Page:History of Iowa From the Earliest Times to the Beginning of the Twentieth Century Volume 3.djvu/23

 would terminate. The Government was obliged to raise immense amounts of money by the sale of bonds to meet the enormous expenses of the war. Patriotism demanded that our own people sustain their Government by purchasing these bonds. National banks were being organized in various parts of our State and the directors of our State bank system wisely determined to leave the entire field to the National banks and thus throw the weight of their influence in strengthening the credit of the National Government. The final act in terminating the existence of the State Bank of Iowa was taken on the 22d of November 1865 when, the safety fund having been returned to the various branches, the outstanding currency to the amount of $35,460 was burned in the presence of the directors. The system had been in existence seven years and twenty-five days, furnishing the people of Iowa with a safe and sound currency, which was never discredited and could at any time be redeemed upon demand, in lawful money of the United States. No safer or more popular paper money was ever issued by any institution, State or country.

The Eleventh General Assembly convened at Des Moines on the 8th of January. In the Senate B. F. Gue became president. The House was organized by the election of Ed. Wright Speaker. The message of Governor Stone stated that the total expenditures for military purposes by the State during the war, from May, 1861, to January 1, 1866, amounted to $1,046,735.99. The amount due this State from the United States for all purposes arising from the war was estimated at $300,000. The total indebtedness of the State was $622,295.75. The Governor recommended an appropriation sufficient to complete the building for the State Agricultural College. He also called the attention of the General Assembly to a serious misapplication of Swamp Land Indemnity Funds, which had been recently discovered, in the following language: