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*4 v* Supplement to PRESS AND BANNER. iflUiNI CITES WONDERFUL I || IN THE FENDORSES THE DISPENSA1 | SEVERAL AMENDM Jr^Fhe Finances of the State in I and Good Will Prevail T1 I ferent Departments ol Ek Numerous and Time] H As to Taxation?Clai Ipv/ Government?Goi Pj GenllexUeirOf the General Assembly: fcv'Y During the past year the heavy hand of K. affliction was laid upon the chief execuK?;tive 1 of the State and the people were Recalled to mourn the death of their GovO^ernor. After a long illness Governor HRtyilliain H. Ellerbe died at his home in ?'Marion County ou June 2, 1S99. Young Fkin years, full of honors, and commanding respect of his countrymen he was I?igather? to his fathers. Holdiug the po j^'sition of Lieutenant Governor, to which I 'load been elected, and obeying the Con^RStjtution, I took the oath of office as ^|^toranoron the 3d day of June, 1899, lately thereafter began the duties met there has been very progress in the State in branch of industry. The has garnered the products of the assurance of good rehis' labor. Manufacturing en^^^erprises have gone forward with almost Mr miraculous rapidity and are furnishing K;. lucrative employment for many of our B - people. There has been great activity in Ki theibuilding of railroads, the great dej^fc veloJiifeiB of a country. Peace, happiness ^ gg^prosperity prevail in every portion of ^Vlhe State. Factional bitterness and strife are things of the past and the poeple are MM united for the upbuilding, progress and V development of the entire State. Death V? has not tHinned your ranks and you come VI together t<jj3eliberate and make laws for Hr<;the people&nder most auspicious circumBf 'Stances. I trust that in all yourdelibera^t'.tions yoiv^friay be guided by a single ^purpose?the welfare and happiness of ^Brthe people whom you have the houor to j^Mepresent'* However you may differ, as you will, your combined wisdom * - ?: 11 BDsd high patriotism, l am sure, wm icBHsult in the passage of such laws as will MJhiedouud to the good of all the people. Iu Hf the accomplishment of this purpose 1 Hr "'Stand ready and anxious to aid you an<3 co-operate with you in so far as my powei HI and ability may go. ' EVIDENCES OF PROGRESS. Ev In cotton manufacturing South Caroli I m leads all of the Southern States am; *ands second ouly to Massachusetts in f<e number of spindles and second tc equipment. If the progress oi ^^ he~?>a6t year augurs anything for the shall soon lead all others it! M this important industry and instead oi Wm furnishing any of of our staple crop foi K export to other places for manufacture we V' ^ill be large importers of cotton iron: other States to supply the local demand, V During the past year eleven new mills have been organized and are in process oJ g' construction, representing a total capita] $3,275,000. Sixteen old mills have W,, been enlarged, representing an increase ' .of their capital stock of $2,429,000. This V -not only means a large addition to the > - wealth of the State and an increase of the j* ' taxable property, but it means wealth put into active service and employment foi . many of our people. In railroad building, as I have already ; . rstated, there has been very decided activity. 237 miles have been completed ? jand in actual process of construction. SV This represents an outlay of least 525,00c a mile, or nearly $6,000,000, and wlieu completed and returned for taxation, - even at a valuation of $10,000 a mile will add $2,370,000 to the taxable property oi the State. In cotton seed oil mills, the lumber k . business, and other branches of industry there has been very marked activity. I'oi the exact figures in all of these new enterprises I beg to direct your attention to >L' the full and exhaustive report of the Sec} rotary of State. A study of these figures " and a realization of the material progress [upon which the State lias entered should be cause of sincere congratulation to every true Carolinian and should move you as !- representatives of the people to do all that ; you can to foster and encourage this prog1 ress and these institutions and industries p. -which mean so much for our State. I L have thought proper thus briefly to direct I . ;jto>ur attention to these substantial eviv' dences of progress and growth as an enix '.couragement and an incentive to our peo[ pie to the accomplishment of even greater ? things which lie easily within our grasp if we will but put forth our hands and lay n*- hold of the advantages and opportunities that thickly surround us on every side. \ FINANCES. T tike pleasure also in congratulating (p ^ou on the condition of the finances of ^ the State. The State Treasuter has been Able to meet all of the obligations of the fcj.vState promptly and also the interest on I^the publicaebt without the necessity of B 0,1 V ETC MESSAGE. i MATERIAL PROGRESS STATE. \Y SYSTEM AND SUGGESTS ENTS TO THE LAW. a Healthy Condition-Peace iw/MifrVinnt thft State?Dif UVU6uv?? ? F the State Reviewed, ly Suggestions Made, ims Against General od Roads?Read it. having to borrow any money or overdraw his account, and still has a balance in the Treasury. I give herewith a statement of the receipts and disbursements of the past year: ,\o io?tco o ^oc ~ccco O rOvO O O I O t>.?/500 O^Z O ~ ro-too "<r tSi-i o 5>oo o r* cs w POO vocc c o -rroo o I T?"PC -? N no - ?