The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1881-01-10
HOUSE OF REPRESENTATIVES,.

Proceedings Of the Lever RFRHeh OF Cor
EFess shAInFdny-DtbAte on, Ihe RundIp
Hill.
WASHINGTON, January s,-Mr, Money
Of Mississippi, Of the Committee on Posi-
Offices and Postroads, reported back th
bill regulating rates Of postage on second
class mail matter,
Mr., PoehleF, from the Committee Of
Indian Affairs, reported back the bill au
lhorizlng the Secretary OF the Interior u
fulfill certain treaty stipulations with tn
Chippewa Indians, Of Lake Superior ant
Mississippi,
On motion Of Fernando Wood, thl
House went into committee OF the who'll
| Mr., Covert in the chair on the FundinI
bill. The bill was read by sections io
amendments.
Mr.. Wood offered, under instructions o
the Committee oi Ways and Means, al
amendment fixing the rate OF interest or
bonds and notes authorised to be issued
by this act, at three per cent, II beinG
three and one'halt per cent In the printed
bill.
Mr.. Buckner inquired II II was in order
at this time to test the sense OF the House
as to whether the bonds shoull be long
bonds or short bonds,
The Chair replied It was not.
Mr.. Claain opposed the amendment. He
was opposed to'h1lng the interest at three
per cent,
Mr.. TuCker-Does the gentleman want
larger Tate2 .l
Mi, Claflin-I propose that the rate in
the bill shall stand there, o.. I
In opposing the amendment, Mr.. Olafin
had read an amendment which he pro.
posed to offer, leaving the interest at 81
per cent, and providing that the bonds
shall be redeemable after five years, and
payable In twenty years. No business
man, he thought, believed 1t posi-, e
10 float bond at per cent, II was tle
unanimous opinion OF fnanciers that q
81 per cent, bond might be hoated, but
that It would be dangerous to put q 8 per
cent. bond on the market, ~ l4G--
Mr. Kelley commented on the fact that
in the purchase OF over $l08, 900, 900 Of
bonds In the year ending October last, the
Secretary Of the Treasury had to pay over
Sll2 C0O,0OO, or about 81 per cent
premium,
Mr.. Warner suggested that the rate OF
interest should be fixed at per cent.
It was impossible to sever the rate Of In
terest from the time, II this bill were to
pass, he should be In favor oi the amend.
ment Of the gentleman from New York
Mr.. Wood, though he would oppose the
bill.
Mr.. Wood suggested that, for the sake
Of convenience, his amendment coming
from the Committee on Ways and Means
should be by unanimous consent Consld.
cred as agreed 10. II was seriously To-.
tended to act on this bill, the hours should
not be wasted In fruitless and unnecessary
discussion.
Mr.. Frye thought the question might as
well be met now as between o three and a
three.and.a half per cent bond. A three
per cent. bond must necessarily run for
twenty or thirty Yeas. Voting for q three
per cent. would be voting for q long bond.
Mr.. F. Wood thought the gentleman
was In error In that assumption. He wished
10 call the gentleman's attention to the re-
port OF the Secretary OF the Treasury, In
which he said he believed short time
certificate, having less than ten years to
run, could be negotiated at three per cent.
He [ Mr.. Wood1 thought a short time three
per cent bond could be negotiated, par
tiCularly II accompanied by some atttib
ntes which would make 1t acceptable and
desirable. He hoped the gentleman from
Maine Mr.. Frye wonld not endeavor to
have the House commit Itself 10 aposition
which was untenable.
Mr.. Frye said he had voted in favor Of
three.per' cent bonds before recess. Dur.
Ing recess he had seen Q large number Of
business men In New York, Boston and
New England, and he had come 10 the
deliberate conclusion that 1t would be
utterly impossible TO float three.per.C
bond running less than thirty years. He
believed that an attempt 10 float three.
percent bond would be disastrous. The
Government had never sold three.per.
cent bond. No Government on earth had
ever placed three-per. cent bond on the
market at par, and he was fully convinced
that q three.per bond Gonld not be
placed, and II Congress undertook TO do It
and It failed II would be disaster. lie
believed In leaving to the Secretary Of the
Treasury discretion upto three'and'a.
hall per cent. ~
Mr.. Randall thought II was extraordl.
nary that there were gentlemen present
who were advocating, honestly adyoca.
ting, a higher rate OF Interest than II was
conceded on all sides that bonds could be
negotiated at He differed from the gen.
tleman from Maine Mr. Ffye], and hie
information on the subject was different
from that gentlemBn's. He believed the
Government could negotiate bond and 0
| TRnahNkV min AZ NhRan npF Annt
Mr.. Blount inquired how long such
bond and note would have to run. y.
Mr.. Randall replied fifteen years would
he sufficient as far aa the bond was con-
Cernel, and 9lO principle, 40 lar as the
Treasury note was concerned. There was
not member who bad not received lot
tefs from responsible parties, telling him
the government could negotiate bonds At
three per cent. There were 5000, 900 600
and more Of bonds held by National
banks. Why should not the government
say To those banks that In the placement
Of bonds 10 secure circulation they should
hereafter, In so far as contract would per.
nit, take three per cent bonds2 There
would be immediate purchases to the ex.
tent Of 1925 900, 900
Mr.. Warner inquired whether the gen.
tlemen would not prefer 2.l0 bond OF
three and hall per cent toa fifteen year
bond at three per cent.
Mr. Randall replied be would mot issue
a thtee.and.a.halip per cent bond II q
three per. cent bond aould be negotiated.
The bonds OF the United States to-day
vibrated somewhere between three and q
quarter and three and three eighths per
cent. and here was proposition 10 negO.
tiate bonds RtA greater rate OF interest
hen bonds commanded at market to-day.
The necessity Of the people for saie de.
post OF money would secure the place.
msnt Of a thteF.ppr.Cent bond. He would
make every National bank on agent, and
not run TO q syndicate to dispose oi those
bonds; and he would give the small bid.
der the preference over the syndiCates and
large holders.
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