Semi-weekly standard. [volume] (Raleigh, N.C.) 1853-18??, 1855-01-17
REPORT OF THE FINANCE COMMITTEE

REPORT OF THE FINANCE COMMITTEE
Submitted to The Legislature Of North Carolina,
January, 1855.
The Committee of Finance have had under con-
sideration the several matters submitted 20 them,
and such as by awit is their duty to examine, anu
have instructed the undersigned to make the follow
ing report:
such as must soon be incurred in the sale Of bonds,
or the borrowing of money in lieu thereof may be
estimated at three millions four hundred and nine
thousand six hundred and sixty-three dollars and
fifty cents ($3, 409, 663 90
Upon this sum the annual interest to be paid is
two hundred and four thousand, five hundred and
seventy-nine dollars and eighty-one cents, (S2U4-
579 80 An amount which exceeds the revenue
paid into the public fund by sleriffs from all the
subjects of taxation on which our present system
operates.
In addition to the amount paid in by sheriffs the
State derives an income from certain SIT CHS where
investments have been made-such as the Raleigh
and CASTOR Raj road Company-Seaboard and Roa-
noke Railroad Company-the Fayetteville an w cs-
tern Plank Road Company, and the Wilmington and
Raleigh Railroad Company.
One of the items forming the State debt, IS the
sum of one hundred and twenty thousand dollars
being the amount of bonds sold to pay the States
subscription to the Fayetteville and ESTEEM Plank
Road from which eight per cent dividends are paid
annually into the Treasury. All the other stocks
named above are productive.
The largest portion of the public debt has been
incurred in the subscription to the North Carolina
for its completion, one million OF dollars.
This subscription is debt which pays nothing
as yet for its support and until the Road is COM
pleted and in use, provision must be made to meet
the interest accruing upon it.
The committee have examined the office of the
Treasurer, his books vouchers and statements, and
report that they correct. The examination OF
the Comptrollers office is not yet hnised but spe-
cal report will soon be made
The committee have examined the contract made
by the Treasurer, with the Bank of the Republic in
the city of New York, and approve it. They have
inquired into the responsibility of this Bank and its
management and recommend a resolution in rcla-
ton to the same, which is herewith submitted.
The committee have examined that portion Of
the Treasurer's report relating to the sale of our
State bonds, and have had before them letters from
gentlemen in the city of New York, of the highest
Responsibility, upon the NATTER and they take
pleasure in expressing the opinion, that the man.
agemcnt of the Treasurer in these negotiations, has
been judicious and discreet, and has done ample
Justice to the public credit OF the State.
The bonds that have been delivered to purchas-
ers arc numbered and statement of them has been
kept from which it will be found that the number
of coupons detached and presented for payment of
interest corresponds with the bonds already dlSpos-
ed of.
The committee of opinion, and so state, that
increase of taxation is necessary to meet the de-
mands upon the Treasury now suhsiSting, and such
other will arise in ali probability, before another
session of the General Assembly.
Shall we have recourse to taxation at once, and
inform the people that the State hath need of it,
or shall we postpone an increase OF revenue from
this and resort to the Spccious but deceptive
mode of borrowing for every purposeg No State
refer to her securities with more of compacen-
cy than can our own; nor are there any where the
energies of people eXerted with more commcnda-
BILE spirit for their Improvement, than with us.
What then shall be policy? Shall go into
market from year to year and borrow money at home
or abroad while we have ample means in the purses
of our own people to preserve and uphold our pub
l.@
our constituents, manlincss in meeting every res
possibility which the eXgencies of government place
before us-all forbid that should throw upon
future Assembly the work that can and ought to be
accomplished by ourselvec
With these views the committee do not hesitate
to recommend increase of taxation, which is pro-
vided for in bill herewith submitted.
From what source of taxation must the revenue
come? Where shall the burden falY What pro-
perty ought to pay it? Clearly as it seems to the
committee that interest which most appreciates
and advances with the improvement of the State,
ought to contribute most to such improvement. If
turnpikes and plank roads construct
ed if canals cut if the navigation of rivers
is improved, if resources, comparatively
unknown to ourselves arc developed by private en-
terprise aided by fostering yet wholesome system
of legislation, all these contribute i'll high degree
to the value of lands and our slaves-to the
prices of our grain and our provison--but they add
nothing to money at interest where the rate is fixed
by law; they add nothing to the value of gold or
comes, or but little do they lessen i'll any de-
gree the convenience and utility of such vehicles
in our revenue law styled pleasure carriages.
The committee do not propose to reduce the tax
upon the items last named, but aude to them in
this conneXion for the sake of illustration.
According to the present rate of taxation, a law
yer physician with an income of two thousand
dollars, pays annual State tax of nine dollars
his income, while wealthy planter of the State
with forty-five black polls at twenty cents the
poll, pays just nine dollars on that property.
What has been said in relation to land and slaves
forms an inconsderable part of the argument in ia
vor of the taxation. Land is the fixed capital of
the State-the great improbable and permanent
property of citizens-the support and the basis
Of every other interest. Slaves in many sections
give this its availability productive
ness and of private revenue, while in many other
and large parts of the State sturdy white popu-
lation at the time the owners and the
tillers of the soil
The committee, finding that an additional amount
of revenue must be raised have selected these
two subjects of taxation not doubling that the call
of the State will be promptly and cheerfuly met by
her generous and patriotic sons.
One hundred dollars of money at interest brings
six dollars to the lender which he pays eighteen
cents to the State, while hundred dollars in land
pays six cents. In this connection it is worthy of
remark that money at interest in the State pays
amount of revenue equal to two-thirds of the tax
upon our immense real estate.
The Committee of opinion that this
of revenue may be made yet productive by
subjecting to the tax now imposed, all sums from
one hundred dollars upward and levying tax
also nett divden and profits from six dollars