Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1890-03-15
Wa OF 1912.
A Report That i Interesting TO Nlr-
ginia.

4 report iNht Il ihttIfhilHk I" W
ginia.
From Our Regular Corrcsponiontl
W4.aiSsqov. March 14.-1ho report ac-
o.rrsrVue thc Senate lill directing the
Secretary n the Treasury 20 examine and
settle the accounts of certain States grow
,lt out e money expended toy inc STATE
fr military purposes during thc war Of
f-f2 includes statements of decided inter
et to Virginia, from which the following
i- taken:
During the War of 1912 ~ the States Of
Massachusetts,. New York. iennsylyania.
Delaware, Maryland. Virginia. South Caro-
10. and the city e Baltimore expended
r.rtgrn moneys for military purposes.
Whether wisely or unWscly, after many
y,qr. the uitcd States treated the sums
thus expended AS advanced 10 ar spent
f.r fhc hcueht of The national G9ycrn-
u.ut. and therefore debit PAYABLE with
interest. and accordingly made refund,
with interest. Tho rule hy which the inter
t.t Was calculated was 90 compute interest
on the sum advanced bY the state IRON
fIs date oi the advance % the time
sc flc refund hy thn United Statcs,
Duct the tum refunded from the
SUM advanced, and then compute IN
t.r,.t on tho remainder, and 50 on
anti the iiual payment of the principal.
lr other words, thc pavmcut were applied,
first. I'D the discharge of tine principal,
aul. the principal being eTtlnemShed. then
p, thn payment Of accumulated interest.
A-air.t tins mode of computing interest
tic States formally protested (Seuate Docu-
l,.ut. second session, lwcuty-sccond Con
gross. l.a2 $50. alleging that, IN elect, II
,.-a refusal upuu thc part of the United
l,'ate- % refund the whole amount boz
rlwyi.
Bt act Of March 3, 1857, Congress d.
rooted "a determination and rcadJustncnt
u the account Of Maryland, and declared
ft.t In tle calculation of interest the tol-
.Wiug rules should be observed wit:
Interest shall hc calculated up 10 the
time Of ANY payment made. To this in
f.rc.t the uaymcut shall be- first applied,
nrdlffexcesdsthc interest due the balance
shall bo applied % diminish the principal A.;
d the payment falls short of the interest,
tlr balance % interest shall not Toe added
to IN, principal .o as 10 produce interest.
= Interest shall boz allowed on such sums
only on which the State either pad inter
.-t or lost interest br the transfer OF an
-utorO stbcaTuE fund.
Iho committee in their report further
..r regarding "a former Mandate of Con-
l.-s:
lu obedience 10 the mandate of tins act
Oh. Secretary of the Treasury reported at
tl. next session Of Congress (see TX. Docs.
s.r1nd session Ihirty-hith Congress, Vol.
l that claims had been made. computing
interest down o. date, amounting 10
4. .5,.. 52l.G9. as follows; South Carolina,
,ll. 80 90; Virginia. Sl,07G,6s33j; Della
ware. SlS.540.1. New York, ciS, S96.2l
Iruusvlyania. S2ls. 507.U; city Of Balti-
more. -53.6G2.55. Al the same time he t.
ported the following amounts due a. prin-
.u,al o. said Nttte-hnd TO sad city: south
Carolina. S7s.aGG.4l. Virginia, . "a O69.oO;
Delaware. SG,9Al9J. New York, c27,30LSl !;
P,nnsvlvnnia. 1,ill.l9; Tie city az Balti-
more, .Ol,.aj.
It i- admitted that the amount stated IN
the report a. principal due Virginia ~ an
csrcgi0us error, us tho amount claimed by
the State TO be approximately correct Is
i.2l2.
The main proposition Of the hill is 10 re-
open the accounts with these States and
t.o city of baltimore. and 20 reimburse
.em these advances, with interest calcu-
Iatei upon the principal adopted IN the
.,ft.emcut with Maryland, Alabama. and
Massachusetts,.
Nu other states have unsettled accounts
with tine Government Of the United States.
the committee Is advised. for advances
Or expenditures during the War OF 1872.