The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-12-21
ElGHE-PAGE EDITION

pressing financial emergency tustif,eS <f,~h
aeearse lie suggests that bonds ne i<-
saed IN denominations Of s. and multi
H4es thereof, 20 be sold through sah-treas-
aries and rostcffse~s. In case congress
should decline 20 follow this course, he
recommends tha; the secretary be eTapow-
cred 10 execute bonds OF the government,
+ noi 20 exceed Saoo0oo. bearing per
erhL Interest. 20 ae sold OF circulated in
rsvmens 81 government ohliS ations. lie
urges prompt action 20 prevent serious i'm
Fa4FH'eht 81 public service. payment Of
+ pensions. etc.
( lie points ont the necessity for extern
/ sion OF the power of the secretary to
n'alntaia large reserve for reNicmp,ion of
United StsSes currency. showing that on
I TIE date OF resumption of specie payments
( there were iegss tender notes sahject TO re-
1 demptian outstanding TO the amount of
/ only sSsoesi ole: now these obligations
are increased 10 Sfa9 40. 10 Of direct obii-
| CATIONS, beside the requirement TO pre-
I serve the parity between gold and silver
on S4is ~, $50 of legal tender silver, on
which 1854 las, to{ IN silver certificates
have been issued
To emphasize this he speaks Of the heavy
exports Of gold during the current calen-
dar year, which finally. in spite OF oil
efforts carried the gold reserve to nearly
$1,000, 900 below the legal requirement,
the lowest point ever reached since the re-
sumption of specie payment The secre-
iary adds: AS long as the governments
continues the anwise policy OF keeping its
own notes outstanding to circulate as cur
rency and undertakes 10 provide for their
redemption In coin on presentation IL
should be. in my opinion. essential for the
secretary OF the treasury 10 possess means
TO meet such emergencies as the one which
recently occurred in cur financial affairs.
He says repeal of the silver purchase act
makes such a radichl change in the cur
rency policy of the government that until
its effect has been more fully developed no
does not consider IL advisable to recon-
mend further specific legislation on that
subject. He says the great increase IN the
bank reserve in the monetary centers OF
the country shows conclusively that tho
amount of money in the country is greater
than is required for the transaction Of
business.
He finds one of the principal difficulties
of the treasury to result from the indispo-
sition of the public TO retain silver dollars
and silver certificates in circulation. He
says he cannot understand why this should
he the case. and has sought to remedy 10
by increasing the number of silver certifi-
Gates of denominations less than $40. retir-
ing the larger ones and substituting for
them large notes of other kinds OF cur
rency.
The report then deals at length with the
tariff laws He argues In favor OF ad
loren duties and declares the inducements
to commit frauds and pcrjuries are much
greater under the system of compound
rates as at present than under the ad va
vaiorem. He also urges strongly the de-
STABILITY of free raw materials.
lie estimates the revenues for the fiscal
year 1895. on the basis of existing laws, AZ
si54. 427, 7is; expenditures. $44s, 3oS. $50. He
estimates the revenues from customs at
$3.50 100000. If the importations for tho
fiscal year 1895 are shown not 10 exceed
those Of 1893 the receipts under the pend
ing tariff bill will be si2s oo0. 900. bat the
secretary believes the proposed reductions
will increase importations, and thinks with
economy an increase OF SIS, GOO 600 in
internal revenue will supply the necessary
funds for the government. To this end be
recommends an increase OF 10 cents per
gallon on distilled spirits. and additional
taxes on cigars and cigarettes and new
taxes on playing cards. cosmetics, per-
fumeries. legacics. successions and in
comes from stocks and bonds of corpora
tions and joint stock companies.
The secretary says: "Much difficulty il
experienced by the officers charged with
the duty of assisting in the Enforcement of
the Chinese exclusion laws by reason of
certain practices resorted to by tho Chi
ncse coolie. arm of the opinion that as
long as our laws prohibit the Ian ding OF
Chinese laborers the privilege of passing
through our territory cannot bc safely
granted and should at once be revoked.
IL this privilege is continued IL will be i'm
possible 10 secure efficient execution Of the
laws passed by congress for the exclusion
of Chinese laborers."
on the subject of Pacific railways the
secretary says there are now outstanding
$64 623, 5i2 of per cent United States
bonds issued In aid of the Pacific rail-
roads. January 10, 1895. 81. 3o6. 900 of these
bonds will have matured, and the others
at various dates to January, 1900. He
adds: These bonds are absolutely pay
able on the respective dates OF their ma
turity, differing in this regard from other
outstanding interest-bearing bonds OF tho
United States. which are redeemable &C
the pleasure of the government after ccr-
tain dates In view Of this fact II IL I'm
portant that congress should take action
at this session with respect 20 the pay
men,. at least of the g. 326. 0o0. which will
mature within the fiscal year of isa5."
The secretary then reviews the Iegisia-
ton with reference to Pacific railroads,
briefly stating the financial affairs Of
the company as heretofore published.
and closes with the following recommen.
eiation "on account Of the approaching
maturity OF both class OF these bonds and
the magnitude Of the interests involved.
respectfully submit that the subject should
receive the early and earnest considera-
ton of congress. with view TO the ndop-
ton OF some plan which will more GER
tainIy secure the ultimate payment Of ths
/ indebtedness TO the government and at
the same time permit the companies To
conduct the business for which they were
/ created, under such limitations and re-
strictions as to management and expendi-
| lures As may be considered necessary to
protect the rights of all parties interested
| in the property. II would be very unfor-
tunate. in my opinion. If the government
| should he forced by any combination OF
| circumstances to- take possession of and
/ operate these lines Of railway, and every
reasonable effort should DO made by ail
/ parties 20 avoid such q result"
/ TAYLOR WILL NOT BE c0SFIRMED.
4