Brookville American. [volume] (Brookville, Ind.) 1858-1861, 1859-01-21

State engaged 10 return the amount viii
interest. This, however, has not beef
done. But without resorting TO th'
collection Of the mortgages held by th,
Commissioners, there are Sl;052. 500 2!
Of available means. This will bc sufiic
lent TO pay tho bonded dedt. ~
think the State should not diver
any moro Of tho fund TO tho ordinary
expenses of tho Government. Justice
to the holders of tho bank bond
requires that an amount sufficient Il
meet them whom due, should always b,
ut the command of tho Commissioners
And the interest Of education in thi
State requires not only tho preservation
of what remains Of the fund. bat an ear
Iy return Of oil that theStatc has drawn
from it. Those who, twenty years
ago. saw in the future the prospect o.
creating q a'coramon school fund, not by
taxation, but by faithful admistration o
the law, are worthy ofour commcndation
They believed that IL was the duty Of
oysry citizen Of every State TO lend
whatever in1anccc he had TO the cd
ucaton of tho sons and daughters Of In.
diana. Shall we, ut this day, when
from the result of their action noble
fund has been created, lay our hands
upon and destroy IT forever? Some
there are who do not favor the educa-
ton Of the children of the State.
,ireat injustice is sometimes done in
providing by taxation the means neces
sary to sustain tho schools. -eBut here
is fund which never cost n citizcn OF
tho State one dollar, which, if left un
touched, will in 1866, amount to over
S4,000,000. After that its annual intcr-
est will bo equal TO one half of our pres.
ent school tax l hope therefore, that
this fund may rcmain where IL was or
iginally placed. The term of service OF
the Sinking Fund Commissioners having
expired on tho lst of Jsnuary, 1859, /
recommend that you establish by law, a
Board, comforting upon them full power
to settle with the late Commissioners,
and receive from them the funds and
securities In thoir possession.
At your last session bill was passed
cantinuing the late board until the first
Monday Of April. 1859. I withheld my
Of that bill for the reason pre-
sented in my message. ] entertain no
doubt that the fund would be entirely
safe in thehands Of the late commission
crs, and that they would manage it with
integrity and ability.
The Constitution gave the Legislature
tho power Of cstablishiningtwo systems
of banking in this State. Thefirst Leg
isiaturc which assembled after the ad-
option of that Constitution passed q
gcnemi banking law, underwhich nine
lyons -Banlss were orgazaixed-.-.B .BefoGe
tho meeting Of the Legislature in 1855,
experience showd TINT the law which
authorized their establishment was in
sufficient
Forty one Of them had failed TO re-
deem their circulation. Tho friends OF
tho general banking system seeing the
deficiency in the law, urged tho passage
of tho act Of March 3, 1855. Since the
passagcof that law there has been but one
bank, organized under it, that has failed
to redeem its circulation. At the same
session OF tho Legislature, an act was
passed establishing tho Bank Of the
States Of Indiana. Tho full amount OF
stock required by law was subscribed.
and tho bank commenced its business.
Its circulation is now s4,602,3iG. It's
notes and bills discounted, s5.154,74
OF. It's cash on hand in gold and SILVER,
81 ,685,S %. From the time that
these laws were passed, the currency
authorized by tho State has been prompt.
~ redeemed, although in the interme-
diaie time, the financial crisis Of 1857
has been passed. When you consider
that between the passage of these laws
and the present time, the State Bank
has withdrawn four millions of dollars
of her circulation and called in six mil
lions Of dollars Of indebtedness, in which
the State was deeply interested, and
without which laws tho State Bank
would have becn unable in 81 short q
period Of time to collect the debts due
TO her,-ono half of which belonged in
reality TO the State, you must regard
tho legislation OF that session as highly
beneficial TO the financial interes Of the
people as any could have been which
provided for the establishment Of banks
and the circulation Of u paper currency.
The Bank Of the State has quietly nc +.
quired the position occupied by tho old
State Bank. Those who formerly di-
rected tho ono now control the other
If the rule could be uniform through
out the United States il would perhaps
DO bettor that no paper currency was
circulated But, inasmuch rs that uni
formity is practically impossible, think
Indiana has established as safe systems
of banking as any other State in the
Union, giving to her people a. high Sc
curity for the redemption Of the notes
of the banks rs any oihcr State.
The last Legislature levied no taxes
for the years 1857 and 1853. The OIL
GERS Of State wcrc therefore deprived of
tho ordinary revenue which should
have been provided to sustain the va
rious departments and institutions OF
the State. Believing that there was no
reasonable prospect that the members
of that Legislature, If re- assembled,
would change their policy or action, 1
did not call them together, choosing
rather to wait until the people had elect
cd other representatives. Notwith-
standing tho failure of the Legislature
to levy the taxes, tho officers OF State
have endeavorcd to carry on tho gov.
ernment, and in so doing they present
TO you, rs the result of their action, that
they have only been required 10 borrow
1890, ,000-s165, ,000in June, and 1865 900
in December, lS5S-which has boen ap-
piled TO the payment OF the interest