Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1881-01-13
WASHINGTON, D. O., Jan. u.

On motion of Mr.. Buckner, of
Missouri, the morning hour was dis
pensed with by 1923 to "a.
. Mr.. F. Wood, of New York, moved
that when the house next went into
committee of the whole on the fund
ing bill the debate on the pending
amendment should be limited to
thirty minutes. Agreed to by. 149
to 4-Cofroth, Stevens, Humphreys
and Weaver. The house then, at
1895, went into committee of the
whole, with Mr.. Covert, of New
York, in the chair, on the funding
bill, confident of the speedy negotia-
ton of every bond and certificate
issued. II.
Mr.. Hevenson, of Illinois, opposed
the bill on the ground that it did no
more or less than fix a permanent
national debt upon the country.
Mr.. Weaver, of Iowa, protested
the refunding of five and six per
cent. bonds to any obligation that
would take from the government the
right of redemption for single day
or hour.
Mr.. Mcmillan, of Tennessee,
argued in favor of an amendment
which he proposed to offer, making
the bonds subject to taxation.
Mr.. Dunnell, of Minnesota, mem
Der of the committee on ways and
means, said that he had no doubt
that 3 per cent. bonds would find
ready sale, and he advocated that rate
of interest. He would vote, how
ever, for the reduction of the time
from twenty to ten years.
Mr.. Oscar Turner, of Kentucky,
opposed the refunding theory. He
was in favor of placing the income
tax on capitalists and bondholders,
and letting the revenue received from
that tax go to the extinguishment of
the bonds.
Mr.. F. Wood said that, for him
self, he saw nothing inconsistent in
the establishment of a 3 per cent.
rate of interest for bonds, and the
shortening of the option indicated in
the bill He would go further. He
believed that with the removal of the
tax on bank deposits and the estab-
lishment of rate of 3 per cent. the
question of option was absolutely
immeterial, because the bonds and
certificates would not be likely to
rise to any great premium, and would
be at any time within reach of tie
government at par or at O nominal
premium.
Mr.. Randall, of Pennsylvania, ad-
vocated 3 per cent. bond, and
80 1->~ --~L ~f L-ao Ill -. -
government the option of redeeming
at any time after one or two years.
Mr.. Buckner, of Missouri, opposed
the bill, which he said would have
the effect of making the national
bank system Of the country perma-
nent. -.
Mr.. Frye, of Maine, defended the
national bank system, but expressed
the belief that 3 per cent. bond
could not be foated, and failure to
float it would be disaster which
should be avoided. E.St ri
Mr.. Tucker, of Virginia, argued
in favor of 3 per cent. bond. which
he believed could be placed and
made successful. 4.
In further debate per cent.
bond was advocated by Mr.. Randall,
of Pennsylvania, and Mr.. O'Conner,
of South Carolina, and opposed by
Messrs. Aldrick, Haskell, Harris, of
Virginia, and Mr.. Warner.
The time fixed for debate having
expired, a vote was taken on Mr..
Woods amendment fixing the rate
of interest on refunding bonds at 3
per cent. The amendment was
agreed to; yeas, 1872 nays, 90. The
second branch of the amendment fix
ing the rate at 8 per cent. on notes
was agreed to without division. &
Mr.. Sanford, of Alabama, offered
an amendment providing that before
any OF the bonds or notes authorized
by this act are issued, it shall be the
duty of the secretary of treasury to
pay on bonds accruing during the
year 1881, all silver dollars of 412d
grains, and all the gold over and
above $50,000,000 now held in the
treasury for redemption purposes.