The times. [volume] (Richmond, Va.) 1890-1903, 1894-01-16
CARLISLE ON THE TREASURY.
The SttYatary Says Our Eychtqusr is
in a Critical Condition.
URGES PROMPT ACTOR BY CONGRESS.
Unless II s. Taken Tie viii Feel 1t His
Duty To Exercise His Power In Pro-
viding for Coin Reserve.

tary Carlisle has deemed II proper 10
make public. through a letter addressed
to Mr. VOORHEES,. chairman of the Senate
Committee on Finance. with whom he has
been in consultation for several days. an
authentic statement Of the present criu-
cal condition Of the United States Treas
ury. and OF It's urgent needs.
He says:
In compliance with your verbal Request,
have the honor to submit, fer the con-
sderatlon OF the Finance Committee Of
the Senate, statements showing The actual
condition Of the Treasury on the 18th day
of the present month, and estimates Of the
receipts and expenditures during the re-
malnder Of this month and the month of
February.
at will be seen from these statements
| that there IS an urgent necessity for such
| Immediate action as viii replenish the
| coin reserve and enable this department
| to continue the payment OF pubic eN-
| penses and discharge the opllsduon9 OF the
| government TO pensioners and other law
| full creditors.
when my annual report was prepared,
! II was estimated that the expenses during
| the current fiscal year would exceed the
! receipts TO the amount OF about SSVW,VO
| and | asked Congress Tor authority 10
| issue and sell bonds. or other forms of
! obligations 10 an amount not exceeding
| s50,0OO,OO0, bearing q low rate OF interest,
| and having n reasonably snort unc 10
run. TO enable the Secretary OF tn2
Treasury TO supply such deficiencies as
| might occur in the revenues. The estimate
| then made was based upon the assump-
| tion that the worst effects OF our iinan-
| cial disturbances had already Deen rcdllzed
| and that there would be a substantial IN
| crease in the revenues for the remainder
| of the year. While IL was not believed that
| the deficiency then actually existing would
| be supplied by increased revenues IN the
| future. 1t was hoped that no additional de-
| nclency would occur but the receipts ana
| expenditures during the month Of Decem-
| her and M TO the 18th day of tho
| present month show that the estimate OF
a deficiency Of S2S,o0OV0 at the close OF
| the year was too low'
Receipts and Expenditures.
| The Secretary then presents a table Of
actual receipts, expenditures and deli
| ciencies for each month OF the fiscal
year, including twelve days in January
| showing a total excess OF expenditures
| over the receipts OF Si3,55S.Ni. Mr. Car
| Isle says II the same average monthly
! deficit should occur the total difference
| between receipts and exports on the 3Jth
| day OF June next will be SlS.lG',532.
According to the best estimate that
can be made. the total receipts during the
| present month. and the month OF Feb
ruary will be S4i 10000. and the total
expenditures will be S6O,30O,o)l, showing a
| deficiency during the two months Of SIS, 70
10000. But this does not include any
| payments on account Of the sugar bounty,
| claims for which to the amount Of nearly
| s.. .O0O. 900 have already been presented, and
are now under investigation in the De-
| partment \ statement of the condi-
tion of the Treasury Is presented from
which the Secretary says, It will appear
| that the coin reserve has been reduced
to $7f,10Sl4S, and IL is evident from the
condition OF the Treasury that the De-
| partment will have no means 10 defray
| the ordinary expenses of the govern
ment. unless a large part of the pay
ments are hereafter made out Of that
fund. II this is done. the coin reserve
| will be reduced by the 1st of February
to about s6660l ,S64. a sum wholly made
quate for the purposes for which it was
| created.
| Prepared ~ rIil for Relief
| "On account Of this critical condition
of the Treasury, / have considered IL my
| duty, in addition 10 the earnest recOmmen-
| datjons contained in my annual report, 70
appear twice before your committee, and
after full explanations of the situation
urge prompt legislative action on this
subject. With the permission Of the com
mittee. / have prepared and presented
for its consideration, a bill, which II
| promptly passed would, in my opinion
| meet all the requirements Of the situa-
tion by providing the necessary means
for defraying the public expenses. anc
replenishng the coin reserve 10 such an
extent as To assure the maintenance OF
the parity of all forms Of United States
| currency.
while this proposed measure OF relief
has not yet been disposed of or considered
by the committee. the great difference
Of opinion which are known TO exist u
both branches OF Congress concerning IN
propriety OF granting additional O
amended authority TO issue bonds in an!
form or for any purpose. renders 1t douht
fui whether new legislation upon the SUB
iect can be secured i'm time 20 provid
the means which are imperativey dc
manded Ia order 10 preserve the credi
and honor Of the government. Authorit!
| To issue and sell bonds for the puipoS
|
| pressly conferred upon the Secretary o
the Treasury by the act or January
1875, but ii has not been exercised sine
1879, and on account of the high rate o
interest provided for, and the length o
time such bonds would have 10 run,
have not been satisfied that such a
emergency has heretofore existed a
would clearly justify their issue.
To Provide - toiu Reserve.
"Rut the necessity for relief a. thi.
time is urgent, and the prospect Of mate
rial Improvement in the financial condl
ton Of the government is SO problematica
that, unless authority 10 issue and nel
shorter bonds, or other obligations. bear
ing a lower rate of interest than that
specified in the existing law. is granted
| by Congress at n very carly day. ] shAl
feel constrained by a sense of public dutN
TO exercise the power already conferred
TO the extent. at least, OF providing IL
adequate coin reserve.
'If this action should be taken Congress
ought nevertheless. to provide prompul
for the deficiency I'm the revenues hnrlns
the current fiscal year and ! VIII IRON
| time TO time advise your committee o
! the condition of the Treasury III orr.
that this subject may receive due consul
Grafton" ~.
The bill referred to in Secretary car
isles letter empowers him To issue tIo''
time to time. as he may deem hecesss,s
and In such form as ne may ples. ~. ~
c~,,,,on o- rocIrtcred bonds ~ tho Tinted
States In denominations or twenty
dN'tsrs ard multiples thereof, redeemabi
,n coin at the pleasure of the Unite
ctates after - years from date, bearin'
| a -. cont interest and to use the pro