The New York Herald Newspaper, January 7, 1850, Page 1

NO. 5692. t MORNING EDITION----MONDAY, JANUARY 17, 1850. THE FINANCES OF NEW YORK. ANNUAL REPORT OF THE COMPTROLLER. Comp rnotten’s Orrice, Atoany, December 31, 1849. ‘To vie Leotstarun The Comptroller, in obedience to law, has the honor ‘to submit to the ture the following report :— The financial of the State ia, in a high do- ’ ous and encouraging. ‘The’ public credit fi |, end our ee command an un- among the peop! | all coming time. ‘The other sources of revenue, relied om for the ordi- Bary expenditures of the State, are flourishing, and have produced a larger return Suring the past year than was required to meet the demands upon the trea- eary. The several funde belonging to this State. an account @fwhioh Is presented in this report. are the General Fund, the Capal Fund. the Common School Fund, the Literature Fund, the United States Deposite Fund, the ainking fends created by the constitution for the pay- ment of the public debt. the Bank Fund, and certain Pry ‘trust funds, towhich proper reference will be made. GENERAL FUND. Kevenye. to the Tressury om neral Fuad, desing A fi rai A rount received account a fi ds on 7,060 53 unt transferred from tl for bonds for land: far, belonging to a ; Sa "dcea ex “sd 17,269 @ mount of warrants drawn on don the a eee arrants | err; drawn and eancelled........ Deficiency in the revenue of the Ger ral Fund, on the 30th Sept., 1848... Amount of warrants drawn on the ‘Treasul account of the Fund, ore the year ending 3th Amount transferred to tate & interest vins $992,083 09 ‘Treasvr, hich rea sin the th Reprember, 1dte. 30th. 1845, encement of the present fiscal year, au actual surplus of $113 279 23. This favorable conditiun of the treasury was not reased receipts from the ordi- evel State tax yielded $21,446 78 more than the re eclpts from the same source in the preceding year. 1’ auction duties and several minor branches of revenue exbidit a decline. The existing ane rhe attri- but considerable ‘bro 0 the treasu taxes, made by the comptroller in November aad De- comber, 1845. This sale embraced the uapaid taxes on on- resident lands for five years from 1840 to 1844 in- elusive. other sale of lauds for taxes is not to be anticipated before 1551, it would be unsafe that the present flattering condition of th fund will be sustained by the ordinary reeeip! present fiscal year. Under the system of fluance now ‘established, the principal resources of ths general tu for meeting the charges upon it, consist io the Sta’ tax, and the annual contribution of $200,000 from the 68. be materially ioores ‘tization, there is a steady tendency to burthen the ‘treasury with an incteass of expenditure. The comp- dreller. from a eomviction of it4 neorssity, feels tt ba umbent u: , Teepectfully, bat earnestly, to re- ise of cautious economy and a wise in appropriating money for the public considerations waite to dictate a frug shall avoid the necessity of afresort to in- It is mot doubted that the ral 1 be able, from its present resources aod with- 2 of mew taxes, to provide for every call upon | it, if the expenses are cowtrotied sod Mmited by pru- dent legislation, Hut to ensure this result, it is re: wite that the appropriations should be regulated by a | determination not to enlarge the expenditures beyond — ‘the focome, which may be safrly relied on from the ex- isting rources Of revenue 1k ts believed that. in some | instancer, the ordinery «xpeares mey be curtatied by jUdicious reductions. and that new objects of utility, | owever. deserving of public aid, should be deferred, | *Xrept in ce es Of maciiert nece-sity, until it can be | Clearly reen that they come within the means of the wereral fund, as now coustiiuied } STATE OF THE TREASURY. Balance in the Treasury on the a 48 . $06,009 70 & Sep Amount received lot On accownt of wil thi de, dur- Year ending the th Sep- | WOMVET, IBAP ee cee cee eee cece MRS BS Amount of werrante drawn on the Tre apt of ali the $207. 497 08 ' 2072 74 52,435 68 tas 1i2a3 79 850,543 62 880,562 62 ein TO THe Onorsany THe Fiscan Yaar rom an im the Trearury.. Appropriation from the surplw Woetke sepport ef gover gastion eoty alt daty, after daga Balt Ball Tevenwe as penwes of ¢ jes of lands sae ees of the clerk's gfhive of the court of appeals... sensor Gorne: v yur Os pisany E . SornG ON THE Ist Ooro~ Eerimare nu ela sin, tument inolasing |. i9, 90,009 8,000 Lo Te | 16,000 | 2,000 Baw 300 70 | Leo | 1H0 | | | onera of th toe and Pie edin WMAIe. unser of the Way itol of the Binte Mail... ... ate Lonatia Ayla 50 " T0.m0 ary's Department... ... 