The Bolivar bulletin. [volume] (Bolivar, Hardeman County, Tenn.) 1865-1888, 1879-07-24
COY. MARKS REPLY.

Hon John A. GardneT-DeaF Sir: Within
the past few days | have received seyera
letters propounding to me the same ques
tions embraced In your letter of the I'll
inst, and while deem it my duty, as tn
Executive officer of the State, TO abstain
from any general discussion of the subject O
the settlement OF the State debt, yet | an
willing, upon ali proper occasions, to Civ,
the reasons for my official action, and to de
clare my views upon all questions affecting
public interests.
In responding to your first inquiry, take
leave to call your attention to the fact thai
| there a serious division in both houses
of the General Assembly as to whether the
bondholders should he consulted at all in re-
lation to the proposed adjustment. BY the
| provisions of the act proposing an adjust
! ment of the debt, / was charged with the
| delicate duty of determining the question OF
/ fact Of acceptance or non-acceptance on the
part OF bOndhOlders. In order to determine
/ this question of fact under the provisions of
/ the act ii became necessary for me to ascer-
tain the amount embraced in the proposition
| of sixty cents, and whether there were bond
holders owning an amount equal to the
amount embraced in the sixty cents propo-
sition willing to accept the proposed adjust
ment. 1t was impossible for me TO ascer-
| tain, by personal investigation, the amount
actually represented in the sixty cents prom
Il
| confer with the bondholders personally and
| ascertain whether they were or were not
willing to accept the proposed adjustment.
1t became necessary, therefore, for me to
entrust this investigation to others, and
assumed that it was my duty to select as
agents to make the Investigation gentlemen
who were known to favor the claims of the
| bondholders to be heard in any adjustment
which might be made, in order that the
bondholders might have no occasion to COM
plain that they had been misrepresented
These agents proceeded to New York and
they were followed by a citizens committee
composed of prominent gentlemen, all of
whom recognized the claim of the bond
holders to a voice in any adjustment made
and after an investigation, and after con-
ference with the bondholders, they returned
and unanimously reported that the require
ments OF the act had been fully met With
this plenary evidence before me that the
condition OF the precedent prescribed by the
act had been complied with, l had but one
course to pursue, and that-Was to submit
the adjustment to the people for their rati-
hcatiOn or rejection at the bailot-box. In
order that the people might have full time
for reflection and favorable opportunity to
cast their votes, | ordered the election at
once and selected the ordinary election day
for State officers for the vote to be cast.
The inquiry as to whether, if the people
ratify the proposed adjustment, it will be
fnality, is easily answered The act pro-
vides shat the Legislature shall prescibe
specific period in which all bondholders
shall tender their bonds, and all bonds not
presented in the time prescribed will of
course, be excluded, and hence the proposed
adjustment, if adopted, will insure certain
settlement OF the debt
You say there is a general desire on the
part OF the people to know my views on this |
important question. | know the people of
Tennessee. They are independent in thought |
and in action. When they know the right |
they will follow it only. They viii follow |
the lead of no man. They will think and |
act Tor themselves. Hence a statement of |
my views upon the question is of but small |
Importance. But. since you have made il |
my duty to state my views, | shall declare |
them plainly.
My matured views upon the subject of the |
State debt are stated in my original message |
to the Legislature, and as | then insisted |
that there should be a discrimination be- |
tween the bonds IN their adjustment, itSI
follows that in this respect the adjustment |
does not meet my views. l admit, however |
that in my opinion by the proposed adjust |
ment the people viii not be called upon to |
pay any more than in Justice they ought to |
pay, but the injustice lies in paying less |
upon part of the bonds than should be |
paid and more upon others than should be |
paid.
Recognizing the wide difference Of opinion |
ON this subject, l then stated that nothing |
but mutual concessions could lead to salts /
factory result. Subsequent observation has |
confirmed the opinion then ex pressed. The |
plan of adjustment finally adopted is the |
result of mutual concessions, and it remains |
to be seen whether the people will approach |
the subject in a like spirit.
l have taken some pains to investigate the |
history OF the question of adjustment. l |
find that the first proposition was TO fund |
the debt at sixty cents, with interest at six /
per cent, and TIE coupons receivable for /
taxes This proposition was rejected. The |
next proposition was to fund the debt at /
fifty cents, with six per cent. interest and |
the coupons receivable for taxes. Thisprop |
osition also failed. This occurred at the /
preceding session of the Legislature. At |
the same session the Senate passed a bill |
proposing to fund the debt at fifty cents, /
with interest at four per cent. for five years,
at five per cent for five years and at six I'M
til maturity, but the coupons not be receiv
able for taxes. When this bill went to the /
House it was referred to a Committee of nine
members. They made report. Four mem
bers OF that committee favored the Senate /
bill. -Four members favored an amendment
reducing the interest to four per cent. The
other member opposed both upon the ground
that neither basis would secure settlement. |
The issues made and discussed were, first,
whether the coupons should be receivable
for taxes; second, whether the adjustment
should be submitted to the people; thirdly,
whether the interest should be four per cent,
OF higher. Ii is perfectly clear that if the
members of the two houses who insisted upon
an acceptance OF the proposition OF the bond
holders had yielded their convictions, that |
the debt would have been then adjusted at |
fifty cents and four per cent. interest by an /
almost unanimous vote. At that time the /
railroads did not propose to do anything eX- |
cept to avoid the payment of taxes so far as
they conld. BY the present proposed adjust |
ment every question then controverted has |
been conceded to the State and the people. |
First, the basis Of fifty cents and four per |
cent. interest is adopted; secondly, the re- |
ceiyablilty OF coupons for taxes Is denied; !
thirdly, the submission OF the adjustment to |
the people is secured.
The advantages the present adjustment |
has over the one insisted upon at the former |
session lies in the fact that under the pres
ent bill the railroads are pledged to raise
100000 annually, which reduces the
amount the taxpayers will have 10 pay to
40 and 4. Upon this proposition of the rail-
roads l will add another word They will
carry out their pledge simply because 1t is
to their interest to do so. The Legislature
adopted my suggestion and set apart the as
sessment they are to pay to the public debt.
The amount they are To pay will pay the n
tere9t on S5,000,000 of the debt as it now
stands, and upon =, 500, 900 Of the adjusted
debt.
Secondly, the interest is to be psi at
Nashville, and but once year. Third,
large part of the bonds will be of sm II de-
nominations and If the exDeriment which