The San Francisco call., 1896-12-20
Adoption of a Rule Setting the
Measure for Hearing in the
House Next Month.
Judge Mcguire Says the Government
Is Protected by the Thurman Act
and Demands Foreclosure.

Committee, reported q resolution setting
January Z as the day 10 take up the Pow
ers bill, general debate to continue for two
days and one day under the five-minute
rule, the vote TO be taken on January II.
Henderson said:
Il do not think it is necessary for me to
say very much about the bill. The bill
referred TO in the resolution is what is
known as the Pacific funding bill, and the
( only question before the House in consid-
4 ering the rule now is, Shall we take this
matter up and consider it at all? 1t does
not involve in discussing the pending or
der a discussion of the merits of the bill,
and when we vote for this rule for the con-
sideration of the bill it does not neces-
sariIy imply that afterward it will involve
the voting for the bill in question. The
member reserves for himself the right to
vote as he pleases on the passage of the
bill. fwant to say that we have consulted
(the Committee on Rules) with gentlemen
entertaining opposite views i'll respect 10
the legislation proposed here, and we have
endeavored\ 10 fix the time so as to be
agreeable to the views of both sides, ana
give such time as is necessary to full,
candid and fair consideration of the bill.
You will see that under the rule we
give Thursday, Friday and Saturday after
after the disposition of the Loud bill, by
the rule just adopted in the House, for
discussing the Pacific funding bill and the
amendments that may be offered and on
Monday, Immediately after the reading of
the journal, the vote on the bill and the
amendments and such substitute as may
be offered is to be taken"
Dockery-Under the rule as presented
will there be an opportunity to present
substitute?
Internationally; because amend
ments are permitted, and a substitute is
an amendment.
j. Dockery-But the opportunity, under
the rule, won't present itself unless the
last section of the bill is reached
McMiliin-A substitute may be offered
but not voted upon until the time is fixed.
Henderson continued: Now, a few
words as to the question whether we
should consider the bill or not. The sub
sidy bonds covered by the bill amount,
understand, to over S61. 900. 900. The |
amo1nt OF Indebtedness on the 1st of next |
January will be, in round mum befs, Sill, :
100000. Tn Government has a second |
lien for this amount on 2293.4 miles of
railroad, with the appurtenant property
of the roads. All of the prior liens upon
the property have been unpaid and hence
the amount involved IN the question to be
considered is the Government claim, plus
the prior liens, amount in all to over
$172 200, 600?
The President tells US in his message
that on January l, 1897, there Will be que
ha l
January l. 1899. an additional amount Of
more than Sal, OO0, ,OOO 1t is contended, 1
do not know with what truth, that if a
foreclosure is had the Government will
realize but very little ont of its claim.
That, l trust is point on which we will
have ample discussion if the bill is to be
considered. The Committee on Rules
urged upon by all hands and by the differ
ent officers of the Government, have un-
animously brought in this rule so that the
House might have an opportunity TO
determine whether or not 1t will take
up this question and consider it. If they
decide to consider it then they must deter
mine whether or not it is their intention
to confess 10 the country that they have |
not the ability TO bring forward remedy |
by legislation. 1t may be that when this |
is considered no method can be pointed !
out that will show how the Government |
can save this vast sum OF money. That is |
a matter for discussion but in all events |
every Representative should have the |
courage to let this matter come up for |
frank and full consideration and discus |
sion and see whether or not We can save |
these mighty millions to the country or |
whether we must abandon them 10 the |
chance of foreclosure, knowing a prior |
lien is upon every dollar of that which we |
have a second lien upon"
Judge Mcguire said:
"Mr.-Speaker, ] realize that under the |
drastic rules of this House it is useless TO |
oppose the report of the Committee on |
Rules giving and fixing the time for the !
consideration OF this bill. l am too well /
aware that under the rules of the House !
cgoture, which the committee invokes for
the bill, applies to the consideration of |
the report, and I know also that num-
ber of gentlemen who are opposed TO the
bill will not vote against the committee
on this question; but, sir, | cannot per-
nit the statement just made by the gen.
tleman from Iowa (Henderson) to pass
unchallenged. Several of his statements
are misleading and some of them abso.
lutely erroneous. The Government IS not
menaced by any such danger as the gen
tIeman suggests. 1t IS not the interest of |.
the Government but the interests of the
debtor companies that are to be promoted
by the Powers bill
''The Government is amply protected by
the Thurman act, under which foreclosure
will shortly be instituted, un-
less Congress as favor TO the defaulting
companies shall relieve them from their
obligations under that act by extending
the time for payment of the debt. That
the companies should be anxious to
have this bill brought on speedily for con-
sideration is quite natural, because their
interests are to be promoted by it, but the
interests OF the United State Government
are now protected by the best safeguard
IF which existing conditions will permit
he right OF foreclosure and such rights as
/ may have 10 pursue diverted assets and
he n y,a ia .et1fecriY,tiOnq n oid o |