Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1876-02-12
WELL. WHAT NEXT

The figures furnished by Comptroller
Gaines and published in yesterday
LEDGER, furnish a basis for calculations
with regard to the, liabilities and fnan'
cisl ability Of Tennessee. Our total
assets, it is estimated, will amount to
$l,2Ol, 7O2 on the lst Of January, 1877;
liabilities, $3,64S, 249; deficit, $2,446,-
549. The Legislature meets next
January, and after electing two
United States Senators, will be
expected to give this matter some atten-
ton. But supposing that the rate Of
taxation is not increased and no new
sources of revenue created. which is the
presumption in the Comptroller's est.
mates, by January, 1877, the deficit
will amount to So, 1903 Some meas
ures of reform and retrenchment may be
adopted and enforced, but the entire ex-
penses of the State next year, after pay
ing off the Legislature, it is estimated,
will ouly amount to $645, 900, which is
less than the interest on the State debt
that will go by default every six months.
II we fall s...ort seven hundred thousand
dollars every six months, it will require
some very fine Gnanciering 10 ever get
out Of debt or even to pay much
more of the interest. Without reference
to past due coupons, warrants, etc, the
annual receipts Of the State, with a tax
of forty cents on the hundred dollars,
amount to about $l,4Oe, 900. This is a
net calculation, including the dog tax
and probable railroad taxes. Say that
our bonded debt is in round numbers
$22,5 500, 900. The interest per annum
amounts to one million three hundred
and fifty thousand dollars. The current
expenses Of the State will average at least
six hundred and ten thousand dollars.
Total amount required per annum to pay
the regular interest and ordinary ex'
penses 10 round numbers two millions oil
dollars. The annual deficit, therefore,
at the present rate Of taxation, would be
about six hundred thousand dollars, to
say nothing of floating Indebtedness and
past due coupons, loan account, war.
rants outstanding, ETC., etc. 1.-THE bond
holders will agree to take three per cent
interest we a see our way through
though it might require a Sigh
increase Of the rate Of taxation fol
one or two years. The people would
probably consent to this for the sake o
State credit and an equitable settlement
But to pay off all psst-due indebtedness
and obligations falling due for FIVE year
would require nearly twelve millions o
dollars, and to raise this by absolute tax
alton would require an ad valorem tax o
over sixty cents and the most rigid anC
economical management. We are stating
facts rather than arguing the question
1t is evident that the climax is about h
be reached. Next year will most Ekely
decide whether some satisfactory ar
rangement can be made. Otherwise WI
are hopelessly in debt. The people fee
crowded to the wall, aud II driven to de
spair will remember that self.preservatioI
isthe first law Of nature. Practical propo
sitions in words and figures are Q il
order, but the people are tired aud dis
gusted with fine theories from men wit
cannot add up a row Of figures. Thii
question will be discussed in the mex
canvass, and perhaps presented in a sim
pie businesg.like form that will not mis-
lead any one or conceal any materia
fact. Now let US hear from the higl
credit side. What DO you propose2 4
higher taxi a lower rate Of interest OF
the debit or that the State shall still z,
to protest.
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