Year: 1870

ing been recently chartered in what we minht
call our country TOWNSVILLE chief annroben-
sion in regard to which is, that thew nav not
be able to afford suitable security against rob.
berry. The deposits for the past year amonnt
to S1O.S39,955 by about 10000 depositors
making an average of something over $3.50
each. An interesting comparison is shown
by the fact that the amount thus laid in
store from honest and hard-earned gains il
already more than a million and quarter
larger than the aggregate capital of all oul
banks of issue, State and National, and nearly
two and three-quarter millions larger than
the whole of our bonded public debt.


1t is urged by some that direct tax should
be laid on savings banks. 1t is sound prin.
ciple that property should share as equally as
possible the public burden; and it seems, al
first sight, that savings banks should no more
be exceptions to the rule than any other
banks. But it will be seen upon reflection
that the spirit and intent of deposits in savings
banks differ entirely from the object and oper-
alton of deposits in other banks, and it is a
grave question whether this difference is not OF
such nature and result as to make the saw
ings banks positive benefit to the State,
which might even enttle them to special
| grace, practically amounting to bounty, or
| premium, if you please. These banks are the
| special repositories of the poor, treasures OF
| PittehSCo "hiSh SOuiu III llO OtuCi way UG sO
well guarded and made profitable. If not
kept here many of them would not be kept at
all. Besides the actual saving of earnings
and the positive addition to wealth thence ac-
cruing,-itself an object worthy of your
thoughtful care,-those are incidental and
even more valuable advantages. The mo-
ment he has money in the bank, the
humblest feels a bracing up OF his self
respect and Mhee m moral tSrfe .o FfHm that
frugality, temperance, enterprise; to all, in
fact, which constitute good citizenship, and
| advances the character and condition of men.
Anything, therefore, which tends to discour-
age deposits in savings banks should be scru-
| pulously avoided. If there were any Way to
reach the large depositors by requiring the
officers of banks to make returns to the assess
ors of towns for purpose of taxation, it
would certainly be well. But first promising
that large sums are less likely than small ones
| to escape taxation in the ordinary way, it
| is to be said that such depositors might
still easily evade the law, and the burden
would fall back on those less able to bear it.


Indeed the mere fact itself of publishing
savings banks deposits would intimidate and
dishearten many whose very struggle and
merit it is to keep this plttance from the will
ful and wastefu hands which would at the
same time destroy it and themselves. By the
very confidential relations of these banks
many poor woman is helped in her heroic
struggles to bear her unequal burden. There.
fore it seems to me better even to suffer such
evils as we do, than in the attempt to correct
them to subvert far greater good.


What this State needs is capital-money in
motion whether god or currency. Our ma
terial is stagnant, our industry crippled, our
enterprise staggered for want of money,
which is power. What makes the sinews OF
war makes also the sinews of peace. Maine
strikes me as quite different in her circum-
stances from the other New England States
with their denser population, developed arts
and industries, their centralizaton of forces
and accumulation of capital. She reminds
me more OF the Western States in her condi-
tion and needs. A virgin soil, undeveloped
| powers, vast forests, and vigorous men, but
no money. Like them she is trying to build
railroads, invite immigration and develop her
resources, and perhaps is not so much in love
| with her high tariff as some of her more cul-
| tivated sisters. The elements and powers of
nature, and the energy and enterprise of men
in order to be turned to account for the great
uses of civilization, must wait on capital.
Unfortunately we cannot hold our own we
can keep neither our men or our money at
home. Higher rates of interest for the one,
and quicker and larger returns for the other,
win the game. The result is double drain
which keeps all our cham els low. This evil
must be remedied or Maine will have to wait
| great while for her coronation. What can
be done it is not easy to say specifically. We
must look to the national government to
strike off some of our fetters and tighten some
of our burdens. To me it seems unwise to
cramp our energies with duties and taxes in
trying to do everything in one day. l have
no great pride against letting somebody else
pay the cost of the war. The great debt oil
the country is boon which we must invite
pcsterity to share, along with the blessings
which they Fb 1hf55t f5 with rYs dgaye our
ed future bear part at least in the thank
offering. If we can do anything that will
make labor, skill. talent and capital remuner
ative, that let us do. People will come anC
will stay money will be kept and brought i
we can manage to N AXE it pay. What We
can do for money does not readily appear
But we can look over the situation. As
have said, higher rates of interest abroad lure
our money away. Money will seek the high
est level as sure as water. Argument and
entreaty will not change the course of the in
exorable law. Capitalists are reluctant
Some scruple to receive an illegal rate and So
refuse. Some STIMULATING for these rates
knowing that they can only trust the honor
OF the borrower Tor the continuance, want a
better security. But mortgages Of real estate,
which is about all we have, carry a long
right of redemption, and the lender is liable
to be kept three years out of the money at
merely the low legal rate. The result is he
will not accept even the mortgage, but de-
mands' an outright deed, and then the bor-
rover must trust the honor of the lender
which in turn may not be very valuable Sc
curty.


Two things would undoubtedly tend to
make money more plenty. l. To perfect and
make practicable our free banking law. 2. To
| laualiza biUbpr rafaS nf intnrQct Of
the suggestion of evils growing oat of the lat
ter proposal at once arises. But it may be
that the example of the general government
which compelled us to suspend specie pay
ments, may also compel us for time to rec
ognize rate of interest corresponding with
this general practice and sanction.


The Commissioners on the State Valuation
will submit the results of their labors for your
action, which will require your careful scruti-
ny and impartial judgment.


INSTITUTIONS, REFoRMAToRY AND SAM


TARY.


The various institutions under the care Of
the State are generally in prosperous condi,
ton. The Reform School shows excellent
management. The business is conducted
with judgment and energy; the discipline and
care OF the boys is wile and kind; and al
though this is in some sense prison it is in
the best sense school. 1t is greater task
than we might think TO administer the affairs
of such an institution with entire success
We have every reason to be gratified with the
present results.


trust we shall not lose sight of the propo
stion so cordially received two years ago. tc
establish an Industrial School for girls. Such
an institution would do much good, and save
from vast evils. The subject cannot but com
mand the sympathy of every humane and
considerate man.


So far as l can judge of the State Prison
every thing about it appears to be well man.
year in the hands of the Warden for a
successful. The books show this year an ex
cess of earnings over expenses of S6S9.19
which is marked change in the balance Of
accounts. Great care is taken for the welfare
and improvement of the convicts and every
thing is done for their good which the nature
of the case will permit.


am constrained to say here, that the .jai
system In this State is far from being so sat
isfactory. As have said before, it is attend
ed by evils which are disastrous in the ex
treme, and l would respectfully renew my
recommendation that you provide some meth
cd to reach this matter.


The Executive Council have given particu
lar attention to the condition of the deaf
dumb and blind, who are now sent to institu
tions out OF the State. Some matters of de
tail have been corrected and improved, bu
upon the whole the present mode of carin.
tor those unfortunates is approved as the bes
provision we could make.


I'M