Lynchburg daily Virginian. [volume] (Lynchburg [Va.]) 1852-1861, 1854-04-12
Speech of MI. M. r. H Garnett of ESSEX.

Speech OF MI M. IL ii. Gafnett OF bssex
Made in the House Of Delegates Of pirginid,
March 2nd, 1854.
Mr.. SPEAKER:-I ask the attention of the
House, while assign the reasons for the vote |
shall give and make some remarks the
dition of our finances. | shall be brief MS the
late period Of our session admonshes me 10 be.
The bill before you appropriates S20O,0OO for
the construction of n railroad from the Virginia
and Tennessee roud 10 certain plaster banks in
the county of Smyth. 1t contains no element OF
private enterprise not even the usual joint stock
partnership between the State and individuals,
but the construction is to be wholly on State
count. The work is essentially local in its char
acter, and if the owners of these plaster banks
will not risk their money in an enterprise, de-
signed chiefly for their own benefit, | am equally
reluctant to hazard the Commonwealth. | can
see no justification for such bill.
Our labors, Mr.. Speaker, have drawn nearly
to a close and of the enormous appropriations
asked for Mt the beginning of the session,
mounting, believe, to nearly twenty millions OF
dollars, we have agreed TO not quite one million.
And, | think, sir, it cnn be shown that the true
and udicious friends Of internal Improvement
have reason to congratulate themselves on the
result that this general defeat is preferable, even
for them, TO general success. To prove this,
| must make n condensed statement of our iinan-
ccs. The materials for correct estimate have
been procured only within the last few days for
neither the Auditor, nor the worthy Chairman of
our Finance Committee, (Mr. MAIcz) knew what
disposition had been made of our State bonds,
when they made their reports The Board of
Public Works has just informed u.s. after repeat
ed calls
We were told, sir, that we had, and would con
tinuo to hnvc considerable surplus in the treas
ury. Let us sec how far this is true.
The balance on the LIST day of last October is
stnted ut SlSG,259 81. 1t should be remember
ed, that this balance was the result of loans
There was direct loan of Sl7S, 400 90, and to
this was added the net surplus Of the internal inn
provomcnt fund, amounting to S223557 So, made
up chiefly of premiums on other lonns but these
premiums Just as much money borrowed, as
the paramount itself of the loan 1t was by thus
borrowing money that covered the real def
cit of S253,327 III of the last fiscal year, and
cy had been pursued in tho two preceding years,
when the true deficit was, the Auditor stated
in his report December, 1852, $3i3,9i52l.-
Thus it appears that for the last three years, we
have borrowed, not only for works of internal
improvements but even to aid in paying the inter
est of our debt, and defrayng the ordinary ex-
pcnsos of government, ut the rate of 100000
year But, sir, | will say nothing of the past,
| will assume this balance of SlS6,250 81, as
what our laws have made it, the basis of our es-
Inmates for the next two years.
In order to correct the Auditor estimates nc
cordng to the facts now before u.s. must first
examine the estimated net surplus of the internal
Improvement fund, which, MS you know, sir forms
II part of the income of our treasury. In the
first place, then, in calculating the amount of
that surplus, the Auditor made no charge for
the interest on the guaranteed bonds of the
Chesapeake and Ohio Canal Company, for which
we have in part already made an appropriation,
and which 1t is now certain, we shall have to pay
for an indefinite time.
Again, amongst tie future credits of this fund,
! find an estimate of Sl50,000 per annum, for
| premiums on the sale of our bonds. | strike out
! this item for reasons which will presently ex-
! plain
These corrections may be summed up:
Net surplus of internal improvement
fund.- for the year ending September
! Both, 1854, according to Auditors
! estimate, S572, 973
{ Deduct the estimate for pre-
/ mums on loans, $4,000
/ And interest on Chesapeake
and Ohio Canal Bonds,
from July LIST, 1853, to
July LIST, 1854, inclusive, 1880
1875 $50
Corrected net surplus on September
Both, 1854, 377, 523
Net surplus of same fund, September
Both, 1865 estimated by Auditor, 6l2,95l
! Deduct estimate of premi-
ums as before, 10000
| And one years interest on
Chesapeake and Ohio bonds 10000
10000