*o ouc o o*co t !\? O ** o no fOC ~ *0 NN O OOO 1 N Q 10 ? o mciiom ro fo p J m 5 ^ I : : S*<S : : : :TT oj | j :::::::: : i : :::::: "! ' ; m ^ * . :::::::::::: : : : : : : ! rrtttiiltiltrn 1 j:::l ::::::: ? ::::::::: 8 i i i i : S : j i : i ! : ! ! i ! i i : i : i : : f : ? : j \ \ ! ! M8 I ! I UJ i ! : 3 | : :&g : j : <5 i : : IB : : i ^ is ! iSJ : : : ? ; i ; ll i : i : ! ; i: i?i :&? i : : a) ... S Pi * tfi * * . > ; i :? : :sg is o ^ :5s1 : : : :a "S : 06 : :"5 ? . ? ?s5 : .5 5 _ess5 : . s ?;;:g?a : :?|-g!? -.? ?: ? v : : ;? :g2o :35?= 2-ug_! : :8 g ^ :Hsg|gsl!a: :<3 B jj c >.S = ^'-tS^-xxD ; :. * d :2*E ggCS^*figUS,?jSs : : = ? a ; ? gS=2g,-8|!2 :?;? ? 8r:SS^SS?|?Sl3fiS?|1 :?? = ?.= =< e 5? u-^.S.r s-,r ? . fc?L^ 14 c 2 5 Lrf rj r* ^ ^ "Zj * w h (/ h 9 ?> ^ ^ m -uE c s J s * ?,. = 2 ? 2.2-ccojj ^ li r n" > - j a u ^ i a ? C ? ? - e ?.w5? o.2 ?.|"ia:'sa p&SRS g <S.?8??!S.*8?3F^ ? <?$*? ? S-SSJSSB'srHsS ??'? r *11" L_? ?j : ; : :a?SS||R8: 2 o ' ?;.... o*Q5 o \ x*g . * I ' 51^2 H w N ? | : : : l_ ?- j ::::::::::::: ::::::::: t> ; C * * ?:::*::: - : : : u a . ? ::::::::::::: :* : : : : :3 : a :?:::: :im : ts ! r 2 I ... B M O ! ? ...2 *3 'o ...55 ..... Q M ' " ?' . "2 : : s ; :K : 'fef c . . . *? y Q,oq w : : - : : : : : : : :? ] j \? o j b? ^ t> ?* w . . . 1 . . . l. . . . . ^? ? ? ? . r* * . 9 m CS f c{ ' ' t? J ? ....? .. 2?.J3. ? pm 2 *fij '32 ' . . . CS . > J* y . ? * e 8 * 1 a : : i.8g i? i&: if: : :S :a : : :?*$ ?h U"" *n *2 . r". cS <* o0 ' : ?2 : : :='~ :?f=5 : oi^j :?'2"R ' C ? v- O ?EL'S 'SOS G- ? 1 O ' "r/.OOi^ ' 2 f. u : C cr, ^ 'IS 23 V, || ij:!?I|-ISSlSii . 5 : i|'eii }{ -ail? ;?.?*?2SS' 1 . m . Z, ? . cjT O - r 1 ~ u ? x ~Z i. :!s8i?2*f!?ls; illiSilS 1 ;*|?gSii1liI?!l Es.SgStfri 1 .? i" 0 --iv* o ir,'5.'0^ ' ?? s? 5 ~ * - * ? - - at;r" fH.g tt - a -yiS X. x a "SU1 i l*E"S5iil gl |sf 5?5 Sf RS-g i sfs-Sii" o o ax.t.t.h ? = 8 oH-S.i.2.2 3 T. m 2. K u u ?= ?s x -J3 o a a u i? ? a x?a a u j- The Treasurer of the State has called my attention to the fact that there are a number of old bonds which have hitherto : been reported as fundable, but which un! der the Act of 1893 are now no longer so, and among them are the bonds claimed by the State Bank (Blue Ridge Railroad ! bonds of 1S59) to amount of $37,000. F The Act of j 896 referred to prohibits the I State Treasurer from funding or paying any bonds after the expiration of twenty years from the date of maturity. The bonds above mentioned matured on July 1st, 1879, and the twenty years limitation expired on July 1st, 1899. These bonds, it may be recollected, have been the subject of several applications to the General Assembly for permis sion to fund.them without the surrender of the bonds themselves. One hundred thousand dollars of these bonds were, it is alleged, plundered and taken from the Bank 111 February, 1S65, by the Federal troops in their march through the State. They have from that time been constantly pl'jitno/l hv flip PatiV flu* rpppi'irpr nf which obtained an injunction from the courts as early as 1870, restraining the Treasurer of the State from paying principal or interest of any of them to any one but to the receiver, and under that injunction all of these bonds but the thirtyseven now remaining upon the Treasurer's books have from time to time been recovered by the receiver of the Bank, and by him funded. No one has during the thirty years since the injunction has been in force claimed the bonds in question, and the Courts of the State have declared that they are the property of the State Rank, and that the receiver of the Hank is the only person entitled to fund and collect them from the Treasurer of [ the State. I he State owes these honds to some oue, and the objection which the General ' Assembly has hitherto had to the funding of them has been, it is understood, the fear that some one might still produce and present them to the Treasurer, for funding under the funding Act of the State, and that the State might in this way have to pay them twice. 'I his objection seems now removed, as no one but the receiver of the bank has the right to ask to have them funded, all other persons being now barred by the statutes from applying to the Treasurer for that purpose. But however this may be, some action Ill U31 lJWW iJC Ulk^ll 1U Jt^aiu tu LliCiU. They can no longer be carried on the books of the Treasurer as bonds fuudable. It rests with the General Assembly to say what must be done in the matter. A short time ago I received a communication from the Secretary of the Treasury at Washington calling my attention to a claim of the United States Government against the State of South Carolina and an Act of Congress passed March 3d, 1899, requiring him to institute such pro' ' v>,Y ?