The Portland daily press., 1877-05-03
The Selling of Postage Stamps.
What the Government has Lost through
the Present Defective System.

The old complaints against postmasters at
the iourth-class post offices have been revived,
anu nave been called to the attention of the
PRESIDENT with view to urging upon Congress
Inc necessity of an immediate change in the
OASIS OF adjusting the salaries of this class of
omcers. Previous to the act Of June %, 1874,
which went into effect on July of the same
year, the salaries of these offices were regulated
oy the amount of stamps cancelled. Under
that act, and subsequent one Of date July y,
1876, commissions have been allowed on reye-
nues, which are realized almost exclusively
from the sale of stamps. The postmasters at
the offices thus compensated are allowed Ger.
tain percentage, and to what an extent and
cost may be judged by the fact that the sales at
an ONCE must exceed twelve hundred dollars
before the commissions fall below fifty per cent.
A list of fifty offices at which the aggregate
compensation for the two years previous to the
change was twelve thousand dollars shows that
for the two years following the passage of the
law the sum total was increased to sixty-fve
thousand dollars: A statement has also been
prepared at the Post Office Department which
shows that since the passage of the act of 1874
the Government has been the loser of upwards
OF two million dollars. Attempts have been
made to return to the old system, but Congress
has declined to make the change. The Post
once authorities say that the old plan was
the more equitable for the reason that the
stamps cancelled in post Office represent the
amount of labor performed in handling matter
Ior mailing, while the sale of stamps is 30 test
OF work required of the postmaster. Upder
that plan postmasters were required to render
sworn statements of the amount of stamps
cancelled from a fixed period, and the sales
OF stamps shown in the quarterly accounts
current operated as a check upon these state
mantg. Undar a laUitimafa of 1o;o
business there must ordinarily be somewhat
of q correspondence between the amount of
stamps sold and those cancelled. Under the
present system they state that there IS nothing
in . postmaster's returns to detect improper
sales. Stamps can be furnished to him to the
extent justified by his tond, and all that is re-
CURED of him is to account for the proceeds. {
de is not obliged to state under oath, or other
Wise, IN what manner, or to whom, he disposed
OF them. Practically he has only the fear of
removal upon a chance discovery to prevent
him from drawing them from the country, seek
ing purchasers and offering such liberal dis
counts as his own large commissions will
afford. 1t is believed, were the commissions
uniform throughout, the matter would regulate
itself, one postmaster's gain being another's
loss; but, graded as they are upon a SCALE and
stopping at fixed point, the Government is a
loser whenever stamps are sold by the postmas-
ter OF small Office within the delivery of a
larger one. 1t has been discovered also that
rural postmasters, as a class, take the lead
in. getting up subscription clubs and by
using stamps for payment, they being largely
used as mudiums of exchange in payment
OF small sums, have the double advantage
OF getting. commission from the publisher
and one from the Government. The pub
fishers often get an excess of stamps neces-
Sary to meet their own necessities and fire.
quently ask the Government to redeem the sur
plus, when there is another loss. 1t has been
found, also, that gentlemen engaged in business
in Philadelphia or New York or any of the
great cities have their country seats along the
line OF travel, where they reside throughout
the entire year, or during portion of it. These
gentlemen, anxious to do good turn for a
neighbor, purchase their stamps from the
country postmasters for use in the city, while
the letters upon which they are used are mailed
at the city Office. Large corporations also pur-
chase stamps from the country offices at dis.
count thus contributing to their own revenues
at a loss to the government. Travelling COM
mercial agents also realize a handsome profit
by purchasing stamps at a large discount from
country postmasters, perhaps in exchange for
goods, and selling them in the cities at small
or discount The fact that the government has
lost upwards kof two millions of dollars by
this method in less than three years is a very
sure evidence of the extent to which this de-
fective system is made a source of profit In
addition to the pecuniary loss it has also been
found that the system has demoralizing in
fiuence upon the service generally. Immed-
ate dsmissals of postmasters detected 10 these
practices have taken place, but there is ad-
United to be injustice in this even. The pur-
chasers say that the government has no right
to dictate where they shall purchase their
stamps, and any postmaster refusing to sell
stamps when called for, and in any amount,
could be reported This view of the case is
admitted at the department. and an effort will
be made to return to the old system.