Inaugural address of  John B. Page  As it appears in the  Journal  of the  House of Representatives  Annual Session,  1868        Friday, October 9, 1868 Inaugural Address  Fellow Citizens of the Senate  and House of Representatives: Having assembled in accordance with the provisions of the Constitution to enter upon the discharge of those legislative  duties  incumbent  upon  the  representatives  of  the  people,  it  devolves  upon  the  Executive  to  bring  to your  attention  such  business  as  may  appear  necessary  for  your  consideration.  It  is  your  duty  to  remedy  any defects  in  the  laws,  to make and defend the rights of  the people, and  to render sure  to all within our borders  the benefit of our free institutions. You  will  be  called  upon  to  consider  many  special  and  local  interests  that  should  receive  the  investigation and action their importance may demand. The  transactions  of  the  executive  departments  of  the  government  during  the  past  year,  as  contained  in  the reports  of  the  State  officers, will  be  laid  before  you.  From  these  reports  I  gather  some  facts,  to which  I would more particularly direct your attention. FINANCES It  is  gratifying  to  be  able  to  report  that  our  financial  condition  continues  to  improve.  Under  the  wise provisions of  former  legislation  the  funded debt of  the State has been  reduced during  the year  two hundred and thirty  thousand  dollars.  With  no  resources  but  direct  taxation,  and  with  the  extraordinary  expenditures  during the  past  few  years,  amounting  in  the  aggregate  to  upwards  of  five millions  of  dollars, we  find  ourselves  at  the close of  the  fiscal year with  a  funded  indebtedness,  after deducting balance  to  credit of  sinking  fund, of  eleven hundred and sixty-eight thousand dollars. With a continuance of  the policy of providing  for a portion of  the  funded debt, and with a due  regard  to  the economical  administration  of  the  affairs  of  State,  we may  still  further  reduce  the  amount  required  to  be  raised by taxation. The  war  claim  of  the  State  against  the  United  States  has  received  the  special  attention  of  the  Auditor  of Accounts. The unadjusted balance due the State is now $207, 222.23. It is estimated by the Auditor that we may expect with confidence to receive within the present fiscal year at least one hundred and ten thousand dollars on these claims. The Treasurer’s report enables me to make the following statement of the finances for the fiscal year:  RECEIPTS.  Balance in treasury, Sept., 1867,   Balance to credit of sinking fund, Sept., 1867,   Collections on taxes,   Received from judges of probate, Balance from county clerks,   Received from United States on war claims,   Received from other sources,     Total,    Debentures of General Assembly,   Extra pay and soldiers’ allotments,   Organized militia pay roll,   DISBURSEMENTS.             $44,813 48 82,000 00 515,028 95 10,448 91 24, 735 87 57,637 71  19, 697 52 ----------------- $754,362 44 $45,544 40 2,344 62 516 55 Court orders,   Auditor’s orders,   State bonds, redeemed,   Balance credit sinking fund,   Interest on bonds and loans,   Allowances to collectors of taxes,   Normal Schools,   Balance in treasury, Sept., 1868,     Total,    The classification of the expenditures for the current year shows, for Debentures of General Assembly,   Expenses of the courts, (without including salaries,)   Interest on bonds and loans,   Expenses of printing,   For salaries,   Asylum for the insane,   Reform School expenses and appropriation,   Expenses of Board of Education,   Expenses of superintendents of schools,   Militia and Quartermaster General’s expenditures,   Extra pay and organized militia pay rolls,   Expense of State prison, over income,   Expenses in Sergeant-at-Arms department,   American Asylum for Deaf and Dumb,   Expenses of State Library,   Appropriation to Normal Schools,   Official expenses, and miscellaneous,     Total,                                ESTIMATED LIABILITIES FOR THE CURRENT YEAR. 53,481 44 184,698 18 230,000 00 59,637 71 88,366 73 16,904 33 1,500 00 71.368 48 ----------------- $754,362 44 $45,544 40 76,139 86 88,366 73 14,395 88 39,968 16 14,089 57 11,695 92 4,545 94 4,235 67 6,454 79 2,861 17 5,256 71 4,631 83 2,120 28 1,419 27 1,500 00 15,983 68 ------------------ $339,209 86 $10,000 00 76,000 00 240,000 00 150,000 00 ------------------ $476,000 00 $78,153 15 ------------------ $397,846 85  For sundry balances in the treasury,  Interest on bonds and loans,   Other State expenses,   Sinking fund installment on bonds,     Total,             RESOURCES.  