The record-union., 1896-12-24
THE FUNDING BILL.
It neans That the Debt VIII be Paid
in Full,
(From the Marysville Appeal9

F'rom the Marysville Appeal.)
| 1t is quite apparent that the funding
bill now before Congress, presented BY
Representative Powers, will go upon
| the statutes. Such action will definitely
and for all time settle a long pendins
question in which demagogism has
largely figured so far as California is
concerned. For this particular conmu-
nifty the Appeal" speaks, and says thai
such a step will be eminently satisfac-
tory to all interests, great and small
This assertion is borne out by the eX
pressions given voice to by all the lead
! ing merchants something like q year
ago published in the San Francisco
| Post at the time and after havins
been verified. Those who have sought It
gain political prestige with non-inter-
ested people will deny the claim, bul
1.-The record speaks for itself and clear :
establishes that the successful mer
favor funding as it has been presenteo
to them from the political rostrum and
Through the newspapers.
The correctness of their conclusion
has many indisputable facts and grea
mountains of conditions to sustain it
| The Government Will have on the first
of next month as its due from the Unior
and Central Pacific Railroads S1l7 900,
| 600, being both principal and intereS;
on a second mortgage, the first mort
gage on the same property calling for
about $50 600, 900. This latter must be-
recognized first in any settlement to be
affected. The funding proposition grows
out of a desire on the part of the
holders of the property TO pay the Sec
ond obligation if given the time neces-
sary. BY computing the present cost Of
construction and that of the period in
which the road was built, it is easily
determined that any sale of the Govern.
ments second mortgage made would
realize not more than ten to twenty
millions over the first mortgage, which
would be like giving a new ownership
something between eighty and ninety
millions.
To save this vast sum to the people
and to prevent unnecessary litigation
the funding bill is offered 1t means, il
very plain and simple language, thai
the debt will be paid in full
That is what the people of the
East, where there Is nothing bu1
a mercenary and cold -blooded bust
ness proposition to prompt them il
their desires, want. They do not pro.
pose to submit to any losses Of Govern
ment money, neither do they propose
having the Government acquire rail-
road by putting up sixty millions tc
pay off the first mortgage and then in
dulge in the uncertainty of its operation
to gain interest on that sum plus the
one now involved
Calffornians who are opposing this
funding measure are, In our judgment
being led by the animus Of few. They
should stop and consider the effect O.
their own work upon themselves. Tht
East will not pay such price for Cali
fornia commerce. They will not coun
tenance anything in the nature of ad
ditional subsidy, and that is what tn,
anti-funding element would be procur
ing If their work should prevail.
Congress will not listen to them, how
ever. There Is way to obtain dollal
for dollar. That way is plain, and th
representatives of the densly populated
East will follow 1t notwithstanding tn.
cry that the great corporate capitalize
ton requires interest earnings which
are absorbed from producers and ship
pers. This capitalization would no
need be so large were 1t not for the deb
and to get it reduced unreasonable
anu-funders seek to have the Govern
ment wipe out it's just due.
The Government already has pre-
septed the Union and Central Pacifl,
Railroads with a magnificent land gran
amounting to $50,OO0,OOO, and Whe,
! this fact Is taken into consideration |,
connection with the S117, 100000 du,
from the roads to the Government, /
: would seem that subsidy enough hat
been allowed and the people of tn.
United States will never consent to
basis Of settlement which does not con
template the ultimate payment Of tn,
; debt In full; men who are conscientiou
regarding their obligations will not asl