The Bamberg herald. (Bamberg, S.C.) 1891-1972, January 10, 1901, SUPPLEMENT TO Bamberg Herald, Image 5
SUPPLEMENT TO
Bamberg Herald
GO?ERHOR McSWEEBEY'S
SECOND ANNUAL MESSAGE.
Reviews Conditions in South Carolina
and Recommends Legislation
Deemed Desirable.
THE STATE'S INDUSTRIAL PROGRESS
IS MOST NOTABLE FEATURE OF YEAR.
All the.State Institutions Are Reported in Excellent Conditioned
the Treasury Department Has Borrowed No
Tt.? r* ^ 1_ ^ n .. .
iHLuacy?xntr ^ause 01 tne common ocnoois
is Strongly Urged Upon the People's
Representatives.
Gentlemen of the General Assembly:
It is gratifying to me to welcome you as the representatives of the
people under such favorable conditions. You come as the first Legislature
to assemble in South Carolina in the new century. The
Nineteenth century has been one of marked progress and development
in all the arts and sciences, and it contains lessons which we
may learn with profit to ourselves and which may be of use to us in
legislating for the future. Those who constituted the first Legislature
one hundred vears aeo little dreamed of the advance in all lines
of industry and of the discoveries and inventions which have signalized
the century just passed into history. We cannot realize or even
conceive the advances that will be made during this century upon
which we are entering. There seems to be almost no limit to the
achievements of the human mind. It is for us to contribute our
part to make the world better and happier by our having lived in it
and to leave to our children a goodly heritage and a name untarnished.
It is your privilege to meet and to counsel with one another
and to consider and enact such laws as will be of benefit not only to
the present but to the future growth and development of this grand
old commonwealth.
The march of material progress and the development of the State,
to which I had the pleasure to refer one year ago in greeting the
members of the Legislature, has kept up with steady and sure step.
The business depression through which the people had passed and
m
which was almost unprecedented seems to have been followed by a
revival which is touching all branches of industry. The increased
price which our farmers have received for their staple crop makes
large amend for the falling off in the yield. Our farmers are learning
the importance of diversified farming and in consequence are becoming
more independent.
You need no better evidence of the progress and prosperity of the
State than that presented in the figures contained in the annual
report of the Secretary of State. From this report it will be seen
that approximately fifteen million dollars were invested the past year
in South Carolina companies; and while a large proportion of it is
in cotton mill building, yet many smaller manufacturing enterprises
and industries have been organized.
New manufactories continue to go up and we are no longer simply
an agricultural people but are fast becoming as well a manufacturing
State. We now lead all Southern States in the manufacture of cotton
goods and are second only to Massachusetts in the number of
spindles, and at the present rate of progress will soon lead all the
States in the Union in this important branch of industry. It is \v%ll
to keep this fact in mind as you deliberate.
Taxable values have increased $4,245,695 during the past year, as
will be seen from the Comptroller Generates report, but the increase
is not near as large as it should be or would be if our system of assessment
and taxation were so revised and amended as to have
placed on the tax books all the property of the State now escaping
taxation and if that which is assessed were equitably assessed.
Peace and good order have characterized our people during the
past year. We have not been visited by plague or pestilence and no
resort to mob violence has marred the record or stained the fair name
of the State, though in one or two cases the strong arm of the mili tary
had to be called into requisition, but the majesty of the law was
maintained and no blood was shed. In one case there was strong
. provocation lor summary justice, but witli tne assistance ot tne military
the culprits were protected, lawlessness was prevented, and
through the ordinary channels of the Courts stern justice will be administered
and the penalty paid.
You as the chosen representatives of the people should guard with
jealous eye their interests and welfare which have been committed
to your keeping, remembering always the responsibility which rests
upon you.
FINANCES.
I take pleasure in calling attention to the very creditable showing
which the Treasury Department will be able to make as to the financial
transactions of that department for the fiscal year closing December
31, 1900. as will appear from the statement of receipts and
disbursements below. The Treasurer, by his strict attention to duty,
and the uniform courtesy with which he has treated all parties having
business relations with his department, deserves high commen
elation and I feel quite sure that he will receive in retiring from the
office, which he has so worthily filled, the hearty well-done of all the
people of the State.
Cash Receipts for year ending December 31st, 1900.
