The herald and news. (Newberry S.C.) 1903-1937, January 12, 1904, EXTRA, Image 9
I'era<a _ew.ETA
NEWBERRY, -S. C TUESDAY, JANUARY 12, 1904
904_
AGE
~iW&neral Assembly.
-,.for the promotion of
and I welcome you,
ghtful consideration
today undisturbed
the sole purpose of
of South Carolina.
o. f 6t*r
veegipeople o n
eolveupon you. To
the homes and
to -sere, and are
tirneed. To ren
true:and honest
pleasure, but a
heeie progress
yecessar. or-me to
induas
terests which
~ been
~4is~egin,yo u
p1vdig for
v iic? gov
ICY. execu&e -them
the liQhmoo of-send
Iconceived
diiieces
*4-g213,& fA.Ao-'a -mrae.sf x ende
stI
espeeditis
~ ~2Z,97L2,~S~iOWWgan increase of' expenditure
0V 8 of $3446&63. In this coitection the following
raeiirting'
'the-ven ceeded the expenditures by.. ..$101,099 84
...revene,i exceeded the ependitures by. 10,019 53
t evenue.eceeded the expenditures by.. 50,048 90'
~ ce :pedius eiceeded the revenue by.. 10,045 42
4e9e"penditures eceeded&the revenue by.. 13,924 29
ztheependitures exceeded the revenue by.... 208,795 23
n ~90 t everne -exceedd'the expenditures by.... 56,3o4 29
jftae the:surpus asabQve shown for 1897; 1898, 1899 and
na tlito2i7472.56,from the excess expenditures oe
eeohand192,amounting to $232,767.94 we have
eon5,29 n other words, th~total: revenue
rec 1yl apIice(.ton each fiscal year from 1897 to, and in
ulinoamount o$6,934,725.33. The total expenditures
io his satigpenodamount to $6,950,020.71, showing a deficit of
5 . as revealed above. The reveiiue for 1903, as above
stated; mde f89I37.86, received in settlement of claims against
th - &#aeGovernmemc, as will be explained further on in
.- tins message.;dHad npt this amount been placed to the credit of
the eral fund. the deficiency would have.been greater. It is thus
sen that thefiances of the State are not in such a deplorable con
diton bu 'hefact that the Comptroller-General estimates that the
Stae,mus borrow during the year 1904, $425,0oo.0o to promptly
mdeet current obligations until:the tax levy of 1904 becomes avail
able, shows the finnces to be in an unhealthy condition, to say the
east. This stuation should certainly be remedied and a sufScient
reivenue shimld berprovided to place the State upon a .cash basis. At
your last'session.you. appointed a committee "to consider how best to
put the Sti.te upon a cash basis, what additional sources of revenue
for the State are available, and what changes.should be made in
existing laws for the assessment and collection of taxes." This
committee has completed its report, which will be transmitted to
you. This report a amrost important one. It has been prepared
with great care by legislators experienced in the fiscal affairs of the
State,. who have given much time and study to the preparation of
their report, and I commend it to your most earnest consideration.
The report came into my hands sdi recently that I have not had
timen account of other pressing duties-to give it the careful
thought and consideration its importance demands, and for this
reasoir I ami uxzable just at this time to make recommendations con
cenng it. However, in this coinection, I will say that some
* change, with a view to raising more revenue, is imperative. The
complaint fineqnality in taxation is an old orte, as well as a just
one, and.'if your honorable body -could devise some law by which
this evil could be remedied, and corporations, as wvell as individuals,
be compelled to return all property for taxation at its real value--I
as is required by the Constitution-the present tax levy would
* ~ greatly Txctdthe necessities of the government. I invite your
special attention to this phase of the subject, with the earnest hope
that you, in your wisdom, may be able to enact some law that will
compel honest returns of property and provide for such penalties
as will deter those who seek, under oath, to evade the law. This
is the most important function of the State, so far as its business.
affairs are concerned, and it is not only an r:nwise, but a suicidal
policy, to continue expending more money than the revenues of the
State amount to.- The question resolves itself into this, that ex
penditures must be curtailed, or more revenue raised. The former,
I fear, is impracticable, and the latter can only be done in one of
three. ways Fist by requiring the county authorities, upon whom
devolves the duty or ascertarnig an placig upon the tax books
all property. to exercise a rigijk su#ervision of tax returns, and forc
ing them to require a proper~.isting of property heretofore escap
ing taxation. Second, by a lice#ge tax as suggested by your com
mittee; or third, by increasint' fhe tax levy, which is undesirable,
as it will oniy place additior'i iurdens upon the honest taxpayer,
while the "tax dodger" still escape.
In connection with this part of my message I wish to ac
knowledge my obligation' to.edepartments of the Comptroller
General and Tiesurer foi 1ie liormation which has enabled me
to furnish you with accuratefg s t the financial condition of
the State.
INSUIUNCE ICENSES.
The Comptroller-Genera lsit oncerning this department is
a strong and busisslike pr&e atidr of the subject. This report
shows the number of isuranceompanies doing business in this
State, their- financial cdiidition ;i amount paid to them in pre
miums and the amdunt plaid idr losses incurred, these aggregating
very large totals.
