The St. Cloud journal. [volume] (St. Cloud, Minn.) 1866-1876, 1870-04-28
THE BOND BILL.

two are urged with great force in the
following extracts taken from u
report made by tho majority Of Com
mittee to whom was referred the pend
ing bill, in the State Senate:
To the Honorable, the State Of Minnesota
The undersigned, majority Of your
committee on judiciary, to whom was
refar,ede Senate File No. al. "A bill
, for 40 AT providing for the sale OF the
100000 acres of Internal improvement
Lands, and the Investment Of the pro-
II oecds to create an Internal Improve
4 'neut fand," respectfully report that
.oA1J hare considered the same, aud re-
yeemmend that it be indefinitely post
,poned.
80 The Minnesota State Railroad Bonds
p were distinctly repudiatcd by the peo-
:: pie Of this State, by amendments to the
: Consultation, adopted by the people, in
the year 1860, and the Legislature was
by said amendment prohibited from
making any provision for the payment
Of these bonds without submitting the
same to the people for their approval
. OK rejection. No provision has since
bscn made for the payment of accruing
interest, and tho bonds have no place
in our recognized State Indebtedness.
> Under these circumstances, should o
:: Senator propose to invest the school
tuads, or other funds held by the State
in trust, in these bonds, such a PROPOSE
ton would be treated as would ! pro-
position to invest il the bonds OF the
late Confederate States. It'll apparent,
therefore, that the object of this bill is
not to secure desirable investment Of
the proceeds of the Internal Improve.
ment Lands, but that its real object,
notwithstanding its specieus guise, is tu
pay and satisfy these bonds, and 10
that view it will be- considered 10 this
report. 81, T., 49,, 49,. " 3D..
Without examining at length all the
objections thst exist to the provisions
Of this bill, we will refer to a few
,sRhichsm0 most obvious:
LIST. This bill should it become la,o
would diyert these lands, or the pro
ceeds Of The sales thereof, to an object
othor than that for which they wert
granted to the State; and would be al
act ofsmanifest bad faith on tho par
sofsthe, State toward the federal govern
mont.
That State received these lands IN
der an act of Congress, which p'ovidet
that the proceeds thereof should b,
faithfully applied to the construction
Of roads, railways, bridges, canals, i'm
provement Of water courses, and drain
ing Of swamps and on condition thai
free passage should BE- reserved to the
United States, over such roads, railways
bridges, canals and water courses fol
the transportation CT mails, soldiers, and
munitions Of war. The federal govern
meut, as donor, could name the uses te
which the grant should lie applied; and
the State in receiving and accepting
tue gift, became bound to apply it only
in aid Of tho specified objects. and {
transportation would be au act o
dishonor. The object Of the grant ii
uudeniably to aid in internal improve
ment which might not be undertaken
or completed without such aid. Should
the State grant these lands to completed
railroads, which had been built and pu'
Into successful operation without such
aid, or any expectation thereof or ap
portion them among !; counties, which
had, plior thereto, constructed bridges
such ? disposition would be clear mis-
appropriation Of the grant. Is not thu
diversion of these lands to the payment
aE0fthess bonds still more clearly = per
Gverionsof tho grant from tho purposes
,stge whieh it was made? The bonds rep
resent debt OF the State in favor
tae holders, and the lands were no
granted to the State to pay any Of it
detts The bonds we're not given up
oasths credit Of these lands, nor wer
they, in fact, given for any purpose o
internal improvement. They we're ID
sued as loan Of credit, not unlike &C
eommodation paper, and upon the di.
ztiuse agreement that the railroad com
panies who received them should pr
vide for the payment Of both princip'
aud interest. This debt was, therefor
incurred by the State in recklessly b
coming the surety for bankrupt corpor
'stioas i; and that no intention on the pa
Of the State existed 70 use this grant
pay tho bonds is evidenced by tho 3
,culities taken by the State to prote'
itself against loss, in case Of failure 9
the rast of.he ra,lroad companies to p.
these bonds. This debt, therefore,
its inception, had no u,o:e. connectio
with this:grant of lands than any 9TH
debt Ct the State, and it would be'qui'
as consistent "itil honesty and, goo
Faith to spply!,hese lands Or the scbo
lands to the liquidation OF the oth'