Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1869-11-27

w. increase the State taxes on the TAX
able property of the State TO twelve
mills in the dollar, leaving other taxes as
they are now.
Taking. then, as a basis, the aggregate
of taxable property polls, amount paid in
by railroads i'm 1853, the result would be
about as follows:
Twelve mills on S2Z.,. .S62, ,243 90
taxable property is........-...S2 6S5. .522 90
Deduct for commissions, etc. 100000 90
Net from taxable property. 81, 81, ,622 90
Add poll-taN same as 1852. Us, 900 90
Add from Clerks same as 1869 COS, 900 20
Net amount State taxes. 1870. s., OIL ,622 %
From this amount deduct eN-
.penses of State Govt, 1870. 100000 90
Leaves net amount State
taxes. lSI0.......-- ,62l ,622 90
To this add amount 20 be paid
by railroads, ssy.................. 500 600 90
Makes aggregate amount for
fiscalVear. oct. 80, 1S70...-S3, ,f2l ,622 90
This amount applied towards
The payment Of the S6,O3l,-
$50 IS would leave balance
against the Treasury of......-S2, cog, ,125 %
To this amount add interest
on State debt due January
and July 1871 200, 900 90
Amount against Treasury, ,30sh
October, lS70........ .......... 81 500 72S IS
From this deduct receipts into
Treasury, same as ls7O.......... $, ,42l ,622 90
Balance against Treasury. isis, ,}SS, ,lO6 50
To this add interest State debt
due January and July, 1872. :, POO, 900 90
Making amount against the
Treasury Oct. 80, lS72..-....-..S3, ,5SS, ,l06 IS
From this deduct receipts into
Treasury same as last year. 3, ,42l 622 90
Leaving balances against Treas
ury October 50, lS52.............. Sl66,i ,iSi IS
From the foregoing estimate it will be
seen that the net amount TO be paid into
the treasury for the fiscal year. ending
October 30, 1870, and 10 be applied TO the
payment of the debt then against thu
treasury, viii be s., 42l ,622. This sum
will redeem the notes of the bank of
TenneSsee-sav S2. l00, 900. Allow the rail-
roads to pay their interest in the past due
coupons of the State, and leave balance
of par funds of S52l ,622, for current eX-
penses of the State government. At tho
end Of tine second fiscal year, October 80,
1871, there would again be in the treasury
s., ,42I ,G22 to be applied to the psymenrOf
the same debt against the treasury, which
would be ample to pay everything,
10 and including a part Of the in
terest on the State debt of January,
1871. At the end of the third
fiscal year, October 30, 1872, there would
be s., 42l ,G22, which would pay everything
against the treasury, including the inter
est of the State debt of July 1872, with the
exception Of Sl66,4s+ IS, as already shown.
But instead of the balance against the
treasury, October 80, 1872, il is reasonable
to presume that there viii bs large
balance in the treasury at that time,
probably enough to pay the interest on /
the State debt January 1873. For il must
be &5rne in mind that in the foregoing es- 1
Inmates no allowance Is made for the natu-
raj increase in the taxable property Of the
State annually, increase in poll tax, the
amount that will be collected hereafter .
from cOlOred polls amount that will be .
realized from The assets of the Bank of
past-due taxes, etc, to say .
nothing OF the prospects oI reducing the .
Of the state government TO $780,, I
600 per anuum.
The expenses of the State government .
for 1858 were 81, ,l5O,607 90, and for the .
present year about SS6S, 900, and for the .
next fiscal year. ending Both of ObtOLer, F.
1870, they need not e1cCsd $500 900 GO.
In addition 10 this there was a cDnsd- .
erable increase in the aggregate Of taxable .
property in The State and also in the num- \
her of white polls of 1859 over 1865. These .
things certainly show healthy reaction .
in the right direction. But some will say
the taxes are too high; that they viii De 1
ana that the burden viii be .
too great. This is not tire question in .
The question is, does The ,
debt exist? and, ifsO, how can it be paid /
within a reasonable time with less revenue 4
than already stated or in any other way .
e., 9 no
The State IS able to pay. The State I
will pay. and we know Of no way by
which the payment can be made but by
taxation. Repudiati0n, or even a dispo- #
sition to defer payment, will cost the
State OF Tennessee more than IL will To
pay the debt in the way we have suggest /.
ed. Some propose to reEiye the Bank Of
Tennessee as the fiscal agent Of the State, 4
and others tO fund the present indebted I
ness the State and that TO become due .
for the next one or tW0 years, as relief .
measures.
How can the Bank of Tennessee be re- I
vived without money? And If il could .
be revived 10 would have TO pay "a tax To .
the United States Government Of $40 on .
every SiO0 of its notes paid out.
That IS the present tax on the notes Of
all State and stock banks. But for this .
tax, the Treasurer OF the State could use .
a portion Of the notes OF the Bank of Ten .
nessee, after they are paid in as taxes. .
Say that Of the amount collected the pres
snt fiscal year 500. O0U should be cancelled,
and 50 On sash year until all are redeemed [
and cancelled. but 10 use them now .
would be to sell them AT 10 per cent. dis
count.
The debt might possibly be funded, but .
that would only be offering the creditor
about half Of what ia due him, and would .
be no saving 30 the state, eitbDrin money
or in credit Ample provision should be
made not only for the present debt. but
immediate steps should be AIKEN 10 reduce
the indebtedness Of the State. This can
only be done by selling the defaulting
railroads 6f the State. This should be
done the earliest day practicable. Sell T.
them for the bonds Of the State. Let the .
4Iate bid lis debt ON any road that may
be sold, ald Il the State becomes the pur-
chaser. offer th6 road for sale, payable in .
he bonds Of the State, end advertise FOR .
etc. Allow any ratirQad that .
has received State aid in the bonds Of lnr
state, 10 pay its indebtedness to the State,
for such aid at any time, iH whole or IN .
part, in the bonds Of the state, the i}onas
10 be Cancelled, and tho road to receive /
credit for the amount paid ~ and can
celed
By a iudicious sale of the defaulting
roads for bonds Of the State, and allowing
DtheT roads 10 return bonds, Il IS DeneNeu
by many persons, who are well posted on
the subject, that the state debt can be re-
iuced to between seven and ten million
dollars in few years.
A policy adopted similar 90 the one sug-
yssted would soon reduce the taxes again,
and fuliy restore the credit of the State.
No estimate is made in the foregoing
for a tax for school purposes.
Two items OF indebtedness mentioned
N the COmptrOller's report as dus 10 the
United States Of s5ll, 500 42 for two Of the
.ailr0ads, have never been assumed or
1asd. other than by legislative act.