14,0 th-Inding binding of the Se howse o6swpled byt! igitives from juaticn. . ‘ jm seoonats of the Treasurer, @ Beonin atm of the Court of App poor, in sanery cow nine Of Refoge Jtal of the Sisters of Charity infirmery waters of © tindson ayia, Now York Ip addition to the forecsing estimate of | labie valve. | the value turer, whi b ia presicated oo sormer appropriations, & further amount will be juired to meet certain ex- For this purpose, two sinking funds were With « view to determin ether the General Fund penees of government, mow providedfor. An esti- | created; one for the reduoti: debt has been actually increased by this issue of mate is hereto f several objects, for | canal debt, the other for the reduction bonds. it becomes material to ascertain what was th: which early appro; be made, exclusive | of the general fund debt. A concise statem real amount of tha! on the first of June, 1846. In of be deemed n , of the constitution, regulati the report of the comptroller to the constitu- the support of the Westerm House of Refuge, the Nor- | cation ef the canal revenues, will furnis tional convention, the (General Fund debt was esti- mal School, the Geological Sugyey, &c., for the present exposition of this subject. The entire r mated to ‘amount, om that day, to $5.985.549 24. fiscal year. venues of canals, commencing on the arst day of | But it will be seen that, instead of making THE CANAL FUND. June, 1846, are divided into five distinot parts or fuads, | computation to ascertain the precise amount of the The public works of the State. upon which this fand is predicated, are to be conside: irst, Their money val tal, to be ascertained by series of red in two aspects as an investment of of years. Second, Their utility to the peonle, as channels of el trate and commerce fail markets, imparting addi labor, and creating new Prorperity. It must now be conceded that the construction the canals was a judicious and the public funds’ and oi value to when regarded guine anticipations of the early frien actual increase of business and presented to the bave bren confirmed and more than realized by tive resultr, In the calculations of that report, it was assomed that, if the Erie Canal should be enlarged, as speedily as an economical expenditure of the money and the rates of toll maintained upon revenues for the year, of the sum of $3,000 000, It will be seen. frem the etatements herewith submitted, that the actual revenue received during the last season szetees, sustains the estimate of Mr. Ruggles, in In the meantime, there bas been a reduction of tolls of enlargement, on would permit, the basis then established, navigation, 1849, would — to 10 per cent; the work which more than thirteen millions have bee: has not yet beeu brought into u crued before or after the time fixed by the constitution Oe eEy teiek A eee a and the Genesee Valley and lack River | for the financial article. regulating the dixposition of | @ temporary check to the “4 pa of the | cauals, until the said canals shall be fully completed. | the canal revenues, to take effect. To the extent that | whole country. The gross the last fiscal year, ending bel yd ‘80th, was $3.4: 06 62, and sfter deducting Adopting served. that the value of the of collection. superintendence, and ordiuary repairs, ee pe epol gAy ood Sev sigt? | dave been tint paid out of the aeetdas Gna ote terest, for the fiscal year, on the generaifund debt had Sietes. atieegarecns seek fo ® capital of $89,515,- | pues; the sum of $1,900.00 per annum has beon paid | then been paid, and, so far as the revenues were deli- "aRh oahins Soak Gf ail tha 1s, including the ex. | 1°™ the canal tolls to the sinking tund for the pay- | client, the payments were made by the ordinary prac- wediture on the Erie enlargement, t) & and Black River canal My d by the accomp 3,214,158 62. $14.024 7: available, for the purpo cost of tranepe larged loeks will be brought into ux tion im 1851, and has yielde: triumphant results, By means apd credit, the Stat 3 canals themselves. cent contribution is to be made from ti to the general treasury, for the ordi After paying thei ry expenses bis Bod wants of t malp nearly a million of do! treasury, thi portion ef the public works to $007 10% If we estimate time with proper referei ration of States, the period tdi there things will be accompli bt alarming as tts 1} be extinguts which tt orig stem of improvements will our State will present It will open anew era in t ‘anals, on becoming the uatneumb- om Mon wealth. will form an estate of ‘4 propert) purporer ‘amjle fund for the rupport of government. and it then become @ question, not how money shall be rais but to what new purposes shall it be applied? reducing the tolls to ratesalmort nominal, as compared With those now enforced. they will yield a bountiful | | surplus, and pince wt the di-posml of the Legisiature, abundant means to perform pew works of bemescence; D o of od accomplish, as tc were, without An effort, wiee undertakings for the elevation and hap- te edvance ede le; to encourag iterature avd art . by endowments still mor ve genios, in the higher waiks pirertof mankicd, It is confidently believed, that the day bas fer indulging tu diel eontemplations of taxation, ast ual improvements iatio advoont tive cetimates of the mont public progress; and every yeur will fortity this conela- | Instead of loading posterity With nu oppressive weight of debt, the canals will re | lieve the younger portion of the present generativa sion by new testimony. from (he oroloary burthens of taxation When we consider the its wuility in diffusing wealth inie it