1880-1904

1890s panic hits Cumberland early

The Cumberland County Courthouse at the corner of Gillespie and Mumford (now West Russell) streets opened in 1894.

During the Panic of 1893, more than 15,000 U.S. companies closed, 500 banks went into receivership, and one-third of railroads failed.

Fayetteville and Cumberland County had already been through their panic. In 1891, the city lost its charter because it could not pay its debt. The county had financial problems, too.

An agricultural depression had hit the county hard and much of the Board of Commissioners' time was spent on public assistance. At each meeting, the board decided whom to give aid to, allocating public funds for items such as shoes, medicine and blankets. Residents who were too indigent were sent to the county's poorhouse.

In 1881, the commissioners asked Charles Haigh, A.A. MacKethan and C.W. Broadfoot to examine the county's debt. Haigh and MacKethan had served on a similar committee for the city.

They found the county taxes should have been sufficient to pay its debt, but the debt was unpaid.

They made 10 recommendations, including establishing separate accounts for the jail, the poorhouse, Superior Court, bridges and incidental expenses; no payment of county debt to residents unless their taxes were paid and a special tax that would be used to pay off the debt.

They said, "the proposed changes will require all hands to turn over a new leaf."

They said judges would have to carefully consider who they sent to jail and should not suspend fines in misdemeanor cases.

The fines went to the school fund, and every time a judge disposed of a case with the entry "judgment suspended on payments of (court) costs," it was taking bread and butter from the children and giving it to criminals, according to Haigh, MacKethan and Broadfoot.

They said the commissioners "need to learn to say more often the unpleasant word 'no' where the outgoes are concerned. And to give a little more of their time to the public to be employed in monthly inspections of county finances."

After reviewing the report, the Board of Commissioners concluded "we are of the opinion that a strict enforcement of the recommendations ... would be impracticable and prejudicial to the interest of the county, and its citizens and taxpayers."