SUJNBUMY AMERICAN. AND SHAMOKIN JOURNAL. PRICE OP ADTERTIS1XC. I aqnare I Insertion, I da 3 do 1 do 3 d. fO W 0 75 0 2.1 Every subsequent incrth n, ,.. I tT .TT, i .. THE AMERICAN" hi publMtvd ety Salur ivy at TWO DOLLARS ptr annum to In fiaid half yearly In advance. No paper vJiscontin. e!l till all arrearages are paid. No subscriptions TcrVrad Tor leaf period thin i noit. AH eommunicationa r letters on business ralaeiwg to the orltce, dtMte attention, wust be POST PAID. Yearly Advertisement, (with tde privilege ot alteration) one column f 25 half column, $18, ihree squares, 12 ; two squares, f 9 ( one square, $5. Without the .-rrvilege of alteration a liberal discount will I mwk Absolute acquiescence in the deciaiona of the majority, me vital principle of Republics, from which lWti no appeal but force, the Tital principle and Immediate parent of dr.p .tiarn. JitrrrHaoa . Advprtisems'nta Iclt without directions as W 'he length of lime they are to he published, will be continued until ordered out, and charged accord By Master Elscly Salisbury, Northumberland Co, Pa. Saturday, January 10, is. I a. Vol. 11Xo. XVI. ingly. CjTMrtren hnc-s. mrvkc a s-junrsv, TERMS OF THE AMERICA' HENRY D. MA88ER,? PvsLieaiae ab JOSEPH EISELT. JPaora isi-oaa. JT. Jfc Editor. MESSAGE. th lfiMitl nepswa-e srMftVc mw.esiwsltlB f PeMWsrlvwuta. Fellow CiTisiKa: In performance of the July enjoined on me by the Constitution, I pro ceed to give you such information of Ok etate cfthe Commonwealth, and to recommend to your consideration such measures, as I think xxpcdtenl, t the present time. The d ischarge of this duly is, in many respect, beset with difficulty, but this docs not absolve me from the obligation created by my official station. In a wpwit of perfect frankness, I shall submit to ynu, the best dictates of my judgement, and shall be happy if, in your wisdom and experience, you can so modify and improve them as to promote in a greater degree, the welfare of onr common constituents, the people of this Commonwealth. The subject ot the deepest interest, and greatest perplexity, that calls for our attention is, the financial condition of the State. Al though I hare, on several former occasions, entered into a full and minute exposition of this matter, 1 cannot refrain from again presenting it to your consideration, in a manner so distinct and plain, as to preclude, I trust, the possibility of misconception on the part of those who feel an honest (let-ire to understand it I am per auaded that however embarrassed may be the pecuniary affairs of the Commonwealth, nothing if needed to induce the people to provide means to extricate them, but a clear and candid expo sition of the nature and extent of the liabilities, to w hich they are subject The time for con cealment, evasion and deception on this point, is at an end. -The contract has been made. The faith of the State is pledged, and every con sideration of duty and of lionc require of us, to know our true condition, and to provide ade- 3uaU means to meet our obligations, and tore eem nnr plighted faith. There is due by this State, to the United States, on account of depoaite of surplus reve nue, the sum of 82 867,514 79. The funded debt of the State, amounts to f 36,331,005 68. This debt i reimbursable as follows : f 270,031 87 in the year 1341 02.500 00 " 1844 3,516,508 t?l " " 1846 50 000 00 " " 1847 1,000,000 00 1850 2.000,000 00 1853 ,1,000,000 00 " " 1854 2.783,161 00 " 1856 7,070,661 00 " " 1858 1,250,000 00 " M 1&59 2,648,680 00 - 1860 120,000 00 " " 1861 8,225.000 00 " " 1862 200,000 00 " 1863 2,515,000 00 " ' 1804 1.797110 00 " 1865 2524,000 00 " 168 1,957,362 00 " 1870 340,931 00 at expiration of certain bank charters. ?36,331,005 68 This debt has been contracted for the fc!W ing purposes : Tor Canals and Railways, $30,006,013 68 To pay interest on public d.cbt, 3.304,303 00 For the use of the Treasury, For Torn pi kef, Stale Roads, Bridges, &c, For the Uuion Canal, For the Kastcrn Penitentiary, For the Franklin Railroad, For the Pa, and Ohio Cam!, Total The value of our public im provement, estimated at cost, is Tho State owns bank stock which cost, at par The state owns Turnpike and Bridge stock. The State owns Canal and Navigation stock, The Slate owns Railroad stock. Money due on unpatented lands, estimated at 1,571,660, 00 930,000 00 200,000 00 120,000 00 100.000 P0 50,000 00 830,331,005 68 829,292,105 33 2,108 700 00 2,843,048 86 831,778 CO 850,546 99 1000.000 00 Total, $30,426,239 78 The immediate difficulty of our situation, a riaes mainly from the payment of the interest annually accruing on this debt The interest is about 11,800,000; and this sum, it is incum bent on the State to provide as it becomes due. The inconsiderable portion of the funded debt, now redeemable, can bo doubtless, postponed until luort auspicious times, but the interest admits of no such postponement This