficiently productive to meet the interest on
these loans, and that the sum of $3.50, 700
has been required from the treasury for that
purpose.
While a wise and benefcent governn ent
would never engage In system of internal
improvement with an exclusive view to its
profit as a stakeholder, and while the State
frequently derives more from the multiplied
sources of its general revenue through its
treasury than from its property in these works,
it is still proper that every effort should be
made to render the system sufficiently produce
tive at least to sustain itself. Though it is
the same thing to the commonwealth whether
Its revenue is derived in the form ofdividends
from turnpike, or as a tax on lands, the val
ue OF which has been enhanced by its con-
structlon, there is difference to the citizen
who lives remote from the line of the i'm
provement. With the exception of some por-
lions of the State where the lands are fertile
and the population, for want of access to mar
ket, is still sparse, it is undoubtedly true that
those works for which there is really a neces-
slty, will, when properly constructed and
managed, always sustain themselves. In
cases where these exceptions occur, it is often
sound policy, even in fiscal point of view to
augment the means of general revenue by APP
preparations where no return is expected in
the form OF tolls or dividends. But it is 9TH
erwlse on our great lines of improvements
Justice to the stockholders and to the citizens |
OF the State at large, requires that these should
sustain themselves. No argument against
the general policy ofinternal Improvement is |
fairly lnfenble. from the unproductive charac-
ter OF some of our public works. This fac. |
may show that errors have been committed in |
the original plan, in the execution or the man. |
agemeDt OF particular works, but it shows TO
more. 1t is sometimes the result of fallacious !
< Inn n toe nrfI, g. 81