The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-12-03

no, 10 Mood assurance that they will DO complied
win.
Tho importance Of tho restoration o. the Southern
States 10 their proper relations with The federal govern
cannot DO overestiraaied. A curalllaeut OF .hs
currency and the maintenance OF the public faith
not al that 10 required 70 restore The c0aniry 70
perfect financial health. We need in sdduoa
10 these uaited country--uued In fact
well as in name. II may not be proper
The ocyetary this report discuss the measures
most Desirable result This however, he feels IL bis
duty 70 say, he substantially said his Last year,
report INA, The question or reconstruction az purely
fnnncis question u, IA his Judgment in import
snco 70 none sha Congress Will ever be called upon 70
consider
There 10 general sSnmsnt among taxpayers that tho
exemption OF goVerrmea, bonds from local taxation 10
not exnsfy right ana iss 4 ought 70 DO in way
avoided IN fanro SsseA The ssoretsry has
no hesitation IN admitting that he "a Ia
sympathy with the sentiment rho dniculty
In way, however, has been suggested arises from
fact ihas n the bonds hereafter were to
be sublec, TO local twailon very would bv held
whers taxes rse high rod there be con ten.
dsncy "a ,onconrer1ion % the s,a,ss ara
counties and cities who're taxss are low. or ia
foreign countries. where they woeld escs2s taxstss
altogether IL 10 matter 81 great Importance tina, gov
crnmens bends ss0uid DO deArabo investment sis
parts the counsry, and iris obvious that ise States
right nov denied Of taxing thsm other KINDS o.
property are taxed. Atter gisnG the subject careful
Of doing il shan BY 60 issue or bonds bs as
the Consolidated Debs Of The used ssaes bearing six
per cent interest, and having twenty years 70 run:
shall rapisiy rsssiblo DO converted, ooestxth
part OF the interest each senrksnnua pay ment 70
DO reserved BY the government and paid over 20
tho States. according 10 their proportion. By
this means al bonds. wherever held, would BE-
taxed ake ana general distribution or them b
secured State taxes, inesading cyics for couty and
municipal purposes, now general ling exec ID one
pcr cent but when debts incurred for payment Of
bountios are paid, and in Of The States
trey already In process OF rapid extinction, and
economy Is again praciicsd IN the administration 0i
Stse Affairs, this indirect assessment will Do quite likely,
TO equal the tax assessed other property II the
debt 10 be funded shall amount TO ~ 600 900 000 the
amount to be reserved and pakd tho annually
would be $50, 900. 600.
The Secretary estates that tho receipts and expendL
lures for the three quarters ending juno 80 1888 will
DO 500, 900 000 The expenditures the PERIOD
according to his estimates, viii be 1895 O00..
OO0 leaving surplus OF estimated receipts
over estimated expenditures Of 81 900 000 The receipts
and Expenditures for the next scs year, ending June
penditures for the period estimated as
1872 000.0 leaving surplus OF estimated
Receipts estimated Expenditures OF 80 600 600.
Since the first OF September 1885, the debt has been
reduced $26 1885, III. Now such reduction could be
made while the industry Of one third part OF tbs
country by reason OF war and the unsettled
Of It's political affairs has been exceedingly do.
pressed. aud other thirds hare by exertce
their fu productveness sooner-,f such . re-
duction could be made notwithstanding the llberAi
miscellaneous appropriations by Congress- payment Of
bouncs aud the great expense OF maiDtaning large
military forces upon the frontier and IN tho Southsru
States, can there DO any good reason why
reduction, successfully commenced under tho most
steadily and without interruption, until every doiiaroi
q eyt iuu