This report embraces the.wok4gs of one of the most important
business departments of ourg$tate government. It condemns the
present insurance laws ;as bei6gce defective and inadequate, and
offers suggestions providin gf'r the better examination of compa
nie organized in this State. w1 a view to protecting our citizens
against irresponsible comp . The report recommends also
many changes;in our :ense Ts, including a schedule of
fees to be paid, and. and to whom they shall be paid.
These changes are- many 'a z f&r-reaching.: They are fully de
tailed in the report, and for," reason Ishall hot attempt to enu
meiate them here. It is estimated.t,at under the proposed changes
the State will ieeive a otal evenue'of $127,6oo from this sou-ce,
:and Iquote only the folow gx'tract- relating to this portion of
the report: f
'This would give a net reVame of $io8,600, April 1, 1904, avail
able for the,.geneal expeses Athe State government. In addi
tion tohis, the State woafie equarterly an estimated revenue
total revenuetreci dting thfear.:19o4, $201,600. Of'course,
tie revenue for 'ioA iiFdgea,k say to $135,000. This law
wouldbe bettWor.tehe -Ahe companies, as it would relieve
this offie andte .Watdeal gf expense and trouble."
Thi is a - is of a business subject. and
s well woithy of your m9st
es given are decidedly interest
taXfid6 (b eficial to both
.~ e.
n -itself
ricilfund the die e debt of South Caro
iahs beet decreased during tbeYar 1903 by $i25,oo-oo of
St-ite Capitol Bonds su-renderedpy the United States Government
it aettlement of claims of the State of South Carglina against the
United~States Government, and decreased on books of State Treas
urer by $37,ooo.oo Blue Ridge 'Rilroad Bonds, written off the
books by direction of the Act -of the General Assembly. (See Acts
of 1903, pages 266 and 267.)
The following figures show the bonded debt .of the State:
January ., 1904.
Principal funded.. .. ....................$6,5,674 14
Principal fundable.. .. .. .. ..................I.T.8 64
I $6,684,882 78
As an offset to these figures, there is an outstanding credit of
$493,277.26, as showvn below.
SINKING FUNDS.
The assets .of the Cumulative Sinking Fund, for the reduction
and payment of the South Carolina Brown 41-2 per cent. bonds
and stocks, having been increased during the last fiscal year by
$33,592-43, now aggregate $493,277.26; all of which is so invested
and loaned as to yield from four to five per cent. annual interest.
The assets of the Ordinary Sinking Fund having increased
$3,780.02 during the last fiscal year, on December 31, 1903,
amounted to $61,387-39, of which $2,764.18 belong to escheats;
$53,228.28 of the Ordinary Sinking Fund is loaned cat at five per
cent, annual interest.
INSURANCE SINKING FUND.
Under the law providing for "State Insurance of Public Build
ings" 75 Sinking Fund policies are now running, carrying
$583,891.76 of insurance on public buildings at an aggregate
premium, of $5,o68.11. The assets of this fund at the close of year
1903 ambunt to-S11,651.25, of which $6,o00.o0 is loaned at five per
cent. annual interest.
A FINANCIAL SETTLEMENT WITH THE UNITED~
. . STATES GOVERNMENT.
I am glad to announce to you that. through the efforts of Senator
Tillman, an important settlement has been effected with our Na
tional Government. This tt-ansaction involved the payment of
claims aggregating $337,887.96, which amount included a cash pay
ment of $89,137.86 into our State Treasury. This is a matter of the
greatest importance and we~ can wvell congratulate ourselves upon
so satisfactory a settlement and one which came at so opportune a
time. I shall have the pleasure of transmitting for your informia
tion in a special message, by request of Senator Tillman, his de
tailed communication upon this' subject, together with his speech in
the Senate. I deem it appropriate just here, however, to submit
the following brief extract from this communication, which has
specific information p.pon the settlement which was so satisfactorily
made:
"It affords me great gratification to hand you herewith warrants*
Nos. 5746 and 5747 on the United States Treasurer for $89,137.86,
together with receipt from the Southern Express Company for
$125,000 coupon bonds of the State of South Carolina, with coupons
attached aggregating principal and interest, $248,750, making a
total in cash and bonds of $337,887.86. This warrant and these
bonds have been obtained by my rec:eipting the United States in full
for the claim of the State of South Carolina which grew out of ex
penditures by the State on behalf of the United States Government
during the War of 1812-1815."
Further on in thiscommunication Senator Tillman makes special
acknowledgment of the valuable assistance rer.dered him m1 this
matter by Mr. James M. Baker of, Lowndesville, S. C., assistant
librarian of the Seiate. In reference to-these efficient services Sen
ator Tillman makes the following request in his letter to me:
"In conclusion, I desire to suggest that it will be an act of grace
ful recognition and of simple justice to Mr. Baker that the Legisla
ture should recognize his invaluable services by appropriating a
smill amount of money, say $i,ooo, out of that which has been ob
tained. His work was not done with this idea, however, but. he is
poor and has a growing family, and the State can well afford to pa
him handsomely."
