Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1877-03-31
suaLL rENNgssRR REPupIArEl

This is the serious question which
now stares us in the face. Wefeared
it would come to this long ago. Re-
pudiation would be one Of the
greatest misfortunes that could be-
fall Tennessee. We believe in peo-
pie paying then debts to the extent
of their ability, and have always
expressed this view in discussing
the State debt question. The heavy
b~ondholders who pushed the fund
ing bill through and the papers
that defended the measure with
such super-seryiceable zeal may
blame themselves largely for the
reaction which has swept over the
State. At last it has come to this,
that the question of any adjust
ment is involved IN great difficulty,
and the good name of the State is
seriously %imperiled. Occupying a
conservative and consistent position
for more than four years since We
began to discuss the subject from
a practical business stand
point, the LEDGER Of to-
day is relatively a high
State credit journal, and yet We are
on the same ground taken four
years ago, when considered by some
as tainted with reputation. We
warned the bondholders that they
were setting their plOws too deep
and that the people would not
stand it. The warning went IN
needed, but the agitation went on
and we sec the result to-day. Gen.
John H. Savage, the most ultra low
tax, anti-State debt man in the
legislature, was chosen chairman Of
a commission to visit New York
and confer with the bondholders or
their representatives in this coan-
try and England. A proposition
TO refund the entire debt at sixty
cents on the dollar, making bonds
and coupons receivable for taxes,
was made BY the bOndholders The
Legislature received the report, took
10 action on it, reduced the rate Of
taxation from forty cents to ten
cents on the one hundred dollars
wsrth Of property, and adjourned
sine die without any assurance OF.
understanding from the governor
that an extra session would be
called If this does not look Ike
opening the gate to repudiation,
then q creYas5e in a Mississippi
river leyee in time Of high water
does not threaten an overflow.
It is easy to break down public faith
and honor, but hard to rebuild.
The people have been SO often stig-
matted as repudiators because I'M
able to comply with exorbitant de-
mands that their sensibilities are
blunted the charge no longer
stings them to the quick; they are
getting used to it. The governor
is not en- rapport with the legisla-
ture, and it is not probable that
harmony viii be restored 50 fully as
to warrant an extra session to con
slider the State debt compromise for
some time to come. Meanwhile, no
money is acoumulating in the State
treasury beyond what is actually
needed for current expenses, the de-
iaulted interest accumulates, the
whole question becomes old and
distasteful, and the next legislature
will probably come together with
out any definite instructions, and
may run its course, like this one,
without graphing the question. II
is argued, We know, that the reduc,
ton Of the rate to ten cents is only
temporary, and that it was expected
an extra session would be called
very soon and the rate fixed tc
correspond with the compromise.
Still it would be anomalous and
awkward to have three diferen'
rates in one year, confusing t
clerks, tax collectors and assessors
We hope when the members of tn.
general assembly take time to re
feet, and the'press has spoken GU
as it should, that public sentimen
will demand a prompt settlement 0
this yexed and long delayed ques
ton. The bondholders have made
liberal proposition and it should b
accepted or rejected without I'm
necessary delay. An expression
a. "