Arch[ibal]d McIntyre to MVB, 11 April 1820
State of New-York—Comptroller's Office.
April 11, 1820.
I had not the honor of receiving your lett[e]r of yesterday, until last evening, so that I could not comply with your request, in answering it on that day.
You desire to be informed, whether, in my opinion, "the funds of the state will not admit of the discontinuance of the state tax, without great embarrassment in the fiscal affairs of the state, or prejudice to the public faith." In answer I have to state, that in my opinion, it will not only be productive of "embarrassment in the fiscal affairs of the state," but also be a violation of the public faith, to discontinue the state tax at this time. The discontinuance will, in an especial manner, be objectionable, as I conceive, if in lieu thereof, either the stocks belonging to the state, or the balance due from the bank of New-York, should be applied to the objects for which the tax is required. For, by the 8th section of the "act to improve the funds and to provide for the redemption of the funded debt of this state," passed the 21st April, 1818, it will be seen that the said balance is pledged for the redemption of the "million loan," and that by the 15th section of the same act, the proceeds of sales of the bank stock of the state, are directed to be applied to the payment of that loan, or to the payment of the loans obtained from the bank of New-York. Thus, the balance of the debt due from the bank of New-York is pledged, and is also, either directly or indirectly, the bank stock, for the payment of the "million loan." Besides, it will be seen by the said 8th section of the said act, that the time for the payment of the balance due from the bank of New-York, is extended to the 1st January, 1828.
If the objections mentioned above, did not exist, to the application of the bank stock to the purposes for which the state tax is required, yet the one suggested by the committee, is a valid one. I entirely concur with them in the opinion, that the sale, at this time, of the bank stock, might lead to too great sacrifice of the public funds. Occasional sales of small parcels, as the state of the market may warrant, and an application of the proceeds to the purposes directed by the act aforesaid, will be proper.
I have the honor to be, very respectfully, sir, your most obedient serv't.
ARCHd. M'INTYRE, Comp'r.