Terre Haute Daily Gazette, Volume 1, Number 77, Terre Haute, Vigo County, 29 August 1870 — Page 2
(tiemnQ {gazette-
MONDAY, AUGUST 20, 1870.
STATE FINANCES.
Governor Baker's Speech,
Indianapolis, Saturday
Delivered st
Evening, Angr-
ust 27, 1870. Fdlou) Citizens: The past and present indebtedness of the State being: matters of public recorcl, open to the inspection of all, may oe misrepresented but need not derstood by nnj on« desirous o, knowjnb "'f propose lu wliut 1 shall say on (his oubieet on the present occasion, to either quote literally from the record, or at least to refer to book and page for the verification of every statement.
It is a matter of history that, Indiana, in 183G, under the influence of the Internal Improvement mania which then afflicted her people, embarked in the construction of a vast system of public works which soon proved to be largely beyond her ability to complete. }y a single act in 1836, she authorized the borrowing of 810,000,000, for which the faith of tlis State, was pledged. The bonds issued under this act are known as '•Internal Improvement Bonds," and although there were other bonds of prior issues outstanding at tho time of the adjustment of the State Debt in 1S4, I shall, to avoid circumlocution, designate all the bonds issued prior to 1S47 as "Internal Improvement Bonds."
In 1S41, the State ceased to provide for the payment of the interest on her outstanding bonds, and no attempt was
made
to resume the payment of interest on any portion of her bonded debt until after the adjustment of 1S47. When the State suspended the payment of interest in 1841, her entire taxable property, real
and
personal, was less than $100,
(J
CO, 000,
and her outstanding liabrlities, foreign and domestic, were about$12,000.000. In other words, the State owed an amount jtial to about one-eighth of all the taxable property of her entire people.
In J.S45, the taxable property of the State had increased to $122,000,000 and, at the meeting ot the General Assembly in December of that year, Charles Butler, Esq., of New York, on behalf of a large number of the foreign creditors of the State, proposed that the public debt of the State should be adjusted in such a manner, and upon such terms as would render it possible for her to resume the payment of interest on such portion of the debt as should by the terms of the arrangement be charged upon the revenues of that State.
The result of many conferences between Mr. Butler and the members and appropriate committees of the Legislature was the passage of the act of January 19, 184(, entitled "An act to provide for the funded debt of the State of Indiana and for the completion of the Wabash and Erie Canal to Evansville."
This act was submitted, soon after its passage, by Mr. Butler, to a conference of a large number of the. foreign creditors of the State, held in London, at which divers amendments were suggested and prepared for presentation to our General Assembly at its then next mooting in December, 1846.
The amendments were accordingly presented, and the result was the passage of the supplementary act of January 27, 1847, which, as I understand the matter, largely consists of the amendments prepared by the London conference, and hence the peculiarities of this act
Avhen
compared with our ordinary forms of legislation. These two acts taken together have ever since their passage been known as the "Butler Bill."
This Butler Bill was at the time of its passage, only a proposition, because it in express terms provided that it should eeave, determine and be null and void unless bonds of the State to the amount of four millions of dollars, exclusive of interest, should be surrendered for cancellation under the provisions of the bill on or before the first day of July, 1847. What, then, was, oris, the "Butler Bill?" I answer in brief that it was a proposition made in the first place by a large number of the creditors of the State to the Legislature, and adopted by it, that the creditors should take the Wabash & Erie ('anal and some S00,C03 acres of land donated by Congress for its completion, for one-half of the principal of the bonded debt and also for one-half of the interest accrued thereon and, for the other half, the State was to make provision by taxation.
The principal of each bond was to be divided into two equal parts, and for one of these halves or parts the State was to issue—upon the surrender of the old bond—a new live per cent. State bond, the interest being payable semi-annually and the principal being payable at the pleasure of the State after the expiration of twenty years.
For the other half ot the principal of each bond surrendered, a live per cent, certificate of Canal Stock was to issue, and the payment of the principal and interest thereon was to bo exclusively charged upon the Wabash & Erie Canal, its lands and revenues, and for the payment of which the State was not to be liable.
The interest in arrears from 1841 to 1847, on each bond surrendered, was to be funded, and interest on the aggregate thus funded was to be calculated at the rate of
2i per cent, per annum from January 1, 1847 to January 1, 1853, and added to such aggregate, and the sum thus produced was to be divided into two equal parts, for one of which halves or parts, a cestifieate of State Stock was to issue, bearing interest after January 1, 1853, at the rate of 2J percent. and for tho other half, a like Certificate of Canal Stock, chargeable exclusively upon said canal, was to issue. Four millions of the old bonds of the State were surreuded under the Butler Bill, before the first day of July, 1847 and that bill thereupon became effectual.
