The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1857-12-08

P Pais i sssr: IS r Yr sfsasy a0's
= - sss.ass u
49,. !. $500. o,,o,.. ~, gs5 =, 3 5,
ies.aB 70
Treasury notes and interest thereon due
before LIST October. 1857. but not pre-
scented, 1900 90
Difference in estimates and result. slss.oas 70
sShould have boon 45I,5o
Thus IL is shown, that after reducing the floating
or temporary debt, Ia the fiscal year ending the
3tth September, 1857, by the amount Of Ss70, 26s
ca, the balance In the treasury on that day was
estimate Of the late auditor by $i25,0sO 81, the
balance In the treasury the LIST Of October 1885,
aaking up the difference in the estimate and the
result
The annual report Of the arst auditor will show
the present condition Of finances and his esti-
mates for the next two fiscal years. The treasury
will require no increase Of taxes: the temporary
debt 10 reduced to about $4,000 from 81 $50 900
In the last two fiscal years. and for any DEFICIENCIES
in the next two fiscal years. recommend the au-
thority to issue treasury notes to the amount OF
$500 900. The chief bzrden Of the public debt falls
ON - current year OF ls5T-'6s, or that measure
would not be necessary.
TAe Sinking Fund.
With much pride and pleasure commend to the
general assembly the very clear and satisfactory
port Of the commissioners Of the Sinking fund, and
their faithfui administration Of It, They show
that II is best to revert to the first act which
passed to carry into effect the constitutional pro
vision Of the Sinking fund. The whole amount of
the interest Of the public debt, and more-by the
excess of interest on bonds never issued but hypo
thecated by the agent of the Board of public works
in New York-has been, and will be, on the LIST Of
January next, punctually and fully paid Since
the LIST January, 1882 81 0s59 Is of the princi-
pal has been sunk, and of that amount $453 97 has
| hoan in he laaf two Ttsfo fal
of the public debt Is reduced to $2 49, 915 &c.
The commissioners have done much, without d.
verting dollar from the purposes Of the fund to
keep the state boads up in the market, to aid the
public works on state account, and to pay public
creditors these works at par, all the time sink
ing the public debt as fast as the fund would nj.
low. The Board of public works could sell no
bonds at par, and were not allowed to sell them
below par. The appropriations TO the Covingtop
and Ohio Railroad were likely to be of no avail as
the contractors could not be paid their claims
They brought these claims to the treasury for paw
ment, and all that could be done was to have them
endorsed by the second auditor, "payable when In
funds" This was recognition of the debt but
the creditor was obliged to sacrifice the claim in
the market at a discount of about Is per cent
Such claims brought only IS cents in the dollar
At the same time, the commissioners of the Sink
ing fund could purchase the state bonds issued
prior to 1852 at 90 cents in the dollar and thus
make per cent. discount, whilst the creditor ON
the state work was losing Is per cent. discount -
This in individual transactions would have been
faint of fraud. could not consent see the state
making per cent. on its paper, whilst it's ered
tors were losing Is per cent their evidences of
state indebtedness, equal in law well as morals
to state bonds. ! therefore advised the second au
ditor to make no more such endorsements on the
claims of the contractors; and advised them to
purchase the bonds of the state issued prior To
1852 the best terms they could. aud to present
them to the commissioners of the Sinking fund for
redemption at par, on condition that they. tn.
creditors would purchase new bonds at par from
the state, and thus put money into the treasury
with which their claims could be paid without a
sacrifice. / called the Board of public works and
commissioners of the Sinking fund together and
they approved Of this arrangement, upon the
ground that the very object Of the Sinking fund
is to pay the public debt at par within definrd
limit of time, and not to speculate on the public
funds whilst public creditors were suffering for
want of funds in the treasury. however the time
might be shortened by purchasing the redeemabI
bonds at discount. 1t was not moral in fact to
shave the commonwealths paper with its own
funds, whilst its creditors were being shaved on
their claims against the commonwealth The state
might make per cent. but its creditors was los
ing Is, and it's credit was sinking thereby i'm the
market The course adopted enabled the creditor
to make per cent. on the old bond made him
lose it again on the new bond paid the money
therefor into the treasury; and thereby enabled
the treasury to pay him at par.