fain this coon: ction that (bela! eral cansis their true e' i and timportance estment, m channel from the ludson t lakes would bav n more productive; but to Pefured similar facilities to otber portions of the Sca\ would ba x theated with accuracy real apd persomal estate Oly 696 When we tefivet upon the stendard of valuation adopted by the assessors, it h f ° and increasing unecevpted or Dave yielded bu’ but the aid of ertiscial tr Dave multiplied ew ploy m Mak wine. thas be perk ahve | to the el individuals wenines the | “Tne comptrotier Sue seule & pevmaneet ruction to provisions which garcons 0 sen Age Ao oy unururl grarantios for the » Swprovements property. they dimirteh the tell on their pre ndive. On the + bave 60 ‘# boon. only othe benefit enjoyed by n oof the Brie f the jnnds and prow ‘tone of the flourish eter lakes which has prodaced such beneficial rem Te the eveee Jacecmplicbmeat of an enlightened time designated trae question Ie. syrtem of internal impr ay certbece, in for $555,000 | time do thore righ The avawer 1 / ® lstge degree, our commercial rupremary, and the t of the present General Fund | by the #8 direction of the constitution thet they con uanding position of the State tm tte relations te ponent Socesens of, hat ee of Ji The other States aed to the confederacy simort bafiler ecmpuration, It i# the reciproeal com: ution, necessarily existe, will 1y be dirputed meree of free States, ebich, while mutually benefiotal, ‘That it ts the dot: the Legisiature, aa the guardian each conferting and recelving ble an pee | Oiree ¢f these funds, to fulfil the provitions of the constita- the welfare of alt, adds new etrength to those politionl | 2 TCCure the ste Lich creating them, may be amerted with equal cont- ther ebich bied reparete communities together im bermenicus perp tual upien THE STATE DEBT AND THE SINKING PINTS. The seventh article of the new eyeiem of finawoe. inte: trdvo ten and (nel extinction of the State d deGnite annual epproprtiation cf the camal average income, wa ue to property end its of publie aud Deivate 2d. After paying said expenses, there is appropriated | ed in his previous annual report to the L: ture of and set the sum of 1,800.00, in each fiscal | 1846. Th'was umed by the cesarean he the the first day of June, 1855, and from that | amount of the debt bad not bee: reased or dimin- the eum of $1,700,000 in each fiscal year, as ished bet: , and June, 1846, but inking fund, to pay the interest and redeem the prin- rame. cipal of that part of the State debt called the canal not brought toa rest at the lat- debt, as it existed on the first day of June, 1846. Chis bas official statement been made to of | nd is dencminated “ The Ci Debt Sinking Fand,”’ or the Legislature, based upon an accu- of the receipts and expenditures to that roftable investment of asa mere financial question. having reference only to the return of revenues yielded to the treasury. The most san- of our system then the sum Of internal improvements, have been surpassed by the | sinking fund, to pay the i islature of 1838, in the celebrated | t)Pal Teport of that year, framed by one ot the most enlight- ened and efficient supporters of a liberal State ed revenue of the cavals. durin; 803 91 "for the ex- ials is equal to a capi- 1,711 83, invested at six per cent —, aesee Val- to 80th September last, as anying atatement (marked Cunt there bas been expended the sum of | pee, $1 on the enlargement of the Erte Canal, whilst po pertion of the enlargement has been made the State, inoluding the ithin a period of less uty years. During the same period, a munif- canals, yearly, have contracted several pew louns on the credit of the approprine iz to $1650 000 per annum. to provide ML tee rs per annum, set apart ecnetitution, for the completion of the und- The surplas for the Tact freal te Bpplicabie to the jatter object, amounts to the da it nm «il , avd when our noble perfected from the lob tribute which it will have poured into the trea- wry. When this stage of progrors shell have been reached, spectacle without ® parallel. history of States, The of the st nad inealed- | Commirsioners of the Canal Our people will have secured for them- | awcunt on the 22d of Jui selves & perpetual exemption from taxation for State he revenues of the cansis will form an After | cent) aflo | e legitimate consequences of our inter Expertemce bas shown that all such fore bodings are more visionary than the rpecule. | ota of our canal policy, in | its influence wpou the geners! prosperity of the people; vd comfort by @ cheap @ of the products of indartry, iv enhancing f property and the rewards of labor, the Lappy reevite of che system are ell more ratisfactory. same Are treavary . te from | & bat inetdentaily, | 21" by doubiteg the by the bemetit, will be vastly em mind in this connection y inflicted upon our | jon ofa rearonable | bes added many twenty times fts entire cost. to the to refleot, that @ poliey at hom: id wealth, aud imparted proepertyy to the fertile regions beyond us it has broaght within cur borders an amount of commerce, whieh petitution established @ to iprore the gradeal wee rer pa the expenses of iit the . For payin; ox collection, superin- tendence, fs ordinary repairs. on y on the Ist of June, 1) the report adopts the exact amount of the debt, as it existed cight mouths previously, on the 80th of September. 