The Morristown gazette. [volume] (Morristown, Tenn.) 1867-1920, 1881-03-30
THE CREDITORS NEW OF
FER.
An Estimate of the Taxation
Needed to Pay 3 Per Cent.
Interest on $27,OOO,OOO and
Run the State Government.
From the Americana

Interest on S27 ,OOO,OOO AM
Run the State Government.
From the American.l
BY the last Comptroller's report
the entire amount of valuation o
personal and real estate property 0
Tennessee amounted to S211, 768,
438 In 1873 this valuation wa
$308,097, 1873. Are we any poore.
than in 1873 =? In 1874 the valua
ton was $3.50, 533, sos. Are we neal
rs poor as in 1874? The truth is
the State of Tennessee and her PEG
pie are to-day richer and more pros
porous than at any time since Jan
/, 1861.
But let US see what changes have
taken place, not only since 1873 but
in the last two years. In two years
the city of Memphis has been placed
in position as to health and posi-
BILE future financial soundness, she
has never in many years possessed.
1t is true that large quantities OF
cotton were lost in the fields from
wet weather, but without that a
large crop was saved Middle Ten
nessee wheat has brought good
prices and not in many years have
stock sold so well. The same viii
apply to farming in East Tennessee.
In the iron industry one large
furnace has been started in East
Tennessee, two small ones built, and
another in course of construction.
These will add, directly and indi-
rectly, at least 100000 to the tax
able property of the State. All
these enterprises give employment
to men, who, with their families
are not producers but consumers Of
the farmers products. They are
but an item of what will be built
and operated in the State if the
State debt is settled at the bond
holders proposition. 1t is directly
the interest of every man who owns
an acre of coal land or a ton of iron
ore to have the State debt settled,
and is equally the interest of every
farmer who has anything to sell,
cotton, corn. wheat, hogs, mules or
vegetables, that capital should come
in and work our mines of iron and
coal, build furnaces to work up both, |
and factories to make cloth for the !
labOrers to wear. This capital will
come, only if the stain of repudia-
ton is cast from us, and we honest
ly agree to pay our debt and stand |
by the agreement.
Again, in the last two years, the
Cincinnati Southern Railroad has
been completed, adding greatly to
the value of property in Scott, Nor
gan, Roane, Rhea and Hamilton
counties. Land in Scott and Nor |.
gan, which was dear at a few cents
per acre few years ago is now
worth 50, SO and SIS per acre. The
McMinnville road has been extend
ed the Duck River Valley road in
large part constructed the Tennes-
see and North Carolina road nearly
finished, and all our roadsvastly i'm
proved. They all add to the value
of the taxable property of the State.
Yet it is claimed that the State is
not able to pay a tax of 40 cents on
the 800 valuation, which she did
for 1873, 1874, 1875 and 1876, during
one of the most trying periods in the
history of the American nation, and
that paid, too, on a valuation of
property from fifty to ninety five
million dollars more than the pres
ent total
The net current expenses of the
State government per annum for the
past two years have been 500, 945.
There are outstanding warrants
to S112, 109.80, much the
largest part of which were issued
previous to 1876. These should be
made payable in bonds at 3 per
cent, the same as the other debt,
and be no longer a tax on the treas
ury. There was on December 10, /
1873, an unexpended balance on the
ComptroHer's book of S9456S.44.
Fund the warrants above named in
bonds and deduct this from amount
in treasurer's hand, and we have a
net surplus in the treasury of 1927
$685.. This represents the sum
that the present rate Of taxation
raises over and above the necessary
expenses of running the State gov :
therefore, we need add to
he present rate of taxation only so
nuch as will raise a sum that, with
he 1927, $685., will make the
necessary to pay the inter- l
,st on the bonds.
The railroads now pay only 81
1868 it is stated that they arc
Wiling to pay 100000 if the State
lebt is compromised on the basis
This would be fair
for them, as at forty
ents on their whole capital stock
nd bonded debt the amount would
'e S144, 900, and in all fairness they
hould not be taxed pro rata more d
han real estate, for as is we'll known :
he stocks of none of them are aetu-
lly worth the face value. Then, if
We make the tax on real and per-
onal estate 80 cents on the 500
and increase the tax from
ther sources in the sum of 100000
re ahall have
income over State
government expenses. >. 1927, 955
rom the RAILROADS.&C.. :. 100000
rom S211 ,768, 489 Of real (
and personal estate at