The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1868-06-16
VIRGINIA.

So VIRGINIA.
Ts State l;aterest--G Condition OF the Iabtt
Esnances--ilo,o Effected by Radical Re
conssyactioa-3Ae sFaf.ue.
It is Important that the. public should
know the facts which explain the failure Of
Virginia to meet her July interest, as well
as the circumstances which may effect her
financial resources, and Of course hen
ability to comply with her obligations. In
Justice to her white citizens, who have main
tanned her honor inviolate in times past, il
should be ever remembered that they have
no government Of their own, and therefore
no part nor lot in the proceedings which
produced that delinquency Of the Common
wealth which is notifying to US oil. With
this view ne present in this article facts
obtained from official sources.
On the first day of the fiscal year for
-'67--0ctober /, ls66-the balance in
the Treasury subject to warrant was 1884,
607.l6, with a large amount Of the tax Of
the year preceding unpaid, but considered
available in the financial estimates for the
then current year. This expectation was
realized in measure only. Upon this ba-
lance and the estimated addition from taxes
in arrear the Committee of Finance of the
House of Delegates session 1S66-'67-
based it's measures to provide for the ,ex-
penses Of government and paying the State
interest.
The tax at first proposed in committee
for this purpose was t,oenty-eight cents in
the hundred dollars value of property but
it was suggested that, in view Of the fact
that a convention to frame new Constitu-
ton would be probably called, it would
be proper to increase this rate to meet the
expenses of that Convention. The commit
tee, therefore, increased the tax to thirty
cents IN the hundred dollars, and the Gene
raj Assembly adopted this rate.
In imposing this rate the General Assem-
bly, did not mean to indicate it as perma-
nent tax; it was but to meet the wants OF
the Commonwealth for the current year.
This is shown in the act of March 81, 1867,
entitled can act to provide for the pay
"ment of part of the interest upon the pub
"lic debt" which specifies only too periods
Of payment-to wit, the lst day of July,
1867, and the LIST day of January, 1868. The
regular resumption of the payment of in
terest, rs well as the tax on the same, was
left to be determined by future legislation.
1t is true, an act of the General Assembly
was passed on the Esd of April, 1867, which
contained the following provision: (" And
"that the semi-annual payments of interest
"required by the said act (2lst Of March,
"ls67,) be continued until otherwise pro-
"vided by law" This provision was in
tended to assure the public creditors that it
was the purpose Of the General Assembly
that the interest on the public debt should
be paid as it fell due. The tatlaere of the
Legislature 10 meet at the regular session
qcas not anticipated.
The passage Of the reconstruction mea-
sures, and the entire subordination of the
State to military authority, changed the
whole aspect of affairs. No Legislature
assembled in 1S67-'6s, and no change in
taxation was made to meet the changes
wrought by the public depression and want
of confidence growing out Of these causes.
The tax of thirty cents proved to be wholly
inadequate to the wants of the State, de-
pleted as the Treasury was by causes which
we will explain.
1t is difficult at all times to make in ad-
vance reliable estimates Of public expendi-
lures. In many cases merely conjectural
estimates could be formed, based upon
figures of former years, when circumstances
differed from the present. For instance, it
was supposed that Sic, 1000 would be ibe-
raj allowance to cover the expenses of the
General Assembly for the session of 1866.
81. The actual cost of that session was
slG6,62O.S9. Again, the estimate for crimi-
nal charges and guards was 100000
thousand dollars more than the estimate
for 1860, before the State 1oas divided. Yet
the actual expenditure on this account has
been sl64, 067.22. A remarkable result,
with the State deprived Of third Of, IT'D
territory-a startling example of the in
crease of crime under the new order of
things. 80,
Thus we have in these two items an ex--
cess of expenditure over estimates Of $780,
6ss.ll. Again, it was estimated that
100000 would dsfray the expenses OF the
anticipated convention to change the Con-
stitution; yet that body has already been
charge to the State of sl40,000, and the
amount will probably reach s15o,oOO. If
tothese sums we add about $16O,0O0 of un-
collected taxes for the year 1867, we shall
have accounted for deficit Of $3.50, 900 in
the Treasury, which would have gone far
toward the payment of the July interest.
On the LIST October, 1868, the beginning
of the last fiscal year, there was q balance
of $91, 302.68, with o considerable amount
of taxes still in arrear. Since then great