Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-01-19
THE INAUGURAL
OF THE NEW GOVERNOR OF IOWA.
What Hon. John HI. Gear Told the People
of His State on the 18th instant.
INAUGURAL ADDRESS,

INAUGURAL ADDRESS.
Senators and Representatives,:
In entering upon the duties of chief magis-
trate of the State, | recognize with gratitude
the high honor conferred upon mo by my fell
low-citizens, trusting that time will evidence
to them that they have not misplaced their
confidence.
All the political parties in the State have
adopted resolutions in favor of the remonetiza-
ton of silver which would lead to the infer
ence that a majority Of our people are united
on this question; and it is to be hoped that
Congress will at an early day restore the coin
age OF the silver dollar and make it legal
tender for all debts not otherwise provided for
by law. Gold and silver have been the money
OF account of the world for ages and should
be maintained as SUCH The effect of the res
toration Of silver to it's former position in the
finances of the nation will, in the opinion of
many Of the best writers on finance, advance
its value and at the same time slightly depre-
ciate the valre Of gold, and thus each would
have a compromising effect the other, and
both metals be brought to a uniform value.
RECOMMENDATION of silver, i'll my opinion, would
have marked effect in helping to smooth the
difficulties which in the minds of many now
seem to surround the resumption Of spcie pay
ment.
During the war and under the financial exig-
ence of the times it became necessary in the
wisdom of Congress for the Government to re-
sort to the issue of paper money called green
backs This paper was issued only un-
der the war power of the Government, and
1t was made legal tender for all debts with
the exception Of duties on imports and interest
on the public debt. The legal tender act was
really in the nature of forced loan from the
people. Since the day of the first issue it has
never been at par with coin, owing to the fact
that the government has not been in a fnan-
cial condition to pay that which the paper
promises called for, to wit: dollars" In
1875, Congress enacted law naming January
l, 1879 as the time at which the government
would redeem in coin its paper promises.
Whether it was wise not to name special
date by statute for resumption, to leave it
to the laws of trade to accomplish, is not now
the question; but the passage of the resump-
ton act itself was an evidence of the honest in
tentlon OF the government to keep its promise
by making its paper issues convertible into
coin at the pleasure of the holder thereof Po-
litical parties have been organized in this and
other States with view to have the govern
ment continue to issue irredeemable paper
money to an unlimited amount, policy, which
If carried out-judging the future by the past
history of nations which have resOrted to this
kind of currency-could not but result in
bringing financial ruin on the nation. The
large majority of the people of Iowa have de-
clared by no uncertain sound their intention
to stand by the policy of resumption, and have
evidenced by their votes their faith i'll good
money and i'll the ability Of the country to re-
aume specie payment at an early day, and also
their belief that, resumption once accomplished,
coupled with the reconciliation Of silver, the
nation will enter on new era Of confidence
and prosperity.
STATE FINANCES.
My predecessor has called your attention to
the specific condition and wants of the respec-
tive institutions of the State. The generous
maintenance OF our charitable and other insti-
tutlons during past years Is ample evidence
that they will receive from you the careful
consideration that they require. The chart
table, educational, and penal institu-
tions of the state are growing ''pa,1 fmSsu''
with the state ITSELF and must Of necessity call
for the appropriation OF large amounts OF mon
ely FOR their support. While it is an imperative
duty on the part of the state to support all he1
institutions in accordance with their necessi-
ties yet strict economy should be the rule, and
appropriations should be made only to meet
their actual wants. 1t should also be borne in
mind that, owing to the shrinkage and general
reduction Of values during the past few years,
and the near approach of our paper money to
par with coin, a dollar to-day has; a much larger
purchasing power than at any time since 1862.
1t would therefore seem that small appropria-
tons will be equal i'll their results to the large
appropriations OF former years. and it is an alb
solute necessity that state finances should
be in accordance with the new adjustment of
the monetary affairs of the nation. Past gen.
eral assemblies have appropriated large amounts
OF money that We're necessary Tor the erection
for carrying forward towards completion our
new CAPITOL and for the expenses OF the State
The appropriations amounted to more than the
receipts Of the State treasury from taxes and al
other sources OF revenue; consequently youl
treasury has not at all times been in funds to meet
the warrants drawn thereon by the Auditor OF
State, in pursuance of the acts of the general
assembly. The State Treasurer has been COM
PEELED to indorse tho warrants ''no funds. "
which causes them to bear interest at the rate
Of six per cent. per annum. The result is thai
the State is now, and has been for some time
paying interest on quite q large sum OF money
The fact that warrants are not paid Oh presenta
tion causes contractors, and all others who dc
work or furnish supplies to The State, to charge
higher prices than they otherwise would, in or
der to reimburse themselves for any loss tina
they might be subjected to by virtue of dis
count on the warrants, which, of course, is
direct loss to the State. Aside from the doubt
full consttutionality Of mourning floating o
any other kind of debt, excebt in the manner ant
for the purposes prescribed by the constitution
it should be the policy of a State which ha
such vast resources at her command as Iowa, t.
be at all times in a financial condition to honor
at sight, all demands made on her treasury il
pursuance of law. The State taxes during tn
past twenty-threa years have averaged but
triAe over two mills on the dollar-and this o.
very low valuation of property-and durin!
this long term Of years have been less thai
those of any other Western State. This
coupled with the fact that the State has, com
paratively speaking, no debt, has doubtless con
tributed largely to her growth and rapid in
crease Of population, and it is most desirabl
for her prosperity and reputation abroad, tina
taxation should be restricted to the lowest pos
sible point compatible with her actual necessi
ties. / recommend that all appropriations o
an extraordinary character, such embrace tn
construction and repairing of the State build
ings, should be drawn from the State treasur
in installments from time to time, as the wor
on such building progresses, and then only o
the filing OF proper vouchers with the Stat
Auditor, that the amount drawn previously ha
been expended in accordance with the law az
propriating the same. In view of the fact tina
the State has falling due in 1881, 100000 c
'.war and defense fund bonds,'' it will be we
for this general assembly to consider the pr,
priety of providing funds in order that tt
State may be in a position to honor her oblig
lions at maturity. To do this and to meet e.
traordinary appropriations,-if any mad
it will be necessary to authorize the execute,
council to increase the tax levy above two mil
on the dollar, the maximum now allowed
law.
TRANSPORTATION.
Iowa being almost exclusively an agricultur
State, and in fact. in the growth of some of IL
cereals being and is the leading State in tt
nation, the question of the transportation
her products is a most important one to all h
people. In the early history of the State, IL
great rivers winch form her easter
and western boundaries were IL
only avenue by which our products sought
market. Within the past twenty years a sy
tenn of railway has been constructed which De
etrates nearly every county in tie State o,
ing to natural instructions in the channel
the mississippi river, and its virtual closi1
during the late war, our products have, of n
cessity, been carried to market by rail alon
By the recent completion af the canal arou1
the rapids at keokuk, and the apparent susce