Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1829-04-14
CONGRESSIONAL.
IN SENATE OE THE UNITED STATES.
FEBRUARY 90, 1929.

FEBRUARY 90, 1929.
Read, and ordered, that in addition 10 the us,iaf
number 1000 copies be printed.
Mr.. Snssh Of .Hdrgfdnd, made TIE tollcwiag
Report:
The Committee on Finance. 10 which was refer
rcd, OH the 18th day Of January, 1929, the fei-
lowing resolutions
RESOLVED, That the 9Th section of the Sintip,.
Fund act, Of 1917, .onght to be amended as 70
authorize the Commissioners of that Eu,tI 10 mai,
purchases Of the Public Debt, at its current mar
het price, whenever, in their opinion, such pur-
chases can be made benefcialiy for the interests
OF the u. S., and consistently with existing en-
gagcments. N s..
2. That the 9Th section Of the same act, which
authorizes retention Of two millions of surplus
revenue in the Treasury, ought to be repealed,
and that the FIRST section Of the Sinking Fund act
OF 1880, which directs the whole of the surplus
money in the Treasury to be appiien to the pay
rnent of the Public Debt, ought 10 be revived and
continued in force.
;. yIat the Bank OF the U. s. ought TO be re-
CURED TO make compensation to the people OF
the U. s. for the Of the balances Of public mo
ney OH its hands,. -
A. That pulbic debt is a public burthcn; and
that the present debt og the U. S. is burthen up-
on the people OF the u. s., to the amount of more
ftlian Is millions Of tUilars per annum, from, wh;cs,
they ought TO be relieved soon as possible ami
! may be relieved In four years by " timely ami
5odfeious' application Of the means within the
power of Congress .e-fe.
5. That an abolition of duties, to the amount os
the ten millions Of dollars annually levied on
account Of the Public Debt, ought to be made as
soon as that debt is paid, and may he made, ac-
cosding to the present indications of the revenues
without diminishing The protection due to any
branch Of domestic manufactures, and with man
ifest advantage to the agriculture and commerce
of the county.
REPORT:
That the FIRST resolution contemr.ates authori-
zing . the Commissioners Of the Sinking Fund. 20
purchase the public debit as its current D,drhft
e, purchases he ~ escial IA,
the interests of the u. s., and consistently With
existing engagements"
The granting of such authority must he preif.
Gated on the idea, that there will be in the Treas
ry, surplus funds inopp!icaale to any OF the deb.
OF the u. s., and, therefore, authority to puf,
chase is the only Esode by which the public money
can be applied to the payment Of the debt.
In order TO ascertain whether that was the fact
the committee applied to the Secretary OF the
Treasury for information, and have received two
documents, which they submit az part Of their re-
excluding the Bank debt and per cents.,) and
the manner of its redemption. BY wbchitis
clearly shown, not admitting a doubt that their
are OF debts, redfendbie at pleasure. which wih
the interest payable will be amply sufficient I'M
Ill the LIST July, 1882 to absorb the whole of the
ten millions OF dollars per annum, vested by Lax,
in the Commissioners o, the Sinking Fund to en-
able them 10 pay the principle and interest of The
pibiic debt, larger 0n,O;s'ps required, witi,-
out the necessity OF purchase at prices above par
or real value. Fhe same document also shows
that OF the ten millions payable in 1892, there will
be about million Of dollars inappIicable on the
LIST January, 1888, TO any debt, without the con-
sent OF the holders OF Ihe stock; that sum, II; il
believed by the committee, will be reIiDqnsIed
atpar by the Banlt Of thc United States, fron,
stock that it holds redeenabie at pleasure on the
3ist December, 1881. 30 is so believed because
il is lis disposition and real interest So that there
cannot be doubt, that there is Of debt redeersa-
bic, and interest payable, sufficient, in every view
Of the subject, to make a recourse to purchase,
wholly unnecessary and infrYedient 1t may not
be improper for the committee 10 prese ut the ac.
tnalprices Of the several stocks, that the Senate.
may be enabled tojudge Of the propfety Of vest
ing the extraordinary power to purchase " at fks
current market price" TO wis: Six per cents. of
lSI4, half per cent above par; same Of 1918, two
and half per cent. above par Those will all be
extinguished in 1929 and 1890. Five per cents.of
1920, TO per cent. above par; and will be paid
Oft in 1881. Same OF 1921, from TO 3 per cent.
above par. -Four and half per cents at par
IL is proper that the Senate should be informed
that there will not be sufIc lent of debt rcdeema-
bic on the Ist July, 1884, TO meet the interest and
i've millions principal usually paid on that day.
But the Committee rely with confidence, that the
oanh will relinqush as much as may be required
from stock that it holds. and which is pedeen,ahc
on the 3lst December ol that year. a friendly
disposition towards the government will be the ruiz
ing motive. .
The Committee can perceive no cause that should
in'uce the Senate TO authorize the purchase OF
their own stock at the prices quoted, when thew
viii be paid regularly at their zeal and par value
"IHioit we loss Oh cent 70 islo ultI0n IN
whatever.
Since the above was written, the Committee
have received letter from tie President OF The
bank, which is submitted as past OF their report
and which fully yeriEes their expectation TO ,ytt
" That the bank will give every facility in liz
power to accommodate the commissioners In fbei
eSingujshment OF the debt oil the U. 8. - and in
The precise manner mentioned in the first paragraph
Of this report.
Ehe document b, gives statement OF The whole
debt (incudins the per cents. and bank debt
and showsthe manner In which the whole moy be-
extinguished
Although ia may be desirable 10 purchase i,e p
per cents, yet IL has been show n that there win
be no money in the Treasury until the wear 1882
which can he applied thereto, without divertins n
fEom the payment oil stocks bearing higher in.
teFest, the Committee OF opnan, that yyoi,'t
not be e7opeden or uscfui 10 ave at this time tb.
authority 20 purchase.
Ehe "a resolution proposes " the Iepea, Of tia
4th section OF tho Sinking Fund act 4hal the SUI
plus oil two millions authorized SD o,iii not te 81
tanned, and that no surplus for unforeseen exigsn-
cie5 should Femsin in the Treasury"
IL IS true that the act OF 1890 directed nat t.,,
whole surplus in The Treasury, al the emil OF tho
,yesr, should be applied TO the payment OF tic deaf
III is Believed that 10 inquiry ever made 10
know whether there lad been a strict compliance
with that act. u is known that, for many yeays
itie means Of the Treasury were not abunfanf--
When tho Sinking Fund act Of 1917 passed, IL IRA,
,b1otcn that the Secretary of tie Treasury did re-
tain ssurplus OF a million, al the end Of tie vcsr
TO meet extraordinary occurrences, although ths
law directed " that all the surplus money shonld
be applied IN the payment oiihe debt" Il il bigh.
W probable THAT little respect was ever raid IA
Ilat part OF ibe law; fcy Mr. Galla;in distinctly