Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1870-06-28
PUBLIC DEBT AND PUBLIC
-s- CREDIT. 80 al 81


The people of Tennessee have witnessed
with deep interest, the action of our pre-
sent General Assembly, upon the questions
which they have been called to consider
since their meeting in May. They de-
serve credit for the amount ef labor per
formed. The changes made in our or
ganic law by the new Constitution, de-
manded much new legislation, which has
been in great measure met. 1t Is q noticea-
BILE fact, that none but the interests of
Bumcombe have Suffered The State
owes much to the sleepless and tireless
co-laborers in both houses, who have some
of reward in the high appreciation in
which they are held by the people.
No subject just now is of deeper con
cern to the people than the public debt,
and the means and mode of paying it.
Whilst the people are restive under
portion of it, believing 1t to have been
unwisely, if not illegally contracted, yet
but few were disposed to avoid its pay
ment if it could be done without too op-
pressive taxation. 1t is understood that
the bill of the Senator from Bedford to
sell defsultiDg railroads has become
law. If this information is correct, the
writer hereof believes that the way is
opened by which the State debt may be
paid and the credit of our Commonwealth
restored, and that, too, without oppres-
sive taxation. IL this can be done and is
done by the present General Assembly,
then it viii be well for US that Conserva-
tive Legislature was elected.
think, Messrs. Editors, can demon
strate to you, (snd if you concur l know
the people viii be gratifed if you win
urge the importance of these considers
tons upon the General Assembly,, that
these important results are attainable.
I assume that the Railroad
debt of the State of Ten11es-
see is in round numbers...s So. 200, 600
deduct from this amount, tkr
the bonds loaned to, and
endorsed for Railroad Com ~
panies that pay interest, in 1l 81 ri
amount in round numbers. 15.000, 600
Leaving this sum of............ $40, 400, 900
Upon which interest is not paid by Tie
| Railroads and which roads VIII have to-
be sold under the bill referred to. OF
these roads, it is believed that the Nash
vile and Northwestern, Memphis and
Ohio, Memphis and Clarksyille, and per-
haps one CT two others, viii sell for par
in the bonds of the State, or say in round
number@the above sum of $50, 900, 900,
viii be reduced $40, 1000, O0O. Again, it is
| a fair estimate taking the receipts, as well
as costs of the remaining roads into con-
sideration they viii sell for 50cents in the
dollar of the bonds of the State. Thus
leaving only five millions of loss by the
Railroad system of the State. A loss
which the State, notwithstanding the
peculation and fraud, which was Inherent
with the system itself, may well afford to
pay, when the great good accomplished is
considered; especially when We reflect,
that under lhe new Censtitution-the
estate aid" system is forever at an end,
| and the days of omnibus Legislation are
numbered. "A
| Assuming then the loss by rail-, =
roads to be as shown. 8, 600, ,O00
Assuming the State debt proper '-t
and interest to be............,.. 5000, 900
| Assuming unpaid interest and -ar i =
possibility that railroads viii q.
not sell as herein estimated
aay....................................s 100000
| Adding thereto for old issue Of
the Bank of Tennessee, and q
floating liabilities, the sum
i Of....s-.................... Z,OUO,UUO
II