/ . Vga&Fte ' ' : S&w* .K>f ceedings as he might deem proper to collect any bonds or stocks, principal and interest, which the General Government holds against this State before any claims on the part of the State against the General Government should be paid. This communication was brought forth on account of the claims put in by this State i for reimbursement of expenses incurred, in organizing volunteer troops for service in the war with Spain. I submitted the letter to the State Treasurer and asked him for a statement. I submit herewith his statement and ask for this matter such consideration and action as in your wisdom you may deem proper to take: "In pursuauce of this provision of law the Secretary of the Treasury 01 tne uuueci States has notified us that tlieGcueral Government holds certain Stale bonds to the amount of$i25,ooo, principal; and interest to maturity of $123,750, aggregating ?248,750, and requests payment of the same. These bonds bear interest at six per cent, and were issued under ,Act of December 19, 1855, for construction of new State House, issued January 1st, 1856, redeemable January 1st, 1881. By reference to the records of the State Treasurer's office it is noted that there was some correspondence had between this office and the Treasury Department at Washington in November, 1881, and during the administration of Governor Johnson Hagood, but without a settlement of the claim so far as we know. 'Under the Act of the General Assembly at that time of force these bonds, principal and interest unpaid to 1st January, 1880, were fundable in six per cent, consolidation bonds at fifty per cent, of said amount. The consols being redeemable on 1st of July, 1893. The Act of the Legislature of 22nd of December, 1893, ?: 4-V.rtf *11 Krvnrlo Qnrl CtTVOkQ llith piuviuca Luai an erto fundable in these consols upon their surrender be exchanged for the new 2040 years 4^ per cent, bonds and stocks authorized by Act of December, 1892, for the redemption of Brown Consols. These coupon bonds now held by the United States Government are fundable as above stated upon their surrender, i. e., at 50 per cent, of principal and interest up to maturity. The State, however, has Revolutionary War claims to the amount in round numbers of $550,000. Jh the investigation of this claim against the United States Government theGeneral Assembly in December, 1856, passed a resolution authorizing the appointment of some suitable person to investigate and prosecute the State's claims as aforesaid, and under that authority Governor R. F. W. Allston appointed Hon. Jas. A. Black agent for that work. The said agent incorporated the result of his labors in a report to the General Assembly, which was ordered to be filed with Comptroller General, which cannot now be found among the records of his office. There is a large mass of old papers now in one of the rooms of the State House, among which this valuable report might be fouud if the means were in hand to employ an effi cient and painstaking person or persons to examine this confused mass of papers. There are, in all probability, other claims held by the State against the General Government, to say nothing of private claims of large amounts amounting to millions of dollars." This is a matter of very great importance to our State. At your last session you passed a joint resolution requesting and directing the Governor and State Treasurer to furnish all information available to our Senators and Representatives touching the claim of the State against the United States for money advanced during the War of 1812, and that our Representatives in Congress be requested to urge forward all legislation on the subject. You also rescinded all outstanding contracts if any should exist for the collection of this claim. It seems that the Black Report made in 1S58 and mentioned by the State Treasurer embraces all the testimony and facts relative to the State's claim. In view of the importance of this report 1 recommend that you provide for an examination of all the old records and especially the old rubbish that is stored away in one of the unoccupied rooms of the State Capitol to see if this report can be found. Its recovery may be the means of our getting a considerable sum of money from the United States Government and it is important to put our Senators and Representatives in possession of all the facts that can be obtained. As I understand it, the claim of the United States Government for the settlement of the $ 125,000 of South Carolina bonds belonging to the Indian Trust Fund and the accumulated interest is a just and honest claim which we ought to pay and tiQw luifli Aiir olatm against the United States Government and have a balance to the credit of the State if we can find the testimony to substantiate the claim of the State. The matter was in process of settlement when the Civil War broke out in 1860, and the State had joined with other States in protest against the unfair methods of the United States in adjusting the claims and it was to sustain its coutentions that Black was employed to work up the State's case. It may not be possible to obtain the full amount claimed by the State, but I am informed that there is absolute proof in official documents that the United States acknowledged that it owed the State of South Carolina in 1831 $7S,ooo and this with accumulated interest for fifty-nine years would amount to about 1350,000. If this could be adjusted without going into the disputed claims the State could pay the claim the United States Government holds against it and ha*e about $100,000 left. Under the consolidation Act bf"i873 the State Treasurer can only refufi&old bonds at fifty cents on the dollar, but if a settlement as suggested could be made with the United States Governinent you might pass an Act authorizing the State Treasurer to settle at 100 cents on the dollar on condition that the United States pay the just claims to the State of South Carolina as acknowledged in the