is in a S'rcat measure payable to those who cannot af ord to procrastinate its reception, and whose means of subsistence depend, on the faithful adherence of the State, 10 its solemn engage ments with its loan holders. The income es pecially appropriated to the payment of this interest, is derived from the following sources, to wit : -tolls on canals and railways, auction duties, tax on collaleial inheritances, dividends on turnpike, bridgu and navigation stocks, es cheat and tho tax levied on real and personal property ic. The amount received from each of these several sources, during the last fiscal year, ending 30th November last, is as follows : f rom tolls on Canals aim ivau way. Auction duties, Collateral inheritance, " Dividends on turnpike, bridge and navigation Blocks, Escheats, H Tax on real and personal property, AVc. 1(762,360 41 77.022 15 21,591 43 30,355 72 XiO 64 33,292 77 Total, f924.959 15 The sum in the treasury, applicable to this nhinet onihe firstday ol this month, uulepen A..ut nf what will be received during the month waa 1, 020, WW 38, king 124,042 62 more than ia necctwary to pay the interest due on the firnt of February next. In relation to the assessment and collection ofthe state taxes, under the net of the 11th I..... IU0. the rrcateet delinquency is found .. ..i. ii. Mimtv commissioners. Noreturnor tutemenl has been received from several of the count ieu, aYlhougn required by the 6th sec tion of the said act, to be transmitted to the Auditor General on or before the first Monday ofSeptembcr, in each year. It is, therefore, out ot my power to inform you of the amount assessed under said net Fiom the information, nowever, received, I tcel warranted in saying that it will amount to about half a million, or within a fraction of it That amount will be considerably increased by the valuation and assessment provided by the "act to establish a tinitorm mode for the valuation of property and assessment of taxes," passed 15th May, last; the returns of which are required to be made to the Auditor General within the present month, and will be laid before you as soon as received. The duty of the county commissioners to make returns of the assessment, Vc, to the Auditor General, imposed by law, seems not to be designated and enforced with sufficient pre cision and certainty. To secure its faithful performance, I recommend a revision of tho law. During the existing state of things, the con tinuance of taxes assessed, for the payment of this interest or at least of taxes of some kind for this purpose, appears to be indespcnsable. If the distribution of the objects of taxation or the mode of levying and collecting the tax be unfair, or onerous, undoubtedly the evil should be promptly corrected. I have heretofore declared my determination to do all that belongs to this department to meet faithfully the engagements nf the 6tate, and to maintain unsullied, the credit and fidelity ol our Commonwealth. My sentiment in rela tion to these matters have undergone no chance, and lam pleased to find Unit on tlii9 subject, there is no diversity of opinion among the great mass of the citizens of the state. All atrree that, whenever the constituted authori ties of the Commonwealth, have entered into engagements conformably to the constitution and laws, whether these engagements have been characterized by due prudence and a proper regard to the interests of the public, or not, the honor of the state, the permanence of our republican institutions, and a sacred regard to the sanctity of public engagements, require that the resources of the Coniinonwealth, and the energies of Iter citizens, be put in requisi tion, to meet her public engagements promptly, punctually, and unhesitatingly.Jt is therefore, respectfully and earnestly urceu upon the le gisiuture, to take tlie necessary steps, at the earliest possible day, to ensure this desirable result A the most efficient means that have oc curred to my numl, I wonld suggest the fol lowing course, I.ct the legislature ascertain from tlie financial departments, both the ordi nary revenue, and Vne amount necessary to be raised annually for tho payment of the interest on the staf. debt, and the ordinary expenses of government Let provision also be made to Cover all rtniiihle rnntincr-nripa and losses nn i . i r. 1 Colloc'uon. Add to this a sum, though ever so small, tor a sinking fund, to be applied annu ally to the extinguishment of the principal of the public debt and apportion it among the several counties of the Commonwealth, desig naling tho amount to be paid bv each, by an u niform apportionment according to the triennial or last assessments, with such corrections and equalization as shall be found necessary, and on the same objects now taxable, or any others that the legislature may think preferable. Let adequate and certain penalties be imposed on each county commissioner