The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1875-02-12

CENTS for that wear were 1884, 900 600 but there
was a surplus of only 81, 81, SS2 over and above
the current expenses of the government. Last
December the Secretary of the Treasury esti-
maied the receipts and expenses for the fiscal
wear to be such that there would be a surplus
of SgOO0O0O to be applied to the sinking fund.-
but the actual receipts had fallen far short of
estimates for some causes not quite understood
by those who made hnances study. Inc re
ceipts from customs had fallen off $3,800,000 or
about 100000 a day. If that falling off con-
tinued during the year there would be deficit
of $35, 100000,
He made a statement of the comparative re-
ceipts and expenses OF the government since
1870 as follows. 1870 receipts $411. 100000; ex-
pendltures 100000, 900; 1871, receipts $685.
100000; expenditures 1904 900, 000j 1872, re-
ceipts 1874, 900, 600; expenditures $277 100000;
1873 receipts 1888 100000; expenditures $780,
OOO, 900; 1874 receipts S2S9,0OO,OOO; eXpendi-
lures 3S7 OO0O 600. The receipts for the first
seven mouths of the last fiscal year were $685.
600. 900. and for the correspo nding seven months
of this year $165,OOO,OOO, being falling off of
Mr.. Garfield of Ohio, inquired whether the
decrease had reached bottom, or whether the
receipts were still falling behind.
Mr.. Dawes replied that to the Goth of De-
cember the receipts camo very near the esti-
mates From that day to the first of January
they had fallen off very seriously For three
or four DAYS after that they had recuperated
yOpd the estimates Then they had begun to
fall back again, so that there had been a fall
inc off since the 10Th of December of from
$780, 900 to $4000,O0O. and yet the best state
ment that the Secretary of the Treasury could
make was in regard to the receipts. The re-
dn ctiou of expenditures was the work of Con-
gress The reduction OF receipts was the work
of those influences on trade and business over
which Congress did not assume to exercise the
control.
MIR. Butler of Massachusetts, asked Mr..
Dawes whether the falling off was in the GUS
toms revenue or internal revenue.
MIR, Dawes replied that the falling off in in
ternal revenue was much less than in the GUS
toms. The last report showed that the receipts
from internal revenue last year had gone be-
yond the estimates of the Treasury Depart
ment so that what evidence of internal pros
perity that fact supplied, the condition OF the
country was more gratifying than it otherwise
would have been.
He then proceeded to comment upon the
failure of the Treasury Department to comply
with the law requiring one per cent from GUS
toms to be applied to the sinking fund.-, so that
instead of $417 $685. 56 being applied to it,
there had been only $141, O00,0l2 paid into it.
Mr.. Niblack of Ind, inquired whether the
reduction of the public debt by the purchase of
bonds was not an equitable compliance with
the law.
Mr.. Dawes replied that the law as to the
sinking fund was explicit that every year SO
much should be paid, but that even the con-
struction of the law as suggested would not
relieve the government from Its obllgatlon 10
the sinking fund, because all the bonds pur-
chased, including those charged to the sinking
fund, amounted to only $685., 800 against
SAL, $50, 056 which thould have been applied to
the sinking fund,
MIR. Beck of KY, asked Mr. Dawes whether
he had official information to that effect. Mr..
Beck ntimated that besides the amount mem
toned by Mr.. Dawes there hal been over $500, :
900, 900 of the publictdept redeemed and can
celed in the shape of 7.30 bonds and per
cent. certificates
Dawes-I mean the reduction of the bonded
debt, the entire reduction OF which is 1851, 467,
087.
Mr.. Niback agreed with Mr. Dawes that the
purchase of bonds was no compliance with the
law as to the sinking fund, and that that law
had been ,persstantiy dlsregarded until this
time, and he asked what explanation Mr..
Dawes could give of that noncompliance with
the law.
He, himself, had been utterly astounded
when he had come to look into it and see how
the faith of the government had been indirectly
violated in matter which was regarded by
foreigners as essential to the public faith and
honor.
