IMAGE EVALUATION TEST TARGET (MT-3) 1.0 I.I 1.25 IIM 12.5 IM lltt 111 4 2.2 2.0 11= 1.4 IIIM.6 %
s?
V
iV
\
\
^
'<>^
^9)
V
^^
#
6^
*h
%
1?
^^\4^^■'
r^\^
.^
L
%
Ui
CIHM/ICMH
Microfiche
Series.
CIHM/ICMH
Collection de
microfiches.
Canadian Institute for Historical Microreproductions / Institut canadien de microreproductions historiques
Technical and Bibliographic Notes/Notes techniques et bibliographiques
The Institute has attempted to obtain the best
original copy available for filming. Features of this
copy which may be bibliographically unique,
which may alter any of the images in the
reproduction, or which may significantly change
the usual method of filming, are checked below.
D
n
n
D
Coloured covers/
Couverture de couleur
□ Covers damaged/
Couverture endommagee
□ Cov
Cou
Covers restored and/or laminated/
verture restaurde et/ou pellicul6e
I I Cover title missing/
Le titre de couverture manque
I I Coloured maps/
Cartes g6ographiques en couleur
□ Coloured ink (i.e. other than blue or black)/
Encre de couleur (i.e. autre que bleue ou noire)
□ Coloured plates and/or illustrations/
Plane
iches et/ou illustrations en couleur
Bound with other material/
Relid avec d'autres documents
Tight binding may cause shadows or distortion
along interior margin/
La reliure serree peut causor de I'ombre ou de la
distortion le long de la marge intdrieure
Blank leaves added during restoration may
appear within the text. Whenever possible, these
have been omitted from filming/
II se peut que certaines pages blanches ajout^es
lors d'une restauration apparaissent dans le texte,
mais, lorsque cela 6tait possible, ces pages n'ont
pas 6t6 filmdes.
Additional comments:/
Commentaires suppl6mentaires;
L'lnstitut a microfilm^ le meilleur exemplaire
qu'il lui a 6t6 possible de se procurer. Les details
de cet exemplaire qui sont peut-dtre uniques du
point de vue bibliographique, qui peuvent modifier
une image reproduite, ou qui peuvent exiger une
modification dans la m^thode normale de filmage
sont indiqu6s ci-dessous.
□ Coloured pages/
Pages de couleur
□ Pages damaged/
Pages endommagdes
I 1 Pages restored and/or laminated/
Pages restaurdes et/ou pelliculees
Pages discoloured, stained or foxed/
Pages d^colordes, tachetdes ou piquees
□Pages detached/
Pages d^tach^es
["TV Sho wthrough/
I— J Transparence
□ Quality of print varies/
Qualit^ in^gale de I'impression
□ Includes supplementary material/
Comprend du materiel supplementaire
□ Only edition available/
Seule Edition disponible
D
Pages wholly or partially obscured by errata
slips, tissues, etc., have been refilmed to
ensure the best possible image/
Les pages totalement ou partiellement
obscurcies par un feuillet d'errata, une pelure,
etc., ont 6X6 filmdes d nouveau de facon d
obtenir la meilleure image possible.
Thisi
Cede
10X
tem
»cum
s filmed at the reduction ratio checked below/
ent est filmd au taux de reduction indiqu6 ci-dessous
14X 18X 22X
26X
30X
s/
12X
16X
20X
24X
28X
32X
The copy filmed here has been reproduced thanks
to the generosity of:
Library of the Public
Archives of Canada
L'exemplaire film6 fut reproduit gr^ce d la
g6n6rosit6 de:
La bibliothdque des Archives
publiques du Canada
The images appearing here are the best quality
possible considering the condition and legibility
of the original copy and in keeping with the
filming contract specifications.
Original copies in printed paper covers are filmed
beginning with the front cover and ending on
the last page with a printed or illustrated impres-
sion, or the back cover when appropriate. All
other original copies are filmed beginning on the
first page with a printed or illustrated impres-
sion, and ending on the last page with a printed
or illustrated impression.
The last recorded frame on each microfiche
shall contain the symbol —^-(meaning "CON-
TINUED"), or the symbol V (meaning "END"),
whichever applies.
Maps, plates, charts, etc., may be filmed at
different reduction ratios. Those too large to be
entirely included in one exposure are filmed
beginning in the upper left hand corner, left to
right and top to bottom, as many frames as
required. The following diagrams illustrate the
method:
Les images suivantes ont 6t6 reproduites avec ie
plus grand soin, compte tenu de la condition et
de la nettet6 de l'exemplaire filmd, et en
conformity avec les conditions du contrat de
filmage.
Les exemplaires originaux dont la couverture en
papier est imprimde sont fiimds en commandant
par Ie premier plat et en terminant solt par la
dernidre page qui comporte une empreinte
d'impression ou d'illustration, soit par Ie second
plat, salon Ie cas. Tous les autres exemplaires
originaux sont fiimds en commenpant par la
premiere page qui comporte une empreinte
d'impression ou d'illustration et en terminant par
la dernlAre page qui comporte une telle
empreinte.
Un des symboles suivants apparaftra sur la
dernidre image de cheque microfiche, selon Ie
cas: Ie svmboie — ► signifie "A SUIVRE ", Ie
symbols V signifie "FIN".
Les cartes, planches, tableaux, etc., peuvent dtre
fiimds i des taux de reduction diffdrents.
