Daily Ohio statesman. [volume] (Columbus, Ohio) 1855-1870, 1861-12-13
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-Il lig iut CO flGE 10 Ere 1900. IgfHBIn
Secretary Of the Treasury

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The Secretary Of the Treasury, IN obediane,
to law, submits ethe following drepDrt 10 Con
gress: ,ljsI -e5t lEsf oal ~ e'1sfn 10 lfdr
The general principles by Which, a. the Sec
retary conceives, the administration of the pbb
lie finances should be regulated, !, with q view IA
Insure the desirable results Of efficiency, eoono.
my, and general prosperity, were set fottr, with
as much clearness and plainness as he ,is cana.
PIE Of, 10 his report made to Congress- on tht
atn day OF July last. lsil1aql ld1nG, ~ T94
ln That report, also, the Secretary submitted
10 the conslderation OF the. legislature the
measures by which, In his opinion, the pecunia.
ry means necessary to the ep6edy and effectual
suppression Of the gigantic rebellion eet on
foot by criminal conspiracy against Inc govern.
ment and the people of the United States
might be most certainly and most economical,
~ obtained ...se
The estimates of the several department.
then laid before Congress BY the Secretary con-
templated an aggregate expenditure, during
the fiscal year to end on the 30th June, 1862, OF
$3lo,olS,ool.S1. .gols aaap'sli'
10 provide this sum Tho Secretary proposed
tenot mUdihcations OF the tariff and such inter
nal taxes as would, In bis judgment, produce
the sum OF eighty millions OF dollars, and such
loans, In various forms, not exceeding in the
aggregate two hundred and fifty millions OF dol
lars, as would yield the required residue.
Without adopting all his recommendations In
regard to customs and internal taxes, Congress
made such provision for both as was deemed
necessary to secure the sum proposed to be de-
rived from those sourcee, and authorized loans,
IN the mode and to the extent proposed by the
Secretary, for obtaining the additional sum re-
quirsd by the estimates.
IL now becomes his duty to give some account
OF the execution and practical operation OF
these measures; and In the performance of il
ne soicits, first, the attention of Congress to
that part of them relating TO loans.
The act authorizing loans provided
First, For National Loan of one hundred
millions of dollars, or any larger sum, not ex.
ceediDg the whole amount authorized. in bonds
or treasury notes, bearing 7.30 per cent. inter.
est, payable three years after date, and convert.
ible at or before maturity into twenty years six
per cent. bonds.
Secondly, For loan In Europe, or In the
United States, at the discretion of the Secreta.
~, of one hundred millions of dollars. navable
twenty years after date, and bearing interest
not exceeding seven per cent.
Thirdly, For the issue, in payment to public
creditors, or in exchange for coin. of trsasurv
notes payable one year after date, bearing an
interest Of 1865 per cent, and Convertible into
| the three wears 7 40 honda or f,eaanr, rotos
Fourthly, For the issue of notes, PAYABLE on
demand and receivable for all publia dnes. 10
be used as coin In payments and exchanges.
The aggregate OF notes OF the two last de-
scriptions was limited to I've millions of dollars,
In denominations less than fifty, but not less
| than Eve dollars.
A further authority was conferred by the act
to issue treasury notes of any Of the specified
denominations, bearing ak per cent. interest
and payable not over twelve months from date
TO an amount not exceeding twenty millions OF
To provide for immediate exigencies was the
first duty of the Secretary, and he performed
1t BY issuing, under authorities conferred By va
rious acts, for payment to public creditors, o.
for advances of cash, $l4, ,0l9, ,03466I In treasury
notes, payable In two ears. .sand bearing six pei
cent interest, and $l2,577, 75U in treasury notes
bearing the same rate of interest, but payable
sixty days after date. ...l-... 30. q r,-,..,i
Ills next care was to provide for the regular
ana continuous disbursements of the war, un-
der the acts OF the July session, and with this
view, ne carefully examined the various pow
ers conferred on him; compared the probabili.
ties OF the American and European markets for
capital; and considered the relative advantages
and disadvantages of the several forms of loan
authorized. .jy.r.s.. ID. ..5s,1es "a. -,.,.s m
His reflections led him TO the conclusion that
tue safest, sufest, and most beneficial plan
would De TO engage the banking institutions of
the three chief commercial cities of the sea-
board to advance the amounts needed for
disbursement in the form Of loans for three
years 75O bonds, to be reimbursed, as far as
practicable, from the proceeds of similar
bonds, subscribed for by the people through the
agencies OF the National Loan; using, mean.
while, himself, to limited extent, in aid Of
these advances the power 70 issue notes Of
smaller denominations than ttty dollars, psya'
Die on demand, .isi4...zgg~ g7as III 4 isfsf
Upon this plan he hoped that the capital OF
the banking institutions and the capital Of the
people might be so combined with the credit Of
the government, In proper provision fox neo.
essary expenditures, as 10 give efficiency to ad-
ministratiye action, whether civil or military,
and competent support to public credit, The
result thus far has fulfilled that hope. -.a
Representatives from the banking institutions
tne three cities, responding TO bis invitation,
met MN Tor consultation in New York, and,
alter full conference, agreed to unite as aaso-
ciates IN monied support to the government,
and TO subscribe at once loan of fifty millions
Of dollars, Of which FIVE millions were to be
paid Immediately to the Assistant Treasurers,
In coin, and the residue, also in coin, as need.
cd Tor disbursement. The Secretary, on bis
part, agreed to issue three years 1880 bonds or
treasury notes, bearing even date with the sub
scriptlon, and OF equal amounts, to cause books
OF subscription to the National Losa to be i'm
mediately opened to reimburse the advances
OF the banks, as iar as practicable, from this
national subscription; and to deliver to them
Z. 81 bonds or treasury notes for the amount not