The Portland daily press., 1888-10-06
Proposed to Secure the Freedom OF
the Nicaragua Canal.
The Lack of a Quorum Prevents
Business In the House.
what the Majority Report Says Of
the Tariff Bill.


Mr.. Phelan, of Tennessee, offered amend
ments providing that the canal shall be
under control and protection of the United
States in order that representatives of the
North and South American people NAV be
guarded against any Infringement or aggres.
sion on the part of foreign nations; also that
tolls shall be equal ON the same class of ton
mage for vessels of all nations, except as
provided in article 81 of the concessions and
DEGREES of the Republic of NICARAGUA to the
Nicaragua Canal Association. Of New York;
also that the United States government binds
itself to protect all the rights of citizens,
acquired under said concessions and DEGREES
and guarantees lhe neutrality of said canal
and its operation under the tSrms Of said
concessions and DEGREES, subject 30 the con-
sent and approval, by treaty or otherwise, Of
the countries through which the canal may
beIconstructed.
Mr.. Culberson opposed Mr.. Phelan's
amendments. If they were adopted, the
government would have to keep a standing
amy in Nicaragua to protect the rights OF
the corporation.
Mr.. Phelan replied that the gentleman
radically misapprehended the terms of the
amendments. The amendments were drawn
| for the purpose of preventing the result
might ensue and had been drawn in careful
| conformity with the utterances Of the State
| Department, from President Grants adj
ministration to the present time.
Mr.. Fuller, of Iowa, said that the bill was
| piece of gigantic legislation SO important
when lit was expected that only ordinary
private bills would be called up and at a
| time when there were only about 60 mem
bers present He did not intend to permit
| the bill to 90 through without quorum.
Mr.. Phelan, in order not to imperil the
passage of the bill, withdrew his amend
| ments and Mr. CulbersOn's amendment was
agreed to. The bill being in committee Of
the whole, the question was then on report
ing the bill fayorably to the house. The
vote resulted 33 to 6, and Mr.. Fuller made
the point of no quorum. The committee
| then rose.
Mr.. Burnes, of Missouri, offered concur
rent resolution, which was agreed to, for the
appointment of a select joint committee of
| three Senators and three representatives to
investigate che work done on the Washing
ton aqueduct tunnel.
The House, at O'Clock, took recess until
o'clock.
The House at its evening session passed
27 private pension bills, and at 1890 ad-
| journed until Monday.
The MaJority's Report.
The report of the majority of the Senate
finance committee on the tariff bill opens
with the statement that the demand for a
careful and thorough revision of our revenue
laws is imperative. This revision is neces-
essary to reduce the national revenues. which
are now excessive; to remedy the defects,
anomalies and incongruities which have been
from time to time discovered in the tariff
schedules, or which have been created by
erroneous decisions Of the treasury depart
me mt; to secure the proper readjustment and
equalization of tariff rates rendered neces-
sary by modified business conditions and i'm
provements in methods of production, radical
changes IN prices, or by new elements or
sources of competition and to give relief and
protection to many industries which are now
suffering on account OF the inadequate rates
levied on competing products.
The public demand, the report says, for
reduction OF revenue Is more urgent ON ac-
count of the inexclsable retention in the
national treasury or in the national banks of
volumes of money in excess of the amount
required to pay the current demands upon
the treasury and to meet maturing obliga-
tions of the government. The existence of
this immense surplus furnishes occasion for
constant anxiety and apprehension of pos
sible financial disaster. The failure to pre-
vent this dangerous accumulation, melting
rs 1t does extravagant expenditures and con-
stituting ian ever-present menace to the
prosperity of all our people, cannot be too
severely condemned, but it is a failure for
which the executive department of the gov
ernment alone is responsible.
This accumulation could and should have
been proitably avoided, and the possibility
of business disaster averted, by prompt re-
turn of the money collected from the people,
to the channels Of trade, through the pur-
chase of United States bonds that could at
all times have been obtained for prices
which, to the government, would have been
equal to an investmegt. II otherwise unproht-
able funds, at rate of interest OF not less
than per cent per annum. II Is probably
true that the $50 900 deposited in nation
al banks cannot now be withdrawn without
peril to the business interests Of the respec-
tive communities where the banks are l0cat-
ed, and that this sum must remain for an in
definite period loan to the favored institu-
tions without interest
This is an unfortunate situation, however,
as must have been foreseen when the depos-
its were made and should not be aggravated
by other deposits, nor should it furnish an
excuse for the failure to promptly dispose OF
the much larger sum remaining in the treas
ury in the manner indicated To amend.
the provisions of law which enforce the col
lection OF excessive revenue and to remedy
the defects which we have here enumerated,
are within the scope Of legislative
relief, and Congress may properly be held
responsible for any evils resulting from
| continuance of existing conditions. 1t may,
however, be fairly said that responsibility
| for delay in the adoption of the legislative
remedies. rests upon the party in control OF
the House of Representatives, which, by the
CONSTITUTION. has power to originate
revenue bills.
The participation of the Senate in any
ton mas not been possible, from the fact
that the bill under consideration Is the first
| that has reached the Senate in more than
hve years, giving them jurisdiction over the
| subject.
Criticising the inaction of ''those whose
| anxiety for reform has been manifested by
| repeated declarations" the report says: 1t
| would have been easy at any time when
Congress has been in session since the Sd OF
March. 1885, and its sessions have covered at
least 20 months of that period, to have
secured the concurrence of the two houses
| upon measure whi3h would have reduced
the revenue and amended the administrative
features of our customs law in satisfactory
manner.
| 1t has been the evident purpose Of those
| who have controlled the policy of the party
In power, to delay action, to magnify causes
for uneasiness. and to multiply and intensi-
fy evils. until the people Of the country
should imperatively demand relief, and then
TO assume the evils and embarrassments
| from which we are suffering are the necessa-
/ ry incidents of the protective system and
| that relief can only be found in the emascu-
| lation, or destruction OF that system.
The known attachment of the great mass
/ of the wage earners Of the country to sys-
TEN which has been productive to them Of
unexampled prosperity, prevented the adop-
tion of policy OF open attack, and made it
| necessary that some plausible reason should
be found for the stealthy accomplishment of
their destructive designs.
The majority say that after a thorough ex-
animation of the Mills bill they have become
satisfied of its inadequacy as remedial
measure, in view ''of the condition which
confronts u.s." and in some general criticisms
of the bill reaches these conclu-
sions: Its adoption would probably
result in an increase instead of a reduction
of customs revenues. 1t provides no remedy
for undervaluation, but, on the contrary, it
invites and gives immunity to unlimited
fraud by the substitution Of ad valorem for
specific duties.
1t does not remedy any Of the inequalities
or anomalies, or cure any of the defects OF
existing law. While 1t perpetuates existing
infirmities, it creates by its obscurity of pur-
pose and phraseology and by its faulty con
struction, doubts and antiquities which
must multiply indefinitely the confusion
now existing. 1t does not preserve the
Classification of dutiable articles in sched.
ules, and it is impossible to say in many in.
stances to what clause Of existing law the
amendments proposed by the bill were in
tended to apply, or what their effect would
be. and the results which would flow from
its failure, as corrective measure. would
be much less disastrous to the material inter
ests of the country than those which mus
surely follow the adoption Of its viciou,
affirmative propositions.