The Elk County advocate. [volume] (Ridgway, Pa.) 1868-1883, 1880-12-09


OF 7-30 notes OF lS64-5 .. 2,65O 90
OF one and two-year notes,.... $500 90
Of old demand notes .......... 495 0U
$73, 96S OS7 Al
The amount due the sinking fund for
this year was $33 93l 643 55. Tn ere
was applied thereto, from the redemp.
ion OF bonds and fractional currency
ss shown in the above statement, the
sum of S73 904 GIT Al, an excess OF
$35 972 97S 81 over the amount actually
required for the year.
The requirements of the sinking fund
law have been substantially observed,
and the principal of the public debt, less
cash in the treasury and exclusive Of
accruing in crest, has been reduced
from 81 756 All 57l.43 its highest
point, which it reRchrd on August 81,
1865 to 81 $40 C25 740 80, on Novem Der
l, 1890 81 reduction Of Ss66, 4O5 $50 54
Compared with the previous year, the
receints for 1880 have increased $62,.
$40 433 %.
For the present fiscal year the esti,
Ii Ii'ti I'll SCI 'oes .''.'Jo oouvruq su!Ass1
81 tSs los '6GS '''''''''''''' ''''puuT suI
-Eu!s sql enp auu ous polamns3
o. roO'ooO'O6S
90 0OO'000'C 90 ''''''''''' e9IulIpusdxe 1901
90 600 O0O'OeeS '''''''''' .''''s ldIeo9I isloJ
The secretary respectfully renews his
recommendations OF last year, with q
view to promote economy in the public
service, a permanent organization of an
appropriation committee for each House
be established, who shall have leave to
sit during the recess of Congress, with
power to send for persons and papers,
and TO examine all expenditures of the
government; that rules be adopted by
the respective Houses limiting appro-
pristion bids to items of appropriation
and excluding legislative provisions;
that appropriations, except for the in
terest on the public debt, be limited to
period not exceeding two years, and
that the expenditure of appropriations
be strictly confined to the period of time
for which they were appropriated.
REDUCED TAXATION.
1t is a question for Congress to deter
mine whether any material reduction in
taxation should be made at g time when
the whole surplus revenue may be with
great advantage applied directly to the
payment of accruing debt. and when
such surplus i5 an important element in
aid of refunding. If it should be deter
mined by Congress to reduce taxes it is
respectfully recommended that all the
taxes imposed by the internal revenue
law other an those on bank circulation
and on spirits, tobacco and fermented
liquors be repealed The tax on the
circulation of national banks is levied
partly in the nature OF a moderate charge
for franchise conferred by the govern
ment, and partly to furnish means to
pay the expense OF printing and issuing
national banknotes. 1t is elsily collected
by the treasurer of the United States,
and is just and proper tax, whether
regarded as charge for the franchise or
as a means of reimhursing the govern
ment the cost of printing the notes. The
tax on State banks is of the gravest
importance, not forpurposes of revenue,
but as check upon the renewal OF O
system OF local State paper money.
The secretary recommends that pro.
vision be made for the issue Of an
amount not exceeding $500, ,000,0 900 of
treasury notes in denominations not less
than ten dollars, bearing interest not ex-
ceading four per centum per annum, and
running from one to ten years, to be sold
at not less than par, the amount ma
turing during any year not to eX-
ceed the sinking fund for that year,
and the proceeds to be applied to
the payment of five and six per centum
bonds, maturing in 1881. 1t is believed
that, with the present state of the money
market, a sufficient amount of such
treasury notes bearing an annual inter-
est of three per centum, can be sold tC
meet considerable portion of the
maturing bonds; but it is better to con-
fer upon the department q discretionary
a. 1-Nn f1v a. ts.lo =
mum rate, TO avoid the possibility OF fail
ure. Such discretion is not likely to
be abused, while power too carefully
restricted may defeat the beneficial OBJ
ject of the law.
1t is also recommended that authority
be given to sell at par an amount not
exceeding $4C0, 000 of bonds of the
character and descripti n of the four per
centum bonds of the United States now
outstanding, but bearing q rate OF inter-
est not exceeding Ihree and sixty-iive
one hundredths per centum per annum,
and redeemable at the pleasure of the
United States after fifteen years, the
proceeds to be applied TO the payment
of bonds redeemable On or before
July l, 1881. Tough the amount
of the two classes of securities
recommended exceeds the amount OF
bondS 10 be redeemeG, no more can be
sold than the bonds to he redeemed,
while the alternative authorized will
permit limited discretion to sell the
securities mo favorable to the govern
ment. With the au thority thus recon-
mended, it is believed that the depart
ment can within year redeem all the
five and six per cent. bonds now out
standing, and thus reduce the interest
of the public debt Sl2,0O0,000 per an
mum, and leave the debt il a form most
favorable for gradual payment by the
application of The sinking fund, with
out cost or premium.
RESUMPTION.
Nothing has occurred since my last
annual report to disturb or embarass the
easy maintenance OF specie payments.
United States notes are regularly taken
at par with coin in all parts OF this coun-