Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1881-12-15

boundary question between those countries
providing that the post of arbitrator should
be offered successfully to the King of the
Belgians, the King of Spain, and the Presi-
dent of the Argentine Confederation. The
King of the Belgians has declined to act, but
I am as yet unadvised of the action of the
King of Spain. As we have certain interests
in the disputed territory, which are protected
by our treaty engagements with one of the
parties, it is important that the arbitration
should not, without our consent, effect our
rights, and this Government has. accordingly,
thought proper to make its views known to
the parties to the agreement, as we'll as to In.
innate them to the Belgian and Spanish
Governments.
On the subject of the finances of the Gov
ernment, he says the report of the Secretary
of the Treasury presents in detail highly
satisfactory exhibit of the state of the f.
nances and the condition of the various
branches of the public service administered
by that Department. The ordinary revenues
from all sources for the fiscal year ending
June 80, 1881, were $3.50, 782, ,29257 and the
ordinary expenditures for the same period
we're SlOO,O69 ,4O498. The requirements of
the sinking fund for the year amounted to
$50, ,786, ,O64O2, which sum included balance
of $40 9,817, ,12S7S not provided for during the
previous fiscal year. The sum of S74,480,-
2010 was applied to this fund, which left
deficit of $l6,3O5,87347. The increase Of
the revenues for 1881 over those of the pre-
vious year was S29,352,9O1l0 1t is estima-
ted that the receipts during the present year
will reach OO,0OO,0OO, and the expenditures
S270, 100000, leaving surplus of $3.50, 0,000,-
900 applicable to the sinking fund and the
redemption of the public debt. approve the
recommendation of the Secretary of the
Treasury, that provision be made for the ear.
ly retirement of silver certificates, and that
the act requiring their issue be repealed.
They we're issued in pursuance of the policy
of the Government to maintain silver at or
near the gold standard, and were accordingly
made receivable for all customs taxes and
public dues. About s66,0OO,00O of them are
nov outstanding. They form an unnecessary
addition to the paper currency, sufficient
amount Of which may be readily supplied by
the National banks. In accordance with the
act of February %, 1878, the Treasury De-
partment has monthly caused at least two hun.
coined into standard silver dollars One hun
dred and two millions of these dollars have
been already coined, while only about thirty
four millions are in circulation. For the rea-
sons which he specifies, concur in the Secre-
tary 8 recommendation that the provision for
the coinage Of fixed amount each month
be repealed, and that hereafter onl ly SO much
be coined as shall be necessary to supply the
demand. The Secretary advises tnat the is
sue Of gold certificates should not for the
present be resumed, and suggests that the
National banks may properly be forbidden by
law to retire their currency except upon rea-
sonable notice of their intention so to do.
Such legislation would seem to be justified by
the recent action of certain banks on the oc-
casion referred to in the Secretary's report.
Of the fifteen millions of fractional currency
still outstanding, only about eighty thousand
has been redeemed the past year. The sug.
gestion that this amount may properly be
dropped from future statements of the public
debt seems worthy of approval.
The customs revenues for the last fiscal
year, and the sources from which they we're
derived are reviewed at length, as also the
refunding measures of previous Congress !;
and touching the question of refunding the
bonds of the Government, he says the reduc.
tion of the annual interest on the public debt
through the transactions introduced by the
Funding Act is as follows By reduction Of
interest to 8! per cent, $10,473,952.25; by
redemption of bonds, $685., ,S4O-total, Sl6,-
826. 1925. The 81 per cent bonds being
payable at the pleasure of the Government,
are available for the investment of surplus
revenue without the payment of premiums.
Unless these bonds can be funded at much
lower rate of interest than they now bear, the
President agrees with the Secretary of the
Treasury that no legislation respecting them
is desirable.
His next topic is the business of the country
and measures of relief from taxation, on
which he says: 1t is matter Of congratu-
lation that the business of the country has
been so prosperous during the past year as to
yield by taxation large surplus of income
to the Government. If the revenue laws re-
main unchanged this surplus must year by
year increase on account Of the reduction OF
the public debt and its burden of interest,
and because of the rapid increase of our pop
ulstion. In 1860, just prior to the insltu.
tion of our internal revenue system, our pop.
ulation but slightly exceeded thirty millions; !;
by the census of 1880, it is now found to ex-
ceed fifty millions 1t is estimated that even
if the annual receipts and expenditures should
continue as at present, the entire debt should
be paid in ten years. In view, however, OF
the heavy load of taxation which our people
have already borne, we may well consider
it is not the part of wisdom to reduce the
revenues, even if We delay little in the pay
ment of the debt. 1t seems to ME that the
time has arrived when the people may justly
demand some relief from their present oner.
Gus burden, and that by due economy in the
various branches Of the public service this
may readily be afforded. I, therefore, concur
with the Secretary in recommending the abo-
lition of all internal revenue taxes, except
those upon tobacco in its various forms, and
upon distilled spirits and fermented liquors,
and except also the special tax upon manu-
facturers and dealers in such articles. The
retention of the latter tax is desirable as at.
fording the officers of the Government a
proper supervision of these articles, for the pre-
vention Of fraud. agree with the Secretary
of the Treasury, that the law imposing stamp
tax upon matches, proprietary articles, playing
cards, checks and drafts, may, with propriety,
be repealed and the law also by which banks
and bankers are assessed upon their capital
deposits. There seems to be general senti.
ment in favor Of this course. In the present
condition of our revenues the tax upon de-
posits is especially unjust. 1t was never i'm.