Thus, the old bonds sunk, the new bond.
were sold, and the public creditors were paid at
par. And recommend that the Legislature shall
enact, as means of raising public credit. that
none of her bonds shall in future be sunk or re
deemed or purchased with her own funds at less
than par. If any wrong has been done by this ar
rsugement, must admit my ful responsibility
for its adoption. The accompanying letter from
the superintendent of the Coyington and Ohio rail
road will show it's beneficial operation. 1t carried
on the work, and the contractors lost only sbout
instead of 10 per cent. trust that the state au-
thorities will, in future be allowed to adopt this
arrangement whenever there is necessity for it.
About 100000 of the appropriation was made
available in this way, when there was no other
way of applying it at all and but for this mode of
relief, the work on the Covington and Ohio rail
road must have stopped. 1 call your attention
next to
The Means Of Increasing the Rersnue.
In order to increase the revenue ard to make the
taxes equal aud uniform throughout the common
wealth, the general assembly will have to prescribe
some other and moro just mode of valuing taxable
property than that which now prevails At pre-
sent, practically the value of property and the
amount of capital given in ascertaned from
the party taxed. All are interested to undervalue
the property in order to reduce the tax and in the
giving in Of capital there is every opportunity for
fraud upon the revenue. The honest dealer in
merchandise for example, will state conscientious
ly the amount of capital he employs, and pay more
tax than competitor in trade, who deals upon
double the capital perhaps and who does not
scruple to give in less than the real amount he
owns. The present mode of assessment or valu-
alton, is burthen upon honest and bounty to
not to be allowed to estimate the value Of their own
property; that duty ought to be required of sworn
appraisers, with the power and the duty to exa-
mine the subject of tax or any legal evidence in
gard to it, and to judge of the amount Of capital
from the usual evidences of trade, or from other
oaths than those of the parties interested large
increase Of revenue, without increase of taxes,
NAY be expected from this reform.
Brokers ought to be taxed according to the
amount Of business done by them BY the present
law there is no distinction between the brok or Of
large city or town, who does large amount of bu-
siDess, and country broker who does business to
the amount of u few thousands only. There are
many brokers who do business in a small way, and
it 10 done illicitly, because they cannot afford the
present uniform rate, which is not, perhaps, too
high for maximum, but is too high for minimum
tax The license ought to range FROM say $50 TO
$500, according to tho amount Of business DONE
This would, doubtless, add to the revenue for those
who woald pay the tax would see that others pay
1t also, as it would be their interest to watch
petition.
The tax upon tho retail merchants license is, in
my opinion, too high, and IT bears most heavily
upon the poorest portion of the people. The tax
Charged by merchants, of course, as part of the
cost to the consumer; the merchant is made the
collector, and the small purchasers pay IT, They
who buy in small parcels by retail, have not the
means to send to the cities and purchase BY whole
sale, aud they are the customers who chiefly paw
this cost to consumers. l recommend a considera-
Die reduction of this item of the bill. The ne
cessities Of the commonwealth can affOid no other
considerable REDUCTION Our debt is too large, and
our pubic works require too much expenditure,
to admit of reduction of taxes for some time TO
come. But no increase, am happy to say, Is re-
quired. The additional revenue from the new as
sessment Of lands, will DO the current year not far
short OF SioD, OO0-showiDg that real estate has
been immensely enhanced in value by the progress
OF public works already made. Ii will be enhanced
incalculably more when our main works shall be
completed and begin to yield profit. That can
not be long hence, if the people will patiently en-
dure the present rate of taxes, and If they will
lieye the burden of direct and Involuntary taxa
ton, by the means in their power of indirect aud