Sistersville daily oil review. [volume] (Sistersville, W. Va.) 1902-1905, 1903-07-17
HAS WEST VIR-
GINA A DEBT
interesting Statement About Her
Share of Old Virsinia's
OBLIGATIONS.


the New York Sun.
Referring to the article published
In your valued paper under date OF
July, 9, entitled Another State
out of Debt" youhave unwillingly
fallen into an error In including
West Virginia among the States
free from debt.
The desire to be free from debt
Is commeudable either In an indivi-
dual or In a sovereign State. al
though the proud State of New
York would seem to be on the eve
of reverting to the old Idea that a
public debt Is a publicbeneft West
Virginia Is not only not free from
debt, If we look at the real situation,
but Is liable to debt of indetermi.
nate quantity, but probably In the
neighborhood of S15,ooo,ooo.
The origin of this debt can be
stated briefly as follows: During
the civil war the western portion
was mainly loyal TO the Union
cause. In pursuance of this senti
ment State government was form.
ed and application made for recog-
milton as State. This was grant
ed upon the express condition that
the new State of West Virginia
should assume and pay Its just pro.
portion of the old State of Virginia.
After the war was over, during
the process of reconstruction, moth
Ing was done until 1871. The State
of Virginia in the effort to adjust
Its debt set aside one.third as the
share of West Virginia, In view of
the fact that West Virginia had
one third of the territory, and that,
too the richest part of the old COIN
monWealth.
It followed this up with efforts to
settle the matter with West Vir.
ginla, but West Virginia has refused
to arrange her indebtedness In any
shape In spite of ordinances, con-
situations and the possession of
cash assets which belonged to the
State of Virginia. There Is nothing
more sensitive than credit, and the
good name of West Virginia, the
proper development of her splendid
natural resources, must stand In the
shadow of this growing debt until
some Individual or public act shall
awake that commonwealth to full
realization of Its dangerous position
In respect of this obligation. Every
one, whether In or out of West
Virginia, who has at heart the
keeping of public credit, whether
municipal, State or national, at
high standard must be interested In
the settlement of this question.
The Hon. Waitman T. Willy, of
Morg2ntowr, ". Va, In a letter to
Senator John Sherman, printed In
the Congressional Record, Vol. XII,
page $50, wrote: And I now say
to you what l have frequently said
to the people of West Virginia, that
but for that clause (assuming part
of the debit the State would never
have been admitted. I say further
that, In my opinion, no honest party
or honest man In West Virginia, or
out of 1t, will deny the obligation of
this State to pay IAN equitable pro-
portion of the public debt of Vir-
gipia."
The history of this unsettled
debt of West Virginia, In brief, Is as
follows: Vtrglnia's total debt In
1871, when she made settlement
with her creditors. was $45,7I8,I12,
which represented both the princi-
pal and accumulated interest there.
on. One third of that sum, Wis,
$15,23o $40 was arbitrarily, If you
please, set aside to be assumed by
West Virginia. Since that time
thirty two years interest at s per
cent has accrued.
The two thirds reserved by Vir.
glnla, viz, $3o,475,742, was settled
for by that state In 100 year bond
bearing interest at per cent for
ten years, and 3 per cent for ninety
years; these are known as "centu.
ries," and sell In the public market
today at over 90. Thus we have
the unique condition of old Virgin
la, seeding state, though suffer
Ing from the terrible consequences
of the civil war, keenly alive
10 her old ante-bellum financial
prestige aud splendid credit, strug.
clioo m -aoo},, it ond S11rcee dIuo hv