The Kenosha telegraph. [volume] (Kenosha, Wis.) 1860-1888, 1861-12-12
sECREfAR}4 cuAsr,s REPORT.
Condition at the Treasmry---Scheiraes for
i"tHFe Aevenue---Our I'D ebt and w h at 6
Will he.

COnSasfOb @k afse Treasury--sS q I,eSIsas for
VIII he.
NEW YORK, Dec. 9.-The Sect etary of the
1reasury's Report after referring to the recon-
mendahons contained in his july Report, gives
The manner IN which he obtained loans for the
various purposes of Government The immed
ale exl9encies were provided for by issuing
@l4'ol9'o34, In per cent two-years Treasury
no'e9' anu $lZ,oH,|oO IN the same notes, pay
aDle III sixty days. His next care was to pro
vide tor disbursements for the war, and he ad-
opted, as the plan, to engage the banking insti
tutions OF the three commercial cities of the sea
BOARD to advance the amount needed, in loans
} Tor three years OF Z $40 per cent. bonds to be
reimbursed from the proceeds of similar bonds
subscribed for by the people, hoping thus tc
combine the capital of the banks and the people
WIN lhe credit of the Government, so as 10 Give
ehclency to administrative action and compe-
tent support to public credit and the result
mas fulhlled the hope. He then rehearses the
agreement entered into between the banks and
himself, by which the former agreed to take the
loans The history Of the first two loans has
been made public. The second loan was nego
tiated with the banks on the 10th of November
by which he agreed to issue TO them so. 600. OOC
i'll 3 per cent. bonds at par for bonds bearing 2
per cent, interest. This agreement was coupled
with no arrangement for reimbursement and
ehtalIed no expense, except the preparing and
issuing the bonds. This was also complied with.
The option to the banks Is, that on or after the
lSt OF Janualy,a fourth advance of fifty millions
should b. made, on the same terms as the first
or second, if required. In additioa to these
loans, $2l, l65,220 up to Nov. Both, were is
SUED III treasury notes, of Gyes, tens and twen-
ties, payable Gu demand s., 1885,, los remaining
in the Treasury This amount may be regard
ed as loan from the people. The aggregate
reanzed trou loans III various forms, is Sl97,-
742, 588,
The revenue receipts have not fulfilled his
expectations. He says all act modifying the
rates CT duties differed from the measure he sub
mitted to Congress in most Of these particulars,
especially IN diminished duties on tea, coffee
and sugar, and eXempGng goods in warehouse
and on shipboard. The difference was disad-
vantageous; while potential cause of reduced
receipts may be found in the changed circum-
stances OF the country, proving unfav orable to
foreign commerce These circumstances compel
him TO reduce his estimates for 1862, from the
revenue, from tifty-seven millions dollars to
$32, 1886 The estimates from receipts
from lands and miscellaneous sources, he re-
duces from three millions to So, BOA, 062. The
only other source of revenue Is direct tax au-
thorized by Congress, which, if increased to the
limit proposed by the Secretary and assumed
by States, the future sum of 500, 900 900 may
be expected. The aggregate Of revenue may
be thus estimated at $4,552 $50, which is
S25, 447 1874 less than the estimate of July.
The Secretary states that the estimates for
July were based on the raising of 100000 vol
unteers, and an increase ofthe regular army by
eleven regiments but after that report had
been closed, Congress authorized the acceptance
l by the President Of 100000 men, besides ad-
, ditional companies and officers. This large in
crease has and must necessarily augment the
expenditures far beyond the limit Indicated by
the original estimates, which will be still furth-
er extended by the increase of the navy; and
additional appropriations are asked Tor. Oh
these additional appropriations, $47 1856, 566
were authorized by acts of the last session, and
Sl43, 49,, 927 are now asked for, making an ag-
gregate including 1922, 767 ,953 for indefinite
appropriations, of $2l3,9O4 ,427. To provide
these large sums, retrenchment and reform are
indispensable. Contracts should be subjected
to strict supervision, and contrac ors to Wig
orous responsibility. All unnecessary offices
should be abolished, and salaries and pay ma
terially reduced.
While thus recommending retrenchment, he
feels himself constrained to renew suggestions
heretofore submitted by him, that the property
of rebels should be made to pay in part lat least
the cost of the rebellion. Property OF great
value in loyal States is held by proprietCrs vir
tually engaged in guilty attempt to break up
the Union, which is justly forfeited to the people
and which should be subjected to sequestration
or confs cation, and the proceeds applied to the
satisfaction of claims arising from the war. The
properly of rebels in rebellious States should be
treated III the same manner. Their rights to
''6ervices," under State laws. must of necessity
form no exception to any rule of confscation.-
, Persons held by rebels under such laws to SER
vice as slaves may, however, be Justly liberated
from their constraint and made more valuable in
various employments through voluntary and
compensated service, than if confScated as SUBJ
lJects OF property.
The Secretary says the most sacred duty oil
the American people now requires the consecra-
ton OF all their energies and resources to the es
adjustment Of the Union, and sound policy
would seem to suggest no extension of foreign
| trade, but more absolute reliance on American
labor, american skill and American soil. He
recommends thatthe duties on tea, sugar anC
coffee be increased to2I cents per Id; OH brown
and on clayed sugar 3 cents; to 90 cents OF
green tea to cents on coffee and that no 9th
er alterations of the tariff be made unles further
experience shall demonstrate the necessity. H.
deems it necessary TO increase the direct tax 81
as to produce from loyal States revenue of a
least $50 900 ,0O0 estimating such duties OF
stills, distilled liquors, tobacco, bank notes, car
rlages, legaces on paper, evidences OF debt, anC
conYevances of property, and other like prop
erty, as will produce an equal additional sum
1 The income tax will probably produce $40,
. 100000 more, making an aggregate of $50, 900,
. 600 The Secretary is aware that the sum is
large, but seeing no probability of the revenue
exceeding $4,000, 90 during the current year
he feels that he must not shrink from plair
statement of the actual necessities of the situa
ton, Twofifths of one per cent on the rea
and personal property of loyal States will pro
: duce S44, 0G0, 0O0 the proposed income adding
so ,UO0, 900 mole.
The Secretary recommends plan for ma
tional circulation of notes. the features of which
are circulation OF notes bearing common i'm
. preston, and authenticated by common author.
itv; the redemption Of those notes by assoca-
tions and institutions to which they may be de
livered for issue, and the security of that re
: demption by pledge OF United States stocks, land
an adequate provision Of specie. An important
advantage by this plan, would be in the increa.
ed security of the Union, sprnglnging from com
mon interests in its preserve ton, created by 6
distribution Of It's stocks to associations through
out the country as the basis of their circula-
; ton, and he enterans the opinion if credit
circulation be desirable it is most desirable in
this fo III. He states il is most earnestly hoped
and not without sufficient reaSo on, that the pres.
ent war be brought to an suspicious termination
a before midsummer, and that in that event the
provision of revenue by taxation recommended
will amply suffice for all financial exigencies
without additional loans, and enable the Gov
} ernment at once to begin reduction of the ex-
stIng debt If the war continues to July LIST,
1862, the public debt will be $5l7, 322, 802 il
till July 1st, 1868, it will be in round numbers
$9000O0,000.
, The prohibition of trade with the rebel States
has been fully enforced. Regulations have been
established by which rice cotton and other prop
erty i'll the inouIrectionary districts occupied by
our troops, will be collected and sent by sea to
t New York. All sales will be for account ofthe
Government, and the proceeds paid into the Ma
tional Treasury. AS general rule, commerce
should follow the flag and when the authority
of the Union is fully restored i'll States, ports