The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1875-01-22
. The Debt Question.

ne 0SDI eL0SotAS"A'
The peoples representatives arc greatly
exercised about the public debt. The bother
is that present taxation does not meet TIE
dc,dsnds upon the State; and how TO get
along with an annual deficit which is rapidly
increasing the public obligations. and without
increasing taxation. is The question.
From the rumors current we learn that
Senator pEsx's proposition to borrow fifteen
millions of dollars from the Federal doV-
crnment, and with that to compromise with
creditors by paying eff the debt al nifty cents
in the dollar, is favored by a respectable
number Of members. We consider the
PROPOSITION u.opan, and cannot believe
ths, the Legislature will agree to it.
First. The Federal Government will never
make such loan. Were 1t to do so, the act
would be the signal for general rush of The
States upon the Federal Treasury for loans,
which, once made, would probably. many OF
them, never be repaid. Certainly the unfor-
tunate States run by Radical rule would
never pay cent.
Secondly. If the central government loaned
the fifteen millions, are we sure that the Fir-
2inia bondholders would settle at fifty cents
in the dollar? Could We make them? Could
W cancel the coupons upon the bonds issued
urder the funding act without paying them
Indeed, would not the possession Of fifteen
millions of good money by Virginia tighten
the screws Of the bondholders and make
them less willing than now to compromise!
1t would certainly be humiliation Of Vir-
sinia 10 bring her TO the footstool of Federal
power TO beg help. If her prayer stood any
probability OF being beard there might be
that much excuse for putting 1t up. But
success is not the re ward for Hat supplica.
ton.
We believe that there is no escape. The
situation must be met fairly. The making
football of the funding act and running
after and Kicking tits probably unwittingy
carrying gentlemen towards the preclpice OF
Iepuda;ior. 1t would be wiser to look
upon tina, as thing past and irremedable.
We were never an advocate of it; but we
do not consider it an act that is .deplorable
except in so far as it funded accrued inter-
este bear interest. II we were entitled to
any sort OF relief at the hands Of the credi-
tor, more than any other IL was TO remission
altogether Of the interest accrued during the
war but the people, through their repre-
scntatives, assumed and rta,sumed that in
terest, and we cannot say what we are
Low to do about II. Certainly so far
as the bonds under the funding act are
concerned there is no remedy save in some
agreement between the State and her credit
ors-an agreement which would show that
the creditors had rights which the State ac-
knowledged and which she could not set
aside without their consent. Is this proba-
bic:
Again, what are we going to do about it
Virginia cannot afford TO repudiate. TO
look back and lament over accomplished
facts can in no wise improve our present
condition nor throw light upon the future.
In our opinion, the august body represent
ing the people, and guarding alike the in
tcrcsts and honor Of the State, will best per-
form its high functions by meeting the
condition of the State fairly and legislating
for her in good faith.
We would add that there could be no.
thing more futile or fruitless than the sug
gestion of Mr.. RoUSD that the public diff
culties could be remeded by State conyen-
ton.