The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1879-02-20
Reimbursement in 1871.

Reimbursement IN 1871.
To put to rest few purturbed spirits as
to the position of the Republicans on the |
State debt, and what it has been heretofore,
we give below an extract from the address Of
that party to the people OF Virginia in the
fall of 1871. The paper was prepared and
signed by Robt. w. Hughes, now Judge OF
the Eastern District OF Virginia, and proba-
bly, is one of the ablest political documents
ever laid before the people of this State
The party dissented from the action OF
number of the Republican members of the
Legislature who voted for the Funding Bill,
and the result OF that dissent is the clause OF
this address which we re-publish. We call
particular attention to the suggestion AS to
the method OF securing settlement with
West Virginia, and the plain sense it COM
prehends I. is the first formal protes
against the Funding Bill by any political
body, and the first formal argument in favor
of a re- adjustment consistent with the ill.,
tegrity Of the State, and involving no faint
of reputation. We recur to this address to
show where the true friends of Virginia were
then found, and where proper and intelli-
gent understanding of the debt relation was
lodged:
In their management OF the State debt, this
same legislative majority have betrayed as in
their action ON the homestead a callous disregard
of the interests of the people, at the nstigation
| of brokers. With the Supreme Court of the Uni
ted States always open to an amicable and definite
litigation OF the question of West Virginia's OBJ
legation for portion of the debt, it has neglected
to take that dignifed appeal and trif1ed with this
most grave subject by means Of a partizan COM
mission (meaning the commissioners that were
appointed by Va and W. Va. to confer about their
portion of the State debit which have resulted in
nothing and which wear all the appearance OF the
preliminaries of a brokers' Job Had the Attor-
ney-General of the State been directed to insti-
tute proceedings in the Supreme Court for set
tlement with West Virginia, that difficult ques-
ton which can never otherwise reach an adjust
ment, might ere now have been finally determin-
| ed.
The leading object of the public works Of Vir-
ginia was the development of the resources OF
what is now West Virginia. Under the surface OF
that State lay nearly all the coal belonging to Vir
ginia and contiguous to this coal lay also unlim-
tied deposits of iron and other valuable minerals.
All were valueless until they could be reached
| by railroads and canals from the sea. Virginia
relied for remuneration for her heavy OUTLAWS on
public works, upon the development that would
be impaired to the region now West Virginia.
| But when she had brought her works to the mar
gin of that State and about to realize the long
| and patiently expected remuneration, then it was
that West Virginia was separated from her and
| created into State She thus loses the fruit
OF her enterprise and is intercepted from the re-
| turns, lin increased values and sources OF taxa
tion,) which constituted the main object OF her
public expenditures. These are left redeemless
burden upon her shoulders The principal bene-
fcary of these OUTLAWS is and will continue to be-
| West Virginia ; and is her obligatson for due
share OF the burden of the debt to be evaded I'M
der the specious pleas of State funds lost by Sc
cession, and of appropriations expended on cas-
tern soil?
Then why should this settlement be procrasti-
mated by commissions and the real merits OF the
question concealed in labyrinth OF special plead
ings Preliminary to any funding of the debt
ought to have been. settlement with. West Vir-
ginia ; and as there is no probability of proper
adjustment OF accounts inter parties, the Supreme
Court of the United States should have been re-
sorted to long ago. To keep it out of that court
is to make a job of the business, in which both
States are liable to be heavily feeced.
The principal object of the expenditures repre-
senting the State debt was the development of
the resources of West Virginia and how can it
be assumed before adjudication that Virginia
equitably owes two-thirds, while West Virginia
owes only one-third The assumption Is arbi-
trary and without warrant.
A most premature step in the legislation was
the compounding OF the interest of the debt before
the State could pay simple interest. The present
o1,G &C., 1o in he
form OF interest. The funding bill. authorizing
interest to be bonded Tor funded) adds million
of dollars year to the interest chargeable to tax
| payers. When we consider that the greater por-
ton of the bonds have fallen into the hands OF
brokers and spectators, this million of dollars is
gratuity voted by the Legislature from the peo-
pie to the capitalists of foreign cities; and it is
| easy to conjecture the source from which the
funding bill was inspired. The original holders,
both in Europe and America, of those bonds which
have not gone into the hands of spectators, were
willing to accept certificates of debt for the inter
est due, bearing no interest. The compoundlng
measure is gratuity. --
The scheme of allowing coupons to be paid in
for taxes was contrived in the interest OF specu-
Iators in State bonds Under it the poor will have
to pay their taxes in money, while the capitalist
and SPECTATOR who can get coupons at discount,
can evade large portion of their taxes. Dishon-
est sheriffs may collect full taxes from the people
in money, and then may pay them into the treas
ury in coupons purchased at discount Thus
the scheme is contrved in the interest OF rings,
and at the expense of the people. So long, more
over as coupons receivable for taxes, the
State is compelled to levy taxes to the full amount
of yearly expenses and interest.
The effect of making these coupons receivable
| for taxes will be to introduce them as currency
among the people, which, being less valuable than
national currency, will drive the latter out ofclr-
culation. The effect upon the laboring classes OF
| introducing baser currency into business trans
actions will be extremely oppressive. The scheme
helps nobody, and will entail great and general
mischief.
The Republican party is opposed to reputation
in every form. 1t is no less opposed to State re-
pudiation than to national. Most of its members
are humble laborers who have little interest in
the subject of taxation, having, to their sorrow,
small property to be taxed. They do not feel that
it is for them to lead in devlsing ways and means
for preserving the State credit and satisfying the
States creditors, however many Of these latter
may have bought up Virginia bonds for song,
and however able they may be to await her abili-
ty to pay When the party representing the wealth
of the State brings forward measures of State fl
nance, the Republicans will, under proper pro-
test, aid them in carrying them out. They will
thus take care not to be shifted into an attitude
of reputation by any such defects in these mea-
sures. still they will hold the majority party re-
sponsible for faults and will appeal to the people
against the policy, both in whole and detail.
American Work.
Col. Wrottesley, writing from Woolwich.