The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1883-12-06

/ requisite 1or the redemption OF the per centS
Ill be in the treasury many years before this
| obligation becomes payable. There are cogent
reasons, however, why the national Indebted
| ness should not be thus rapidly extinguished; /;
chief among them is the fact that only by ex-
cessive taxation is such rapidity attainable.
INTERNALREV TAXES.
In communication to congress at its last
session l recognized that all excise
| taxes be abolished except those relating 70
distilled spirits, and that substantial reduc-
tions should also be made in revenue from
customs. A statute has been passed by which
| the annual tax and tariff receipts of the gov
! ernment have been cut down TO the extent OF
| fifty or sixty million dollars. While 1 have no
| doubt that still further reductions may be wise
| ly made, | don't advise the adoption OF TINS
| session of any measures for large dlmlnltlon
| of the national revenues. The result OF the
| LEGISLATION of the last session OF congress Las
| not as yet become sufficiently apparent 70
| Justify any radical reduction or sweeping mod
| ifcation of existing law. In the internal reVe.
| nue., which must elapse before the effects OF
| the act of March 3, 1888, can be definitely as
| certained portion of the surplus revenues
may be wisely applied to the long needed duty
| of providing coast defenees for the protection
| of our harbOrs. This is amatter to which shall
| agiin advert.
THE NATIONAL CURRENCY.
Immediately associated with the financial
subject is an important question, on which leg
islatiOn is needed, regarding the national cur
rency: The aggregate amount OF bonds now on
deposit in the treasury to support the national
bank circulation is about $3.50, COO GOO, nearly
5000 600 600 of this amount consist of three per
cents, which, as the treasurer states, are pay
able at the pleasure of the government and are
likely TO be called in within less than four
years, unless in the meantime the surplus rev.
enue shall be diminished. The probable effect
| OF such an extensive retrenchment of securities
which are based upon the national bank circu-
lation, would be such contraction of the vol
mercial EN- embarrassment. How can the danger
be obviated? The most etfectual plan, and
one whose adoption at the earliest practicable
oil
ready been indicated. If the revenues of the
next four years shall be kept substantially
commensurate with the expenses, the volume
of circulation will not be likely to suffer
any national disturbance, but on the
other hand if there shall be great
delay in reducing the tax, it will either be the
place of the national bank notes or to make i'm
portant changes in the laws by which the cir
culation is now controlled. In my Judgment
| the latter course is far preferable. L commend
to your attention the very interesting and
thoughtful suggestions upon the subject which
| appears in the secretary's report. The objec.
any other securities than the objections of The
government itself as a foundation for national
bank circulation seem to me inseperable for
avoiding the threatened contraction. Two
courses have been suggested, either of which
is probably feasible. One is the issuance OF
new bonds having many years to run, bearing
| u low rate of interest and eXchangeable upon
specified terms of those now outstanding; the
| other course which commends itself to our judg
| ment as the better, is the enactment of a law
repeating the tax on circulation and permitting
banks to issue notes for an amount equal to 80
| per cent of the market value, instead of as
| now the face value OF their deposit bonds.
| agree with the secretary in the belief that the
| adoption of this plan would afford the neces-
Sary relief
THE TRADE DOLLAR
The trade dollar was coined for the purpose
OF traffic in countries where silver passed at its
value, as aScertained by its weight and fine
ness. 1t never ha0 legal tender quality. A
large number of these coins entered, however,
INTO the VOLUME OF our Gu. currency ;e by common 5a
has now closed and they have thus become a
disturbing element They should not be longer
permitted to embarraSS the currency system.
recommend that provision for their reception
| by the treasury and the mintS as bullion at a
small per centage above their market price of
| silver of like fairness.
| CONSOLIDATING CUSTOM DISTRICTS.
The secretary of the treasury ad-
yses a consolidation OF certain OF
| country and suggests that the president be
vested with such power in relation thereto as
| is now given him in respect to collectors of in
ternal revenue by section 3141 of revised stat
| utes. The statistics on this subject, which are
| contained in his report, furnish of themselves
a strong argument in defense OF his views. At
the adjournment of congress the number of in
ternal revenue collect on districts was 1876. By
| executive orders dated June u, 1888, 1 decided
that certain of these districts be consolidated; /;
| the result has been reduction of one-third of
| their number, which at present is but eighty
| three.
