Governor Hayes, aided by Senator Morton, opened the active campaign in a speech delivered at Wilmington, August 12, devoted mainly to the discussion of National and State finances. In the course of this speech Governor Hayes said:
"When the rebellion broke out, what was its chance for success? It had just one—a divided North. A divided North was its only chance. A united North was bound to crush the rebellion within two years after the firing on Sumter. A divided North encouraged the aristocratic enemies of free government in every land to build Alabamas and Shenandoahs that scourged the seas and swept away our commerce from the ocean. A divided North encouraged the Emperor of France to proclaim to everybody that sooner or later he proposed to intervene. A divided North encouraged rebel leaders to believe that sooner or later our armies must disband and come home.
"Now, I say to you that Pendleton was the selected and chosen leader of the Peace Party of the Northwest—the leader of the party that made a divided North. They talk of the debt and the great burden of taxation. We talked sadly of the loss of valuable lives that went down in the storm of battle. I say to you that the fact of a divided North doubled the debt and doubled the loss of valuable lives."
The campaign was an important one to Mr. Pendleton. Had he been successful he would undoubtedly have been the Democratic candidate for the presidency. A leading journal of the State said: "The gubernatorial contest is but a side-show. We are already entering upon the next presidential canvass, and Ohio is the key to the position." Nevertheless, Republican success was too certain to make the contest so warm a one as that of two years before. The State had been organized by townships and school districts and polled. So accurate was this poll that predictions as to the result, sealed and filed a week prior to the election by each of the members of the Republican State Executive Committee, the writer being one, varied only from two hundred to three thousand votes of the final result. Hayes' majority in '69 was 7,506—a little above the average majority. The canvass was fought largely upon the issue of the greenback payment of the debt. The Pendleton plan of indirect repudiation failed, and the rag infant was decently interred, to await an inglorious resurrection.
Governor Hayes was re-inaugurated January 10, 1870, on which occasion he delivered the following address:
Gentlemen of the Senate and House of Representatives:
In the annual message transmitted to the General Assembly a few days ago, a brief exposition of the condition of the State government was given, and such measures were recommended as the public good seemed to me to require. It will therefore not be expected that on this occasion I should again discuss subjects pertaining to the usual routine of legislation.
The most important questions concerning State affairs which in the ordinary course of events will engage the attention of the people of Ohio, during the term of office upon which I now enter, are those which relate to the action of a Constitutional Convention authorized to be called by a vote of the people at the October election in 1871. The present organic law provides for submitting to the electors of the State, once in twenty years, the question of holding "a convention to revise, alter, or amend the constitution." It is no disparagement of the work of the last Constitutional Convention to say that experience has already demonstrated the wisdom of this provision. It would be strange, indeed, if the last eighteen years had developed no defects in the constitution of 1851.
It is, perhaps, not improper at this time to call attention to some of the amendments of the existing fundamental law which the next Constitutional Convention will probably be required to consider.
The provision of the present constitution which prohibits the General Assembly from authorizing "any county, city, town, or township, by vote of its citizens or otherwise," from giving aid to any "company, corporation, or association," was designed to remedy an evil of the gravest magnitude. Unlimited power to authorize counties, cities, and towns to subscribe to the stock of railroad companies had burdened the people of the State with indebtedness and taxation to an extent which threatened bankruptcy. Experience has shown, however, that the clauses of the constitution on this subject are so sweeping that they are almost equivalent to a prohibition of the construction of railroads, except where those who control the existing railroad lines furnish the means. In many localities, the people are thus deprived of the only artificial instrumentality for intercourse with other parts of the State and country which is now regarded as valuable. By reason of it, important sources of wealth in large sections of the State remain undeveloped. It is believed that amendments can be framed, under which effective local aid can be furnished for the building of railroads, and which, at the same time, shall be so guarded and limited as to prevent a dangerous abuse of the power.