If all the Internal Improvement bonds had been surrendered, the matter would have been very much simplified for then the foreign debt, for which the State is liable, would have consisted exclusively of 2.V and per cent State stocks issued under the Butler bill. In point of fact, however, the old Internal Improvement bonds have not all been surrendered to this day, although no provision has been made for the payment of any principal or interest thereon, except by their surrender under the Butler bill.
The result of this is, that the foreign bonded debt of the Siate, upon which she pays interest, has varied from year to year as old Internal Improvement bonds have been surrendered and new 5 and 2A per cent, bonds were issued in lieu thereof. Every old bond surrendered decreased the number of Internal Improvement bonds outstanding, but increased the 2.1 and 5 per cent, bonds issued under the Butler bill.
In ascertaining, therefore, the amount of the foreign bonded debt of the State at any given period, it is necessary to consider the amount of Internal 'improvement bonds, and the amount of 2.] and 5 per cent. State stocks that may be outstanding and to find the entire debt of the State, you must, of course, add to the aggregate of the foreign bonded debt the domestic debt which mav be outstanding at the same time aud it must be re^ membered that we have had for many years, and still have, a domestic debt.
DOMESTIC DEBT.
This domestic debt has generally 'ousisted, and still consists, of moneys due 'from the General Treasury of the State to the Trust Funds held by the State for 'Common School purposes," and of a few bonds issued to the lhcennesUniversity. ,to compensate that institution for lands which were sold by the State apd the •proceeds applied to the Biooik&ngton
University, the Courts having after-
wards decided that the incennes Institution was entitled to tho proceeds. Now if any one in attempting to inform tLe public how much the State owed at a given time, shall take the foreign bonded debt of the State and represent it as the entire debt of the State, when there is at the same time a large domestic debt outstanding, it is manifest that he who seeks truth for his guide cannot safely follow such a teacher.
Such, however, is the eaxact process by which the Indianapolis Daily Sentinel in its leader of August 12, 1S70, made the entire debt of the State in 1861, to be $7,770,233, instead of $10,179,267 as it really was.
It is a remarkable fact that tho Democrats, who have been attempting to enlighten the people oil this subject, do not refer to the report of the Democratic Auditor of State, Hon. John W. Dodd, made two months and a half before the termination of the last Democratic admini jtration to ascertain what the debt was when the Republican administration commenced but instead ot doing this they refer to the report of the Republican Auditor of State, Hon. Albert Lange, made November 1. 1S61, nine months after the Republican administration began, to find what the debt was the previous January.
In proof thep, that the entire debt of the State, foreign and domestic—was in January 1S61, $10,179,267.09, I shall quote
from
the
of
reports of both these Auditors
State, and shall show that these reports are not in conflict but in complete harmony.
I proceed therefore to quote from the report of Mr. Dodd of the date of November 1, 1860, as found on page 28 of the Documentary Journal of 1861, not a garbled cxtract, but his full summary statement of the condition of the foreign and domestic debt of the State. It reads as follows:
Sl-'JIJIAHV or THE KXTiriE 1XDK BTEDN'ESj OF TIIE STATE, Jb'OJJKIGN A EI) DOMESTIC. Internal improvement bonds outstanding Five per cent.stocksontstanding... Two and a half per cent, stocks outstanding Bonds held by Hoard of Sinking.
Fund Commissioners Vinccnnes University bonds Loan from Board of Commissioner's of Sinking Fund to pay interest, July 1,' 18,iS Indebtedness of the General Fund to the other Funds as heretofore stated tfS0,18S,9o
8.01.000 00 5,322,500 00 2,0ol,T73 CO l,lS8,2i9 fit 00,58.5 00
103,000 00
Total $10,17!),207 TO
Now, here is an itemized statement of a Democratic Auditor of State, showing the entire, debt of the State foreign and domestic to have been 810,179,267.09, on the 1st day of November I860 and il'any Democrat wishes to convince the pubiic that this statement is not correct, it behooves him to point out the erroneous items: or if he insists that Governor Hammond's administration between the 1st day of November 1869 and the 14th day ot January 1861 reduced this debt to $7,770,233, he should inform us how and when this reduction was made and which item of the debt was paid.
If the debt was reduced, and the reduction took place after the 14th day of January 1
SGI, the reduction £oes to our credit aiui not to that of the Democracy, for the (Republican administration commenced Ion that day.
