The Kenosha telegraph. [volume] (Kenosha, Wis.) 1860-1888, 1881-07-29
NUMBER 8.
A Great Financial Achievement.


1t is only eighteen weeks since Gen.
Garfield was inaugurated President, and
yet during that brief period his admin
istration has been able to arrange for
saving of more than fifteen millions an
nually in the interest on the public debt.
This saving has been accomplished
mainly by the conversion of the out
standing 6per cents. and 3 per cents. into
call bonds bearing only 81 per cent. in
i terest. In addition to this, however,
provision has been made for the pay
ment of $94, 705, 400 of the high interest
bonds out of the surplus revenue to APP
ply on account of the sinking fund.
The total saving per annum is $15,-
AL, 164.
This achievement wotild be great
credit to the new administration under
any circumstances, but its merit is ma
terially enhanced by the fact that it fol-
lows an abortive attempt of the recent
Democratic Congress to carry out some
similar measure. When Congress as
sembled last winter there was little for
it to do except to pass the regular APP
preparation bills and agree upon fair
and practicable refunding act. The con-
sideration of the appropriation bills
consumed but little time, for no Con-
gress ever allowed a budget to slip
through so easily. But the refunding
| measure, though it was known to be of
vital Importance, was postponed from
day to day, aud failed to receive earnest
attention until after the holiday vaca-
ton. When it was finally approached
the Democratic majority was gov
erned more by desire to make
party capital out of it than to
reduce the burden of the debt. The
demagogues in Congress believed it
would be popular to embarrass the ma
tiona1 banks by eoercing them to sub
scribe for low-interest bonds, which, as
subsequent events have proved, were to
be eagerly sought by the public. The
refunding bill which passed the House
provided for an experimental rate of in
terest q per cent. J, and contained the
obnoxious provision in regard to the
banks. The Senate removed in part the
glaring injustice of the bill, but the
Democratic majority in the House re-
NAMED obstinate, and preferred to adj
journ without any provision in regard to
refunding rather than surrender its war
upon the banks. In much the same
spirit the Democratic majority in the
Senate refused its assent to a fair APP
portionment bill because it did not
suit the purposes Of the Democratic
leaders.
Presidents Garfield and Secretary Win
dom were confronted at the outset with
this embarrassment, which many people
/ believe the Democrats desired to put up
on the incoming administration. They
were equal to the emergency, however,
and assumed the responsibility of nego-
tiating a renewal of the loan upon such
terms and conditions as were bound to
disarm criticism from any quarter. An
extension Of the old bonds at the rate of
81 per cent. interest, terminable at the
opGioasaf, the .Gov9nment, was offered
to holders who might apply within a
given time, and the applications were
greatly in excess of the limit that had
been placed upon renewals. The pro-
iect has proved to be a great success,
and not merely rebounds to the credit Of
Garfeld's administration, but reflects
upon the narrow party spirit shown by
the Democrats, who might have worn
this feather in their own cap.-ChicGgo
~. .