New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1866-05-23

0lSpOe1ng OF III snail not exceed Out Pei eenj "en
agreed to.
Mr. SHERMAN said this bill came in the ordinary way
from the Secretary Of the Treasury, with view 70
facilitate the negotiation Of i've per cent Ioan ~. ~
bad been with him Sherman an earnest desire during e
present session OF Congress 10 see the interest On he
public debt reduced TO not exceeding I'VE per cent puI
the Secretary of the Treasury hesated somewhat wnene
he could negotiate loan bearing that rate. Afer iuii
consideration, however the Secretary presented TINS OH
containing the terms upon which, in his Judgment TINS
loan could be negotiated 1t came to the Finance Com
mttee and by general consent reported to the Senate
and printed for the purpose Of attracting the attention OF
the country and calling forth such criticism as
Considered S and Dp reported from the Committee Be-
fore considering the subject Mr. sherman said ~
would be necessary for him to state briefly the condition
of the public debt By the statement OF the st OF sy
appeared that the public debt at that time wac $S21
66I and from that is properly deducted the apoant OF
currency and hand in the Treasury To this must
be added quite large number Of items some Of which
have been upon during tho present session OF Con
gress and Of which will be acted upon before the
adjournment, the mere statement (which VII show inc
Senate the probable condition of the debt within the next
year. The largest now pending IN any bill before
us is in the bill from the Committee on Military Analrs
for the equalization of bountes which VIII take passed.
from 500 0J0 coo 10 &2O0OOoOOO The bill or the racine
Railroad win require in the course OF the next hseai year
something like SO 100000 provided the various branches
fh their contracts in finishing certain amount OF ROAD
each For the settlement with the States for expenses IN
the military services have already appropriated about
$40 1000. Missouri, Kansas, Pennsylvania and west
Virginia, and perhaps other States, have made
Indiana Kentucky and Ohio will have small claims each
The probability that this class Of Claims, when adjusted
will take at least sO0oO0Oo The largest clam was that
of Missouri, which amounted TO nearly 81 100000 Then
there is question presented by prominent member OF
the House of Representatives which hope will not pass;
1t is proposition TO assume portion OF The expenses OF
the States in raising men, proposition generally known as
Mr. Blaine's BILL which would tako OOOOOO As see
but little effort pass this bill, presume its success IS
not likely Then there is class of pTigete claims which
will lake millions bill passed the other Gay FOR inc re-
lief Of certain iron-cad contractors Then there are Claims
by the border States for damages in various forms amount
ing 10 hundreds of millions Bat take tfrom what has
already occurred that for the most part they viii rejected
IL is therefore very certain that in the most favorable
aspect of affairs the public debt might be stated at
5000 00O II will be observed that this debt is OF
diverse character; il consists not only Of uIquidated
claims, but is covered by q different laws, and
think, some 80 or 40 different forms OF Sc
curities, perhaps even more. The table OF the
public debt contains list Of these various loans covering
space of six or seven pages There at least thirty
different laws under which loans are now outstanding
Under some of these laws there are great variety OF
Issues For instance there three different sees OF
Thirty notes and there are i've different series OF
mani merely referred this to show the necessity of con-
solating ell these loans and putting them ID some IAN
gble form. II is difficult for the people to understand
any more than three Of these loans. None but
skifu fnancier can tell the difference in value between
these loans There is another necessity growing out OF
the condition Of public debt which - that we must
fund it. Ii is not question OF policy but OF necessity
large portion of natures very soon, and IT must be
ehe extended time paid of IL can only be paid
of By borrowing other money table TN, ,ns eBtr o.
lures One hundred and seventyeight millions OF various
kinds Of Indebtedness accrues within TINS year curing
the next year. there will be within the power GO OF
the Secretary Of the Treasury 20 redeem $9bo, Cyl
Mr. CLARK inquired If there would be that amount fa-
ing due or whether il would not simply be within the
option of the Secretary to redeem. A..
