Daily globe., 1881-02-18
The Senate.

1u6 pliiS "SiN i"'ON-J
and placed on the calendar:
For government building at Terre Haute
Indiana, and for a fire proof government
building at Columbus
Senator VOORHEES, offered a resolution, which
was agreed TO, instructing the Judiciary COM
mittee to inquire into the best method OF pro-
tecting purchasers from the impositions prac-
ticed by fraudulent vendors Of patents and
patent rights and reported the bill.
The Senate resumed discussion of the fund
ing bill, with the generally understood pur-
pose of disposing of the bill to-day, even if a
night session is necessary. Senator Platt
spoke in favor of SH rate. Senator Pugh
favored per cent, and Senator VOORHEES,
eulogized the greenback and advocated pro-
vision to protect it from destruction IN the
operations of the bill.
At this point the debate was temporarily
suspended and the conference reports on the
consular, Diplomatic and naval appropriation
bills were presented and adopted.
Senator Wallace, from the conference on the
Indian appropriation BILL reported an agree
ment on all the items except that relating to
retaining the Indian commission, and in reply
to Allison explained the effect of the adoption
of the report would not be to pass the bill,
but to settle the difficulties of the houses on
all items except the single one stated, in re-
gard to which a new conference could be or
dered.
The funding bill was again taken up. Sen
ator Logan favored fixed rate of 81 per
cent, believing this to be as low as the bonds
could be foated.
Senator Cockrell said as the finance COM
mittee had been largely guided IN reaching a
conclusion in favor of the 3k rate by the
opinions of the secretary of the treasury, he
proposed to inquire into the reliability and
financial acumen of that official. In 1878,
soon after the silver bill passed. the secretary
predicted that legislation would cripple him
in his efforts to negotiate per cents, yet he
subsequently sold them very readily, and they
were now at a premium. Then he asserted
last year that 81 or 3:65 bond,
that didn't run fifty years, couldn't
be possibly negotiated at par, and yet this year
in reply to inquiry when before the finance
committee he said he thought it could. 1t
would be observed, however, that in the re-
cent interview the secretary was not as pos
tive that the per cents. couldn't be negoti
ated as he was last year that the 3Hs
couldn't be. Cockrell went on to say that in
his opinion per cent. bond could be easily
foated at par, and would in short time be at
aipremium.
At this point, $50, an Intellectual effort was
made to adjourn.
Senator Davis, of Illinois, insisted it was
duty the Senate owed the country to pass a
funding bill of some kind before adjournment.
He thought the subject had been talked to
death and that, as every member had made up
his mind on it, they should come to vote.
Senator Ferry advocated his amendment and
Allison opposed it. 1t was rejected ayes, II;
nays, As A vote was then taken on the
amendment of the committee fixing the rate of
interest at 3K instead of per cent, as fixed
by the House. Rejected ayes, %; nays, SO.
The next amendment of the committee max
ing the bonds payable semi-annualy, was
agreed to without objection. The next amend
ment was to create $50 instead of a $40
loan.
Senator Mcpherson moved to amend SO as
make it $50 loan. Not agreed to, ayes IA,
nays 43.
The pending amendment then prevailed
without objection.
Amendments substituting the terms treasury
notes for certificates as applied to the short
loan, and inserting the words mot exceeding"
before the amount "three hundred million of
such notes" and providing for their issue in
denominations Of $40 or somex multiple of that
sum not exceeding 81 900 was agreed to with
out formal vote.
The next amendment was to fix the interest
rate of the 1.10l loan at not exceeding three and
a half instead OF three per cent. rate as passed
by the House. Lost, ayes "a, nays 81
Amendments providing that the treasury
notes shall be payable semi-annually, and
those of less denomination than 500 shall be
registered, were agreed to without debate.
The amendment of the committee fixing
one-half of l per cent. was retained in the
bill, ayes 10, nays 20.
The next amendment was in the fourth Sec
tion, allowing the secretary of the treasury
from time to time to assist the process of re-
funding by purchase or paying off maturing
bonds from funds in the treasury. The amend
ment provides this shall be done temporarily,
and that the redemption fund of gold and sill
yer coin shall not be permanently reduced.
Adopted; ayes 26, nays 10.
The river and harbor appropriation bill was
received frem the House and read the first
time. Senator Morrill, objected to second
reading and the bill was temporarily tabled.
On motion of Senator VOORHEES, the House
joint resolution authorizing placing the
books and mementoes in possession of the
government relating to the assassination of
President Lincoln in Memorial hall, in the
national Lincoln monument at Springfield,
III. Passed.
The funding debate was then resumed. The
next amendment to the bill was one to strike
out the fifth section, which makes the new
bonds the only ones receivable as Sc
curity for national bank circulation or
government deposits, and cowpels banks
TO exchange at 5 and per cent. for those now
issued. The committees amendment adds as
a substitute for this two sections, and 6, the
first relating to the payment of new bonds,
and that interest thereon shall cease at the ex-
piratiou of thirty days from publication of
such notice, while the other section provides
for a deposit of none2but United States inter-
est bearing securities as collateral for govern
ment deposits.
Senator Bayard explained that the bill as it
came from the House provides that after the
1st of May per cent. bonds should be the
only bonds receivable fol- National bank circu-
lation. The committee didn't consider that a
good feature. 1t didn't agree that per cent.
bonds should be the only per cent. bonds of
the United States, but agreed that they might
be receivable. The compulsory feature didn't,
in his opinion, add to the strength of the
bonds, but rather suggested weakness.
After discussion the Senate voted to disagree
on the amendment of the committee striking
out the first half of the fifth section of the bill
as it came from the House, the effect being to
retain in substance the features of the House
section, ayes 10, nays 81. The remainder of
the committee amendment relating to the fifth
section was then rejected The section restored
as agreed to by the House.
The next amendments of the committee be-
ing two new sections relating to the payment
of loans in amounts to be determined by the
secretary of the treasury, ETC., making bonds
receivable for circulation and providing that
only Understanding securities of the United
States shall be receivable as collatral for gov
ernment deposits, were agreed to without de-
hate This dis&osed of the committee amend.