The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1881-01-17
The Funding Bill.
Colloquy Between Reed and Randall.

Following is the complete text of the collo-
guy between Messrs. Reed and Randall in the
House, last Tharsda ay, which attracted so much
attention, and in which the Maine Congress-
man put the Pennsylvania to rout:
Mr.. Reed-I bel eve that the more sensible
thing for this House to do, if it were posi- BILE.
would be to pass thirty year per cent bond
and take the tax off the banks, and thereby
surely accomplish the object that we desire
But realize the fact that men have preiudices
as well as reason. 1t seems to me that long
time bond is not possible in the present dispo-
sition of this House. Therefore the only
thing which we can do for in craftsmanship
we nave TO do what we can and not ALWAYS
what we would) is to provide an option bond
bearing interest at 81 per cent L believe it is
utterly impossible to float 3 per cent. option
BOND. L believe that the arguments and facts
and figures presented by the Speaker of this
house, and by other gentlemen, are as falla-
clous as any that have ever been presented.
Never III the history of the world has 5 per
cent. option bond been negotiated. Every 3
per cent. bond that has been described has
oeen perpetual bond, and its perpetuity has
Deen one element of its strength.
ne reason why men are willing to take a
small amount OF interest upon their invest
ments Is because, in the first place. the invest
ment is perfectly secure; and, in the second
at low rate of interest, what he wants is to
ieei that his investment can rest quietly where
he puts it, and his mind will not be disturbed
oy the necessity of looking for other invest
ments
L say that if you put $3.50, 900 900 of 3 ner
cent. option bonds on the market they cannot
possibly be negotiated at par. The fact that
our per cent bonds, permanent for twenty
seven years, are selling at rate that brings a
return OF but 81 per cent is proof positive of
tne statement which make. When you come
70 add TO the bonds we now have issued the
Immense volume of $3.50, 900, 900 of per cent.
option bonds, you will find that you have un.
dertaken an impossibility to float them at par
You Will produce this effect; you will throw
US Dack upon the proposition made by our
dreenoack friends, which is to keep the 6 and
0 per cent bonds still afioat and pay them off
from the national revenue, which, as the gem
tleman from Kentucky (Mr. Carlise) has
plainly shown, will cost us S7S0OO,0OO more
than to issue a long per cent. bond for their
redemption. Ii we provide for 81 per cent.
option bond we can negotiate them and pay off
as circumstances may justify.
:, desire TO say one other thing. / am sorry
that the Speaker OF this House has endeavored
70 make This matter party question. L think
that on great occasions and for a good purp ose
IL is wise Tor him to come down from the chair
and help 10 direct us on the floor of the House.
ana the occasion now is certainly great. What
mas been the purpose? When the Speaker of
this House declared that the Democratic party
had always been in favor of paying the nation
al deDt VIII not charge him with believing
tnat except for the moment, because he and
his party have gone down in three pitched bat
Ties under our charging households on that
very question, as he wells knew.
Now, what was his object? 1t was to sound
the party tocsin, to bring up his party Jealous
~ 10 the support OF 3 per cent. option bond
l say to you that the only effect of such legis-
iatlon Will be to keep atioat our heavy interest
paying bonds until such time as we can make
other provisions for their payment.
Now, want to see the responsibility fixed
where it belongs L appeal to gentlemen on
the other side of the House not to allow them
serves to be led into any partisan action upon a
questlon that ought to have no partiSanship in
1t. Let them take broad view of the cues
tlon and save the country the difference of in
terest which has been pointed out by the gen.
tleman from Kentucky Mr.. Carlislel and do
so by providing the only bond which can be
fioated at par.
The idea of attacking national banks and
banking institutions under these circumstances
Is IKE man undertaking to go into a shop
ana aouse the shopkeeper in the hope that he
can obtain the articles he desires to buy at a
cheaper price.
(Here the hammer fell.1
Mr. randall (the Speaker) Mr.. Chairman,
it is rather amusing to me to listen to the gem
tleman from Maine (Mr. Reed) and will try
my nervous system is capable of. But would
remind the gentleman that L did not come
down from my p ace for the purpose of taking
part in the debate. The rules of the House
require that when the House is in committee
of the whole / should be on the floor: and be-
ing member OF toe committee of the whole,
thought that in my representative character
was entitled to speak and to vote. But
really think that this lecture would have
come more appropriately from some other gem
tieman tnan the gentleman from Maine; for
during my long service with him in this House
| have never seen him go very far beyond the
ines OF the narrowest partisanship; nor have [
ever known him to rise to such an exalted DO
sition of craftsmanship that when he looked
behind he was not within the reach of his
party, therefore recommend to the gentle
man that when he undertakes to lecture other
members on partisanship he should first cast
the beam out of his own eye before he under.
takes to trouble the mote in his neighbor's
eye.
Mr.. Reed Mr.. Chairman, L am sorry the gem
tleman from Pennsylvania (Mr. RandalD
should regard my observations in the light of a
personal lecture. beg to assure him that they
had wider significance than any alluson to
his personality. The object of what said was
to call the attention of the House to the par
tisanship which has been adopted with regard
TO matter that had not the remotest element
OF party in it until it was dragged in, ana prin-
clpaly by the gentleman from Pennsylvania,
so that his allusion to my partisan feeling has
no bearing upon the subject. 1 am glad to say
that wherever L have taken ground
There my party has been with me;
and l believe that the wisdom of a
good party like the Republican party is better
than all the "non-partisanship" that ever fool
ed House or deceived people. Laughter
and applause.] l say to him-or, rather, L say
to this House, because / wish to avoid the APP
pearance of a lecture to a gentleman so much
nay senior, and who stands so much higher
than myself in ability and official position-I
desire to say to members of this House that
believe they are allowing themselves to be de-
Celved into course of conduct which leads
them whether they do not wish to go.
Every man who knows anything about the
funding of the per cent. bonds knows tn It
they were funded under an entirely different
state of circumstances from the present. Every
man knows, as the gentleman from New York
Mr. Einstein] so well said yesterday, that to-
day the market for money is high; that enter
prises are to-day springing up all over this
land; and some people know that some
million dollars worth of those four percents
are still in the hands of the original proprie-
tors who are desirous of increasing the price
by the passage of such bill as this, which will
be the sole effect of it, and it will not be the
first time in the history of this country that
the men who have declaimed the most forcibly
against bankers and wealthy men have been
really, without knowing it, their strongest ad-
juncts and assistants.
Here the hammer fell.
Mr.. Reed. Is my time out?
The Chairman. The five minutes of the
gentlemen have expired.
Mr.. Reed. Well, never knew SO short a
five minutes Laughter. / should like to
have amused" my friend from Pennsylvania
a little while longer. Laughter.
Here the debate between the gentlemen