Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1881-01-08
THE STATE RAILROAD BONDS.


The remarks of Gov. Pillsbury in his
biennial message relative to the old rail-
road bonds of the State issued in 1857 can
be briefly condensed. The bonds were
authorized at time when the future was
bright with promise for the State, but
were not issued until after the crash of
1857 had plunged the whole country into
ruin. The State has enjoyed the benefit
of the railrord system inaugurated
by the companies and proseecut-
ed by their successors and as
signs, yet the State has paid
no interest upon the bonds, and has prac-
tically repudiated the principal, by pro-
viding that no payment on their account
shall be made unless first approved by a
majority of the votes cast at some general
election. Though repeated efforts to
procure that sanction have been made,
they have proved futile, and there is little
hope for contrary verdict at the next
general election, the last that will be
held before the maturity of the bonds.
The facts, barely stated, are sufficient
ly humiliating to all honorable men with
out additional comment. Minnesota
stands almost alone among the Northern
States as refusing to honor her just and
legal obligations. The bonds were issued
under authority of law; they we're repu-
dated by the first Republican legislature
that assembled after their issue. To the
companies that accepted the bonds
the State is indebted for her
present magnificent system of railways
that penetrate every section OF the State,
attracting immigration, affording the
producers convenient market for the
products of their farms, stimulating me-
chanical and manufacturing industry,
and causing the wilderness to blossom as
the rose There is neither justice nor law
on the side of the State, yet it may be able,
by pleading its soveignty and exemption
from legal process, to defraud its credit
ors out of both the principal and interest
of the bonds.
Judging by the temper manifested by
the present legislature, the people will
have another opportunity to vote on the
question of the payment of these bonds
next fall 1t is understood that the
bondholders are willing to accept in pay
ment portion of the swamp and over
flowed land belonging to the State that are
now unproductive, and will continue to
be so for many years to come. All the
bonds can be taken up in this manner
without adding cent to the taxation OF
the State. When so easy method of
blotting out debt and at the same time
relieving the State from the stigma OF re-
pudiation is presented, it seems incredi-
BILE that there should be any hesitancy on
the part of the people in accepting the
compromise proposed.
The Democratic party of the State has
no concern in this matter except so far as
it values the credit of the State. Repubi
iation was the work of the Republicans,
and ever since the dishonorable act the
State has been in absolute control, i'll
every department, of the Republican par
ty. That party, therefore, is alone re-
sponsible for the stain of reputation
which has for SO many years been re-
proach to every resident Of the State.
Yet the Republican party dare not make
an issue of the payment of this
just debt With few exceptions the
leaders of the party dodge an expression
of opinion on it, while the newspapers do
the same thing. 1t is to hoped,
however, that when the time comes to
vote on the question the Democrats will
unite with the honest Republicans for the
purpose of lifting the debt and the dis
grace from the State.