The truth, however, is that no such reduction took place. The SentinH in the article before alluded to, says "The amount of the State debt November 1, 1861, as reported by the Auditor of State, Hon. Albert Luige was 7,770,233."
I deny that Mr. Lange in the report cited makes any such statement. I quote what he does say in his own words on page 205 of the Documentary Journal of I860—61 and you will observe that he says the statement is furnished by the Agent of State, and it is well known that tho duties of the Agent of State are confined to the foreign debt and he could give no information in relation to the Domestic debt. The language of Mr, Lange's report is as follows, viz:
PUBLIC DEBT.
The following statement of the condition of the public debt, is furnished by the Agent of State }?OXI)S SURREXDKKED.
There were outstanding on the 1st day of November, 1SS0, as heretofore reported, 803 bonds of ?1000 each There have been surrendered sinca that time two bonds of
S1000 each
•S-W1090000
2,000 00
Total outstanding Nov. 1, 1831. §301,000 00 FIVK PER CENT STATE STOCKS. There have been issued on account of bonds surrendered up to tho 1st day of November
I860 5.322.500 00 There has been issued since that time on same account 1,000 00
Total, Nov, 1, 1SG0 5,323,500 00 TWO AND A HALF PER CENT STATE STOCK. There had been issued on account of bonds surrendered up to the 1st day of November, 1SG0 2,054.73350 There lias been issued since that time on same account 1,000 00
Total, November. 1,1SG0 2,055,733 50
Now, let me place these three items in juxtaposition and add them together, which Mr. Lange does not do in his report, and the result will be $7,770,233,50, thus Internal Improvement bonds 391,00000 Five per cent 5.323,50000 Two aud a half per cents 2,0.55,733 50
Total foreign bonded debt 7,770,233 50
Now, if we turn back to the summary statement before quoted from Mr. Dodd's report, we find that he reported the foreign bonded debt, of the State outstanding November 1,1860 as follows, viz: Internal Improvement bonds 333,000 00 Five per cents 5,322,500 00 Two and a half per cents 2,054,77350
Total 7,770,273 50
A difference in the foreign bonded debt of the State as reported by Mr. Dodd in 1S60 and Mr. Lange in 1861, of only forty dollars, showing conclusively that, the Sentinel left out of the calculation altogether the Domestic debt of the State outstanding November 1,1860 of $2,408,993,59, consisting of the Vincennes University bonds G!i 38500 The bond held by the Board of
Sinking Fund Commissioners for L1&S.219G4 The loan from same Board to pay interest in July, 1858 165 000 01 And the indebtedness of the GeneralFund to the other fund 930,188 05
The way the last named item occurred was by the Democracy adopting the financial system of Wilkins Micawber as improved upon by the female Micawber, wife of Wilkins afforesaid.
Wilkins, you know, to replenish the Micawber exchecquer, always relied upon something "turning up,'" and when the starvation point was reached his faithful Emily, who never did and never would desert him, always insisted on his "turning something up," as, for instance, drawing a.bill and selling it. at any sacrifice. y*r
The Democracy improved upon this device by turning up the trust funds whenever they were short, and taking a slice and charging it to the general fund.
They seldom, however, had grace enough to give a bill or an I.O.U. for the amount appropriated, and when they did they failed to pay the interest. :,{ It is manifest from what has already beensaid that,- when the Hepublican Sfcftie -Administration was inaugurated on the llth d:v -,-r of Jauuary. 1SG1, the entire debt the State, foreign and domestic, was 510,170,267 00 And not 7,770.223 50 And that the misrepresentation consists in omitting r.ltogether the domestic debt, which then was 2,JC\,'r V) rN CUE ASF. Ov DF.lvr -BY THE NKOESSITIKS OK
THE WAi:.
To start with' then, the Republcans .Si-& in January, ISM, succeeded to a debt, of. 10,179,267 00 To this should be added the war loan bonds, rendered necessaay by "tho war and authorized IS? the' rSH legislature1 at its special session in l&ii iotliuiui'.s portion of the °lr£c,t tax assessed by Congress in ?, was assumed and paid
Hnn XwHep?w,wn Adinihistrai. lJ!
0111
By these additions, we see that the necessities of the war increased the State liabilities in io62, from 810,173,207 01) to 113,084,142 42." S* W 'JT* AMOUNT OP EXTIRK DDBT JULY loTII, 1870.