Lorsque Ie document est trop grand pour dtre
reproduit en un seul clich6, il est filmd d partir
de Tangle sup6rieur gauche, de gauche d droite,
et de haut en bas, en prenant Ie nombre
d'images n6cessaire. Les diagrammes suivants
illustrent la mithode.
1
2
3
1
2
3
4
5
6
J
T
T
oft
the
tur(
IM
bud
He
but:
oflFe
vine
able
pres
wh(
of c
grai
toe
upo
be
Hoi
yeai
mo£
sen
cee(
mu!
whi
beei
ingi
plls
OF-
J.R.STmTON,iM.P.F.
-ON-
THE FINflNGtS Ol 1116 PROVINCE,
Delivered in the Legislative Assembly,
Wednesday and Thursday, February 15th and 16th, 1899
The following is a more extended report
of the speech delivered by Mr. Stratton in
the budget debate in the Ontario Legisla-
ture :
Mr. Stratton, on rising to continue the
budget debate, was heartily applauded.
He said that in entering upon his contri-
bution to the budget debate, he desired to
offer his congratulations first to the Pro-
vincial Treasurer, for the clear and favour-
able financial statement he had so ably
presented, and to the Government, to
whose judicious and careful management
of our affairs the possibility of such a
grand showing was due. He also wished
to congratulate the House and the country
upon so magnificent a showing. It must
be exceedingly gratifying to both the
House and to the country that, after thirty
years of Liberal administration, after
most liberal expenditures upon necessary
services, it was possible to present, so ex
ceedingly favourable a balance sheet. It
must be concluded that the expenditures,
while they had been sufficient, had not
been excessive considering the undertak-
ings that had to be, and have been, accom-
jilished.
Referring to the previous speaker on the
Opposition side, Mj. Mathieson, it was re-
marked that the history of the past had
furnished great financiers and great finan-
cial critics, but none of the peculiar cali-
bre of the hon. member for South Lanark,
who for patient and persistent ingenuity,
for sinuous adaptabilfty to burrowing
among figures, seemea to be with-
out a peer. (Laugh tex). It was said that
figures would not lie, but under the
manipulation of the financial figiu-e-head
of the Opposition- at a wave of the sword
of the gallant colonel— a whole regiment
of figurative Ananiases stood on parade. It
was difficult to decide which to admire
most,
THE FINANCIAL ABILITY
of the honourable gentleman or, to quote
the language of the leader of the Opposi-
tion, used in an address at Whitby, the
"colossal cheek and monumental gall"
that permitted him to arrive at the won-
derful conclusions he arrived at. Mr. E.
Stone Wiggins, the great scientist and
sage, had a good deal of the honourable
member's sanguine trust ir the adaptabil-
ity of figures to meet an demand that
might be made upon the*. . Mr. Wiggins
had demonstrated not long since, beyond
doubt, that he had performed the wond
ful mathematical feat of squaring thi?
circle, but competent mathematicians had
t
easily shown that Mr. Wigp;ins* figures were
fallacious. The financial critic of the Op-
position had been engaB;ed in squaring the
provincial financial circle for a great
many years. He had been ham-
mering away with commendable dili-
gence upon financial statements and pro-
vincial finances and, according to his
claim, has demonstrated the fact that,
financially, the province was going
to the dogs. By wonderful juggling
with figures, with pathetic self-delusion he
had piled up deficits and i)lunged the pro-
vince into a hopeless quagmire of bank-
ruptcy, and if the condition of the country
had been anything like he sought to show,
if his splendid deficits had been anything
but airy financial phantoms, the province
would have been sunk under a load of debc
that would have covered it several fath-
oms as the waters covered the face of the
great deep. It was doubtless the military
side of the hon. gentleman, which led him
to sympathize with the great Napoleon
who accounted for his Waterloo by the
fact that he had on that occasion defeated
the English three times, but they
DID NOT KNOW ENOUGH
to know it. In a similar way, according to
the showing of the honourable member for
South Lanark, the provmce had been
repeatedly ruined, but the province, under
the efficient management of the Govern-
ment that havi ruled it for the past thirty
years, had marched serenely along pain-
fully unconscious of its ruined condition.
The province goes on paying its way,hand-
somely attending to every public need,
developing the resources of the countrj',
caring for the helpless and afflicted, edu-
cating the young and stiffening the back-
bone of the country,agriculture, and yet we
still had "a shot in the locker." (Applause)
Yet the honourable gentleman figures out
what he calls deficits, that we were half a
million short in the current year's opera-
tions, while as a matter of fact we had
half a million to our credit in the bank.
The honoarable gentleman might air his
delusions in the House, but let him take
his stand before the bank vault where our
money is deposited, and he would find that
he could not talk away $4.50,000 in cash,
charm he never so wisely. (Applause). Mr.
Stratton went on to point out that what
we wanted in the conauct of the affairs of
the province, on the part of both Opposi-
tion and Government members, was prac-
tical politics, not fine-spun theo-
rizing. As the honouraDle the
Provincial Treasurer remarked in his
budget speech, the country did not take
Mr. Mathieson seriously. He had been
preaching the dreary gospel of despair for
years, he had been evolving theories in
the face of facts and if a hundredth part
of what he had from time to time declared
had been true, the sheriff would long ago
have been
ADMINISTKRING THK AFFAIRS
of the Province. What the honourable
gentleman hoped to gain by such a course
was as di/Hcult to understand as his
financial philosophy. The honourable
gentleman had another Napoleonic trait,
the great general beat his enemies in
detail and the honourable gentleman pours
in a great deal of hot shot in the way of
detail. His versatility was admirable— he
could split a hair or fell a pine with equal
facility. He could jump from the discuss-
ion of fractions of dollars to millions of
dollars with surprising agility. Ho was
not satisfied with cramming the public
accounts with unnecessary details, but
must have the noses counted in the public
institutions t© see if the employees were
there that were mentioned in the public
accounts. This suspicious spirit was un-
worthy of the honourable gentleman. Into
all business transactions the element of
trust entered largely -everything could
not be reduced to record. We could not
consider every Government employee a
thief and set a guard over him. T e desire
of the honourable gentleman was without
doubt to reach this side of the House.
