Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1866-03-01
THE STATE DEBT.
REPORT OF JOINT STANDING COMMITTEE
FINANCE.
NIITTEE

ON FlNANtE.
We publish both the ma Ority and minority
report of the joint standing committee OH finance.
i The subjects discussed will interest all rea-
ders and will enable them to understand the legls-
Ilation upon the important matter of the public
debt in its progressive steps through both branch
es of the general assembly
/ We have heretofore spared neither expense nor
labor nor shall in the future, to lay before our
readers the more important papers submitted in
the legislature, publishing them sometimes in adj
vance of our Raleigh contemporaries.
The report we publish to-day, will be found well
worthy the space we give to it, and willdo to lay
by for future reference
The Joint standing committee on finance, hav-
ing been instructed by resolution of the general
assembly, to enquire and report 'what debts and
obligations of the state, created incurred du-
ring the rebellion are void, and what not void
under the ordinance of the convention making
void all debts of the state incurred i'll aid of the
late rebellion" having had the same under con-
sideration, beg leave to submit the following re-
port:
18th Oct 1865 declared and ordained by section
1, That it shall be the duty of the general
sembly of the state as soon as is practicable, to
provide for the payment of all debts and obliga-
tons created incurred by the state, otherwise
than in aid Of the late rebellion"
\ And by section 2, that all debts and Obliga-
tions created incurred by the state in aid of the
late rebellion directly or indirectly, void, and
no general assembly of the state shall have power
to assume provide for the payment of the same
or any portion thereof.
The language of this ordinance admits of but
one construction, and the great and only difficulty
lies in its correct application.
The convention failed to designate and declare
what debts were incurred in aid of the rebellion
and having imposed upon the general assembly
the duty of providing for the payment of the valid
liabilities of the state, by clear implication impo-
sed upon this body the duty of ascert5ning and
declaring what debts and obligations were incur
red in aid of the rebellion, within the meaning Of
the ordinance
In pursuing this enquiry, the Indebtedness of
the state may be divided into three classes:
! l. Such debts as are clearly not war debts
| 2. Such clearly debts.
| 3. Such not clearly the one or the other
[: The first class embraces all the Indebtedness
of the state created or incurred prior to the be-
ginning of hostilites and without having reference
thereto, and likewise includes those bonds issued
during the war for rail road and other purposes,
| In performance of contracts and pledges of the
state made prior to the war.
This class of state debts consists of outstanding
bonds and interest thereon the aggregate total of
which, to the LIST October 1865 was $13, SIS, 500,
will fully and in detail appear, by reference to
the treasurers report to the convention. This
debt having been incurred previous to the war,
Except some rail road bonds which will be mott
ced hereafter when there were no disturbing
causes to impair the credit OF the state it is the
duty of an honest and faith-keeping people to
make provision for its payment as early prac
tcable, and that without any reference to the Or
dinance of the convention enjoning that duty upon
the legislature.
IL Debts created IN all Of Tie rebellion.
This second class of state Indebtedness was in
Cured between the first of January, 1861 and the
first of May, 1865. Apart from the history of the
times showing how this debt created and the
purposes thereof the titles of many of the acts and
| or no dol soft +bo Ito
object of the lawmakers:
l. The first was act to provide for the pur-
! chase of and ammunition of war;
ratified January 1861, and appropriatng $4,000
3 An act to provide ways and means for the
public defence ratified May the eleventh.
1861, apprpriating therefor, to be raised
the banks s5OOOOOO
public defence, ratified the 18th September,
! 1861, appropriatig therefor to be raised
! by the issue Of treasury notes. 100000
f. An ordinance to provide ways and for
the public defence ratified 28th june 1861
and approprating therefor, to be raised
by the issue of bonds, treasury notes, ard
by loans from the banks So 200 900
s. An ordinance authorizing the treasurer
issue treasury notes for general purposes
and to purchase clothing and supplies for
| troops ratified December l, 1851, to the
amount of s3OOOOOO
G. An ordinance to provide for assuming
the Confederate tax, ratified 18th Feb.
| 1863, and to issue therefor treasury notes
| to the amount of 81, 1864, 500
| It thus appears from the titles of these revenue
acts, well from the body Of them, that the
debts and Obligations created thereby were made
in aid of the rebellion, and therefore declared
to be void by the ordinance of the convention.
III. A large number of revenue acts passed du-
ring the war, do not show by their titles, in the
body of them, any purpose of hostility to the
federal government, viz
i 1. An act to authorize the treasurer issue
treasury notes and bonds to fund the same.
Ratified Sept. 90 1861, $1,000 600
2. An ordinance to provide for funding treasu-
ry notes, and to issue treasury notes to
the amount Of 50 800. Ratified the Goth
Feb, 1862, 50, 100000
4. An ordinance to make fu tler provision for
the public tire asury, ratified 18th May, 1862
| and to issue in treasury notes, -, 00o,oGG
! 4. An act ratified Dec. 20, 1862, authorizing the
issue in treasury notes, $500 900
| and to sell bonds to the amount of s., 600 900
! S. An act authorizing the issue of treasury
notes to the amount of 100000. Ratified
Dec. H. 1868, $4G0,O
e. An act passed 18th Dec, 1868, to provide
against possible deficiency of the public
treasury, and to issue bonds and treasury
notes therefor, to the amount of 50, 1000
7. An act, ratified 28th May 1854, to supply
ways and means for the public treasury,
and to issue therefor i'll treasury notes, 900
This latter class of acts and ordinances, Just
enumerated, do not show by their title or other
wise any purpose to aid the rebellion, yet their
true intent and character fully appear from other
acts making specific appropriations for purposes
out of the fund thus supplied to the treasury and
it is well known, from the public history of the
times, which recur to, in order to ascertain
the true ing of statutes, that the funds thus
raised, the greater part thereof, spent di-
rectly or indirectly in furtherance of the war.
Another consideration enters into our Judgment
upon this class of debts and obligations of the
state which do not show upon their face any
hostile purpose. The funds thus raised, whether
by bonds treasury notes, loans from the
banks, placed in common treasury and
paid out, under general or specific acts, for war
or peace purposes, as the public exgency requir-