Arizona republican., 1905-07-02
A Bankrupt Territory.

A short time ago, in discussing the ioint-statehood question with former Governor Murphy, the Hon. Joseph G. Cannon of Illinois, speaker of the na- tional house of representatives. allud- ed to Arizona as a ''bankrupt terri tory" Incidentally we might inquire why the speaker is so determined to infiict upon the prosperous common wealth of New Mexico a consolidation with a bankrupt territory, but let that pass. Let us see about the bankrupt business.
 Yesterday was the first day of the new fiscal year. Territorial Treasurer Kirkland, upon casting up his ac- counts. found that he had on hand in cash. Two Hundred and Seventy-two Thousand Six Hundred and Seventy six dollars and fourteen cents-rather a comfortable balance for bankruPt institution This is more money than the treasury ever before contained al the beginning of a fiscal year.
 The territory is on a strictly cash basis. All valid claims are paid promptly in cash, and there is always a good bunch of money on hand for a rainy day. Bonded indebtedness to the amount of ten thousand dollars was paid off yesterday And while maintaining this excellent status the territorial administration is not in creasing the tax levy.
 But, of course, the sOlvency of an institution, mercantile or government tai. is not determined alone by its cash on hand. It is necessary to consider assets and liabilities. Where does Ari- zona stand in that particular?
 In round figures, the bonded debt of the territory is one million dollars. In- cIude with that the total indebtedness of the counties and towns, and the public debt approximates three million dollars. To offset these obligations the assessed val uation of the property in the territory this year will exceed Forty-five millions. As everybody knows. this assessed valuation by no means correctly represents the prop erty wealth of the territory. There is more than one mine that could not be purchased for forty-five millions. If assessments were upon an equitable basis the property assessed for taxa tion would be valued at seventy-hve millions, at least.
 But taking the situation as We find it. the figures are bound to confound Uncle Joe Cannon when he studies them. 'I know all about Arizona" he said in the interview to which We have referred. but he will know some what more when he has learned the facts about this territorys financial condition
 Any commercial institution would consider itself as in first-class shape if it owed but three millions and had forty-five millions in taxable property, and a working cash balance of two hundred and seventy-two thousand dollars.
 The fact is, no subdivision of the union is in a more fiourishing condi- tion than is Arizona today, and no sec tion of our great country has a bright CT future.
 Politicians in the United States con- gress may shut their eyes to the facts, but they cannot mislead the country by wild assertions that Arizona is bankrupt. The shrewdest, most care fully calculating people in the world on financial matters-are the bond buyers If Uncle Joe Cannon wishes to know what they think of Arizona, let him try to get some Arizona bonds five per cent bonds at that-from the bargain counters of the bond deal CTS He will find it necessary to pun gle up one dollar and ten cents for every dollar of Arizona's obligations that he buys! And the sellers will tell him that he has obtained security that is as sound as anything issued by Uncle Sam.
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