tor omitting to have the duplicates issued in time, and on each assessor for the non-performance of his duties, and allow the county such a premium, as shall be thought right if its full quota be paid into tlie I reasurv, on or before the dav required by law. It is believed that a committee of the legislature would be as competent a board as could be raised, to apportion the quotas of the several counties, as above mentioned, aided, as they will be, by the late assessments and cen sus The establishment of this system by law, would place the fund to meet the interest on the public debt, on a permanent foundation, and silence forever all doubts which interested speculators might seek to raise on this subject But it is not only to the loan holders of the Commonwealth, that she ought to be just in meeting her engagements. A regard loccuno my, as well as justice, to the men who labor upon the repairs ot our canals and rail rjada, requires thut they should be punctually paid, I he laborer is worthy ot his hire, and is as me ritorioiiH a cieditor as the Commonwealth has, and it is absolutely disreputable that he should be dependant on the borrowing of money for his pav.anu be unuble, at times, tor months u gether, to procure as much for his labor as will buy li mi a loaf ol bread. It is respectfully sup gtsted, that when abundant means from taxa lion are provided to meet the interest of the tlnte debt, that the tolls on our public works shall be first applied to their repairs, so that we may know, at a glance, to what the nett rven- ue, it any, arising from the in respectively amounts It is not to be disguised that we are deeply in debt ; and that tlie times call for an unnuail- ing fearlessness in our public functionaries, to meet the emergency, and to provide the means for our extrication The neoule arc already burdened with taxation, and those burdens can not be diminished, if we expect to pay our debts. The conduct and motives of those who make provision to pay them, may be misrepre sented, and for a time misunderstood. Preju dice, from the sordid feelings of interest may be invoked and demagogues and unprincipled politicians will, doubtless attempt to use it, to answer their own purposes. Hut the responsi bility is one which every h meet public function ary must meet fairly and frankly, and in so do ing he will be eventually sustained by the peo ple at large, who never deliberately err, and who always will reward, with their confidence, an honest and fearless devotion to their true in terests, even though it may, at first, have met with temporary disapprobation. The mean to pay off' the loan umler the act of 4th May, 141 to pay the foregoing credit ore of the state, and the interest on the public debt, muit be provided before the Legislature adjourn. Sound policy, way common Tionerty, demands thin much at vour bands, and I am pemmded r.o member of the Legislature nl shrink from a duty enjoined by such considera tions as these. It will be found on reference to the amount of taxes paid by the people, that comparatively a small portion is levied to discharge the inter ettlon the public debt Although in the aggre gate the taxes are onerous, by far the greater amount is absorbed in the ordinary purposes of township, city and county affaire. I take great pleasure in stating the tact, that the increase of the taxes for the maintenance of the faith and honor of the state, has been regarded tn a t pirit of patriotic duty by the public at large, and has been borne without repining, unless, indeed, we except a very few persons, residing in por tions of the state which have reaped almost the entire benefit of the expenditure of the vast sums ot money, for the payment of intercut on which these taxes are imposed. I felt satis fied when I recommended, early in my official career, the resort to taxation, mxtead ot addi tional loans, to pay the interest annually accru ing, that the enlightened yeomanry of Pennsyl vania would, under the circumstances, sanction the recommendation. I am now convinced 1 did not mistake their true character: nor can the extraordinary conduct of some persons, pro fessing better principles, who first urged the adoption ot the measure, and afterwards de nounced those who acquiesced in it, shake for a moment my steadfast conviction on this sub ject I always believed the people would do their duty, Jet it cost what it might ; the first instance is vet to he found in our history when they have flinched from it, ifrightly understood. i ne unprcceoeniea increase of our popula tion and resources, cannot fail, in a tew years to render our improvements so productive as to supercede the nec-raity for taxation. The ul timate value ol onr stupendous system of public works can hardly now be estimated. J hev have already added an incalculable amount of value to the property of the citixena of the Commonwealth, and given an