Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1874-12-23
Improvement of the Ohio River.
Passage of the Caucus Financial
Bill by the Senate
The Secretary of the Navy Rough
ly Overhauled.
COlored Men of Alabama Laying
Their "TrOubles" Before
Grant and Congress.


the importance Of making an appropriation
for such improvement. Referred.
Mr. Lewis presented a memorial of the
clergymen in the District of Columbia,
asking that church property be exempt
from taxation. Referred.
Mr. Sherman moved that the Senate pro-
ceed to the consideration Of the bill to pro-
vide for the resumption ofspecie payments,
reported by the Finance Committee yester-
day.
After some discussion the motion was
agreed to by vote of 80 yeas to Is nays.
The bill was then read when the chair
(Mr. Ferry, of Michigan,) announced that
the morning hour had expired, and the Senate
would resume the consideration Of the un-
finished business, being the bill for the bet
ter government of the District of Colu1h-
bia, upon which the Senator from North
Carolina Mr.. Merrimon was entitled to
the floor.
Mr.. Merrimon then addressed the Senate
in opposition to the amendment of Mr..
Morton to provide for the election of COM
missioners by the people, instead Of having
them appointed by the President.
Mr.. Pratt submitted a resolution in
Structing the Committee ON Pensions to
inquire into the propriety of reporting a
bill placing on the pension roll, at the rate
of eight collars per month, the surviving
soldiers of the Indian war of 1911; also the
widows of such as are dead, who were mar
ried before the first day of January, 1925.
Agreed to.
Mr.. Sherman moved that the pending
bill to provide better government for the
District of Columbia, be laid aside and
that the Senate proceed to the considera-
ton Of the bill to provide for the resump-
tion Of specie payments. Agreed &c.
Mr.. Sherman said he did not intend to
reopen the debate on the financial topics of
the last session. The Senate was composed
of the same persons now and 1t was idle to
reopen it. 1t was now less than three
months from the time of adjournment, and
there was general feeling that Congress
should do something. He desired to say
to the Senate, that every word, every line
of this bill tended towards the announce
ment in the title. The bill might fall
short in many particulars, but it was one
which demanded reasonable concessions
from every Senator. He then explained
the various provisions of the bill, and
said the first section, providing for
the redemption of fractional currency
with coin met the apprayal of both the
Secretary of the Treasury and the Presi-
dent. The second section, which repealed
the law making a charge of the fifth of one
per cent. for converting standard gold bull
lion into coin, required sacrifice on the
part of the Government to the extent of
SS5,0 900 per annum, that being the amount
levied last year on those who brought gold
bullion to be made into coin. The third
section of the bill provided for free bank
ing. Under the present law banking is
virtually free in some of the Western and
Southern States, but in the great CONNER
clal centres of the country it was not free.
This free banking section, therefore, pro-
vided for the enlargement of the volume
of the currency in case the business
of the country demanded it. 1t
is also proposed to redeem
United States notes to the extent of 80 per
cent of the amount of new bank notes is
sued. The section did not propose either
the contraction or expansion of the cur
rency, leaving it to be governed by the bus
iness events of the community. The bill
also provided ample means to maintain
and provide for specie resumption, and no
Senator could doubt that if the bill became
a law, specie payments would be resumed
on the first of January, 1879. If efforts
should be made by Senators to engraft
other queotions on this bill, they world
lead to its defeat. He reviewed several
plans for specie resumption heretofore con-
sidered by the Senate, and said he had been
compelled to surrender his ideas in regard
to resumption.
Mr.. Schurz inquired if the so per cent.
of legal tenders redeemed were TO be re-
issued.
Mr.. Sherman said that would be a ques-
tion for consideration four yeas from now,
or as soon as the amount of legal tenders
had been reduced 10 $500, 100000. He did
not think anything should be said in this
bill as to whethe: that so per cent. should
be destroyed or reissued. No man knew
bow fast the new notes would be issued,
but their issue would undoubtedly revive
the business interests Of the country before
the arrival of The time when the legal ten
deTs would be reduced TO S3O0,000,OO0.
One or two Congresses wOuld have met
and disappeared, and he thought il much
better to leave the question Of destroying
or reissuing that money to the future.
Mr. Schurz-The Senator then admits
that the Secretary of the Treasury may re-
issue the so per cent again?
Mr.. Sherman-I do not make any such
admission.
Mr.. Schurz said Congress ought to make
the bill as clear as possible. The Senator
Mr.. Sherman) knew, from his own ex-
perience, that, if the least lOOphOle be left,
the Treasury might reissue thirty or forty
millions, as it did once before.
Mr.. Thurman said the first aud second
sections of the bill were all right, but the
third section he thought very weak. This
was bill of great deal of omission aud
the least possible commission. For year
past there had been free banking in many
portions of the country, and the conse-
quence was that the currency had in
creased about one and half million dol
lars. Pass this bill, and he ventured the
assertion that the increase of national bank
currency, in the next four years,
would not be over ten millions, and
the retirement of greenbacks not over
eight millions. The panic upon the cOun-
try was the result of over trading and ex-
travagance, until at last the bubble burst,
and then came season of retrenchment
and economy. In the history OF this coun-
try it was shown that the business OF the
country never revived in less period than
four years after a panic. Nothing but
time, honesty and economy, would set bus
inesS in motion and make the country
prosperous. 1t could not be done by tink-
ering. or by bills which omitted everything
and contained nothing. He offered an
amendment: as an additional section, that
from and after June 80, 1875, One-twen-
firth part of the customs duties shall be
payable in United States legal tender notes,
or in national bank notes; after June 80,
1876, one-tenth, and after June 80, 1877,
one-fifth part thereof may be thus paid.
Mr.. Bogy moved to amend by striking
out all after the word "that" in the first
line, and inserting in lieu thereof provisO
that on az d after July /, 1875, duties on
imports may be paid in legal tender notes
or coin at the option of the importer.
Mr.. Bayard inquired of the chairman of
the Finance Committee (Mr. Sherman) if
be would object to inserting the word ''de-
stroy" after the word ''redeem," in the third
section, so it would read, "It shall be the
duty of the Secretary of the Treasury to
redeem and destroy all legal tender United
States notes in excess only of $500, O, 600"
etc.
Mr.. Sherman said he had stated before,
that in his opinion, that question should be
left to the future, and be could not consent
to the amendment.
Mr.. Bayard said the honorable Senator
(Mr. Sherman) had betrayed here both his
embarrassment and his displeasure, when
such questions were asked. Mr.. Bayard