The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1875-06-03
The State Debt.

We have received the following note from
q correspondent in Montgomery county:
Editors Dispatch: Genilemcn,-We re-
snpc;suiIy request you to inform your uuuis
rn,,s na,rons what percentage addiuonsi TAX
levied on the basis Of the present assess.nen'
of the property OF the State wou!o oe hsess.
sarv TO liqmdate the State deot 10 she "e GA.
dsc,he. Also, what was the value OF Tue
state bonds when the bondhoideIs purenaseu
them. An carly response Is desired.
Yours truly, oos1'oH'
7. wand be a waste of space to state the
IN ,,,n, of tax that would be needed TO pay
oa ,be debt in ten years. There is no hope
entertained by nybody that such thing can
he dorc. Nor do the bondholders expect or
desire it. We cannot tell what the people
who have purchased bonds from former
holders paid for them. All we know is that
the State of Virginia originally received their
full value, and ought TO redeem them IN an
honest manner.
We eau tell "Justice" a fact or two which
should be gratefully received by him. 10
giving him these facts, valuable to the people
generally, we draw upon the able editor OF
the Lynchburg Republican, who has coiiated
them with care and presented them in bis
own columns.
We begin by stating that our public debt
stands at the present time upon the basis OF
"two-thirds ri. c., that Virginia will pay
tyo-.hirds of the whole sum, interest and
all. There have been funded under the IA
nous funding bill Ss0,229, 900, and there
remains of the two.thirds unfunded"
S9,7iT,994.
Upon part of the funded debt the cou'
mons are not payable in taxes. But the State
has. I'D to last winter, from the time OF the
passage of the funding bill, paid full interest
upon about Sl7,609.S00, the coupons from
that amount of bonds being receivable at
the Treasury. Upon the unfurded portion
of the debt, and that funded in bonds the
COUPONS of which are not receivable for
taxes, there had been paid only four per
cent. until last year, when only tbree per
cent. was paid. But we concur with the
Lvnchhurg Republican, that four per cent.
on the upfunded debt is n fair estimate Tor
us atths time without increasing taxes.
The annual interest upon that part OF The
debt the Republican ascerains from the Au'
G,,ot's report to be s5S3,069; two-thlrds Of
which we have been paying. The remain
ing onc-,hird is only S194, 359-a deficit not to
alarm any ore, certainly; and well may the
Rep,lIhcau remark: Glow contemplate II
is to talk Of repudatinS on account OF tne
remaining two per cent"
The deficit certainly clnnot much exceed
this, and we have the prospect Of Increasing
the revenue from several sources. The re-
assessment soon to be made, We confidently
anticipate, will add something to our taxa
bic property. If it is rigidly and fairly made
we think there can be no doubt about it.
Then, the proposed amendments to the
Constitution, should they carry, will save. in
the capi,alion tax $4,000, and in the biennial
sessions of the Legislature at least 100000 |
The remaining deficit may be easily provided
for. The sinking fund will soon extinguish
all deficits.
Then, what is the use Of talking about re- |
ssting bondbolders and relieving the public !
who can tolerate an idea Of yahoo statesman. |
ship, which has found expression in Wash
ing,on county, that the bondholders must be |
worried and annoyed until they agree to
abandon their claims for small part Of them ?
The time, all must see, is near at hand when
the State will pay full interest without en-
barrassment and without increasing the rate
of taxation. And when that time comes |
there need be no further trouble or anxiety.
A State that pays interest can carry her debt |
As long as she pleases. After she reaches that |
point il becomes only Il question of policy |
whether'sbe shall pay it or not. Virginia is
independent still. Her honor is in no
danger. There is no necessity for shifts in
consistent with honor, and eXpedients that
are intended to despoil the men who have |
loaned us the money to build the works now |
in use and steadily benetiting every man,
woman, and child in the State. That would |
be blight and disgrace to the reputat on
of the State which time could not e1flce.