The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1891-11-25

pose of completing the consolidation. 1t will be nee
eSSary for the Legislature to appropriate the sum Of
$500 TO pay this loan kindly made to the State with
out interest.
beg leave to cnll Jour attention, and that Of the
Legislature especially, 10 the iact that the State owes
II large floating debt. estinIted 1T $2Tl, 80 OF Of I"st
due interest alone. besides unpaid appropriations rs
set forth above. and Ia the further Tact that the So
called "treusury reserve fund is practically a myth,
representing for the most part debts and not credits oil
the State. The sinking fund portion Of what consti-
tuted the original treasury reserve fund. amounting
To SiG.53I Is, when the Act WAS passed in lSSG, has
since been expended. as | understand, under laws
governing the sinking fund in payment Of warrants
drawn against il by the board of commissioners OF the
sinking fund. The direct tux fund portion under Act
of ISM, amounting originally to S39.2ii 30, (the
amount received from CUngress,) hes been reduced To
S!S,4j3 u by payments upon the warrants oil the
Governor to parties 10 whom it belonged Under the
law.
The interest on the unfunded bonds has been re-
duced gradually as the funding in Brown cons"ls pro-
crossed, Ia 1872, 1913 d, as estimated. But II should be
borne In mind that these urc in q sense debts the State
owes, aud do not constitute q iund practically held III
reserve In the State treasury.
The only available way to create n reserve fund Is to
raise actual money by taxation or by the sale OF
State securities and then hold it IN reserve for the
special purposes for which II was created; a reserve
fund is realty uceded to meet the large floating debt
Oi the State, CONFUSED principally Of past due but uh-
called for interest. and interest TN unfundrd bonds, es-
timated to he $2Il, 500 Of, besides unpaid nppropria-
llOHS. IL WOulu perhaps DclleT SuIiSll lit pS"plo VI
the State If the Legislature would have this reserve
fund investigated by u competent committee.
1t is surprising that the consolidation does not pro.
gress more rapidly and that the past due interest mas
not been called for. Some OF II may never be called
for. However,, q demand is liable to be made upon
the treasury ut any time for this money, and yet u
has been the policy of the Legislature to ignore the
danger and raise barely enough money to meet the
current expenses Of the State, and depend upon bor-
rowing To meet any such emergency. l feel 1t my
duty TO respectfully submit that this is not the wisest
policy, especially ut this time when 40 large o part of
the State debt Is nearing maturity, and when II Is
more than ever incumbent upOu the state to see that
her treasury is provided with ample funds to pay
promptly any just claims against her.
REFuNDING OF THE coSsoLs UNDER THE ACTS OF
1859 AND 1890.
l complied with Instructions given me in the Act,
aad had proper notices inserted In newspapers. l OIL
so had C irculars and copies OF the Act printed and no.
tice given that they could be had upon application by
parties desiring information, and have sent out q large
number Of copies. Copies of the circulars and no.
ticcs are furnished with this report. l also had pre-
pared with much care the necessary books In which
TO record all transactions under the Refundins Act and
duplicates Of these books for the offices OF the Gov
crnor and Secretary Of the State. An agreement was
entered into with the American Bank Note Company
to furnish the necessary plates and to engraVe the
bonds and stock certificates as needed. have order
ed and paid for only three hundred one thousand-dol-
lar bonds, three hundred five hundred-dollar bonds
and two hundred and fifty stock certificates, reserving
orders for q further supply as may be required from
time to time rs refunding progresses.
Until July, 1892, the office is restricted to the sys-
tenn Of exchanging the new 4 per cents for the Brown
consols.
But little progress has been made in exchanging.
Only $29,305 70 Of new 4 per cent have been eXchanS-
ed for an equal amount of Brown cOnsOls. Under the
rigid req uirenents of the Act | am afraid not many
exchanges will be effected. Propositions were made
which, II authority had been given Inc 10 accept,
might have resulted In exchanging one million VI
these bonds by this time.
! am not seeking responsibility, but ! respectfully
submit that perhaps o wider discretion should be CIV
en- to the Governor and Treasurer than Is allowed In
the Act as 1t stands. In the possible event OF the
holders of the Brown consols declining to make q vol
untury exchange for the new 4 per cents such provis.
ion should be made rs will insure the sale OF the 4
per cents, in'order that the proceeds thereof may be
appl led to the redemption Of the consols ut maturity
in July, 1893.
An appropriation of funds should also be made for
the payment of the difference Of 2 per cent In inter-
est required in the Act.
CLEMSON REQUEST.
The variety, character and condition Of the assets
of this bequest give the treasurer and his assistants
much trouble, and increases very greatly his respon-
sibility. The State Treasurer has virtually been
made an executor in this case and responsible for the
management Of an estate, some OF the securities OF
which are payable in another State, and some are
against parties in different counties in this State, Sc.
cured by mortgages on property, concerning which l
know nothing of own knowledge. See table No. 8 for
detailed statement,
/ have given notice to all parties against whom
claims are past due to settle by November I, or the
claims will be placed in the hands of the Attorney
General for collection, my intention being to invest
all the funds in State securieties.
respectfully ask that the Legislature will author
ize the speedy conversion of all notes, etc. into cash
the investment Of this into O piece Of scrip such as
the land script.
Y.Np cCpIpr
The requirements under Actof 1889, No. 100, In re-
gard to the land scrip have carried out because the
board of trustees Of the University Of South Carroll
m. to whom the scrip was issued, have not been able
to produce 1t for cancellation. Consequently the
State Treasurer could not issue the new script In lien
thereof to the trustees Of the University and the trus-
tees of Clemson College. This office holds the re-
CENT of ". D.. Simpson, president Of the trustees Of
the University Of South Carolina, for this missing
scrip.
If it is impossible to find this scrip, rs seems to be
the case, it might be well for the Legislature never
theless TO authorize the issue OF scrip to the two
boards of trustees respectively and ct the same time
paovide for converting the Clemson bequest into SINH
lar scrip.
PRIVILEGE TAX.
The collection of the privilege tax on fertilizers
was imposed upon this office by Act Of December,
1880. Table No. 6 exhibits the amount collected by
amount collected by department of agriculture. Col
lections for this fiscal year exceeded those Of 1sS9.9O
by $l4,249 %,
EscuEATED ESTATE T. sTEcr BURTON.
n, J,,,or1 10 1901 T recpiyed from A. W Jones.