The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1891-12-03
The STATIC Debit.

We publis b elsewhere the final
statement of the advisory commission
entrusted with the settlement of the
from it that the agreement entered into
at Richmond, between the representa~
tiyes Of the creditors and the State, the
terms of which we published last week,
has been approved and ratified by the
Advisory Board, and it's acceptance rec
commended to the foreign creditors.
The basis of the settlement is sub
stantially and practically that fornu-
lated in the Riddleberger Bill. While
we have never approved that measure
as whole, there can be no question
with those familiar with the debt CUES
ton, that it states the indebtedness OF
the State correctly, or as nearly SO as 1t
is possiDle to get at it. The objection
we had and have to it, is that 1t IS o
measure of reputation as to the inter
est. The original contract with the
creditors was for 6 per cent. interest,"
and the difference between THAI and 3
Der cent. provided for in the Riddleberger
Bill and Che agreement proposed by the
commission, is palpable, inexcusable
reputation The State could easily
pay per cent on %2S, 000,000- which is
the full anionnt of the principal of thedebt
as reported, including the seven OF eight
million dollars funded under the Riddle
berger Bill and the various other issues
and evidences of debt which the commits
| sion assumes to represent. 1t would De
far better for Virginia, and for every in
terest Of the State, to assume to pay q
per cent. than to make false plea OF
poverty, as an excuse for per cent.
With economy and ordinary sagacity
manifested in the management OF the
finances of the Comm onwealth, and an
honest effort put forth to pay what we
owe, there would be no difficulty in cons
summating the end.
But as parties representing both sides
of the question haze agreed upon the
plan and terms contained in the settles
nent, it ought to be accepted as q final
disposition of the matter. Certainly the
State should not raise a question about
it, unless it would be to divorce herself
from the repudiating feature of it, for
we regard it as exceedingly favorable to
Virginia, and easily within her ability
to pay. And the creditors will make d
capital mistake if they do not accept, in
view of the feeling among the people
and the point of desperation they have
reached on the subject, by reason of the
incessant worry and contention which
have been associated with this issue for
the past twenty years.
If this agreement should not be ac-
cepted, and the question again thrust
before the people, the result would be,
in all probability, an attempt to repudi-
ate the entire obligation. Whether a
direct measure of reputation would be
enacted or not, there would be legisla-
ton enacted which would have the
same effect. The rate of taxation would
be reduced, subjects of taxation would
be eliminated from the taxsiist and the
revenues reduced to the point of sim
I ply providing resources for the support
of the State government, and nothing
more. That would be the outcome of
refusal to confirm the agreement
either by the State or the creditors.
Virginia has suffered UNNECESSARILY
from the contention over the debt. 1t
has cost her more since 1871 than the
whole debt amounts to. 1t has depre-
ciated values; kept out capital and en-
| terprise, and thrown doubt and distrust
on every public and private interest.
Ithas arrested and dwarfed development;
inhibited investment in industrial lines,
and in all the forms that misfortune
| could come, affecting her material inter
ests, they have appeared in greater or
less degree, to demonstrate that it has
been more costly not to pay than it
would have been to have met the just
obligations of the State nianfully and
promptly. If, therefore, the creditors
are willing to accept the terms of the
agreement. he question should be
closed, and the whole ycxed matter dis
stain upon the State, which we fear will
not be removed, to public satisfaction,
even by this mutual agreement. But as
it is the best that can be done, it would
be wise not to reject it, and open the
question again for the sport of dema-
gogues and the football Of political par
/ ties