The Northern Pacific farmer., 1881-10-20
Gov. PILLSBURYS MESSAGE.
Delivered to the Legislature OF
Minnesota in Extra Session
October 10.
An Earnest and Forcible Plea for
Bond Adjustment accord
ing to Proposition Of
Bondholders.

State, issued twenty-three years ago, are rapidly
been provided for their redemption. The act Of
March Q, 1881, providing for the adjustment of
these obligations has been declared void by tho
preme authority the amendment to the State con-
stitution, adopted in 1860, requiring the settle
ment of these bonds to be submitted to vote of
the people, has been decided to be void as repug-
nant to that clause in the constitution of the United
States which prohibits the impairment Of the obl-
CATION of contracts.
lature for final action through the decree of our
court of last resort and that able and impartial r
buna has affirmed not only that the power is
upon that body to provide for the adjustment of
these long dishonored bonds.
In view of the convictions heretofore repeatedly
expressed upon this subject need not here en-
large upon the weighty considerations involved in
the result now attainabe. In my judgment no
subject of SUPERIOR Importance has ever challenged
the attention of legislative body. u pon your
considerate action will depend direct material in
terests to the amount of about $4,OOO,OOO and
the final determination of a question that has
proved fruitful source Of embarrassment and
deeply involved the honor of our beloved State
My individual preference is that every dollar of
road bonds should be paid in full, principal and in
terest believe that no course short of this is
consistent with the honor and integrity of sover-
egn State far as relates to its own voluntary ac
tion But inasmuch as the holders of the bonds
have upon their own motion proposed an adjust
ment upon more favorable terms, an opportunity
tial payment, without any necessary compromise
of our good name.
This offer by the bondholders and the resulting
act OF adjustment based thereupon I regard as es-
sentially contract. The holders of these obliga-
tions submitted proposition which you accepted
by the passage of an act recitng the same and pro-
vidfng means for its performance. The supreme
court, while condemning the means thus provided,
has itself reached the end proposed by rendering
the decision upon which legislative settlement was
conditioned, SO that while the compact remains
binding upon both parties, its faithful performance
Is rendered more obligatory and the mode Of such
performance simpifed by the action of our highest
judicial authority.
Under these circumstances the duty of the legis-
lature seems to me obvious and imperative. The
reasons which induced the adjustment legislation at
the last session reinforced by considerations of
public policy and honor which cannot be mistaken.
What was then conditional and to some extent
matter of doubt and experiment, now rests upon
Both the power and the duty to provide for this
adjustment being lodged in the legislature, it
is the only question new involved And I cannot
believe that deliberatve body. to attain the ends
of justice, entered into contract involving solne
means of questionable legality. will fail in tho hon
orable performance of that coftract now that the
way has been made clear, easy and certain. deem
it unnecessary to reiterate the motives which should
mpel s pSen yen tofo $ s 2
bonds clearly on footing precisely similar
the great seal of the State signed by its executive,
and for the payment of which its faith and credit
solemnly pledged The legality of their issue s
as unquestioned as that of other State bonds, and
| their redemption devolves as surely upon the same
legislative authority. But If any Discrimination
could rightfuly be made between the several obli-
cations issued by the State it should clearly not be
against these bonds They were not issued through
hasty ill-consdered action, but after long and
exhaustive discussion before the legislature. the
people and by the public press. Their issue was
Sanctioned by the direct and overwhelming vote of
the people, and consummated under the solemn
| form of constitutional amendment. The issue of
carefully guarded and it may we'll be questioned
upon the State.
