The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1870-12-06

a
capital are diverted from the extreme portions OF
the country TO the commercial and financial cen
tres to the injury OF business generally.
The province of a bank is to lend money, and its
proper duty is by loans and discounts, to facilitate
and develope business in the neighbOrhood of its
location As a matter of fact, under the present
system, banks are agencies by which capital is
gathered in and sent away to distant cities, there
TO be loaned on call and used for speculative pur
poses. Complaints are made from all parts OF the
country that the bills OF the national banks are
worn and defaced to such an extent as to be no
longer fit for circulation.
AS many new banks are soon to be organized
under the law OF the last session OF Congress, re-
Spectfuly recommend that an appropriation be
made and authority given for the issue OF new
bills, upon such paper and in such form as may be
designated by the Secretary of the Treasury. The
Controller Of the Currency, in his report for
1862 recommended the establishment of an agency
in the city of New York under the control of the
national banks for the redemption OF their issues.
The substance of this recommendation seems to
me not only proper but necessary. The expense
should be borne by the banks. Coupled with these
recommendations, take this occasion to say that
the banking system of the country appears to be
we'll managed, and to answer reasonably the pur-
poses for which it was established.
1t is no doubt true that Treasury notes represent
ing an equal amount OF the public debt, without
interest, are the most economical circulatiOns for
the government But it should be considered that
the banking institutions OF the country are agen
cies by which business is established and fostered
Upon the whole, the system of banking should be
extended only for the purpose OF meeting the de
mands OF business; but when the demands are ur-
gent the concession should be made upon the
ground that the prosperity of business Is more
important than the mere saving of interest arising
from the circulation of Treasury notes.
z Excluding re-deposits, the amount OF gold and
silver deposited at the Mint and its several
branches during the last fiscal year was $50, ,40S
7S8 To- The coinage for the year S24,6360l1
The value of gold and silver bars stamped was
SS,74SS52'9l. l respectfully ask the attention Of
Congress to the bill prepared in this department
companying report relative TO the mnts and the
coinage system of the country.
The bill was prepared with care, and it has since
been submitted to the criticism of large number
OF practical and scientific men, whose views nave
been published by authority OF Congress During
the year the several branch mints and assay Offices
| have been visited and examined by Mr.. Knox and
| DR.. Lin6erman. The assay Office at Boise City,
Idaho, is nearly completed, and it will require
| small appropriation for the commencement OF
! business. Provisions should be made for the re-
demption OF the bronze and other tokens issued by
! the government. The report of the Commissioner
Of Mining statistics for the year 1869 has been
printed since the close OF the session i'll July last,
| an that for the year 1870 will be made during the
! winter. The continuance of the work appears to
! be matter of national Importance.
The proportion of American vessels engaged in
| foreign trade has not increased relatively during
the year, although there has been an actual in
! crease I'm the entries Of American vessels at the
! ports of Oh. United States amounting i'll the ag
| gregate TO about 100000 tons. The total tonnage
ports of the United States has increased from
55S3OO0 tons in 1869 to 5,957O00 tons in 1870. But
! the proportion of American tonnage remains as in
! 1869 at thirtysiX per cent. Without undertaking
! to specify the means by which it is to be accom-
legislation as will secure the revival of American
commerce.
The report of the Light House Board sets forth
in detail the difficulties which have arisen in that
branch of the public service from the operation of
the fifth section of the act of July r. 1870, making
appropriations for the legislative and executive
expenses of the government for the year ending
June 80. 1871 The legislation asked for by the
| board seems to me to be necessary.
The report of the superintendent of the Coast
| Survey gives brief but satisfactory statement of
the progress made during the last surveying year.
On the first day of October last regulations were
issued concerning the transportation of merchan-
disc from the ports of importation to certain other
| ports in the United States without appraiSement
| or liquidation of the duties at the port of arrival,
agreeaby to the provisions of an act entitled, an
act to reduce internal taxes and for other purposes
approved July IA, 1870.
A copy of tie regulations will be transmitted to
Congress. In the nature OF the case the regula-
tions are stringent, but when the railway cOmpa-
nieS shall have given the bonds required, and the
importing merchants of the interior cities shall
have made arrangements for the importation of
goods upon the basis Of the act, am satisfied that
no serious difficulties will arise either TO the rail-
ways, the merchants or the government.
Without doubt the act increases the opportunity
for the introduction Of foreign goods into the
try in violation of the revenue laws but the eXami-
nation which have given to the subject in the
preparation of the regulations, leads me to think
that the business can be safely conducted.
The appropriation for the expenses Of collecting
the customs revenue, under the act approved May
3 1866, is at the rate of Si2OOQ0O annually, in ad
dition TO such sums as may be Received from fines,
penalties forfeiture, and from storage carriage,
drayage and labor: Experience has shown that
this amount is insufficient, and q deficiency appro-
priaton will be needed at each session OF Congress
until the permanent appropriation is increased.
have instituted careful supervision III the Irea
sury Department over this branch of expenditure
and agents are employed in investigating the eX.
penses of the custom houses of the county for the
purpose of ascerainng whether a reduction OF the
number of employees or OF salaries is practicable
BY this means some saving Will be effected, but
it Will even then be impossible to reduce the ex
penseS within the appropriation. From 1858 tC
1866 the permanent appropriation was at the rate
OF S3,6I0OOO per annuin in addition to the receipts
before enumerated, as applicable TO this branch OF
the service. From 1856 TO 1860 inclusive, the tota
receipts from customs were about S272,0JO,000, and
the expenses of collection were sl5,S79,000, or al
the rate OF more than five and One-half per cent
The receipts for tie year ending June so, 1870
were Sl94,59S A, aud the expenses S59l2 1885
or not exceeding three and one-half per cent
From 1888 to 1850 the revenue collected did not
exceed an average of S50,000,000 year. And the
temptation to smuggling and fraud was much less
under low system Of duties than it is at the pre-
At the principal importing cities of the country
1t is necessary to employ large force for the pro
! lection OF the WharyeS and water lines within OF
near to such cities. 1t is also necessary to guard
against smuggling by the presence often of seyera
officers upon and around the steamers and Other
vessels importing large quantities of goods, while
engaged in discharging their carg0es 1t is alsC
apparent that the extensive line of coast on Tho
Atlantic and Pacific Oceans and the Gulf o.
Mexico, everywhere furnishing opportunities fol
the introduction OF goods in violation of the TeVe
nue. laws, requires the presence OF large number
OF skiful ana trustworthy persons
The acquisition OF Alaska, the establishment O
interior ports Of entry, the accommodation o
business by railways and steamers on the north
ern frontier, add materially to the expenses o
collecting aud guarding the revenue. | therefore
respectfully recommend the increase OF the per
manent appropriation for collecting the revenue
from customs to the sum of 81 100000 for each hal
year from and after the Both day OF June, 1870
|, AT several of the important ports there are wv,
| appraisers whose powers are equal. recommend
such an alteration OF the law as will provide TO
one principal appraiser at each port who shall b
responsible Tor the business OF the Office Th
Treasury Department has the care OF one hundret
| and ten public buildings that are completed, ant
of seventeen more that are in the course of erec
i "A "A hnH aOZ IN Ia Dt Iii la