Then his financial criticisms would be
justified, for i nstead of imaginary deficits
we should then have real, live, tangible
deficits. And his desire to reach this side
of the House was evident from the con-
cluding portions of his speech, in which in
some respects he struck high ground for a
minute or two. But with all the fine
sentiment he uttered, his real desire to
cross the House cropped out. It was very
natural that he should feel such a desire.
The children of Israel, after wandering for
forty long years in the wilderness, were
anxious to
f.^TTLE DOWN TO A REGULAR DIET
of 'lilk and honey. So the honourable
gentlemen opposite, after wandering for
30 jrears in the wild jungles of Opposition,
amid blasted pines and blasted hopes, are
naturally becoming hungry and developing
ravenous appetites for the sweets of office
and longing for the day of entering the
promised land. If those on the Govern-
ment side of the' House had the honour-
able gentleman's facilities for dreaming
and raising ghostlv deficits, they might
imagine they saw the Opposition grouped
•n some mount— say Mount Pisgan—
gazing with longing eyes upon the
promised land, flowing with che milk
and honey of office, and by a little
further stretch of imagination they
might see the financial critic of the
Opposition, waving his baton and leading
his
'•§,i
Ml
iBxaif
bf til
LanI
forcl
genf
one I
refei
Notl
the
nasi
r
time declared
ould lonf? ago
FFAIRS
e honourable
such a course
tand as his
honourable
oleonlc trait.
I enemies in
itleman pours
I the way of
dmirable —he
e with equal
k the discuss-
) millions of
ty. He was
g the public
details, but
in the public
iployees were
in the public
pirit was un-
itleman. Into
3 element of
'thing could
■^e could not
employee a
I. Ti e desire
was without
'■ the House.
s would be
nary deficits
ve, tangible
ich this side
om the con-
in which in
P'ound for a
all the fine
al desire to
It was very
3h a desire,
ndering for
rness, were
k^R DIET
honourable
iderin^ for
Opposition,
hopes, are
developing
ts of office
itering the
he Gorern-
le honour-
dreaming
ley might
n grouped
Pisgan—
upon the
the milk
a little
ion they
of the
d leading
f
his colleagues in chorus in the lusty sing-
ing of the good old Methodist hymn : —
'* O, how I long to be there ?" (Laiighter.)
Mr. Stratton said he did not propose
lexamining in detail the financial criticisms
of the honourable gentleman fi-om South
Lanark. These had been eifectively and
forcibly dealt with by the honourable
gentleman from Algoma. But there were
one or two points which he wished to
refer to more fully than had been r'one.
Not only in the House but in the country
the statement was made that the province
has millions of debt, yet we are in the
comfortable position of receiving this year
^272,414.48 as interest on moneys due
Ontario held by the Dominion and $31,-
646.37 interest on other investments. On
Thursday the honorable member for South
Lanark stated that "of the $272,000 re-
ferred to there was at least some $140,000
odd that
WAS NOT PAID AS INTEREST,
but was increased subsidy granted by the
Dominion in 1884. The money, he tsaid,
was called subsidy in the act of 1884
and it could not therefore be interest."
Mr. Stratton went on to point
out that when Sir William Mere-
dith was leader of the Opposition
16 discussed this subject more
ntelligently, and said that the sum of
: ^2,848,000 was an act of generosity by Sir
Leonard Tilley and his friends, but it was
rather an unusual proceeding for the
Dominion Government to give Ontario a
grant of $2,848,0(X) unless it was
a settlement of some claim— which in point
of fact it was. As to a name
it was immaterial what the money was
called, but in reality it was a settlement
of Ontario's claims of sums due the Pro-
vince by the Dominion. Now, how did we
get this $140,000 ? Was it not in the old
way ? Was it not a pa\ment of interest in
lespect of "capital owing"? That was
what the Act passed by Sir Leonard Tilley
in 1884 says it w \a the principal yielding
the $142,400. (Hear, hear.) No one says that
one dollar of the principal has come to us
—stronger still, Mr. Mathieson says we
cannot get it, but in the same breath he
asserts that we get in some way or other
$140,000 odd, the $2,848,000 being mysteri-
ously connected with it. Could not the
hon.gentleman find the missing link ? Had
it never dawned on his mind that 5 per
cent, on $2,848,000 is $142,400 ? Therefore
"the $140,000 odd" is interest on amounts
due Ontario by the Dominion, as this side
of the house has all along claimed. (Hear.
Coi. Mathieson— It is subsidy all the
me.
Mr. Stratton— My hon. friend cannot be
prevented from calling it what he chooses,
but
INTEREST IS NOT SUBSIDY
and subsidy is not interest, but what is of
most importance to the people of the pro-
vince is, that they get the interest half-
yearly, and if my honourable friend will
turn up the blue Dooks he will see that the
province receives from the Dominion
$71,200, half yearly, as the interest on
this sum." Mr. Stratton continuing said
that Mr. Mathieson claimed that we owed
the Dominion $2,000,000, but it was, in
fact, a much less sum, The statement,
however, showed it as deducted, leaving
the provincial surplus at $5,001,613.19.