Mr. SHERMAN said il would be within the power OF the
Secretary TO redeem that much. large part OF TINS s
the first series of 520s portion OF it IS the fo notes
$23i, 900 900 Of which would either be IedeemaDe IN
Ia int S.D0s in
there Is necessity Of providing some way OF fundng
these various classes Of securities into one loan
Of a simple form. But there is another argument
on this subject derived also from the table before me- IL
is that all modern nations who have now public debt
have reduced il matter Of policy to some SIMPLE and
C 70 Sa nss M e " ns conp with
rate Of interest prescribed BY law ana the vhoie OF Tue
public debt 10 put in that form as soon as possible. In
England both before and after the Of Napoleon she
had the same diversity ofdebt which VIC have and has
been the policy of her statesmen from William Pitt down
her present leaders Of public opinion TO reduce inns
into specific form, and the result has been 70 reduce
the debt with the exception OF 100000 TO three per
cent debt In France the debt has been consolidated ID
the same way In Russia il has all been funded into three
four and onehaf and i've per cent stocks so hat every
nation in Europe where public debt has existed IN some
cases for centuries they have adopted il as principle 10
reduce the debt TO as simpes form as possible so tat
interest in the loan should be ehareeaOe 20 IN, h
Treasury and q sinking fund should pay Oh the
principal as far as policy would allow. Inc
only question, Mr. Sherman said, was whether
this the time to fund the public debt lie thought II
certainly was He believed better time would have been
the commencement Of the session. Congress had wasted
five months in his opinion and II would have peeh easier
to have done at the commencement OF the session a
now II could be done at all unless 1t was done be-
the 10 specie payment The present rate OF III
teest was too high and this high rate OF interest was
source Of continued evil to the country IL was the cause
of high rents because made the United States compete
with owners Of houses. Great Britain paid $32uOJUuo
Of interest 900 600 900 OF her consolidated DEBT me
United States pays $l39OOo0OO Of interest on t2Do
ano int mo
and yet English Consos sell at s6in London while Amer
can 52Os only C. by last quotations. In France inc
rate of interest is sometimes little more than -FOUR per
cent Mr. Sherman then examined the details OF tne o
dwelling at length upon that portion exempung the bonus
OF the proposed loan from taxation.
At the conclusion of Mr.. shermsns speech Mr. CLARK
rose and said he desired TO speak in opposition to the b
but was prepared TO do so now he moved mat is
further consideration be postponed until tomorrow.
Mr. FEssESDEN said the special order for tomorrow was
tho reconstruction resolutions. .,,
Mr. SHERMAN said he would not antsgonize his bill
against the reconstruction propositions
Mr. CLARKs motion prevailed.
TREASURY BILL.
Mr. CHANDLER introduced bill supplementary to the
several relating to the establishment OF the treasury
Department, which referred to the Committee on
Commerce. IL provides st for the appointment p tne
President of Commissioner of Customs who shall nave
the direction and superintendent OF the execution OF the
laws regulating foreign and coasng trade, hsheries anu
the collection Of duties imports and unnage VINO sna
have the Thanking privilege aud salary equal 10 tha OF
Commissioner OF Internal Revenue; I'd, for the appoint
ment OF Deputy Commissioner OF Customs at inc same
salary as that of Deputy Commissioner OF the
Excise and two Assistant Deputies, one to have super
vision of cases arising under the laws for tue issue OF
marine papers the regulation Of foreign trade ana nsher
les &C. tho other to have supervision Of the collection of
duties, warehousng, drawbacks, &c. 3D. For the sp-
pontment Of Solicitor at the same salary as that OF the
Socitor of Internal Revenue 9TH. That the Secretary OF
the Treasury may transfer such additional clerks mes
engers as may be required into the Bureau Of Customs
9Th That the present office of Commissioner OF Customs
under the act of March g. 1919, shall DO called Third
Controller of the Treasury and in addition TO his present
duties as accounting officer he shall examine and adjust
the internal accounts and shall have transferred
TO his Office the clerks employed in the Office of the First
Controller of Internal Revenue Accounts. 9th. For the
organization of Bureau Of Accounts comprising the
offices of tho five Auditors the Register and the three