earnest of their capacity tor to tore usefulness. J he travel and transportation upon them must increase in full proportion with the multiplication of our popu- laiiPii, and the dcvelopemcntof our cxhaustles resources. hen it ia recollected that the ponulation of this State in the year 1800, was only 602,545 ; that in 1820. it was 1,049,313; and in 184, it was 1,724,033; t-houing an in crease within the last twenty years, exceeding the whole population in the year 1800; and when it is remembered that this immense and increasing population has imparted, and is im parting its intellect, energy and industry to 'he improvements ol the agricultural, mining, manufacturing and commercial interests of the Commonwealth ; and that during tlie past year, when trade and business were greatly depress ed ; when the Delaware division waa not in use until about the 1st of August; and when the important anthracite coal trade from the Wvoming, bhamokin and ISear valleys, and other intermediate points to tide ; and the bitu minous coal trade from the Allegheny moun tain, on the West Branch, and Juniata region, to tide; have been barely CMnmenced, the re ceipts of toll amounted to the aunt of $762, 260,44, it will be difficult to form a just esti mate of the extent of their future usefulness and extented receipts. These internal improvements, for the con struction of which the principal amount of the State debt has been incurred, consists ot tPi miles of canal and railways completed, and 165 miles of canal in progress of construction and nearly completed. The finished works are the following : The Delaware canal, from lOaston to tide at Bristol The main line of canal and railway from Philadelphia to Pittsburg, Canal from Beaver on the Ohio river to Greenville, in the direction of Erie, Canal from Franklin on the Allegheny river to lonneaut lake. Canal, Susquehanna and North Branch from Duncan 8 Island to Iackawanna Canal, West Branch from Northumbrlaud to rarrandsville, Several side cuts and navigable feeders, miles 50J 395J 72j 49 11H 73 7 Total canals and railways completed. Canals in progress and nearly completed: North Branch extension, from I-acka- wanna to New York line. Erie extansion, from Greenville to Erie harbor. Wisconisco canal, from Duncan's Island to ll'iconisco creek, Tclal canals in progress, 768i The report of the canal commissioners, with the accompanying documents, which will short ly be laid before you, will show in detail, the state and condition of our public improvements. Having in former communications to the legis lature, stated my views in relation to our sys tem of internal improvements, I beg leave, re spectively, to refer you to them, aa being nn- climgeu, wimoni winning unnecessarily 10 ex tend this communication, by embodying them in it Hlien I first entered upon the duties of the executive department, the question of comple ting the North Branch and Erie extensions wus submitted to the action of the legislature. The representatives ofthe people decided in favor of completing both, and have by three subsequent acts, appropriated considerable sums or money for that purpose. The North Branch canal has already riM f2.3l',276 38, of which the sum ofiJt:v-i9,676, 42 remains yet Hue to contractors. The Erie extension has already cost about 2, 919,507, of which the sum of $574,406 28, is yrt due to contractors. The grave question is now presented to your serious consid -ration, wheth er, under all the circumstances, thoae two lines are to be forthwith finished, or abandoned for all time to come, and the entire amount of labor and money expended upon them thrown away. Contractors who have gone on to the work, and perhaps executed the least profitable part of it will have fuir claims on the justice of the legis lature for remuneration, for the losses they have sustained by en abandonment of the work by the commonwealth. Judgaing from the sue ceea which u-nally erwn perseverence, in similar applications, btfera the legislature, there can be little doubt that this class of claim ants will not so away unanaW'crcd and unsat isfied. The farmer whose lands have been cut up and destroyed will also be a just claimant for compensation for the injury he has sustain ed, for which the advantages from the proposed canal will not be An available set off; and it may be well to enquire whether the amount of those claims would not go far towards the com pletion of those branches of our improvements. The only valid objecti n to a pioeciitioii of these works to completion, is the difficulty to be apprehended in raising the necessary funds for tho purpose. The rstimnted cost to complete the Erie extension is $530,142 46, and tho North Branch $1,298,416, independent of the arrearages due to contrnctors, as before stated, which must be paid at nil events. More confi dence can be placed in tho accuracy ot these estimates ot the cost of