Balance in treasury and due on taxes,    Balance,    It  will  be  necessary  to  assess  a  tax  upon  the  grand  list  of  the  State,  for  an  amount  sufficient  to  meet  the estimated  liabilities,  and  such  other  appropriations  as may  be made. What  is  received  during  the  year  from  the United States, may be appropriated to further reducing the funded debt, or applied to a reduction of the tax.  The balance in the treasury to the credit of the soldiers for allotments of United States pay is now, including interest,  upwards  of  twenty-two  thousand  dollars.  The  object  for  which  the  allotment  system  was  adopted having  been  fully  attained,  it  may  be  well  to  inquire  of  some  steps  should  not  be  taken  having  a  tendency  to bring these accounts to a close. The  aggregate  indebtedness  of  all  the  towns  and  cities  in  the  State,  as  shown  from  the  returns made  to  the State Treasurer, is nineteen hundred and thirty-nine thousand one hundred and ninety-eight dollars. Nearly one-half of the debt is found in the counties of Bennington and Windsor. ASSESSMENT OF TAXES. It  is  evident  to  many  who  have  been  called  upon  to  administer  our  assessment  laws  that  the  burdens  of taxation do not bear equally upon all classes of property. This is owing in part to the method adopted in making up the list. In some localities the real and a portion of the personal estate is assessed at about one-half its value; while in others it is represented in the list at its full cash value. The  assessed  value  of  the  real  and  personal  estate  of  Vermont  was  in  1860  nearly  eighty-five  millions  of dollars,  while  its  true  value  in  money,  according  to  the  census  of  that  year,  was  over  two  hundred  and  fifteen millions.  The  existing  laws  require  that  the  real  and  personal  estate  shall  be  set  in  the  list  at  “its  true  value  in money.” The  adoption of  any other  course  is unjust  as well  as  illegal.  It  is  the practice, on  the  part of  listers  in some  localities,  to  file  their  lists  in  the  town  clerk’s  office  without  the  oath  prescribed  by  law,  thereby  easing their  consciences  for  any  irregularities  in  their mode of assessing  the property  set  in  the  lists.  It may be well  to inquire if a more faithful discharge of the duties of listers would not be secured by prescribing some penalty for their neglect or violation of the requirements of the laws.   The  right of appeal  from  the  listers  lies only  in  the party whose property  is appraised.  It has been suggested that it would be beneficial to give the right of appeal to any taxpayer, for if any part of the property in a town is assessed at  less  than  its  true cash value  it  is a matter of  interest  to all  tax-payers  to have  it corrected. This  right of appeal would also ensure a more faithful discharge of the duties of listers. The  taxation  of  personal  estate  invested  in  this  State  by  non-residents  has  frequently  been  the  subject  of legislation, and as yet without any satisfactory result. An attempt was made at the last session of the Legislature to  enact  a  law  to  regulate  the  taxation  of  stock  in  railroads  held  by  non-residents. The  bill  passed  both Houses on  the  last  night  of  the  session.  It  was  concurred  in  by  one  branch  after  the  other  had  closed  its  business  and adjourned.  On  examination  of  the  act,  I  deemed  it  my  duty  to  withhold  my  approval,  believing  that  had  the attention of the Legislature been called to the questions involved the bill would not have been passed.  At  the  session  of  1854,  the  law was  passed  to which  the  bill  in  question was  an  amendment. While  neither affected  the  tax  on  the  stock  of  residents,  --the  two  acts  being  identical  in  that  respect,  --the  bill  of  the  last session  changed  only  the  manner  of  assessing  and  collecting  the  tax  upon  non-resident  stockholders,  and repealed without  reservation  the  law  of  1854,  (sections  eighty-eight,  eighty-nine  and  ninety  of  chapter  twenty-eight of the General Statues.) By  the direction of  a  former Legislature, proceedings had been  commenced  to  enforce  the  collection of  the tax upon the stock of non-residents in the Vermont and Canada Railroad Company. A bill in chancery in behalf of  such  stockholders was,  therefore, brought against  the State Treasurer, and an  injunction procured  restraining that officer from collecting the tax. This suit is now pending in the Supreme Court of the United States, and it is expected  will  be  heard  the  present  winter.  