report of the Secretary of the Treasury in 1858. For a statement of the bonded debt of the State vour attention is directed to the annual report of the State Treasurer. Our bonds finu a ready sale in the markets of the world at a premium aud the credit of the State is good. TAXATION. / The Constitution says that "All taxes upon property, real and personal, shall be laid upon the actual value of the propertytaxed, as the same shall be ascertained by an assessment made for the purpose of laying such tax." It also says the "General Assembly shall provide by law for a uniform and equal rate of assessment for taxation." It is a fact that very little if auv property is assessed for taxation at its "actual value." Forifit were the taxable property of theState wpnld be a great deal more than it if%ttd t^rate of taxation could be consider,abl^atrednced. To the taxpayer, howeyer-^jgg^gfnpt a .matter of very great conceW^Br^^riain amount of money has to be peet the expenses of government anaTOme,' if . ,v ? ^ the valuation were high the rate could be reduced, yet in the end it amounts to the same thing. The question that concerns the taxpayer is to have a uniform value of assessment whether it he the actual value or one-half the actual value. The burden of taxation would then fall equally on all the taxpayers in proportion to the property they own, but if one man's property is assessed at its actual value and another man's at one-half its actual value the one either contributes more than his share to the support of the government or the other does not measure up to his duty in this matter. The main desideratum is to secure such a mode of assessment as will give a uniform valuation to all prop erty suujeci 10 laxauun. 1 nai autu icsults are not obtained no\v I insure. Whether it is the fault of thfe lawor it*, administration I am not prepared^ say. We have township boards of assesSt^s and county boards of equalization, V;but- the manner in which they as a rule dfojbarge their duties and the time theyaflMBb the ' discharge of these duties does fiff.$icure a^ uniform valuatio^^^ro^^^^^the in each county, as cou u ty, pur-;, poses are concerri?Sl- thw^Baght suffice^ but the average iri-.the consideration as a could be devised by jSffi^|3p?itution could be obeyed ^uTOMp^flBR' assessed at its actfial valuettrel)u^HBe>uld bear more easily each township ami tai8Sft<?r^3pp|Jbp-'' ertv and then the tow#8^\boa|!^ jteet and go over these returns a^d^fce^fefiy': are gone over bv the county eration the advisability Of reqmr^^hatj the Constitution be carried ouf^sad all j property assessed at its actual \fajgH?and;J that the County Auditortake returfl?n2| in the townships and that the to^njaJSHI boards be required to\attend whifemB returns are being made and if. ajtyjflgflB on arises as to the valuation of the proj^SKS it could be settled by the AudittfflgHgj board of assessors hud the property. These township boardyjffiHMB he men of ability aud ~charact^?MV should be in position to determiwp?p(f actual valne of the property. I believe'' that some such plan if properly carried out would materially increase the taxable property of the State and go far towards equalizing the burden of taxation. There * ? ? J ?*? 4Vv Krt /I am A n 1 Ati rr 15 LiCCU 1UI dUUiCkUllig IV UC uvut ?4VU^ this line. ' , , ,/ , . There is also some complaint of the irregularity in which some County Treafc-. urers remit taxes collected by them to the State Treasurer. The law fixes the times at which they shall remit but many of them do not observe it. I think it would be advisable to place them on salary the same as County Auditors and require monthly statements from them and withhold their salary until the statements were received And also require them to submit with their monthly statement a statement from the bank of deposit showing the amount of moticy to their credit as Treasurer. And penalty should be provided for the failure to turn over funds and make reports as required by law and power given the Governor to suspend or remove such as persistently refuse or neglect to obey the law. This subject of taxation is one that i more directly concerns tne people man any other with which you will have to deal and it deserves your most earnest consideration and in whatever you do you should endeavor to make the burden bear equally upon all theproperty of the State. By comparison of the figures in the Comptroller General's reports you will see that the taxable property for the fiscal year commencing January i, 1899, is $3,185,183 more than for the preceding fiscal year. Total taxable property for the fiscal year commencing Jau uary ist, 1S99 $176,422,288 Total taxable property for the fiscal year commencing Jan uary ist, 1898 I73i237.io5 Increase 3,185,183 CTXTTTTXTA "ElfTVTT* I beg to direct your attention to the report of the Commissioners of the Sinking Fund from which it appears that the Cumulative Phosphate Sinking Fund now amounts to $347,731.38. This shows an increase of these assets of $51,125.94 since the report of last year.- Of this amount $11,746.65 is derived from interest and $39,379.28 is derived from phosphate royalty during the year. "The assets of this fund consist of the following: State stocks.......-..'; $ 35,728.56 Bank loan secured by State Bonds.... a 20,000.00 Loans to Counties *..... 