The question remains to be answered how much of this large indebtedness has been paid off and how much thereof still exists? In answer to these questions, I state that on the loth day of July 1870, the account stood as follow.?, viz Five par cents on Islanding §I.,i45,I97 33 Two and a half per cents outstand fe 3,110 13 204,000 00
War loan bonds Total of foreign debt on which the State pays interesl To meet this, wehaveon hand In the
Treasury of thd Board of State Debt Sinking Fund Commissioner belonging to the State Balance $5-33,280 69
sua,029
To meet this we have Trust funds, which may be applied by law to the redemption of this balance, amounting to $-500,000, and, to reimburse the sum which may be thus temporarily borrowed from the'Trust funds, we have the State Debt Sinking Fund tax for 1S70, now on the duplicate which, judging from the result of last year's collections will yield $640, 000, and will replace the Trust funds so used and leave a balance of $2S8,000, which can, if the Legislature shall see proper to recognize them as apart of the State debt, be applied to the redemption of the 194 Internal Improvement Bonds still outstanding and amounting exclusive of interest to §194,000, or thereabouts.
This disposes of the foreign debt of the State and it only remains to state the amount of our Domestic debt. It is as follows, viz: ncoilnes University bonds 63,585 00 Duo School Fund for which nonnegotlable bonds lmve been issued payable^to that Fund with iuteiest. payauie semi-annually.... 8,551,.*510 15 Afnouct due same Fund for which no bond lias yet been issued 07,000 00
Total domestic debt By way ot capitulation the iigures may be stated as follows,viz: Entire debt inherited by the Republican administration in ISril from their predecessors Increased by the W ir in l.Sfi2, to M,084,'l42 !7 Foreign debt in 1870, paid or provided for as befor stated: leaving
Domestic debt outstanding a.- before stated Deduct tills from tho liabilities of the State in 18(i2 as before stated.... And you have positive reduction of the liabilities of tiie State since the accession of the Republican administration in 1801, of.....
3,082,001 15 13,084,142 *J7
0,401,541 82
The small Domestic debt still outstanding, with the exception of the Vincennes University Bonds—•which only amount to $03,58-3, theState owes to her own School fund and the interest paid thereon by the people is returned to them by being apportioned semi-annually among the counties for the education of their children.
In the tace of such a record as this men may deny that there lias been any substantial reduction of the State debt, just as Mr. Voorliees denes that there lias been any reduction of the interest bearing National debt, by General Grant's administration but candid and intelligent men will know how to appreciate such denials.
I will here state what I ought to have stated in another connection, that, while the Republicans have wiped out the foreign debt of the State as before shown, they have in doing so only added $1 373,607.56 to the domestic debt was as before stated, •. •tuber 18(0. .......§2,408,093 59 3,082,001 15
On the 1st day of Nov And it now is
Difference §1,273,007 50 •SPEC-niHN OF T)EMOCJTATIC FINANCIERING.
Now, in contn^twith this, look for one moment at a specimen of Democratic financiering:
In 1852, the Democracy did, as the Sentinel claims,provide for the levy of a tax of two cents on each hundred dollars in value of the taxable property of the State as a sinking fund for the redemption of our bonds. The proceeds of this tax were to be used in the purchase of the bonds of the State, and these bonds were to be held by the State Debt Board of Sinking Fund Commissioners aud the interest thereon was to be collected from the State and used in the purchasing of more bonds and by this process the Democratic administration had, tip to November 1, 18o8, redeemed $391,810, of the State Stocks.
Now what do you suppose became of tho stocks so redeemed? I think I hear ail say, why of course they were cancelled and that was the last of them except that they were held by the State Debt Board in their cancelled condition so^that they might collect the interest from the State on them and with this interest take up other bonds.
No such sensible disposition I assure you was made of these redeemed bonds What then was done with them? fear if I should tell you in my own lan guage, you would think I was attempting to burlesque my political opponents and I will therefore adopt the language of the Democratic Auditor of State, Hon John W. Dodd, in his report of Novem ber 1, 1S59, which you will find at page 93 of the Documentary Journal of 1S59— 60. "These stocks"—say Mr. Dodd—have all "been sold to defray current expenses and to meet the semi-annual paymantof interest due in New York on the 1st of July last."
This beats any thing ever achieved by the Micawber family in tho financial line: Putting the redeemed bonds of the State again on the market and sell ing them—without authority of law—to raise funds to pay the salaries of these hopeful officials and to pay the interest on the other bonds outstanding!
