The daily morning journal and courier., 1895-06-21
THE GENERAL ASSEMBLY
-AN EXCITING DISC USSION OYER THE
 SCHOOL FUND BTLL.


 Some Striking and Interesting Facts-Thf
 Republican Caucus Yesterday-The Ma
 son Investigation-Mr. Piddock Not to
 Appear-General Matters.
 Hartford, June 20.-The liveliest fight
 that has taken place during the pres
 ent session of the legislature was pre-
 cipitated in the house of represen-
 tatives to-day, when the bill relating
 to the school fund was again taken
 up. There was a long discussion over
 the bill yesterday afternoon and it was
 resumed this morning at Il o'clock
 it having been assigned as the spe-
 eial order.
 MT. Newton of Wallingford, chairman
 of the committee on the school fund,
 which has given the matter much con-
 sideration, made a long speech yes-
 terday in favor of the majority report
 and resumed the debate in a clear
 cut and convincing speech to-day. The
 bill was introduced by Representative Clark of Haddam and provides for
 the conversion of the school fund into
 the reduction of the state debt, the state to issue 6 per cent. bonds as se- curity for the fund. The committee reported against the bill, but a minority report was also reported
 The bill in full is as follows:
 Section 1-The office of the school fund commissioner is hereby abol- ished, and section 349 of the general statutes is hereby repealed.
 Section 2-All the duties and powers now conferred by law upon the school fund commissioner, shall hereafter, so far as necessary in the care of the property of the school fund, devolve upon and be exercised by the treasurer of the state of Connecticut, who shall keep a separate financial account of the fund known as the school fund.
 Section 3-The treasurer shall convert all the property of every kind now be- longing to the school fund into money as soon as the same can be done with out detriment to the fund, and the treasurer and comptroller shall as certain the amount of the principal of said fund on July 1, 1885, and shall thereupon issue debenture or deben- lures of the state of Connecticut, sign ed by the treasurer and countersigned by the comptroller, reciting in sub stance that the state of Connecticut holds the amount of said fund, giving the amount as ascertained aforesaid, to and for the use and benefit of the school fund of said state and will pay interest thereon at six per centum per annum, payable semi-annually, into the treasury of the state for the uses and purposes of said fund.
 Section 4-The whole of said interest so paid shall be from time to time divided and distributed to and among the several towns of the state in the manner now provided by law, and all expenses connected with said fund 1 shall be paid by the state.
 Section 5-The debenture or deben- l lures issued as aforesaid shall be reg fstered in the office of the comptroller, l and duplicate thereof kept on file in | his office.
 Section 6-All acts and parts of acts herewith are hereby re- pealed.
 Section 7-This act shall takeA effect from it's passage.
 As stated above, the committee re- ported unfavorably after an exhaustive hearing.
 The first speaker was MT. Gillette of Haddam. He favored the bill and said:
 Most of our loans under this fund are on farm properties in Ohio, and these values are very uncertain and in- volve the danger of loss to the fund. The person who expects to get high ate of interest on this money In these ,imes is liable to be disappointed, if 1e places his savings on questionable securities. In 1851 the value of the und was $2, ,049, 900. Since that time the tate has appropriated $76,000 to make he losses good, and the entire shrink ige is over $100,000 The fund to-day is 'nly $2,011 ,000. We have lost more by he designs of unprincipled persons han by depletion or depression of Talues. Just so long as we desire to se- ( ure a high rate of interest we shall : ontinue to secure a lower standard for f ur investment. The fund is a sacred ( monument to be protected from the ' aids of designing rascals Therefore, ( move that the minority report be sub c tituted for that of the majority" I MT. Newton of Wallingford, chairman 1 f the committee on the school fund.- a 1NOIC0 tLe ildJOllby IepOIL- IlG Sdlus l My friend has admitted that the fund b as been honestly managed and that U he losses to the fund have been about t14,000. On the face of 1t the fund is n bout $66,000 short, and yet the in- reased valuation of stocks would go E reat ways to wipe out the whole r efficiency. Even if there had been a E it would not be well to ft hange the present direction of the E md. James G. Patterson said he was u lrprised there was any element the legislature who would propose lch a frivolous investment of the fund A there is motive underlying C lis thing, but I cannot fathom 1t; but St am sure there is a colored individual C the wood pile. I hope the bill will n } rejected" u MT. Gum of Milford-'I am some- nj hat surprised to hear MT Newton as- pl ibing any ulterior motives to the ~ gentlemen who came be- u re the committee in favor of the bill. Ut lch an attack made on these gentle en is uncalled for. This bill strikes e as a business transaction. No fund in n be invested without some losses di
 N.AE