Western Reserve chronicle. [volume] (Warren, Ohio) 1855-1921, 1860-01-11
WHOLE NO. 225S.


emption, and in that shaps became law
The discrimination in favor of done,t,
bondholders was thus converted into d.
elimination against them; for, under tLo
law as it now stands, taxation of bond, w..
not reach foreign holders.
| suggest the expediency. therefore. q
auth crizing the Commissioners oftEe Sink
ing Fund, if they shall be of opinion ,ha.
the interests Of the State require the 1,a--
ment Of the debt, upon the accrual OF tbs
right Of payment, to provide for it, either b.
new bonds, at any rate Of interest not G..
eeeding five per cent, reimbursable At r'css
ure, after term not exceeding ten ve.s
or by bonds issued rs contemplated l.y q.
act, and bearing interest not exeee,i.ng s.
per cent. In either case, the bonds show /
!earry on their face stipulation express.
their true character, as subject or not e..
ijcct to reduction by taxation or otheFp is.
If the bonds Of the State are to be taxs5s
Mt I'll, there is far more reason for their II
alton in the hanls of the foreign than O. Z.
domestic holder. Neither should l.s lalor
or 10th. Both should be taxed, If 81 -
not by uncertain sessments, but hv 1tssr.-
ing from payments of interests sums e,-,s
to the average taxes for all purposes -
other property of equal value. If b. Ok
jectod 10 this ncGe of taxation, that :. tx
es back with one hand the interest lasl
with the other, and IS therefore oGui,4.s..
to n mere refusal to pay the full rate s.ir.-
lated. the answer is obvious, that Tie sa.-s
objection applies just as forcibly 10 evs-v
mode of taxing bonds given for mo..e,
loaned to the STATE. 1t IS a very sefious,
and in my opinion, an iEsuperable ub;cc,;or.
unless the right of taxation be reserved o.
the face of the bonds when issued. Nhc
ther bonds bearing such reseryatiuus VIII
find takers can only be determined BIZ trial
That they will not is more than probable,
and if they viii not, it is certain that Il f.
taxation of State Bonds is alike iIupol.Cc
AMI unjust.
l le.ommsnd, therefore. such lsgiala;ioa
as viii give the sug seSted discretion to Il
Commissioners, fix b yond liability to ate
a ion the rate of interrs', and s:err, th3
control, reduction and final paymant Of lie
debt, at the earliest time and in the mo:
economical mode.
The two great lines Of canal, including
the Wabash and Erie, with their FEEDERS:
cost SI2,llO,l2O; the other canals v:tli &!
Maskinguum imI royement and the Wei
en- Reserve and Maumee Road, cost S.
46T,ll2 and the amount subscribed .,
turnpike and railroad Companies, was So
226,9OO, making an aggregate cost q sle,.
sOS,Q22.
For number Of years, the net rev.! acs
derived from these works though nevr.
sufficient TO pay costs of the inytsiul7-
were very considerable. The comlyti,:c-
Of railroads, however, soon deprived ,heIr
Of a grtat part OF the business on whISs : r.
lance had been placed for inereasr. and
at l,ng.h marked decline took p!ace.- =
Within the last few years the outlay for Ie
pairs and improvements has exceed ,Lf
income. The real deficiency last wear
after doducting the extraordinary disburse,
directed by ths LogiSlatara, was u;
large; but there is little roea Cog hope that
il will be less hereafter, while there is much
? o1ud for apprehension that it vip K
greater. Itwill certainly be greater. uul.ss
other circumstances now unforeseen, si-l
enable the canals to sustpin at less diss-
the railroad competition.--the 60.
1f these works however, has doul.tlss
zen rera;d to the State in the increas...-
-eiue Of Il. ds in the counties through Vt r..
h-y extend. And this considerat!ou T..
sell abate the censures which the ID b. -
] \, .
-cke; while it suggests caution anj -.
'eace in desl'ug With interests 50 iinpor.z-:
j, are involved IN their disposal.
have b. rctofore expressed the cc'-~-
hat they should not be retained an
'tats management, if iale can he effect.
/ q reasonable price, and rnder such
trictions and guaraLti Is viii secure -
be people the b'ne6 5 Of trsnspo-'ft,,.
r;g:ually contemplated. That ol,r.as
amains unchanged. With econo1u.-
in private hands the card. -ss
m probably be made sufficiently Ircr;at
sc to warrant the the investment % 4 eca-
ierable sum in their purchase. Tie ~
uctiou Of the debt bT the same a!ac&..
I'd relief from taxation for interest, IocsE
lend the sale TO the people at large, ysIria
,e suggested restrictions and guarantees
III prevent any loss or Inconvenience 10 tie
halitants Of tho canal counties.
The State stocks in turnpikes ami ra:,
iilrnads should not be included in anv sal,,..
nlrss the interest on the Price Will Ccue.
&c revenue now derived from them. re-
7mneud that authority be given tN .hs
oYernor 10 appoint On agent with ar1p,a
2wers 10 ascertain the condition Of all ee,.-
mics IN which h, State holds stnc,5.--
be prniIc.iveness Of these inve.tn,ents
oula have no doubt, Be greatly eneha,c-
by such an investigation.
Should you regard sale Of The Csnals
incxpedient, aud, in any case, so 1orc rs.
ey remain under State management. The
opriety Of strict compliance in their nd
inistration, with the directions of this 70
onstitution viii not be questioned Tie
paraiiOu Of them into several divisions,
y the assignment of each division to TIE
ntrol of a single member Of lie Boa--l r..
lblic Works, independent. in most in,
,rtaut respects Of the Board itself, scans
me not only inexPedient but Of more
an doubtful consti,utionatty. ] racota-
end, therefore. such modification Of tho
t Of the last General Assembly on this
beet As viii secure 70 the whole Boarf
. control Of the Public Works which the
pr tuition camm!ts TO its superintendent
llso recommend the restoration &C Iha.
DIVISION Of the act of 1874, bY which ths
overuor, with the advice and consent q
: Senate, is authoriz-1 to appoint cvi
tors and inspectors;and renew the 10
addressed to your preNloces-
rs, Of more string. Mt provisions resui5.-
2 the settlement OF accounts for reuai
j other expenses of the canals. 10 .es
. law, rs 1t Low stands there Is too rns,a
ON for abuse, to the serious pre;ea;es - =
e public interests.
During the year 1853, rs was fu,lv as
lined to your predecessor. he sum
6,3s5 vas advanced by the treas Gor ~