Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1869-09-24

KNOXVILLE, Tenn, sept. 10, lS6y,-
The recent of revolution in the politica
affairs of she State has led to mucl
speculation concerning the disposition t.
be made of our immense State debt
With resources somewhat less than tbs
tenth State in size and wealth in the
Union, we have q State debt almost
equal to that of the wealthy and popul-
GUS Empire State, and only triAs less
I than that of the great Mother of States.
Since the war this Indebtedness has in
creased from something over $4,000
600 to about the enormous sum OF $40,
| 100000. The special report of Comp.
troller Blackburn, made to the thirty
9Th General Assembly, which met in
| December last, fixed the actual debt at
| $34, 49S, SOC 6G. This is classified as
follows: l4i /
| State bonds loaned railroad COM
panieS. S21747 600
State debt 1913 sos
Turnpike and plank roads ..-...-....... 52s 600
Agricultural Bureau...."..........-....... $1,000
funding intereSt..........-.,-..., ..... 4S950O0
Total $500. 81 sos
Less amount refunded...................... 1900
Actual state debt....s- So ,49o, 500
Since the date of that report this sum
has been increased considerably. First,
by an act of the Legislature there is
standing appropriation of $4,000 per
mile for superstructure to all railroads
in process Of construction. This sum
can be drawn so soon as q given num-
Der of miles (ten, I believe are graded
ready for ironing. Several roads are now
building, and several hundred bonds
have been issued since the date of the
above report, which should be added |
thereto. Then there is the semi>annuaI |
interest, payable lst July, still due, |
which amounts to 100000 and over. |
am informed on very good authority, |
that there is no record in the ComptroI~ |
ler's or Treasurer's office at Nashville |
to show just how many bonds have been
issued since Governor Brownlow's adj
mlnistrstion commenced. irresponsible
men were intrusted by him with blank
bonds, to which the seal of the State was
affixed, and no living being knows the
number they signed and issued. Sworn
witnesses deposed, before one of the in.
vestigating committees of the last Legis-
lsture, that one of Brownlow's agents
was found, some time ago, in one of the
private banks of New York, signing
Tennessee bonds, which were furnished
him in blank, with the seal Of the State
affixed. No perfect record has been
kept by the officers at Nashville Of the
number of bonds issued, and / see no
reason to doubt but that many were
signed and issued without any authority.
For this reason | stated at the outse>
that the exact amount of debt is not
known, and may be over $40,00000O. |
should think this estimate not at all ex.
sggerated.
Now what are the resources of the
State which we have to meet this II e.
nendous liability? The annual inter-
,st on the debt is S2,400,000. The an
lual expenses Of the State are 100000.
The aggregate value Of property listed
or taxation in 1868 was $20S, 053, 369-
-. The number of polls listed was
I3.64S. Including the taxes on priv"
eyes, litigation, ETC., the entire revenue
# the State for 1868 was 81 ,205. ia 90.
The estimated receipts from railroads in
he bonds of the State lowing to default in
'ayment of interest) is $S77.642, which
makes the annual revenue $2.O94 S06.
)educting this from the annual expenses
We have a yearly deficiency OF 81 ,216,- |
ia.
REPUTATION.
Under these circumstances the Victors |
n the late election assume control OF the
State. They realize the endorsements
lnder which they labor, and in order to
'btain relief, begin at once to propose
desperate measures. Many Of their
eading men are open and avowed repu>
liators. They reason somewhat like
his: awe have had no voice in crea-
ing the greater portion Of this debt
It was incurred while we were
lisfranchised and had no rights but the
light to pay enormous taxes. The men ,
Who were in charge Of the State governs
nent, while this debt was created, were
responsible, incapable and reckless rus
ers, and cared more fer plundering the I
State than protecting the interests of the q
people. If we once recognize this debt
IS binding, we must provide for the pay
nent Of interest and its reduction. In
rider to do this, we will be compelled
o increase the rate of taxation which is
.lready burdensome, and to many, Op" {
'ressive, and to do this will render our
administration obnoxious and our tenure {
# office extremely uncertain" This y
curse of reasoning can lead to but one
esult, and that is practical reputation. S
Ind this reasoning is popular and will '
ave its influence. AS it applies to but s
me part of the debt, so | think it will
fleet but one portion Of it. The same
urged against the validity of I
he new bonds, does not apply to the J
Id bonds-Which means all bonds issued
'rior to May, lS6l-and am, therefore,
# the opinion that the old bonds will not I
n any way be repudiated. The new !
ssue is something over $4,000, coo. So
ar as there is any record Of, it is CLASH
led as follows Ha4 { III
debt mataTei during the late war. $4,000
matured since the WaT. D.a ~~~' 100000
tered and defaced bonds iOi .~s 87s.COO
Bonds issued since the war to pay II
ing railroad companies, who do -
BOT as k to be relieved of the debt 4.4IOOOO | l
Bonds issued to nOn.paying rail- {
...,...,.... S,IyO,UOO
TotaI............. so SIS 900 | I