Clarksville weekly chronicle. (Clarksville, Tenn.) 1873-1890, 1882-05-20
GOVERNOR HAWKINS MESSAGE ON THE
DEBT PROPOSITION.

islature on the proposition TO settle
the State debt at 60-3-4-5-6.
l have the honor to submit for
your consideration another volun-
tary proposition for settlement of
our Indebtedness, made under date
of April 10, 1882, by the committee
of bondholders of the State of Ten
nessee, through Mr.. Eugene Kelly,
chairman of the committee, in
behalf of the bOndholders whom
they represent and in their own be-
half, owning together, as | am ad-
Vised and believe, majority of the
outstanding bonds of the State,
which is as follows, to-wit: That
the unmatured bonds and the inter
est coupons thereof, up to and in
Guiding the coupons which fell due
and have matured, with interest, to
said first day of Jan. 1882, be capi-
| taliZed and
NEW COMPROMISE BONDS OF THE
STATE
to the amount of sixty per cent.
thereof be issued therefor, ten per
cent. of which shall be of the de-
nomination of $500 and the remain
der of the denomination of $1,000
each, said compromise bonds to bear
date Jan. l, 1882, and to be payable
either thirty or forty years after
date, at the option of the State,
with interest coupons at the rate of
four per cent. per annum, payable
semi-annually, in New York, for
the period of three years from date,
and at the rate of five per cent. per
annum, payable semi-annually, also
in New York, for further period
of five years from the last named
period at the rate of six per cent.
per annum, also payable semi-an-
nually in the city of New York,
until the maturity and payment of
said compromise bonds. The prin-
cipal of the outstanding bonds of
the State amounts to little over
TWENTY MILLION DOLLARS.
1t is humilating fact that the
| interest which has accrued thereon
since the first day of Jan. 1879, eX-
cept upon the bonds held by Mrs.
Polk and some educational institu-
tions, remains unpaid. The princi-
| pal and interest now due amount to
about $28, ,000,0 600; sixty per centum
| thereof will amount to $l6,S00,O 600.
| would most respectfully but earn
estly urge upon your consideration
the paramount importance of "A
prompt settlement of our indebted
ness, upon such terms as may be
| honorable to the State; and surely
no terms of settlement except such
as are satisfactory to cur creditors
can be regarded by ourselves, or by
the civilized world, as honorable to
the State. The fact that we have
so long failed to meet our public
obligations for the faithful perform
ance of which the
SACRED HONOR, FAITH AND CRED
IT OF THE STATE
have been repeatedly and most sol
emnly pledged, coupled with the
further fact that some of our people
openly advocate the reputation of
a large portion of these obligations,
has been most disastrous TO the best
interests Ofthe State. 1t has injured
our credit, public and private. at
home and abroad. 1t has impaired
confidence in our financial integrity;
it has paralyzed the industrial ener-
gies of the country, it has closed the
door against capital and immigra-
ton; it has stifled improvement
and development. Tennessee can
no longer afford to disregard her
most solemn obligations or trifie
with the rights of her creditors.
If she would restore confidence,
RE-EsTABLIsH PUBLIC AND PRI-
VATE CREDIT,
induce capital and immigration to
come within her borders if she |
would have her vast resources de- |
velOped and her waste places built |
up; if she would have her children
educated and her people become |
active, hopeful, thrifty and conten-
ted if she would enter the high |
way to prosperity, wealth and
grandeur which lies at her feet, she |
must meet her obligations in such a |
manner as becomes a proud State. |
/ have an unshaken confidence in |
the courage and integrity of the |
masses of the people of Tennessee.
They will never consent to see her |
sun go down behind the dark cloud |
of reputation, to rise no more. |
They are justly proud of her past |
history, and will never consent to |
forfeit her credit, viola her plight
ed faith, or sacrifice her honor,
FOR THE SAKE OF FEW PALTRY |
DOLLARS
or for any other consideration. l
most respectfully invite your atten-
ti0n to the suggestion contained in |
the communication which had the |
honor to submit to the forty-second |
General Assembly under the dates !
of February "a, and March II, 1881,
upon this subject. This communi-
cation has been delayed awaiting
the result of negotiations between |
your committee, recently appointed, |
and our creditors, report of which |
will be presented to your honorable |
body by said committee. AS l am |
at present advised the committee of |
the bOndhOlderS of the State of Ten |
nessee, hereinbefOre mentioned,
have, in behalf of themselves and
proposed, in conference with your |
committee, modification of the |
foregoing proposition by which they |
OACi W q uSACC OlIU oNNOPb HI odtioIaS-
ton of the
OUTSTANDING BONDED INDEBTED
NESS,
of the State and the interest due
thereon new compromise bonds to
the amount of sixty per cent. bear
ing interest at the rate of three per |
cent. per annum for two years from
date; four per cent. per annum for a
succeeding period of two years; five
per cent. per annum for another
period of two years, and at the rate
of six per cent. per annum, until
the maturity and payment of said
compromise bonds. Estimating
the amount of bonds to be issued in
settlement of the outstanding bond
ed Indebtedness of the State upon
the basis of sixty cents upon the
dollar at $16, SOC, 900, it will be seen
by calculation that by the terms
of settlement proposed by the COM
mittee of bondhOlders to your CON-
mittee the amount which the State
will be required to
PAY AS INTEREST
for eight years after the date of the
new bonds will be $168, 900 less than
she would be required to pay ac-