Litchfield enquirer., 1872-05-09
covERNoR.s MESSAGE.
MIR. PRESIDENT AND GENGLEME. OF I'll GENERAL ASSEMBLY,

MR. PRESIDENT AND GENTLEAEa OF THl GENERAL AssEMBLY-
 The people Of this Commonwealth hay I Ing entrusted to ls their executive ani Legislative affairs for the current year. Ie us enter upon our duties with d gratefu appreciation of their confidence, and, no unmindful of our responsibilities, let us invoke that divine wisdom which alone can guide us that we may so conduct our selves as to justify and deserve the good opinion of those who elected us. As American citizens we have mucf 1 cause of congratulation.
 The national debt incurred during the late rebellion is being rapidly reduced More than $317, ,OO0, 600 have been paid of during the last thirty-seven months, and peace, prosperity, and plenty reigns SUI preme throughout our land. Our flag is beloved at home and respected abroad The people of the States lately in rebel lion are assuming more and more theil former friendly feeling towards the gen eral government, and the. determination on the part of our honored chief magis. trate to correct any abuses which may exist in the civil department of our gov ernment is warmly seconded by the peo, pie.
 By reference to the report of the State Treasurer it will be seen that our financial condition is even better than usual. Our State debt has been reduced more than in any year in our history; the reduction be- ing no less than $881, 1O507. The total funded debt of the State at the commence ment of the present fiscal year was $5, 769, 300, maturing as follows: $7O6, 700, which the treasurer is authorized to cali at any time; $912, ,00O, maturing January lst, 1883; $1,474, ,0O0 maturing January 1st, 1884; $935, 300 maturing October 1st, 1894; and $1, TAI, 100 maturing October 1st, 1885. The amount falling due in 1894 is redeemable after October 1st, 1874, at the pleasure of the General Assembly, and the amount maturing in 1885 is exempt from taxation.
 There was cash on hand at the com mencement of this fiscal year amounting to $845, 194. IA, which reduces the actual debt of the State to $4, 923, ,5O5. 86, against So, 8O4, ,61O. 93 the previous year.
 The entire revenue of the state from all sources during the last year was g., 2,O91, O35. 63, of which the two mill tax yielded $731 ,522. 19. Savings banks paid $421, l29.36. Railroad Corporations paid $344, 1Ol.73 Mutual Insurance Companies paid $265, ,89O.92. $217, 133.63 were collected from the United States on account of war claims. $34, ,296. 28 came from non-resi- dent stock; $24, 459 34 came from interest on deposits, and the balance from miscel- laneOuS sources.
 The total disbursements for the year were $1, ,978, ,596.74.
 The sum of $756, 500 was paid on the principal of the public debt; $38O, ,3N were paid for interest on the bonded debt; $199, ,211.56 were paid judicial, Reform school, and kindred expenses; $7, 118. 65 were paid for the Board of Education; $123, 118.T were paid for support of or plan children of soldiers; $82, ,958 03 was paid for public buildings and benevolent institutions; S102, ,S36 was paid for ex- penses of the General Assembly, and $55, $50 was paid to the several towns from the treasury of the State, according to an act passed at the last session of the Gen. eral Assembly, appropriating fifty cents for each child of school age ill the State. But $5, 900 each has yet been been drawn out towards the erection of the new State House and the new wing of the hospital at Middletown.
 I think the present rate of taxation of two mills on the dollar should be con- tinued as our expenditures will exceed those of last year and our receipts will be less as we shall probably receive little or nothing from the general government on account of war claims, from which source we realized two hundred and seventeen thousand dollars during the last year.
 SCHOOL FUND.
 Our school fund of $2, ,O46, O90 75 is we'll cared for by the commissioner, and is in- vested as follows:
 On real estate in New York, at seven per cent, $245, 1O1.74
 On real estate Tn Ohio, at seven per cent, $30, ,635. .89.
 On real estate in Massachusetts at six per cent, $30, ,63589
 On real estate in Connecticut, at six per cent, $1 ,425, ,61639.
 In bank stock, $2O4, 4,812.61.
 Invested in Connecticut State bonds, $130, GOO.
 The number of children returned is 131, 748, an increase of 3, ,280 for the year on which per capita dividend of one dol lar has been made. Unless something is done to increase the income of this fund we shall be unable longer to continue this annual dividend of one dollar.
 No money is to be had in this state at six per cent except from the school fund. I would recommend raising the rate of in- terest for this fund to seven per cent. con- tinuing the dividend of one dollar per capita, and adding the balance which would remain to the principal of the fund. In this way the fund will increase as fast as the number of children in the State, and the one dollar dividend can be main tained.
 BANKING INSTITUTIONS.
 There are 72 Savings Banks in the State, with an aggregate deposit of $62, ,717,- S14.77, an increase of $7 APO, 1O9. .37, dur ing the year, or two and one half millions more than our entire state debt. Our thrifty laboring men and. women could pay off our little state debt out of theil savings in few months if they should sci about it.
 > Different rates of interest are charged by Savings Banks, which is in my opinion all wrong, as is also the practice, too often indulged in, of the Trustees or officers ot Savings Banks getting commission from the borrower, or paying out to him as money, bonds at par which are not worth it.
 All these illegitimate practices should " PAOAOAVCu UJ Se1ASSut 1hWS. n uAl form rate of interest and manner of pay. ment should be decided upon, and we should have active, upright, capable and courageous Bank Commissioners, who are not connected with any bank, whose duty it should be to see that the laws are com. piled with
 recommend that the tax be taken of such portion of the deposits in our Say. EfT.~1t ,ex .1~J k 11 We can afford some reduction of taxation and it appears to me that this is the place to begin. As 1t now works the banks ol course charge the tax directly to the bor rower, while he can get no abatement ol offset in consequence of his mortgage thus compelling him in fact to pay double taxes on that part of his real estate whicl is covered by mortgage. As his class O borrowers is mostly from our active la boring men, of small means, I trust thi. matter may not be overlooked.
 There are but four State Banks left with an aggregate capital of $1, 400, 900