The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1859-01-12
tum on the amount, for the same purposes.

forever.
The reimbursable debt has been some.
lines spoken of as the whole debt of the
State, but the irreducible differs from it
in nothing except that it is permanent,
and incapable of reduction, but, on the
certain to be gradually increased
until the last proceeds of school and min
isterial lands shall be received. 1t follows
that no real reduction of the amount of
the State debt can be effected except
by payments exceeding in amount the sums
derived from these lauds.
During the last year the reimbursable
debt was increased by 100000, being the
amount of the temporary loan authorized
at your recent session, and the irreducible
by $50, ,602,SS, being the amount of pro-
ceeds of School and Ministerial lands re-
ceived into the Treasury. 1t was aimin-
ished by the payment of $l2,0O4.OO of
foreign debt. At the commencement Of
the present year the aggregate debt of all
descriptions was $l7,l69,972,S4.
Of this, the sum of S6,4l3, ,525,27 will
become payable after the 3 lst of December
1850. have heretofore invoked the at
tention of your predecessors, as we'll as
your own to this maturing liability; urged
the propriety and necessity OF seasonable
provision for it, and suggested what seemed
to me the best modes of making that pro-
vision. 1t is to be regretted that no pro-
vision has been made. 1t seems highly
probable that, had the necessary authority
been conferred by the Legislature on the
Commissioners Of the Sinking Fund, the
means to pay so much of this debt as vii!
not be discharged by other resources,
might have been obtained during your re-
cess, through rev loan at FIVE per cent
or even a less rate. 1t may be that such
a loan can yet be negotiated, and 1 trust
that the magnitude Of the saving to bc
thus effected will command for this subject
your earliest attention.
Under the operation OF the very salu.
tary act Of the last session in relation tc
the Sinking Fund, the sums lesiiimately
belonging to it, but heretofore appropria
ted under legislative sanction, TO othe1
State purposes, will doubtless be replaced
through the additional levy required b,
the act. and future diversions to any othe
uses than those to which the Fund is pied
Iged, will be prevented. Under another
act providing means for rcimbursing th'
temporary loan, over two hundred thous
and dollars will soon be paid into this fund
1t will not be required for payment of tn
loan until July, 1860. Provision shoul
be made for its safe aud productive in
vestment during the interval.
AR act of the last session prescribed
rule for the uniform taxation of banks
The justice Of such rule cannot be sue
cessfully impeached, nor can it be denie
that property employed il banking shoul
bear proportion Of the common burde
equal to that imposed on property other
wise used Upon the point whether tn
rule prescribed is equal, differences {
opinion may well exist; but repeated de
cisions of the Supreme Court Of the Stot
leave no room for question that the rul
=. of the act is, substantially, the rule Of lh
Constitution; or for expectation that
can be materially changed, while the Cor
stitution itself shall remain unchanged.
1t is claimed, however, by the Bans
organized under the act Of lS45, inco
porating the State Bank of Ohio and otht
: Banking Companies, that the section
that act, prescribing the rule Of taxatio
!, for them, is a contract, not liable to
= impaired by subsequent legislative or col
stitutonal provision; and that they ar
= therefore, not liable to be taxed by di
: ferent rule, however warranted by const
tuition or law in respect to institutions n,
NJ similarly protected. This claim, origi
o ally asserted against the rule of taxalie
e established by the act of 1852, was d.
u MED by the Slpreme Court of the Stat
$ but sustained by the Supreme Court
} the United States. Notwithstanding Il
IT latter decision, the Supreme Court of Il
u State, in Judgement of December Teri
o 1851, has announced its adherence to
n original position. The claim of the Ban
/ therefore cannot be recognized as valid
o the officers Of the State.
y These institutions, however, relying n
S. on the decision of the Supreme Court
"a the United States, have placed to I
: credit of the State, as heretofore, the tax
e required by the act OF lS45, and ha
lc made no return for taxation under the q
y Of last session. In some instances injuu
ol tions have been obtained from the Cour
restraining the proper officers from t
IN execution of the law These injunctio
ID aud some defects in the act indicated
n the Report of the State Auditor, ha
ne prevented any collection of taxes und
De 1t, while the law itself has prevented t
s, collection of the sums set of in lieu
ID taxes under the act of lS45.
s. These circumstances have caused sol
r diminution Of the revenue, and present t
SIS question whether the State will again &C
X test in the Federal Courts the claim
We exemption set up by The Banks, or so mo
~ lily the act of last session as to save t
lg Banks claiming 1t from its operation.
n Should the first of these alternatives
It. preferred, some amendment of the act m