The Kootenai herald. [volume] (Kootenai, Idaho) 1891-1904, 1894-01-20
The Country Will Become Bank
rupt if the Drain Continues.
INTERESTING STATEMENT
The Department Figures Show Heavy
Loss Since July and Means Must
BE Devised to stop 1t.

ingly shown to be an imperative neces-
sity by the figures made up at the de-
partmenc for the close of the calendar
year. These figures show a loss since
July of S34 100000 in the excess of ex-
penditures over receipts. They show
probable further loss during January |
and February of SIS, ZOO, 900 and an esti-
mated loss for the fiscal year ending
next July of more than 100000.
The treasury balance shows loss of
S4,s24, 061 during December. The bal
ance includes $50, S91, 600 in the gold re-
serve and SO, 4s3,955 in currency, repre-
senting every resource which the gov
eminent possesses, except the silver
bullion purchased under the Sherman
law, to redeem outstanding gold obli-
cations and to meet current expendi-
lures. A loss of $1s 100000 during the
next two months will carry the gold
fund close to $50, 600, 900 and leave the
department still cramped for paper
currency for ordinary transactions. A
loss of SIC 100000 for the fiscal year
will carry the general cash balance
down to SAC, OOO,OO0 and the gold reserve
to S35, 100000. The treasury officials
say they are powerless, even by the
most rigid economy, to avert this con-
dition of things without the assistance
of congress.
The detailed figures for the present
fiscal year, ending July next, shows
estimated expenditures of 1879, 000,00
and receipts of 5000, 100000. Pension
expenditures are put down at 100000
600, interest on the public debt at $27,-
100000, the war department at SIS ,000,-
900, the navy at $33, 900, 900, the Indians
at 100000 600 and the civil and miscel-
laneous expenditures at 100000, 900.
The estimated receipts from customs
are S140 900, 600. from internal revenue
S143, 100000 and from miscellaneous
sources $40, 100000.
The figures for the next two months,
carefully complied by the experts Of
the department, show receipts of S22,-
600, 900 for January and $40, 900, 900 for
February, with expenditures of 500, 300,-
600 for January and S27, 100000 for
February, an excess of expenditures
for the two months of SIS, 400, 600. The
reduction of the gold reserve to its
present low figures is doubly dangerous
at this season of the year. January is
invariably a month of gold exports, and
the average loss of gold to the treasury
in January for the past twelve years
has been SO, 600, 900. The loss in January
1890 was S13, 100000; the loss in 1891
81, 800, 900; in 1892, SI1 100000; and in
1898, S13, 100, 900. A drain of S13,000,00C
during the present month would cause
great anxiety at the treasury and 1t Il
feared it might in some degree renew
the panic of last summer. The only
safeguard the treasury officials have
against it is the large accumulation o
gold in the New York banks, from
which they are hoping that gold will b,
taken for export, and the gold he'll,
against certificates, of which SIT, 4s7
100 is still outstanding.
1t is estimated that SIS, 200, 900 in golt
will have to be transported from tn
Philadelphia to the New Orleans min
during January and February to NEE
the payments of over $4,000 per day
which are usually made in currency i
response to transfers from New YORK
The usual process is for the New Yor
banks to deposit gold or paper none
at the New York subtreasury, with tn
request that it be paid for in shipment
of small silver certificates, Sherma
notes or legal tender notes to New o.
leans.
These various forms of paper are n
longer available and the only shipmer
the government can make is gold coli
for the coinage of which preparation
are now being made at New Orleans an
Philadelphia. The amount now avail
BILE at New Orleans is SIP 900 in eagle
and balf-eagles, and S1,7OO,OO in u
coined bullion. Mr. Preston, the dire
tor of the mint, has submitted an est
mate that about S25O,O month can /
coined in addition to the subsidiary 81
yer coinage required by ordinary d
mands, so that the Philadelphia mil
will have to be put to work to supp
the deficiency.
The payment of gold on ordinary 0