Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1877-12-14
Secretary Sherman's Report.

-
with the usual detailed statement of receipts
and expenditures The receipts of the last
fiscal year were 1868 600, ,5s6 or S1S 4S1, ,452 less
than for the previous year, and the eXpendi-
lures 1898 600 decrease of SIS, ,4Sl, ,452,
including the deficiency of $2,003, SCI in the
naval appropriation. The receipts of the cur
rent fiscal year will reach 1886, 500, 600 and the
expenditures S232, 430, ,6f3 For the fiscal year
ending June 30, 1879, the revenue is estimated
at $269, go, 900 and the expenditures at $780,
SIS, 1856. Assuming that Congress will not in
crease the aggregate national taxation at
time when all industries are oppressed by the
weight of local taxation, the Secretary recon-
mends that the aggregate appropriations for
the fiscal year ending June 20, 1879, exclusive
of interest and sinking fund, should not ex-
ceed $40, 100000 This will require the appro-
priations to be reduced at least S1l 100000
below the estimates. Reduction in public eX-
penditures cannot be secured merely by re-
ductiOn of appropriations 1t must be accom-
panied by a careful revision of the laws which
fix the salary and number of employees; by a
reduction of the amount expended on public
works now in progress; by pOstponement of
all new works not Indispensable for the public
service, and by judicious scrutiny of disburse-
ments.
The Secretary relates at length the funding
operations, by which an annual reduction Of
interest on the public debt has been effected
as follows:
BY the sale of s1s5,OOOOOO 4li per cent.
By the sale Of a5O,O0OOCO per cent. : '.'O'., o
bonds. .--.-.-........'..........- lUUuuOO
Aggreeating. g................... &C.. ss.775,OO
The Secretary does not doubt that, if no
questions had arisen disturbing the public
credit, the per cent. bonds would be rapid
ly paid off by the proceeds of the per cent.
bonds, sold at par in coin or its equivalent.
The highest public credit can be secured only
by a constant observance of every public en-
gagement, construed according to its letter
and spirit. Thus far this course has been
faithfully pursued by the United States.
Without IL our ample resources and ability to
pay are OF no avail. At time when we are
enjoying such credit, and rapidly securing the
benefit of 1t by the reduction of the rate of in
terest from to per cent, it would seem to
be grievous error to raise question about
the coin in which the interest is payable.
Self-interest alone, without respect to pride
in public credit, would lead us to secure so
great benefit as would be the saving of one
third of the interest Of the public debt.
BY the reduction of interest on the public
debt now redeemable from to 4 per cent,
there would be a saving of SIS, 200 annual
| ly, and on the whole of the debt redeemable
by 1881 a saving of So, 205. Any measure
| that creates distrust or doubt will arrest this
process, and, 10y disabling the United States
from borrowing, will compel the continued
payment of the high rate of D per cent III,
therefore, the public interests demand the is
sue of silver dollars subject hereafter dis
! cussed-it is respectfully submitted to Con
| gress that an express exception be made re-
quiring that gold coin alone shall be paid for
| principal or interest ON bonds issued to public
| creditors since Feb. IL, 1873, the amount of
which is $3.50, 800, 200. Even as to bonds issued
| prior to that date, policy and interest require
us to pay them in coin then in circulation and
contemplated by both parties as the medium
| of payment.
| The Secretary next relates the operations OF
the Treasury under the Resumption act OF
| 1875 There have been issued TO National
Banks Sl6, l23,995 of circulating notes, and
there have been redeemed and cancelled Sl2,
| 500, 1876 OF United States notes, leaving $751;
$40, 2SS outstanding. Under the same act the
| Secretary has sold SIS, 100000 of Az and $25,
100000 of per cent. bonds at par in coin, us
ing S4,OO0,OOO for the redemption of notes, tn,
balance remaining in the Treasury Thes,
operations, aided greatly, ne doubt, by tn,
| favorable condition of our foreign commerce
have advanced the market value of United
States notes to 91sS per cent, or within nearly
| 2A per cent. Of coin. They have also con
clusively demonstrated the practicability o
| restoring United States notes to par in coli
by the time fixed by law, and that without
disturbing either domestic or foreign trade o
commerce. Every step has been accompanied
| with growing business, with the advance o.
public credit and the steady appreciation o.
| United States notes. The export of bullion hal
been arrested, and our domestic supply hai
| accumulated In the Treasury. The exporta
tion of other domestic products has beer
largely increased, with great advantage TO al
industries. The course adopted under the Re
sumption act, as herein set forth, If pursued
| will probably be followed with like favorable
results, and a sufficient fund for the mainte
nance of resumption will doubtless accumu
| late In the Treasury at or before the date fiXe,
by law. The provision for free. banking ha
aided this process by allaying imaginary fear
that would otherwise have been aroused b.
the Withdrawal OF United States notes. Tn
Secretary cannot too strongly urge the mainte
nance OF policy that win make good tn
promise contained in the United States note
when issued-a promise repeated In the ac
"to strengthen the public credit, approve,
March Is, 1859, aud made definite and efeetiy
by the Resumption act.
AS the amount Of bank circulation issue
may not be sufficient To effect the contem
plated reduction of legal-tender circulation