But if the honourable gentleman would
not accept the $2.()00,(X)0 as paid, when it
was already credited, he must admit that
the surplus should he seven mill ions instead
of five millions. Now he wishes to borrow
money to pay off two millions, which,
from the fact of its being credited to the
Dominion, the province in reality
does not owe. The treasurer's state-
ment showed that the province
had already deducted this from the
amount due the province by the Dominion,
which being already paid, why
should we borrow money on sixty years
debentures, bearing 3 per cent, interest, as
the honourable gentleman suggested. We
did not, Mr Stratton pointed out, require
to borrow money. We had $450,000 in the
banks, and we had our old Parliament
buildings site, and the proceeds of uncol-
lected Crown Land balances, which
WOULD MORE THAN PAY OFF
Mr. Matheson's amazing $2,000,000 lia-
bility, leaving our $2,848,289 intact,
which at the rate of five per cent,
payable half yearly, would in forty
years amount to $5,698,000, or at 3^
per cent, $3,702,400, or a difference in forty
years of $1,993,000 It was always thought
that the wise msu came from the east, but
in the case of the honourable gentleman
for South Lanark, in regard to financial
matters, this opinion would have to be re-
vised. Every dollar received by the pro-
vince .vas trust money, and there was no
difference between the trust funds at
Ottawa and the funds controlled by the
l']xecutive at Toronto— they were t^^ust
funds administered for the benefit
of the people. (Hear, hear.) The to-
tal expenditure for last year was
$3,803,081.35, and was $343,000 less than
anticipated, so that the Legislature knew
a year ago, when the money was appro-
priated, that the income would fall short
of the estimated expenditure. At the
same time it was known that the Pro-
vince had $605,850 cash in the bank, and
that it would be necessary to draw upon
that to meet the expenditure, and the re-
ceipts being short $150,000 the bank bal
ance was reduced by that amount to meet
f
the expenditure of the year. Both sides of
the House were responsible for this course
of action. The eHtiniates deliberately asked
^209,0(X) more than anticipated receipts,
yet hon. gentlemen claim a deficit for the
year, when the excess of expenditure over
receipts
SIMPLY MEANT A RKOUCTION
of the cash on hand. The hon. member for
South Lanark in condemning the Govern-
ment was condemning himself and his
colleagues, (Hear, hear) for, with the ex-
ception of $47,0fK), thev approved of the
whole expenditure, and the condemnation
of one member meant the condemnation
of all, as upon full deliberation the esti-
mates were adopted by the House. (Ap
plause.) Then if they desired to discuss
matters from a fair standpoint they would
take into consideration any extraordinary
expenditure during the year, and they
would find that stich unusual expenditure
would include the Consolidation of the
Statutes, $44,00(); the grant to the
Russell rtre suflerers, $5,0U0 ; a simi-
lar grant to the British Columbia
fire sufferers, $2,500, and the general
elections $ll)0,()00,making in all a sufficient
sum to account for the difference com-
plained of. (Hear, hear.) Where did the
Dad financing come in ? The best finan-
ciers bring their receipts and expenditures
as close as possible, and the foregoing was
about as close as these could be brought in
financial operations involving such large
sums of money. The placing of $128,000
of annuities was complained of, but these
assisted in the retirement of $2.50,000 of
railway certificates and annuities, and
that was the policy decided upon by the
House several years ago, and there was
nothing extraordinary about it. The Oppo-
sition had been talking buncombe with
regard to our finances. They did not them-
selves believe what they say. Their sup-
posed facts were fancies, and the railway
obligation they complained of was incurred
UNANIMOUSLY BY THE HOUSE
for the benefit of the people. Who had
reason to complain ? Nobody was com-
plaining, but honourable gentlemen oppo-
site, who wanted a theme for fault-finding.
The public want economy, but they don t
want parsimony. They want liberal aid
granted to develop the resources of the
country. They don t want buncombe reso-
lutions condemning expenditures that are
absolutely necessary. A number of reso-
lutions were moved in concurrence last
year by some honourable gentlemen appo-
site, that attacked necessary and proper
expenditures, and could only be justified
by the fact that a general
election was approaching. As a result of
these resolutions, where are the gentlemen
who moved them? We miss the gen)al
Eresence of Messrs. Willoughby and
[ems, of Messrs. Mag wood and Meacham,
of Messrs. St. John and Langford and ot
others who might be mentioned. They
were "talking to the gallery," and the
gallery " turned them down." (Laughter.)
