The citizen., 1897-03-19

Must Have a Higher Rate of
Duty to Provide for Necessary
Expenses, Says the President
Over One Hundred Million
Dollars Deficit in the Last
Three Years.
WASHINGTON, March l5.-The Pres
ident to-day sent the following message
to Congress:
"1o the Congress Of the United States:
"Regretting the necessity which has
required me to call you together, l feel
that your assembling in an extraordi-
nary session is indispensable because of
the condition in which we find the
revenues of the government. It's con-
ceded that its current expenditures are
greater than its receipts, and that such
a condition has existed for now more
than three years.
"With unlimited means at our COM
mand, we are presenting the remark
able spectacle of increasing our public
debt by borrowing money to meet the
ordinary outlays incident upon even
an economical and prudent admins
tration of the government. An exam-
ination of the subject dscoses the fact
in every detail and leads inevl-
tably to the conclusion that the condi-
ton OF the revenue which allows it is
udjustifiable ana should be corrected.
I'VE tiud by the reports of the Sec
retary of the Treasury that the revenue
for the fiscal year ended June 3Oth,
1892, from all sources were S425, $685.
260.22 and the expenditures for all pur-
poses were $4l5, 953, sos. sc, leaving an
excess over expenditures of S9,9l4,-
1886. During the fiscal year $40, So
467.9S were paid upon the public debt,
which had been reduced since March
lst, 1889, $3.50, ,076, $50, and the annual
interest charge decreased $l1;6S3, 576. so.
The receipts of the government from
all sources during the fiscal year ended
June 30Uh, 1898, amounted to S46I,-
7l6,56l.94 and its expenditures to $685.
74,oo7.65, showing an excess of receipts
over expenditures of $2,34l ,664.29.
"Slnce that time the receipts of no
fiscal year, and with but few eXcep-
tions OF no month of any fiscal year,
have exceeded the expenditures. The
receipts of the government from all
sources during the fiscal year ended
June 80, 1894, were 1872, ,SO2, 49S. 80 and
its expenditures $442, sos, 1887, leav-
ing deficit, the first since the resump-
ton of specie payments, of S69, $685.
26O58. Notwithstanding there was
decrease of SIG, 769, 12S.7S in the ordi-
nary expenses of the government as
compared with the previous fiscal
year, its income was still not sufficient
to provide for its daily necessities,
and the gold reserve in the treasury
for the redemption of greenbacks was
drawn upon TO meet them. But this
did not suffice, and the government
then resorted to loans to replenish the
reserve.
"In February, 1894, S5O,OOO,OO in
bonds were issued, aud in November
following a second issue of $4,000, 900
was deemed necessary. The sum of
$ll7,l7l,7 ,735 was realized by the sale of
these bonds, but the reserve was stead
lily decreased until, on February Sth,
1895, third sale of $50, ,3l5 400 in bonds
for 800, ll6, PA was anuoanced TO Con-
gress The receipts of the government
for tlse fiscal year ended June 30lh,
1895, were $500, 373, ,203 80 and the ex-
penditures $433, IT'S, 426.4S, showing a
deficit of $42 ,S05, ,223. .lS. A further loan
of $l00,000,000 was negotiated by the
government in February, 1896, the sale
netting Sill, ,165, PAS, and swelling the
aggregate of bonds issued within three
years to $262, AIS, 400.
"For the fiscal year ending June 80,
nf ha MT
from all sources amounted to S406, ,475,-
40S.7S, while its expenditures were
S434 ,678, ,654.48. or an excess of ofexpeudi-
lures over receipts of $25, ,203, 245.S0. In
other words, the total receipts for the
three fiscal years ending June 80, 1896,
were insufficient by $l37,8ll, ,729.46 TO
meet the total expenditures.
For the first half of the present
fiscal year the receipts of the govern
ment, exclusive of postal revenues,
were $l57, ,507, ,603. 20 and its eXpendi-
lures, exclusive of postal service, $685.
4l0,000.22, or an excess of expenditures
over receipts of $37, ,902, ,396.46.
"In January of this year the receipts,
exclusive of postal revenues, were $24,- :
3l6,994.05 and the expenditures, excIu-
sive of postal service, $50, 1863, 1886. 30, a
deficit of S., 952, ,295.24 for the mouth.
In February of this year the receipts,
exclusive of postal revenues, were $24,-
400, 0,99S.3S and expenditures, exclusive
of postal service, $26, 796, 056.66, de-
ficit of $4, 1895, ,059. 2S, or total deficien-
cy of $lS6, ,061. $50 "A for the three years
and eight months ending March l,
1897.
mot only are we without a surplus
in the treasury, but with an increase
in the public debt there has been cor
responding increase in the annual in
terest charge from $22, S93, $50. 20 in 1892,
the lowest of any year since 1862, to
Ss4, 1887, ,297. 60 in 1896, or an increase of
Sl1 ,403, Ala. 40.
ut may be urged that even if the
revenues of the government had been
sufficient to meet all the ordinary ex.
penses during the past three years, the
gold reserve would still have been
insufficient to meet the demands upon
it, and that bonds would necessarily
haye been issued for its repletion. Be
this as it may, it is clearly manifest,
without denying or affirming the cor
rectness of such a conclusion, that
the debt would have been decreased in
at least the amount of the deficiency
and business confidence immeasurably
strengthened throughout the country.
Congress should promptly correct
the existing conditions. Ample rev.
enues must be applied, not only for the
ordinary expenses of the government,
but for the prompt payment of liberal