Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1875-01-15
ANOTHER MESSAGE.
Grant Assigns Reasons for Ap-
proving the Senate Fi-
nance Bill.
Various SuggestiOns--COhee and
Tea Ought to be Taxed.


sent to the Senate to-day the following
message accompanying his approval Of the
new finance bill:
To the Senate Of the United States:
Senate bill No. 1914 70 provide for the re-
sumption Of specie payments, is before me.
and this day receives my signature Of ap-
prOVal. venture upon this unusual
method Of conveying notice Of my approval
10 the house in which the measure orig
mated, because Of its great importance to
the country at lsrge, in order to suggest
further legislation, which seems to me es-
sential 70 make this law efectual. It is a
subject Of congratulatIon that a measure
has become a law which fixes the date
when specie resumption shall commence,
and implies an obligation on the part Of
Congress, if in its power, to give such
legislation as may prove Necessary to re-
deem this promise. To this ED respect
fully call your attention 70 a few suEges-
tions:
l. The necessity for increased revenue to
carry out tie obligation Of adding to the
sinking fund annually one per cent The
interest on the public debt amounts now
to S}4 100000 per annu1n, and to carry out
the promises of this measure to redeem
under certain contingencies SS0,0O0,G00 Of
the present legal tenders, and without con-
tracing the national currency now in cir
culatiOn How to increase the surplus rev.
enue is for Congress to devise. But I viii
venture 90 suggest that the duty on tea and
coffee might Be restored, without perma-
nently enhancing the cost to consumers, and
that ten per cent. reduction Of the tariff on
articles specified in the lawOf June, 1872, be
repealed Thesupply oftea and coffee already
on hand in the United States, would, IN all
probability, be advanced in price by adopt
ing this measure, but 1t is known that the
adoption Of free entry to these articles Of
necessity did not cheaper materially, or en-
hance the profits Of the country producing
them, or Of middlemen Of those countries
who have the exclusive trade in them.
2. The first section Of the bill now
under consideration, provides that the
fractional currency shall be redeemed in
silver coin as rapidly as practicable. There
is no provision preventing the fuc.uation
in the value OF paper currency, or the gold
premium advancing over ten per cent.
above the currency in use. It is probable,
almost certain, that silver wOuld be bought
up for expectation as fast as il was put out,
until change would become so scarce
as 20 make the premium on it
equal to the premium on gold, or sufficient
y high TO make it no longer profitable 70
buy for export, thereby causing a direct
loss 10 the cunmunity at large, and great
embarrassment TO trade. As the present
law commands final resumption on the first
Of January, 1873, and as the gold receipts
by the treasury are larger than the gold
payments, and the currency receipts
than currency payments, thereby
making monthly sales Of gold necessary
to meet current currency expenses, it Oc-
ours to me that these difficulties might be
remedied BY authorizing the Secretary Of
the Treasury to redeem legal tender notes
whenever presented in sums Of not less
than 500 and multiples thereof, at the
premium for gold Of ten per cent, less in
terest, at the rate Of q per cent. per an
mum, from the 1st Of January, 1875, to the
date Of putting this law into operation, and
diminishing this premium al the same
raie until final result; changing
the rate Of premium demanded from time
TO time, as the interes' amounts 70 one
quarter Of one Per cent. / suggest this I
rate Of interest, because il would bring chr
reucy az par with gold az the date fixed by
the law for the final resumption. / sug-
gest ten per cent. as the premium a. The
beginning, because believe this rate would /
secure the retention Of silver IN the conn
Try for change. The provisions Of the third
section Of the act VIII prevent coInbina-
tons being made 70 exhaust the Treasury
Of coin. With such alaw, it is presumable /
that no gold would be called for not re-
qUired for legitimate business pur-
poses. Whens large amounts of coin
should be drawn from the Treasury,
large amounts Of cur
rency would be withdrawn from circula-
tiOn, thus causing sufficient strinCency in
currency 70 stop the outflow Of coin, and
the advantages of currency, of fixed known
value, would also be reached. In my Opin-
ion, bv the enactment Of such law, busi- !
ness and the industries would revive, and !
and the beginning Of prosperity, on a firm /
basis, would be reached. Other means of |
increasing the revenue, than those suggest |
ed, should probably be devised, and also |
lther legislation, in fact, to carry ont the |
irst section of the act. Another mint be- |
comes a necessity. With the present facili- |
ties for coinage, it would take a period be-
yOnd that fixed by law for final specie re-
10 coin silver necessary to trans
lct the business Of the country. There |
,re now smelling furnaces for ex-
racting silver and gold from ores
brought from the mountain territories into
Chicago, st. Louis and Omaha, three in
he former city, and as much of the change
'equired will be wanted in the Mississippi
Valley States, and as metals y be coined
,Omes from west Of those States, and as
understood the charges for transportation
# bullion from either Of the cities named
o the mint at Philadelphia or New York
City, amount to four dollars for each one
hOusand dollars worth, with an equal OK
)ense for transportation back, it would
eem a fair argument in favor Of adopting
me or more Of these cities as a place or
,laces for the establishment Of new coin
Ige facilities. have sentured upon this
ubject with great difiidence, because II is
Unusual to approve a measure, as l do this,
{ 10 further legislation is attainable at
his time, and 10 announce the fact BY mes
age. But do so because 1 feel that it is
subject Of such vital importance to the
Whole country, that it should receive the
.ttentiOn Of and be discussed by Congress
md the people, through the press and in
very way, to the end that the best and
most satisfactory course may be reached, Of
xecuting what / deem mOst beneficial
egislatiOn on a most vital question, % the
interests and prosperity Of the nation.
L. S. GEAyT,
Executive Mansion, Jan. IA, 1875.