Union County courier. [volume] (Elk Point, Union County, D.T. [S.D.]) 187?-1913, 1888-12-12


ceased TO bear interest,", amounting to
81, 7g1. 3J and BY the purchase OF SEQ, $780,.
8Gb Of the funded loan OF 1891, at a cost to
the fund for premium Of 81 ,672, 22?. 20 ON
the former and $844, 2O8, - ON the latter
loan.
SURPLUS REVENUE.
In the last annual report 1t was estimate
that the revenues for the year to end june
30, 1883, would exceed the ordinary expen,
ditures, not including the sinking fund,
$113, O0O 900. 1t win be seen from the forego-
ing statement that such excess was in reali-
ty 81 .9,6l2, 1860, CT %, f12, 1i6. % moro
than the department. estimate. It was also
estimated In the aame report that the like
smzxpiua Or ~ 0scai vsa1 10 - JusGvs 90
1889, would be tl04, 313, 361 ~ Judging
from the actual expenditures for the first
quarter OF this fiscal year. and in the light
of receipts and expenditures to the middle
of November, it il probable that this esti-
mate will prove to have been fairly accu-
rate, and that the surplus will almost exact
ly equal the predicted sum.
The accumulated surplus on Sept. 20
1888, was 500, 444, S45.S4; the surplus reve-
nues from that date to June 30, 1880, as
estimated, are $s5, 365, 20S. %, making the
total accumulation on June 30, 1889, which
could be used in the purchase of bonds.
$17l $40. 054.O9; however, between said
Sept. 20 and Nov. 90 $44, 1919, 500. so has
been paid for bonds; consequently, il no
more tonds were bought between now and
June 30 next the surplus would then
amount to *t21, 600, 600. Upon the basis
Of appropriations recommended by the de-
partment and upon the assumption that the
revenues of the fiscal years to end June 30,
1889 and 1890, will be equal, the surplus
revenues for the latter fiscal year will be
S1O1 ,OOO, 900, which, with the surplus reve-
nues of this year and the surplus already
accumulated, make a total OF $22S, DOC, 900,
which might be used during the next nine
teen months in the purchase OF the interest
hearing debt, and which ought to be used
for that purpose unless the laws are 20
changed as to reduce the difference between
expenditures and revenue by nearly that
sum.
About 1888, 900. 600 Of the 4. per cent
bonds are now outstanding; they are pay
able Sept l, 1891. The total amount Of
interest which will accrue ON them from
numbers $4,000, GOO; consequently the
present surplus and the surplus which will
probably accrue before July l, 1890, will
suffice to pay the principal OF those bonds
and all the interest which would accrue
upon them should they he permitted to re-
main unpaid until their maturity.
The principal OF the per cent bonds is
now $3.50, 900, 000 and the interest which
could accrue upon them until their ma
turity in 1907 Is about 500, 000, 900; cal
culation win show that the present surplus
revenues, il continued, would pay before
1900 all of the per cent bonds and all of
this interest. OF course all the money
which Ia saved by the purchase tonds less
than the principal and the interest to ac-
crue but shortens the time when all the
bonds may be paid il the holders will SUR
render them
Nothing moro is needed than tho FORE
going statement to show tho absolute
necessity of readjustment of the public
revenues at the earliest possible date To
continue taxation with no other use for its
proceeds than such an investment is a cruel
waste of the peoples money.
PURCHASE OF BONDS
Since the last annual report, and after
the completion of the sinking fund require
ments for the year ended June 81, 1883, no
bonds were bought until there
had been an expression Of opinion
by resolution in both houses Of
Congress that 1t was lawful and proper to
invest the surplus in bonds necessary to
obtain them. The purchase was resumed
under circular OF April II, 1883, and since
that time nearly all the bonds watch have
been offered for sale TO the government
have been bought by IT, Ninety -four mill
ions Of dollars Of bonds have been secured
under this circular and q premium paid for
the privilege Of buying them Of about
SIS, OOO, 600; the net rate of interest realized
from this Investment Is only about per
cent and the saving in the total amount of
interest which would have been paid
had the bonds been allowed to
run to maturity h about *27, 900, 600.
Had taxation been reduced 20 as to leave
this money with the people, and il it Is
worth in their business per cent per an
num- the total value of the money to them
during the term which these bonds had t.
run would b. about &s3, COX, 900; thus there
is resulting loss to the people Of $58, COO
700 upon this transaction alone; II this
overtaxation Ia not stopped, and II the gov
eminent Is forced to continue t. be pur-
chaser OF It's own bonds ct the holders
prices, the loss to the people, as could be
shown by like calculation, must DO hum
dreds OF millions Of dollars,
REDUCTION or TAXATION.
cannot too strongly repeat my recon-
mendation Of last year to reduce taxation,
and as far as possible, without too sudden
disturbance Of existing interests, to make
this reduction In customs taxation, to the
end that the people may get the greatest
possible bensft from the reduction.
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