The Somerset press. [volume] (Somerset, Ohio) 1873-1977, 1879-12-11
REPORT OF THE SECRETARY OF
THE TREASURY.

The Secretary, after Introductory remarks,
says: The amount due the sinking fund for the
year was $36, 1855 ,604 .63, leaving deficiency
ing the balance of the special deposit of United
States notes held in the Treasury for redemption
of the fractional currency, amounting to $S,-
375, 1874, to the payment of arrears of pensions,
as directed in section 8 of the act approved
june 81, 1879, the increased revenue derived
during the months of July, August, and Sep
tember, of the present fiscal year, was fully
absorbed by current expenses, and the pay
ment Of 81 1897 400 of arrears Of pensions ac-
cruing under the act approved January 25,
1879. Notwithstanding the unusual demands
the department has been able to purchase and
APPLY TO THE SINKING FUND,
out of tho surplus revenues of the month Of
October, SIC, ,050 ,00t per cent. bonds of 1881 /,
and 1915 ,050 in per cent. bonds, issued under
the act of March 3, 1864. The latter is the ex-
cess of redemption of these bonds, over-ssues of
the 4 per cents. under the refunding acts, and
unless unexpected appropriations, available for
expenditure within this year, are made by
Congress, the surplus revenues, in addition to
paying off the balance of arrears of pensions,
will probably enable the department to apply
to the sinking fund account during the year the
sum of $2o, 100000. The revenues of the fiscal
year ending june 80, 1881, estimated upon ex-
isting laws, will be s2SS,000, 900. The esti-
mates of expenditures for the same period re-
eeived from the several executive departments
are $27S, ,097 ,364.39, or an estimated surplus Of
$9,902 1851.
Excluding the sinking fund, the estimated
expenditures will be $23S, ,269, i 1867, showing
surplus of SAG, ,736, ,S61. .33. The estimated ex-
penditures are based upon the requirements Of
the existing law, and the necessary appropria-
tion for the public works in course of construc-
ton. The estimated surplus of $9, ,902, ,635.61
will probably be exhausted by additional ap-
preparations. Should Congress increase the
appropriations beyond the limit, OF repeal OF
reduce existing taxes, other sources of revenue
must be provided. Should this course be deter
mined upon-which, however, the Secretary
does not recommend he would suggest, as 4
means of meeting the deficiency, the restora-
60n Of .
MODERATE DUTY on TEA AND coTYE1,
and the levying of an internal tax upon manu-
factnres of opium, as hereinafter more fully
stated. With q view to promote economy, the
Secretary ventures to suggest for the consider
tion of the respective houses, q permanent or
ganization Of an Appropriation Committee 70,
each house, who shall have leave to sit during
the recess, with power to send for persons and
papers, and to examine all expenditures of the
government; that rules be adopted by the re-
spective houses limiting appropriation bills tc
items of appropriation. and excluding legisla-
tive provisions; that all appropriations except
for the interest of the public debt, be limited te
period not exceeding two years, and that thi,
expenditure be strictly confined to the period
Of time for WHICH they are appropriated, and
that all permanent and indefinite appropria.
tions made more than four years ago, except
that for the public debt, be repealed. At ths
date of my annual report, December 2, 1878
the preparation for the resumption of specie
payments provided for by the act approved
January IA, 1875, had been substantially com.
pleted. On the 1st day of January, 1879, tn.
day fixed for the
RESUMPTION OF srEoIH PAYMENTS,
the reserve of coin, over and above all matured
liabilities, was $133, sos, ,s04.sO. Previous t.
that time, in view of the Resumption, United
States notes and coin were freely received and
paid in private business as equivalents. Ac.
tual resumption commenced at the time fixed
by law, without any material demand for coin
and without disturbance to public or privss'
business.
THE RESERVE YuND
created by the resumption act could not, with.
out further legislation, be applied to the pay
ment of current appropriations, nor is it to b,
presumed that Congress will omit to provid,
ample reserve to meet such appropriations
therefore, under the existing law, the note
received in the Treasury in exchange for COLI
will always be available for the purchase of al
exchange for coin or bullion. ANY United
States notes in tho Treasury may be exchanged
for coin, under the authority Of section 37Ol
of the revised statutes. When notes cannot b,
used at par for that purpose they must neces
sarily remain in the Treasury.
To avoid all uncertainty it is respectful,
recommended that by law the resumption funt
be specifically defined and set apart for tn,
redemption of United States notes, and tha
L
exchange for or in purchase of coin or bull
lion.
Tne report of the Controller of the Currency
gives complete statistics relative to the
NATIONAL BANKING sYsrEx
from its organization until the present time
The number of banks in operation since 0cto.
Der 2, of the present year, the date of theil
last report, was 2,048, and the aggregate capi.
tai was $454, ,O67 1866; surplus, S114, ,7S6, ,528
individual deposits, Sis, ,737 ,56s; specie, in.
cluding United States coin certificates, $42,-
173,731.23; legal tender notes, including
United States certificates, $95, ,937 ,446 loahs
$s26,ol3, JOY. The total circulation outstand-
ing on November was $337 ,18l ,418. Among
the subjects discussed in the report are the re.
lations which have existed between national
banks and the Government in the resumption
Of specie payments, and in the funding of the
public debt. In both of these important fnaa.
cial operations the cooperation of the national
banks has been of essential service to the Gov
ernment.
THE DISBURSEMENT FOR COLLECTING
the revenues from customs for expenses in
Cured within the following fiscal years, have
been as follows:
1877 ,sot 27s 81 increase
1879 t,525, 1857 SO increase
1879. ., ,485 779 03
This shows q reduction for 1878 over 1877
of $7S, ,392.25, and a reduction for 1879 ovei
1878, of over $40 0,008.29, making total saving
for the two years of $S1S, ,500.54. marked
improvement has also occurred during the past
year in the collection of the revenue from Gus
toms.
The revenue, under tho ad vaLorem system
has fallen short Of the amount which should
have been collected upon q proper assessment
of the real foreign market value. This was
due to a system of undervaluation in the en-
tries at the Custom House, especially upon
bonds consigned for foreign manufacturers to
agents in the United States.
The total tonnage of vessels of the United
States at tho close of the fiscal year ending
June 80, 1879, was $780, 800 tons. 1t h q
grave
QUESTION OF PUBLIC POLICY.
whether the period has not arrived when the
unlimited right of purchase, as under the Eng
lish statutes, should be extended to vessels as
we'll as to other commodities, and when
admission to American registry upon the pay
ment of duties should be allowed them npon
importations. The recovery of our old position
in the carrying trade will moro than counter
balance any disadvantage likely to ensue frOn
modification of restrictions upon the right Of
purchase, while a moderate duty on ships i'm
ported will enable our shipbuilders to compete
successfully in the construction of iron vessels
of the largest class.
A Weather Prophecy.
Philadelphia Record.l
AS Christmas day comes this year
upon Thursday, the following quotation
from an ancient Ms. in the British
Museum is pertinent for publication at
the outset of winter as a prophecy Of
coming events the approaching year:
If Xmas day on Thursday he,
windy winter ye shall sec;
Windy weather in each week,