I  deem  it  the  part  of  wisdom  to  postpone  further  legislation  on  this subject until the courts have passed upon the questions now under consideration. I am advised by eminent counsel that should the decision of the court be in favor of the State, the enactment of  the  bill  of  last  session  would  render  quite  doubtful  the  power  to  collect  the  accrued  taxes  now  in  arrears,  – estimated  to  amount  to  over  one  hundred  thousand  dollars. The  inquiry  from  interested  non-residents  in  regard to the fate of the bill, since the close of the last session, inclines me to the opinion that there was a design in the amendment not apparent to the Legislature when the bill was under consideration, and it aptly illustrates the evil that may grow out of legislation under a suspension of the rules during the closing hours of a session. There was in my mind another serious objection to the bill. The law of 1854 required the tax upon the stock of  non-residents  to  be  paid  into  the  State  treasury,  where  all  the  people  of  the  State  would  receive  a proportionate  benefit.  The  proposed  amendment  gave  the  advantage  from  taxing  stock  of  non-residents  to  the towns in which the railroad corporation might keep its principal office. While nothing should be done to affect the validity of the law of 1854 until a final decision is reached in the case now pending, it may be well to consider whether it would not be sound policy to adopt a system of taxation which shall be consistent in its various parts, and do equal justice to all. Neither  the  existing  law,  nor  the  proposed  amendment  applies  to  railroads  built  or  owned  by  bondholders. The  holder  of  a  bond, who may  receive  his  interest  regularly  is  not  taxed,  though  he  is  a  non-resident,  but  the non-resident  owner  of  a  share  is  to  be  taxed,  although  the  bond  is  practically  as  much  a  part  of  the  railroad capital as the stock. I  am  unable  to  see  any  sound  reason why  stockholders  and  bondholders  in  possession,  should  not  stand  on the  same  footing  in  this  respect,  or why  railroad  corporations  should  be  subject  to  a  different  rule  in  regard  to taxation  from other property holders. There can be no doubt of your power  to  tax  the  real property  in  this State owned  by  corporations.  It  is  the  present  rule  to  tax  it  as  such,  except  in  the  case  of  railroads,  and  by  including the real property of railroad under the general rule we should reach alike the resident and non-resident stock and bondholder, and should work equality and justice to all. The  only  difficulty  if  any,  in  the  application  of  such  rule,  would  be  found  in  the  exemption  from  taxation granted  in  its  charter  to  the  Vermont  Central  Railroad  Company  which  privilege  is  not  enjoyed  by  any  other railroad company in the State. Nor is it apparent why we should apply, as we now do, to the personal property of residents in other states, a rule of taxation different from that which we adopt for our own citizens. Our  laws  consider  personal  property  as  following  the  domicile  of  the  owner,  and  require  that  all  personal estates of an inhabitant shall be taxed where he resides. While we recognize this principle in the case of our own citizens,  shall  we  seek  to  impose  taxes  on  the  personal  property  of  non-residents,  for  which  by  the  same  rule they  should  pay  taxes  where  they  reside?  This  seems  to  me  clearly  unjust  and  should  it  be  insisted  upon  will tend  to  prevent  the  investment  of  foreign  capital  in  those  enterprises  so  essential  to  our  prosperity  as  the extension  of  our  railroads,  the  improvement  of  our  water  powers,  and  the  development  of  our  quarries,  mines and other resources.  One  step  towards  the  removal  of  these  objections  is  to  tax  the  real  property  of  corporations  in  the  several towns  where  such  property  is  situated,  upon  its  actual  value,  irrespective  of  dividends.  By  this  means  all  the towns  on  the  line  of  the  railroads,  or  in  which  any  corporate  property  is  situated,  will  receive  their  just proportion of the taxes. In  this  connection  I  would  renew  the  recommendation  of  the  last  Annual  Message  in  reference  to  the collection  of  taxes. This matter  is  one  of  importance  to  tax-payers,  and  should  not  be  passed  over without  that consideration its merits demand. UNITED STATES SENATOR.  