completing these works, than could be extentrd to tho.se made in the earlier stages of our public improvement", from the increased practical experience of those in trusted with the duty of making them. My own opinion remains unchanged, that it is our true policy to go on and complete both these works with as little delay as possible. This, however, is a qurstion exclusively for your de cision. For the debts now due to contractor on thrae linra, aa well aa for ii pairs on the other lines, ten dered indiarnsalle, and without which many por tions of our conats wnu'd have bten umailhle and usrleaa throughout the sea n. I reprc:fu1ly urge that aome prompt and immediate rotiioi.e be mai'e. Many of the contractors have laid out of tl eir mottry for a long lime, and have suffered rrioua injurira .y the delay. If no better expe dient can e dmi'ed.I would terommend the imme diate ia uintt of a m per rent. tork to all aurh rrrditoia, redeemable a such lin.e a shall be thought meat expedient. The amount required to pay ilehta due fur re paira on tlie retreral lim-a of cat al and railroad, it will l-e obairtrd by lle report of the Canal Coin miniiner, is unu.uully latRe. Thia ia to be as cribed to the Ulpmtic tiled lit each whlrh recurred in the Ui la ware P vi-n-n, in January laM, which cost at iut f 150,000; to I lie renewal rf the North tr.irk of the Columbia rail road; to I lis tetuiMing, in a permanent manlier, the lorka, bridee and a uueducie n neveral nf the di'iiion, and particu larly on the North Br inch, where the original au poMruclur. f, rompi'eed entirety of wood, had ao far de. a) ed aa to leave no other alternative, than eiiht r in ri new them throughout, or abandon the navigation entirely. It ia also, in art, to be ascri bed lo the fact, that onl a portion of the furda ap proptiated by the act of the 4th of May laat, fur te paita, and to pay debts than due, became available; leaving a large balance ofthe appropriationa to there oljtcla, therein author. J, s ill due to the public ricdilora. There if alwaye, een under the moat economi cal adminittratione of affairs, a greater amount of expeme incurred in managing ami keeping in re pair great public improvements for lh Common wealth, thi.n it would rout if they were io the hand of individuals. It in, therefore, respectfully aURges trd for the consideration of the Legislature, whether the public intercut would not I prnmnteJ, and llie amount nf the 8tate debt considerably lisscned, by a asle of the ranala snd railroude belonging to the Commontra th, or at leaat, a portion of them, or such other ditpotitton aa w..uld diminish their an nual expenses to the Commonwealth, and incteaae the amount of revenue from them. Were the Commonwealth free from debt, I should hesitate to recommend ihe sale of any of her public improvements. But oppressed aa she is, the cost which the repaira require, and the ne cessity of relieving ouraelvia as far as possible, in duce me lo urge action on this subject, at lesat so far as regards the I'olumliia railroad, snd the Dela ware division of the Pennsylvania canal. It will matter but little to thoae interested in the use ofthe improvements, whether they are in ihe bands of the public or of individual', provided pioper aafrgaarda are enacted lo protect the public in the free li e and enjoyment of them, and to guard against abusea ami eiactiona. If it tie objected thM aalea cannot be effected in the present state of our pecun ary embarrassments, that will be no reason why a law ahould hot now le enacted authorizing the aale of such portions of them aa ahatt be deemed proper, subject to the ap probation of the lgt la'ure on the aale being re ported. If sold, even on an extended credit, if the princ pil be serured, and the interest punctually paid, il will ao far iclieve the Commonwealth. If it w. re made a condition that State stock should be received in payment, it would probably make the sale moie advantageous to the Commonweal h. The dixpos'tione of eapitelii-t would thus be made known, and it can, at least, he ascertained Whether a ssle al an adequate price can be erb-rled. The olicy of has ng for a term of years, one or both of those improvements, has been more than 'once sug gested. Ot the propriety of ao doing, 1 am not pre pared to expresa a decided opinion, but have ih lught it worthy of a suggestion fur jour eonsidcrtlion. That the public Worka.houlJ be unproductive, is owing in a geat measure to a want of proper le gislation on ihe subject, and unless this he remedied, it must impair iiuhlie confidence in their ultimate utility. The ('anal Commissioners hve repeated ly urged upon the leg slutuie the propriety of al lowing Ihe Commonwealth, alone, lo carry the ps- sensera on the C'ohinih'a rai !. No raihoail in the United S'a'e. could sustain itself, rf it were to ' trolled, and now conlro's the tranqt rle ion on out publ c works. Ii may