113,084.33 Interest "bearing deposits in /Banks 178,918.49 Total $347,73i-33 The assests of the Ordinary Sinking Fund amount to $43,330.64 of which $30,200.00 is loaned to counties and $13,130.64 deposited in hanks. This shows a decrease of this fund of $2,143.42 since the last report. This is covered by the purchase of escheated lands which have since been sold at a profit but the terms of sale have not yet been fully complied with by the purchaser. The report gives full details of the worfc of the Commissioners for the year and I iuvite your careful attention to it and the recommendations contained therein. PENSIONS. A generation has passed since the WarBetween the Slates. The Southern sol- . diers who fought for a cause they bGlie.ve?' to be right laid their all upon thealtar61 their country. Greater sacrifice and self?l \ denial were never more cheerfully madef,' in any cause or in any countrj^than in this struggle by tjb&^QUthera^ldier. They displayed a fo^Ujfl&^^adj^heroism that will furnish ttogaes fo?t^ poet and the historia^fjpt all'fime to"coate. They lost in battleyjfec^tfee of overwhelming numbers anaTOources 011 the other side, and without repining laid down their arms and returned to (heir homes and began with a spirit of cheerfulness rarely seen to rebuild their lost fortunes. Many of them have passed to the other shore and now rest under the shade of the trees, and every,year the ranks grow less. It is our sacred duty to honor their memory and defend their good name. Not or.ly so, it is ou? duty to take care of and provide for those who are in need of our help. This we can do without the slighest semblance of disloyalty to the Union. There is no longer any antagonism between the scetionSr^Nie Southern soldier will defend the Union as cheerfully now as any citizen. This was demonstrated in the war *ith Spain, where tho9e who had opposed $ jfS"' , ..." . ? *3 cacli other 111 battle fought shoulder to shoulder for the ilag. What we are able to give is but a pittance, but it helps and we should give it cliee*Tully. J.,ast year you appropriated fc ' .is to Confederate soldiers and w! v r soldiers the sum of >100,000. I recommend a like appropriation this year. It is important that this appropriation should be expended and distributed wisely and in such a manner as to meet the intention of the appropriation. The selection of good, competent, and conscientious township and county boards, men who know the conditions and are acrmuiiitcxl witti tlip nredsof the auolicantsl is of very great importance. It is difficult to get men to work without pay, and while in this case it seems that good men might be found who would be willing to serve without compensation, I suggest that youtonsider the wisdom and advisability of allowing the members of the iCOUnty and township boards one dollar Jp^hr ^Lay for not exceeding two days for yonfwill see from the report of the Comptroller General, there were on the pension roll the past year 7,158 pensioners. Of $UMwmber 2,9K>-are widows of soldie?^-Kie ttrfe.1 amount disbursed in ^nsi&e Tfetav$9S,675.8o. The widows paicU|i38,4i2 asd the soldiers $60,, 4-'.. DIRECT TAX. ^gfen^etBo provisions of the Act of Con5, i86r, a direct tax was im"f&icd Mra^ the citizens of the United States, aSp ttipart of it was apportioned to . and MjUij&ifaipQn the State of South Carol Tax .Commissioners were nfitwril?i??tfl^^moristrate this law. but at that titeCTi^art of the State of South Caroli^gptt!to4er federal control. In jNo\nemh?^?8i, tlie whole of the parish of St. HeleoaJ^hd all of that portion of -St*. LukesJ^lhich was composed of isfelj-fnto the hands of Federal forces, and Direct Tax Commissionestablished themselves at that point, p|M|$thd?r: the administration of the law the pr'operty^Jelonging to the citimti4?f ihos^ two parishes was sold and SHflBM&j'heU ited States, a^d resold of that Act, and of ceeds'aiisiog-'I^Sbt^p^^f the lands in United Stated ttiider the"di'fferent laws re1-la.tiiig thereto^ aita have beo? disposed of bv the United States Government in ac , cordance with those laws. A.number of'sfchool farms, consisting each of,1,60 acres, carved out of the plantations entirely in St. Helena parish, were reserved from the early sales, and leased by the Government, and rents collected and separately kept, and at the close of the war the Government found itself in possession of these school farms, of a number of houses and lots iu the town of Heaufort, and a number of lots ;n what was then known as Port Royal City, a mythical city sought to be laid out and established by the Direct Tax Commissioners, and whjch, though thoroughly laid out and projected, failed to become a city; and is now a part of three plantations iu St. Helena parish. By special enactment (Act of Congress, July 16, 1866) it was directed that these school farms, houses and lots in Beaufort, and lots in the city of Port Royal on St. Helena Island, should be sold and the proceeds invested in bonds of the United States,, and the interest used under direction of the Secretary of the Treasury in the support of schools, without distinction of color or race, on the islands in the oarishes of St. Helena and St. Luke's. and by subsequent Act of Congress, approved March 3) 1873, it was directed that in addition to these funds the rents derived from the tats of school farm lands should be likewise invested in such bonds of the United States, and