The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-02-13
NATIONAL FINANCES.


Mr.. Dawes Exposure or tho Present Com
dition Of the Treasury-Dwindiing
Down OF the balance OF Cash ON
Hand-What Shall BE tho Prevent
i've or Bankruptcy !-Nothing Practi-
cable hut Ketrenchmcnt-Abolit OF
Improbable Custom Houses Proposed.
WASHINGTON, Feb. II, 1874.
The House to-day discussed some measures OF
minor Importance, a few of which were passed,
and then went into Committee OF the Whole, Mr..
Wilson trep), OF Iowa, in the chair, on the bill to
repeal the stamp duty or tax on matches.
THE GOVERNMENTS FINANCIAL QUANDARY.
MIR. DAVIS, (repJ OF Mass. chairman of the
Ways and Means Committee, proceeded to address
the House. He said that he proposed to discuss
the pending bill and the other bill the calendar
the one repeating check stamps, together; and
that their discussion involved that OF the cOnd
tion OF the Treasury he should be obliged to pre-
sent to the House the actual condition OF the
Treasury to-day. He should indulge in figures, not
OF rhetoric, but in official figures. The tax on
matches and on bank checks had yielded to the
Treasury last year 81, 100, oo0-that on matches
g. 900, and that bank checks $1,000 900. The
| Commissioner OF Internal Revenue estimated that
the repeal Of the tax bank checks would require
| refund Of nearly half o million to those
now holding the stamps unused and at least o like
| sum to those holding unused stamps on friction
| matches, so that the question Of the repeal in
voved the depletion oil the Treasury to the amount
of $6,1oo,ooo If the Treasury was In such con-
dlti0n to justify that RELIEF to the Industry OF
! the manufacture of matches and the abolition Of
stamps on papk checks 1t was exceedingly desir.
able that TINS should be done. 1t was, Therefore,
the duty OF the Committee OF Ways ana Means,
which was unanimous IN the report that these
bills should not pass, 10 present TO the House the
condltlon q the treasury 50 that the House could
ported that he had On La nd At the comnencement
the sen ns aas Ss cali against Ss uss
states and naole at any MOI, moment to be drawn,
for REDEMPTION or certificates OF deposit $751;
7so 600; and com deposited Tor coin certincates,
the government with which to meet its current
expenses on the lss Of last July were, therefore,
cash on hand on the LIST Of July, 1873 the COM
mencement Of the fiscal year; ana available Tor
from tine LIST Of July 1873, to the LIST Of February.
Were s9s nve The last ass Of
celpts for the remaining five months or the
year were s1l6. 100000; making the tora available
draw during the current fiscal Year $751;
The following sums mad been expended during the
fiscal year:-On account OF the Sinking Fund,
sI2,9Se, 45O; on account OF appropriations rom
July l, 1873, to February J. 1874 $l77,174.5S5. The
Of a Of %
s15S, 1851, $751; The interest on the public debt S
IS s'assdel a. Account r interest aae and
pendltures on account OF sundry, indefinite
and permanent appropriations are $6,s250OO,
making, VITA some additional figures, which were
not clearly understood by the reporter total OF
expenditures including all of the outstanding ap-
preparations for whlca the government is to-day
liable $685. $50, against available resources Of
SAL, $50, Dol; so that II the government should be
of the year deficit OF $50, o6a 40.
ACTUAL CONDITION OF THE TREASURY.
| pnf NOT 0ft ha
Treasury fairy-ony Its actual condition on paper.
or the appropriations that had been made and that
we're still unpaid, and Ior which the Treasury was
liable, there were many which there was proba-
bility the Treasury would be called upon to respond
Of permanent appropriations which, although
made over two years Since had not been covered
item Of two and half millions Tor the pay OF the
army in 1872. There might be here ana there
unpaid claim under that It. head, but substantially
was also an item Of over twelve millions for the
pay OF two and three. year volunteers in 1871,
and another item OF million and q half for bounty
for that year, and another item or nearly nine and
half millions Tor pensions for ISL and there was
but little probability that the Treasury would be
called upon Tor any considerable proportion
OF these sums careful revision OF
all these outstanding appropriations for past
to be ST. 034. Taking this sum into considera-
ton and assuming that tne Treasury would not be
Treasury at the close OF the current fiscal year the
sum OF 500 3O2,3s5. This sum excluded the Sinking
! Fund-tnat Ia, the government would meet every
actual liability and every estimated liability which
he has referred to, and would also provide for the
over $4,000 900 at the end OF the fiscal year. The
Treasury had had 10000, 900 at the beginning of
to to- restore the Treasury to as good Condition as
1t had been in at the beginning OF the year, to
provide TOR sSs,eS7,sl4; But that condition
fact for against that twenty odd millions
were to be drawn all the deficiencies that had
| arisen during the year. There has been as yet no
preparations except the Navy Deficiency = BIZ biR
account he had gwen. But the ordinary defcien-
cies were sometimes quite large SO far as they
item OF twenty ODD millions. He understood
there would be $l,ooo,ooo OF deficiency in the
as ne At sa the
! known the deficiency bills at any session to
amount to less than So, ooo, ooo and he had known
! them to go up as high as $13 000, 900.
| UNAUTHORIZED EXPENDITURES IN THE DISTRICT OF
| COLUMBIA.
| He had left out OF his estimate OF deficiencies the
claims made by the District OF Columbia for expen-
ditures made in the District, and varying some
stn January, 1873 Congress had prohibited the
Board OF Public Works from mourning or contract
in tbe or srees s ae
reservations, and from entering into any contract
touching such improvements on behalf or the
hibition, however, Congress was confronted with a
claim that had occurred since the passage Of that
act OF from s3,o0o,o00 to $4,000 He did noS
care to discuss the propriety or legality Of that
claim or how the money had been expended; but
OF that statute the treasury Department could not
Of Pubic WORKS for Which the treasury Would be-
liable: II, however this sum should be paid out 1t
would add to the deficiencies, say g. OOO which
would require $7,600,000 to be deducted from the
twenty odd million dollars. There were variety
OF claims which would also come In to swell the
deficiencies. The claims from the Mixed Commits
sion would be over 81, 100000.
Mr. HALE, (repJ Of N. Y.-rwo millions.
MT DAwEs-That would raise the deficiency up
70 600 which would leave but 81, 900 900 odd
year. Although the Treasury had started at
the beginning OF the year with 1000
IL was very evident that 1t was not
safe for the Treasury OF the United States to be
duced 80 low rs $4,000, 900 to meet such demands
as might be made upon 1t and to meet such sudden
emergenciss a. mi0ht sriae IN The absence Of Con-