Thomas County cat., 1890-04-24
Senator Plumb to the Rescue,

WASHINGTON, d. G., April 16.-Mr. Plumb
introduced bill for the disposition of certain
funds il the treasury, and asked that it be
read in full, as he desired to call The atten-
ton of the finance committee to it. 1t pro-
vides that the money required to be deposited
for the redemption of the national bank cir
culation shall be covered into the treasury
and treated as funds available for the pay
ment Of the public debt, and for the current
expenses of the government: that all funds
held for the payment OF the matured DEBT,
and interest due and unpaid, shall be slInl
larly treated, and that hereafter no funds
available. above the sum of $40, ,OC0,OoC, shall
be retained in the treasury-this not to be
construed, however, as permanently dlmln-
ishing the fund of Sl00.0OO,C00 now held for
the redemption of treasury notes. be SAID
that there was less than 1O,OOOUO IN clrcu-
lation for the use of the .65, ,OUO 900 people OF
the United states, probably not more than
$40 per capita. Il he system OF finance that
had been built up and maintained had
brought about that result. 1t had its merits
and its great defects. One of the greatest OF
those defects was the compulsory holding In
the treasury of that very large sum of money
on the theory that 1t was Needed "a theory
confuted by every known fact ,and on the FUR
ther theory that the secretary of the treasury
was to be the arbitrator of the financial ques-
tions OF the people. 1t had been stated in the
public prints that in pursuance of his policy
of controlling the finances of the country,
the secretary of the treasury had contracted
.he currency during the month of February
over Sl0.O00OoO. He, Mr. Plumb, believed
that that retention of money in the treasury
and that assumption on the part of the secre-
tary TO do what might have once been proper,
but which now constitutes a menace to the
business of the country, ought to be prohlb-
tied by law. A senator sitting near HIM had
asked him for what nominal purpose the
$4,000 600 was held i'll the treasury.
The senator then named the amounts
boarded in the treasury and the alleged pur-
poses for 1t; and added:
As to the remainder of it. it was impossible
to tell why II WAS held. He had given all
possible scrutiny to the statement of the
treasury and he could not tell. The confu-
sion of subjects and amounts was such that
it was impossible for any one to tell about it.
1t was enough to know that 1T was not held
there for any useful purpose. He did not
think that the law required any of 1t to be
held there except such portion as In the dis
cretion of the secretary was necessary to
meet the obligations of the government. He
(Mr. Plumb admitted that the secretary
might even, under that theory, hold as large
n sum as was now in the treasury, although
he (Mr PluInb) should think it an extraor-
dinary use of the secretarys discretion.
From every quarter there was abundant evi-
dence tkat the public need for the transac-
ton OF It's business, that this money in the
treasury should he disbursed. For all useful
purposes il might as well be in the bottom of
the sea as IN the treasury. During last year
nearly 100000 of national bank circula-
ton had been withdrawn: to meet that re-
duction there was. of course. the coinage of
silver-S2W0,0I0 Il month-and the coinage
of gold: but experience showed that not only
were these two agencies needed, but there
was also needed paper money to the maxi
mum amount outstanding at any time. The
business of the country was languishlng.
New enterprises were withheld, old enter
prises were struggling to keep on their feet,
and there was dread and terror and appre-
hension. where there ought to be hopeful
ness. heipfuinesS and enterprise. That con-
dition of things would continue until the
remedy was attained: and that remedy could
only come 10y legislation: because legislation
combined with executive action had brought
the country to where it was now. Congress
would legiSlate some of these days on the
silver question; but no one knew when, and
no one knew how. Whatever was done would
result in great addition to the money of the
country: but this measure of his Tor some
think like II would give an addition at once,
and the money could be dishurSed within
sixty days. He had ventured thus publicly
and thus briefly to call the matter to the at
tention of the finance committee: and he
hoped that 1t would report this bill or some
thing like it after its Dext meeting. He did
not care whether the committee reported 1t
favorahly or adversely so long rs the senate
would have a chance to vote on the retention
of that large sum of money in the treasury
for no useful plrpoSe.
The bill was referred TO the finance COM
mittee.