When the Alcorn administration took charge of the State Government the War had just come to a close.  Everything was in a prostrate condition.  There had been great depreciation in the value of real and personal property.  The credit of the State was not very good.  The rate of interest for borrowed money was high.  To materially increase the bonded debt of the State was not deemed wise, yet some had to be raised in that way.  To raise the balance a higher rate of taxation had to be imposed since the assessed valuation of the taxable property was so low.

The figures showing the assessed valuation of taxable property in the State and the receipts and disbursements prior to 1875 are not available, but, taking the figures for that year, the reader can form a pretty accurate idea of what the situation must have been prior to that time.  In 1875 the assessed valuation of real and personal property, subject to taxation in the State, was $119,313,834.  The receipts from all sources that year amounted to $1,801,129.12.  The disbursements for the same year were, $1,430,192.83.

Now let us see what the situation was after the Ames administration had been in power about two years,—­or half of the term for which it had been elected.  According to a very carefully prepared statement that was made and published by an expert accountant in the State Treasurer’s office in the latter part of 1875 the ad valorem rate of taxes for general purposes had been reduced from seven to four mills, and yet the amount paid into the Treasury was not only enough to meet all demands upon the State, but to make a material reduction in the bonded debt.  The following is taken from that statement: 

“An examination of the report of the State Treasurer, of the first of January, 1874, at which time the administration of Governor Ames commenced, exhibits the fact that the indebtedness of the State at that date, exclusive of the amounts to the credit of the Chickasaw and common school funds, balance of current funds on hand, and warrants in the Treasury belonging to the State, was $1,765,554.33 The amount of the tax of the previous year remaining uncollected on January first, 1874, and afterward collected, $944,261.51, should be deducted from the above amount, which will show the actual indebtedness of the State at that date to be $821,292.82.  A further examination of the report of the same officer, for January first, 1875, shows the indebtedness, after deducting amounts to the credit of the Chickasaw and common school funds, balance of current funds on hand and warrants in the Treasury belonging to the State, to be, $1,707,056.24.  Then by deducting the amount of the tax of the previous year remaining uncollected January first, 1875, and afterwards collected, $998,628.11, the result shows the actual indebtedness on January first, 1875, to be $708,428.13.  The forthcoming annual report of the State Treasurer, for January first, 1876, will show the indebtedness of the State, exclusive