Evening star., 1895-10-28
Customs Receipts Have Not Equaled
the Hopes CT officials.
A DEFICIT OF $a,O00:CoO INDICATED
Increase in the Price Of Sugar May
Add to the Imports.
CERTIFICATES AND BONDS

The problem of sufficient revenue from
ordinary receipts to carry on the operations
of the government has not yet been solved
at the treasury, in spite of the hopes which
have been cherished that customs and in:
ternal revenue payments would increase.
There was a very marked increase in the
range of receipts after the beginning Of the
new fiscal year. and the record for the four
| months ending with October will be much
better than that for the four months prior
to July !. The aggregate receipts for these
four months will be about S113,5O0,0UD, but
this is about 81, 800, 600 less than the normal
expenditures, and would indicate deficit
at the end of the fiscal year of nearly $3D.
100000. The actual deficit at the end of
October will show a much higher average,
but this is misleading, because October in
not occur in November and December. The
latter two months will probably show a
surplus of receipts which will pull the de-
ficit for the first six months down close to
$lO,G30,OOO. The mcnth of October, accord
ing to present indications. will show de-
felt of about $60O0O0O. The receipts for
twenty-six days have been $23 sos, t99, and
average receipts of $1UOO,OOO per day dur
ing the four October days OF this week will
make the total for the month S27,SO0,000.
This is a little better than the September
| receipts. which were s27549,67S, but is less
than the August receipts, which were $2S
a32,696, or the July receipts, which were
So. ,607. The falling off in October is
not an unfavorable indication, because the
heaviest imports usually occur in July and
August In normal years.
Hope u Deficit Can BE Prevented.
The hope is still entertained that a deficit
for the year can be prevented by the grad
ual increase of the receipts. very small
monthly gain would bridge the gap and
wipe out the deficit, and such a gain is
looked for fir I'M two sources One of these
sources is tn, increase in the price of sugar,
which will add materially to the receipts
Under the ad valorem system of duties.
The announcement has already been made
that the beet sugar crops of Germany,
France, Belgium and AuStro-Hungary show
a heavy decrease since last year, and it is
well understood that the disorder in Cuba
has prevented even the planting of planta-
tions which have hitherto been productive.
These influences are likely to cause an in
crease in the price of sugar which viii add
materially to customs receipts. The fact
that customs have not fallen greatly with
in the past two or three months is in itself
an indication of increased imports of gen.
eral merchandise. The largest imports of
sugar always occur from March to August,
and. if the present rate Of importation of
other articles continues and is swelled by
heavy sugar imports in the spring. the
revenue by that time may afford a comfort
able surplus over expenditures. The in
ternal revenue is not justifying the compu-
tations of the trainers of the Senate bill
and the reason for the small receipts is not
understood at the Treasury Department.
1t is not believed that illicit distilling can
have reached serious proportions, but if re-
oeipts do not increase within the next two
or three months more stringent measures
than ever are likely to be taken to discover
a possible leak.
Treasury Ccrtifcates md Bonds.
1t is doubtful if serious attention has yet
been given by the administration to the
subject of Increasing the revenue. 1t would
be political triumph for the party which
enacted the existing tariff it could
be proved before the end of the fiscal
year next June that the law furnished
sufticie mt revenue Secretary Carlisle will
undoubtedly ask authority of Congress to
issue short-term treasury certificates to tide
over temporary deficiencies and give him
some means of protecting the gold reserve.
Such legislation would be sufficient for all
purposes If revenues adequate to meet ex-
penses were in sight within four or five
months. An important consideration in
the meantime is the possibility of a new
issue Of bonds to increase the gold reserve
Some of those who believe that deficiency
certificates would afford the best means of
meeting occasional emergencies feel that a
small issue of bonds would be advisable If
they could be placed abroad and foreign
gold brought into the treasury without de-
ranging the exchanges. An increase of the
reserve, in anticipation of exports next
spring, SO that it would stand at s125.OOO,UOO
would put the treasury in a much stronger
position than at present. and might en-
courage the New York banks to return to
gold payments through the clearing house
Members of the bond syndicate have been
ready to urge return to gold payments by
the banks, but they do not believe that the
time Is appropriate for such a movement
while the treasury gold reserve is below
$lO0, 100000. An issue of bonds would prob
ably solve the revenue problem for another
year by adding S25,O00,0O or more to the
existing general cash balance of S1So,OOO,O 600.