Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1869-12-07

D
in public service are likely to continue
from the circumstance that their vocation
has led them aside from the Ordinar-
channels Of business, yet as an act of jus
tice to them, and in the interest of tn,
Government, I recommend an increas
of their pay. Speaking generally, this in
crease OF pay should extend to revenu
officers in custom service, as collectors
surveyors, naval officers, and especially
to appraisers and examiners in the ap
praiser's department. Should the recon
menda,iOn TO repeal the laws grantin,
shares of penalties and fines and forfeit
/ ures TO public officers be adopted, il vii
: be necessary to increase the salaries o
collectors, naval officers and surveyors a
all the principal parts of the country. Il
is plain truth that The Government hat
no right to expect the services of sucl
/ competent men as appraisers and exam
iners at the present inadequate salaries %
the large cities. They are insufficient fol
the support ola family, and, under sucl
7 circumstances, the Government is moi
without responsibility when it places 10,
officers in such positions that
they are compelled to choose be-
one hand and penury on the other. The
| salaries of the Assistant Treasurer and
! the principal officers should also be in
| creased; and for substantially the same
reasons il has been found impossible fol
the last few years TO obtain the services OF
/ the most efficient clerks in the Treasury
J Department except by additions TO theiI
/ lawful salaries through an appropriation
placed in the hands of the Secretary for
! that purpose. The distribution of this ap-
/ preparation is an unpleasant duty for the
/ Secretary, and cannot be performed with
out producing jealousy and discomfort
among the department. Speaking gene
rally, ii may be said the heads of bureaus,
chief clerks, and clerks in charge of di-
/ visions are inadequaJely compensated for
! the services they perform. The routine
/ of business of the Department can be per-
/ formed in a satisfactory manner by clerks
receiving the compensation now provided
/ by the law, but men on whose discretion
and judgment the Government relies for
] the proper transaction of the business of
the country, and whose labOrs are not linn
tied to the ordinary hours of duty, should
be made to feel that they are properly
compensated.
Under these circumstances it does not
seem to me TO be wise to authorize the
funding of the whole amount of 5-20 bonds
which. as is now anticipated, will be out
standing on the first of January next,
PAYABLE either here or in Europe, as the
Subscrib bers 10 the loan may desire.
Fourth. That the rate Of interest shall not
exceed AZ per cent. per arnum. Fifth.
That subscribers in Europe shall receive
their interest at London, Paris, Berlin or
Frankfort as they may elect. Sixth.
That the bonds, both principel and inter
est, shall be free from taxes, deductions or
attachments Of any sort, unless il shall be
Thoughts wise TO subject citizens of the
United States to such tax upon income
and from bonds as is imposed by the laws
of the United States upon incomes dc
rived from other money investments.
There are two reasons, and each seems to
bs the controlling reason, Why bonds
should be exempt from State and local
taxes. If not 50 exempted, the amount Of
the tax imposed " the local authority
will be added 10 the interest the Govern
ment will be required to pay, sna thus
the National Government will be com
PEELED to provide Tor t2XeS imposed by the
local authorities. Secondly, ipasmuch
As the ability 10 borrow may, under some
circumstances. be essential TO the preser-
vation Of the Government, the powers,
should not, even in time Of peace and
prosperity, be qualified by any concession
TO the States of the right 10 tax the means
bv which the National Government *
maintained. The right to use lawful pow
ers. free of any condition, restriction or
claim of another, Is am essential condi-
tiOn OfSOyereignty, and the National Gov
EFnIfletlL EL4Oul0 IlENtlF AallAlEl VI ~ AAlllN
its power in THIS particular. In GI.CTIng
the new loan, citizens and subjects of
other governments should receive the
strongest assurance thar tho interest and
principal is to be paid in coin, according
to the terms Of the bonds issued, without
any deduction or abatement whatsoever.
In order 10 avoid the necessity Of employ
ing an agent for negotiation Of the loan.
1 respectfully recommend that a liberal
IT a H.. ].
and that these who first subscribe be per
mitted toselect the class OF bonds in which
this subscription resDecUiEaly shall be
made / further recommend, in counec-
ton with the proposed loan, that the
banks established under the act to pro-
vide national currency be required to
substitute bonds that may be issued
July next, but rhat $500 900 at least
should be- suffered to remain either for
purchase OF redemption previous 10 1874.
