Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1877-12-04


Inc principal sum OF the sinking fund,
now amounting to So, l25. 271 80, is an az
gregation OF bonds, formerly held by pub
lie creditors, which have been paid Off.
taken IN. and deposited as property OF the
State, and as so much cXtinguiShed debt, in
its own Golfers. Instead OF being part OF
the existing debt, the sinking fund repre-
Scnts nothing but so much debt as has
| ceased to exist. 1t can only be increased
by further reductions Of the outstanding
debt; SO that the larger the Sinking fund
| the less the State actually owes. 1t is no
requirement OF the Constitution. but the
voluntary act Of the Legislature, which has
given to this fund IFS present onerous
amount, composition, and character. and
which has originated the policy OF Semi-an-
nually diTerting from the treasury great
sums, equal to interest on the sinking fund,
10 be expended in purchasing and retiring
or sinking other bonds OF the State. EX.
perience proves that this mode Of maintain
ing so large a sinking fund is m excessive
burthen upon the treasury. especially du-
ring period Of depression like the present ::
and it is question for serious considera-
| ton whether it is not wiSest to cancel and
destroy the bonds which compose the fund,
as the law-making power has unquestionablc
authority to do. No provision Of the Con-
Sttution and no obligation Of plightcd faith
stands in the way OF such Il disposition Of
the sinking-?und bonds. BY the Consttu-
ton Of 1851, 4 specified portion OF the an
nual revenues was set apart, to he invested
in prescribed mode, for maintaining" Il per-
manent sinking fund. BY the present Con-
stitution no such requirements are imposed
upon the government, but both the charac-
ter and amount OF the means to be contri-
butcd, and the methods to he employed for
the maintenance OF the sinking fund, are
| left TO unlimited Legislative discretion. 1t
is submitted that il the present sinking
fund bonds be destroyed, and ii provision
be made for setting apart annually hercai-
ter such specific sum as the treasury can
reasonably afford, to be invested in oblioa-
| tionS OF the State or the United States, all
the requirements Of the Constitution upon
this subject will he completely satisfied
The present fund is too large to be carried
according to the design OF IFS founders,
without injustice to other interests and in
jury TO the creditors themselves. Remain
ing in its present dormant condition, it
serves only to beget error and confusion in
respect to the real liabilities OF the State.
The literary fund, so far from constituting
any part OF the debt, is capital sum COM
posed Of assets belonging absolutely 10 the
State, the annual income OF which, now
amounting to SS3,90T.6i, is dedicated to the
interests Of education. The principal OF
the fund can never become demandable or
payable, for by the terms Of its Foundation
| it is required to remain intact forever Ii
is in the nature Of perpetual annuity
founded by the State for its own benefit.
The annual interest on the literary fund
goes to the support OF the public schools by
virtue OF the same mandate Of the Constitl!-
ton which devotcs one fifth Of the property
tax to the same object and the payments
| from both sources are annual charges upon
| the treasury Of the same character, and
ought equally to be cla<scd as current cX-
penditurCs on account OF education. But
however the literary fund hc treated it c;rn-
not he regarded as any part OF the oI!tstant!-
| ing debt, for ii by Il change OF organic law
| the fund itself were cNin@uishcd or covered
into the treasury, the rights oi 10 bond
holder would thereby be impaired or NJ
iccted.
1t is not to be supposed that either credit
crs or others will hereafter seek to renew
the idea, long since exploded, that Virginia
will ever become liable for the debt of West
Virginia, or for any part Of it. Assuming
that at the close Of the war the two Viz
ginias were Jointly and scvcrally bound for
the whole Of the original debt, nevertheless,
by the express terms OF the iundng-hiII
contract, as acccded to by the creditors,
Virginia no~er heco,n" i"hl" io~ ""y
part OF "Wcst Nirginia'S third except by
virtue of Il settlement hereafter to be con-
cluded between the two States. Clearly and
unquestionably such settlement Is imloS-
sible to he had without the cooperation and
assent Of Virginia. II we ever become liza
| bic for any part of the debt thus RENTED TO
| West Virginia, then it will be no otherwise
than by her own voluntary act that Virginia
will incur that liability. Until the coming
of the millennal cru it can scarcely be sup
posed that one State will volunteer to as
sumo the burthens OF another State. Out
of one full third OF this State, torn from its
body, was created West Virginia. OF the
debt previously contracted by the undl-
yided State orc third ut the date OF its dis
mcmbermcnt fairly dCvolved on West Viz
gnia. Equitably and Justly one third Of
the debt was set apart and assigned to West
Virginia, and the creditors ratified the as
| signment. No principle OF right or duty,
no obligation OF honor, requires Virginia
to Day "Wcst Eirginia's third" or any
part of it; and therefore such payment
will never be undertaken by Virginia, nor
! v
THE PROPOSED EFFORTS TO NuLLIFY TIE
FUNDING BILL.
In several messages I have endeavorcd to
enforce the opinion that, however unWlSc
and unfortunate the passage OF the funding
bill. vet the contract embodied in it and en-
ccuted in pursuance of it is inylolahIc and
irrepcalabie; that it is the bounden duty OF
all to stand to the decision OF the highest
State court affirming its validity, and that
any further agitation for the purpose OF in.
validating it is 4 wrong to the good name OF
Virginia and an injury to every interest OF
the people.
Holding these views, it is appropriate and
| lust, and it is due to the truth OF history,
| that should vindicate the motives OF those
who act upon opposing opinions. There IS
not, and there never has been, any organ
lied party OF reputation in Virginia. En-
cepting an almost inapprecably small class
of thinkers presently to be mentioned the
great body Of those who resist the cNecu-
| ton of the funding bill have no idea OF re-
sisting the payment Of the debt. That bill
has been the fruitful source Of discord. and
hit for its existence no sentiment unfr!cndlF
to the creditors and no popular agitation on
tbe subject OF the debt could have arisen.
Those who seek to- inyaidate the bill be-
lieyc that it is in the nature OF an act OF
State suicide; that it impairs the dignity
and the sovereignty Of the Commonwealth
by taking from it the control OF its
revenues and stripping it Of its jus: powers
of self preservation; that its device OF tax
receivable coupons, alternating in advance
and mortgaging to creditors for period OF
thirty-four years large proportion Of the
taxes, deprivcs the government OF essen
tial governmental functions and powers !;
tb,t lis enactment was not merely surprise