Was not this turning something up with a vengeance And yet these same men are to-day the howling champions of financial reform. No wonder that such financiers are in favor of issuing fourteen or fifteen hundred millions of non-inter est-bearing greenbacks and tendering them to our creditors for a likeamounr of interest-bearing bonds. Surely, if a modern Confederate Democrat cannot lift himself up by the straps of his boots, no one else need try the experiment
But the cream of the joke has not yet been related. I have given you to understand that, after eight years of financial labor, the Democracy,'in 18-38, had actually succeeded in taking up State stocks to. the amount of some §391,810 and that they then put these stocks on the market .and sold them to procure funds to carry on the State government and to pay tho interest
011
2,O0J,0,X) 00
M. S'1
"flesh levy on
the ptoperty of the people........." .. Total
^4,875 3
§13,084,142 42
tho bonded debt of the State,
but I have not told you what sum these stocks were sold for. I now inform you that the.se Stocks, amounting to $391,810—011 some of which iuterest had run from January to April, and others from July to October—were sold for the magnificent sum of §267,101.97.
For the proof, I refer you to the same Documentary Journal," page 75, and to the records of the Treasurer's office to show that a part were sold in April and the rest in October.
The Kepubl'cans have, after paying interest on them for seme ten years, again redeemed these same stocks by paying par for them and we promise you that, they shall sta?/ redeemed this time, unless you entrust them to Democratic officials, in which case you had better take out a policy against accidents. f*
ENI-ARQFI3£EX.T OF 'BEXEVOJ.EXT A\RI OTHFH STATE INSTUTIOXS. In addition to reducing the liabilities of the State nearly nine and a half million of dollars and placing the comparalively small amount still outstanding in I such .a condition that it practically affioimts to'no debt at all—for we owe it to-ourselves and the interest we pay on it is expended iu the education of our own' children,—the Republicans since 1S61, have expended more Ihan a million
of dollars in increasing the number and
7
enlarging the capacities of your Benevolent Institutions in building Reformatories and other State Buildings, and in the construction and completion of the Northern Prison.
The Democrats turned a deaf ear to the command of the Constitution which says the General Assemblj* shall provide Houses of Refuge for juvenile offenders but we have executed it by providing an Institution at Plainfield which now shelters nearly two hundred boys, most of whom would, but for its saving influence, grow up to become a terror to the lovers of good order and ulcers upon the body politic.
We have provided tho Soldier's and Seaman's Home at Knightstown, in which more than three hundred soldiers and soldiers' orphans are cared for and educated by the bounty of the State.
We have provided the State Normal School at Terre Haute, which I predict will ere long be the crowning glory of our system of popular education and we have by liberal appropriations placed the State University in a position far in advance of anything it ever knew under Democratic rule, and we are now erect ing a Reformatory for Women and Girls, which will soon relieve the State from the terrible odium of sending women to the penitentiary.
We have doubled the capacity of the Hospital for the insane enlarge the Institution for the Deaf and Dumb, and erected a suitable building for the State offices and Supreme Court, and all this without the suspicion of fraud in the contracts or disbursements.
Of course the current expenses of these new Institutions and of the old ones enlarged, and the increased cost of supplies and subsistence over the last Democratic decade, has made a corresponding increase in the public expenditures, but tnanks to the good sense and public virtue of the people of Indiana, they do not object to any increased burdens which the progress of the age may demand, provided
5 3,(iS2,(ioi 15 the proceeds of the taxes imposed are honestly applied to the purposes for which they are contributed. 10,170,207 01 COMMON SCHOOLF:
Again look at the people1sColleges, our COMMONFUEESCHOOLS now as compared with 1860. The State is to-day dotted over with nearly nine thousand school houses—the exact number is S,666—or ninety-four on an average to each county.
In i860, the State School tax collected was $887,920.27, and the entire revenue for that year which ought to have been distributed to the counties according to tho number of children in each was $998,338.24 but, the amount actually distributed was only §544,980.90, or a little more than half the amount collected and although the Constitution requires the income ofour school fund to be sacredly applied to the education of the children of the State, the Democracy had other uses for it and therefore, they retained in the Treasury for the benefit of Democratic officials, the snug sum of §454,357.24 which in law and conscience belonged to the children for the procurement of their intellectual daily bread.
In 1869, the school tax collected was $987,563 41, nearly treble that of 1860 and the entire revenue collected and subject to apportionment among the counties for school purposes, was $1,496,388' 35, and ihe amount distributed was $1,489,052 92 the distribution falling short of the collection only $7,325 43 and the reason why this small balance was not apportioned was that it could not be done without dividing to eadli child the fractional part of a cent. The division stopped with cents and wffs not carried down to mills.
