The Montgomery advertiser., 1901-06-29

erAcN. yuey Goul0 nave q cof4Er H48 convert 1t into Q park which would be inviting to all the people. When strangers visit us. it would tend to elevate their opinion of the people of Alabama when 1t is seen by them that We care SO much for our Capitol and it's beautiful grounds around 1t. There Is not a Capitol of any State Tn the Union more beautifully situated than this. then why allow part og the square upon which 1t stands. and right near its doors. to be stables and old shacks destroying and greatly impair ing its beauty? Now. gentlemen, if there Is any other way of doing this thing more acceptable. why hll right, do 1t. What I desire Is that it shall be accomplished. I have no personal interest in 1t except as a citizen of Alabamas have no personal interest in the refunding of the bonds except as a citizen of Alabama. and As such probably. at a sacrifice, because 1t is my fortune to own some bonds which I would rather haxe at 5 per cent. than 1-2 per cent. but think 1t my duty to have the bonds refunded and save the difference to the people of Alaba- ma. Gentlemen, can youN do 1t in q better way? I don't know any. There is no disrespect to anyone in it. to the Legislature, it is direction. plan which would be perfectly acceptable, and if YOU think 1t ought to have any conditions attached to 1t. put them to it. I have discharged my duty. By an explanation of this proposition. I have done my duty in bringing 1t be- fore you. if you see proper to vote them down. let them so by the board, that is not my business and ft does not affect me. In the discharge of what l conceive to be Q duty bring these things before you. the represent atives of the sovereign people of Ala bama, for that is what yen are. not an Executive Department, not Judicial Department. but all combined. 1t is the people of the State speaks through this body. and if you see and knew that thing would be beneficial to the whole people of the State, why hesitate or haggle about it or the way in which 1t shall be done? It is not djsresDect to the Legislature or anybody else. and if 1t is practicable. and you believe the people will justify you in adopting it, why not do 1t? I could add very
 much more. but l will not further trespass on your time which you have so generously given to me.
 Mr. Cunningham--May ! ask the gentleman a question?
 President pro tenn. Pettus-Will the gentleman permit a question:
 Mir. Oates-CePtainly.
 MT. Cunningham-It Is said. and cor- reotiy said, as I understand. that the value of a bond is determined by the rate of interest and the time it has to run.
 MT. Oates--Correct.
 Mir. Cunningham-The effect of this amendment would be, therefore, to fix the value of the bonds refunding the debt of the State of Alabama six years in advance Of their maturity
 Mir. Oates--Yes. sir.
 MT. Cunningham-Inasm as this would be in the organic law of the State, now isn't it possible that at the end of five years. the financial con- dition of the country may have changed in such way as to increase and thereby cripple the State in re- funding the debt at the par value at the rate of 3 1-2 per cent interest? That is one side. Again. might not the earning capacity of money decrease to such an extent that the debt could be refunded at less than 1-2 per cent. and finally would not this provision in the Consti- tution of the State at this time have the effect of fixing the value of the present bonds of the State Of Ala bama. lnasmuch as it provides a defi- mite manner in which they are to be re- funded? In other words. would 1t not naturally increase the value of the present bonds of the State at the pres ent time?
 MT. Oates--I will state in reply to the question that 1t might have some slight effect upon them. but the premium now on these bonds bearing $ per cent. is 10: they sell at 11O don't know the fluctuations, 1t might have some little effect, but if you will observe the lang uage of the amendment ofrer, 1t is mot exceeding 1-2 per cent" and believe 1t will always be practicable un- less some misfortune oveFcomes this country, not now apprehended, that b0- year bonds can easily be noated st l-2 per cent. If at the time the Le- gisIature acts, when they come to pass the act contemplated. they find that the bonds can be fioate and the debt refunded at a less rate of interest, this does not hamper them--at says mot exc ceeding."
 Mr. Coleman (Greene9-Mr. Presto ant and delegates to the Convention: The delegate from Montgomery who has just addressed you is always entertain ing and instructive, and we are apt to be carried with the current of his words and lose sight of the pertinSncy of what he says upon the issue before us. If any delegate has been impress sed here by his remarks that the State of Alabama would lose S123, 900 to be gained by refunding of the debt unless his plan was adopted, you have simply been lead away by the words he vas using. and not by the force and effect that should be given to them. If any delegate here has been impressed with the idea that the Capitol building. the grounds, cannot be selected except by the adoption of the amendment, think you have followed the force ana effect of his argument with little purpose. Not one proposition contained in that amendment-except that which refers to the selection of the grounds and the for the improvement of the Capttol--hut what has been Erovid- ed for in the section as prepared by the Committee on Taxation. We dis cussed thoroughly all these phases oe the question that could possibly arise. We have used the language which has stood the test of the courts and satis- fled the capitalists who were to loan the money. Section 3 reads as follows:
 Sec. 3.--After the ratification of this Constitution. no new debt shall be created against, or incurred by this State. or it's authority. except to repel invasion.
 That was a provision that was in the old Constitution, and the statement which has been made to you that there was difficulty in negotiating bonds since the last Convention assembled aNaA QAnnfAA G