Mr.. Dawes stated that Secretary Boutwell,
had every year during his administration set
apart for the sinking fund every dollar the law
required Secretary Richardson had failed to
eminent to meet its current expenditures and
had called ON Congress to furnish him with
means to meet the demands for the sinking
fund. He went oa to say that whatever i'm
paired that sinking fund by one dollar impair
ed the faith OF the nation at home and abroad,
and the fact that the sinking fund lacked two
thirds of the amount which should have been
paid into it had told on the credit of the pa
ton and the value of its bonds in the markets
of the world in tho aggregate amount than was
70 ba raic I1pdor tho hill He did an
see where the expenditures could be cut down
substantially and therefore the question before
the House was show could the government
raise $50, 000,0 600 of increased revenue with the
least deleterions effect. If Congress had not
two or three years ago abolished the duty on
tea and coffee there would bo no necessity for
this measure
Mr.Cox of New York-Why didn't your com.
mittee report measure to restore that tax?
Dawes-That !would require another consid-
eraJlon. What would the government get by
restoring that tax? Since the first of Deem
Der, when it was suggested it in the Presidents
message that the duty should be restored, the
entire tea trading country had turned its atten-
ton TO the importation of tea and it is the
uniform testimony of all having knowledge of
the tariff that there is in the country to-day
more than years stock of tea. Therefore to
impose tax of fifteen cents a pound on tea
would be to put the money in the pockets of the
importers without any corresponding advap-
tage to the government.
Dawes went on to give statistics as to the
manufacture of whiskey and the stock on hand
in the distilleries and bonded warehouses, and
to defend and advocate the recommendations
of the Committee of Ways and Means in regard
! to the taxation of whskey. He then estimated
the increase of revenue which the government
would derive from the bill, as follows: Whs-
key, $16,S40,000; tobacco, $4,6O0,0OO; sugar,
SIS, 213, 900; restoration of the ten per cent. on
manufactured goods, $8,000,000; in all about
$37, 100000. From this was to be deducted
about 50, 100000 loss by the repeal of the tax
on Matches leaving net increase of S35, 437, =
600, which would just about meet the estimat-
ed requirements of the government
In conclusion he said: 1t remains therefore
for the House to say whether they will meet
this deficit IN the Treasury. Secondly, whether
it will meet it by seeking out new sources of
revenue as the Committee of Ways and Means
had recommended, or whether it will turn its
attention to some other method of meeting it.
The honor of the government is involved in
this question of the ability to meet its current
expenses as well as to keep its faith: 1t may
be that the Committee of Ways and Means has
not selected the best articles on which to i'm
pose this increased duty. 1t will be for the
House of course to pass upon that. If the
House makes up its mind to add to the revenue
of the country by means of increased taxation
the amount which the necessities of the gov
crnment require it only remains for the House
to decide, the Judgment and wisdom of the Sc
lection made by the Committee of Ways and
Means. To that declsion of the House the COM
mittee will offer no objection. If the House
shall believe restoration of the duty on tea
and coffee latter what appears to be the condi-
ton of that trade) will be wiser course than a
restoration of the 10 per cent. duty on manu-
featured goods, or than that of the addition of
80 cents gallon on whskey, or an increased
duty on imported sugar, it will be for the House
to take the responsibility, but l have to say
this, that any attempt at tariff legislation at
this time will be fatal to the object of the Com
mittee ON Ways aua Means, and to the purpose
which believe actuates Congress.
If you open the door to general legislation,
letting this item which bears upon another and
so on, you will load this bill so that it cannot
possibly become a law at this session of Con-
gress, and the party in power which is respon-
sible for the legislation of the country, which
is responsible for maintaining the public faith
with the public creditor, which is responsible
for the furnishing means to carry on the gov
eminent during the next two years by any such
unwise and indiscreet tamperng with this bill
will turn over the government in the hands of
those who are not responsible in that particu-
lar, and who will be without the means of pro-
viding for the obligation of the government. i
have to say to my political friends on this side
of the House that they need not expect from
those who do not feel the responsibility of meet
ing the public credit any support for this meas
IRE, Let the bill be modified as the House