In view of the great service rendered our State by Senator TiW
man in this matter, I think any request he makes here should finif
a ready response. I therefore ask your consideratioa of this and
concur in the request made by Senator Tillifan. The wirrants
Nos. 5746 and 5747-on the Ti-easurer of the United Sttef f6r
$89,137-86, were duly received and at my requst this amonit wis
deposited by the State Treasirer to the credit of the general fuid.
As the State was under the necessity of borrowing money I thoght
this was the most judicious disposition,to make of these fiids.
EDUCATION.
There is nothing of greater iinportahce to a State than is the.
education of its people. Never was this neid more ai-embracing
and comprehensive than it is today.- This is an age of progress an
enlightenment, and history arid statistics alike -reveal the fact that
the most prosperous countries are those with an ed cated citiien
ship. Under a democratic form of government, in a republic l.ik
ours, where each individual has a direct; and equal share inthE
responsibilities of citizenship, it is absolutely necessary that tlie
people should be educated. Only in this way can there be a propei
recognition of our relation and duty to the State. -
To those who are charged with divecting the affairs of our State
the work of educating the peop should appeal mdst strongr and
we should manifest thii by earnest labor,in, this trulyr grei
field. We should give the utmost consideration to every briihe
of this work, from the little log schoolhouse to the fniversity; fdi in
advancing our educational facilities we will not:only make our'State
more prosperous, but we will make permanent and steadfist a hig
standard of citizenship.
THE COMMONSCHOOLS
The propir educition of a people must, of necessity, have ts
beginning in th noimni schools. These shouldbe in eyr
munity .in d5r6Sile; they sh6uld be as welh.o4rganiized a busm
bisis asit sp ible t havetiff they ho!d es p ove
by?c Pete tit.;tiafiulength schoa ttdeins nrY
e:hodii' bi netadd boife b
is tueta lirad ed~ schoa ntegh chol igorvrd
si ra ' o e
ronin g nt ols in tencoutr n We
usand'e the at .tese wutr wschools are 1hnt. t hi le
it is true that the gj&d&dschols and the high'schobols iniouir van'ilis
towns shoV striking, and, marked im'pr'Tov"meit,. the coiixSf'~r-_
rounding the'schools in the zcountry are not so-stsacoy We.
msreember that' these country schioLs.ar nQt.i hckySt
tied communities, that they hive no large sool fund; but we ndst
also remember that a large majority of the childrien of thStlt
are, of necessity, absolutely dependeht upon these schools for thii
preparatory education.
The average white school in South Carolina is open~only 112 days
in the year and. the average salary paid to the teacheirs in these
schools amouns to only $20.3.o4. Surely this is: nbt a record upon
which we can afford to rest and be content. The imperative neded
which confronts us demands that we should improve this situation. It
is an absolute reproach to us that these schools are open only fdo- 12
days, which statement means -that many are bpen for a muchkshorte
period. The same, condition exists when 'we contemplate the sall
salary paid to the teachers, faithful men and women who are devot
ing themselves to this life work.
It is most gratifying to know that these conditions are being more
realized by our people 'year by year, and that there is a determina
tion to improve our commonr schools. In April last many of our
leading educators held a conf.erence in Columbia, and it .as then
determined to organize and' conduct mn educational .campaign for
imliroving school conditions. This plan was carried out by thie
appointment of a committee consisting of. State Superintendent of.
Education 0. B. Martin, President D. B. Johnson, .of Winthrop
College, and myself, to take active charge of this workc. A number
of meetings-were held at various places throughout the State, mahy
speakers interested in education spoke at these gatherings, and, by
awakening .decided interest among the people, I believe that much
good has been accomplished.
At these meetings great stress was laid upon the necessity for
the improvement of school buildings and grounds,t and several'ladies
were employed by the comrnittee to prosecute this work. In ac
cordance with .this move, these ladies visited a number of counties,
held meetings among the patrons and formed organizations among
parents and children. for further labors in this lin.e. In .conducting
the educational campaign and in defraying its expenses. the com
mittee was financially assisted by the Southern Educational Board,
to which Board I wish to render thanks for this valuable. aid.
RURAL SCHOOL LIBRARIES.
There arc entire counties in our State in which not a single county
school library is to be found. The proper training of a people is
hindered by this lack, the school work is not as complete as it. should
be, and I concur in the recommendation of the State Superintendent
of Education that a part-if this be. only a small portion-of the
State school fund shall be used to encourage the estaNishment of
libraries in our county schools.
CONsoLIDATION OF RURAL SCHooLS.
Other States in the Union that are making marked progress in
all educational lines are attempting, through consolidation, to es
tablish satisfactorily a strong system of county graded and high
schools. This, in my judgment, is, for many reasons, eminently
desirable, as in itself it will furnish means at home for the p'oper
preparation for college. Experiment has proved that it is also more
economical to transport the children at the public expense to a large
central school than it is to conduct several smaller schools at remote
and isolated sections.
I herewith present a few figures from the report of the State
Superintendenzt of Education: The total expenditures for our pubilic
conols rdnring- the nps year amounted to $I.oA6,iAuno The