Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1890-01-12
ANXIOUS TO SETTLE.
DoNpHclpERs THINK ANOTHER CON-
FERENCE MIGHT BE EFFECTIVE
usvsrnsr Mckinney ravon Standing By
he Riddieberecr Biu and Only Ac-
csptans Complete settlement.

he niddleberser siu and Only Ac-
csptins Complete settlement.
-------~---------
Governor Mckinney yesterday sent to
the General Assembly the following COM
mun;cation, which was read in both houses
and ordered to DO printed and referred TO
the two Finance Committees,
COMMONWEALTH OF VIRGINIA,
GovKHSoR's orrIcE.
RIcHxoSp, Va. January III, le~'
10 Ge General Assembly;
have the honor 10 transmit to you let.
ter from Mr.. John Lubbock, chairman OK
che Council aud the Committee OF the
FOREIGN Bondholdcrs in London, bearing
date December %, 1889, and addressed to
the Governor Of Virginia The letter OK.
presses the hope that tho Governor whi
take an carly opportunity 70 bring 70 tne
notice Of the Legislature the earnest &C.
aire of the bondholdcrs 10 put an end TO
The protracted contest between them and
the State. and alleges that the points In
divergence upon which the negotiations IN
1857 failed are not so great as to preclude q
hope that the question at issue may DC al
justed, etc., etc.
The communication expresses the desire
that in order TO preclude the possibility OF
Q similar miscarriage to that OF 1857 before
formal negotiations are reopencd pre-
liminaYy understanding shall be arrived at
a. 10 the general principles that shou
govern such deliberations.
COMMISSION PROPOSED.
II suggests that accredited representa-
tiyes OF the State TO carry out and conclude
matters nj issue be sent 10 London. but II
Il should not be deemed practicable to
meet this suggestion then the Council anC
Committee OF the Foreign Bondholders
would be prepared TO send commission
20 Richmond. Va, with full power to con-
olude an equitable compromise.
Mr.. Lubbock assures US in the mean time
of sincere desire on the part OF the coun-
Gil and committee to cooperate in bringing
about an early and equitable adjustment
which may afford permanent settlement
acceptable TO all parties. He says that we
NAV with perfect confidence rely that any
agreement made by the State with the
council and committee would be perfna-
nent settlement so far as the bondholders
are concerned.
WHAT THE GoyERNoE THINKS.
deem IL proper to say TO the General
Assembly that / would be greatly gratlfed
II the question Of the public debt OF Viz
rinia could be settled in such a manner as
10 satisfy all parties and retire it from the
courts. from the legislative halls, and from
the politics of the State. From my know
Ledge of the financial condition of the
people of Virginia and the action they have
heretofore taken upon this subject 1t is
clear 70 me that we are not able TO offer TO
our bondholdcrs more liberal settlement
than that embodied in the settlement
known as the Riddleberger bill, and that
any considerable departure from the pro-
visions of that bill would be contrary TO
the expressed will of the people and to the
pledges made to them 10y the party IN
power. a.,
see no good reason why we should send
a commissioner TO the city of London to
confer with the bondholders. We have Of
fered them under the Rjddleberger bill
terms as libcral as the financial condition OF
the State will allow. That bill has been ap
proved repeatedly by each political party
In the State in the conventions and fati-
fed by the people at the polls
EXPENSES AND REVENUE.
The annual expenses of the State gov
eminent are now larger than at the time of
the passage Of that bill. having been made
30 by increased annual appropriations to
the lunatic nsylums. rendered necessary by
the distressing increase OF lunacy: by the
increased criminal expenses caused 10y the
unfortunate increase OF crime; by the
adoption of pension law to afford some
the widows of those who lost their lives In
the late war; by the appropriations to the
Female Normal School at Farmville, the
Colored Normal School at Petersburg. the
Free school in connection with William
and Mary College, and the Soldiers Home
since then: and whilst our annual ex-
penses have increased our resources
have diminished materially. The decision
of the Supreme Court in regard to licenses
required of sample merchants cut of some
$4,000 annually. and the sum derived from
merchants licenses has largely diminished,
the farming interest having been de-
pressed for several years. and consequently
diminishing the volume of business done
by the merchants by which their licenses
are regulated. We are not therefore III as
favorable q condition now as then to ofer
more liberal terms &c our creditors, and if
all the bondholders were to accept its pro-
visions il would necessltate an increase IN
the rate of taxation unless assessments
this year show considerable increase in
the value of taxable property, or unless
We can find new subjects Of taxation.
STAND BY THE RIDpLEBEIGER BILL.
would advise that we stand by the Rid
dleberger bill and amendments. But il
the bondhOlders propose different terms
not materially increasing the principal or
interest as ascertained 10y that bill, and 1t
would be well to require as an indispensa-
bic condition of considering any such pro-
position that il should embrace a bona tide
tender OF so large q proportion OF the
consol and 10-40 bonds as TO guarantee
settlement of the whole debt If 1t should
be accepted.
beg leave to submit the letter herewith
TO the General Assembly for such action as
its wisdom and discretion may dictate.
y. w. MCKINNEY. Governor.
THE BoSDuoLDrRs' LETTER.
The following is the full text of the let
tor referred TO. which was also read:
COUNCIL OF FOREIGN BoNDnoLDERs,
IL MoNoATE STREET,
LONDON. +. c., December %, 1889. J
Sir,-On behalf of the Council Of For
eign Bobdholders, and of the English Com
mittee of Virginia Bondholders acting
with them. beg TO offer the congratula-
tons of the council and committe TO your
Excellency on your accession to the highest
Office in the State of Virginia, and IN doing
80 I would venture 10 bring 10 your Excel
lency's attention the long-pending ques-
ton of the Virginia State debt. which. no
doubt, has already been matter of your
careful and anxious consideration, and
which, l trust, under your Excellency's
auspices. may be brought to conclusion
satisfactory alike to the State and the
OouQuOlutTc.
venture to think that the question Is
one of the most important matters which
can affect the prosperity OF the State OF
Virginia. and that permanent and salts
factory settlement of il would render your
Excelienoy's term OF Office notable in the
annals Of the Commonwealth.
ANXIOUS TO SETTLE.
The council and committee trust that
your Excellepcy will take an early oppor-
funity Of bringing under the notice OF the
State Legislature their earnest desire 10
put al end to the protracted contest which
has proved so detrimental to the interests
Of the people of Virginia as well as 10
those Of the bondholders.
The points in divergence on which the
negotiation in 1887 failed are moi 50 great
o. TO preclude, as the council ventures to
hope, the adjustment of the questions at
Issue, especially bearing in view the in
crease In taxable values and the conse-
ouept increase of available revenue.
Bearing in mind. however, that failure,
your Excellency viii agree with me it is
highly desirable in order to preclude the
possibility Of similar miscarriage that
before q formal negotiation il reOpened,