The provisions of law require that you should proceed on the second Tuesday of this session, to the election of a United States Senator for the term of six years from the 4th of March next. NATIONAL CEMETERIES. I  transmit  herewith  the  report  of  Major  William  Rounds,  Trustee  of  the  Antietam  National  Cemetery Association, and have as therein recommended certified to the Auditor of Accounts the proportion to be paid by the  State.  I  have  also  a  communication  from  the  Board  of  Commissioners  having  charge  of  the  National Cemetery at Gettysburg,  requesting  the adoption on your part of a  resolution  recommending  the  transfer of  that Cemetery to the care of the General Government. These papers are placed at your disposal. The  report of  the University of Vermont  and State Agricultural College  is worthy of your  careful  attention. The  officers  say  that  they  are  endeavoring  to  do  faithful  and  valuable work  for  the  State. An  investigation  that has  been  made  with  care,  shows  that  during  the  last  collegiate  year,  only  one  hundred  and  sixty  or  seventy young men of our State were members of  any college or  scientific  school, either  in Vermont or elsewhere. Not more  than  forty  can  have  graduated  during  the  year.  This  is  a  very  small  number  of  young  men,  for  our population,  to  be  pursuing  a  thorough  intellectual  training,  and  a  larger  number  of  our  sons  should  be encouraged to enter the colleges of our State where they may receive that preparation “of value to men in every worthy vocation.” The  condition  of  our  common  schools  may  be  learned  from  the  report  of  the  Secretary  of  the  Board  of Education. We are expending annually nearly five hundred thousand dollars in the support of free schools, with an aggregate average attendance of nearly fifty thousand children, while the number of children of school age is about  seventy-six  thousand.  Should  we  not  seek  for  some  means  of  securing  a  larger  attendance  upon  our schools? It is the ignorant and idle that furnish inmates for our reform school, jails and prisons.  It would seem that the obligations of parents to their children ought to be sufficient to secure the attendance of  a  much  larger  number  of  scholars  upon  our  public  schools.  It  has,  however,  been  found  necessary  to  enact laws  regulating  this matter,  and we  are  asked  in  the  Secretary’s  report,  if  these  laws  cannot  in  their  operations be made more effective by making it the duty of the school officers to inquire into and prosecute violations. Is  it  not  a  matter  of  prudence  in  the  expenditure  of  our  public  money  that  it  should  be  paid  only  to  well qualified teachers? As a means of securing them, and receiving the greatest benefit from our schools, we should by generous aid develop the full power for the good of our Normal Schools. MILITIA. As  required  under  the  act  of  1867,  the  State  has  been  divided  into  three military  districts.  The  first  district consists  of  the  counties  of  Addison,  Bennington,  Rutland  and  Chittenden.  The  second  district  of Washington, Orange, Windsor and Windham, and the third of Caledonia, Essex, Franklin, Grand Isle, Lamoille and Orleans. The  necessary orders have been  issued under which organizations  can  be made  to  fill up  the  regiments  and battery. As yet only eight companies and two sections of artillery have been organized, but it is believed that the continuance of the present policy will secure a full organization in all the districts, and give some vitality to our militia system. A  considerable  portion  of  the  expenses  incurred  during  the  year  in  the  department  have  been  in  collection, as  required  by  law,  of  the  arms  and  equipments  in  the  hands  of  the  State  militia,  and  putting  them  in  proper order.  There  now  remains  outstanding  quite  an  amount  of  property  belonging  to  the  State,  the  return  of which can only be insured by the enactment of a law more stringent in its provisions than the present statute. STATE’S ATTORNEYS. The operations of  the  law providing what  is most counties of  the State  is a wholly  inadequate salary  for  the duties  that should be discharged by our State’s attorneys,  leaves undone a  large amount of criminal business,  to the great injury of our communities. An increase of salary, or what would be better, a return to a system of fees, would more  fully comply with  that constitutional provision which  requires  that “laws  for  the encouragement of virtue, and prevention of vice and immortality ought to be constantly kept in force, and duly executed.” STATE PRISON. The  reports of  the officers of  the State Prison are quite  full, and doubtless will prove satisfactory. There are now  confined  in  the  institution  seventy-two  male  and  four  female  convicts.  