The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1906-01-25
SETTLE DEBT IN
HALL CENTURY.
PIanF Proposed Which Will.
Wipe Out States En-
tire Obligations,
GREAT INCREASE
OF PUBLIC REVENUE
Proposed That From Time to
Time Portion of Surplus May
Be Used to Retire Bonds. d
Every State School
Asking More
Money.

In both Houses of the General Assem-
bly, yesterday, bills were offered by the
chairmen OF the Finance Committees,
Introducing plan proposed by the State
nuditor. for the gradual extinguishment
OF tho Virginia public debt of over sa.-
10000, which under the method suggested
could bc accomplished In about forty
four years.
Briefly stated the plan, which had
bon drawn with great care, by Judge
John g. Dew. second Auditor and which
is thoroughly elaborated. In tabular
statements of considerable length, con-
templates an annual division OF a portion
of the surplus for the purchase OF out
standing bonds. which together with the
use of the sinking fund and the literary
fund. would by the year OF 1850. result
in wiping oIt the state debt entirely.
The debt Mt the present time amounts
10 $5.h3I.s 300 In addition TO this, there
is still outstanding of the old unfunded
debt of Virginia nearly $1,000 One OF
the bills offered yesterday further ex-
tended the time limit for funding priyi-
leges which expired July /. 1901. but largo
portion Of this unfnnded debt for varI-
GUS rcasons will never be presented for
settlement. 1t is in fact estimated that
perhaps not az much az $4,000 OF the
old unfunded debt will ever come TO
light. so that the increase from this
source will not be considerable. Under
tile plan OF Judge Dew the accumulation
by 1850 will be sufficient 10 cover the
whole debt, Including what may set lie
funded The method OF the retirement
OF the bonds as prepared by the second
auditor may be set forth at a glance as
follows:
sr ksl sears WI issgs ssTel,.s II neiassas mrsss
pitso @ iyr ~ 5 sars % :s asiasvs
Dito for psT e Iear. q is;s lnci,.iy. 1000 90
Esdmatsd amount to bc held in is BY s'V
sinking Fund il compounded until
1919 VIII amount l5-r1c 90
Amount OF principal of public debt .s.55 coo go
Use Portions of Surplus.
When the century act was passed pro-
vision was made for the sinking fund
beginning In 1910 looking to a very grad
nal retirement of the debt, but tile In
creased and increasing revenues of the
State have led the auditors TO prodose
that the sinking fund commissioners be
further empowered to use from time to
time portions of the surplus for the pur-
pose Of buying In the outstanding bonds
The bill offered yesterday does this 1t
is In reality a re-enactIpent Of the stat
ute repealed at the last Legislature, sup
posedly by snadvertance. but the scheme
is now vaster in its scope. The pat
rons of the bill are II. II. Wickham In
the Senate, and A. 81. Bowman In the
House. chairmen of the Finance Com
nrittees OF the respective bodies. They
acted upon request OF the auditors. The
bills went to the Committees on Finance
and will be considered in due order.
Approval Expressed.
While the matter has not yet been
given careful deliberation, a number of
members have expressed their approval
3 of the plan. and 1t Is evident on all sides
that the Sta:-. debt question. from con-
siderations of broad public policy, will be
one of the most important to engage the
attention OF the present Legislature. In
auries made in number of different
quarters develop a strong disposition on
the part of the lawmakers to pay off
the debt as rapidly as can be done with
out allowing the division OF the revenue
In this direction to interfere with the
public Improvements, which will demand
large appropriations from time to time.
The surplus now standing to the credit
OF the State--smal but larger than
usual-has attracted veritable swarm
OF money-seekers. and a raid on the
treasury will unquestionably be attempt
ed, 1t is understood that practically
every State institution will ask for more
money and some of the colleges will
want fabulous sums as n member of
the House Finance Committee described
1T last night.
There will be half II hundred drains
upon the treasury and the surplus could
be disposed OF a dozen times over we're
all the demands granted. But the way to-
the public purse will be difficult of ap-
proach. Increased appropriations will be Sc
cured only afterthe most thorough in
Hestigation and many n rosy-hued pros
7 pect3 VIII have vanished by the time the
Watchdogs OF the treasury have finished
With It. Few II any Of the colleges will
get all they want, There will be
trimming down all around
Will Be Carefully Debated.
With this condition existing the o,es-
tion of dlvertng any considerable nor
tion of the surplus for the payment of
the public debt will be carefully debated
Public improvements cannot be allowed
70 suffer and though extraordinary pre-
CAUTIONS Will be taken to prevent any
needless expenditures considerable sums
will necessarily have TO be devoted as
tho occasions arise to the demand Of
The hour Any method for the retirement
Of the debt to be adopted must erect
& It's end Without infringing upon the other
10 any extent and 1t is claimed that
The Dew plan accomplishes this, Should
s fhs be tho view OF the salons the mani
Fest and In some cases EXPRESSED desire
TO dispose of the debt as rapidly as
possible Will unqucstonably result M
legislation along this line.
Tho surplus this year. ms already
stated. is much larger than usual, The
revenues of the State are steadily in7
creasing Taxable values have enor-B
mously Increased and money Is flowing