The weekly democratic statesman. [volume] (Austin, Tex.) 1871-1883, 1880-02-26
SOMETHING ABOUT TEXAS FL
NANCES-RO THE STATRs-
MAN SAsED THE STATE
S2,OOO,OGO.

/
other extravagancies, by which he
maintained an army of Radical officials
In all quarters of tie State. Taxes
were increased from one-tweIfth OF
one per cent. to one-half of one
per ceut. for state revenues, and
al additional special tax of one per
cent. for school purposes was imposed.
This last oneIous tax was collected
throughout all portions Of the state,
until, through the legal action of Ma
jor Walton, Judge Hancock and others,
its further collection wss defeated in
the courts. Though vast sums had
been wrenched from T,x4s taxpayers,
the s.ate'e revenues became made quaie
to the extravagant demands of the ad-
ministration, and deficiencies were con-
stantly accumulating, with no means
to meet them excepting the sale OF
bonds. The Twelfth Legislature, in
it's dying hours, passed, or it was claim
ed afterwards that it passed, magni-
ticent scheme for supplying Governor
Davis with money to carry On his ex-
pensIve political machinery. Two
millions of bonds were proposed to
be Issued under authority of q bill
signed and sealed after this legisla-
ture had ceased to exist. The
plan was well arranged, the bonds
were printed, signed and placed in the
hands of an intimate friend of Cover
nor DAvis to be disposed of in New
York, their sale being understood as
already arranged. The evening pre-
vious to the departure of the Cover
nor's financial agent, the STATESMAN,
having learned OF the movement pro-
posed, issued secret edition,
showing that this bond scheme was
in fact an unlawful one, and
copies of this edition being forwarded,
one mail in advance of the agent, to
all of the New York papers and to
many of the Wall street bankers. The
result was that when the agent reached
New York wide publication of facts
affecting the validity of these bonds
had already been made, and Texas
was thereby saved from a debt that,
in sll probability, would have
held good, in view of the fact that
the bill upon which the bonds had been
issued was so manipulated as to appear
correct upon the record. But Mr.. Sum-
merville found himself utterly unable
to place a single bond, and the Davis
administration expired two years later,
having been compelled thereby and
through the subsequent acts of the
Thirteenth Legislature to run up
on vast deal less of money than
had been calculated upon. Deficiencies
were left to be settled by subsequent
administration, aud on the fifteenth of
January, 1874, when Governor Coke
was in augurated, there were eight or
nine hundred thousand dollars left
unsettled and in the shape of
state warrants and approved accounts.
To provide for this Indebtedness and
to give current funds, the Four
teenth Legislature, at the solici-
tation of Governor Coke, immedi-
ately passed a bond bill authorizing
the sale of $4,000, 900 of per cent.
gold bonds, and it was then that Coke
wrote his memorable promise to pay
as he went in one hundred days,
which he emphasized with 81 mean
what l ssy.' The hundred days
passed away and hundred more were
added to these, and hundred more
followed. Long before his prom
Use was made good. Coke's style did
not take we'll in Wall street, and, to
use favorite and appropriate express
sion of the Governor, "hIs bristles
were up," and he "would keep them
up" IN the presence of New York cspi-
tslists until he had brought them to
terms. There was tedious struggle
for recognition, and at the very mo-
ment when Coke and Col. Moody, his
financial agent, had held consulta-
ton in November, 1874, and it had
been concluded to give up the job as a
hopeless one, Commodore Chas. Morgan
took pity on the state, and it was tel
egraphed to Austin that he would take
$500, 600 of these seven per cent. gold
bonds ct eighty cents in greenbscks.
The remainder of the 1000, 900 in
bonds were dribbled out at eighty
cents, and few as high as eighty-five
cents. and little less than 81, SOC, 900
was the net total Of returns in paper
money, then worth liz, to the State
Treasury. Some time ago we stated
this fact, and it was discredItedOas
monstrous, but the truth of the state
ment may be learned at any time from
the proper quarter. Even with the
seven hundred thousand dollars thus
secured for the running expenees
of the government, and with taxes
not lessened, the state continued
to fall behind until in 1879. In the
spring of that year it was announced
from the. treasury that all outstanding
warrants would be paid, and the good
work of pay-as-you-go promised in
January, 1874, was only begun in 1879.
Instead of selling bonds TO pay the
running expenses of the government,
as had been the rule every year
for nine years, the process has been
changed, and Texas Is redeeming
bonds instead of selling them The
work of paying of deficiency claims