1845, as present: Sd. After complying with the foregoing provisions, there is appropriated and set apart out of canal | time, fg pe Mey definite amount of the Fale Tevenues, commencing on the first day of J 1846, | debt, as it existed on the first of Juae, 1846, Indeed, it the sum of $350,000, in each fiscal year. until the canal ve been a difficult tank to ascertain it with cer- debt shall bave been Fear pee end after that period, any intermediate point of time before the ex- of $1,500,000 im each fiscal year, as a of the fiscal year But subsequent results terest and redeem the prin. thown conelue! bat the amount must have that Of the State debt called the general | been larger than the e: ‘te before the convention, at fund debt, including the debt for loans of the State | the period alluded to Im the first place, there was credit to railroad companies, which ha may be- from the eapal fand to the general fund, between charge on the Lary until the @ shall 1. and September 30, 1846, the sum of $400,000. jolly paid. This fund is designated as “The ithstanding this large payment within the short val Fund Debt Sinking Fund.” space of four months, it appears from the comptroller’s 4th. After paying the expenses of repairs and super. | annual report of 1847, that the debt had incressed to intendence of the cansls, and sums pproorinted to the cum of $5,992,840 22, In referring to this subjec ti eball be pai ‘trays :—" The above in the debt as it «too rplus revenues of the cauals, to the trea 5 first of June (1 @, $5,885,549 24). At the close of the State, on or before the thirtieth day of | of the fircal year. it was ascertained that the debt had tember, in each year, for the use and benefit of the Increased $107 G00; this isto be added with interest | fal fund, such sum, not exceeding $200,000, as Je years’? required to defray the necessary expenses of evident, then, that the revenues for the fiscal Sth The baggy directs that the remainder of sa for It ts year, euding September 30, 1846, were insufficient to id canals ehall, in each fiscal applied in such manuer as the Legislature moot the expenditures, and'a large deficit was thrown ct, to the completion of the Erie canal en- upon the general fund. It wouid be diffientt to deter- mine with precision, what pertion of this deficiency aa- This surplus of the canal revenues, thus appropriated to complete the unfinished canals, will be designated, for the take of distintion, ae “ The Canal Completion itwan incurred before that period it formed part of the then existing debt, for which the sinking fund was iu- stituted, So much of the deficit, if any, as was occa- sioned by the expenditures after the Ist of June, 1846, These several provisions of the constitution, con- | formeda new debt, to be provided for from other sour- trolling the application of the canal revenues, have | cen irrespeetive of the sinking fand. But it may be Leen eacredly observed and faithfully carried into safely asumed that the prinelpal part, if not the whole, effect. From the first day of June, 1846. the expenses | of this deficiency, must have existed at that period, ‘The legislative expenses, and three fourtha of the in- ticw of using the moneys in the Treasury, belonging to the School Fund and other epecitic funds. ‘This in made apparent by the statement of balances due from aud to the General Fund on the 30th Septem ber, 1846, ax given in the anneal report of the comp- troller to the Legisiature of 1847. it is there shown, thet the balance due from the General Fund to the specife funds, was $1.000 063 27, and after deducting all the money in the Trearury, there remained a ba- lanee of $£25 739 44, which was reported as part of the State debt, aud was afterwards liquidated by the issue of comptroiler’s bonds to the School Fund and the United States Deposite Fund. The amount due from the Genere! Fund to the specific funds on the 30th Sep- tember, 1845, war $740,161 78. which was reported by the comptroller to the convention, as part of the State debt existing om the let June, 1846; thus showing that the balances in favor of the specific funds formed a debt against the General Fund, not only recognized by law, but intended to be provided for by the constitu: tion. The balance due to the other funds, fur advances to the Treasury, prior to Jupe 1, 1846. must have been largely reduced by the transfer of $400,000 from tho | Canal Fund to the General Fund, between June ist and September 20th, 1846 mient of the canal debt; $350,000 per annum has been paid tothe sinking fund for the payment of the general nd debt; $200 000 per annum bas been paid to tue general {und to defray the necessary expenses of the tate; and the entire surplus of the canal revenues has expended on the unfinished works epecitied in the constitution. It was reen. from the statement of the State debt, furnished