Chershing these views as to the just and valid ma:
ture of this Indebtedness, could not consistently
sanction its qualified settlement Gid ] not look upon
the proposition of the bondloders and the resulting
unfinished contract, the honorable completion of
which is demanded alike by sound policy and by
every consideration pertanne to the credit and
simply is whether we shall now save some 81, COO,-
| 900 to the State without loss of honor, incur
the reproach of reputation, keep going source
of constant annoyance and an opportunity for pc
litca jugglery, and in the end pay the debt in full
for it cannot be possible that intelligent and
victions can refuse tho final payment Of an honest
debt An individual who does this while able to
pay, justly incurs the of his honest ncghbors
| What must be thought of a prosperous State that
doesit, using its sovereignty as its Shield? ~ ~
The holders Of more than $4,000 600 OF the
whole issue of $2,275,00O have deposited their
d
written agreement to accept in new bonds or cash,
SO per cent, of the nominal amount of such sur
rendered bonds and coupons, in accordance yi;h
have demanded the return of their bonds
since the decision of the supreme court,
hs rsnns phna
the parties, the decision having affected only tie
means of performance, and that the bonds cannot
taken action in the matter. Others. while still
offering liberal concessions express their unwilling
to adhere to their original proposition in view
Of the decision of the supreme court and the marked
enhancement of the value of their bonds: but Mr..
Seah Chamberlain. the holder of about one-half of
these bonds. has adhered to his contract and re-
newed his proposition to accept SO per cent of the
| press condition that the adjustment be consuln
mated during the present year, and there Is reason
to believe that most Of the other bondholders will
adhere to similar terms of settlement if speedily
concluded. We have thus an opportunity to hon
arably settle this debt terms of rare hberaty
and it is because the soundest expediency and the
imperative demands of justice thus uuite to demand
prompt action that have felt it my duty to conven
you in extra session.
The act Of the last legislature. proposing an
amendment to the constitution devoting the pro-
ceeds of the internal improvement lands to the pay
ment of the adjustment bonds has been rendered
imperative by the decision of the supreme court
It will, therefore, be necessary to promptly read
just and enact its provisions to conform to the
action to be TAKEN in order to submit the pro-
posed amendment to the people at the approaching
general election. The average price realized thus
far for the lands sold is about 81 per acre, and the
fund from such sales already amounts to 100000.
In view Of the rapid settlement OF the country IS
believed that the total sum which will be finally re-
allied from the sale of these lands will
reach $4,OOO,OOO. sum nearly quite sutf-
the whs des w without re-
impression on your minds regarding the whole
amount due on these bonds, would say that by a
coupons draw interest we'll as the bonds to which
they are attached, and should interest be computed
in accordance with this decision the whole debt
would amount. on December l. 1881. to about
Ss, 200. 900, and, should the pending proposition
bo consummated, the saving to the State will thus
be about $4.OOO,0OO.
am fully persuaded it will never occur again. for
it cannot longer be expected that partial payment
will hereafter be accented by tho holders of these
in full and the verdict of its highest court assign
ing to the legislature the duty to provide for pay
ment. Unless, therefore, the pending settlement
bald choice between total payment and naked
reputation Dare We contemplate this final alter
native? What are all our fair possessions, what
the bountiful gifts of nature and the proud achieve
ment Of industry, if we preserve not our honor as
their crown and shield? OF what avail are the in
stitutons and the prosperity Of which we boast?
the stay and fullment conferred by love of justice
may bury us in their ruins. Like the brazen
trappings purchased by loss of virtue, the pros
Every bushe! of wheat and barrel Of -four We send
abroad will bear the ndelible brand Of repudiation.
In every reputable community, reference to what
should feed an honest pride will provoke jeeriue
reminders Of our disgrace. and the beautiful name
we bear will become synonym OF public dishonor.
Senators and representatives, without question
ing the sincerity of such of you differ from me
in Notwithstanding to each and all of you the
purity Of motive claim for myself am pro-
foundly impressed with the conviction that this
grave question cannot be safely postponed. and I
ask you by every consideration Of equity. public
policy and fair dealing, to give it your earnest at
tention.
For the enduring welfare of the fair
State We have chosen as our home:
Is we would Justly share in that national
der of the world; that we may deserve the reward
Of generous prosperity, and invoke the blessings
of Almighty God--1 entreat you Is = parting word
to perform simple act Of Justice which shall for
ever put at rest the haunting spectre Of repudia-
ton, and place our young common wealth irrevoca-
bly, in the sisterhood Of honorable States. =.
| -,.- J. 8. PuLBURY.
Clarke & McClures steam saw mill at Per
ham, capacity, $4,000 feet per day. was
burned last week. =:
The safe 0f the EmnirA 1;nnhor cOmDanv Of