The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1872-08-21

| FINANCES.
The first subject Of interest to
you is the financial condition Of the
State. This touches you all per-
sonally, and to this I at first devote
my attention. How have the fnan-
cial affairs of this State been adj
ministered, and to what pass have
they been brought? When my
friend, Governor Orr, who has just
addressed you, retired from Office
in July, 1868, he left the State with
a bonded debt Of about five mil
lions and a half of dollars, and a
floating debt Of perhaps million
and a half more. Now, in the short
period Of four years, we find the
State burdened with a bonded debt
of about sixteen millions, and a
floating debt of two or three mil
lions more; God only knows how
many. You will anxiously inquire
how has this come about? I will
try to answer your inquiry. Let
us first look into the Acts Of the
Legislature and ascertain what debts
the Legislature has authorized, and
then see how the authorized debt
agrees with the debt as it actually
exists.
On the Goth of August, 1868, the
Legislature passed an Act to au-
thorize loan to redeem the bills
known as the Bills Receivable of
the State of South Carolina. This
Act provided that the Governor of
the State be authorized to borrow,
on the credit Of the State Of South
Carolina, on coupon bonds, a.sum
not exceeding $50O,000, or as much
thereof as was necessary to redeem
the Bills Receivable. The Bills
Receivable referred to were bills
issued by the Legislature Of 1865.
This Act provided that these bonds
should be sold at. the highest mar
ket price by the Financial Agent
Of the State III the city of New
York, but at a sum not less than
should be fixed by the Governor,
Attorney General and Treasurer,
In my judgment, the Act author.
lied a bonded debt of $500,O00, and
was so understood by the Legisla.
ture at the time of its passage.
About this time the Legislature
further authorized the Governor ot
the State to- borrow, on the credit
Of the State, Oh coupon bonds, &
sum not exceeding one million dol
lars, Isl ,OO0,OOO0 or SO much there
Of as might be necessary to pay
interest on the public debt: These
bonds were to be sold at the highes'
market price, and for a sum no
less than should be fixed by the
Governor, Attorney General anc
Treasurer. This Act, at the time
of its passage, was supposed K
create bonded debt of one millior
dollars, Isl, ,000,000,) and no more
and only SO much thereof as nigh
be necessary. The issue of bond
for this purpose was necessary, a
the interest upon the public deb
had not been paid during the pas
year or more, and it was importan
that it should be provided for,
the State expected to maintain it
credit in the future. Soon afte
this, on the 18th of September
1868, the Legislature passed an Ac
to close the operations of the Banl
of the State Of South Carolina,
strenuously opposed this measure
as [ thought it ill@timed and un
necessary, Besides, the bank ha,
: been much complicated by con
tracing debts in aid of the rebel
lion, and I thought that common
prudence required that its affair
Should be fully investigated befor
the State undertook to administe
upon them. .a
However, my views were over
ruled, and the Bill passed. Thi
Act nrovidnd that MI hills issne,