The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-12-04
SIIERMAN'S REPORT.
Operations of The Treasury During
the Past Year.
Governmental Expenditures and Re-
ceipts Estimates for Next Year
The National Banks Recon-
mendationH Relative to
the Resumption
Fund.

revenues from all sources for tho fiscal year
ending June 30 were 1913 27,ts+ ~. The
ordinary expenditures for the same period
were 1896, a4f ,gsg 81, leaving surplus revenue
or sg. pTp. 300 pa The amount duo the sinking
fund for the year waa a96, ai5.G Goa ~. leaving a
deficiency Of this amount 81 SW,076,3O9 70.
After applying the balance ot the special
four and Il milf per cont United States notes
held In tho treasury inT tho redemption Of
fractional currency, amounting 10 $3.50 pa,
60 the payment of arrears of penRona, ma al
rected IN section ! Of the act approved June
a. 1879, the Increased revenue derived dur
Ing the months If July, August md Sep
temhpr of the present year. wha fully ah-
sorhed by current expenses, and tho pay
ment Of Si6,3fa GO arrears Of penstone, ac-
Cring under The Act approved january 20.
1870 Notwithstanding the unusual domandH,
the department has been able topufrhaao and
apply IL the sinking fund, ont ~ fhn snrplus
revenues for the month of October. Ntn,050000
q nor cent bnnda 81 1881. and tGiGn5n In per
cent honda isalnd under Tho net 1T March T.
1864 Tho latter In tho exross Of redemption.
OF these bonds over lssuea Of per cents undof
the refunding acts, and, unless unexpected
nppropriptlpna available for Expenditure with
II, this year are made by Congress. the sur
plus revenues. In addition TO paving off the
balance or arrears Of pensions, viii probably
enahle the department tn apply To- tho sinking
fund account during tho Year tho sum 81
42000001o
ending June 10, Iss1 Estimated upon existing
laws. will he S2ss0nnAnn The estimates Of
expenditures for the same period, received
from tho several executive departments. arn
S9Ts 0g7, a8A 10. or an estimated surplus Of
So an2. H35 o.
Excluding the sinking fund. tho ostinated
expenditures will he &2Ia 800 t55 81 allowing
n surplus Of 81. fAn. SCI ~. The Estimated
expenditures are based upon the requirements
or existing law and the necessary apprpptia-
fpT a.
ton. The estimated surplua " $4,000 Gas 81
will probably be exhausted Ivy additional ap-
preparations.
SHOULD CONGRESS- INCREASE THE Afro
FRIAfIoNs
beyond this limit or repeater reduce eslstng
taxes other Rourpua VI revenue must An pro-
vidad. Should this course In determined
upon, which. however. tho Secretary does not
recommend. hn would auggeEt as II niaans Of
meeting the deficiency the restoration of
moderate duty on tea and eofI,@. aud the
ievyng OF an internal tax upon manufactures
OF opium, 40 hereinafter moro fully atatod.
With view tn promote economy. the Sarre-
tnry ventures 20 suggest Tor the considera-
tion OF both houses permanent organization
of an appropriations committee Tor each
house, who shall have leave to sit during the
recess. with power tp snnd FOR persons and
papers, and to examine nj expenditures Of tho
government. that rules hn adopted In the H.
spactive houses limiting appropriation bills
70 Items or appropriation. aud excluding
legislative provisions; that all appropria-
tlans. except for tho interest Of the
PUBLIC pEpr, pE LIMITED
30 n period not exceeding two yenra and that
their expenditure br strictly confined to tho
period Of time for which they aro approprla-
ted and that all permanent aud indefinite ap-
preparations made more than four years ago.
except that for The public debt, DO repealed.
Az the date Of my annual report. Deecm-
her 2. 1879. tho preparation for the resump-
tion uf specie payments provided for by tho
act approved January II, 1875, had been sub
Htantially completed. On the first day or
January, 1872, the day fixed for tho resump-
tion OF specie payments, the reserve Of coin
over and above all maturod liabilities was
Sts9. SOS. SO4 30. Previous 10 that time. In
view of resumption, United States notes and
coin were freely received and paid In private
business "a equivalents Actual resumption
commenced Mt tho time fixed by law, without
any material demand for coin and without
disturbance to public or private business
The reserve fund created by tho reRnmp
tion act could not, without further logiala-
tion, be applied to the payment Of current
approximations. nor II II To be presumed that
Congress will omit to provide ample revenues
10 meet aueh appropriations. Therefore,
under existing laws the notes received Into
the treasury In exchange for coin will always
he available for the purchase of or exchange
for coin or bullion Any United States notes
In the treasury may be exchanged for coin
under tho authority of section 500 of the Re
yiaed Statutes. When notea cannot he used
NJ par for that purpose they must necessarily
remain IN the treasury. To avoid all nnoer-
tainty. II II respectfully recommended that
by law thn resumption fund he specifically
defined and set apart for the redemption of
United States notes. and that the notes re-
deemed shalt only he issued III exchange for
or the purchase w coin or bullion
A NATIONAL rANKtNG sysrrM
The report ot the Controller of the Cur
rency gives complete statsties relative t. tho
lNstEtb
tion u tile present tme. sIhe number ot
banks in operation October IF tho prraeut
year. the iatn Of their last reports, was 2Als.
and the aggregate capital S454a6t. 26a. SUR
pluR, SIl4 ttb, 51S. individual deposits $i1A.-
f31 56n, specie. including Uuited States coin
Certtticatea, So. l73 73l 90. legal tender notes.
Including liuitea States certificates Saa.af3.-
A46. ms loans, $s2R,ot3, ter. Tic total rircna-
tion outstanding on November was $33i.-
Ill AIS. Among tho subjects discussed III the
report are the relations which have existed
between the national banks and the govern
ment IN fhe resumption OF specie payments.
and in the funding of the public dobt. In both
OF these important financial operations the
cooperation OF the national banks has been
of essential service "a the government.
CUSTOMS COLLECTIONS
The disbursements for collecting the revc-
nue. from customs Ter EXPENSES incurred
within the following fiscal years have been Ms
follows 1877, ST. 500 25a III. 1875 -, sat hSi S2.
Hs7a, s., 4S5. 80 a.. This shows reduction
for 1878 oyer ISL If SIS, W. W. and redue-
ton for 1879 over lSts OF Si0,oQs 20.
A marked Improvement has also occurred
during the past year in the collection Of the
revenue from customs The revenue, under
tho ai HHtnrCm AyStom. has fallen short Of
the amount which should have been collected
upon Il proper assessment or thG real foreign
market value This was duo 10 a system of
INTERPRETATIONS In the entries Of the custom
houses, especially upon bonds consigned by
foreign manufacturers ~ agents in the