poasihly be suppoaed that the Canal Com miaiionera possess adequate power nhe dy fir this purpose, but line is to mistake the cine. From the na lire of that I'enaitmeiit of the e ivetntnent, It i alwava mnde the tuigrt nt which thr d soonlentid and interested point their abatts. Not n season nf the hairlalure iiass w ithout harrassing the com mii-aioiicre with iiivealig iti ir.e, the whole state ia r.nsnckrd foi eccu eim ev ry act questioned and mismireseii et. and afb r all, ll.e re-ult is fruit. less. Tlie fi st instance i yet to be found, in whluh anv thins Innaible h.ia b. en produced, or a- ny saluia'rv reform of the ey-tero rlfoclefl. Were the leei-Uture to devote one session to an honest and Ihomuuh examination snd correction ofthe a- buses snd defects of Ihe system, without a.noyiiif and (Uiauing individuals for sinister end, not o peiily avowed, much good would be produce d ; Inn nnilpr snv oilier mode of treaiino this subject, the i'sue must be aa idle and frivolous aa heretofore, I do not wish to preclude Ihe moat aea ching in- ve tirsiion. I merelv desi.e to direct your atten tion in a channel that will be beneficial to the -ub lie. Onr of the gr. atcst evila of these frequent and frivol ua invistictti .us, is lint tliey i-rine legist- live investiest ons themevea into discredit. The persecution of the innocent, alwaya furnishes aliield to ihe gtnl y. It ia now. thiouuhmit the country, a matter o idle aoort to talk of theae invcatintitiona. The mode by which ihey are brought about ia well understood. A few diaslisfled contractors, snd others, impore on ihe credulity and st mulute the anibition of sorne number of the legielatnre to offer a petition, com plsining of public gtievancea. A committee lo in-vei-tiga e ia appointed, aubprcnaa are issued, an. I straightway, swarms of hungry confederates throng the seat of government, to prosecute their claims hi fore the legislature, lo lounge at the'public ex pense, and join in a wholcaile pillage ofthe treasu ry. At the close of the session the committee ic ports, the witnesses return to their homra, and l-ugh at the trick, as they pocket the spoils. Hy n ferencn to llu aubject, it will be found that a large portion erf the legislative exj.enaea ia Incurred in thia way. The extraordinary inerense of these expensea, oer thoae of all otlur departments ofthe government, has been ol late years a matter ol jun complaint, Ii becomes my duty, in the next piece, to invite y ui earnest attention to lire pre sent condition of ihe banks, and currency or tins state, it is a moi lamentable fact, that, in relation to this subject, the fires I est irregulurity and disorder prevail. It is true, we have little, if any. of that wnU'fred illvgil trash in circulation, which, durisg the early pail of the laal six years, infested all aeetiona of tho Common wealth, in the forjis of notes, checka, certificates, tec. Ate, of corporations and individuate, for small Mima, put forth withdCt lawful authority, kyl in spite i f the ptohibitiona of law : but we have, what ia little better, a large amount of not- a in circutinn, ostensibly legal, and purporting to be of equil val ue, because founded on the faith of the state, by whatever bank iaued, and Jet, notwithstanding thia fact, discredited and "repudiated by the very in stitutions Tor whoae benefit and ivlief they wete. thorized to be lasued. The act of the last session entitled, "an act to provide reveuue to meet the demande on the trea aury, and for other purpose," under the provisions of which, these small hotrs have been thrown into circulation, having become a law by the aanction of two-thirds of the legislature, according to the fnna of Ihe Conatitution, notwithstanding the ob jectione ofthe Executive, I have exerted myself to the utmost, to see its provisions properry carried in to t ffect. Thia waa my duty as the Executive, and I hate faithfully performed it, agreeably lo the beet dictates of my judgment. I did hope that some of the evila whicn have resulted from it, might have been obvited, if it wa enforced by me, and acted upon in a spirit of enlarged wisdom, by the banks thr msclvce. This hope has been vain. The woM anticipations have been realized, and il is my duly to augao-t such a remedy, aa appears to me, to be beat calculated to cornet the critvancer, under which the public labors. By th'a act a loan of three milliona one hundred thouaand dollars waa authorized, to ay s; ec.lic a propiiationa nude hy the said act, and the several banks of the Commonwealth, subject lo the pay ment af a tax on their dividcnJa, were authorized to subscribe fur the aamc, in certain prnporliuiia to ihe capital stock of each. The whole amount of bankin; capi tal in the Commonwealth ia, $C3 519,3 I) inking capital nol subject to a tat on dividends. 