The Nevada journal., 1852-03-11
FUNDING THE STATE DEBT.


We take the following notice of the
attempt by our Legislature to arrange
the affairs of our State, from the AL
Ia. .x -a.-
1t has been recently proposed, thro'
bill introduced into the Legislature
by the Hon. p. X. Hubbs, Senator
from tho San Joaquin district, to issue
100000 moro of State stock at seven
per centum per annum, and upon SIM
liar conditions and securities a. were
provided in the former issue Of $780,.
900. The bill is we'll drawn, and
would no doubt answer the purpose
for which it is intended, if it were pos.
sible bill could do so. But we cannot
see the slightest necessity for such a
measure. True, the bill asserts rath-
er ostentatiously, that it is ITO put an
end to the issue Of warrants upon the
treasury payable to order, from and
after the 3lst Of Dec, 1882" This
is laudable intention surely; but, un-
fortunately for the pretensions of the
bill, there is nothing within it which
will accomplish the design it processes
to have in view. Funding Comptrol-
ler's warrants will not accomplish The
end intended, SO long as the State sx-
psnditures are one year in advance of
the receipts, and SO long as the cxpsn-
ditures exceed the receipts. The mis-
fortune is, that the State Government
was sustained one year upon credit,
before law could be devised which
should put in operation system Of
taxation Consequently she was OBJ
liged TO issue Comptroller's warrants
against the anticipated revenues of the
next year. Such has been her condi-
ton ever since, and such will contin-
ue to remain her situation until a
scheme Of taxation is devised which
will leave n surplus in the treasury
sufficient to meet the ordinary exi-
gencies of State expenses. We cannot
perceive that there is any thing in this
bill calculated to produce such result,
unless it be the additional "interest
tax" proposed Of ten cents upon every
one hundred dollars of taxable prop
erty. And even if this bill were ex-
actly the remedy needed, there is no
necessity for its adoption at present.
There is now outstanding only $685.
1872 "a in Comptroller's warrants,
and the former law for funding the
State debt is still in operation, with a
balance of $320,50O which has not
been taken. This. certainly, is large
enough to meet all unpaid warrants
now issued, and all that are likely to
be issued for year to come, at least.
The last two sections of Mr.. Hubb's
bill are devoted 10 paying off the State
bonds which now bear thirty-six per
cert. per annum, interest. Here is
another worthy object; and to speak
plainly, the bonds bearing that enor-
nous interest ought to be cancelled or
funded at once. But we cannot, for
tho lie uf US, perceive how this bill is
to enable the Treasurer to pay The
bonds. The bill says very plairly,
that the Treasurer in all the bonds in
question by the 1st Nov, 1882; put
it does not say where he is to get tshe
money to pay them with. 1t is essy
to order the Treasurer to pay, but i is
difficult to get the money. The pas
sage of such laws, therefore, are sim
ply unnecessary. They are nothing
more than directory, and they do not
accomplish one jot of good or evil. 1t
is the duty of the Treasurer to pay
that debt now; and we perceive by the
COmptroller's special report, that ST..
500 19 of the amount, was paid in
Jan. last. So there is very little ne
cessity for any directing enactmenh.