Should the sum Of $50 coo be LEFT for
that purpose, the entire public debt would (
be in condition to be easily redeemed
between 1874 and 1881. The l0-4O bonds (
could be paid, and provision also made for |
the redemption Of bonds which will be- |
come due in he year 1881. II may be wise /
TO reduce the loan TO $1,000, 600 600, which I
would leave for payment previous to lsSl, /
the sum of about S670, 100000, or hardly /
more LLAdl -ENsUINrNDN "a y ttl4s 1ctf NAAAAi--
that the proposed loan viii be for an .
amount not exceeding 500, 900, I re- I
commend that il be offered in three classes I
Of $500 900 900 each. the first class Of $780, 1
BOO 600 10 be payable in fifteen years, and 4
10 be paid in twenty years; the second 4
slass OF Sf00. .u00, 600 10 be payable in twen- /
~ years. and 70 be paid in twenty-five |
years; the third class Of $40, ,0O0, 900, TO be I
1avabie in twenty-five years, and to be .
-r4 frfg Tho a=Gnr1Fae1
iition Of the new loan appears to me to 4
be these: first, that the principal and in
crest shall be made payable in coin; sec /
1nd, that the bonds KNOWN as five-twenty /
bonds shall be received ia exchange for
new bonds; third, that the principal be 4.
payable in this country, and interest I
lnder the proposed loan for those now .
deposited as security for the redemption |
If ftheir bills. Should any bank be un- 1
willing IS accept the new condition, pro- 1
vision should be made for the surrender /
)f its charter and authority given for the 1
of new banks to supply the /
deficiency thus created. An essential /
to the success Of the proposed /
new loan is the continuance Oftbe pres /
3nt revenue systematic chief means by 1
which the holders Of the $40 bonds can I
be induced to surrender them and receive /
a bond upon longer time and At lower |
rate of interest is the certainly furnished /
1y the magnitude of the national revenue I
hat these binds are soon to be redeemed. /
We must be prepared to offer them as an 4
alternative either Of accepting the bonds /
II a lower rate Ofinterest or the payment .
II the principal of the existing bonds. /
When the $40 bonds shall have /
been funded 10 the amount Of /
y 900, ,O0O, 900 or Sl.200,CO0, 600, the reve- |
lues can be reduced materially, and vet /
sufficient sums be raised TO meet the Ordi- 4
lary expenses Of the Government, pay .
he interest on the public debt, and also |
% pay g, 500, 0JO 30 S5O00,00 of the princi- /
lal annually. Should our success in ne 1
a loan be equal TO my eNpecta- 1
ion. based upon the fact that the ability ,
md disposition Of the people Of the United /
states are sufficient 90 justify us in assum-
ng bonds Of the United states, which 4
sill command the highest rate in the
markets Of the world. We shall then be
n a condition 10 enter on the work of
taxation at the commencement
Il the next session Of Congress.
On the 30lh Of June, 1868, the amount Of
three per cent. certificates
md compound interest notes, convertible
ntO three per cent. certificates, were
~ ,6O4 $50; on the Both Of June,
500, the amount outstanding was S54,-
Igl ,4l0, showing a reduction OF SiB,6l $50
y that form o. Indebtedness. On the lst
# December, 1863, the amount outstand
ng was still further reduced to $49, 10, ,l50,
showing a total reduction ina seventeen
months Of 81, SIS ,740. The three per cent.
are a substitute, TO a consider
ible extent, for the United States, being
argely held by the banks rs portion OF
reserve, and thus indirectly, though
lot TO their full nominal value. they
ywell the volume Of currency. ] recon-
mend that provision 6e made for the re-
iemptiOn OF the three per cent. oertifi-
,ates within a reasonable time, and as a
measure for the reduction
n the amount Of currency which would
nus be caused, that authority be given TO
rant charters for banks in the States
where the banking capital IS less than the
marc 10 which they would be entitled, to
.n amount not exceeding sS5, 100000 in
he aggregate.