by the Comptroller to the Constitutional Convention, (see Convention Documents, No 47), that portions of the debt would become payavle more Tapidly. or at earlier periuds, than the fuods would be reulized from the appropriation of canal revenues to the sinking funds; apd to meet this contingency, the fifth rection of the article above referred to authorizes the Legislature to procure the means to satisfy the elaima of the creditors of the State, as they become payable, on the credit of the sinking funds or either of them, if the rame prove insufficient, As o farther guarantee for the payment of the debt as it falls due, if sufficient means for that purpose cannot be procured on the eredit of the sinking funds, it is made the duty of the Legislature to jucreare the revenues of the said funda, by equitable taxes. 40 as to make them, re- epeotively, sufficient perfectly to preserve the public tien” i x! * ‘The constitution ‘appropriates from the canal reve- The propriety of these provisions hes been elready | nuce to the General Vena, “such cum not exceeding exemplified. Im order to meet portions of the old debt | $200,000 per annum. as mey be required to defray the ccming due in advance of the contributions to the | ordinary expenres of the State” ‘Ihe amount to which | sinking funds, the Legielature bave found it necessary | the Genera) Fund was entitled from the canal reve- to autberize, and the financial officers of the State | murs, under this provision, for the first third of a year after it was to take effect, was one third of $200,000, or $6 066 OT; whereas the amount actuetly transferred, exceeded thatsum by $532,353 93. The act of April 5, | 1849 arPumes, avd it ix believed. correctly amuimes, that the Canal Fund became the creditor of the Gene sinking funds. Two loans of this character were made in 1848, one for $425,000, to meet « of the eanal debt which fell due on the firet day of July in that one for $489,819 34, to repay the amount from portion of the canal revenues be- | rai Fund for theamount of this excess beyond the con: | longing to the Canal Completion Fund. to pay « porti slituttonal Se It i upon this groand, that of debt which became due on the first day of July, | the Comptrotier’# bende for $586 000, iseurd to repay 1846. It ie Delieved that troiler’s report for 1847. and the facts presented in the port of the Comptroller, dated March 1a, 148, will sufficiently establish the prepriety of unis loan, a the ouly meaus of repaying monrys trace ‘The same principle was adopted by the Legislature ferred from one fund to another, and thus piecing each | of 1848. in the parrage of the ip the precise condition preseribed by the constitution | the credit of the Caval Debt Sinking Fund, co repay the During the last fecal year, three additional loans | Canal Completion Fund, that portion of the eurpias re- bave been made. on the credit of the Sinking im | venues of the canaia ever $1,850.00 per aanuc: (be- examination of the omo- | thir balance and the interest on it, are regarded a+& } ate the debt existing at the time from whieh the wencial article became operative, and therefore clLergeeble upon the Geveral Fund Debt sinking Fund urrarer of the fifth rection of the financial lene pd the General Faud), ) the first day of July, 1840, there was due for p which was applied to the payment of tke canal debt t the sum of $2 149 408. including | between June }. and September 30, 1546 cipal of the camal di $5 062 400 of cove TF cent stock issued im 1842 is | Whatever difference of opiuion may exist as to the large amount ex the meane ia the Canal Sinking | true construction cf the constitution im this reapect, Fund $1729 024 16. To provide for the deteienoy, the | or at what point of tine its provisions reiming t) the d made a loan of that | canal revenues became operative, it is believed that uo last, by issving a six per | dovbt can be entertained respecting the iatention of ite cent stcek reccemable in 1805, ia pureusoee of chapter | framers 210 Laws of 1848. The large prewiums given to the | It was known to the convention, before the final adop- | State by the sncceseful competitors for this loan | then of the constitution by that body, that « eum «x- | (emewntirg to $207,164 06, or above 11 5 100 per the rate of $1.900,000 per an bad been ap- eratity ing evidenoe of the Gnaveial pros- m the canal revenues, to Che payment of the perity of the country ‘of the universal contidence | caval dedr, since Jume 1, 1844. Yet they provided, by Tepoeed im the and credit of the Stal the seventh article, for a new distribution of the canal (ebapter 232) the Com. | revenves, into distinet fands* commencing on the tr: thermed to borrow, | of June, one thousand eight hundr such sum, Dot Ging $200,000, es may be sufficient to to supply cles in the raid Si "ig Fund, to pay the end thet reet and redeem the existed at the time ‘The same provision, ti epplication of the e x It could m ure or the exigencies of the instrument cording to i'n pi to the ! pe | peter to June 2, 1646 Commircloners of the ¢ MN her c'nims, secruing ew of thle wot, tne on the J0th