Speaking in reference to the receipts in
relation to the total expenditure of
$3,80;i,081, Mr. Mathieson had ingenuously
argued that if we deducted the amount of
drainage debentures, the $(K),0(M) " bor-
rowed '■ from the Dominion, the receipts
from Common School lands, the amount of
annuities, the bonus on timber, amount of
sale of Toronto Asylum lands, etc., last
year's deficit woulci be swollen to over
$500,000. To show the fallacy of such a
line of argument, Mr. Stratton more
extensively applied Col. Mathieson's style
of reasoning. He pointed out
IF WE DEDUCTED THE SUBSIDY
and special grant of last year,$], 196,872.80;
if we deducted last year's receipts of in-
terest on investments, $304,(XK).89 ; if we
deducted Crown Lands receipts, $1 112,-
582.16 ; if we deducted the receipts for
Algoma taxes, law stamps, licenses,
education department, sale of lands,
$440,040.97 ; if we deducted casual
revenue, $116,568.96 ; if we deducted
succession duties and drainage works as-
sessments, $214,'306.91 ; if we deducted
drainage debentures,tile, sale of annuities
and Agricultural College refund, $168,-
807.16; if we deducted all these we should
have a deficit equal to the total amount of
the expenditures, which was an absurdly
misleading way of argument. (Laughter
and applause.) The real question to con-
sider was, were the estimates now before
the House prepared with a proper regard
to economy. He (Mr. Stratton) believed
they were. There was a decrease in every
department but four. If honourable gentle-
men opposite wanted consistent grounds
of complaint they should complain of this
reduction of expenditures. It was natural
for them to complain, for where was the
evidence that any Conservative govern-
ment under the canopy of heaven had ever
reduced expenditure? (Applause.) Mr.
Stratton pointed out that the estimates
showed decreases in civil government,
legislation, public institutions, immigra-
tion, hospitals and charities, maintenance
and repairs of public buildings, charges on
Crown lands and miscellaneous expendi-
ture, aggregating $138,495. The increases
were education, agriculture and public
works. Mr. Stratton indicated how we
spent our moneys in 1898. We spent upon
public institutions $815,744, or $2,235 per
day ; on education $735,098, or
OVER $2,000 PER DAY ;
in hospitals and charities, $184,402 or
$500 per day ; on Agriculture, $206,688 or
we
lloufj;hby and
111(1 Meachatn,
iR'ford and oi
;ioned. They
ery," and the
(Laughter.)
18 receipts in
xpenditure of
d ingenuously
the amount of
$()(),(XK) "bor-
the receipts
the amount of
)er, amount of
ids, etc., last
ollen to over
icy of such a
tratton more
thieson's style
It
SUBSIDY
r, $1,196,872.80;
receipts of in-
1,(K)().89 ; if we
leipts, $1 112,.
receipts for
nps, licenses,
lie of lands,
icted casual
we deducted
age works as-
we deducted
e of annuities
refund, $168,-
lese we should
>tal amount of
IS an absurdly
it. (Laughter
lestion to con-
ies now before
proper regard
tton) believed
jrease in every
durable gentle-
stent grounds
tnplain of this
It was natural
yhere was the
rative govern -
;aven had ever
)plau8e.> Mr.
the estimates
government,
ons, immigra-
1, maintenance
igs, charges on
eous expendi-
The increases
e and public
3ated how we
Ve spent upon
, or $2,235 per
Qr
)AY ;
, $184,402 or
re, $206,688 or
J 540 per day ; on Administration of
ustice, $413(5,276 or $1,110 per day ; on
Colonization Roads, $107,450 or $a00 per
day. There was no evidence to show that
these amounts were not honestly and
economically expended. If the sums pro-
posed to be expended were too much it
was the
DUTY OF EVERY REPF ESENTATIVK
in the House to state his views and work
for their reduction. But it was impossible
to please honourable gentlemen opposite.
If the expenditure WrtS increased they
complainca and complaint was made
if they were decreased. The country be-
lieved that the expenditures of the prov-
ince were honestly and economically made
and the return of the Government to
power was to be regarded as evidence that
che people were well satistied and that
they had practically said to the Govern-
ment " Well done, good and faithful ser-
vants,— you have done well in the past ;
we will trust you in ♦^he future."
(Applause.) Turning his attention to Mr.
Hoyle, the member for North Ontario,
Mr. Stratton congratulated him upon the
fluency of his address, which he had be-
gun by congratulating the financial critic
of the Opposition upon the fail-, candid
and general character of his criticism. It
was indeed very general, so general in
fact that he jumped at conclusions,
ignoring facts in support of his
conclusions. The honourable member
from North Ontario had continued his ad-
dress with an interesting chapter on
"Action," impressing in the beginning of
his speech a character, which he consist-
ently maintained to the close. In his fic-
titious explanation of the trust funds, the
honourable gentleman said that Mr. Con-
mee had much to learn, but Mr. Stratton
feared that if he depended upon Mr. Hoyle
for enlightenment on the subject, he was
doomed to remain in ignorance. (Hear,
hear !) The honourable gentleman from
North Ontario, in discussing the Common
School fund left the House a liberal choice
in the matter of name— it was first called a
"fiction," then a "fund," then an "obliga-
tion."— a specimen of hair-splitting that
would make even Mr. Mathieson himself
look to his laurels. (Hear, hear). Mr.
Hoyle might deny that he called this fund
a ' 'fiction " ana put the responsibility
upon Mr. Blake, who, as counsel, was do-
ing a little special pleading, but Mr.
Stratton assumed that Mr. Hoyle
WAS IN SYMPATHY AVITH
Mr. Blake's contention, and should accept
the responsibility. If this fund Avas a
" fiction " it was a fiction of the right des-
cription, for who had even heard before
of an interest-bearing fiction ? (Hear,
hear and applause.) A fiction
that yielded to the Province jH'O.OOO
a year was the kind of fiction we
wanted; "and Mr. Speaker," said Mr.
Stratton, "if you can load the shelves of
the parliamentary library with works of
fiction of this sort you will be conferring
an inestimable benefit upon the Province.
