WEST VIRGINIA AND VIRGINIA MIT QUESTION, The. The Virginia debt question arose with the formation of West Vir p.m. and has been a prominent factor or issue la State politics at various times. At the time of its separation from Virginia, the new State in its constitution agreed to assume a just pro portion of the public debt of Virginia prior to 1861 °to be ascertained by charging to it all the expenditures within the limits thereof and a tut proportion of the ordinary expenses of the State government, since any part of said debt was contracted, and deducting therefrom all paid into the treasury of the common :Tnags ry from the counties included within the said new State, during the same period' As early as 186ft and again in 1870, Virginia ap pointed corcmissioners with authority to nego nate for adjustment of the debt. A West Vir ginia coauscion failed to act in 1870, because it was not provided with an appropriation for expenses. In 1871, it declined the proposal of %.winina's new policy of arbitration by conunis *loners not dutens of either State. Acting alone in the examination of documents at Rich mond, however, it reported a net credit of 1V3.36023 in favor of Virginia—a conclusion winch the West Virginia legislature did not as cept In 1873 a new eouldaration by the West Virginia Senate finance committee, whose chair man (J. M. Bennett) had been auditor of Vir ginia for eight years, resulted in a report of $525,000 in favor of West which be came the basis of public opinion in the new State thereafter.
Meantime, by act of 1871, Virginia funded two-thirds of the debt, and Tor the remaining third gave certificates making her liable only in accordance with future settlement with West Virginia. Later she released herself from all li.ity for the one-third by certificates of 1879, 1882 and 1892 which were placed upon the market under the name •West Virginia certifi.. catet" After compromising and settling with her creditors and securing release from all liability, she provided in 1894 for the appointment of a commission (of seven members) which in 1895 and 1896 unsuccessfully proposed negotiations with the West Virginia on the basis that Vir ginia was liable for only two-thirds of the old debt. In 1900, as trustee of the certificate hold
ers, she again proposed adjustment on condi tions which West Virginia declined to accept.
Later, Virginia instituted a suit for settle ment under supervision and direction of the United States Supreme Court, which, in 1908, appointed a special master of accounts to take evidence for later ion. The Supreme Court, before which the final arguments were presented in January 1911, promptly rendered a decision tentatively fixing West Virginia's share of the old debt at $7,182,507.48 and leaving the question of interest for later adjustment. West Virginia then crested a •Virginia Debt Commission' to reduce the amount, if possible, preparatory to contingent arrangements for pay ment On 14 June 1915 the court issued a judg ment against West Virginia for 812,393,929.50 including accrued interest, and for 5 per cent, interest thereafter until paid.
In June Virginia asked the Supreme Court for a writ of execution by levy upon public property of West Virginia. This the court dented for the time in order first to give the West Virginia legislature a °reasonable en t' provide for the payment of the judgment.* In February 1917, Virginia filed application for a writ of mandamus against the legislature of West Virginia to compel the levy of a tax to pay the judgment. The court, al though (in April, 1918) it deferred action, indi cated that appropriate remedies for enforce ment could be found, both in the power of Congress and in the power of the judiciary under existing legislation, in case West Vir ginia should fail to do her duty. On 1 Jan.
1919, the amount of the debt was $14%7 7.16.Of this amount, West Virgiy act of 31 March 1919, arranged to by $1,062.867.16 in cash and the balance by an issue of •listable* 35.5 per cent bonds (coupon and registered) payable in 1839 (or earlier). Consult Ambler, C H., 'Sectionalism in Virteiria) (1910): Fast, R. F.., and Maxwell. H.. 'History and Govern ment of West Virginia) (1908) Callahan, J. M.. 'Semi-Ceitennial History of West Vir ginia' (1913).
jams M. CALLAHAN, Professor of History and Political Science. West Virginia Unietersity.