In 1860, the total school fund proper was $0,046,654. Of this sum there was productive, $3,184,262, leaving unproductive $2,862,392, or nearly one-half of the entire fund.
The reason of this was that the Democratic officials applied the School funds to other purposes, thereby making the General Treasury of the State debtor to this Fund, but they failed to provide for or pay to the School fund interest on the sums thus abstracted and this interest never was made good- to-the School fund until tne Republicans^did it after their accession to power.
They now boast that their intesest ac count was small in 1860, as compared with tho interest account now consider ing the indebtedness of the State at the two periods, well it might be when they practically repudiated the interest on $2, 342,408.59, which they had illegally ab stracted from the School funds.
Now, under the pretext of reform they propose to restore the same piratical crew to the command of your educational ship
In 1869 the entire School fund of the State was $8,350,368.69, all of which is productive except $603,637.86, and nearly all of this is in a condition to be made productive as soon as the Legislature shall provide for its investment. -ORDINARY STATE FINANCES.
But it is charged that, if the results of Republican administration in this State are as we claim them to be, these results have been accomplished by the most enormous taxation accompanied by the most astounding extravagance.
To prove this, the Sentinel in the article alluded to, instituted a comparison of the ordinary expenses of the State govern ment, and also, of the amount of taxes assessed during ten years of Democratic rule and a similar period of Republican rule.
You may judge of the value and truthfulness of these comparative tabular statements when I inform you that the year 1860, the last year of the Willard-Ham-mond administration, is set down in these lying tables as the first year of Republican rule.
Everybody, except the managers of the Sentinel, knows that Governor Ham mond retired from office, and Governor Henry S. Lane succeded him in January, 1861 and the year 1860 was therefore, a year of Democratic rule, which we utterly decline to have shoved over on the Republican decade.
I commend the Sentinel, however, for its anxiety to get rid of one year of bad government but assure it that the attempt to show that Governors Willard and Hammond were Republicans in 1860, must fail even among the most ignorant of Democrats.
The ordinary expenditures of the State Government properly includes the expenses of Legislative, Judicial and Executive branches of the State Government disbursements, made on account of the Benevolent Institutions, Prisons, Reformatories, &c., fcc. but does not include payments of principal or interest on the State Debt.
In the SentineVs tables on this subject the Democratic administration from 1851 to 1859 inclusive, is compared with what is pretended to be ten years of Republican administration from 1860 to 1869 inclusive.
a"
We turn back the ^e^ 1860 to them and for claim credit for $119,676,85, the amount charged to the Republicans as the expenses of that year.
Charging this year to us the Sentinel foots us the ordinary expenses of ten years of Democratic administration at $1,145,329,56, and ten years of Republican rule at $2,059,963,5S, making an excess for Republican over Democratic I rule Of $914,634,02, or $91,463,40 of an excess for each year.
Now, as there have not yet been ten years or Republican administration, I propose to reduce the comparison to the last nine years of Democratic rule, and the first nine years of Republican. To do this we must deduct from the SentineVs Democratic tables the years 1850 and 1851, the amount charged for those two years being $155,425 46, and this deducted from the $1,145,329 56, we have according to the SentineVs own figures, $989,904 10 as the ordinary expenses of com1859,
Democratic rule 1'or the eight years mcnciug with 18o2, and ending with Add to tliis for 1860, the niuth year, the sura of §119,676 85, and we have $1,091,-
580 95 as the ordinary expenses of the State for nine years, from 1852 to 1860, inclusive, under Democratic rule.
According to the SentineVs figures we have, as before stated, $2,059,963 58, as the cost of Republican rule for ten years from 1860 to 1869, inclusive deduct from this for the Democratic year, 1860, the sum of $119,676 85, and we have, according to the SentineVs own figures, $1,940,286 73, as the ordinary expenses for nine years from 1861 to *1869 exclusive.
But in this sum the Sentinel has charged the Republicans with $565,926 92 as ordinary expenses which were in point of fact, interest paid on the Domestic Debt of the State as follows, viz '150,826 73 202,024 02 213,065 97
For 1857 For 1868 For 1S69 Total for three years Deducting then this from the previously charged., and we have
$565,926 72 565,926 72 1,940,286 73 1,374,359 81
as the actual amount of the ordinary expenses for nine years of Republican rule from 1861 to 1866, inclusive.
