The Daily times. [volume] (Richmond, Va.) 1886-1889, 1886-12-08
The Virginia State Debt.

To the People Of Virginia:
At a meeting of Virginia Bondholders, con
vened by the Council of Foreign Bondholders,
and held on Friday, the 2ith OF september.
1886 at the Cannon street Hotel, London,
the following resolutions were passed unanf
mOusly:
THAT this meeting deplOres the long contest
into which the bOndhOders have been forced
for the maintenance OF their rights, and, while
asserting its steadfast determination not to ae-
cept the Riddlcbcrger settlement, which, 10
view of the admitted ability OF virginia TO set
tie with her creditors, and the sacrifices they
have already made on her behalf, III considers
dishonest and unjust, hereby expresses It's
willingness to meet the state ana entertain
reasonable compromise based upon the pres
ent taxation and the available revenue, after
providing for the Constitutions appropriation
for government, schools and other public ex-
penditure."
The state had the benefit of the whole Of the
money she originally borrowed (SN 100000. Ii
laid the foundation of her roads railways, ana
canals, and has brought millions OF dollars
into the country Had you not constructed
these public works with the bOndholders'
money you would have TO be taxed now for
them.
No State which borrowed money ever en-
! iOycd the benefit OF its loans more than Nr-
ginia has done. See Senate Document XIV
Session, lSl1-Vo.
The present unsettled condition Of the debt
| IS keeping capital and immigration out OF Vir-
ginia, and as long as matters so continue you
will never develop the splendid resources OF
the State in the way they deserve.
The revenue OF Virginia is increasing. The
last assessment shows an increase OF S55,W0,-
00O in taxable values. Your present revenue
might be largely increased II the taxes were
more carefully collected and the present as.
sessments on property equalized throughout
the State.
What might have been difficult TO do few
wears ago is easy now, and each year the bur
den will become lighter. When the debt ques-
ton is settled capital and enterprise, which
now holds alOOf will flow into the state.
The settlement offered by the bondholdcrs
proposes that the bonds now in existence bear
ing tax-recciyable coupons should be deposlteC
i'm some trust company; that new bonds shOulo
be issued lin their place, bearing no tax-receiy-
able coupons, and at low rate or interest,"
When the State pays IA haf-year's interest on
the new bonds, the taX-reccivable coupons for
that half-year shall be cut on the old bonds Oy
the trust company cancelled, ana delivered 10
the State. Any increase on the present rcvo-
nue. will be appropriated by the state, and
the bondhOlders viii not have any claim on 10.
There was a cash balance last July I'm the
Treasury of $73I, 900, and the average purchase
of Riddleberger 3's by the State has been at
the rate OF 100000 per annun in cash. The
State has some millions Of dollars Of assets
which would help her in arranging settle
ment
The bondholders are as deeply interested a.
you are in maintaining the credit and prosper
ity OF Your State. They ask for fair hearing
and a discussion of the question by business
men, and not by politicians, whose interest It
is 10 prevent an understanding being arrived
at and an honorable compromise made.
The best way Of bringing about this settle
ment is for taxpayers TO tender coupons IN
payment Of their taxes. In view OF the CON
ciliatOry spirit and liberal offer made by the
creditors / venture respectfully 10 submit 70
yOu that il is your moral duty, as well as your
legal right and privilege, to tender coupons for
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