The times., 1897-03-20
THE NEW D|NG[EY BILL
Full Text of the Ways and Means
Committees Report.
is A CAMPAIGN DOCUMENT
Declares That the Deficiency in the
Revenues Renders il Necessary
That There Should Be More Reve-
nue. and That Our Industries Need
More Protection.

Following is the 1ull text OF the ma lo1ty
report of the Committee on Ways and
Means, on the new tariff bill:
For nearly four years the revenue has
been inadequate to meet the current eX-
penditures and pay the interest on the war
debt The deficiency during this period
has been as follows:
Fiscal year ended June 80, IS94-S69,- :
S03, ,260; 1895, S43, SOC, ,223: 1896, $780,
203, ,246; 1897 testimatedD, S65, 200, 900.
Total deficiency. S203, ,S11, ,729.
A continuous deficiency of revenue for
four years, amounting in the aggregate to
more than S203. 3.000,0 900, or over $780,
o0o, 600 per annum in time of peace, with
the official estimate Of the late Secretary
of the Treasury, in his last annual report
that under existing conditions there Will be
a further deficiency of S45, ,00O,0 600 fer
the fiscal year which will begin on the
1st day of July next, and the further fact
that the government hasNbeen obliged TO
obtain means To pay this deficit by borrow
ing S2O3. 900 900, on which the people are
paying interest, clearly Justifies the con-
vocation of Congress TO devise a prompt
and adequate remedy
The fact must not be lost sight OF that
while the Government has, during this
time. issued and sold bonds of the face
value OF 1892 ,315 400, from which it has
realized S293, ,4S1 .S94 in gold, for the
purpose of paying its demand notes pre-
sented for redemption, yet S2o3, 100000
of these notes SO redeemed have been again
paid out to meet the deficiency, and thus
made available for second redemption,
requiring secondhand a third issue OfLonds.
Thus ii will be seen that in the last
analysis 5000, 100000, or, including the
matured Pacific Railroad bonds, nearly
S2l5, 100000 of the S293, 100000 OF bor
rowed gold have been used TO supply an
insufficicncy OF revenue. And worse still,
the practical use of this reserve, or (what
Is the same thing) the notes paid FROM the
reserve to meet these continuous def
ciencies of revenues, has been one OF the
potent causes of the distrust which has
existed in business circles.
Neither does the fact that Oh the 1st day
of March there was cash balance in the
Treasury of nearly S196, 100000, after de-
Quoting the unavailable fractional silver
and minor coin, change the necessity of
additional revenue at the earliest possible
date, for the reason that at least S16,-
600 900 o fthis will be required to meet the
deficiency between March l and July
of the current fiscal year, leaving only
81 $50, 600, 900 in the cash balance on July
i next, of which 81 so, ,O00, 600 is gold that
ought to remain in the reserve and not be
used to pay current expenses. This would
leave only S30,0O0,00 as the Treasury
working balance next July, which is as
small as safety permits.
The revenue derived from duties on inn
ol. irtsa nj ray
for each fiscal year beginning with 1892
was as follows:
Year From Customs From Int. Rev.
1892 ....... SIT, ,452,964 $153,s71,o73
1893 ...... 203, ,355,016 161, ,027 ,624
1894 ...... 131 ,sls, $50 7,111 ,233
1895 ...... 152,15s,6l7 143,421 ,672
1896 ..... 160,021,751 46,762,S64
1897 (est). 140,o00,0o0 150,Oo0,oOO
1t will be observed that the customs
revenue under the act of 1890 for the
first full fiscal year of its operation was
$177 900 600, and for the second fiscal
year-1S93-was $2o3,0o0,000, with raw
sugar on the free list.
In October, 1892, before it was known
that radical reductions OF duties were to
be made, the then Secretary of the Treas
ury estimated that the customs revenue for
the fiscal year 1894 would beS220, 900 900,
op the basis OF the gradually increasing re-
ceipts up to that time.
But in January, 1898, he informed the |
Committee on Ways and Means that the |
apticipation of a new tariff, with lower |
duties would inevitably postpone importa |
tions. diminish the customs revenue by an |
ticipation. as well as injuriously affect |
business.
Thus, notwithstanding the tariff of 1890 |
remained on the statute books during the |
fiscal wear 1894, yet the fact that during |
that wear lower tariff was expected sew |
eral months before it was finally enacted, |
united with the arrest OF industries and |
consequent reduction Of the consuming |
power of our people, caused postponement
or abandonment of importations TO large
extent, and thus practically partially nulli-
lied the tariff of 1890 long before its
Actual repeal
The customs revenue for the fiscal year
1895. ten months OF which was under the
act of 1894, was raised to S152 600. 900
by deferred importations and the restora-
tion OF the duty on sugar, and in the fiscal
wear 1886 tc $160 600 900, of which
nearly $50. 900 900 was from sugar that
had been placed on the free list by the
tariff OF 1890.
The customs revenue under the present
,sriff for the fiscal year that will close