all of these bonds retained by the Secretary of the Treasury as a fund for the use and support of free public schools in the parishes of St. Helena and St. Luke's, South Carolina, in equal parts, the interest of which should be annually expended to increase the efficiency of any free public schools established and sustained in said parishes by authority of said State, if such school shall exist,otherwise at the discretion of the commissioners herein named, and a special board of three commissioners, directed to be appointed by the Secretary of the Treasury, removable at his pleasure, each to receive a salary of ?100 pet year for his services in administering this fund. The Act concludes with the following statement: "This Act shall be subject to amendment or repeal at the pleasure of Congress." From the proceeds of sales directed by these Acts of property formerly belonging to citizens of Beaufort County there was realized a sum of mouey iu the neighborhood of $53,ooo, which money,, in obedience to these Acts, has been invested in bonds of the United States, and these bonds are now in the Treasury of the United States, and the interest, though a mere pittance, after the payment of the salaries of three commissioners, is added to the school fund for Beaufort County, and continues to be so applied to this day. An Act of Congress approved March 2, 1S91, was passed to refund the mouey collected by the United States under Direct Tax Acts, and a provision was made in the 4th section of that Act to make some partial compensation to the citizens of Beaufort for the loss of their lands aud the actual direct tax, with the penalty and interest, has been refunded to the citizens of this State, and the citizens of Beaufort have received from the Secretary of the Treasury the gratuity which was given to them 011 account of their land, but this {and, the immediate proceeds of lauds of Jfcpner citizens of Beaufort County, still remains in the Treasury of the United States undisposed of, and is still withheld it.- / *?.._? liUUi tuv-ui, IIIUUL'U tllC OUUICUIU VWIIIL Ul I the United States (McKee vs. U. S., 164 U. S. Reports, 291) his declared that "a , perusal of the entire Act (March'2, 1891) . shows that its purpose was to pay back to the States, aiul to! individual citizens of the States the amounts of money received from them in the course of the execution of the Direct Tax Acts of 1S61, | and Acts amendatory thereto." This fund'. .3 could not be paid back for lack of legisla- j tion, inasmuch as the effect of the Act of , March 15, 1S73, has been to confer it into < bonds, and impound it in the Treasury j "subject to the pleasure of Congress." 1 It seems to be somewhat of an anomaly < that the Government of the United Slates t should feel itself interested in the free j schools of two of the parishes of this Stale, j and should go to l!u: extent of withhold-,' ^ ing and using money which morally be-* longs to the citizcns of Heauforl Co^gfo, j to obtain the funds wherewith to do Jt,' < and it has also secn^Lto me thaLk^fagUje ( peculiar province drtKe t * 1 Carolina under its Constitution to provide I for all of its free schools, and this it has | done without making any exception iu j respect to the schools in these two former parishes, and the conduct of the Government of the United States in tins regard would seem to he somewhat of an invasion of the constitutional rights of the State, as well as an injustice to those citizens, the proceeds of whose lands are thus withheld and perverted. I have, therefore, renuested a memher of Congress to introduce a bill to repeal the provisions of the Act of March 15, 1.873, to provide for the sale of those bonds, the proceeds to the persons from the sale or leasing of whose lands they originated, and such action, taken at my request, at the suggestion of parties interested, is npw pending before Congress. When this matter is concluded the whole subject of direct tax may be said to be ended. Penal and Charitable Institutions. 1 The Constitution of the State imposes upon us the duty of caring for the insane, blind, deaf, and dumb, and the poor, and says that institutions for this purpose shall be' fostered and supported. STATU HOSPITAL FOR THE INSANE. While we all deplore the fact that we should have amongst us those who are mentally afflicted, we should not only consider it a duty but we should esteem it a pleasure to care for them. I desire to call your special attention to the full and complete report of your efficient Superintendent of the State Hospital for the Insane, Dr. J. W. Babcock, and to ask for it your careful consideration. It is a sad fact that the population at this institution ie try a /I tin 11 tr dtui rAticfntifl v itirrAncitifr f V10 average daily population being one thousand. The total number being cared for at this time is 1,002, an increase over last year of 36. Of this iluniber 599 are white and 407 colored,1 * The number admitted during the year closing December 31 was 415. The^djscharges were 397. In Uie report of th&Bpa^d of Regents to-me it is stated: ''Tfi^Jjeady growth o?{he institution in the lastP't^yenty-liye years lias imposed burdens beyond the expectations piourpreateflgBSbrs. The Emmbe r of colored insagBwill in a few years exceed the whitfireftVhile the races have always occupj&l separate buildings or wards, yet we'cannot but anticipate the time when a wider separation than now exists will be deemed necessary. In dealing with her charitable institutions as with other vital questions, no progressive commonwealth should be satisfied withe temporary makeshifts. The.