day of own it iw pexfeotly obvious that this Joan crested no in- create of public debt, bat simply pro: means for paying ® portion of the actual debt whieh exieted om the let of June, 1646. estim ud mot i546, a it be iy a pit y openiog « feparate account with rach of the tuuds to whieh por- tene of t) Venues were aasign. mene ng Ifone of these fauds had re cS lied to the pay- the conatita- dim the place cf the origiaal eredicor, aad nally entitied to be paid! j For mony years, the (ienera! Fund has been # lebtor to the Seboot Fund and the Litersture Fand and th | balances thus created have been and provided for invariably, as part of the State debt. hie «yetem | results from the exigencies, frequently from the neces. titles. of the public service, The same practice must, ip the natwre of things be centinued in the adjast ment end regulation of the several funda ere | the constirn of 1840, #0 far aa to ensure to each | the proportion of canal tollt to which it is entitled, y be arged that, although the foanclal provi- tbe o¢ t fo it net eq! era, although not fo devs actually ard peeord it 1, belonge: part of t ob igation existed in ite full for ment. creat an old ene substituted one creditor for another. A different construction would deprive the Legisia- ture of ail power to provide for the payment of this | clare of debte from the canal tolls, These revenues | are rpeciteally ret apart and applied to five dirtinet fonde, or objects under none of whieh can the uniiyat- dated cisims be aativfied unlers they are recognised as *. All doubt on this eubject ie pat at rest by well vettied principles of law. If an individual maker an | | en tenment . tor the pay. | dated claime ontetanatny tk dome or property ta Nae other classes of di arcerteined No reason doetrive te not equally ut this posite Ifthe arg velusion wee eopetivation, provision which | the plain and def be revoted inetly recognized perevived why the rame Hie faith inviotate, pril 6, 1849, it wae me , om the first day of Ma: Treasurer for the vee of t for the sum of three bun: Soaaee, eee Interest at the im, payable quarterly, w of July. 07 ircbarge y the eo ¢, from September et whatever Irgislative power is neces. ry to cerry comstitational requirement inte fall denee. — y- Lanes oe cont Rg Bt 4 tiena. mnwrt be regarded ae tl sutherity of the constitution Teele. PAS Dpvection of moneys Inconsistent with the terme of the seventh Article, must be subject to euch revision and corres. thom, af are necessary to the ocmpiete execution of the | Irom the Gr fr | revenues to the Sinking Funds and the General Fund, . TWO CENTS. the superior law. The relative | Interest on th. in question could be defeated | Totel payments or executive act, he ri- | Balance ou hand, wth September, 1540, ate or conclusive such act may hav’ whi sioned by former andeonflicting regulations. If a lar- of the canal revenues was transferred to The above balance is applicable, as foilo one of these funds, smaller sum to another, than | 7? Fedeem t's of 1457, outs\andin the constitution enjoined, the former became liab! Te of 9, T4948 00 oie the excess, and the latter entitled to receive the Ssof 1849, 15'114 0 leBcienc} —_—— Sinking Fund received t “paying no interest, 90 4&2 00 1, 1846. the simplest mode of correcting the account, iT a1 im conformity with the constitution, would doubtless Paesivms on Loans bey beta to ne ders i is een vine ¢ ‘The following sums were received for premiums on 4 reveral loans negotiated during the last fircal year, vin :— the demands on the Sinking Fund for the canal debt required a larger sum than tutional appropriation of $1,800,000 per annum, the same result was arrived at by issuing ® stock on the credit of the Sivki Fund, under 5th section of the 7th article, to repay the Canal Completion Fund rs the excessive ment which had been diverted from it. Tobave ined from the subsequent contribu- tions to the General Fund, that portion of the $400,000 transferred from the eanal revenues between the Ist of June and the 30th September, 1846, which was in ex cess of $200,000 per annum, would have embarraraed the treasury by producing @ deficiency in the General ve been supplied by other loa on the credit of the Sinking Fund = Thi: cessity has been cbvinted by the iseue of bonds to the Canal Fund, for the precise amount of the excessive contribution, being 383 88, and the interest thereon. enlightened judgment. preve most conducive te the ‘That the legislative authority was sana compe- | public welfare. The Comptroller refrains from expres tent to correct the aecount by one mode or the other, | ing an opinion in respect to the application of the as public expediency may have required, seems too | fund, as this aubject will be prosented to the considers psn to admit of dirpute. It may be contended that | ation of the Legislature by the Comiissioners of the jpasmuch as the excessive sums carried from the caval | ( Fund $207.94 06 7655 70 5.607 1,017 76 ‘The amount thus received is now in the treasury, fubject to the control of the Legislature. The premium is regerded as an incident of the loan, resulting