The Newberry herald and news. (Newberry, S.C.) 1884-1903, 1902-01-14

1t became necessary IN order to meet
the current expenses of the State gov
ornment, for the Treasurer, by author
ity Of an Act of the General Assembly,
to borrow $4,000. This loan was ne
SOtiatcd at four per cent. per annum
for thirty and sixty days time and has
all been paid back. In order, however,
to meet the interest on the State debt,
due January first it was necessary to
borrow $4,000 additional. This action
was made necessary by the fact that Il
very small proportion Of the taxes had
been paid at the close Of the year.
In my message Of the last two years
| have upon each occasion called your
attention to the subject OF certain
bonds which, by the T'rcasurer's rc-
port, appear as part OF The old debt Of
tho State. but which are now, under
The Act Of 1896, no longer fundable by
tho Treasurer without tho action Of
your honorable bodies. From your
journals learn that my message upon
the subject WAS referred to Il Joint
Committee which reported theron, but
which report was not adopted by tho
Senate and no action taken thereon by
tho House of Representatives. The
TreaSurcr calls attention to the bonds
and says: II find on the books Of this
department certain bonds as part Of
tho debt OF the State entered as old
Bonds Not Fundable (Act Of 1866 Blue
Railroad Bonds $4,000 These bonds
were issued in 1859, and matured in
1879. BY Act Of 1896 the Treasurer is
forbidden to pay, consolidate or fund
any coupon bond Of the State after the
expiration Of twenty years from the
date Of maturity OF such bonds. / am
in doubt as to how longer to report
these bonds. If they arc no longer
fundable why carry them longer Us 4
part Of the debt of the State? But
while on the one hand the Treasurer
can neither pay nor fund them, Oh
the other he has no authority to writo
them of the books" This letter was
referred to the Attorney General for
his opinion, and in reply no submits
a full and complete opinion, conclud-
Ing as follows: 81 am Of opinion that
the bonds in question constitute an
existing adjudicated part of the debt
Of the State. and as such can only be
disposed Of by some Act Of the Lcgi3-
lature."
Thus confirmed In my opinion and
views upon the subject by tho legal Of
fcers Of the State. cannot do other
wise than repeat my recommendation
Of last year, viz, that the claim Of the
bank TO DO permitted to renew and
fund these bonds is valid and Just and
should be allowed. 1t is not denied
that the State owes the bonds to some
one. They are carried as part Of the
debt Of the State on the books Of the
ttNrr 10 ~,
Courts have all decreed tho bank TO
be the owner no one else can now
claim them, as all persons but tho
bank are barred under tho Act Of
1896 from doing so. | repeat, In the
face Of these facts, 1t will be little
short of reputation II we continue to
refuse to allow the receiver of tho
bank to fund them.
EXTENSION OF TIME FOR PAY
MENT OF TAKES.
It Is best that the time for the pay
ment Of taxes without penalty should
that there will be no extension. In
view, however, Of the stringency of
money with our farmers, and IN conse-
quence with almost every other branch
Of business. and in view Of the fur
ment of taxes has so often been ex-
tended that our people have come to
expect it, after consultation with the
Comptroller General, and by virtue Of
authority given us by law, the time
for the payment of taxes without pen
atty has been extended to the first day
of March, 1902.
TAXATION
Irho re {axotion 10 nno nf
the most important and difficult prob
lens that will confront you and one
Of the most profound in political econ
omy. 1t has been difficult problem
ever since government has been organ
ICED and taxes laid. and never yet has
a system been adopted which is en-
tirely equitable and just and which
has not been open to fraud and eva
sion and inequality. 1t is easy to lay
down theory and q principle thai
will be just and equitable, but when it
comes to putting in motion the ma
chinery that will carry out in Its prac-
tical operations that theory and that
will apply the principal to property,
tho question becomes yeXed one and
difficult Of solution. The CONSTITUTION
provides that all property shall be as
sessed at it's true value and therefore
bear it's share Of the burden of taxa
ton. This principle was laid down by
Adam Smith. tho celebrated Scottish
philosopher and political economist,
in the early part Of the Eighteenth
century, and by all writer's on political
economy before and since his day
Equal and just taxation, levied on all
property proportionately and in &C
cordance with It's value, is the product
of tho highest justice, and when done
| to meet simply the demands Of govern
ment. economically administered, Is
never burdensome. On the other hand
unequal and unjust taxation Is al
| ways burdensome and has been the