The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1847-01-09

s5,ssj,649A s.sO343s "a 96s,oo7 AZ
The preceding statement Of the canal def. Gable No
No A. page &c. with the single exception that the table
in document II, prepared before the last loan Of
computed at five per cent whereas the loan was sexual
ly made at an interest Of six per cent This adds
per cent annually equal TO $4,000 for each
year. from 1916 to 1854 making difference in the total
If the Canal Sinking Fund provided by the Constitu
ton, starts with the debt as stood at the
ment OF the fiscal year, the first of Ocober 1886 it
will pay the canal debt in eighteen years and quarter,
first of january, 1868 But if the debt which
celled on tho first OF July taken into the account aud
the interest the excess beyond the sinking fund is
computed for the whole period. it will extend the time
for paving the canal debt to the 30 of September 1865
according to the computations which have been made
In preparing the financial system which was embodied
in the suspension act OF ls4l 1t intended to provide
sinking fund which would pay the canal debt ia 22
of the year 1865 The estimates then were based
upon debt two millions and half of dollars less than
subsequent part Of this report This great amount Of I'm
ascerined debt has been source OF embarrassment to
ne hnSnoai ms Oh ne f Sa ave, snSe ,saa ana
ment Of the debt under the act Of lSi beyond the year
1865 In providing for the of the canal debt in
for the holders Of the canal stock could
been realized them from adherence TO the law OF
| 1912
The act of 1912 made provision for the payment
the principal of the Railroad and fund debts then
amounting to S. S7s o. shown table F. doc 81
of and which have since been increased to IS
$40. being addition Of $6oa262 The new Constitu
ton provides for the Of the Railroad and
al fund debts from the canal revenues For the present
the set apart for the Of these debts amounts
$3.50 per annum; but after the canal debt paid
is to be applied annually, until ali the debts charged
upon the Treasury are cancelled The Consti, ution
dollars for the pay OF the railroad and general fund
debts which not provided for by the law Of lsl2
appropriation for the support Of government after eight
years. and after the payment Of the canal aad general
fuEd debts, say in 1869 approprates to the general
fund.- from the canal fund.- perpetual annuity Of S672
| 900 500.
The advantages secured to the general fund by the
Constitution beyond those afforded in the law of 1912
may be summed up folows:-
Principal OF the above annuity Of $672 So $l3 "a
Appropriation from canal revenues to
pay railroad AND general fund debts. $l2 $50 257 St
Appropriation Of $3.50 900 for support of
Government from 1856 to 1869, IA years. 100 900 OF
| $2sI30 a25 q.
statement has been prepared. end is annexed TO thin
report marked Nc 2 which shows the time required to
pay the general fund and railroad debts by the applca
ton of the sinking fund provided for that object by the
new constitution
The table referred to commences with the debt as Il
stood the LIST Of june 1916, and applies the sinking
fund for onethird of year $iloe66 e to the
the general fund in July last towards which par
of the sinking fund of $ll6666 Sc was paid This com
mences the fiscal year. October l, ls46 with deficit
Ooo instead Of having the amount Of the sinking fun,
for onethird of year The general fund having Paie
own debt on the LIST Of July nnsidsd by the sinking
third of the fsc Al year ending s0th Sept
In 1885, the pay the canal debt being completed
in January Of that year, the annual sum Of 81 800 O
will be realised for the ayment Of the general func
debt, which, from January to 30th September, nine
months, gives 81 and will fully cancel the deb
IN 1869
is shown in the annexed table, No that the State
must pay the sum OF 50 900 $50 49, than would be
required If th Sinking Fund strong enough 10 pay
tho principal of the debt at the times fixed In the
tracts; this large amount being tho interest which nc
cumuiates on deficiencies.
The above has reference to the debt as stood on the
first of June at tho close Of the fiscal year was ascer
tanned that the debt had increased Sl0 000 this 10 10 b.
added, with interest it, for 221l years.
In addition to the provisions before alluded to, for thu
payment OF the Treasury debt, the financial article In
the Constitution furnishes ample guaranty against
great State debt for the future, This, the fnancia
system OF $40 could not and did moi provide The l2tf
protects the people against the imposition of all suc
burdens as constitute our present debt Of S24 80
be hereafter created, unless such debt shall be auth
sed by law for single work object to be dis
tnctly specified therein; anu such law shall impose and
provide for the collection OF direct annual tax to pay
and sufficient to pay the interest of such debt as 1t fail
due and ass to pay and discharge the principal sue
debt within eighteen years from the time Of the cor
tracing thereof And 4" that such law shall TAX
effect until shall at general election, have been sui
the votes cast for or against It at such election"
Another important provision which could not be eac'
by the act of s42, Is contained In the 9th section OF tn
7th Article of the Constitution and is as follows: III
credit OF the State shall not in any manner lie given
loaned TO- in aid OF any Individual association az co
poration" Such provision Ia tae old Ceu4ttuiio
would have saved the tax payers OF this State more tina
seven millions and quarter OF dollars which they al
> now commelled 10 pay by improvden loans TO thre
railroad corporations.
Since the preceding tables and statements respecn
the debt were prepared, the Comptroller has receive
notice from the Of the Hudson and Berkshir
Railroad Company, that the interest due on the hrs
January, ls47 SlSO0o0 OF state stock loaned to sal
corporation, will be paid by the company In cons
quence OF this notice. and ia order to protect the hone
Of the State, and preserve its faith, the Comptroller
authorised by law, has drawn the Treasury Tor II
necessary to pay the interest due ON said stock i
the half year ending the 2st Of December 1916 III
sinking fund paid into the Treasury by this company ar
which Is invested in O. and per cent State sccure
amounts to the Of $iS250, which will pay the int
Z rest on the stock for nearly three years.
This stock was issued under chapter l76 ofthe laws