The  expenditure  has  been  thirteen thousand  two  hundred  and  nineteen  dollars,  and  the  income  sixty-eight  hundred  and  six  dollars,  leaving  a balance of  expenses over  income of  sixty-four hundred  and  thirteen dollars; nearly  the  average of  the past  four years. It cannot be expected to show better results during the continuance of the present contract for the labor of the  convicts,  which  expires  in  1871.  The  operations  of  the  laws  of  last  session  are  beneficial  in  their  effects upon  the  discipline  of  the  prison.  The  commutation  of  sentence  provided  for  is  much  more  effective  than  the expectation of pardon, and entertaining this view, but few of the numerous applications for Executive clemency have been granted. The suggestions of the officers of the prison on this point meet my cordial approval. REFORM SCHOOL. The  appropriation of  last year  for  a workshop  for  the Reform School has been  expended. The  trustees have erected a substantial brick building at a cost of twenty-nine hundred dollars, and have made other improvements on the grounds and buildings, with a view to the permanency of the institution.  The  expenses  of  the  school  have  been  ten  thousand  five  hundred  and  thirteen  dollars,  from  which  is  to  be deducted seventeen hundred and seventy-nine dollars,  the earnings of  the boys  in  the  shop. The products of  the farm  for  the  current  year  amount  in  value  to  twenty-nine  hundred  and  sixty  five  dollars,  and  have  principally been used in the support of the school. The  school  has  had  eighty-seven  inmates  during  the  year  and  now  has  sixty-nine  boys  under  its  charge. Twelve  of  this  number  are  placed  out  in  good  situations,  to  remain  during  good  behavior. This  course  relieves the  State  from  expense,  and  must  prove  an  advantage  to  the  boys  who  have  become  reformed  and  desire  to show  themselves  worthy  of  being  trusted.  A  number  of  young  men  have  graduated,  respectably  prepared  for business,  and  are  in  good  situations.  It  is  suggested  that  the  law  in  regard  to  alternative  sentences  needs amendment  to  make  it  effective,  and  that  the  profitable  employment  of  the  boys  would  seem  to  require  an enlargement of the farm. The trustees report the school as under efficient management, and that it is accomplishing its work of reform with  a  reasonable  expectation  of  useful  land  honorable  lives  from  its  graduates.  The  facts  developed  in  this report are well worth your candid consideration. RECIPROCITY. The  subject of  reciprocity  in  trade with  the dominion of Canada  is now a matter of negotiation between  the General Government and the authorities in Canada, in connection with their home government. Any  treaty  that may be  entered  upon will  require  ratification on  the part of  the Senate  of  the United States, and doubtless some legislative action on the part of Congress to make it effective. Although it might not be best for us  to  enter upon  the discussion of  the details of  exchange of products while  these  negotiations  are pending, we  may  properly  consider  the  commercial  and  political  aspects;  and  in  that  view,  no  apology  is  necessary  for inviting your attention to the subject. The  questions  involved  are  of  vital  importance,  not  only  to  Vermont  and  New  York  but  to  all  the  New England  States  and  the  states  bordering  upon  and  tributary  to  the  northern  lakes.  The  annual  increase  of  the productions  of  these  Western  States  has  exceeded  the  capacity  of  transportation  of  all  the  avenues  to  the Atlantic.  At  a  recent  commercial  convention  in  the West,  it  was  declared,  as  the  deliberate  sense  of  the  large assembly,  that:  “The  canal  and  various  lines  of  railroads  leading  to  and  from  the  lakes  while  they  have contributed  vastly  to  develop  the  resources,  increase  the  wealth  and  promote  the  permanent  union  of  our country, are wholly inadequate to the demands of the increased and rapidly growing commerce.” If  we  can  secure  through  the  negotiations  now  pending  the  construction  of  a  ship  canal,  connecting  the waters  of  the  St.  