Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1895-02-08
cations for purposes not related to the

: cations for purposes not related to tn,
benefit OF our government or our peo
pie. The principal and interest o
these bonds should be payable or
| their face in gold, because there woult
not probably be any difficulty ir
favorably disposing OF bonds contain.
ing this stipulation. l suggest that
the bonds be issued in denominations
OF $40 and $50, and their multiples
and that they bear interest at rate
not exceeding 3 per cent. per annum.
do not see why they could not be
made payable GO years from their date,
we, OF the present generation, having
large amounts to pay if We meet our
obligations, and as long-bonds are the
most saleable. The Secretary of the
Treasury might we'll be permitted, at
his discretion, to receive on sale of
bonds legal tender and treasury notes
to be retired or redeemed in gold,
as they should be cancelled
These bonds, under the existing
laws, could be deposited by the ma
tional banks as security for circula-
ton and such banks should be allowed
TO issue circulation up to the face val.
ue OF these or any other bonds so de.
posted, except bonds outstanding
bearing only 2 per cent. interest and
which sell in the market at less than
par. National banks should not be
allowed to take out circulating notes
OF less denomination than $40, and
when such as are now outstanding
reach the treasury, except for redemp-
ton and retirement, they should be
cancelled, and notes of the denomina.
ton OF $40 and upward issued in their
stead. Silver certificates of the de-
nomination of $40 and upward should
be replaced by certificates OF denomi-
nations under $40 as constant means
for the maintenance of a reasonable
supply OF gold in the Treasury. Our
duties on imports should be paid in
gold, allowing all other dues of the
government to be paid in any other
form OF money. believe all the pro-
VISIONS l have suggested should be
embodied in our laws if we are to enioy
complete reinstatement of sound
financial conditions. They need not
interfere with any currency scheme
for providing for an increase of the !
circulating medium through the
agency of national or State banks,
since they can easily be adjusted to
such a scheme.
Objections have been made to the
issuance of interest-beaIing obliga-
tions for the purpose OF retiring non
Understanding notes. In point of
fact, however, these notes have bur.
dened us with large load OF interest.
The interest on the original issue of
bonds, which in gold constituted the
reserve for the payment of these notes,
amounted to $7O.326,25O, on January
l, 1895, and the annual charge for
interest on these bonds, and those is.
sued for the same purpose during last
year, will be $9.l45,OOO, dating from
January l, 1895. While the cancel
lation of these notes would not relieve
US from obligations already incurred
on their account, these facts are given
with the suggestion that their exist
ence was not free from interest
charges. and the longer they are out
standing, judging from the experience
OF last year, the more expensive will
they become.
In conclusion, I desire to frankly
confess my reluctance to issuing more
bonds in our present circumstances,
and with the prospect Of no better re.
suits than have lately followed that
course. 1 cannot, however, refrain
from adding the assurance and the
anxiety to cooperate with the present
Congress in any reasonable measures
OF relief, expressing my determination
to leave nothing undone which fur
nishes hope for improving the situa-
ton or for checking any suspicion of
our disinclination or inability to meet
with strictest honor every national
obligation. GROVER CLEVELAND.
Executive Mansion, Jan. %, 1895.