The record-union. [volume] (Sacramento, Calif.) 1891-1903, 1893-08-21
measure to the House for its concurrence.

! W VIC ooTneeS Dill, mas Deen drawn by
| Representative Bailey of Texas, an ard
ent bimetallist, who is known in the
camps of the free coinage men to be the
real author of the free coinage bill now
pending in the House. as a proposition to
be offered by Bland as a substitute to the
| Wilson repeating bill The title of
| Bailey's national bank bill is Ps follows:
| a bill to increase the currency, and to
| provide for the redemption thereto and
/ Tor other purposes.
| Section l. From and after the passage
/ OF this Act any bank organized under the
! laws OF the United States, and having on
| deposit with the Treasury of the United
States bonds bearing interest at the rate
| OF per cent. per annum, may surrender
| SAID bonds to the Treasurer of the United
States, to be cancelled, and to receive in
lieu thereof an amount of national bank
notes which, added TO the amount of
| notes heretofore issued to said banks,
shall be equal to l20 cents for each dollar
! specified in the same bonds.
section :. Any bank which shall sur
render its bonds in accordance with the
first section of this Act shall thereafter be
and remain exempt from the tax of per
cent. now required to be paid upon its
| circulation.
| Section 3. The Treasurer of the United
States shall return to any bank which has
surrendered its bonds, in accordance with
the first section of this Act, the amount
which may be in the Treasury to the
credit OF such bank on account Of it's re-
demptiOn fund.
Section 1. The United States hereby
assumes all notes issued under the
hrst section of this Act, and
all notes heretofore issued bv such
banks as shall surrender their
pohQs IN accordance with the first section
OF this Act, and in order TO provide for
the redemption OF said notes, the Secre-
tary of the Treasury is hereby directed to
nave coined into standard silver dollars
all silver bullion now in the Treasury.
except so much thereof as may be sufii-
cient to redeem the coin notes issued
under the Act of July IA, $780, entitled
An Act directing the purchase Of bullion
ana the issue OF Treasury notes thereon,
and Tor other purposes.' and said silver
| dollars shall be reserved rs a special fund
! to redeem such said notes as may be pre-
scented for redemption.
| Section 3. Additional notes issued to
| any bank under the first section of this
| Act snail be uniform in all respects with
notes heretofore issued to the same bank.
| and may be counted as part Of the law
| full reserve which the law REQUIRES a ma
| tlonaI bank to hold, and said additional
| notes shall be receivable the same as is
provided by law for notes heretofore is
sued, and when received by the Treasury
shall be reissued the same as is now pro
vlded by law for United States notes.
Bailey said his proposition would in
crease the circulation over SOL, OOO,O 900 li-
rectly, and would indirectly add over
81 100000 more by releasing sums held in
the treasury for redemption purposes.
making the total increase more than
S5S0O0,000. Besides this, it would save
the taxpayers of the country over &. OOO.-
600 IN annual interest. Banks in every
part of the country would find it profit
able to surrender their bonds and take
| this additional circulation, but it would
be especially profitable to banks in those
sections where the rate Of interest is high
est. and these are the very sections which
stand most in need of this increase. The
bill will also utilize all bullion now in the
treasury except what is necessary to re-
deem the notes issued under the Sher-
man Act, a surplus of something like
100000, which will constitute a coin
reserve fund of about the same proportion
as now held for the redemption of green
backs.
Senator VOORHEES,, during his speech on
the financial question in the Senate on
Tuesday next, will read the following
letter from Secretary Carlisle to show the
difficulties in the way Of the free coinage
Of silver at changed ratio:
Hon. Daniel " Voorhees,. TT7jfed ,Yotoei
Seadt0r-SIR: Referring to our CONVEX
satlOn relative to the probable cost incl
dent to change from the present coinage
ratio between gold and silver Of 1 to IL
Tor standard silver dollars, and / to
| lib tor subsidiary silver, to a ratio of
to ~, you are respectfully informed that
the number of silver dollars coined since
1873 aggregates 9,322, $50. Without anv
allowance for abrasion and loss incident
10 melting same, the coming value of
these dollars at a ratio OF l to 20 would
be 533, ~, l62 or SS4, ll0, 226 less than their
present face value. To recon these dol
lars at ratio OF | to 20 would require an
addition OF 81 1910 ounces of new bull
/ ion, which at the average price paid for
silver under the Act OF July Ii. 1890
! S0.934, would cost SIS. SS3, 700 In addition
10 this estimate there would be a loss
from abrasion and III melting these dol
lars of at least s., 900, which amount.
| together with the difference in the face
value of the coins, SS4, III, 2SSl would have
to be reimbursed to the treasury by an
appropriation tor that purpose,
From the TACT that tue silver dollars are
distributed throughout the country. il
would be necessary, as they are redeemed
at the several sub-treasuries, to TRANSPORT
them to the minis, and the expense of
/ transportation for $500, OG0, 900, the amount
OF outside stock on hand at the sub
! treasures and minis at Philadelphia San
Francisco and New Orleans would aver
| age at least one and half per cent. or
S4,50U,0O0. L therefore estimate the cost
/ OF coming silver dollars already coined
as follows: New bullion to be added
80, $50, 100; loss by abrasion and melting,
/ IS, 100000; cost of coming ,labor, materl-
ais, etc., S6,29O,00O; copper for ALLOW.
! sos, 200; transportation OF dollars to minis
| II. 500. 900: total, $50, 1900.
The stock OF subsidiary coin in the
country is estimated at ST., 900, 900, which
al full weight would contain s.. 6gg. S75
ounces of tine silver. This amount. at a
ratio of l to % would coin S55. ~. S,l2- or
81, I56, 1913 less than the present face value.
Iorecoin 81, 100000 subsidiary silver into
an equal amount of fractional coin at A
ratio of l to %, would require an addition
of Is, 1gI go fine ounces, which at S0.g3t
per tlne ounce. the average price paid TOR
silver under the Act OF July IA. 1890.
would cost 81, 52S, 7S5. There would be
loss of about two and a half per cent.
abrasion from the face value or about
81, 81, 900.
would therefore estimate the cost of
recoining subsidiary silver in the coun-
try at a ratio OF l to 20 as follows; New
bullion, 81, SIS, 7S5; loss by abrasion.
81, 925, GOO; cost OF coming 1abor. materi-
ais, etc., S2,500,000; copper for alloy, SI5,-
$50; cost of transportation, 81, l55, COO. To-
tai, SO, ia, 42l.
Reorganization: Estimated cost of re-
coming silver dollars $50, TAI 800: esti-
mated cost OF recoining subsidiary silver,
SIR ID 42i Total SID $50 23I Narx- -