American Republican and Baltimore daily clipper. [volume] (Baltimore, Md.) 1844-1846, 1846-06-18

diminished four millions of dollars, which would
! reduce the deficit on the LIST Of July, lS47, to
SIS $40, 1853.
It is ascertained by experience, that for the
certain, prompt, and convenient paenent OF the
public creditors, at all times and paaaH through
out our extended territory, and thezEupply of
the mint and branch minis for coinage, sum
of four millions of dollars, especially during
state of war, must remain on hand in the treas
ury, which would again raise the sum to be
provided for before the 30th of June, lS47, to
Sl9, 620,46
1t is believed, however, that sum equal to
1884, 057 Of additional revenue may be pro-
duced by the modification of the tariff herein
proposed to adopt, as basis, the bill
reducing the tariff reported by the Committee
of Ways and Means to the House of RepreseH-
tatives on the 18th Of April last, together with
the augmented and additional duties now pro-
posed and enumerated in schedule A. This
change Of the bill reported by the committee,
emitting the fourth section, would make an adj
dition to the revenue to be produced by that
bill, Of S4034,057
After a very careful examination of the ad-
ditional data which it has been in my power to
obtain since the month of February last, it is
my COuNlClUI JildJ LllG Jill VI ttiC
will produce a net revenue of at least twenty
six millions of dollars. If to this be added the
additional duties proposed to be levied in sched-
ule a, the bill ofthe committee, with the mod
ifications embraced in that schedule, would
produce net revenue Of S30,034,057. This
would make an addition Of S5,534,057 to the
revenue that would be produced under the ac-
of the 30th of August, 1912. If, then, we Oct
duct this S. ,534, 057 from the deficit above es-
timated, it would still leave a deficit Of Sl4,-
0S6 400.
If, in addition to the notifications of the tar
if above suggested, the warehousing system
were adopted, as recommended IN my annual
report Of December last, it would make an ad-
dItion to the annual revenue from customs OF
one million of dollars, which deducted from the
above deficit, would leave deficiency still re-
naming of Sl3, 0S6 ,406.
1t is true that the introduction of the ware
housing system might diminish the revenue du-
ling portion of the first year succeeding its
adoption; but that it would add one million Of
dollars per annum to the permanent annual
revenue from customs is not doubted.
1t is believed also that the reduction and gra-
duaton of the price Of the public lands in favor
of settlers and cultvators, as recommended in
your message of December last, would make
an annual addition of halfa million Of dollars
to the revenue dervabe from the proceeds Of
the les Of the public lands, by bringing into
market many millions of acres ofthe public do
main which are wholly unSaleable at the pre-
sent minimum price established by law De-
Quoting this sum of half million OF dollars
! from the deficit last above mentioned would
! leave still unprovided for the sum of 1885,
400, which must be met by loan, treasury
/ untes direct taxation, or excuses.
In addition to the strong objections which
have been urged against direct taxes and excl
ses. it would be difficult to put in operation
such a system in all the states ana Territories,
so as to realize the required amount III cash,
before the S0th of June, lS47. A system OF
direct taxes and excuses, it is believed, would
not meet the sanction of the people unless in
the emergency Of wal with some great mari
time nation, exposing our commerce to great
hazard, and greatly reducing the revenue from
duties on imports.
The only remaining means for supplying this
deficit within the required period, is by loans
or treasury notes; and | would accordingly re-
commend, with view to the most vigorous
prosecuting of the existing war with Mexico,
so rs to bring it to a speedy and honorable ter
mnation, that a contingent authority should
be vested in this department, with your sane
! ton, TO issue treasury notes, or effect lean OF
a sum in the aggregate not exceeding the last
aforementioned deficit ofS ? ,5S6,406.
think it would be most advantageous TO
the government, that portion of this money
should be raised by treasury notes, and the re-
mander by loans, limiting the interest IN both
cases to a rate not exceeding six per cent. per
annum, and forbddng the negotiation in Ell
Their case below the par value. If the authori-
ty were limited so as to cover this deficit, and
the power given to resort to loans or treasury
notes, or both, as the emergency might re-
qure, the money might be raised at much
lower rate of interest than if the department
were confined either to loans alone, or to trea-
sury notes. The experience OF the Govern
ment has demonstrated that there are periods
when loans are most available, and that there
are occasions when treasury notes are much
better adapted to meet the emergency; and the
power to select both, or either, from time to
time, would render the negotiation more GER
tain, and probably save a very large amount OF
interest to the government If the war should
be speedily terminated, it is possible that a re-
; sort to loans or treasury notes might not be re
quired, or if SO, for an inconsderable amount
} The same power that is now given by law TO re-
, deem the loan, even before its maturity, when
f ever the funds of the government will permit
so as TO liquidate any public debt as specify a:
possible, should be continued, as also the au'
thority for The reissue of the treasury notes as
heretofore provided by law, as we'll as for theil
receipt in revenue payments.
f The additional duties designated in schedule
r A, are recommended as a war measure, and tC
,. terminate with the restoration of peace, or Al
:, soon thereafter as the state of the public imam
: ces will permit their discontinuance.
: have the honor TO be, sir, most respectful
ly, your obedient servant,
: R. J. WALKER, Sec. Of the Treasury
f WAR DEPARTMENT,