(Applause.) The hon. gentleman t'so ob-
jects to the $10,000 appropriated for arbi-
tration expenses. In a matter of thi.s kind
where millions of dollars are involved, the
best interests of the Province demanded
that only the best available counsel should
be selected. In no other connection could
economy be more emphatically misplaced
— a moment of weakness or slackness on
the part of a cheap and inefficient counsel
might represent incalculable loss to the
Province. If th«» Hon. Mr. Blake hi.d not
been employed on the occasion referred to
by the hon. gentleman for South Ontario,
he would not have made the remark
quoted, and Mr. Hoyle would have been
robbed of his subject for a speech.
Mr. Stratton said that he or any other
business man would adopt the course of
going to an expense for counsel and ad-
vice in proportion to the magnitude of the
inl-erests at stake. He, or any other busi-
ness man, would do the same in their pri-
vate affairs, and the same reasons
JUSTIFIED THE PKOVINCT^: IN GOING
to the expense of $10,000 in securing several
of the best counsel for a most important
and protracted arbitration. It had been
fortunate for the province in the past that
we had Provincial Treasurers who had
estimated these matters at their true
value and had employed competent coun-
sel, with results that compensated for the
expenditure involved a thousand fold,
(Hear, Lear.) The honourable gentleman
had apparently worked off part, at least,
of an election campaign speech. In a burst
of eloquence he had depicted the terrible
burdens Ontario was labouring under. The
bonded municipal indebtedness he placed
at fifty-one millions, the cost of legislation
at three and a half millions, municipal
taxation, annually, twelve millions, and
Ontario contributed to customs fifteen
millions annually, and the fee system was
responsible for a million Mr. Stratton
pointed out that in respect of the bonded
municipal indebtedness (although there
was in reality no such thing) and the
municipal taxation, these were something
that the Legislature could not control,
except to the limited extent that was
Eossible through the restrictions that had
een placed upon the borrowing powers of
municipalities. The cost of legislation,
by which the honourable gentleman evi-
dently meant the governing of the pro-
vince, was not at all excessive. With regard
tp the customs duties imposed by the
6
Dominion Government, tliat was some-
thing which this Legislature had no power
to deal with, and > 'hich Mr. Hoyle and his
party bad forced upon the country in the
shap* of excessive protection duties. With
regeurd to the fee system, that
WAS HETTI,ED UV THE PF:0PI.E
long ago. With reerard to the provincial
expenditure, if that was considered
excessive, when the estimates were
broutrht down that was the time for the
Opposition to object. (Hear, hear.) They
should put their objections in specific form
and not sit silently, consending to the
expenditure adopted, and then afterwards,
when it was too late, find fault for the pur-
pose, apparently, of making party capital.
(Hear, near.) Mr. Hoyle nad made it
plain that it was not to the expenditures
on education and agriculture that he
objected, but to the results. This was a
singular objection for anybody with the
slightest practical knowledge of
these subjects to urge. How were
we going to set down a
specific statement of the results in either
of these branches ? If a farmer sowed a
certain amount of seed on an acre of
ground he could get specific results- a
yield of so many bushels and pounds, but
if he applied a fertilizer to increase a crop
how was he going to estimate the exact re-
sults, although he might have the best of
evidence of beneficial effects ? As to the
results in education, we know that our
people are educated better than the people
of almost any oth«r country in the world.
(Hear, hear.) Was it not satisfactory
proof of good results that the graduates
of our universities who came through the
Public and High Schools
WERE GIVEN PROMINENT POSITIONS
in the colleges of the United States? Was
it not a proof of the benefits resulting from
the administration of the Department of
Agriculture that Ontario had gained the
position^of being the best producer of agri-
cultural products in the world, that her
cheese and other products had no superior
in the British markets ? (Hear,hear.) The
hon. gentleman did not point out any
improvements that he would like to see
effected. He only vaguely complained
of unsatisfactory results. He would sur-
round the Minister of Education with an
advisory board. The minister had now an
excellent advisory board. He had the
benefit of the opinions of educational ex-
Eerts, of school inspectors, etc., etc., and
e had the Legislature as an advisory
board, and what more did he need ? As
well might advisory boards be provided for
the other cabinet ministers. Whs.t we
wanted was a responsible ministe* re-
sponsible to the House, and through the
Efouse to the people. We wanted no sys-
shirk his responsibility
shelter himself behind i
tem whereby a Minister of Education could
to Paliamenfc and
an advisory board.
(Applause.) Complaint, too, was made of
excessive examinations, but there were but
TWO EXAMINATIONS THAT
could be rogan'ed as compulsory— that for
teachers' certificates; and the entrance ex-
amination was not compulsory except the
pupil desires to reach a certificate through
the High School. It was the policy of tue
Department to interfere as little as possible
with trustees in the domestic management
of their schools. Mr. Stratton said he was
glad the honourable gentleman approved
of something and spoke in praise oi Prof.
James' text book on Agriculture, which,
Mr. Stratton believed, it was the intention
to authorize if it had not already been
done for use in the Rural Schools. This
book the honourable gentleman looked to
for the education of the farmers' sons and to
help the farmers pay off the mortgages on
their farms. While the teaching of agri-
culture in the schools was to be commf^nd-
ed, the Government had taken the
READIEST AND MOST PROPER WAY
to help the farming industry. Public and
elementary schools had long been in ex-
istence, but it was only now that
technical branches were being intro-
duced. It would be a long time
before the leaching of agriculture in
the schools could have any practical effect
upon farming operations. The system of
the Government was a practical one in
relation to agriculture. Through the
medium of the Farmers' Institutes and
the regular system of bulletins, and the
Experimental Farm the special knowl-
edge needed was made at once available to
the farmers for practical application.