Lawrence  and  Lake  Champlain,  a  new  and  desirable  route  would  be  open  to  the  great  trade which passes between tide water in the Hudson River, the railroads of New England, and the Western States and Canada.  The  opening  of  this  route  is  of  vast  importance  to  Canada  as  well  as  ourselves,  and  I  have  reason  to believe  that  she  is  ready  to  construct  this  work,  if  a  reciprocal  treaty  can  be  secured  which  in  its  operation should be mutually beneficial. This project  is not new. It has attracted  the attention of many  leading minds, and been approved by eminent and  practical  engineers.  In  1854,  careful  and  accurate  surveys  and  estimates  were made  under  the  direction  of the Canadian Board  of Public Works,  by Mr.  Jarvis, well  known  from  his  connection with  the  public works  of the state of New York. The survey of several routes was made, but preference was given  to  the direct  line from Caughnawaga to St. Johns, the country being very favorable, requiring but little heavy work at any point on the line, with a distance of but twenty-six miles, and a summit to be attained of only twenty-five feet, and involving a  cost  of  construction  of,  say  three  millions  of  dollars,  for  a  canal  that  would  pass  vessels  of  six  to  seven hundred tons. As  freight  and  tolls  then  stood,  it  was  ascertained  that  the  cost  of  taking  property  from  Chicago  to  Troy, New  York,  with  the  enlarged  canals  of  the  State  of  New  York,  then  in  contemplation  would  be,  via  Buffalo $4.85, via Oswego $4.01, via the St. Lawrence and Lake Champlain $3.90. Mr.  McAlpine,  an  engineer  of  high  standing,  came  to  the  same  conclusion.  He  declared  that  with  the Caughnawaga Canal, the cost of transportation by the new route from Chicago would be less than by any other. It is stated as follows by Mr. McAlpine: Chicago to Whitehall, 1,451 miles, at two mills per mile,   Expenses on the Canadian canals, Caughnawaga included - 96 miles, at three mills,   Transfer of cargo at Whitehall,   Transfer on present Champlain canal,     $2.83 per ton. .29     “      . .20     “      . .58     “      .     --------. $3.90    “      .  Total cost,   With  a  connection  of  this  character,  no  other  route  from  the  West  to  the  tide  waters  of  the  Hudson  will possess  any  advantage  over  the  route  via  the  St.  Lawrence  and  Lake  Champlain  to  the  same  point.  And  this route  is  greatly  superior  to  any  other  in  its  relations  to  the  trade  between  the  West  and  that  portion  of  New England  and  New  York  which  borders  upon  and  can  be  reached  from  the  waters  of  Lake  Champlain.  It  is demonstrated  that  produce  from  the  West  can  be  delivered  on  Lake  Champlain  by  the  St.  Lawrence  route  at one-fourth  less  cost  for  transportation  and  in  less  time  than  by  the  other  routes,  while  the  connection  with  the Ottawa  valley  will  be  shortened  ninety miles,  and  the  rise  and  fall  lessened  one  hundred  and  eighteen  feet,  an improvement of great importance, as we are dependent largely upon this source for our supply of lumber, which as an article of commerce stands next almost to grain. The  saving upon  the  single  article of  flour  to  the people of Vermont  alone,  in opening  this new  line, would amount  to nearly or quite  fifty  thousand dollars annually,  in  the cost of  transportation.  If we did not  succeed  in retaining this sum in our own pockets, it would go to the producer, which would be a like benefit to the country as a whole. Should  not  the  building  of  this  canal  under  proper  guarantees  be  made  a  cardinal  point  in  the  pending negotiations  for  a  new  treaty? Has  it  not  become  almost  a  commercial  necessity  to  the  producing  states  of  the West,  as  well  as  the  consuming  states  of  the  East?  There  can  be  but  one  answer  to  these  questions.  Believing that  an  expression  of  your  views may  have  an  effect  in  promoting  the  progress  of  this work,  I  recommend  the adoption of resolutions of instructions to our senators and representatives in Congress on this subject. RESOURCES OF THE STATE. The opening of this new line of transportation will largely develop the internal resources of the country, and it may be well briefly to consider this aspect of the case in its bearings upon Vermont.  The  railroads  extending  east  from  St.  