Shenandoah herald. [volume] (Woodstock, Va.) 1865-1974, 1874-04-23
Report Of the Committee ofFinanee On the
Griffith Bill.

The Committee 8 If Finance have con
sidered the bill which proposes to en-
large the sinking fund, and respectfully
submit tie following report:
The bill provides ssthat all money
now 10 the treasury, OF which hereafter
may be received, from whatever source,
not otherwise appropriated, and not ne
cessary to defray the current expenses
of the State Government, be constitu-
ted part of the sinking fund for the
redemption of the State debt, and that
the Commissioners of the sinking fund
be instructed to invest such moneys so
transferred to said fund in bonds of the
State Of Virginia, at a price not to ex-,
coed their present value
The debt of the State ofVirginia was
contracted mainly in prosecuting a
great system Of internal improvement
intended to develop the resources of
the State, and establishing various lit
erary and charitable institutions, which
are Of inestimable value to her people
Virginia is now in the enjoyment of the
benefits arising from the expenditure of
money thus borrowed. Her territory
is penetrated by extensive lines of ca>
mails; railways and tdrnpikes, which af-
fora great facilities to travel and furn-
ish cheap and conye nient highways for
commerce. These Improvements have
more than paid the cost of construction
in the enhancement of the value of
lands near to them. The University Of
Virginia, the Virginia Military Insti :
tute, and the various nsylums for the
insane and the deaf, dumb, and blind
attest, by their annual benefits, the, Wis
dom of the policy which led to their
establishment.
The advantages arising from these
various expenditures are so important
! that the committee hazard nothing in
saying that there is no intelligent man
in Virginia who would be willing to
surrender them, if by SO doing he would
secure an entire release to the State of
all its indebte1 ness:
The Committee, therefore, think that
there is strong moral as wei! as legal
obligation on the State of Virginia TO
pay the debt which was contracted tt
construct these improvements and es-
tablish these noble institutions.
1t is true that in consequence of the
destruction of property and the with
drawal of her Jurisdiction over one
third of her territory consequent on the
late war, Virginia has not heretofore
been able to meet her pecuniary obli-
cation as they respectively Become due;
but, jealous of her ancient reputation
for integrity and honor, she has by her
representatives in the General Assem-
| bly, repeatedly, since the wal, recogniz
ed the justice of this debt, and solemn>
ly pledged her faith for the ultimate
payment Of her fair share of it..
But this bill, ignoring or repudia-
ting these pledges, substantially de.
clares it to be the purpose Of the Cen
eral Assembly of Virginia to make no
further provisions for the payment of
interest on her debt.
In the opinion of the committee this
is neither more nor less than repudia-
ton in its worst form. An open dec
laration of an intention to repudiate
the whole debt, and Of an utter disre-
gard of all obligations of law and JUS
tice and good faith, would at least
have the merit of frankness, and it
coupled with a declaration Of entire
inability to pay might receive some
IpfI ho Rnt Il
assuming that there is now and here-
after will Sc considerable balance iii
the Treasury properly applicable, and,
under existing laws; pledged to the
payment Of interest on the public
debt, prop osses to set at nau ght every
obligation of law and good faith to
the public creditors, and to divert that
fund from its legitimate destination.
Nay, more, it proposes first, by dec
laration Of a purpose not to pay III
terest, to depreciate the valve Of bonds
of the state, and then to apply the
money, which in equity belongs to the
bond creditors, to speculation in the
bonds thus deprecated,
Your committee have no language
strong enough to express their repro
baton of such a policy. What would
be thought of a private merchant Or
banker who would, contrary to the
facts of the case, proclaim his own
bankruptcy, and then apply his means
to buy up, at large discount, his own
paper, dishonored and deprecated by
his own act! And yet this bill now
proposes that the proud old Common:
wealth of Virginia, whose name In Cor
mer days was the synonym of every
lofty virtue, shall do this nameless
thing.
Your committee are satisfied that
this bill must have been prepared and
offered without due consideration of
its tendencies and effects This con-
vlction is fortified by the facts that
the bill is as faulty in its structure as
it is vicious in its theory. In the first
place it fails to indicate what class of
bonds are to he bought by the COM
missioners Of the Sinking Fund. 1t
recognizes no distinction between that
portion Of the debt which has been as
sumed by Virginia aud that part for
which, we contend West Virginia is
justly responsible: Under the proyis-
ions Of the bill, therefore; the Commits
sioners of the Sinking Fund wodld be
Instructed to BUY any bonds which
were issued by Virginia prior TO the
war, and thus one third of the funds of
our impoverished" State might be ap.
| piled to the rellef of West Virginia.
In the second place, the bin pro,
vides that the bonds are to be bought
at price 'not exceeding their present
mark ct value. If then, the Commits