Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1870-03-08

TO day:
COMMONWEALTH OF VIRGINIA,
EXECUTIVE CHAMBERS,
Richmond, March 18th, 1870.
Gentlemen of the Senate and House Of delegates:
OF the many subjects demanding wise, eau
tious and comprehensive legislation from the
General Assembly, none can exceed In gravity
and Importance the financial condition OF the
commonwealth. The magnitude Of the puo!lc
debt the character, condition, and ultimate
1isnositiop of the assets and securities held by
the state the prompt restoration OF our credit
and the mode of accomplishing it; the sources
of our revenue and the ability of the people to
respoDd to taxation in an amount sufficient to
meet the current expenses OF the government
and the maturing interest upon the State debl;
are all subjects demanding profound conSldera-
ton and the most mature deliberatlon and &C
ton on your part. :, 900,
The LEGISLATURE which convened IN lSGC,
several months after the close OF the war; nnd,
jog it impossible in the then impoverished
condition of the state to provide Tor the pay
ment Of the u,atured interest upon the puoilc
debt, by an act passed March %, 1866, author
lied the funding of such interest IN new ponas
of like character aud bearing the same rate OF
interest as the old bonds, TO- be dated Oh the
lst day Of January, 1866, aud running not less
than ten nor more than thirty four years; but
it was expressly provided that DO intefes;
should be paid upon the bonds thus authorized
to be issued until the lst day of July, 1867
and it was further provided by, the same act
that all unfunded and matured interest on the
old bonds, on the lst day of January, 1867,
might then and thereafter be, in Ike manner,
funded ia like bonds, but dated on that day
and drawing interest from that date.
Under this act large proportion OF the
then matured interest has been funded. On
the 2lst day OF March, 1867, the General AS
sembly passed an act providing for the pay
uent, Cd the lst day Of July, 1867, and on the
lst dsy of January, 1868, OF Two per cenIum
of interest upon the principal OF the puohc dept
Of the State, excluding thereirom the bonds
given for interest under the first above men
toned act, "that being Tin the language Of the
aoiI the interest which this State feels obliged
TO pay until there is settlement OF accounts
between this State and West Virginia. Soon
.tta, ,ba enactment OF thi. law the StntS pnss-
ed under military control by virtue OF the laws
Of Congress, and its affairs were administered
Ly military authority from that time until the
restoration Of the State to representation 10
the Federal Congress, on tie Goth day OF Jan
uary last. From the adjournment OF the Gen
eraI Assembly, in 1867, 20 the assembling OF
ruary last, the State has been without any law.
making power save the Arbitrary will OF the
military commanders. Fortunately, those mil
tary commanders have been honorable men,
who, according to their Judgment as Tar as
practicable administered the law as they found
il, collecting and disbursng the pubic rerc-
hues in accordance with existing statutes
These facts are here stated 10 vindlcatlOn OF
the honor and good faith OF our people, and
for the purpose Of explaining to the creditors
Ut the State the reasons why our credit has re
manned to this time in condition of dishonor.
Our people have not had the control and
management of their own affairs. Under the
law of March, 1867, two per centum OF interest
was paid on the lst day of July, 1867. and
like sum on the lst days Of January and July,
1868. But the increased expenses Incident to
the peculiar condition OF affairs, and the adj
ministratou of the government by military
authority, together with the expenses OF the
constitutional convention OF 1878, and the
partial, though perhaps not culpabIe, failure
to collect all OF the public revenues, prevented
the payment thereafter of the interest, as pro
vided by the laws of 1867 However, the two
per centum due January LIST, 1862 on the
sterling bonds waS paid, togct Their with one per
centum on the dollar bonds, and subsequently,
IN August, lSG9, one per centum more was
paid on the latter bonds. This comprises all
the Interest which has been paid since the war,
leaving unpaid one per centum per annum on
all OF the old six per centum bonds, and one
halt OF one per centum per annum on the live
per cenlum dollar and sterling bonds to Jan
uary LIST, 1869, and Eve and six pc, centrum
per annum respectively since that date, togeth
er with all the interest upon the funded inter
est bonds. dated respectively January lst,
1867, as we'll as the interest on the unfund
ed interest due on old bonds at the latter date.
The old and recognized debts or liabilities OF
the State, direct and contingent, correctly
stated, are as follows:
t per cent registered bonds..... q, $50, 57S 10
) per cent registered bonds........ G3,G0;I %
per cent coupon bonds............ II, l0e 600 20