THE STATE BORROWING MONEY.
Mr. MURRAY submitted the following protest, which he asked be placed on the journals:
In protesting against the passage of the House bill, providing for borrowing seventy-five thousand dollars out of the school fund in the hands of the Sinking Fund Commissioners, for the purpose of paying the current expenses of the Legislature, and other debts of the State, the undersigned would give a few of the reasons for protesting against the passage of the bill.
1st. This Sinking Fund, principal and interest, was set apart for the education of the children of the State. After the expiration of the charter of the old State Bank, the Legislature passed an act authorizing the Sinking Fund Commissioners to distribute this fund among the several counties of the State, the principal to be loaned out in small sums upon good mortgaged security, and the interest to be divided among the several townships for educational purposes. The undersigned protests against the passage of this loan bill as a violation of this act.
2d. Various amounts from time to time have been abstracted by the State from this fund under similar pretexts, and not one dollar either of principal or interest has ever been repaid. The undersigned protests against this bill as likely, to result in a like loss to the fund.
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3rd. The State as a mere custodian or trustee of this fund, has no right morally or legally to appropriate it to its own use. If squandered, there is no power of redress. No bond-holder to say pay me what thou owest," and enforce by legal remedies against the State the obligation which she assumes. In behalf of a portion of the defenceless children of the State, the undersigned protests against the passage of the bill for this reason.
4th. As it is well known this Legislature must provide for a deficency in the receipts of the State to meet the current liabilities of former administrations to the amount of a million of dollars, which, added to the heavy and increasing public debt, puts it beyond the power to provide out of the public revenues (at an ordinary levy which is proposed to be laid upon the taxable property of the State for the coming two years for the repayment of this loan from the school funds), the provision in the bill requiring It to be paid back in ninety days cannot be complied with. The undersigned protests against it for this reason.
5th. There is no necessity for borrowing this amount, or any other amount from the school funds, as the Bank of the State stood ready to loan the State the required amount. Also, there are plenty of funds in the several county treasuries belonging to the State, amply sufficient to meet all present liabilities, awaiting the requisition of the State Treasurer, and upon a simple demand of that officer, would have been forwarded. For this reason, also, the undersigned protests against the passage of the bill.
The undersigned further protests against its passage, because a proposition offered by himself, providing for the re-payment of this sum to the school fund, by making it the duty of the county treasurers, upon the proper information from the fund commissioners, to retain their proportionate share so borrowed, out of the State revenue in their hands, was voted down by the Senate, establishing the fact beyond controversy, that the friends of the bill did not intend the amount so abstracted to be repaid out of the revenues of the current year. He cannot but view the system now inaugurated as jeopardizing the whole school fund, and consequently the educational interests of the State.
Respectfully submitted, C. L. MURRAY
Mr. SLACK moved that Mr. Cobb have leave to vote upon the passage of the loan bill.
On motion by Mr. LINE, this motion was laid on the table-yeas 26, nays 15.
Mr. COBB moved that Mr. Slack have leave to vote upon the passage of the loan bill.
On motion by Mr. WAGNER, this motion was laid on the table-yeas 27, nays 16.
[Pending these proceedings, humorous remarks were indulged in by several Senators causing frequent and general convulsions of laughter.]
The PRESIDENT said that, inasmuch as the Senate had indulged in considerable merriment, and two votes had been taken indicating the feeling of Senators, he should decide further motions of this kind out of order, unless under a suspension of the rules.
By consent, Mr. SHIELDS had leave to record his vote in the negative, on the passage of the bill.
The bill [H. R. 190] To provide for the expenses (30,000) of the present Legislature, was read the second time ; the rules were suspended-yeas 36, nays 2-and the bill was read the third time, and finally passed by yeas 38, nays 2.
