The Washington union., 1857-08-18

oson had for It's object primarily the reduction and
speedy payment of the public debt Of the State and
secondary the keeping of the treasury nearly empty
as was consistent with prompt discharge of its abl
ties Knowing full well that while large surpluses
permitted TO accumulate and remain In the treasury un
employed it the interest of those having their
tody keep up taxes and at the time postpone the
payment of the public debt that large amounts of
public money should remain in their hands, on which
they could speculate This policy looked TO the payment
of that portion of the State Indebtedness falling due De-
cember 81 1856 and a continued reduction exceeding
the minimum fixed by the constitution by the purchase
of the outstanding bonds In advance of their maturity
and thus saving 10 the State the interest that would
cessariy accrue by prolongaon of the time of pay
ment.
The first legislature under the constitution had
initiated this policy in act prescribing the duties of the
commissioners of the sinking fund.- wherein the commits
soers authorized and directed to apply all moneys
belonging that fund the purchasing OF outstanding
bonds of the State stocks of the United States when
they unable TO procure State bonds AT the
of the session of January 1854 Governor
Med In his message to the Legislature, urged the pro-
priey of making provision for the payment the bonds
falling due December 81 1856, then amounting to the
of s3,442, 1873 "a; the policy having been
strongly recommended by Auditor Morgan in his annual
report Of February H. 1858.
The senate committee finance, to whom the subject
referred introduced bill making appropriations for
the payment of principal and interest of the public debt
for 1854 and 1885, and levyng tax of three ourths of
mill on the dollar, the valuation of 1866, for the
payment of principal of the public debt falling due De-
cember 81, 1856.
The bill accompanied by earefuy-prepared
port reviewing the OF the State and enforcing
the correctness of the policy recommended See Appen
dix to Senate Journal page 74 The bill passed the
ate but the house did not in that portion Of it
which provided for levy to pay the principal OF the State
debt and after struggle in which the house. after
committee of conference, declined to grant second com
mittee, but adhered to its amendmentthus again forcing
the senate the alternative OF concung losing that
appropriation billion the last night Of the session
intity i'm The bouca ornpp ,lYnept
Nevertheless the democratic administration the
of January 1852 until the 3lst of December 1856
enabled to reduce the principal of the public debt
by the purchase of outstanding bonds to the extent of
sl61046l IS, [See Report of Auditor of State, Decem
ber 81, 1855 page ~
Since then it does not appear that any reduction of the
public debt has been made by drawn from the
treasury surplus funds The unpaid bonds falling due
the 3lst of December 1856 have all been taken up
issue of bonds having twenty twenty-five years
to run The democratic policy of purchasing the out
standing bonds to have been reversed ON the in
coming of the administration by the commissioners
of the sinking fund.- although am not that the
statute to which have referred has been repealed by
legislative action and thus accumulatons of interest
have been saddled the people from which there
escape for nearly quarter of century And contrary
to all expectation, these bonds having SO long
time to run, were sold last fall at only 1903
What became of the money which, in the mean time
accumulated in the treasury from taxation and other
sources to what purposes it applied to be
matters of conf lecture One thing however is conceded
all handst not IN he treasury where it ought to
have been and hence the present condition of things
Very respectfully, your obedient servant,
ROBERT j. ATKINSON.