The intelligencer. [volume] (Lexington, Mo.) 1887-1891, 1890-10-18
PRESIDENT U. s. HALL AND THE
SUB-TREASURY SCHEME.
OFFICE OF u s. HALL,

To The Members IF he Farmers and
Laborers' Union Of MiSSouri:
Feeling a deep interest
in the permanent success of our noble
order and knowing there is now being
discussed among us, in this state, for its
adoption or rejection by You, what Is
known as the agricultural sub treas
ury scheme" | deem it my duty, as
president of the order, to give you the
benefit of whatever thought and
examination may have given the
subject, to aid you in arriving at a
correct conclusion on this important
matter:
am more readily induced to do
this for the three following reasons:
lst. A number of brothers have
written mo asking tor my views Oh
this subject.
End | have been acquainted with
the plan, and had given it careful con-
sideration, prior to its being brought
TO public notice; and
3rd. regard the SUCCESS or failure
of our state and national organizations
depends upon the correct answer to the
question: "shall we endorse the agrI-
cultural sub. treasury scheme now
pending in the United States congressr
This scheme has been introduced into
both branches OF congress: in the lower
house 1t is called the "Pickler bill'' and
in the senate the "Vance BILL" but az
the leading points IN both bills are the
same will discuss them together.
The leading features of this "scheme"
is for the United States government to
build in each county in the United
Ststes, which raises surplus of $780,
000) five hundred thousand dollars
worth of wheat, corn, oats, tobacco or
cotton, buildings known as warehouses
and sub.treasuries, in which the owners
OF these products can deposit them ,and
the national government will then loan
the depOsitor money To the amount of
80 per cent. OF the market value of such
goods, at the time of depositiug them;
the government takes lien upon the
products SO deposited TO secure the re-
payment of the money thus loaned, and
interest thereon at the rate of one per
cent. per annum, and the warehouse
and other charges for storing and hand.
ling such grain.
At the same time that the government
receives the farm products and loans
this money, it issues warehouse
receipt to the person so depOsiting such
products. which receipt is transferable,
and gives the holder the right to redeem
the goods so deposited at any tune
within year from the date of deposit
by returning the 80 per cent. and
interest anu paying the charges OF
storage, etc.
am opposed to this scheme on tho
following grounds, which | will aim to
discuss somewhat in the order in which
| name them below:
| ]. lt ia in violation of the cOnstitu-
ton OF the United States.
2. Ii is subversive of, and directly
opposed to the constitution, principles
and demands OF our own order.
3. 1t is un just and inequitable.
4. IL is very extravagant.
8. 1t would bring financial ruin to
the farmers of our entire country and
to all other classes OF business.
6. Ii will have and is now having
the effect OF drawing the minds OF the
farmers and other laborers OF ON
country from the greatest curse of the
sge-class legislation, and il adopted
, will commit us to that principle which
will fasten THESE cnrses upon us fol
all time.
1t is in violation of the constitution
t of the United States:
Art. Sec. S,of the u. s. constitution
!, defines the powers vested in congress
The only one of the sub- divisions o
. q ~ Sec, 3, that the advocates OF th
scheme claim vests the power in con
: gress to pass such bill is the first
which reads as follows.
] "The congress shall have power, tC
lay and collect taxes, duties, impOst
= and excises, to pay the debts and pro
vide for the common defense ant
r general " cliare OF the United States
The question then arises, has con
b gress the power under this section
above quoted, To loan money TO il
citizens ut one per cent. year upo
their wneat, corn, oats, tobacco an,
cOttOni
The power is gwen therein to con
gress to collect taxes Tor certain speciti
i purposcs-tO- wit: "tO pay the debts
Can this mean to loan money .'0H
y prOUidc for me common defense an
qeneraL WciJTe Of The united StateS?'
u Can this by any honest and iai
construction, mean that congress sha
have the power to collect taxes from q,
= whole people and then loan these take
SO cOllectcdf
Il The advocates of these sub treasur
bills claim that the widest pOssiDl
-, construction should be given to thi
"gcneral welfare" clause, and tina
t, congress might thus find the powers !
this section.
e claim that the widest and broade:
construction to which the Englis
language is susceptible will not We:
such "a power in congress.
The courts of the United States, bot
state and national, in constituting ii
" powers vested in congress by th
Y constitution uniformly lay down u
" ,Ioctrine that "lhis government is on
II limited powers, aud the uatlon