4,150.000 Banking rSpitsI eubiect to the pay nient ofa tax on dividenda, $18,409,371 Of ihe banking capital aubject to the payment ofa tax nn dividends, banka holding to the amount Of $10 82S.I4S, diJ not accept of the proviiona of the acl of 4ih May lo piovide revenue, and nence Ihe ciipitel nf the banks which did accept of the nrutisiona of the ajid act, amounted only to the sum of $7,673,529. The whole amount of the loan taken by the ac eepline banks snl psil into the treasury i fl.'Sfl, fi50 68. leav ng the sum of $1,343,349 32, which hss not been received. On the 30 Tl .Vusut, 1841. ! accepted an offer of the Towanda Hank, to eubseribe for an addition al sum of one hundred thousand dollars of tlie a.iiJ loan, and i n the asme day I accepted an offer of the E is Uank, to subscribe f .r an additional aum of three hundred and fifty thousand dollars. Ol theae off rs the sta'e tressurcr agreed lo ac- cent fmm the Eiie ltat k. the sum of iw.nty ne relinquish the carrying ot the paa.engers, yet, on j ,hou,d d,,ilri, nd from ihe Towauda Hank tlie sum of thirU-reven thou.anJ five hundred dollar.. I Thia bank did not accede 10 the propoaiiion to ac t ct pt a pari of the aum offered, hence no part of the him. lie, I thousand ilol srs ws ricturu o, m that road this strange condition of things ia exhiU led. The Hitie hss expended in its construction over four milliona of dollsrs, while the capital em ployed hy those earn ing ihe passengers, is perhaps thirty thouaand dollats. The Slate on her Im mense ou lay, ia reaping about 3 per cent., while the individual Carriers on their thirty thousand dsl lars, are clearing nearly SOU per rent. Ho il is, al so, with regard to thr transportation between Phila ladelphia and I'illaburg, That line of our improve ment, between lb .se cities, wuf eie'rueted at a coat nf a fraction over fourteen millions of dollars. The transHsrlaion on it is monopol zed by some aeven or eight eompnes, employing a capital of leas than four hundred thousand dollars ; yrt, wh le the State is receiving little more Ibsn will keep it in repsir, Ihe transporters sre resizing immtnss profits, ard thai, loo, ou a cumpsratnely smell out This esn only be remttlied by vestii g the ( snsl Commissioners with full and ample authority in a dopl such nies-urrs, as in their judgment will be I e.l calculated to rw ist individual ent. rprze, snd itiaire competition, anJ to ejunterart the effects of Iba srlfi'h and munopt'liiii $ Tttrir, that hss run one Ireasurv Thua il acinar a my large portion oi .i.. i... Li., ...,.ii.i uhi.-rt In tl e oiteralion of tbia bill, h .a taken no pail of Ihe loan at all, and e .n, ol eours. have no clauit in imlu'getice unJr this law. rUne banks Which have Complied, aland in different position H eir loan luuat be rep.ii I le forc they can te foxed to resume. It is aw inqui ry of much moment, wheilur the In i, Its tbal have not complied with llie requisitions of the law, ughl not "o l-e ili pr ved of the advanlag a nrising llom the use of ihe i ota i-sued by hose that did. Afier the moat patient reflection on this sub ject, 1 itn persuaded that the only effectual and certain retnidy ia to repeal tne act fo faraa relulea to the issue of tWo noles, and to pro vide adequate meana to discharge the loan on which they are based. I o pay this losp, a six per cs-nt stock might be authonxed to ha thrown it.tr. market, to Mi fNr whatever it wtU pmdtrce. ShiViri titer b.' a smiU Vaa up"n it. 1 am eure il will ho deemed a very iricotiRiderub'c mat ter, compared with the inconvenience the peo ple sillier from the present etnte of things J o remedy this, a sacrifice, to some extent, is in evitable. Connected with'llio rpra! oftluskw, should be the enforcement of specie pi yinnn'.s hy the banks. An enrly tiny should he fixed for Una event, nt least as curly as the first of June. Tlie time, however, is not so material, w liether it be a few months sinner or later, so time a certain definite find rousotiable time be fixed. Your action on this point, cannot lie too prorrpt frr the public inti.Tcst. The community lma been long enough held in suspense ltt the fi nal issue be nt once presented, and it is to bo hoped the people and the banks will be fro pared for it when it arrives. Those banks which are in a eouwl condition, will conform to the requisitions of the legisla ture, without much embarrassment j and thoso which are not, w ill -tlius be brought to the tnucl'Htonc of their merits. The firnt will sus tain themselves, the latter must take their futc. As soon as the produce of the country lias found its way to market in the spring, the people will be as able as at any other period, to endure whatever hardship results Irom this measure. I do not myself believe, 'that my in convenience which cttn arife from it, will bo orcater, nor any thing like so protracted, aa those which are felt by all clusses now. It seems to mo it woulJ be far belter, to bring matters to a crsis at once, thanio suiter under the s.lov,but