Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1903-01-16
Washinatpn Standard
OLYMPIA. WASH.
FRIDAY EVENING. JAiIAEY &c. 1908.
The Governors Suggestions.

CONSIDERABLY more space In the city |
papers than did Presidents Roosevelt's
address to Congress, but then there is
considerable difference in the men
AS has been noted. The message be-
gins with an eulogy OF his predecessor,
the late John r. Rogers, and recon-.
mendation for the State to pay the
expenses OF his funeral, amounting TO
S5S955.
The Indebtedness Of the Territory
was the first topic presented. On as.
Stunning Statehood this burden was
provided for by an issue of $500, 900 in
bonds, payable after five years and
within fifteen years. On this sum
$4,000 has been paid, leaving $780,
600. The one-fiith OF mill tax for
1902 will bring in more than enough
revenue to liquidate this balance. The
Governor therefore recommends dis
continuance OF the tax. He likewise
recommends discontinuance of the
military fund levy, as the unexpended
balance and the proceeds from the
levy of 1902, will be ample to pay all
expenses of the National Guard.
The executive recommends that $780,
600 in the Revolving fund be trans
ferred to the General fund-the latter
being the fund out OF which the State
Indebtedness is paid, and the reten-
ton OF $4,000 in the Revolving fund
is much more than is needed.
The Governor reports over million
dollars in the Permanent School fund,
the Land Commissioners are author
lied to invest in State, county and
municipal bonds, at five per cent. in
tcrest. To invest so large a sum in the
securities required by law will be ex-
tremely difficult unless the rate OF in.
terest is lowered to say 81 ORA per
cent, and legislation is recommended
accordingly.
Against the State Capitol fund war.
rants amounting to SIT ,O04. 16, bearing
interest at the rate OF per cent. per
annum, were issued during the years
1898, 1894 and 1895. The interest
upon these warrants on January OF
this year amounted to, approximately,
the sum of $5S,l5 making the total
sum, principal and interest due there
on on said date, about $l35, 154.16.
There are also outstanding against this
fund warrants amounting to the sum
af $350.O0O, drawing interest at the
rate Of 5 per cent. per annum, issued
in accordance with the provision OF
the act of 1901 for the purchase and
completion OF State capitol building
The interest upon the last mentioned
warrants is guaranteed by the State,
hut there is no such guarantee as TO
the other warrants. These warrants
first mentioned, however, together
with the interest thereon, are . first
lien upon the proceeds to be derived
from the sale of the lands granted to
the State for public buildings at the
capital. OF this grant, which was
$4,000 acres in the first instance,
over 10000 acres remain. Some Of
this land, in the opinion OF the Com
missioner of Public Lands, is worth
to-day at least $25 per acre, and he
deems it conservative to say that, on
an average they are worth $40 an acre.
If he 10 anywhere highland, in my
judgment, am prepared to say he
il not very far wrong-why should We
continue to pay 8 per cent. interest on
these 77.O04.16 Of outstanding war.
rants? These warrants, the principal
and interest of which amounts to
about $l35.15416, being q fret lien
upon property which, in the not dis
tsnt future, will cell for at least ST..
OOO, 600, would be considered . safe in.
vestment by any one. The permanent
school fund has hundreds of thousands
of dollars idle in the treasury. The
capitol building fund has outstanding
against it warrants drawing 8 per cent,
the same rate paid TO that fund by the
general fund, in the warrants of the
capitol building fund, thus finding .
safe investment for the permanent
school fund and, at the same time.
saving to the capitol building fund Al
per cent. per annumf The method OF
procedure would be this: Transfer
from the permanent school fund to the
capitol building fund sufficient sum
10 take up the 8 per cent. interest
bearing warrants outstanding against
the latter fund. Issue State bonds to
that amount and dsliver to the State
Treasurer, for the account Of the per.
manent school fund, said bonds to
draw interest at the rate Of 81 per cent.
per annum, interest payable semi.
annually. Provide for the payment
of the interest upon these bonds from
the general fund. The permanent
school fund and the general fund
would be protected by q first lien
upon the proceeds derived from the
sale of lands granted to the State for
the public buildings at the capital. I
would commend this subject TO your
careful consideration.
The executive thinks that with
judgment and economy an appropria.
ton OF $4,000 will give the State .
proper showing at the Louisiana ex-
position. The citizens committee 70
investigate and report upon the
matter, appointed At . representative
meeting from all parts of the State
held in Olympia, last April. have
placed the amount that can be used
to advantage at $63,950. He likewise
favors aid for the Lewis and Clarke
Fair to be held in Portland next year.
While the fact that it follows so close
ly after the St. Louis Exposition, may
lessen its value, viewed from q practi.
cal standpoint, yet, the executive de.
clares, sentiment naturally inclines
one in its favor" He dismisses the
subject with the remark that proba.
bly, the Legislature will, before its
close, be enabled to determine the