from the high credit of the State. It in not money borrowed, forming @ portion of the debt. but a clear profit, arising from the irsue of the stock ; in other words, the sue- cersful bidders elect to give the State a bonus for the advantage of investing in @ recurity which is so favor. ably esteemed in the monay markets of the world. No reason is perceived why the Legisintare may not apply these premivm moneys to such objects as will. in their . . . . BANK FUND. It will be seen from the following statement, that the stock issued on account of this fund was reduced in the last fireal year, $121,132 45 leaving $779 606 23 now outetanding, to be redewmed from the balance tm the trearury. acd the future contributions of the ‘To this sum in to be added the outstanding claims against the bank of Watervlelt, for which ato’ has pot yet been irsued, estimated to amount to about $£0.000 Doubts having existed to the validity and extent of one of the principal claim ainet that ban the question bas been submitted. by the consent of ties, to William L. Marcy, as sole referee, The ence nvolves important legal principles. and am exemina- tion of intricate accounts and witnesses, When the balance actually due from this bank shall have been eccurately arcertained, it will become the daty of the n Comptrotier to irsue Safety Fund Stock for the amouat. Fund ss the former holder of | ‘rhere is little reason to doubt that the future coutri- butions of the banks will be found fully adequate te redeem all the existing claims upon the fund. The Cowptroller is of opinion that aathority should be given to invest any accumulations of money belonging to the Bank Fund, in the purchase of outatanding stock, under certain rertrictions, to be defined by law. Baxx Fun. stock st after June Ist, 1846, were applied to the payment of outr(anding debts. those debts were extinguished and cannot be revived; and that the issue of stock to cor- rect the accounts between the funde, was in contraven- tion of the provisions of the seventh article, which re- strain the creating of new debts. But this argument voids the precise point ipvelved inthe discussion It hax not been pr to revive the debts which paid, But to the extent that the public creditors wer fatiefied trom means derived from transferring other funda to the Sinking Fund, beyond the amouat of the conrtitutional appropriation, there was no diminution of the debt, either in a financial or constitutional sense, but simply a change in the form of indebtedness It was nothing more or less thaw the substitution of one creditor for another. ‘The fund from which the diversion was made, became acreditor fund. and was as much entitled vo repay- ment from the Sink! the stock Entertaining a firm conviction of the correctness of these views. the comptroller respectfully submits that the several loans above referred to, for the repayment nces ‘rom funds which were not, to those which were, constitutionally chargeable with the payment of the State debt. pow constitute a partof the public debt as it existed on the first day of June, 1515 Io pursuance cf the laws directing there loans to be made they are charged upon the Sinking Fuudsercated by | ry the constitution, and the payments of interest are | 184 made from that source. WoL S ‘The tenth section of the seventh article of the eon- | |ift. stitution provides that ® the State way, to meet casual | iy Gefieite or failures in revenues, or for expenses not | jn56 provided for. con@ract debts. but such debts, direct wad | 1850. contingent, singly or in the aggregate, shall not, atany | 6! Ume, exceed ove million of doilare.”” Ieee, ‘Two leans bave been contracted during the last Gseal yrer, under the authority of this section, The first joan of $15,000, made in pursuance of chapter ws of 1849, for the completion of the new State Arsenal in the city of New Vork. The comptroller ireued a certificate of etock for the amount, beariag 5's per cent interest, which is beld im trust for the Com- mon School Fund, from which the money was loaned. ‘This certifeate, with another for the mame amount, Deuring the rame intercet amd issued for t ject, in 1848. created a s erection of the new arsenal, which sum is to be repald to the State by the authorities of the city of New York, from the prooeeds of real estate connected with the old arsenal, which is to be sold under the arrangement reported to the last Legislature by the Commissioners jt of the Bank Balarce of six per cent Fend, ee. mpaid, and 1 179.006 0@ Amount invested in 5 rer at hie im 1855, oe s been 13.095 16 82 2 7,463 22 106,331 68 30th Septemoer, 1649 onnt of the deb'e stock has pot yet about $80.00 of the Land Office. Ghy Bot but s On the 20th day of September lant. » loan of $50,000 | Crm Uk fH =e was contracted by the Commissioners of the Caual | Com. Bk ofN. ¥: me Fund, in purevance of the act “to provide fer extea- 16.07 Lz) di 79 ordipary repaire avd improvements of canals,’ passed a 3 am “ a April 10. say. as etd hese two coma, making an aggregate of $80.000,con- use iano stitute the only new liability or increase of debt created c fir tines