Mississippi leader. (Jackson, Miss.) 1892-1895, 1894-07-10
SPECIAL STATE WARRANTS.
Auditor stone Tells How they VIII be
Circulated

tfftuttttu.
In late interview with the Clarion
Ledger on the subject of the new State
warrants now being issued, Auditor
Stone said 1:
THE semi-annual distribution of the
common school fund now being made
has demonstrated want of apprecla-
ton on the part of county officials and
the people generally of the States fis-
cal condition" Continuing he said:
The last session of the Legislature,
realizing that the large appropriation
on account of the common school fund,
which was raised from $4,000 in 1891,
to SOB, $500, as at present, provided for
the issuance of special warrants bear
ing three per cent. interest, redeem
able at the treasury the first day of
January, 1896, but receivable for all
dues to the State at any time. 1t was
understood and directed that as occa-
sion made it necessary these warrants
should be issued aud used by the Au-
ditor in lieu of the ordinary pay war
rant upon the Treasurer to pay any
and all debts due by the State to any
and all its creditors, at such time as
exigencies of the treasury rendered
such step necessary. In order to be
prepared for emergencies, / took
prompt steps to provide for the MAX
ing and delivery of the special war
rants provided for in the act and found
no resposible bank note makers would
agree to deliver any of the warrants
earlier than June 18th. Even at this
date only $4,000 of the warrants have
been received. This is delaying the
distribution of the school fund.
about the first of June it was dis
covered that the Treasurer only had of
available funds about $4,000 In es-
timating the amount of the distribu-
tive school fund due to be made in
June, it was ascertained that after Civ
ing the State credit for the poll taxes
collected and retained in the counties,
there would be due this fund about
$4,000. In view of this fact and the
| further fact that the support of the
State government, its institutions, asy-
lums, colleges, schools, judiciary and
executive departments, as well as the
ChickaSaw school fund interest, would
all have to be provided for and main
tanned during the remaing half of the
year, there not having been drawn
more than half of the appropriations
IOI Jut year ICJt, Jlt Vi Jut
States fiscal affairs became very Sc
rious. and that it would require not
only the cash in hand but all of the
$4,000 special warrants to meet the
demands on the treasury until taxes
commence to come in again, which will
not be before December next, as the
receipts into the treasury for the last
half of the year are almost nominal"
"After consulting with the Governor
and State Treasurer. it was not deemed
advisable to denude the treasury of all
its cash, hence it was considered best
to pay all amounts due hereafter, on
all accounts and of every character,
one-half in cash, and one half in spec
ial warrants. Not having cash enough
to pay the school fund, the placing of
this rule in effect was necessitated for
that purpose. A great many COM
plants are being made to me that the
warrants are being deprecated, all of
which is very regretable, but entirely
beyond my power to control. Realiz,
ing this, and to make the burden fall
as light as possible upon all affected
by it, the warrants were made In de-
nominations of SOS Sos and S20's, as
the law directed, to facilitate circula-
UlOH IlOLl udIlu W llduu, dS S6SUlSu 10
be the intent of the Legislature"
'Will these warrants be issued to all
having claims against the State with
out discrimination, the Auditor was
asked.
Eyes; hereafter all salaries from the
Governor down, all appropriations to
the various institutions of the State,
and all other claims will be paid one
half in these special warrants"
O''Do you think that any more than
the first issue of 100000 of these war
rants will be made necessary"
Il do. 1t is highly probable that be-
fore the first of January next addition
al special warrants may be necessitat-
ed, as those now being issued will in
all probability, find their way into the
treasury instead of currency, in the
payment of dues to the State. The law
provides that 100000 of the warrants
can be outstanding at time, and no
more; but in case of necessity after
they are paid in and Cancelled others
may be issued to take their places"
Capt. Stone" the reporter asked.
las financial measure what is your
opinion of the issuance of the special
| w dIiuo W ltCcU Vic uCIClts lllobctu VI
the sale of bonds ?"
II thought, and SO stated during the
discussion of the question while the
Legislature was in session, that the is
suance of four per cent bond, which
could have been negotiated, was far pre-
ferable to the warrants, and from re-
cent developments. am more thor
oughly convinced than ever that it was
a grave error to have provided for them
instead of the bonds. There seemed
to be prejudice in the Legislature,
however, against the bonds, rendering
their issuance impossible. AS it stands
the special warrants are in the nature
of forced loan, levied upon school
teachers, the public institutions, and
all others having claims against the
State. But the Legislature chose to
relieve the treasury by their issuance"
do you think it possible to keep the
warrants at par?"
II am doing all l can to keep them
at par, but l fear the same is a hope
less task"
I'm your opinion is there any good
reason why these warrants should be
discounted at any considerable rate?"
There is none earthly The advalo-
rem tax for 1894 will reach nearly, if
not quite $4,000 and as there is only
$500, 900 of the special warrants issued,
all being receivable for taxes, there is
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