THE INDIANS.
From the report of the secretary of war it
will be seen that in only single instance has
there been any disturbance of the quiet condi-
| tion of our Indian tribes. A raid from Mexico
| into Arizona by small party of Indians,
| which was pursued by Gen. Crook into the
| mountain regions from which it had come. 1t
| is confidently hoped that such an outbreak
will not again occur and that the h Indians dams who who
| hereafter remain in peaceable submission.
NOTIFICATIONS.
| l again call your attention to the present
| condition of our extended sea coast on which
are so many large cities whose wealth and i'm
| portance would, in time OF war, suffer from
| modern war ships. which our insufficient de-
| fenSive works could give no adequate prOtec-
| ton. These works were built before the intro
/ duction of modern heavy rifled guns into mari
time warfare and If they are not putin an effi-
cient condition we may be subjected to hlmili-
| alton by hostile power greatly inferior to
| ourselves. AS germane to this subject call
| your attention to the imp Nrtance of perfecting
\ our submarine tOrpe do defenseS. The board
| authorized by the last congress to report on
the method which should be adopted for the
| manufacture of heavy ordnance, has
| visited the princi pal iron and
| steel works in this country and Europe. 1t is
hoped that its report will soon be made, and
| that congress will thereupon be disposed to
| provide suitable facilities and plans for the
manufacture of such guns as are now impera-
| lively needed.
| STATE MILITIA.
On several occasions during the last year Of
ticers of the army have, at the request of state
/ military authorities, visited their military en-
/ campments for the inspection of troops. From
the reports of these officers am induced to be-
| iieve the encouragement of the state military
| organizations, by the national government,
would be followed by very gratifying results,
and would afford It great assistance IN emer-
| gencies with the aid of large body of yolun-
| teers educated in the performance OF military
duties.
The secretary Of the navy reports that under
| the authority of the act of August 5, 1882, and
/ March 3,lS83, the work of strengthening our
| navy by the construction of wooden vessels has
a1sPeiousy begun Three cruisers
and Atlanta each 5000 tons. They
are to be built of steel with the tensile strength
and durability prescribed by law, and combi-
| nation of speed endurance and armament
| are expected to compare favorably with the
| test uniformed vessels of other nations. A
fourth vessel, the Dolphin, is to be constructed
| of similar material. 1t is intended to serve as
a fleet dispatch boat The douele turreled
| monitors Puritan, Amphritite and Terror have
been lau lched on the Delaware river, and a
| contract has been made for the supply of their
machinery. A similar monitor, the Moadnoc,
/ has been launched in California. The naval
| advisory board and the secretary recommend
the completion of the monitors, the construc-
ton OF four gun beats and also @ OF three add,
and Dolphin as an important measure of mate
| rial defence.
WATER WAYS.
The secretary urges also the immediate crea-
tion of an interior coast line of water ways
across the penensula of Florida
along the coast from Florida to Hampton
Roads, between Cheapeake bay and the Della
ware river and through Cape Cod. feel
bound to impress upon the attention OF Con
sress the necessity of continued progress in
the reconstruction of the navy. The condition
of the public treasury, as 1 have intimated
makes the present an suspicious time for put
ting this branch of service in state of eff
cheney. 1t is no part OF our policy to create anC
maintain navy able to cope with that of the
other great powers of the world. We have NJ
| wish for foreign cOnqueStS, and the peace
which we have so long enjoyed is in no seem
strength should be made adequate for the de
fense of our harborS, the protection of our com
| mercial interests and the malntainanceS OF oul
national honor, is proposition from which NJ
patriotic citizen will withhold his assent.
THE MAIL SERVICE.
The report of the postmaster general con
tainS q gratifying exhibit of the condition an(
, prospects OF that interesting branch of publi
J Service in his care. 1t appears that on jun
a 1853. of which 1852 were established during
| the previous fiscal year. The number OF office
operating under the system of free delivery
was 154; at these.latter offices the postage OF
exceeding by S102 ls9, ,401 the entire cost of tn
carrier service of the country. The rate O
! postage on drop letters passing through Ties
! offices is now fixed by law at two cents pc
half ounce or fraction thereof. In office
where the carrier system has not been eStat
lished the rate is only One-hah as large.
| will be remembered that in 1873 when free de
livery was first established by law, the uniforT