-e subjects k demand not only consideration for to-day but also provision for to-morrow. We must adjust our presenf plans to meet so far as possible future ueeds." All these matters and the improvements defined necessary are carefujjy and minutely discussed in the reportof the Superintendent. '. jg ... # The Boatd "of - Regents desires to suggest for. your consideration tie better development of the^systein of coiinty poor houses and the,. consid&at&Q of tie mat- 1 ter of "settlement. "i>y whicWjt ^fbuld bej|? UCLLL-1 ubiauiisnca wjia ma?pRiaim pencw~ ficiary support in the StejaJjfospital. Ojff law should also be m'orespscific in demiug with'.Inebriates and thejcrfminal insau^. During th^ prevalence of arueui-- demic disease it is also recommended that for tlie protection of the patients in the Hospital the right of .quarantine against* i the infected territory be entrusted to the5 \ Governor, the Chairman of the State * Board of Health, and the President of the Regents. ^ The growth of the institution has been so great that the necessary' repairs from ordinary wear and tear have become a considerable drain upon the maintenance fund. The Board estimates that in order to keep up these repairs and make soJbe; I of the improvements recommended wilP require about Jio.ooo. An itemized state- | ment will be found in the Superintend- ent's report. ' .. The Board estimates that it will need'* for this year appropriations as follows: For maintenance .....$roo,ooo For debt on Wallace property and interest ' 4,3&> For permanent improvements...- 10,000 1'Ul JlyiftAJ JjHL - ^5,5^? Tjpgjfrtution ,& efficiently managed an&?the TPppropriqffiitis as economically expended , as is poagil^e 'wkh a wise con duct of, the affair^' ',:I ct>ipfiend to your favorable con^idejWU6n the suggestions of. the Supennterid^^dnd^oard of Regents. SOUTH CAROLINA: INSTITUTION TOR THE EDUCATION OF THE DEAF AND THE BLIND. The annual report of this institution for the year closing December 31,1899, shows an enrolment of 1S6 pupils, representing thirty-seven counties. As an evidence of the economical manner in which the institution is managed the average cost in twenty-four schools in which this school was included was #222 per pup/il as against <132 for this school. But the school has grown beyond the accommodations which it has to offer. The Superintendent in a report to me says: "The time has come in the history of theioftitytiou when it will Km ti#?r?p?ec?ir\r f r\ 1 r\f f WW i !UJ*b vuw UUlilUi.1 VI admitted or to arrangeTor the accommodation of a greater number." At a meet- , ing of the Hoard the following action was , taken: "On motion of Mr. D. E. Converse the Superintendent was instructed , to ask the Legislature in next annual re- ' port for an appropriation of ?20,000 for the J erection and equipment of a school build- ^ ing. Also to renew request for appropria- ( tion of ^io.ooo for building for department ( of colored pupils." The following appro- , priations are deemed necessary for the j proper maintenance and equipment of the , institution for the ensuing fiscal year: j For support $20,000 ( For general repairs 500 j For school building 20,coo j For building for colored pupils 10,000 j Superintendent Walker and his efficient t corps of instructors are performing a labor z of love and doing an excellent work at s this institution. The care and education t f these unfortuuate children of the State 1 should eulist your sympathy and com- v maud your thoughtful consideration. _ PENITENT IA R V. ( I \ : At your last session a resolution was idopted ordering an invest iv.ation into the t tffairs of tbfe State Penitentiary. That e itlvestigitio^'Wcp hat! and a report of the o :omtmtfge was submitted to me as direct- s :d by the reifohijjSpar^ J|?*faave subtmUe^ __t ne on t|iis flfed?3pu"fce^ to direct vaur v itlcntioa'tjnutf^P-to the report c :he s])qglaljR^rT^^y ;^rhat committee a y^^\^1 r^pou.mll see fro::: an c.:. tentiaryji CspfcS'p. J. Griffith, took charge ti >n the 15th of*5fBi*h. An examination t< )f h4<.Teportj^i/f"9ho\v that the affairs of 11 he Penitentiary have been managed in a n \ , is very satisfactory manner and the finances of the institution are in a very liealty condition. lie found it necessary to do much repairing on the buildings at the institution and 011 the farm and there is much more work that is necessary to be;done. When he took charge there was turned over to him by his predecessor $114.35 in cash and he found it necessary to commence buying provisions to support the inmates at once and from March 15th to the harvesting of the new corn crop he was compelled to buy 3,388 bushels uf corn and meal. It does not appear to me to be good business judgment, with the farms that are worked by the State, to be forced to buys so large a quantity of corn and meal when they could and ought to to made on the farms. I am glad to be able to state that the Su periiuenaeni uiiuks nns supply 01 corn made during the past year will be sufficient to supply the institution during this year until the new crop comes in. There was also a large crop of oats made, something over 4,000 