the adoption of the constitution, by an exereise of the power conferred by the 10th sectiog above re ferred te. $1,008,906 64 $1,010,625 1 LOANS OF STATE STOCK TO RALLROAD COMPANIES. The fellowing statements exhibit the amount out- rtanding of stock iseued as « loan of the State credit, for the benefit of raliroad coinpanion, exolustve of the amount heretofore assumed by the treasury, end im- eluded ip the General Fund debt ‘The amount of these loans. including $70 009, issued to the Tiogs Coel sod Ireo Miuiog and M fectariog Company, i 000 GENERAL FUND STATR DEDT. rested by war, on the $6,359,693 92 383,179 86 sinking fu i li affords the Comptroller much pleasure to state Ls. heck saeeuenea, — {ne | that the futerest on the stock continges to be paid tal Fund Debt Slaking Fund | With commendable punctuality, by the respeotive com- peter for whore benest it was created. The samuel coptribution to the Sinking Fund, for the foal pay om the Geet day 0 and Berksbire Mail Che Compt | ment of principal, whieh #: ot January last, by the Hu | road Company, bas not beem paid, | bas calle and be indulges the hope that they will no long tocomply with the law im that respect The amount advanced from the Hudeon and Berkshire Iatiroad Sinking Fond, for the payment of the interest dus ea tof Jenussy and July, 147, bas not beea ro roan Comrany & ap Recnsm the General Fund, r » be repaid to the treasury by the corporation of the | ‘This tund cenelets of the following Items, vin: — eity of New York, }e Btook CANAL DEPT. mount of the ( anal Ledt, oharfesble apo’ A by Seo 1, Art 7 of the Th Sinking Fund ore: * | Comptretter’s Bonds: er eent, payable on dom: 6 perewnt,. setecee Money in the treasury nal Tonawanra Rattnoan Company Sisnive Fun. improvement... deficienoics under ars. 7 of the Canal debt paying inter To the above amount + #f $00,000, ereated in pai for extrac di repairer wg te me $3.0 Per | Money in the treasury provided for revenues. It ts for the L ether this interest shell be 108 of the general fund. or by setting apart a raf. | felent portion of the moneys reewived for premiame on hee 7 Hevrew and Daw Fe ‘This fond consists of the following items, vis: — | State Stork »— |B percent, redeemable im 1865....... $2000 09 : “Row ov 6 per cent, redeemable im 1800. | | rinclpal of the canal debt was diminished. fireal ir. by ts from the Ca | woremsrd $50 000 referred to, making the actual er 0, 144, paying $16,674,098 91 » Paying cece GAUSS OF Diminotion.. $200 575 26 ‘The ergregate smount of the canal debt, tm oe the new loan @f $60,000 Above referred to, war, oa the Oth of September, 1869, $10 414 62) 67 Sal ares ween cagtenes 23 Crvenar Pome Deer Sivkina Porn . eee eeery =< Amrunt received ints the "eamae00 o | Tee Byggensy tn the fund, oo as » Rartnoan Courant Sixarva Fore. hangent of papaveqio trea th = state of the following items, via’ ~ (See statement B) Amornt transferred revenue, for « $117,676 62, Boo ps or tHe Hopsow ast Bensenine Rarceoso Come rainy, ‘The act of December 14. 1847, authorised thie Dy to lreue homde for $1760 for the Aa cae and reconstroetion of the romd t belng the arm to thie fond from t hieh the Com ere 6 rearurer, © in Hew of the paymentot the meney into the Tre hat period $16, derte meat the dew or naow Conan Comravy The payment of the stoek loaned to this som For the purpore of adjusting this matter between the | has been fully provided for. At the date of the | Sinking Fund and the General bund revenue recounts, | annual report. there remained unpaid $300000. The it has been euggested. in former reports from thie of | f redemption have been deposited by the fice, that the comptrolier be authorized to iuvert, out notice ireued to the holders of the stook of woneys in the treasury belonging to the rpeetSo present it for payment on the firet d funds, a som equal to thet of the BF: Fuad Stock, DB clesing this account. the ( omptrolier would and that raid etosk be transferred to bim ia trust for | himself of the oooasion to pay « deserved tribure to the raid funds, This eLoek beare six pet cont interest, and | of the company in ooorabls discharge of ite tp little or no doubt extets as to the euiics contributions by the banks to meet ite rede would be arate investment for there fands ‘The directors worthy of pratee Fen ron rie Parwarr of Ivreneer ov tim Bowes ey re New You avo Bare Rartaoap Com- Casat Dent Siveiea Powe Inet 2th Sept, 1848 sical» be {nad to redeem Ene ana 1 ining in the hands of the Com Champlain Cael oveeh. 160 00 | gy une Dalenee remteie coyment of taterest oe Ui from the fund to redeem Chenango on= the New York and Erte Raitrosd Com- oe of chapter 825, Lawes of 1946, (om 1°40), io a0 follows: oe eae GHD 104 48 troller in trust for the bond) ed to supply deficiencies; amount of interest on investments... .., Tr from the revenwes of the State canals, ‘ender article 7, | 1, of the constitevion Total receipts i, nme coepona, mate By! ¥ by (be Comptrctior nem Fr Water Se The wer: J Gkandunesene tan The emonnt of the accruing interest on the bomte —_—- 2.07 © | trom the lst November, 1849, to 1ith May, 1601, being :