Iowa state bystander. [volume] (Des Moines, Iowa) 1894-1916, 1897-03-19
MESSAGE TO CONGRESS
Mckinley Calls Attention to tho Con.
dition Of tho Revenues,
NO OTHER SUBJECT IS TOUCHED
For Three Years There Has Been contlnuous
Deficit Nscsssltatisg the Sale Of Bonds
Tariff Should b Adjusted to
Yield Protection.

UsHcie Nsesssitatlag the Sale Of Bonds
-Tarih Should b Adlusted to
Yield Protection.
Washington March 15.-The president
today sent the following message to
congress:
TO the Congress Of the United States:
Regretting the necessity which has re-
quired me to call you together, I feel
THAT your assembling In extraordinary
session IS indispensable because of the
condition in which we find the revenues
OF the government. It Is conceded that
its current expenditures are greater
than its receipts, and that such a con-
dltion has existed for now more than
three years. With unlimited means at
our command, We are presenting THE
remarkable spectacle Of increasing our
public debt by borrowing money to
meet the ordinary OUTLAWS incident upon
even an economical and prudent admin
istradlon OF the government.
An examination Of the subject dis
closes this fact In every detail and
leads inevitably to the conclusion that
the condition OF the revenue which al
lows 1T is unjustifa,ble and should be
corrected.
We find by the reports of THE secre-
tary of the treasury that the revenues
for the fiscal year ending June 30, 1892,
from all sources, were $425, $685. 260.22, and
the expenditures for all purposes were
$415, 49,, S06.56, leaving AN excess OF re-
ceEpts over expenditures of 1894, 1886.
During that fiscal year, $40,57O, 467. SO was
paid upon 1.-THE public debt, which had
been reduced since March 1, 1889, $685.
o76,S90, and the annual interest charge
decreased I'll, 1854, $3.50. The receipts OF
the government from all sources during
the fiscal year ending June 30, 1893,
amounted to $461, ZIG, 561.94. and its ex-
penditures to $459, 374, 1896, showing am
excess OF receipts over expenditures of
1884, 674.29.
The Deficit Begins.
Since that time the receipts Of no
fiscal year, and with but few exceptions
Of no month of any fiscal year, have ex-
ceeded the expenditures. The receipts
Of the government from all sources, du-
ring the fiscal year ending June 30, 1894,
were So" 1902, 1929, and its expenditures
$442,6N 5S.S7, leaving a deficit, the first
,si21cs re resumption Of specie payments
of = -,S03, $685. NotwitAsta nding there
was a decrease of SIG, 769. 12S.7S, in the
ordinary expenses OF the government,
as compared with the previous fiscal
year, It's income was still mot sufficient
to provide Cor dts daily necessities, a MD
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 resort
ed to loans to replenish the reserve.
Tn February, 1894, $50, 900, 900 in bonds
were issued, and in November following
q second issue of $50, 100000 was deemed
necessary. The sum of $117,17l, 795 was
realized by the sale of these bonds, but
the reserve was steadily decreased IN
til. on February s, 1895. a third sale of
So, 3l5, 400 in bonds, for $65,116,244 was
announced ITO congress.
The receipts of the government for the
fiscal year ending June 80. 1895, were
$3.50, 37S, 203.S0 and the expenditures $aSS,
E3,426.4S, showing a deficit of $42,S05,-
223.1S. A further loan of $100,000000 me-
gotiated by the government in F1eblu-
AIRY, 1896, the sale netting Sill, 166, GAG
and swelling the aggregate Of bonds is
sued within three years to $262,Sl5, 400.
For the fiscal year ending June &c. 1886,
the revenues Of THE government frcrn
all sources amounted to $409, 475. 40S.7S,
while its expenditures were $4S4 $751;
654.48, or an excess CT expenditures over
receipts OF So, 20S, 245.70. In other words,
the total receipts for the three fiscal
years ending June 80. 1895, were INSULT
cient by 1881, 1896 to meet the to-
tai expenditures.
Nor has this uorbdition since improved.
For the first half of the present fiscal
year. Allle receipts Of the government.
exclusive of postal revenues, were $751;
sol, COS. rs, and its expenditures exclusive
Of postal service, $780, 40, 0O0.22, or am ex-
cess of expenditures over receipts OF
81, 9O2, 396.46. In january of this year
the receipts exclusive of postal revenues
Were 24,316, 994.05, and the expenditures
exclusive Of postal service $50, 269, $500,
deficit of $685., 1854 for the month.
In February of this ye'ur THE receipts
exclusive of postal revenue were $24,-
200, 997. 80, and expenditures exclusive OF
postal service SIS, 1885, 056.66, "a deficit of
SO, 395, 059.28, or total deficiency. of $780,
06! 1904 for the three years and eight
months ending March l, 1897. Not only
are we without a surplus IN the TREAS
ury, but with an increase i'm the public
debt there haIs been al corresponding in
CREASE in the annual interest charge
from 81, 500, $685. 20 in 1892, the lowest Of
any year since 1862, to 94,397. 297.60 in
1896. or an increase of $11, 493, 414.40.
Need Of Revenue nanifest.
1t may be urged THAT even If the reve-
nues of the government had been suffi-
c!cnt to meet all its ordinary expenses
during the past three years, the gold re-
serve would still have been insufficient
to meet the demands upon ut, and THAT
bonds would necessarily have been is
sued for its REPETITION. Be this as 1t may,
it is clearly manifest, without denying
or affirming the correctness OF such a
that the debt would tlave
heen decreased in at least the amount
Of the deficiency. and business conf I
dence UNNECESSARILY strengthened
throughout 'the country.
Congress should promptly correct the
existing conditions. Ample revenues
must be supplied not only for THE ordi-
nary expenses Of the government but
Tor the prompt payment Of liberal PEN
;ions and the liqusdattion of 'tie plIiIlci-
pal and interest of THE public debt. In
aisiug revenues, duties should be 50
evied upon foreign products as to pre-
serve the home market, SO TAR as posi-
bic, to our own producers; to revive and
increase manufa ctures: to relieve and
encourage agriculture; to increase our