bushels having been sold.. The Superintendent says: "The year agriculturally has been satisfactory, considering the late start and other disadvantages under which the work was done." The cotton crop will amount to nearly six hundred bales. There has beeu no serious sickness amongst the prisoners except a few cases of miuingitis, from which there were several deaths. The Superintendent informs me that there are several prisoners who are suffering from consumption and close confinement only aggravates the disease. I have thought it would be wise and humane to secure a report from the physician of such cases and have them turned out, or placed in a separate building remote from other convicts, for their punishment was * not intended to be a slow death. There have been only 15 e??tapes under the present management and 12 of these were from stockades of privatepartits-'who have convicts leased; -.1 nadfo^fl&^hat the Board of Directa#?have; oeeji .making contracts for the lefete of convtctt when there was , v, not a sufficient number Lo u contracts. I do not opnsicfer business judgment. it wise to mak? contractspaf a long term of years, for coq|lijiDfis might jarise which . . would not leavfcwsufficient number tpf ... work the State'sr3afinertv. I ask a care- ' ful consideration oFlhese contracts.-These suggestions are made only in the interest of the efficient management of the institution <Tnd not with a view of jlriticisin. There has been a slight total increase of coiujjks during the past year, as the following statement will show: ' v CONVICT STATEMENT. Prisoners in confinement December 31, 1S9S From courts since thatdate. 27 Recaptured 289 Discharged 199 pfcrdoned *... ^idEscaped^ ^ .*35 Hcciqijctly killed . Jf*-:-1 Bied^.v 41- 272 > lesson Dibber 31, 1899.^ 801 ' A^famrilary of expenditures and receiptsStoing the past year shows a net cash-bafSge-en hand of $9,886.67. Ttalaneej^Bon hand Dec?u.'o8? I.S0A..IA jfal^vrc$Spttfor the year. 63,5x8.23 E! $h22-6? 'Sifefcexpenditures for the year- 58,436.00 Clbh balance December 31, '&.$ 9,886.67 In'addition to the aboveAceipts the following amountirwere collefcid aira be-. ? lopg properly to the earnings^1^99. Jaa^iji Collected from.contrac- ' >. V~r $ 431 *6? Collected from J. M. Graham, Hosiery Mill, yr:/ October, 1899, hire... 2,182.29 12,613.89 la||hi^ statement the provisions and supples made on the farms to be used in the maintenance of the institution are not included. This, it appears to me, is a good showing and demonstrates good hiicinifci<iTnflnafT??Tr]f>nt. Tt seems to ttk? it would .be wise for the Superintendent to keep olniand a sufficient amount of 'this money , to meet current expenses and to pay the cash for what he is compelled to buy, for. by so doing he can run the institution much more economically, and thus in the end be able to save money for the State. I commend to your careful consideration the report of the Superintendent arid Board of Directors. " ,x EDUCATION. Along with the rtiaterial progress that has come to our State there has been a lively interest jn the education of our youth. Not only has this been manifest in our higher institutions of learning but tJW.-?jQuntry schools and the primary schools throughout the State have been greatly imprpved. In almost every incorporated town and many of the country districts the three mill constitutional tax fias been supplemented and the schools are kept open for the full school year. The . teachers are educated Christian men and women who have gone out from our colleges and training schools fully equipped ^ . . for their work. In a government like ours the education of our youth is of paramount imnortance. Anv legislation that will foster and encourage our common schools should receive your hearty approval aud endorsement, for you may foster and build colleges as you please, the fact remains that a vast majority of our :hildren can never avail themselves of a :ollegiate training. If the means are lvailable it is within the range of possibility for all of them to obtain a common school education, and thus be equipped ror the proper discharge of the duties of ntizensliip. Intelligent citizens make ntelligent voters. Educated mothers ear intelligent citizens. When you put noncy in education you invest capital hat will give you ever increasing return indcan neither be lost nor squandered. To ecure efficiency in our common schools hree things are of paramount importance: "irst, you must have the means with vhich to operate them. Second, you must lave educated andN^msecrated teachers, fhird. von want iiuclliffent and t'ffiripnf bounty Superintendents of Education. Unfortunately with the money which the State is able to expend for common school ducation the average length of the terms f the public schools where the public chool tax is not supplemented is only from liree to four months. It is impossible to ecure that efficiency and thoroughness ,'liich we should have unless the schools ould run longer. The teachers as a rule, re efficient and competent and their pay ; far too small for the work they render, fear that the p trents too often feel when [ley have paid their tax that they have liifted the responsibility for the'educaiun of their children from their shoulders ) the State. If the parents could be lade to realize the importauce of this latter and their responsibility aud duty f