Staunton vindicator. [volume] (Staunton, Va.) 1860-1896, 1892-01-29


Difference per annum.s i'll ,667 81
Both these statements exclude the debt due
the United States, against which the State has
assets, and that due schools and colleges of
the State
COMMENTS THEREON FROM ANOTHER STAND
POINT.
Editorial in the Richmond Times OF JAN 10th
without denying the accuracy of the figures
used by Colonel Rut1in touching the debt, we
will, for an argument, take the amount as set
forth i'll the act of February IA, 1652-the Rid
dleberger bill-in which the debt was placed
at S2l ,O35,S17 10. This bill provided further
| for the funding OF all taX-receivable coupons
at par Cat least that was the decision of the
| couTt), and such coupons maturing after the
passage OF tie act were actually funded until
, the passage OF a repeating act in August 1854.
Section II OF the Riddieberger act further
provided as follows: I'm the year 1890 and
annually thereafter until all the bonds issued
by authority OF this act are paid, there shall
he set apart, of the revenue collected from
the property OF the State each year, 2A per
cent. upon the bonds at the time outstanding,
which shall be paid into the treasury to the
credit OF the sinking fund.-" &c. We have
then upon the face OF this act (and the sink
ing fund Is as much an obligation of the State
as the payment OF interest) per cent interest
on 81 100000, which is $3.50, 000-to which add
! ~ per cent: sinking fund, amounting to
S412 800, making total annual charge to the
State of 81 ,102, 800.
This would be the amount annually to be
provided now for the debt under the Riddle
| berger settlement, and it is the present, not
| the future, taxation which concerns and
troubles our people. We are not distressedb by
the gradual payment Of debt through long
period of time, when the prosperity of the
State will have increased. According to Col
onel Rufns statement the annual charge
now under the OlcOtt settlement is 1852, 437 p
Add to this after ten years $3.50, 600 and we
have S152, 437.72, and if 10 this be added the
| sinking fund of "a Per cent. upon ST; 900, 900
kiddleberger bonos, we have Sl35,0O0 more
or 1887 .437 ~. This constitutes the extreme
| limit that could be required under the Olcott
settlement, when'ali the bonds are bearing
three per cent. as against 81, 1O2 500 under the
Riddleberger settlement. If, however, it
should be determined that sinking fund, say
OF one-fourth pc. cent. per annum should be
added some twenty years hence, by which
time the Sc, 600, 600 of Riddlebrger bonds would
have been entirely paid, we would have
| charge OF three per cent. on $4,000, 600, or
$4,000, to which add a sinking fund of one
fourth per cent, OF SAT 800, making a total Of
s617, 800.
;. We have taken what we believe to be the
extreme views in both cases, and have assum-
ed that the full and fair intendment of the
Riddleberger act would be carried out; but
conceding to the State all question OF funding
coupons at par, it will be readily seen that
in the matter of annual charge the Olcott set
Element is better for the State than the Rid
| dleberger settlement
THE STATES ABILITY TO PAY THE INTE REST
UNDER THE NEW SETTLEMENT.
From Il. b. Munford speech iu the House Jan.
10th.
| Can the State under her present taxation
meet the interest accluing on the Olcott set
Element. The Governors message shows that
on the basis of the assessment of 1890 there
will be sos 053. 30 surplus to be applied to the
interest charge of S562 49, which would leave
deficit OF ;S39,3 bit have statement
from the Auditor by which it appears that the
assessment for 1891 will bring an increased
revenue of over S75,n0, $4,000 coming from
the railroads alone. 1t will be thus seen that
we may reasonably expect that our current
revenues will be ample to meet the accruing
interest during the next ten years. But in
addition to the current receipts we have now
in bank cash surplus as of October l. 1891
the end OF the last fiscal year, SG44, 4S1 80 and
, in the hands of the Sinking Fund Commits
soners, subject to our order, 1892, l05 Is
which abundantly provides against any fail
ure on the part OF the State to promptly meet
the interest accruing on our debt when funded
under the Olcott settlement