The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1892-12-16
Object of she Democratic Inquiry Into
Financial Affairs Becoming Apparent
Wilson and Springer Want the Secretary of
the Treasury to Assist Them in Framinga
Cleveland Tariff for Revenue Bill.
Statement from Mr. Foster Regarding
the Estimated Surplus Next June.
He Has Made No Prediction Based on Proposed
Legislation Greater Reserve Of Gold Nee.
essary-Caucus of Republican Senator's
SECRETARY FOSTER SPEAKS.


Statement Regarding tho Estimated Surplus
I'm the Treasury-Mr. Wilson's Scheme.
Special to the Indianapolis Journal
WASHINGTON. Dec. 15.-Secretary of the
Treasury Foster was much surprised to
read in nearly all the morning papers the
report that he had sent q statement to the
appropriations committee estimatinga sur
plus in the treasury at the end of this fis-
cal year of s2O,00O,0 900. The cause of this
widespread publication was the appearance
of q statement. in the usual form of . de-
partment bulletin, which was accepted as
official by the press associations and cor
respondents.
Secretary Foster said to-day to the Jour-
nal representative: II have no reason
for modifying the estimated surplus
gwen in my annual report of s32,-
100000. / would like to call at
tention, however. to the fact that
this surplus is dependent upon estimated
results, which are based. as have already
saId. upon conditions prevailing prior to
the late election That. you see, is a very
important point. do not say that there
will be any surplus left in the treasury at
the end of next June; / do not say that
there will not be deficit. What I have
stated as to the surplus is based upon q
continuance of the revenues as they were
before the election, but now change of
policy has been decreed"
What will be the effect of expected
changes in the tariff law upon the reve-
nuesf"
'I have not presumed to undertake to
answer that question. Instead. 1 have re-
ported to Congress what the surplus would
be if there had been no change
decreed in customs duties have
not presumed to say what the
surplus will be under these new
conditions. Finding it impossible to pre-
dict the effect that radical changes would
have upon the revenues, have left the
consideration of that question to those
members of Congress who know better than
what they are going to do with the tariff.
As remarked in my report. the business
community, having q full knowledge of
proposed tariff reductions. the inevitable
sScsplt will be falling off in importatioDs
a1d corresponding decrease In the .reve-
nhes. havesi in other words, shown Con-
gress what the condition of the treasury
would have been next June if the business
community had known that the Republican
administration and policy were TO be con-
tinued. 1t is now for Congress to toll tho
country what the effect of the new policy
will be upon the revenues"
do you think. Mr.. Secretary. that there
is any danger of such expectation of gold
as to reduce the amount in the treasury
below the reserve of 800, ,0OO, ,O00'"
mo; at least not while am here,n Sscre-
tary Foster replied. Il have now scraped
together S25,0OO00O in gold above the re-
serve line, and / do not think the de-
mands for gold will be such as to exhaust
this sum before next March. But I feel
cold childs run mp my back every time
think of the possible future results of q
heavy demand for gold for exportation,
which the treasury would be called upon
to furnish. think that greater reserve
silver circulation by nearly S26O, 600, 600.
We have increased our paper
circulation by about S12o, 600 900 of treasury
notes. and we are adding about sa00O.0Oo
each month in paying for silver bullion.
said in my annual report that the reserve
in the treasury should be increased. think
that it should be increased to at least S125,-
0O0000"
AS Secretary Foster wishes to 60 to his
home In Ohio within q short time 1t is not
likely that anything will be done in the
proposed examination of his figures by the
ways and means committee until after
Congress reoonvenes after the holiday re-
cess In the meantime. Mr: Springer was
authorized by the committee to-day to
name subcommittee to draw uu
the questions to be communicated to
the Secretary of the Treasury. The
resolution providing for this investig igatlon
was drawn by Mr.. Wilson. of West VIr-
RinIa, and Mr.. Wilson made to-day state
ment in regard to its scope of much inter-
est. 1t appears that he wishes to learn
from the Secretary OF the Treasury Just
what the Secretary says he cannot esti-
mate. and what he thinks the Democratic
leaders In Congress Ought to know better
than he. Apparently Mr.. Wilson wishes to
obtain some figures upon which to base the
new tariff bill to be framed by the ways
and means committee of the next House.
The prominence which Mr.. Wlls0n has
dicate likelihood that In case the next
House is reorganized, Mr.. Wilson, if not
Speaker, may be chairman of the ways and
means committee. He stated o-day that thu
new tariff bill Will be designed so as both
to reduce duties materially and at she
same time increase the revenue; and this
evidently is the problem which he wishes
Secretary Foster to help the Democratic
leaders solve. Mr.. Wilson expects to have
the subcommittee prepare large number
of intricate and searching questions to be
transmitted to the secretary of the Treas
ury, as TO the form Of the debt statement,
as TO available appropriations still un paid.
as to classification OF funds, and. in short.
as to all the details OF treasury book-keep-
ing under this administration.