No, if we take from this sum the $1,109,580 95 ordinary expenses of Democratic rule from 1852 to 1S60, inclusive, we have as the true excess of the Republican over the Democratic period only $215,379 86, or $23,931 09 for each of the nine years a sum much less than the increased current expenses of the benevolent institutions and the reformatories consequent upon the increase of population and the increased number of inmates ih those institutions. To prove that I am not mistaken in saying that the Sentinel has erroneously charged the Republican administrations with $565,92672, as disbursed for ordinary expenses, when that sum was really paid as interest on the domestic debt due to the school fund, I read the following certificate of the Treasurer of State: 1 STATE OP INDIANA, OFFICETREAS.STATE,
INDIANAPOLIS, August 22, 1870. I certify that in tho item of $163,880 37, stated in the report of the Auditor of State for tho year 1867, under the head of "Disbursements—Ordinary expenditures," to have been disbursed on ac-ount of "General Fund," included §150,826, 73 interest paid on the domestic debt ot the State for said year, 1867, that a similiar item of §233,97716, stated in said Auditor's report for the year ending October 31,1868, under the same head as a disbursement on account of "General Fund," included $202,024 92 interest paid on the domestic debt of the State for said year 1868 that a similar item of $231,10931, stated in said Auditor's report for the year ending October 31, 1869, under same head as a disbursement on account of "General Fund," included §213,07897 interest paid on the domestic debt of the State for said vear, making together the sum of §565,930,62, so paid as interest. [Signed], NATHAN KIMBALL,
Treasurer of State.
So much for expenditures for ordinary purposes under Democratic as compared with.Republican rule.
COMPARATIVE TAXATION. Now look at the subject of taxation as represented in the Sentinel in its issue before mentioned.
It first gives a table of the aggregate amount of taxation for each of the year's 1850, 1851, 1852, 1853, 1854, 1855. 1856, 1857,1858, and 1859, which it calls years of Democrotic administration and, footing up these aggregates, produces for the ten years named $25,077,826 10, as the sum total of the taxation for that period. It then gives us a table of the aggregate amount for each of the years 1860, 1861, 1862, 1863, 1864, 1865, 1S66, 1867, 1868 and 1S69, which it calls years of Republican administration and footing up these last mentioned aggregates produces for the ten years from i860 to 1869 inclusive, $87,511,930 24! as the grand total of the taxation for the last named period and deducting the former grand total from the latter, it states as the increase of taxation under Republican rule the sum of $62,434,107 14. After stating these as the results of the comparison, the Sentinel uses this language, viz: "Admitting the State debt to have been as claimed by Governor Morton, $10,179,267, when the Republicans came into power, in 1861, the increase in taxation alone, under Republican rule, would have paid the debt more than six times over, and yet the Republican leaders set up the claim of retrenchment, economy and honesty in the administration of the State government."
Of course this is intended to convey the idea—without in terms saying so—that the increased taxes levied for and applicable to State purposes since 1861, over and above the levy for the same purposes for the ten preceding years of Democratic rule, has been more than sufficient to pay the State debt six times over. The Republicans are charged with an increase as already stated ot 962,434,101 14 With the Sentinel's permission, we will claim a credit for the amount charged for the year 1860, that year .. belonging to the fossiliferous Democratic period. The amount is 4,471,126 37 This will reduce the 1Sentinel's charges 57,962,977 77 We beg the Democracy to allow us another small credit for the amount of taxes assessed during the remaining nine years by the counties for county purposes and with which the State administmtion had no more to do than it had in fixing or disbursing the taxes in any county in Kentucky. These county taxes are 21,444.268 97 This deduction leavesj the balance... 36,518,708 80 I hope it will not be immodest
to
claim on the part of the Republican State administration a credit
ed in the different townships and road districts of the State during said nine years for local road purposes This road tax amounts to... 3,747,564 01 Take this from the balance before stated and we have the balance reduced TO 32,771,152 80 From this we ask to be deducted
This
as
a credit the township taxes assess- U. ed for the same nine years for town- ,.-- SHIP .purposes JL,979,593 96
leaves the balance 830,791,558 84
From this we think it quite reasonaable to claim on behalf of the State administration a deduction olthe special School tax, as we do not exactly see how the State officials can be blamed for not applying the taxes raised by the School Dis-' tricts of the several counties of the •1
State to build school houses to the payment of the State debt. This special school tax amounts to 86,076,575 67
Balance S24,714,9S2 07 I beg that the dog tax which is ap- ^7 plied by the local authorities of the several counties for paying for sheep that may be killed by dogs, a may also be Jeducted. It amounts for the nine years to the sum of.... 5647,990 01
Balance §24.066,992 17 I hope that the Democracy will not "i insist that the gravel road tax ought to have been applied to the payment of the State debt, and, therefore, I humbly beg that it nay be deducted, amounting to 881,759 09
Balance ?23,185,233 08 From this deduct railroad taxes assessed by counties and townships to aid in the construction of railroads running through their border 302,765 14
Balanc 522,882,467 94 From this balance deduct other local taxes 2,981,210 15
Balance .$19,901,257 79 From this doduct delinquent taxes not collected but carried forward on the dupllcatefromyeartoyear, and footing up for the nine years... 11,064,400 11
Balimce S 8,836,857 68 From this deduct the bounty taxes assessed by different counties to pav local bounties during the war...8 3.914,362 29
Bilance 4,922,495 39 From this deduct soldier' relief fund tax, assessed for relief of soidier's '_** families, and which remained in
county treasuries and was disburs- ,i s» ed by conuty authorities .....$ 1,880,415 16
Balance 8 3,042,080 23 From this deduct library tax to replenish township libraries 95,686 44
Balance. $2,916,393 79 From this'deduct local corporation taxes carried on to the grand levy: fas reported in the reports of the
Auditors of
State
for said nine
years, amounting to 86,274 83
Balance $2,860,118 96
This leaves only §2,860,118 96 of the excess or increased taxation with which the Sentinel charged us and to meet and overcome this we have the school. tax [CONCLUDED ON THIRD PAGE.]
