The evening herald. [volume] (Shenandoah, Pa.) 1891-1966, 1895-02-14
BOND BILL REPORTED.
The Ways aud Means Committee
Reach an Agreement,
BY A VOTE OF EIGHT TO FIVE

-Four Democrats Refuse to Sanction the
Action of the Committee, and Two of
Them, Messrs. BRYAN and whiting, Sign
Minority Report Against It.
WAsHINGToN, Feb t4-The house com
mittoe os ways and means voted vester.
day to report to the house a resolution
| practically rs agreed upon by the sub.
committee The vote was 8 yeas and 5
nays, and the resolution was presented to
the house by Chairman Wilson today The
resolution is as follows
That the secretary of the treasury be
md is hereby authorized to issue and dis.
pose of at not less than par in gold coin
bonds of the United States with the quail
tiles, privileges and exceptions of bonds
issued under the act approved July II,
1880, entitled an act authorizing the re-
funding of the national debt to an amount
not exceeding S65, 1l6, 275 bearing interest
at rate not exceeding per cent. per an
mum, principal and interest payable in gold
coin of the present standard of weight and
| fineness, bonds to be made payable not
more than thirty days after date Pro
videdi however, that no part of the pro
ceeds of the sale Of such bonds nor of the
notes redeemed with such proceeds shall
he available for the payment of the cur
rent expenses of the government"
The vote of to on reporting the bill
showed party breaks on both sides. Among
the Republicans, Messrs Reed of Maine
and Payne of New York were for the bill;
Mr.. Hopkins of Illinois against it, and
Mr.. Grosvenor of Ohio refrained from vot
ing Among the Democrats the division
was even greater, MeSsrs. Wilson of West
Virginia, Turner of Georgia, Tarsney of
Missouri, Montgomery of Kentucky, Ste
vens of Massachusetts, and Cochran of
N9%n fArB9qRs MiyfS Ahilair AhilairgRWattiiyf gWatt aPa Ps
I McMillin of Tennessee, Whiting of Mich
lgan. Bryan of Nebraska and Wheeler of
Albany in the negative.
| The report which Chairman Wilson sub
mitted for the majority Of the ways and
means committee describes the resolution
and says:
"The message of the president, which is
herewith appended, communicates to the
house the condition of the reserve of gold
in the treasury available for the redemp-
tion of the governments legal tender
notes and the maintenance of the parity
of its coin circulation, and the reasons
which compel at the present time an issue
of bonds to replenish and maintain that
reserve; also the general terms of con
tract made under authority of section
3, 700 of the revised statutes for the pur-
chase and delivery to thc treasury of
sum slightly in excess of $50, 900 of gold
coin, to be added to the stock in the treas
ury, which amounts to only S42, ,2l7, ,0S1 at
the present time
"The committee have had the benefit of
n conference with the secretary of the
treasury, who exhibited TO them the orig
inal contract entered into by himself on
the Sth day of February, and explained it's
details TO them. A full and complete copy
of said contract is hereto added From "a
reading of this paper it will be seen that
the arrangement of the secretary with the
parties to this contract effects the pur-
chase of 3, 3,5O0 600 ounces of standard gold
coin of the United States amounting to
S65, ,275), at least one half of which
shall be obtained in and shipped from Eu-
rope For this gold coin he has contracted
to issue to the parties furnishing it, under
authority of the act for the resumption of
specie payments approved Jan. II, 1875, 4
per cent jet" jet" year CON ooG5.5 u the
, tfn,5d States at price which realized to
them interest at the rate of 3M per cent,
"But the secretary of the treasury has
reserved the right, if the authority be given
him by congress- TO substitute at par any
bonds of the United States bearing B per
cent interest, of which the principal and
interest shall be specifically payable in
United States gold coin of the present
weight and fineness, said substitution to
be made within ten days from the date of
the contract 1t is the object Of the joint
resolution herewith submitted to give to
the secretary of the treasury authority to
substitute bonds to the amount of the con-
tract"
A minority report, signed by Messrs
Bryan and Whitney, was also presented
The main points are as follows:
lowing to the limited time allowed fol-
preparing a report, the dissenting mem
bers of the committee are precluded from
presenting their views with that elabora
tiOn which the Importance of the subject
would otherwise justify, but they beg tC
state briefly the most important reason
which led them to disapprove of the meas
ure recommended by the majority of che
committee.
First, the issue of bonds of any kind il
only needed to replenish the gold reserve
and the gold reserve only needs replenish
ing because the secretary of the treasury
/
notes in the kind of coin selected by the
noteholder. The noteholder has no lega
right to choose the coin in which the obi
CATION shall be redeemed, but has beer
permitted to exercise that right by pol
, icy naugurated by the treasury depart
ment AT, or soon after, the date of the re
sumption of specie payment, The opinion
of the secretary of the treasury, Mr.. Car
Isle, recently given, is clear upon thi
point.
IF we were willing to authorize the is
lsue of bonds at this time to purchase goll
we would still be opposed to bonds payabl
7 specifically in gold, because an issue O
lsuch bonds would either pledge the gov
/ lernment to the redemption of all obliga
lions in gold or make a discriminate
: AGAINST coin obligations now outstandin
/ 1t is impossible TO overestimate the eyi
) influences which would be exerted by tn
issue of gold bonds by the government, be
cause such action would naturally an
: necessarily encourage if not actually CON