Indiana State sentinel. (Indianapolis, Ind.) 1861-1865, 1861-12-18
Report of the Secretary of the Treas

urys
WASHINGTON, Dec. 9.-The following is an alb
sract of the report of the Secretary of the Treas
ury:
The Secretary of the Treasury's report, after
referring TO the Recommendation contained in his
July report, gives the manner in which he obtain
ed loans for various purposes of the Government.
The immediate exigencies were provided for by
issuing $40 ,l90 "a in six per cent. of two
years Treasury notes; Sl2S, us so in same
notes, payable in sixty days, was to provide
for the war disbursements, and he adopted
the plan 10 engage the banking institutions of
the three commercial cities of the seaboard
to advance the amount needed in loans for
three years $40 bonds, to be reimbursed foi by
the people, hoping thus to combine the capital of
the banks and the people with the credit Of the
Government 50 as to give efficiency to aGministra-
tive action and competent support 10 public credit,
and the result has fulfilled his best hopes He
then represents the agreement entered into be-
tween 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 negotiated with the banks ON the 18th of
November, by which he agreed to issue to them
$50 600. 900 in six per cent. bonds at par for the
bonds bearing per cent interest
This agreement was complied with. No ar
rangement FOR reimbursement, and there was no
terms except the preparing and issuing of the
bonds. This also complied with, with the
understanding that on and after the lst of Janu-
airy loan of $50. 600 900 should be made on the
same terms as first or second ii required. In ad-
diton to these loans S2 las 220 up TO the 3Oth of
November were issued In Treasury notes of SIS,
$40. sl2 s33, ss5 and $l05. There then remain
ed in the Treasury from various sources the sum
of Sl97 ,742 ,5eS.
The revenue rates have not met bis expecta-
tions. He says an act introduced modifying the
rates of duties differs from the measure he sub
mtted TO Congress in most of these particulars,
and established duties on tea, coffee, sugar and
goods in ware houses and on ship board. The
difference was disadvantageous to the revenue.
While proportionate of reduced revenue
may be found in the changed circumstances Of
the country, these circumstances compel him to
reduce hIs estimates from the revenue $32. 98,-
COZ. The estimates from receipts for land and
miscellaneous sources he reduces from 1902 ,304,-
O62
The only other source of revenue Is a direct
tax authorized by Congress. which if increased to
the limits proposed by the Secretary and assured
by States, the further sum Of $40 900, 600 may
be expected. The aggregate of revenue may
be thus estimated at $54 $50 $780, which is $25.-
All 1874 less than the estimate of July. The
Secretary states that the estimates for July were
based on the raising of $50 900 volunteers and
an increase Of the regular army by eleven regi-
ments. but after the report had been closed Con-
gress authorized the acceptance by the President
of 500 900 men, besides additional companies and
officers. This large increase has and must nee
esssrily augment the expenditure Ear beyond the
limit indicated by the original estimates, which
win be still farther extended by the increase OF
the navy, and additional appropriations are asked
for.
OF these additional appropriations $47 .9e5, ,566
were authorized by acts OF the last session, and
$l43 ,l30, ,927 are now asked. making an aggre-
gate, including $22. 757 ,933 for indefinite pur-
poses, of $2l3,904 .d27. To provide these large
sums retrenchment and reform are indispensable.
Contracts should be subject 10 strict supervision,