W
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F0STE2 BB0THEBS.
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I S I
That through this dull season of the year, when other Dry Goods' Stores are empty, and their Clerks down stairs asleep,
W I S I
WE ASK, THAT
rOSTKIt BROTHERS'
GREAT NEW YORK CITY STORE
IS AS CROWDED AS ETEBT
W I S I
That in spite of all the misrepresentations of Highpriced Merchants, and their combined attempts to prejudice the public against us, why is it that people still come through all the dust and heat, for more than fifty miles around, to trade at our store? It is
BECAUSE
WE HAVE WRITTEN UPON OUR BANNERS,
O W N W I I I E S
HE iP GOODS A3f» UTO DULL TRADE!
IT IS BECAUSE WE ARE FULFILLING ,OUR.PROMISE TO SELL.,
Goods as Low in Terre Haute as in IV. T. City
It is because the people have found put for themselves that our prices on many Goods are only about half those charged in other stores.
It is because our advertisements are not overdrawn, and so may be cut out 'and brought to our store, and the ejeaetarticle be obtained at the price mentioned. People coming from a distance do so without any fear of not getting the goods advertised.
It is because one and all of the 75,000 customers who have already traded with us bear willing testimony to the reliability of our house and the quality of our Goods. We aim to make our store the most reliable place of business in the West. We want our customers to /eel that a child can buy Goods of us just as safely as an experienced buyer.
THESE PRICES TEL1 THE STORY.
Good Quality Red Flannel, 20c. Extra Heavy Factory Jeans, 50c—others charge 65c. A yery good Unbleached Muslin, 6 and 7c a yard. ,, Good yard wide Muslin, 9c a yard. The
heaviest and best Unbleached Muslin, 12 l-2c a yard—others charge 16 and 18c. Look at it. It hangs at the door. -.' Coats' best Six Cord and Spool Cotton, 5c a spool.
Extra fine and heavy Waterproof Cloth, 90c per yard. Jr. Heavy "A" Grain Bags, FULL SIZE, only 29c. Big lot of Sprague and other Prints at 8 cts a yard. OUR Prints have the tickets on them so that you can see whether they
I are the Best Goods or not. •*. Beautiful Dress Goods at 12 l-2c, 15c, 18c, 20c, 25c, 30c, 40c, 50c. Lot of Best Delaines 11c, Double-width Alpacas 22c. Elegant Percales 14c, sold until recently for 25c.,
N O ADVANCE IN OUR PRICES
Elegant lines of Black and Colored Silks..tw
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Popiins, Grenadines, Dagmar Cloths, Shawls, Lace Points, Hosiery and Underwear Cloths, Jeans and Cassimeres. White Marseilles, Hickory. Denims and Checks, Table Linens and Napkins Parasols and Sun Umbrellas, 4c., Ac., all new ana bought with CASH since the great decline.
O S E O E S
i- iff
NEW YORK CITY STORE, Opera House Block,
124 MAIN ST., TERRE HAUTE, IND. 280 BLEECKER ST., NEW YORK 167 EIGHTH AVENUE, NEW YORK CITY94 COLUMBIA ST., FORT WAYNE, INO,
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1
BECAUSE OF THE RISE IN GOLD!
CARPETS of all kinds away down. l? Thirty cts. up.
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