The Daily state journal. [volume] (Alexandria, Va.) 1868-1874, 1872-01-02

me unQupStlOneu OF Tie StiIc 1Or the |
whole amount Of 1t, both principal and interest.
This brief statement of the action of the State |
upon this subject must, without the aid of pub
lie law which IS in perfect harmony with it, |
silence all discussion as to the liability of the |
State for this debt That liability isabsolute and
and no objection can be raised to the
funding act, because it recognizes this incon-
testable fact.
The first Legislature which convened under
our present constitution having failed to make
any settlements with West Virginia, recognizing
the vast Importance of maintaining, unsullied,
the honor of the Stale and The sancty of our
public obligations, and, conscious that further
delay would inevitably result in great and per-
haps irreparable injury, both to our public and
private credit, after mature elaboration, adopted
what is popularity known as the Funding Bill
After reciting the undoubted fact that the State
is unquestionably liable for two-thi-ds of the
debt this act authorizes the funding of two thirds
of the amount, both principal and interest of all
outstanding obligations of the State in new
bonds, dated the LIST day of July, 1871, bearing
the same rate of interest as the original bonds,
payable semi-annually, and the principal paya-
BILE in "a years from date, upon the condition
however, that the original bonds be surrendered
and no claim made upon us for the balance due
upon them except in accordance with such set
Element as shall hereafter be had with West Vir-
-gina. F.tt. ft .EFH
Can the execution of this act work any lnjus-
tice to the State2 Will not all the advantages
accrue 10 her Does she not thereby obtain an
extension of time upon the principle of the debt,
and is she not released from all present liability
for one-third OF itY 1t is true that the interest
which we have heretofore failed TO pay, is added
to the principle and funded in like manner, but
is there anything wrong or unjust to the State in
that2 Is not the payment of interest as much
part of the obligation, and as solemn and bind
| ing as the payment of the principal? The fail
TO pay the one is no less and no greater dis
honor than a failure to pay the other. We We're
unable to pay either, and the extension of the
| time of payment of sums already due, for pc
| riod of thirty-four years, is an advantage of
great Importance to tho State. The act author
-. ,1sx,..
| at the option of the owner, and the coupons of
the latter, at an after maturity, are legal ten
| der for all taxes and debts due the State If we
intend to meet obligations at maturity and
to pay the interest on our debt when it falls due
| what objection can be urged to these coupons
They neither increase nor decrease our liability,
| and instead of impairing will rather conduce to
the support and maintenance of the public credit.
/ have thus briefly reviewed the principal and
more important features of the funding act for
the sole purpose of ascertaining whetherit
tanned any provisions which could by any fair
and reasonable construction be adjudged unjust
or which could operate to the injury of the State
confess my inability TO discover any, hut, on
the contrary, am more than ever satisfied that
it is not only Just to both the State and her credi
tors, but is one of the wisest acts of legislation
which ever passed the General Assembly. 1t is
in strict harmony with the constitution, and is
defensible upon the highest grounds of morality
and public policy. II contains within itselfnoth-
ing which can justify its suspension or nullfca.
ton, and have discovered no reason outside of
it necessitating such action. The Legislature
which passed the Funding Act also imposed
taxes to meet its requirements Those taxes
have been in great part collected, and have
cumulated until there is day ia the treasury
over III, 500, 600 What is to be done with this
money? One-tliird of it will pay the interest
maturing on the bonds issued under the Funding
Act on the LIST of January, 1872. i4,suYt 3
Why should it not be paid? After this
is deducted, III 100000, with 100000 of nncol-
lected taxes to come in before the LIST of March
next to remain, and what disposition is TO be
made of the money! Our creditors have
right to ii it was collected for them, and why
should they not have it And yet with this
money in the Treasury collected for this pur-
pose, it is proposed not only not to pay the in
terest falling due on the LIST of January, but to
postpone indefinitely The future execution of
The Funding Act.
Such legislation cannot meet with my APP
proval. L have shown that it was unjust and
unnecessary, and based upon an assumption of
| facts which do not exist. That it is unwise
you have but TO observe its effect already pro-
duced upon our State credit. For the
first time in he history the confidence
| of The financial world in the integrity of
Virginia has been shaken. The - very
| uncertainty which enshrouds your future ac-
| ton, A unsettles public confidence Smoothly
| drawn declarations of intention unaecompanied
| by appropriate action will not avail 10 establish
! State credit. Our action must be commensurate
! with our expressed intentions, and their fulfill
ment must equal the full measure of cur pro-
| misses. The plighted faith of the Commonwealth
must be maintained, and her escutoheon kept
i untarnished or shall prove false to her tradi-
| uDiiS ;thu unworthy the hSh tlusl icpostti III
| us. f 4ul G.. C. WALKER.
4 On motion of Mr.. Jones, the message
was laid on the table and ordered to BE
i printed. a
Leave of absence was granted Messrs.
! Van Auken, Borland, Loyenstein, A.. B.
| Lightner. Powell, Strother, Sangster, Ear
/ ly, Stevens, Carter and Smith, for one day
each; to Messrs. Munsey, st. John, Gray,
Bryant, Coghill, and Rufus S. Jones, for
two days each; to Mr.. Bcaton for three
days and to Mr.. Jorgenson for ono day.
Senate joint resolution petitioning Con-
gress for removal of all political disabili-
ties, was passed. a
MIR. Hardesty submitted joint reson-
ton, providing for the election of a county
Judge of Clarke county ON Wednesday at l
| O'Clock, which was passed under q srispen-
1 sion of the rules. Z, $40 <, st3,5
,iiSenatc bill incorporating the Norwood
Mining and Petroleum company was
passed.
House bill amending the law in relation
to harbor masters was dismissed.
Adjourned. ...l.s.,.,g .s5-1-
1 The Senate met at IL O'clock.
Mr.. Greeyer in the chair.
House joint resolution, declaring that i'll
adopting the joint resolution ''to suspend
che funding of the public debit it is not
the purpose of the General Assembly to
disregard the just obligation Of the State to
her creditors, was taken up, twice read,
and OH motion of Mr.. Penn, the rule re-
| quiring the commitment of the same was
suspended, and on his further motion, the
resolution was laid on the table.
THE INTEREST ON THE PUBLIC DEBT.
House Joint resolution, ,instructing the
Auditor OF Public Accounts not to pay the
amount OF the seini-annual interest on the
public debt, due and payable on the first
1 Of january, 1872, as provided in section4,
chapter "A, Of code, until directed so to do
by the General Assembly, was taken up,
twice read, and, on motion of Mr.. Fitz-
patrick, the rule requiring the commitment
of the same was suspended, and, on motion
Iof Mr.. Quesenbury, the resolution was laid
OH the table. ,igs1 isia.s a.I
/ e. Z. THE CONTESTED SEAT. 9isa.
l. The report of the Committee Oh Priyi-