death-like torpor that has already seteed upon all. A very few may, possibly.full victims a little fo ner, who could not escape in the end, but the community at large will ultimately experience effectual re lief; Let rashness, violence and injustice bo strenuously avoided, hut no vain hopes, or emp ty theories should prevent tt'cool, culm contem plation of our duty, and a 'linn und unshaken discharge of it, without turning to the right hand or to the left. A suspension of specie payments is at variance with every principle ol correct banking. The forbearance hitherto extended to tha banks has not been without its uses. It has enabled the banks to test their alleged ability, and to extricate themselves Irwi their difficul ties, and has added much to tire atoclt of our experience. It has clettrty demonstrated, that if the banks could not regtm public confidence, under the im ulgence they huve received, the system on which they arc founded is essen tially unsound, and requires thorough amend ment or extirpation. We have witnessed, too, under its influence the tnost fxtraordinnry changes take pluce, without any sudden or gen eral convulsion. A bank of thirty-five millions capital has exploded and gone down in tho midst of u, "comprehending within its sphero of business, the most extensive relatione, both with individuals and with other banks, without making more thin limited portions of t'.io Commonwealth feel the blow with oppressive weight ljoking, therefore, at all these con-. siderations, the indulgence iierctolore given to the bunks, furnishes the strongest reason m favor of the course I suggest, and lully justi fies its adoption. I 'have recommended to tnrcc several io gislaturps the propriety of selling the stock which the Mate owns in tne tsann oi i-cnn- sylvanta, tne rtiitaneiptiia r-anK, anu me r ar incio and Mechanics' isanit, at uscu every ar gument that 1 could bring to bear upon tne subject, to convince them of tho propriety of seporating the Common wen un troin tne banics, and of disposing ofthe stockshe holds in them. I recommended it in a message, communicaieu on the 7th March, 139, on which day the mar ket price of the said stocks were, tor the Bank of Pennsylvania, $196 for ?400 paid ; rhilndel phiaBaiiK fllJ for f 100 paid, and the Far titers' and Mechanics' Bank $02 for 50 paid. The same recommendation was sgain made on the 9th Jan. 110, at which time the follow ing was the price of said stocks for Bank of Pennsylvania 410 ; Philadelphia Bank f 99J ; Fanners' and Mechanics.' Bank fMJ. A simi lnr recommendation was made fith January 13-11, on which dy the following sales were matin, viz : for Bank of Pennsylvania M12; Philadelphia B-ink 100; Farmer's and Me chanics' bunk b'li, making the taid stocks, held by the Coniinonwealth, worth f 2,157,070, By the last sales made during the present month, the market value of those stocks are, tor llank of Pennsylvania f 100 ; Philadelphia Bank Farmers' and Mechanics' Bank tZO; making the present total worth oflhoso stocks $002,121; by which it i seen that by the course pursued by the last legislature, in refusing to authorize a Bale, the loss sustained bv the .State, on those stocks, amounts to tno formulate sum of f 1.255 510. I renew tho same recomnientlat ion to you, for the reason given, from lime to time, in my several com munications on that subject. Before I dismiss tho subject toucmng tnfl banks, I desire to call your attention to the pol icy of rechartering banks, by the legislature, during tho present session, at all. When a charter for a bank has beon granted to a num ber of individuals), for a fixed period of time, there no express or implied ohl gation to renew it. On the contrary, the very limitation ehows that its existence is to bo terminated at the time designated. Its stockholders know this, and cannot complain if held to thoir bargain. The condition t f banks never is known till they are wound up and closed. Their mode of doing business, enables them to defy public scrutiny, and to acquir a credit and standing to which they may not be justly entitled. Frauds and irregularities of years perpetration, are con cealed from the eye of the public, till a finil settlement ofthe concerns of the bank is made. Little knots of persons confederate and gather round theso institutions reap the benefit of their existence monopolize their advantages, and perpetuate their power. We seldom find among them the energy, intellect and entepriso of tho commnnity, but those who derive their consequcrfe from iheir combinations sanction ed anu in vip orated by the law. I cannot think such a sye-tcm as this of porpetutting these cor pisratioirs, congenial to our free institutions, it t'ttahiishe monopolies of the most odious kind, bccutiae pot )m'tf-4 in duration. If thai !.oint.s ol the continuity really requires tv.
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