Daily Richmond Whig. [volume] (Richmond, Va.) 1840-1842, 1842-03-01
COMMITTEE REPORT.
MospAr. February 81. 1872.


Of ,he system. as they propose to modify it, they
submit the following
PLAN.
|. A board to be established in the Treasury De.
partnen', at the Seat of Government, 70 be
called the Exchequer OF the United States.
Tie board to be composed Of three commits
sioners, to be appointed by the President, with
the advice and consent OF the Senate, and to
be removed from office only with the like con-
currcncc OF the Senate, and for physical in
ability, ucompctency, neglect, violation Of
duty. The President to communicate to the
Senate the particular reasons of the proposed
remova. For like the President may
suspend commissioner and appoint tempo
rary substitute, and within the i's' week OF
the ensuing session OF the Senate Law before tina,
BODY the reasons OF such suspension, and, II
the Senate concur, the commissioner 10 be re.
moved, II not, to be restored.
II. The Board of Exchequer TO establish agencies
ns it may deem necessary and expedcni for tn,
public service, limiting the number as few
MS the exigencies Of the service will admit nnt
10 no case to exceed two in any State Ter
rtory
Ill. The Secretary OF the Treasury TO appoint thu
inferior officers the board, and also the officer
of the agencies, on the recommendation Of tn,
board, and 10 remove them for physical iuabilf
ty, lneompetency, neglect, or violation OF duty
on ike recommendation.
~. The Exchcquer and its officers TO be the gene.
raj agents OF the Government for receiving
safe keeping and dsbursing the public moneys
The public moneys from all sources received
20 be paid into the Exchequer and its agencies
V. The Exchequcr and agencies TO receive on de-
posi'e gold silver coin, bullion and to issue
specie notes for the same, TO he redeemed NJ
tho agency where issued. Said notes to be pre-
pared by the Secretary ofthe Treasury, signed
10y the Treasurer, and countersisned by the
President OF the Board of Exchequer and made
pavabe 10 the order OF the principal agent n nd
endorsed by him when issued at such agency
VI. The Exchequer and agencies. on the deposte
OF gold silver coin, or bullion, to draw and
accept bills of exchange, and TO receive a pre-.
mum not exceeding two per ccn,um. A So 10
collect drafts or bills, but TO make no advance
ar payment TIL advised OF the collection, and to
ch rye n reasonable commission for collection
auI exchange.
VII. 4 specie notes issued either in paymen, of
tic Tubic creditor, or en- the depo.ites of indyi-
duils, 10 exceed the actual amount of
sprec on hand for their redemption, dollar for
dollar.
VIII Dues to the Unel States to be paid in gold
or silver CON- in specie notes, or in the notes OF
banks Immediately convertible into specie nt
the pace where received. The Excheauer and
agencies 10 settle weekly, or olIeuer, the bal
auces with the banks.
TX. The Exchequer and agen-ies TO keep separate
and distinct sets of books 10 enter and record
in ono set all transactions respecting the collec.
ton, keeping and oisbursing of the public re
venue and transmitting the public moneys from
place TO place, for the service Of the Govern
Tnen and in another, all transactions and ac-
counts arising from tbs operations in exchange
AID other transactions not on Government ac-
count.
Y. The EXchoquer may appoint agent any
specie.p paying bank; but such bank is not
authorized TO receive private deposies, or TO
accept or sell bills or drafts, on account OF the
Exchequer.
XI. The Exchequer and agencies TO act as commits
sioners OF leans and pension agents, and gene
rally TO render all facilities in transferring
and disbursng the public funds. Full and ex-
act accounts OF the board and agencies 10 be
furnished 10 the Secretary Of the Treasury,
and he to report to Congress. Necessary
rooms and vaults to be provided. Surcties
lafa and rW.1Fa ,l..I
examinations made.
The details of the above plan are fully carried
Out IN the bill which accompanies this report.
The committee, them propose a system free from
all risk, and OF perfect safety; q system in which
there is not the possibility of hazard TO the com
mun,tY, and none to the community, and none to
the Government except in the KEEPING Of the public
money. This is risk which must always be IN
Cured on the part OF the Government. Il is in.
ssporable from any system which be proposed
or adopted. II 1t be supposed, it has been by
many, that the public money would be safer in n
Bank OF the United States, under the State Bank
deposte system, the committee have already show n
Tint both those modes OF keeping il are utterly out
Of the question They therefore adopt, the prin-
cipal agencies the only one left, namely the GUS
todY Of individuals appointed for the express pur-
pose by The Government, with ample suretes
and under such penalties os the law is capable oil
providing.
THIS system is designed for the collection. safe
keeping, and disbursement Of the public revenues,
nnd through its operations to furnish a uniform cur.
rency and equaze exchanges.
Tie committee have already shown in what way
1t would furnish q Uniform currency and they have
no douh; that the specie notes which would be put
IN circulation by II, would ~ amount exceed the
circulation OF the late Bank Of the United States
Ihc average circulation Of that Institution during
the existence Of its charter about 5 10 900 600
md its average amount Of specie on hand short OF
81 100000. In some years Its specie tquaiiei, in
Others ereetded it's circulation. And but for its ex
pansions, commencing in 1929, and continued to the
expiration of its charter, its average circulation
would not have much exceeded its average specie
on hand. Il cannot be doubted, then, that the cir
collation. Of the Exchequer will equal, If not exceed
that Of the Bank Of the United States. And il tho
Bank Of the United States furnished uniform
currency then the Exchsquer will be capable Of
doing the same; ard that too, without any risk 10
tic community, or hazard 10 the credit Of the Go
yernment.
This, when accomplished, will do much toward,
equaIzing exchanges. Tie ruinous rates Of ex
change between remote sections Of the country re.
suit, essentially, from the depreciation OF the local
currency.
If the paper circulation of New York and New
Orleans were both Of the value Of specie, and the
balance oi trade between the two places, by reason
col the interchange OF commodities, were merely
nominal, exchange between those distant points
would he AT par. But If the balance OF trade were
~ favor Of New York, then bill drawn at New
Cseans or New Gork would command premium
'qlai 20 freight, insurance, interest, and other ne
ss1ry charges for renting specie. But whilst
the paper circulation Of New York, by reason OF
Of New Orleans is deprecated because Of the aus |
pension OF its banks, a bill drawn al the latter
pace on the former, and piid for in dcpreciited
pipsr, would command premium cqual TO the
cost Oud charges Uf renting specie, addcd to the
amount Of the depreciation Of the local paper below
ITO value Of specie. The reverse would be the
ease. under these Circumstances, with bill drawn
in New York on New Orleans. No regular bust
ness, without great slchce, sustain itself under
such rJinous rate OF exchange. The uniform
currency which will be furnished by the operations
ct tho Eychcqucr will DO much towards curing this
great cvi.
Eli there is another feature in this system bv
which tho exchanges will be perfectly aocommodi.
tcj, which is, the power'lo sell and coec, exchange
The committee have heretofore sdvertcd 10 this; ond
on this whole subject, hive consulted some OF The
0blcst, most practical ord experienced mtn: and
their own views ore folly confirmed by tho infor
nation derived from such high sources. They can.
r0., 30 ouy way, 90 wei. illustrate this branch Of IT,
rrd it5 beneficial "a -cs tho sound local banks
tceeihcr with other advantages, as by briefly en-
l0iyi0c che following views which have thus been
communicated 10 them.
A Dill drawn by ono agency on another. in any
remote part Of the United States, vi be as gaod as
specie within tho commercial sphere Of che emporium
where the agency is located Of which payment ia
"a lac f.ffo and ma lac Al,