Johns,  Rouses  Point,  Burlington  and Whitehall,  with  their  numerous connections, would distribute and collect the trade on Lake Champlain. To supply the New England States with western  products  for  consumption  would  of  itself  be  an  immense  trade,  which  in  connection  with  the  export trade,  would  require  the  enlargement  to  at  least  fivefold  the  present  capacity  of  our  roads.  The  increasing business  of  the  country  would  not  only  furnish  such  an  amount  of  business  as  to  require  double  tracks  on  the roads now built, but ensure  the building of  the projected new  lines  from Swanton  through  the Lamoille Valley, and from Rutland  to White River Junction, and  thence on  to Portland. The natural  increase of  trade will furnish these new lines a large business, without seeming to affect the roads now in operation.  Our  railroads  are  and  must  be  the  main  artery  on  which  much  of  the  prosperity  and  much  of  the  relative importance  of  the  community  depends.    Develop  and  extend  these  arteries,  and  you  largely  increase  our population and the value of the real property of the State.  I believe we should continue the policy of the laws of last  session  to  encourage  our  manufacturing  and  mechanical  industries,  with  such  modifications  as  their practical application may require.   Instead of an  increase of  thirty millions of dollars, as from 1850  to 1860, we may  record  in  1880  an  increase  of more  than  one  hundred millions  of  dollars.   The  internal  and  local  traffic  of Vermont must depend on  the  convenience afforded by  its  railroad  system  to  its  local  trade  and while we guard the public interests, our railroads should not be hampered with any legislation tending to cripple their powers of benefiting the community. To  meet  the  policy  of  other  states  in  extending  aid  to  new  roads,  would  it  not  be  well  to  enquire  if  a carefully  guarded  law,  –  satisfactory  in  its  details,  –  giving  towns  authority  to  take  action,  might  not  be beneficial. The interest of the people on the line of a railroad in its operation and management and that of its owners are as it seems to me clearly identical, and cannot be separated without great injury to both. You will have applications for charters for new roads, and they should receive your favorable action, unless it should appear that the application is made in the interest of a foreign corporation, the granting of which would be a great detriment to those interests we are bound to protect.  It has been well said that our relative importance to  the  whole  external  world,  must  in  great  degree  depend  on  the  facilities  and  conveniences  we  afford  for through  travel  in  comparison  with  other  communities.    The  management  of  our  roads  and  the  spirit  in  which they  are  conducted  must  in  great  degree  depend  upon  our  external  communications  and  the  relative  degree depend upon our external communications and the relative importance of each railroad system and each railroad center.    In  these  days  of  intense  activity  and  eager  competition  it  is  therefore  of  the  first  importance  to  every growing  community  that  the  through  lines  of  its  railroad  system  should  afford  every  facility  for  traffic,  and should themselves be impelled by the utmost eagerness to extend their operations, an to increase their volume of receipts. CONCLUSION. It was  said, during  the  late war, when  the Vermont boys  led  the  column,  “We  are  all  right,  there will be no faltering  from  them.”    The  ranks were  kept well  closed  up  by  a  determined  set  of men, who went  forth with  a firm purpose of discharging their duty as becometh good soldiers. Vermont is again in the van, and her sentiments have been clearly expressed through the ballot box in the re-election of her chief executive officers by the larges majority ever known in her history.  This is her response to the  call  of  our  great  Captain,  “Let  us  have  peace.”    With  General  Grant  as  our  standard-bearer,  the  national credit will be preserved,  the strong arm of  the Executive will be felt  through out our country,  insuring  to all  the people  of  whatever  color  or  clime,  be  they  rich  or  poor,  high  or  low,  that  protection  from  every  wrong  and security in the exercise of ever right of citizenship which alone can preserve our free institutions and exalt us as a nation. With  a  firm  reliance  upon  Divine  help,  we  have  but  to  go  forward,  and  with  our  best  endeavors,  use  the abilities given us in the discharge of our duties to ourselves, mankind, and our God.      JOHN B. PAGE }  EXECUTIVE CHAMBER,      Montpelier, Oct. 9, 1868