Year: 1875

~ assembling now, pursuant to the
joint resolution of March Sd, 1875, you
find the State more prosperous than when
you left the capital at the close of your
arduous labors of last winter, and YOU
and the people all have cause to rejoice
at the prescut condition of the state, az
well as her prospects for the future.


Your work Of the past session has been
tested, add has met the approval of the
people more fully than could have been
expected, as much of the legislation was
experimental, and all of it had, under
most trying and unfavorablc circumstan
ces, At this adjourned session it is not
expected general system of legislation
will be entered into, but only so much as
is actually necessary to perfect or make
etfectual the laws passed at the last sess
ion do not think it necessary or radvi-
sable to call your attention to but few
points.


The board OF finance, created at the last
session, partly negotiated loan of mo
ney, sufficient to dcfray the current ex-
penses of the government for one year
fcom July lst, 1875 to July 1st. 1876,
bat the parties offering to loan the State
this money, were not satisfied that the
board had the power to bind the state by
proper writing, or the authority to pledge
or hypothecate the bonds of the state to
secure the loan, and the money was with
held, and the negotiation delayed till leg
lation could be had to meet these objec.
tons. When these are removed by leg
islation, the money will be subject ito the
order Of the board, to be used as already
indicated. The board are satisfied that
this being done, there will be no further
difficulty as to money with which to carry
on the government, and but little if any
scrip need to be issued, and the board
recommend the passage of an act at as
early day as possible, that will secure this
loan.


The board are of the opinion that now
it would be well to permit the new scrip,
or auditors warrants and treasurer's Ger.
titicates, issued since the twenty third day
of December last, to be funded, uuder
the act OF that date, entitled an act to
provide means for paying the expenses Of
the State government, and to retire the
outstanding auditors warrants and trea,
urer's certificates" and they recommend
a law to this effect be passed.


AS there is, at present, large amount
of money in the treasury not being used
for any purpose, and, as there are out.
standing obligations of the state drawing
large interest, the board consider it ad.
vlsabie that this money be used to liqui.
date certain obligations Of the State, and
they recommend legislation that will en-
power them to apply any moneys in the
treasury from time to time not otherwise
appropriated by law, to the payment Of
the obligations Of the state in sach man
ner, as in the judgment of the board may
best subscrve the public interest, but they
shall not, with this money, pay in whole
or in part, any bonds issued prior to the
first day Of April, 1874.


1t is clearly demonstrated that the ra.a
OF taxation is inadequate to the raising of
sufficient revenue to carry on the govern
ment and meet the interest on the public
debt. and to support common schools,
and the board recommend the revenue
laws be so amended as to levy for the fis
o"I year beginning July I, 1919 ana an
nually thereafter, five mills on the dollar
for defraying expenses Of the govern
nent, three mills on the dollar to pay the
interest on the public debt, two mills on
the dollar to support public schools, and
also levy of one dollar per capita on
every male inhabtant over the age of
twenty one years for school purposes
the two last items now being provided
for by law.


Fora more complete and satisfactory
working Of the finance measure Of last
session, the board of finance should be
authorized to sell any Of the bonds pro
vided for in such act, for cash, or any
Of the warrants Of the auditor or treas,
urer's certificates now outstanding. at
par-salcs for money to he at not less
than sixty perccntum of their par value,
and in sales for warrants or certificates
the bonds to be estimated at par; and to
this extent they recommend the finance
bill be amended,


THE CLAIM OF l.. l. JOHNSON AND II,


REYNOLDS,


which was referred to the board of finance
by joiut resolution, approved March 6,
1875, has been fully considered by the
board, and it is found they are entitled to
the sum of S34, ,164 20, with six per cent
interest from March l, 1872; and it is
recommended this be allowed them, as
set off against any liability accrued to the
state upon any of the mortgages execu-
ted for stock in the Real Estate bank, in
which these claimants or their assigns, or
the contractors under them, hold the
equity of redemption, The papers and
documents relative to the claim, as well
as the report Of the board, are submitted
herewith.


LANDED INTERESTS OF TIE STATE.


Under the act Of Congress of Septem-
bcr %, 1850, known as the swamp-land
act, large amount of lands was select.
ed which WAS afterward disposed Of by
the United States. Upon proper proof
that any lands thus selected came within
the provisions of the grant under that
act, the general government will refund
to the state, in case of cash entry, the
amount Of purchase money, and an equi-
valent in lands for tracts located with
military bounty warrants or scrip. 1t is
very important to the State that this proof
be furnished, and a settlement of all such
cases bc had as soon as possible; and ]
recommend the passage of law authori