(Hear, hear.) Complaint was made by the
Opposition critics tnat our surplus assets,
were fast disappearing. We nad heard
the same cry for the past thirty years. In
regard to the surplus the honourable mem-
ber had asserted that the contention of
the Opposition was that the only proper
surplus was such as that ahown oy Sand-
field Macdonald, " who had a genuine
cash surplus " of over three million dollars.
The Opposition objected to the sale of
timber, yet the boasted Sandfield Mac-
donald surplus was derived chiefly from
that source and if Sandfield
HAD PAID HIS OBLIGATIONS
his surplus would have been gone. This
was information that was in the possess--
ion of every school boy and one
would have thought that it
had penetrated to North Ontario.
The honourable gentleman had made com-
parisons of expenditure. If he wanted to.
continue his "comparisons" he had only to,
>
lucation could
'aliament and
ivisory board.
, was tuade of
there were but
THAT
sory— that for
} entrance ex-
)ry except the
[Icate throoch
5 pohoy of the
itleatj possible
! mana(;cment
in said he was
nan approved
•raise or Prof,
alture, which,
the intention
already been
Schools. This
nan looked to
irs' sons and to
mortgages on
ching of agri-
be commi^nd-
jn the
)PER WAY
r. Public and
g been in ex-
now that
being intro-
long time
jn:"iculture in
ractical effect
'he system of
oticai one in
rhrough the
istitutes and
tins, and the
3ecial knowl-
e available to
application.
4 made by the
urplus assets
e had heard
ety years. In
curable mem-
Kontention of
only proper
own by Sand-
d a genuine
illion dollars.
I the sale of
.ndfleld Mac-
chiefly from
iTlONS
gone. This
the possess-.
y and one
that it
th Ontario,
id made com-
be wanted to.
e had only to*
>
investigate, and he would And out that
from 180H to 1870 the increased percentage
of expenditure was greater than in any
corresponding period since, except the
years in which the Parliament buildings
were being erected. Severe criticism had
been directed against the expense of the
administration of justice, and against the
increased cost. Mr. Hoyle wanted the
judicial districts enlarj?ed. Would he have
an enlargement of the judicial districts of
Nipisslng, Algoma and Muskoka? Mr.
Hoyle object to junior judges— that there
was not work enough for two judges in
some districts. He should recollect that
when they were appointed he did not
object- when his objections mights have
had more weight— when his political
friends were in power at Ottawa. If he
had objected then he would have shown
some consistency in entering his protest
now If the people were not n ore heavily
burdened with taxation than through the
judges, they would not consider them-
selves very heavily taxed, though Mr.
Hoyle complained that the people
of Ontario were taxed thirty-one
millions a year, a circumstance for
which this House is not responsible.
Mr. Hoyle laid considerable emphasis upon
the anxiety of the Government supporters
TO COMPARE THE COST
of maintaining Ontario public institutions
with those of the several States, greatly
to the advantage of Ontario, but he as-
serted that a comparison of the cost of the
executive in Ontario with large States
would show Ontario's expense as excess-
ive. Mr. Hoyle asserted that the cost of
the executive, the cabinet ministers, in
Ontario, was !p35,000, while in the State of
New York, the cost was only f 31,000, and
in Michigan $7,400. Mr. Stratton pointed
out that the comparison was in every way
unfair and misleading, because the respec-
tive administrative systems were totally
diverse, and it was impossible to institute
anything like a fair or intelligible compari-
son. (Hear, hear.) All that could be done
was to compare the general expenses
of the states in the matter or the
salaries of departmental officers as
against Ontario. For instance, the work
done in Ontario in the Provincial Secre-
tary's office.was In New York State,dlvlded
between forty and fifty highly paid
officials, very few of them drawing less
salary and some of them three times as
much as the corresponding Ontario
officials. Mr. Stratton then submitted a
list relating to the officials of New York
State, of wnlch the first seven were elect-
ed by the people. The salaries of these
seven aggregated $31,000 as mentioned by
Mr. Hoyle, but that gentJenian did not
point out that there were over twenty
other highly paid officers who were
REALLY THE liXKCUTIVB
officers of the State and attended to mat-
ters similar to those performed by the
several executive departments of Ontario.
Some of these officials have salaries as
large in some cases as Cabinet Ministers
and the aggregate of their salaries is
? 230,000, not including the salaries of a
ost of assistants and clerks, who receive
in many cases five times the salary of the
highest departmental official in (Jntario.
It is no wonder then that the total an-i
nual expenditure of New York State isover
twenty millions of dollars. (Applause.)
" We don't want that kind of expenditure
In Ontario. That is not the way our econ-
omy has been practised." (Applause.) The
honourable gentleman from North Ontario
preached a very nice, little, moral sermon
on the I'air, and candid criticism of pro-
vincial questions, but in view of his mis-
leading, unfair and utterly impossible
comparison of New York state with On-
tario, his high morality and his elegantly
rounded periods became as "sounding
brass and a tinkling cymbal." (Hear,
hear.)
With regard to the policy which has
been adopted by the House in the matter
of restrictive legislation, affecting our tim-
ber resources, It would be necessary to pro-
vide a source of revenue to take the place
of that temporarily decreased by the appli-
cation of the patriotic manufacturmg
policy introducea by the Government and
adopted by the House.
