The Savannah morning news. (Savannah, Ga.) 1900-current, 1903-01-04
MONEY is A TROUBLE.
Question Is What 10 Do with Flor
ida's Big Fund.

Tallahassee, Fla, Jan. 2.-Undoubt-
eddy one of the most important prob
lens now before the people of Florida
for solution. and which will engage a
great part of the time of the legisla-
tive session next spring, will be the
question as to what use shall be made
of the Indian War Claims Fund,
amounting to 1892, 946, collected by the
state from the United States in 1902 in
settlement of the mutual account be-
tween the state of Florida and the
United States for expenditures made
by the state in suppressing Indian hos
tilities in Florida prior to 1860.
This money is now in the State
Treasury, subject to legislative appro-
priation. The clearest, most concise
and most accurate statement and ex-
PLANTATION of the history of the fund
that has been written is that pre-
pared by State Treasurer James b.
Whitfield and appearing in his annual
report filed with the Governor to-day.
Following Is a carefully prepared
synopsis of what the treasurer says;
In 1857 Florida issued Z per cent.
bonds for the purpose of defraying
some of the expenses of the Indian
wars. The United States purchased
trust fund.
On Dec. 16, 1889, by authority of an
act of Congress, the Secretary of the
Treasury made and stated the mutual
account between the United States and
this state growing out of expenditures
by the state to suppress Indian hostili-
ties IN Florida, and the purchase Of
the 1872, 900 of Florida bonds of 1857;
which statement showed that the Unit
ed States owed the state of Florida
balance of 1851, 9545O, as of Jan. l,
1890.
All efforts TO collect the amount thus
found and admitted to be due to the
state were fruitless until May 81, 1902
when Congress passed an act for the
payment of this and other claims. This
act provided for continuing the COM
putation of interest upon the principal
on both sides, to the date of settle
ment, and for ascertaining and paying
the balance found to be due the state
1t provided that in further computing
said mutual account from Jan. l, $780,
no greater rate of interest shall be
allowed the state of Florida than said
state has paid, is obligated to pay, or
has lost in connection with said ac-
count"
The state of Florida paid per cent.
interest on the bonds of 1871 to Jan.
l, 1901, and the 1892, 900 of bonds of 1857
held by the United States bore per
cent. interest, which rate the state
was liable to pay till they were taken
up. From Jan. l, 1901, the state has
paid per cent interest on the bonds
of 1878. This shows the rate of in
terest the state was entitled to under
the act
statement of the mutual account
for settlement as of June 30, 1902, in
compliance with the act of Congress,
showed the amount due the state by
the United States to be $679. 69S. On
July %, 1902, Gov. Jennings received a
treasury warrant for this amount, and
indorsed it over to Treasurer Whit
field for collection. The money is now
held by the treasurer in the Indian
war claims fund.
After the receipt of the 1919, sos. as
the balance due Florida, il was ascer-
tanned that the account as stated and
adopted by the act of May 81, 1902, as
the basis of settlement, included
amounts aggregating $109, 49363 with.
held from the state and applied to the
payment of interest for the period from
July l, 1862. to Nov. 20, 1873, on the
$132, 900 of Florida bonds held by the
United States. 1t was also ascertained
that in addition to the $1O9, 493. SO, so
NSNpullNSo LOIs THERE were WlInnelQ
amounts aggregating $13,201 II, which
were not included in the account as
stated and which were not considered
or included in the settlement, made or
in the balance received by the state.
When this was discovered the Governor
made application for restatement of
the account, which was granted. On
December IS. 1902. a treasury warrant
for $13,24S was received covering the
sum of $1S201.1 above referred to and
also the sum of S46 20 allowed for err
ror made by the United States officials
in stating the account.
The state has therefore received in
settlement of the mutual accounts be-
tween the United States and the state
of Florida, $692, 946 The amounts of
$lO9, 493.63 and $13,201.71, making a to-
tai of $l22,695S4, withheld from the
state and included in the settlements
as above stated belong to the State
School Fund for 5 per cent. of United
States land sales in Florida allowed by
Congress, to the Internal Improvement
Fund for Swamp Land Indemnity, and
to the General Revenue Fund for eS-
penses of census. These amounts, says
Treasurer Whitfield, should be paid
from the 1892 946 received by the state
into the funds to which they belong, as
follows:
State School Fund ......S So. 362 II
Internal Improvement Fund. 25,077 O2
General Revenue Fund. . 1926 81
Making a total of 500 6gh "a