Year: 1877

confidence, to an are OF peace and
prosperity in our State. This con-
summation, so ardently desired by
every patriot, is to be brought about
mainly by the labors of the General
Assembly, and rely confidently on
the wisdom, the discretion and the
patriotism which will direct and
shape the ensuing legislation. Grave
questions of public policy, upon
which will depend in large measure
the future destiny of the State,
will demand your attention, and will
receive, I am sure your most earnest
consideration.


THE FINANCIAL CONDITION OF THE STATE.


First in importance is the financial
condition of the State, for, until this
is satisfactorily settled, all hopes Of
returning prosperity will prove de-
lusive.


The credit of the State must be re
stored to, and maintained at, it's an
cient high character, before we can
make good our promises of reform,
or can expect her to take the proud
position she once held, and to which
it should be our highest duty and our
mob est ambition to restore her. This
object can, / iecl convinced, be ac-
complished by this General Assem-
bly,, without imposing upon our i'm"
poverished people an onerous burden.
AS commission wac appointed by
the Legislature at its last session to
consider this subject, it would be pre-
mature, if not indelicate, in me to
make any specific recommendations
in advance of their report, and |
venture now cnly toexpress the hope
that under no ci, cnnnstances will re-
pudiation, direct or Indirect, be coun-
tenanced Repudia' ion would bring
inevitable disaster and would entail
indellible disgrace. The public debt
can surely be SO adjusted that, while
tho welfare of the State is care
fully guarded, the rights Of creditors
shall not be violated "r impaired -
The very fact that State Can eXer-
else powers in questions Of this nature
against which no remedy exists
should make it's Legislature doubly
careful of the interests of creditors
whose sole protection is the honor of
their debtors. An ardent desire to
see the credit of the State maintained
and her faith untarnished is nv sole
reason tor presenting these views,
and with the hope that they will meet
the approval of the Legislature and
of the patriotic people Of the State,
l leave this vital matter to you, who
are the proper custodians Of the well
faro and the honor Of this Common
wealth.


THE PAYMENT OF THE DEBT.


In connection with the public debt
| venture to make suggestion for
your consideration. Unless some
provision is made to meet the obli-
cations of tine State when they fall
due, we shall be sub jected to great
embarrassment, and perhaps loss, as
tie State will be forced to issue new
bonds in order to take up the out~
standing ones. This system of bor-
rowing to pay our debts will hamper
our people and may impair tho cred.
it of the Stete. TEere are grave OBJ
iections to a sinking fund, the strong
est of which is that it may be divert
ed, under emergencies, from is legiti-
mate purpose. To guard against this
contingency, and at the same time
provide for the gradual payment Of
the public debt, | advise that a spe-
cial annual tax Of one~half mill be
levied, the proceeds of which shall be
placed in the hands of the treasurer
OF the State, who shall be directed to
buy in the bonds otthe State annu-
ally to the extent of the fund 80
raised. It viii be seen how nrofitn-