No one disputed the fairness of the prin-
ciple of levying succession duties. The
whole Anglo-Saxon world does so. It was
the true principle that till large estates, en-
joying the protection of the laws, should
pay at the death of the owner a fair per-
centage as a slight acknowledgment of the
protection afforded, and when, as in
Ontario, the results of such payments are
devoted exclusively to assist in the main-
tenance of charitable Institutions, the
principle of succession duties becomes ad-
ditionally defensible. (Applause.) There
was no revenue more just, more popular
and less burdensome than the one paid on
the succession of property. This prlnciplei
admitted, Mr. Stratton asked why all cor-
porations should not be brought within
the operation of a similar duty and bear
their share of the expense of the protec-
tion and other conditions that make their
successtui operation possible? Corpora-
tions endeavoured to evade all such re-
sponsibility as soon as they are incorpoif-.
ated, and some gf
[■
ii
THESE' CREATIONS OK THE I.K(USLA.TIVE
POWER
act AS If they wore superior to the creator.
(Hear, hear.) Ah a rule the first aim of
these Krcat bodies in to escape municipal
or other taxation, and in this way obtain
exemption from taxation in another form
than that voluntarily conceded to manu-
facturina industries, and it would take the
Hou.se all its time to circumvent all the
dodges adopted by these corporations to
evade paving. Mr. Stratton said he had
no hostility to these institutions, for he
was connected with several of tiiem him-
self. He believed that ail banks, insur-
ance companies— fire and life— trust com-
panies, telegraph, telephone and electric
railway companies should pay some-
thing for the great privileges they
are enjoying at the hands of this
House. tn regard to financial cor-
porations, Mr. Stratton said he held,
speaking for himself alone, that the^
snould pay duty upon their paid up capi-
tal and their rest account. With regard to
this question of revenue it was only when
we come to a situation that necessi-
tated a temporary provision for increased
revenue that we felt impelled to look to
what other countries are doing in this
matter. If we did so we should discover
that in nearly all the States of the Union
THE CHIEF HOUHIK OF IlKVENUE
>vas a tax levied upon local municipalities
and in the State of Indiana this was al-
most the only source of revenue. In the
States of New York, Connecticut and
Massachusetts corporation and inheritance
taxes formed a very large part of the
revenue. The same condition prevailed in
Pennsylvania also. Now in Ontario, Mr.
Stratton pointed out, we had not yet be-
gun to exploit for revenue. The bounty of
Providence had endowed us with great
natural resources which yield a large
revenue, but without full development are
not all suflHcient sources. When these
sources of revenue ceased we should have
to look for other revenue. Mr. Stratton
said that apart from sources of revenue
which he would refer to later, a study '^'
the sources of income of the various
American States showed to a surprising
extent the sources of income the various
States had in the way of direct taxation :
The State of Massachusetts received last
year $9,500,771, about three times the total
revenue of Ontario, made up from State,
Corporation, Savings Bank, National
Bank, Excise Tax on liife Insurance, In-
surance Companies— Fire and Life, Collat-
eral Legacy, Liquor Licenses, Fees for
Corporation Certificates, Hp-vvkert and
Pedlars' Licenses, and the Massachi setts
Hospital Life Insurance Company. Only
three of these wore a similar source of
revenue to some of that of Ontario.
▲ i/lanco at New York State showed the
aggregate receipts during the year
amounted to aVnost $.'i;{,()0(>,(XK», over
seventeen and a half million dollars being
direct revenue upon corporations, only
three sources of revenue being similar to
ours. It was also to be observed that the
Manhattan Uallwa;v and the New York
Central Railway paid almost
HALF A Mil, I. ION DOLLARS,
while the Bank of Montieal paid nearly
«:«),000 and the Bank of Commerce f 10,(X)0,
The revenue of the State of Connecticut
for a similar period amounted to two and
ahalf million dollars, all levied by direct
taxation, with the exception of the Col-
lateral Inheritance Incomt. The State of
Ml'ihlgan received five and a half million
dollars. One half of this amount was
from direct taxation upon municipalities,
and the other from railroad. Insurance,
telegraph, telephone and express com-
panies. The State of Texas had nn Income
of three million dollars, one million being
from sales and leases of lands
which would be similar to our
Crown Lands Revenue. In this State
almost every kind of occupation
except thni of farmers, printers ana man-
ufacturers is made to pay revenue. Even
the lawyers are caxeo, .-vud this is about
the only state that seemed to get even
with the learned profession, and although
the speaker did not recommend the adop-
tion of the United States system, still, he
thought, we might do worse in Ontario
than to receive some direct advantage
from the legal profesNion. The receipts
for the state of Indiana amounted to seven
and a quarter million dollars, three and a
half million of this sum being direct taxa-
tion, the balance coming from benevolent
institution fund, state debt sinking fund,
educational Institution fund and school
revenue fund. The state of California had
total receipts of about eleven million of
dollars, eight millions being direct taxa-
tion received from county treasurers. Rail-
road companies paid a million and a quar-
ter, so that a superficial glance at the
revenues derived by these states men-
tioned will show that almost every state
in the Union has had
A SYSTEM OF DIRECT TAXATION
for many years. The honourable gentle-
man from North Ontario was very anxious
to go to the United States for a model of
an economical administration. Was the
policy of taxation just referred to,
whicn prevailed in the United States,
what Mr. Hoyle wished to serve for a
irodel in Ontario? To amplify the com-
Sarison which the honourable gentleman
ad instituted, comparison might be niade
iliir source of
Unturio.
ate showed the
ifjf the year
{,(KK),(KK», over
11 (lolhirs beinK
orations, only
iiiK similar to
tcrved that the
he Now York
LLARS,
il paid nearly
imerce