Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-03-30
WESTVlRGINIA DEBT.
,rs ADJUSTMENT MATTE" or
IMPORTANCE TO THIS STATE.
VIRGINIA STlN)S AS TRUSTEE.
..,,on That The Certificates Bc
,.oosttcd Under a Power of Attor-
ncy, and That Proper steps He
rat,cu 90 Eject 81 settlement.
nerrrvIlle. NJ. Mareh q. lsag.

Having urged toiohci NEW ana othtiS
On West Virginia TO aid about adjusting
,re'r state debt. and this subj ct being
..s,h misunderstood, make the follow
Mg statement:
BRINGING OUR PONDS HOME
A homc-held debt is less burdcnsome
chan ono held abroad. The interest paid
"a the bonds held by our colleges is
very light burden. compared to what it
would be 81 this interest was annually
sent out Of the State. An thinking men
Gcsire that the balance of our bonds
should be held by our own people. and
The best way 20 accomplish this is 10
Silence questions about Nirgnia's creaii
only one question remains opcn-to-wIt
ths unsettled one-thrd which Was set
aside as the estimated proportion for
West Virginia and 10 await adjustment
with that state The certificate holders
were misicd TO believe that. If IL Turns
olt that West Virginia owes less than
,ao amount OF the certificates then Viz
siniA must either pay the difference or
,o9lGiate a just liability. We cannot az
f,rd 20 do either and this open question
haadiosps our bonds in the market
An INTEREST AND ALSO 4 DUTY.
lve have an interest 20 make a settle
r.s7r with West Virginia, first, because
,rs literary fund ana our colleges hold
som, - the certificates. and second, be-
... Virginia should rid herself OF this
unsettled part of the debt of the original
Sat. We have duty TO bring about
,.t mtnt. because the Constitution pro-
,t..s. THE General Assembly shall pro-
vide by law for adjusting with West VIZ
a|uia the proportion OF the debt proper 10
be- borne by Virginia and by West VII
g.nia."
My view has always been that the "con-
tr0versy" as 10 the amount Of West Viz
cinlas proportion should be submitted TO
the Supreme Court Of the United states
but the General Assembly should not act
unless the certificates were deposited I'M
Ger such power of attorney as ensured
their immediate and unconditional sur
render IN exchange for whatever amount
might be realized by a settlement with
West Virginia. l am persuaded that THIS
subject deserves attention, and, when UNI
derstood. the people OF Virginia VIII be
unanimous for such legislation as VIII
finally dispose of it,
VIRGINIA \ TRUSTEE.
Undoubtedly the act Of 1871, and all legis-
lation previous TO 1852, contemplated that
Vlrgnia would bring about settlement
with West Virginia and apply the pro-
ceeds 10 the certificates. Ii seems 10 have
escQped general attention that one-thlrd
~ every bond surrendered under the
acts Of 1871 and 1879 has never been fund
"a but must be held by Virginia as a
trustee until a settlement is made. There
are other facts, that seem to be forgot
Ten. which, unless this matter is disposed
of. will some day rise up 10 plague Us.
businessman would never permit his al
fairs 20 remain in this unsettled condi-
ton.
4 CONTROVERSY BETWEEN STATES
Virginia was dsmembered by an ordi-
nance which requires West Virginia 10
assume such "A part OF the joint debt as
shall be ascertaiued by charging her WIN
state expenditures within her limits. ana
with a Just proportion Of the ordinary
,xrenscs OF the State Government since
any part Of the debt was contracted, ana
creaiting the taxes collected IN the couh-
ties composing the new state Hence
we have a controversy" with West VIZ
eiria ms TO what proportion Of the ordi-
nary expenses of the State Government
WAS lust proportion for that section oil
the old state which is now West VIZ
giuia and other questions may ARISE
during the statement of the account re-
oulred hy said ordinance.
The holder Of any certificate stahus az
ho would stand il he held an original bona
marked. "TwO-thirds has been palu pS
Virginia" West Virginia may well re-
fuse action until Virginia invokes the
court 10 ascertain the amount West VIZ
ainia owes. and / am Informed that
r,arv Official uttcrance in West Virginia
las been 10 the effect that Virginia should
invoke the court 10 obtain "a settlement
n the certificates are deposited under a
row.r of attorney which fuzzy pictecls
mis- Commonwealth against the posi-
fu!ty Of any liability, II VIII, ~ my yuus-
mont be "A gross violation OF goOd ldltH
=, withhold such legislation as will eli
f.ct am adjustment. But Virginia should
rot ACT unless the certificates are under
III mower Of attorney, which is an uh-
,ouiyocal and absolute guarantee that no
demand can ever be made on her beyohu
The amount which may be received from
West Virginia. Unfortunately, the Hoiu-
,rs ~ certificates were. until recently,
misled 90 claim very muCn Id, ~
amount than we can expect west VIZ
ginia 10 assume. and il is We'll known
rhat public opinion i'm that state mas
drifted 10 the untenahle proposition mat
{n some unexplained way she mas De-
come acquitted OF any obligation 10 pay
Tor the internal Improvements WITHIN her
limits which were built with the Dohus
az tho original state ihduN9 10 'ilc "
f.rt hv Colonel Chew and his associates,
almost a majority OF holders have already
united for such proposition as West
VIRGINIA can easily accept AND am m
formed that those in that State VINO
have considered this matter almost WIN
am exception. desire IL settled but they
su saw that it will require a Judlciai IN
Nsetieation tofconvince the Dody Oh INV
ueople that anything Us due.
200 00 IN WEST NIRGINlAS THEA
SURY.
rho act approved February g. 1875, trans
,,.r.d 10 West Virginia all the property
os.sd bv Virginia within the limits Oh
fiji. new state. but provided that 'hS
,r. should be accounted for In q se''le-
r9.r. ia be thereafter had with this com
r...ysalth The Constitution. under
which West Virginia was admitted as
Site. provided that her Legislature
might sen this property. but the proceeuss
should be applied To the liquidation Vl
the public debt II seems that no hFen-
tory has ever been made Of this proper
~. but ! am informed that there IS 10
day 500 000 Of securities In the treasury
OF West Virginia which were purchaser
with the proceeds Of the property thus
transferred 20 her. ana which $'pvV
should be applied 90 her part of the deb'.
This is exclusive Of more than $OVJ.NV
expended by Virginia on some Of the
internal improvements within West VIZ
gina.
UNDIsPUTED FACTS.
l will not ask space 20 fully present
the merits OF this case, but certain facts
~ n,ibic interest will 20 undisputcd For