Cash balance, Dec. 31, 1899 $ 508.875 65
Back Taxes 1,071 63
General Taxes 1S99 ' 606,510 91
General Taxes, 1900 / 292,476 69
Railroad Assessments for R. R. Commissioners
10,381 64
Income Tax 1,660 07
Annual Insurance License Fee , 13,100 00
Graduated Insurance License Fees 11,8/7 99
Fees, Office Secretary State 9,450 22
State Penitentiary 10,000 00
li-rnr T* rt v *7 T OT A OA
X X A V lltgt JLV^I IUI^V.1 X j j J*, A. ^
Commissioners Sinking Fund 44,029 00
Sinking Fund for Reduction Brown 4^
per cents: *
Loans returned $91,241 50
Interest on loans and deposits. 17,995 diphosphate
royalty 23>475 01
132,712 35
Permanent State School Fund:
> Interest account 2,225 99
Principal (escheats) 277 32
2,503 3T
Special State School Fund (Dispensary). 100,000 00
Morrill Fund from U. S. Government 25,000 00
Insurance Sinking Fund (public buildings)
73 75
Incorporation Fees 60 00
Dispensary, S. C 1,913,069 76
Refunds?sundry accounts 2,384 70
$-?.76O.4E;2 01
Cash Payments for Year Ending December 31, 1900.
Salaries $ 148,731 50
Legislative Expenses 40,895 77
Education, Charitable and Penal Institutions
274,606 23
Pensions 100,815 71
State Special Schobl Fund 100,684 5T
Interest on Bonds and Stock 273,456 59
Sinking Fund for Reduction Brown 4^2
per cents:?Loans 70,600 00
Commissioners Sinking Fund 42,048 18
Clemson College:
Privilege Fertilizer Tax $70,114 51
Interest Land Scrip and Permanent
Fund 9,266 36
Morrill Fund 12,500 00
91,880 87
State Col. Nor., Ind., Agr. and Mech. College:
Morrill Fund 12,866 23
Interest Land Scrip 5.754 00
18,620 23
Public Printing 11,258 62
Election Expenses 19,248 88
Quarantining State 10,234 11
have been able to meet all demands against the Treasury without recourse
to borrowing or over-drafts upon banks.
In my Annual Message to the last General Assembly I asked their
attention to the condition of certain bonds to which mine had been
called by the Treasurer, to wit: thirty-seven (37) bonds of $1,000
each, issued by the State in 1859 in aid of the Blue Ridge Railroad,
and which have heretofore been earned on the Treasurer's books as
"Old Bonds Fundable," but which can now no longer be so carried.
These bonds among others, it has been established in the Courts,
were plundered and rilled from one of-the old banks of this State?
known as the State Bank?by Sherman's army in its march through
the State in 1865. Notice was immediately given of the loss of the
bonds to the Treasurer, and that officer was cautioned not to recognize
any one presenting them as the owner.
Under the Act of 1869 requiring the old banks to resume business
or go into liquidation, the Attorney General of the State had this
bank put into the hands of a receiver, and so the winding up of its
affairs has been from that time under the direction of the Attorney
General. Upon his motion in 1870 an injunction was issued enjoin-,
ing the Treasurer from paying any of these bonds without the sanction
of the Courts. All but the said thirty-seven bonds, 01* thirtyeight,
for there seems to be some question as to one, have been from
time to time recovered and funded, and the proceeds distributed
under the direction of the Courts.
There have been several applications to the Legislature for leave
rrV,f
IVJ lUHLl LiiC 3d i LI Willi W V \ L,ll LJ1 Willi W > U\Ji iUJj uuu j^. v\.vv\iu*^^
in the Courts were had for mandamus to require the Treasurer to do
so without further action of the Legislature. In all of these the merits
of the case have been thoroughly investigated, and the'Courts
have declared the bank the owner of the bonds, and its receiver the
only person entitled to fund them. In the mandamus proceedings, in
which all the judges in the State were called to sit en banc, (though
all but two ultimately decided that the Treasurer was not authorized
to fund without special action of the Legislature, two holding that he
was and that the receiver was entitled to have the lost bonds funded
without such action) the judges were unanimous as to the merits of
the claim. Previous Legislatures have hesitated to allow the bonds to
be funded, fearing that some one might possibly turn up with the
bonds, and claim to own and fund them as an innocent holder. But
as I pointed out last year this danger is now removed, as in this case
the twenty years from maturity, during which these bond? might
have been funded by the Treasurer upon their presentation and delivery
to him by any such holder, expired on the ist of July, 1899, and
any such holder is now barred under the Act of 1896.
Under these circumstances, the claim of" the bank to be allowed to
renew and fund these bonds in my judgment is valid and just, and
should be allowed. It is not denied that the State owes the bonds to
some one?they are carried as part of the old debt of the State on the
hnnl-c nf TrM^nivr as owinp- to some one?the Courts have do
creed the bank to be the owner?no one else can now claim them, as
all persons but the bank are barred under the Act of 1896 from doing
so. It seems to me that in the face of these facts it will be a little
short of repudiation if we continue to refuse to allow the receiver
of the bank to fund these bonds.
In some States, provision is made for the renewing of lost or destroyed
bonds, without requiring action of the Legislature in specific
cases; it might be wise in this State to make a similar provision, as
the renewing of such lost evidence of indebtedness should be a matter
of judicial rather than legislative inquisition and remedy; and for the
further reason that everything which adds assurance to the creditor
that he will be paid even though he loses the paper evidence of his
debt adds to the credit of the State.
I have gone somewhat into the merits of this matter as I cannot but
feel that the credit and honor of the State are now to some extent involved.
I earnestly recommend it to the attention of the General Assembly
as one upon which some action should be taken, for the bonds
can no longer be carried on the Treasurer's books as "Old Bonds
Fundable."
EDUCATION.
Not the least gratifying evidence of our progress is the remarkable
awakening in all departments of education. At the beginning
of the century just closed the civilized world knew no such thing as
a State system of education; and in many quarters, until a comparatively
recent date, the position of those who advocated free public
education as a legitimate function of State government was stubbornly
contested, the opposition in our State being largely due to
peculiar racial and social conditions. State education is now the
settled policy of our country, being recognized as both a function
and a duty of the government; and it may well be questioned
whether the nineteenth century has made a more important contribution
to the cause of democracy and civilization. Since 1870 the
public expenditure for common schools in the United States has
nearly trebled, being now $2.67 per capita of population, or an aggregate
of $200,000,000 annually. It is a principle now well recognized,
that the safety of the government itself requires that it give
its citizens the opportunity to fit themselves for an intelligent discharge
of their duties to the State.
Encouraging reports come from the schools and colleges of our
own State, indicating that they have entered upon an era of unexampled
prosperity. And yet much remains to be done to increase
the efficiency of our public schools. The first essential is teachers of
high moral character and adequate professional equipment. Our
teachers have better opportunities for professional training than
ever before, and they show a higher average of intelligence and professional
fitness; but they are too often poorly paid for their services,
and the best results cannot be expected until the schools, instead
of advertising for bids from teachers, offer adequate pay and
demand good qualifications.
The complaint is made, and not unjustly, that our school system
is not well articulated; that no provision has been made to fill the
gap between the common school and the college, and that the col1
' J 1 ^ ? * ? ? -? -? ^ *-^4. ? t T /lnr\ortmnnf A V 1 "M ! r* 71
lege must tnereiore maintain a picpuiaioiv vn.pouun.ia. ..
is true that very few of those who enter the common school ever
reach the high school, and fewer still the college, yet those who desire
to fit 'themselves for college should have the opportunity to do
so in their own schools. This deficiency has been met in many of
the towns, and in some of the countrv districts, bv the erection of
% *
graded schools: but in most of the country schools inadequate preparatory
training is offered. The result is that many of the country
pupils who desire to compete for scholarships in the State colleges,
or who desire to enter college, are at a manifest disadvantage, and
must either employ some one to coach them, or must attend a preparatory
school or graded jcliool in town, at a considerable outlay
for board and tuition.
The importance of levying an additional tax for the support of the
country schools cannot be too strongly urged upon our people.
This will enable them to employ competent teachers for longer
terms; it will enable them to give their children elementary and preparatory
training at home: and it will tend to check the abnormal
flow of population from the country to the town; it will be bene- ;
licial from every point of view. While it is possible for the graded
Erecting Monument at Chickamauga ? 5,392 15
Pcnnanent State School Fund 2,320 00
Direct Tax Proceeds?Act of 1884 1,116 90
Miscellaneous Accounts 43470 82
Dispensary, S. C..
Account proper $1,779,631 98
Transferred to School Fund 100,000 00
1,879,631 98
Cash Balance, December 31, 1900 625,438 96
$3760452 01
The claims of the United States Government against the State of
South Carolina for the payment of which at one time the State was
seriously pressed and notice of suit given, are now in abeyance for
want of anthnritv to nrnscrnte said claims in the Courts. And it is
hoped that an equitable adjustment and settlement of the counter
claims* between this State and the United States will be effected by
appropriate Congressional legislation which will be final, without the
payment of any moneys by the State.
The State of South Carolina holds United States 4 per cent, bonds
with interest payable quarterly to the amount of seventeen hundred
dollars, which mature 011 July 1st, 1907. The State Treasurer received
a circular letter from the Treasury Department at Washington,
D. C., calling attention to Section 11 of an Act of Congress
passed and approved March 14th, 1900, proposing to exchange these
and similar bonds for two per cent, gold bonds. The Treasurer does
not think that he has authority of law to surrender and exchange the
bonds now held by the State. If the General Assembly should deem
it advisable to make such exchange it would be necessary for special
legislative authority to be giv?n him.
At the close of each fiscal year, it is always a matter of anxiety and
doubt to the Treasurer as to whether he will have at command funds
to meet the January interest on the public debt and the current expenses
of the State government. This state of affairs arises from the
delay in collecting the State taxes under existing law. If the tax
books were made to close on the 15th of December instead of the 31st
of December, as is and has been the case for the last few years, this
doubt and uncertainty would be removed and no one be oppressed
thereby. It is well known that those most able to pay their taxes are
srenerallv the last to do so. Notwithstanding these drawbacks, we